FEDERATED DEPARTMENT STORES, INC., ET AL. v. MOITIE ET AL., 452 U.S. 394

Summary

Respondents were two of several private litigants who had brought federal actions against petitioner department store seeking treble damages as a proposed class of retail purchasers following an antitrust action against petitioner. All of the private actions were dismissed by the district court and all but respondents challenged the dismissals. Respondents brought a state action against petitioner. Petitioner removed the case to federal court and moved to dismiss on the ground of res judicata. The district court granted the motion to dismiss, but the court of appeals reversed the dismissal when the actions of the other private litigants were reinstated on appeal. The court of appeals found that although respondents' actions were technically barred by res judicata, basic principles of public policy and simple justice required an exception to that doctrine. Petitioner appealed and the court reversed the decision and remanded the cause for further proceedings, finding that the dismissal ...