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Benefits
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September 27, 2024
Texas AG Wants Austin's Abortion Travel Fund Shut Down
Texas Attorney General Ken Paxton on Friday accused the city of Austin of illegally using taxpayer funds to cover travel costs for people traveling out of the Lone Star State to get abortions, claiming that the city is misappropriating the funds in violation of the state constitution.
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September 27, 2024
Conn. Justice Can't Stomach Insurer's 'Omelet' Of Notices
The Connecticut Supreme Court on Friday seemed skeptical of workers' compensation carrier Ace American Insurance Co.'s assertion that one of two allegedly contradictory letters to a roofing contractor functioned as a legally sufficient policy cancellation notice one month before a worker's injury.
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September 27, 2024
Disney Warns Investor Streaming Suit Could Chill Innovation
Allowing securities litigation over The Walt Disney Co.'s underperforming streaming service to go forward would discourage companies from trying "new, risky business plans," counsel for the entertainment giant told a California federal judge in an attempt to toss the suit Friday.
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September 27, 2024
Hedge Fund Inks $7.9M Deal In ERISA 401(k) Investment Suit
A Connecticut-based hedge fund that went bankrupt and owner George A. Weiss have agreed to pay $7.9 million to end an ex-worker's suit alleging the company plowed its employees' retirement savings into two substandard proprietary funds, according to filings Friday in Connecticut federal court.
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September 27, 2024
Shipping Cos. Say Union Won't Bargain As Strike Looms
A group representing shipping industry employers along the East and Gulf coasts claimed the International Longshoremen's Association violated federal labor law by refusing to negotiate for a new contract, as the union representing thousands of dockworkers gears up for a strike that could begin Oct. 1.
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September 27, 2024
GOP States Sue HHS Over Gender Dysphoria Disability Rule
A group of 17 Republican attorneys general filed suit against the Biden administration seeking to block a rule defining gender dysphoria as a disability under federal law, arguing that Congress explicitly stated that the statutes don't protect gender identity disorders.
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September 27, 2024
11th Circ. Rejects Initial En Banc Hearing For ERISA Appeal
The Eleventh Circuit denied an initial en banc hearing request from former employees of a seafood company who are pushing to revive a lawsuit alleging their employee stock ownership plan was overcharged by tens of millions of dollars after a Georgia federal judge dismissed the case in December.
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September 27, 2024
Alvarez & Marsal Tax Appoints Former Weil Official
Alvarez & Marsal's tax affiliate announced it has appointed a former Weil Gotshal & Manges LLP executive as a senior official for the firm's compensation and benefits practice.
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September 27, 2024
Ex-Mass. State Sen. Says Conviction By All-White Jury Unfair
A former Massachusetts state senator has said his conviction on pandemic unemployment aid and tax fraud charges should be thrown out in part because the jury was all white.
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September 27, 2024
NFL Retirement Plan Can't Dodge Ex-Player's Benefits Suit
The National Football League's retirement plan can't fully toss a retired player's suit alleging he was illegally denied retirement benefits after the plan found his rookie season didn't qualify him for it, a Texas federal judge ruled, rejecting the argument that he didn't properly appeal the denial.
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September 27, 2024
MetLife's 3rd Circ. Win Won't Stop ERISA Health Fee Suits
The Third Circuit's recent decision upholding MetLife's escape from a lawsuit accusing the company of pocketing $65 million in pharmacy rebates instead of using the funds to lower employee healthcare costs hands additional authority over to employers facing a new wave of class action litigation over excessive health fees, attorneys say.
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September 27, 2024
Sen. Bill Would Curb ESG Factors In Retirement Fund Choices
A bill in the Senate would prohibit asset managers from prioritizing environmental, social and governance, or ESG, factors over financial gain when selecting retirement investments.
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September 26, 2024
Google Happy Hour Counts As Work For Injured Employee
A New York appeals panel held Thursday that a Google account executive was acting in the scope of his employment when he was hit by two e-bikes while traveling home from a team happy hour, granting workers' compensation benefits for his injuries.
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September 26, 2024
Bakery Wants Out Of $16M Payment To Pension Fund
An Indiana wholesale bakery company asked the Eleventh Circuit on Thursday to reverse an order for the bakery to pay a union pension fund $15.6 million, arguing that the pension fund's interpretation of the Multiemployer Pension Plan Amendments Act conflicts with the plain text of the statute.
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September 26, 2024
Nvidia Seeks 'Unworkable' Pleading Standard, Justices Told
Nvidia Corp. shareholders asked the U.S. Supreme Court on Wednesday to reject the company's "unworkable" reading of the pleading standards under the Private Securities Litigation Reform Act, arguing that they've presented plenty of evidence to move forward with claims that the company hid its $1 billion exposure to the volatile cryptocurrency market.
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September 26, 2024
Quest Diagnostics Escapes 401(k) Mismanagement Suit
A New Jersey federal judge tossed a proposed class action alleging Quest Diagnostics Inc. mismanaged its $5 billion retirement plan by failing to chop under performing investment funds from its lineup, pointing to proof that the company acted to rein in questionable funds.
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September 26, 2024
Amazon Worker Gets Trial In Military Leave Suit
A Washington federal judge ejected one worker from a suit accusing Amazon of demoting or firing workers who took time off for military service, but teed up for trial another worker's claim alleging he was removed from consideration for a promotion after he said he was going to be deployed.
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September 25, 2024
4th Circ. Says Firefighter's Race Bias Deal Is Pension Eligible
The Fourth Circuit on Wednesday found the city of Charlotte in North Carolina should have deducted retirement funds from a former Black firefighter's race bias settlement, but said the same could not be true for another firefighter who never finalized a deal with the city.
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September 25, 2024
Rent The Runway, Gwyneth Paltrow Can't Escape Investor Suit
A New York federal judge on Wednesday trimmed a proposed class action suit against actress Gwyneth Paltrow and online clothing rental company Rent the Runway Inc., claiming the company failed to inform investors about major challenges it was facing in the run-up to its 2021 initial public offering.
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September 25, 2024
3rd Circ. Backs Tossing MetLife Suit Over Drug Rebates
The Third Circuit upheld MetLife's defeat of a lawsuit alleging it kept drug rebate profits for itself instead of lowering workers' health benefit plan costs, saying Wednesday the workers leading the suit hadn't shown they were harmed by missing out on speculative savings.
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September 25, 2024
Ex-NBA Pro Who Admitted Benefits Fraud Can Play Overseas
A New York federal judge Wednesday gave a former Philadelphia 76ers guard, who admitted to being part of a scheme to defraud the NBA's benefits plan, permission to travel to Uruguay so he can play professionally there.
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September 25, 2024
Jones Day Must Face Ex-Firm Attys' Parental Leave Suit
Jones Day will have to defend its parental leave policy at trial, after a D.C. federal judge declined on Wednesday to shut down a long-running suit filed by two married ex-associates that claims the firm discriminates by offering female attorneys more leave than male attorneys.
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September 25, 2024
2nd Circ. Eyes New Trial In Yale Retirement Fee Fight
The Second Circuit appeared inclined Wednesday to revive a class action against Yale University from employees alleging their $5.5 billion retirement plan was mismanaged, as all three judges on the panel pointed out possible issues with jury instructions before a post-trial verdict in Yale's favor in 2023.
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September 25, 2024
AmerisourceBergen Can't Escape Workers' 401(k) Fee Suit
AmerisourceBergen Corp. can't escape a proposed class action alleging it allowed its employee 401(k) plan to be saddled with excessive recordkeeping costs, a Kentucky federal judge ruled, saying the workers' claims and calculations were detailed enough to move forward.
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September 24, 2024
Google Investors' Atty Defends Fees For $350M Privacy Deal
Counsel for Google LLC shareholders who reached a $350 million settlement with Alphabet Inc. over claims they were deceived about a 2018 data breach urged a California federal judge Tuesday to approve the deal, including about $66.5 million for attorneys, calling the fees more than reasonable.
Expert Analysis
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Using A Children's Book Approach In Firm Marketing Content
From “The Giving Tree” to “Where the Wild Things Are,” most children’s books are easy to remember because they use simple words and numbers to tell stories with a human impact — a formula law firms should emulate in their marketing content to stay front of mind for potential clients, says Seema Desai Maglio at The Found Word.
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Series
Being An EMT Makes Me A Better Lawyer
While some of my experiences as an emergency medical technician have been unusually painful and searing, the skills I’ve learned — such as triage, empathy and preparedness — are just as useful in my work as a restructuring lawyer, says Marshall Huebner at Davis Polk.
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How HHS Discrimination Rule Affects Gender-Affirming Care
The U.S. Department of Health and Human Services' new final rule, which reinterprets the Affordable Care Act's anti-discrimination provision, greatly clarifies protections for gender-affirming care and will require compliance considerations from sponsors and administrators of most group health plans, say attorneys at McDermott.
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Exploring An Alternative Model Of Litigation Finance
A new model of litigation finance, most aptly described as insurance-backed litigation funding, differs from traditional funding in two key ways, and the process of securing it involves three primary steps, say Bob Koneck, Christopher Le Neve Foster and Richard Butters at Atlantic Global Risk LLC.
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Series
Teaching Yoga Makes Me A Better Lawyer
Being a yoga instructor has helped me develop my confidence and authenticity, as well as stress management and people skills — all of which have crossed over into my career as an attorney, says Laura Gongaware at Clyde & Co.
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A Vision For Economic Clerkships In The Legal System
As courts handle increasingly complex damages analyses involving vast amounts of data, an economic clerkship program — integrating early-career economists into the judicial system — could improve legal outcomes and provide essential training to clerks, say Mona Birjandi at Data for Decisions and Matt Farber at Secretariat.
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Asset Manager Exemption Shifts May Prove Too Burdensome
The U.S. Department of Labor’s recent change to a prohibited transaction exemption used by retirement plan asset managers introduces a host of new costs, burdens and risks to investment firms, from registration requirements to new transition periods, say attorneys at Simpson Thacher.
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7 Effects Of DOL Retirement Asset Manager Exemption Rule
The recent U.S. Department of Labor amendment to the retirement asset manager exemption delivers several key practical impacts, including the need for managers, as opposed to funds, to register with the DOL, say attorneys at Ropes & Gray.
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Kansas Workers' Comp. Updates Can Benefit Labor, Business
While the most significant shake-up from the April amendment to the Kansas Workers Compensation Act will likely be the increase in potential lifetime payouts for workers totally disabled on the job, other changes that streamline the hearing process will benefit both employees and companies, says Weston Mills at Gilson Daub.
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Del. Ruling Highlights M&A Deal Adviser Conflict Disclosures
The Delaware Supreme Court recently reversed the Court of Chancery's dismissal of challenges to Nordic Capital's acquisition of Inovalon, demonstrating the importance of full disclosure of financial adviser conflicts when a going-private merger seeks business judgment rule review, say attorneys at Debevoise.
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How FTC's Noncompete Rule May Affect Exec Comp Packages
In the event the Federal Trade Commission's final noncompete rule goes into effect as currently contemplated, companies will need to take stock of how they structure post-employment executive compensation arrangements, such as severance agreements and clawbacks, says Meredith O'Leary at King & Spalding.
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E-Discovery Quarterly: Recent Rulings On Text Message Data
Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.
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Series
Swimming Makes Me A Better Lawyer
Years of participation in swimming events, especially in the open water, have proven to be ideal preparation for appellate arguments in court — just as you must put your trust in the ocean when competing in a swim event, you must do the same with the judicial process, says John Kulewicz at Vorys.
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Opinion
SEC Should Be Allowed To Equip Investors With Climate Info
The U.S. Securities and Exchange Commission's new rule to require more climate-related disclosures will provide investors with much-needed clarity, despite opponents' attempts to challenge the rule with misused legal arguments, say Sarah Goetz at Democracy Forward and Cynthia Hanawalt at Columbia University’s Sabin Center for Climate Change.
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Don't Use The Same Template For Every Client Alert
As the old marketing adage goes, consistency is key, but law firm style guides need consistency that contemplates variety when it comes to client alert formats, allowing attorneys to tailor alerts to best fit the audience and subject matter, says Jessica Kaplan at Legally Penned.