Legal Definitions - two-dismissal rule

The two-dismissal rule is a legal principle designed to prevent plaintiffs from repeatedly filing and then voluntarily withdrawing the same lawsuit. It states that if a plaintiff voluntarily dismisses a specific claim for a second time, after having already dismissed that exact same claim in a different court, the second dismissal is treated as a final decision on the merits of the case. This means the plaintiff is permanently barred from bringing that claim again against the same defendant.

Essentially, while a plaintiff can usually dismiss a case once without prejudice (meaning they can refile it later), the two-dismissal rule acts as a limit. If they dismiss the *same claim* a second time, even if they intend it to be "without prejudice," the law converts it into a dismissal "with prejudice," which is a final judgment that prevents any future lawsuits on that particular issue.

• Example 1: Product Liability Claim

  Imagine a consumer, Ms. Chen, sues a car manufacturer in a California state court, alleging a defect in her vehicle's braking system. After some initial discovery, Ms. Chen decides to voluntarily dismiss her lawsuit, perhaps because she wants to gather more evidence or explore settlement options. Later, she files the exact same claim regarding the same braking system defect against the same car manufacturer, but this time in a federal court in Nevada. If Ms. Chen then attempts to voluntarily dismiss this second federal lawsuit, the two-dismissal rule would apply. Her second voluntary dismissal would be treated as a final judgment on the merits, preventing her from ever suing that car manufacturer again for that specific braking system defect.

• Example 2: Breach of Contract Dispute

  A small business, "Innovate Tech," sues its software supplier, "Code Solutions," for breach of contract in a New York state court, claiming the software delivered was faulty. Innovate Tech later decides to voluntarily dismiss this case, perhaps to re-evaluate their legal strategy. A few months later, Innovate Tech files the identical breach of contract claim against Code Solutions in a different New York county court. If, during the proceedings in this second court, Innovate Tech again decides to voluntarily dismiss the case, the two-dismissal rule would come into play. This second dismissal would be considered "with prejudice," meaning Innovate Tech could not refile that specific breach of contract claim against Code Solutions in any future court.

• Example 3: Personal Injury Lawsuit

  Mr. Davies is involved in a car accident and sues the other driver, Ms. Evans, for personal injuries in a local municipal court. After some initial proceedings, Mr. Davies voluntarily dismisses his case, perhaps to seek medical treatment and better assess his damages. Sometime later, Mr. Davies files the same personal injury claim against Ms. Evans arising from the same accident, but this time in a higher state district court. If Mr. Davies then attempts to voluntarily dismiss this second lawsuit, the two-dismissal rule would be triggered. His second voluntary dismissal would operate as a final decision, barring him from bringing that specific personal injury claim against Ms. Evans ever again.