Claim Preclusion:

Occurs when a case that has been previously litigated will preclude the same cause of action from
being litigated again
o You only get one bite of the apple, you only get to sue once on your cause of action

Claim preclusion applies to ALL issues that were raised in Case 1 as well as issues that COULD
HAVE BEEN brought in Case 1
o A defendant has to make all the defenses he has in response to plaintiffs claim in Case 1 and cannot
bring up another defense not asserted during Case 1 in Case 2

Plaintiff must bring all transactionally related occurrences together
o Defendant is NOT required to bring all transactionally related claims in the same action, UNLESS...
Compulsory counterclaim rule applies
When the Ds claim would undue the Ps victory

Bar: When a party loses in Case 1, the party may NOT re-litigate the same claim and assert new
defenses or reasons why they should have won in Case 2
o Applies to plaintiffs and defendants

Merger: Once you have sued on a particular claim and recovered judgment, any other damages or
claims included in the first claim are precluded
o You cant get additional damages/money/relied
o Applies to any claimant

Claim preclusion is a waivable affirmative defense

Requirements of Claim Preclusion
1. Same parties: Both cases must have been brought by the same claimant against the same defendant
Same parties in the same configuration
Make sure to check the compulsory counterclaim rule (Rule 13) for defendants

2. Same claim:
Majority Approach/Federal Law: Same transaction or occurrence
o Defines claim as transaction or occurrence or a related series of transactions or occurrences
1. The claim must arise out of the same transaction or occurrence as in Case 1
2. One claim to vindicate everything that happened to you in that transaction
o Based on a need for judicial economy and efficiency

Minority View: Primary Rights Doctrine; Single Wrongful Act
o Different claims for each right invaded
Example: One cause of action for personal injury and another for property

3. Quality of Judgment in Case 1
Valid: Invalid if it lacks personal jurisdiction or if there was improper service

Final Judgment of the Trial Court
o Has the district court wrapped up the case?

o Whether the case is being appealed is irrelevant, although preclusion may not be able to be
enforced while judgment is still pending
o Non-Final Judgments:
1. Preliminary injunctions
2. Temporary restraining orders
3. Partial summary judgment

On the merits
o The case must have been resolved on the substantive merits of the plaintiffs claim, not a
procedural issue

o Examples: Not on the merits
1. Lack of notice
2. Improper service
3. No personal/subject matter jurisdiction
4. Dismissal without prejudice

o Examples: On the merits
1. 12(b)(6) dismissal
2. Summary judgment dismissal
3. Directed verdict
4. Default judgment
5. Dismissal for discovery violation
6. Dismissal with prejudice

***REMEMBER TO CHECK THAT IT WASNT A COMPULSORY COUNTER-CLAIM (13a)


Questions To Ask:
Is the party against whom claim preclusion is being used a party to the first suit or a party in privity to
the first suit?
o If no, then no preclusion or else would violate the persons right to their day in court.
o Applies to both offensive and defensive use

Is it transactionally, the same claim?
o If no, are there any parts that are the same, to afford issue preclusion?

Was there a valid and final judgment on the merits?

Is full summary judgment or partial appropriate?
o Are there any individual damages to be shown?