The Oregon Supreme Court has held that the aggregate settlement rule, ABA Model Rule 1.8(g), applies when interdependence between client claims exists. A settlement offer that aggregates minimum authority obtained from clients individually is not an aggregate settlement.

By doing that the Court adopts § 3.16 of the ALI the ALI Principles of the Law of Aggregate Litigation:

Definition of a Non–Class Aggregate Settlement

(a) A non-class aggregate settlement is a settlement of the claims of two or more individual claimants in which the resolution of the claims is interdependent.

(b) The resolution of claims in a non-class aggregate settlement is interdependent if:

(1) the defendant’s acceptance of the settlement is contingent upon the acceptance by a number or specified percentage of the claimants; or

(2) the value of each claim is not based solely on individual case-by-case facts and negotiations.

In re Gatti,  No. S061105, Oregon Supreme Court 8/21/14.  Full opinion here

For more information, contact Nathan M. Crystal