Nonparty preclusion in federal courts typically requires one of the following: a legally recognized relationship between the party and nonparty, such as preexisting substantive legal relationships; the nonparty’s interests were adequately represented by a party to the original action; or the nonparty assumed control over the litigation in which the judgment was rendered.
For example: In a class action lawsuit, absent class members may be bound by the judgment if they fall within the class definition and were represented by the class representatives, even if they did not actively participate in the litigation.