Atari, Inc. v. Superior Court

Atari, Inc. is the defendant in a civil action brought by real parties Maria Carson and Rodolfo Villanueva, ostensibly as a plaintiffs’ class action. There has been no proceeding to certify the class. Atari seeks review of an order of respondent superior court which permits Carson and Villanueva to send a broadly worded notice to, and to communicate without limitation with, potential class members, but which at the same time limits Atari’s access to the same individuals. We conclude that the evidence of record does not justify denying any party equal access to persons who potentially have an interest in or relevant knowledge of the subject of the action, but who are not yet parties.

In February 1983 Atari laid off 600 employees, including plaintiffs Carson and Villanueva. Carson and Villanueva brought this action, for themselves and assertedly for the rest of the 600 employees, upon theories of fraud, misrepresentation, and breach of implied contracts and covenants, based on allegations to the general effect that Atari managers had told the 600 employees there would be no mass layoffs.

In the course of preliminary discovery Carson and Villanueva sought names, addresses…

I consider Carson and Villanueva’s precertification notice to be misleading. Nevertheless, I concur in the judgment and the opinion of the court because it gives everybody equal opportunity of access and therefore allows Atari to counteract the efiect of the notice. I would have preferred, however, to require adherence to a higher standard of fairness.

A petition for a rehearing was denied May 7, 1985, and the petition of real parties in interest for review by the Supreme Court was denied July 10, 1985. Mosk, J., was of the opinion that the petition should be granted.

Robertson, Alexander, Luther, Esselstein, Shiells & Wright, William Esselstein, Diane Greenberg, Joan M. Graff and Linda J. Krieger for Real Parties in Interest.

OPINION

AGLIANO, J.

Atari, Inc. is the defendant in a civil action brought by real parties Maria Carson and Rodolfo Villanueva, ostensibly as a plaintiffs' class action. There has been no proceeding to certify the class. Atari seeks review of an order of respondent superior court which permits Carson and Villanueva to send a broadly worded notice to, and to communicate without limitation with, potential class members, but which at the same time limits Atari's access to the same individuals. We conclude that the evidence of record does not justify denying any party equal access to persons who potentially have an interest in or relevant knowledge of the subject of the action, but who are not yet parties.

In February 1983 Atari laid off 600 employees, including plaintiffs Carson and Villanueva. Carson and Villanueva brought this action, for themselves and assertedly for the rest of the 600 employees, upon theories of fraud, misrepresentation, and breach of implied contracts and covenants, based on allegations to the…