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Class Action
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October 18, 2024
NCAA's $2.78B NIL Deal Still Faces Long Road To Final OK
The absence of noticeable change to address concerns flagged by a California federal judge about the NCAA's $2.78 billion name, image and likeness compensation settlement made that same judge's preliminary approval of the deal last week surprising, and experts say those same problematic provisions likely will make final approval an uphill battle.
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October 17, 2024
Apple's $20M Watch Defect Deal Lacks Info, Judge Says
A California federal judge has declined to preliminarily approve Apple's $20 million deal to resolve a proposed class action alleging certain Apple Watches have a battery defect that can cause serious injuries, ordering counsel to submit additional information, including details on the lawsuit's maximum value if consumers win at trial.
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October 17, 2024
Acadia Hid Wrongful Detainment Of Patients, Investor Claims
Behavioral healthcare provider Acadia Healthcare was hit with a proposed securities class action in Tennessee federal court alleging that investors were damaged after The New York Times published an investigative report saying the company detained patients in its psychiatric facilities for financial gain rather than out of medical necessity.
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October 17, 2024
Stockholders Sue Tech Co. Controllers Over Equity Shuffle
Stockholders of materials science venture Footprint International have sued the company, several current and former board members and its controlling shareholders in Delaware Chancery Court, seeking damages for allegedly conflicted refinancing moves that stripped regular shareholders of their interests and rights.
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October 17, 2024
Rocket Investors Eye New Cert. Bid After Post-Goldman Denial
A pension fund has asked a Michigan federal judge for another chance at class certification in a suit alleging Rocket Cos. hid its knowledge of a drop in its mortgage business, saying the new class would be "substantially narrowed" after certification was previously denied in light of a recent U.S. Supreme Court decision.
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October 17, 2024
Burford Again Loses Fight Against Meat Price-Fixing Deal
An Illinois federal judge on Thursday refused for a second time to let a Burford Capital LLC unit unbind itself from a global settlement Pilgrim's Pride and Sysco entered to resolve chicken, pork and beef price-fixing claims.
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October 17, 2024
Va. Judge Signs Off On Prolonged Detention Suit Settlement
A Virginia federal judge has given final approval to a settlement between the American Civil Liberties Union of Virginia and U.S. Immigration and Customs Enforcement ending class claims accusing the agency of detaining immigrants in the District of Columbia and Virginia after they'd been granted relief from removal.
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October 17, 2024
Zoox Investors Battle Amazon Sale Suit Toss In Chancery
An attorney for self-driving robotaxi venture Zoox Inc., its directors and Amazon.com told Delaware's chancellor on Thursday that insolvency was days away when Zoox agreed to a $1.3 billion acquisition by Amazon.com in June 2020, despite conflicting claims from stockholders who challenged the deal.
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October 17, 2024
Chevron, Syngenta Want 600 'Baseless' Paraquat Cases Nixed
Chevron and Syngenta urged an Illinois federal judge on Wednesday to begin the dismissal process for almost 600 paraquat plaintiffs the companies say have flouted a court order to document their alleged exposure to the pesticide.
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October 17, 2024
Golf Course Co. Data Breach Claimants Want 4 Cases Merged
The plaintiffs in four separate proposed class actions alleging an Illinois-based operator of golf courses failed to protect customers' information following a data breach have asked an Illinois federal court to consolidate their cases, arguing that their claims arise from the same operative facts.
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October 17, 2024
Amgen Faces Derivative Suit In Del. Over Tax Disclosures
An Amgen Inc. stockholder has sued the company in Delaware's Court of Chancery seeking derivative recoveries for the multinational biopharmaceutical company from its directors and officers based on allegedly false and misleading statements regarding $10.7 billion in federal tax bills and penalties.
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October 17, 2024
55K Labcorp 401(k) Participants Get Class Cert. In Fees Suit
Approximately 55,000 LabCorp workers were granted class status by a North Carolina federal judge Wednesday in their litigation against the company over steep 401(k) plan record-keeping fees allegedly inhibiting their ability to save for retirement.
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October 17, 2024
Google Asks 9th Circ. To Immediately Pause Epic Injunction
Google filed an emergency motion late Wednesday in its antitrust battle with Epic Games Inc. asking the Ninth Circuit to stay a lower court's injunction that's set to take effect Nov. 1 requiring Google to open up its Play Store to competing app stores, slamming the injunction as harmful and "unworkable."
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October 17, 2024
Seyfarth Hit With $8M Suit For Botched Wage Class Settlement
Seyfarth Shaw LLP owes a physician practice almost $8 million for negligently removing hundreds of the practice's employees from a list of those entitled to part of a $4.9 million wage and hour settlement, costing the practice another $3.6 million to correct the mistake, according to a California suit.
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October 17, 2024
Former X Exec 'Worst' For Class In Bonus Suit, Judge Says
A former X Corp. senior director of compensation is "the worst possible candidate" for the class he proposed in his suit claiming unpaid bonuses after Elon Musk took the reins of the company, a California federal judge said, slamming his bid for class certification.
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October 16, 2024
BetterHelp Can't Ax Suit Over Sharing Data With Advertisers
A California federal judge has trimmed but refused to completely toss a consolidated putative class action accusing online counseling platform BetterHelp Inc. of unlawfully disclosing consumers' confidential information to third parties for advertising purposes, finding that newly added details boosted several of the plaintiffs' claims.
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October 16, 2024
Indiana U. Hit With Sex Abuse Claims Over Sports Doc Exams
Indiana University has been accused in a new lawsuit of turning a blind eye to the sexual misconduct of a longtime physician for the IU men's basketball team who allegedly routinely assaulted student athletes.
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October 16, 2024
Chinese AI Co. Hit With Investor Suit Over Nasdaq Compliance
China-based artificial intelligence company Xiao-I Corp. was hit with a proposed investor class action in New York federal court alleging it downplayed increasing research and development costs that it was incurring, increasing the likelihood that it would fail to comply with the Nasdaq Stock Market's minimum price requirement after going public.
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October 16, 2024
Gatos Silver Investor Deal Gets Final OK, Attys Score $6M Fee
Attorneys from Bleichmar Fonti & Auld LLP, Wheeler Trigg O'Donnell LLP and The Schall Law Firm will receive over $6 million after representing investors in a settlement with precious metals company Gatos Silver Inc. over claims the company knowingly overstated expectations about the resources and reserves in its mine in Mexico.
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October 16, 2024
H2-A Workers Allegedly Forced To Work In Potato Warehouses
Three Mexican citizens filed a proposed collective action in Colorado federal court Tuesday alleging a company lured them to work in the U.S. under guest worker visas with false promises, then trafficked them into forced labor in Colorado potato warehouses.
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October 16, 2024
County Asks Judge To Let State Court Handle Detention Issue
An Indiana county asked a federal court on Tuesday to refrain from hearing immigrant detainees' claims that it violated a duty to "take care" of them, saying the question involves complex local issues that should be resolved by a state court.
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October 16, 2024
Atty Pressed On DMI Stock Drop Focus In Del. Merger Suit
A Delaware vice chancellor repeatedly pressed an attorney for shareholders of 3D printer manufacturer The ExOne Co. Wednesday on the relative importance of a stock drop experienced by acquirer Desktop Metal Inc. before and after shareholders voted on a $575 million merger.
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October 16, 2024
Feds Say EPA Not Responsible For Flint Water Crisis
The U.S. Environmental Protection Agency on Wednesday sought to shake claims from Flint, Michigan, residents alleging the agency did not properly respond to the water crisis, telling a Michigan federal judge it had no part in switching the town's water source or corrosion control efforts.
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October 16, 2024
Banks Ditch Exchange's Boycott Conspiracy Suit At 2nd Circ.
The Second Circuit on Wednesday rejected a small trading exchange's effort to revive its claims that several major banks conspired to shut it out of the credit default swap market, saying the exchange failed to plausibly allege that the banks' conduct was the result of an unlawful agreement or conspiracy.
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October 16, 2024
CenturyLink Seeks Erasure Of $140M Class Verdict
CenturyLink is asking for a new trial after a jury ordered it to pay more than $140 million for illegally running credit reports on customers looking for internet service on its website, telling an Arizona federal judge that no evidence from the case suggested that the company willfully violated the law.
Expert Analysis
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Microplastics At The Crossroads Of Regulation And Litigation
Though there are currently not many federal regulations specifically addressing microplastics as pollutants, regulatory scrutiny and lawsuits asserting consumer protection claims are both on the rise, and manufacturers should take proactive steps to implement preventive measures accordingly, say Aliza Karetnick and Franco Corrado at Morgan Lewis.
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Opinion
Time To Fix NYC's Broken Property Assessment System
A New York appellate court's decision to revive Tax Equity Now New York v. City of New York may force the city to revamp its outdated and unfair real estate tax assessment system, which could be fixed with a couple of simple changes, says Seth Feldman at Romer Debbas.
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Tylenol MDL Highlights Expert Admissibility Headaches
A New York federal court's decision to exclude all plaintiff experts in a multidistrict litigation concerning prenatal exposure to Tylenol highlights a number of expert testimony pitfalls that parties should avoid in product liability and mass tort matters, say Rand Brothers and Courtney Block at Winston & Strawn.
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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.
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10b-5 Litigation Questions Follow Justices' Macquarie Ruling
Last month, the U.S. Supreme Court held in Macquarie v. Moab that pure omissions are not actionable under U.S. Securities and Exchange Commission Rule 10b–5(b), creating a slightly higher bar for plaintiffs and setting the stage for further litigation over several issues, say Steve Quinlivan and Sean Colligan at Stinson.
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Series
Walking With My Dog Makes Me A Better Lawyer
Thanks to my dog Birdie, I've learned that carving out an activity different from the practice of law — like daily outdoor walks that allow you to interact with new people — can contribute to professional success by boosting creativity and mental acuity, as well as expanding your social network, says Sarah Petrie at the Massachusetts Attorney General’s Office.
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Birkin Bag Case Carries Competition Lessons For Retailers
A recently proposed antitrust class action alleging that Hermès violated federal and California law when selling its iconic Birkin and Kelly handbags highlights some issues that other brands and retailers should consider, particularly given a prevailing landscape that seems to prioritize antitrust scrutiny, say attorneys at Holland & Knight.
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Think Like A Lawyer: Follow The Iron Rule Of Trial Logic
Many diligent and eager attorneys include every good fact, point and rule in their trial narratives — spurred by the gnawing fear they’ll be second-guessed for leaving something out — but this approach ignores a fundamental principle of successful trial lawyering, says Luke Andrews at Poole Huffman.
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Circuit Split Brews Over Who's A Securities Seller Under Act
A Securities Act section that creates private liability for the sale of an unregistered security is rapidly becoming a favored statute for plaintiffs to wield against participants in both the digital asset and traditional securities markets, but the circuit courts have diverged on who may be held liable for these violations, say Jeffrey L. Steinfeld and Daniel Aronsohn at Winston & Strawn.
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The Art Of Asking: Leveraging Your Contacts For Referrals
Though attorneys may hesitate to ask for referral recommendations to generate new business, research shows that people want to help others they know, like and trust, so consider who in your network you should approach and how to make the ask, says Rebecca Hnatowski at Edwards Advisory.
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Exploring A New Era Of IP Law Amid The Rise Of Generative AI
Attorneys at Hogan Lovells explore the effects of generative artificial intelligence in three areas of intellectual property, recent updates and emerging trends, and its significance on the IP landscape now and moving forward.
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Class Actions At The Circuit Courts: April Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy discusses three notable circuit court decisions on topics from the Class Action Fairness Act to consumer fraud — and provides key takeaways for counsel on issues including CAFA’s local controversy exception and Article III standing to seek injunctive relief.
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'Beauty From Within' Trend Poses Regulatory Risks For Cos.
Companies capitalizing on the current trend in oral supplements touting cosmetic benefits must note that a product claim that would be acceptable for an externally applied cosmetic may draw much stronger scrutiny from the U.S. Food and Drug Administration when applied to a supplement, say Natalie Rainer and Katherine Staba at K&L Gates.
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9th Circ. Arbitration Ruling Could Have Int'l Implications
In Patrick v. Running Warehouse, the Ninth Circuit's recent matter-of-fact invocation of an unusual California rule in a domestic arbitration context raises choice of law questions, and could make California law a strategic option for some international arbitration parties, says Jerry Roth at FedArb.
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Chancery's Carvana Suit Toss Shows Special Committee Value
The Delaware Chancery Court’s recent dismissal of a stockholder complaint against Carvana illustrates how special litigation committees can be a powerful tool for boards to regain control after litigation alleging a breach of fiduciary duty, say attorneys at Morgan Lewis.