Derenco, Inc. v. Benjamin Franklin Federal Savings & Loan Ass'n

In Derenco, Inc. v. Benjamin Franklin Federal Savings & Loan Ass'n, 281 Ore. 533, 577 P.2d 477, 498-99 (Or. 1978), the Oregon Supreme Court rejected a similar argument that individual inquiries into the knowledge of the class of the commercial borrowers would defeat class action certification. The class of borrowers was uniform and subjected to the same adhesion contract. Id. at 499. The only unknown factor was the knowledge of each borrower concerning the defendant's use of his or her deposits for its own purposes. Id. Based upon the proof at hand, the court concluded that it was unlikely that numerous persons possessed such knowledge. Id. While acknowledging that contractual claims may present special problems when treated as a class action, the Oregon Supreme Court nevertheless ruled the case should continue as a class action. Id.