- 26 - Under Nebraska law, there are four requirements for the doctrine of collateral estoppel to apply: (1) The identical issue must have been decided in a prior action, (2) a final judgment must have been rendered on the merits, (3) the party against whom the rule is applied must have been a party or in privity with a party to the prior action, and (4) there must have been an opportunity to litigate the issue fully and fairly in the prior action. See Stewart v. Hechtman, 581 N.W.2d 416, 418-419 (Neb. 1998); Cunningham v. Prime Mover, Inc., 567 N.W.2d 178, 181 (Neb. 1997). With respect to the third requirement, there is no dispute that HJA was a party to the State litigation. See Cunningham v. Prime Mover, Inc., supra at 181 (as to status of parties, only requirement is that party against whom rule is being applied was party or in privity with party to prior action). There is considerable disagreement, however, regarding the remaining requirements. In order for collateral estoppel to apply under Nebraska law, the identical issue must have been litigated in the prior action. An issue is considered “identical” in the absence of a significant factual change. See Stewart v. Hechtman, supra at 419. Henry’s liability under the FirsTier note was not an issue in the State litigation. The only issues raised in that litigation related to the enforceability, breach, and validity ofPage: Previous 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 33 34 35 Next
Last modified: May 25, 2011