The Sony Electronics Corporation "removed" a class action lawsuit from California state court to federal district court on Tuesday. The lawsuit concerns defects to Sony's "Trinitron" televisions. Sony refuted the complaint but admitted that the amount in controversy exceeds $5 million.
"Removal" is a legal term allowing a defendant to move a case from state court to federal court if it believes (and defends a challenge from the plaintiff) that federal court is the correct venue in which to try the suit.
The Class Action Fairness Act of 2005 requires that all class actions involving damages exceeding $5 million be brought in federal district courts rather than state courts. In this case, Sony is arguing that because the damages sought will likely exceed $5 million dollars, federal court, rather than state court, is the proper venue.
