(CN) – The Supreme Court on Thursday changed its mind about deciding whether a woman has standing to pursue bribery claims against an insurance company.
Denise Edwards wanted to take on First American Financial and its subsidiary with a class action alleging that they bribed title companies with millions of dollars to enter into exclusive referral agreements.
A federal judge in California had swatted the class-action attempt but refused to dismiss the complaint on the basis of standing.
The 9th Circuit similarly foundin June 2010 that Edwards had adequately pleaded injury to justify standing. The damages provision of the Real Estate Settlement Procedures Act of 1974 gives rise to a statutory cause of action even if an overcharge has not occurred, according to that decision.
Last year, the Supreme Court agreed to decide whether Edwards has established sufficient injury for Article III standing, since she has not alleged that the charge for title insurance was higher than it would have been without the exclusivity agreement.
The 9th Circuit had said she did, even though she could not make that argument since Ohio law mandates that all title insurers charge the same price.
On Thursday, the Supreme Court said it had “improvidently granted” a writ of certiorari for the case.