Class Action

  • June 18, 2024

    BDO's $2.25M Deal Ending 401(k) Suit Gets Final OK

    An Illinois federal judge on Monday gave his final sign-off to a $2.25 million settlement accounting firm BDO agreed to pay to resolve a suit alleging the company failed to verify that retirement plan funds in an employee 401(k) were evaluated properly.

  • June 17, 2024

    NFL Commish Goodell Takes Stand To Deny TV Price Controls

    NFL Commissioner Roger Goodell testified Monday in front of a California federal jury considering multibillion-dollar antitrust claims against the league that the NFL does not control the price of DirecTV's Sunday Ticket with any secret deals, insisting instead that the broadcast strategy is shouted "from the mountaintops."

  • June 17, 2024

    PennyMac 'Shocked' Investors With Post-Libor Fix, Suit Says

    PennyMac's mortgage investment arm has been hit in California federal court with a proposed class action accusing it of using last year's discontinuation of Libor to unfairly and unlawfully lock in a lower dividend for some of its preferred stock, stiffing investors out of millions.

  • June 17, 2024

    BNSF's $75M BIPA Deal With Truckers Nears Final OK

    A $75 million biometric privacy settlement between BNSF Railway Co. and a class of truck drivers who challenged the railroad's gate-access practices neared final approval Monday, resolving litigation that had been pending in Illinois' state and federal courts.

  • June 17, 2024

    USC Allegedly Used 'Junk Science' On Black Kidney Patients

    The University of Southern California secretly has been using a "junk science" scoring formula that hurts Black patients' eligibility to receive kidney transplants, according to a putative class action in California federal court.

  • June 17, 2024

    9th Circ. Says Facebook 'Face Signatures' Not Subject To BIPA

    The Ninth Circuit sided with Meta Platforms on Monday by declining to revive an Illinois resident's proposed class action accusing Facebook of breaking the state's Biometric Information Privacy Act, ruling that the "face signature" at issue isn't protected by the law because it cannot be used to identify someone.

  • June 17, 2024

    Tesla Says Texas Charter, Musk Pay Have Impact In Delaware

    Pointing to recent Tesla stockholder votes to reincorporate in Texas and approve a mammoth Elon Musk pay package voided in Delaware, an attorney for Tesla has asked the Court of Chancery to reconsider holding a July 8 hearing on a proposed multibillion fee for class attorneys who won the Musk salary put-down.

  • June 17, 2024

    Third Pa. Uber Trial Unlikely As Deadlock Again Looms

    With a second deadlocked jury appearing imminent in the Philadelphia UberBlack employment classification trial, a Pennsylvania federal judge on Monday told attorneys he was skeptical a third trial is on the way to resolve the case.

  • June 17, 2024

    Wash. Property Manager Hit With Suit Over Extra Fee

    A proposed class of former tenants accused a Bellevue, Washington, property management company of violating state law by charging a $100 security deposit disposition fee when tenants move out.

  • June 17, 2024

    Drugmaker, PE Investor Sued In Del. Over 'Unfair' Deal Terms

    Clinical-stage biotechnology firm Omega Therapeutics' board entered into an "unfair" agreement to develop a new drug with the company's controlling private equity stockholder that was heavily tilted in favor of the majority equity holder and Omega insiders, an investor alleged in a lawsuit in Delaware's Chancery Court.

  • June 17, 2024

    Chrysler MDL Class Can Fix 'Puzzling' State Claim Skip

    A Michigan federal judge has said he will give a class of drivers alleging Chrysler minivans have a defect that causes their batteries to explode unexpectedly an opportunity to fix their "puzzling" choice not to plead state-by-state claims in the first master complaint of the sprawling multidistrict litigation.

  • June 17, 2024

    FTX, Customers Lay Claim To SBF's $11B Forfeiture Tab

    FTX told the New York federal court that hit the company's founder Sam Bankman-Fried with a 25-year prison sentence and an $11 billion forfeiture order that the now-defunct cryptocurrency exchange has a right to those funds, while a group of its former clients asserted a similar claim for itself.

  • June 17, 2024

    Catching Up With Delaware's Chancery Court

    Proposed amendments to Delaware's General Corporation Law that were prompted by several recent Chancery Court rulings sailed through the state Senate last week despite loud opposition from corporate law professors and other Chancery Court watchers, and Tesla shareholders filed two new suits against CEO Elon Musk. 

  • June 17, 2024

    Talc Claimants Want Documents In Fight Over J&J Unit Venue

    Cancer patients with talc damage claims against Johnson & Johnson have urged a New Jersey federal court to give them access to transcripts and exhibits from depositions of top executives at the company's talc unit, saying the information will aid their effort to bar the J&J spinoff from filing a third Chapter 11 outside the Garden State.

  • June 17, 2024

    High Court Will Mull Proof Needed For Wage-Hour Carveout

    The U.S. Supreme Court said Monday it will hear a wage and hour case from a supermarket distributor, teeing up an opportunity for the justices to articulate the standard by which an employer must demonstrate workers are exempt from overtime.

  • June 17, 2024

    Justices To Hear Nvidia Case On Securities Pleading Standard

    The U.S. Supreme Court on Monday agreed to hear an appeal of a Ninth Circuit ruling that revived investors' claims over chipmaker Nvidia's crypto mining sales, giving the high court a chance to weigh in on the pleading requirements needed to sustain a shareholder class action.

  • June 14, 2024

    Electronics Cos. Fight 'Drastic' $2B Price-Fixing Default

    Irico Group and a subsidiary on Thursday opposed a special masters report recommending the Chinese electronics companies should be on the hook for over $2 billion in default judgment in litigation alleging they participated in a cathode ray tube price-fixing conspiracy, telling a California federal court the remedy is "drastic" and unwarranted.

  • June 14, 2024

    Global Payments Inks $3.6M Deal Over Fee Disclosure Fallout

    Atlanta-based payment tech company Global Payments Inc. has agreed to pay $3.6 million as part of a deal to resolve a proposed investor class action tied to allegations that its summer camp payment processor subsidiary allegedly "tricked" consumers into signing up for a program that had fees it didn't properly disclose.

  • June 14, 2024

    Amazon Sued For Locking Up Audiobooks, Charging Up To 75%

    A romance novelist challenged Amazon.com Inc.'s control of up to 80% of the U.S. audiobook market Thursday in a Washington federal court proposed class action accusing the retail giant of using exclusivity restrictions to lock in independent authors, extracting up to 75% of the sales price on Audible.

  • June 14, 2024

    'Cockamamie' Live Nation Arbitration Rules Perplex 9th Circ.

    An attorney for Live Nation Entertainment Inc. argued to skeptical Ninth Circuit judges on Friday that a California district judge was wrong to remove ticket buyers' antitrust class claims from arbitration by finding the arbitration agreements unconscionable, with one judge calling the language in the agreements "drafting malpractice," "cockamamie" and "just nuts."

  • June 14, 2024

    Potato Co.'s Software Rollout Fried Its Revenue, Suit Says

    Potato product manufacturer Lamb Weston has been hit with a proposed shareholder class action in Idaho federal court alleging that it concealed from investors information about the botched implementation of software that had been intended to improve the efficiency of the company's operations but ended up costing the company millions in lost sales.

  • June 14, 2024

    Elon Musk's Court Cases Remain A Live Issue In Delaware

    Delaware's courts will continue to assert control over a multibillion-dollar Tesla Inc. legal fee dispute despite the company's rushed effort to reincorporate in Texas and potentially put CEO Elon Musk's massive, multiyear compensation plan beyond the state's reach, those familiar with the case said Friday.

  • June 14, 2024

    9th Circ. Revives Union Pacific Workers' Disability Bias Suits

    The Ninth Circuit on Friday reversed Union Pacific Railroad's wins in three worker disability discrimination lawsuits involving plaintiffs with color-vision concerns, saying the lower court incorrectly determined that their individual claims were time-barred after an Eighth Circuit decision decertifying a thousands-strong class in similar litigation against the company.

  • June 14, 2024

    Chinese Delivery Co. To Settle IPO Class Action For $4.9M

    Chinese grocery vendor Missfresh Ltd. has agreed to settle an investor class action accusing it of making several misleading statements in the months leading up to its initial public offering, including in regulatory filings and to the media, for $4.9 million.

  • June 14, 2024

    Ga. Woman Wants 'Illegal' Online Gambling Suit In State Court

    A Georgia woman wants her suit accusing an online operator of hosting illegal gambling on sites disguised as game arcades sent back to state court, arguing she cannot verify without discovery whether the case meets the $5 million, 100-member class threshold required for federal cases.

Expert Analysis

  • Del. Match.com Ruling Maintains Precedent In Time Of Change

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    Despite speculation that the Delaware Supreme Court could drive away corporations if it lowered the bar for business judgment review in its Match.com stockholder ruling, the court broke its recent run of controversial precedent-busting decisions by upholding, and arguably strengthening, minority stockholder protections against controller coercion, say Renee Zaytsev and Marc Ayala at Boies Schiller.

  • The Future Of BIPA Insurance Litigation After Visual Pak

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    A recent Illinois appellate court decision, National Fire Insurance v. Visual Pak, may have altered the future of insurance litigation under the state's Biometric Information Privacy Act by diametrically opposing a prominent Seventh Circuit ruling that found insurance coverage for violations of the act, say attorneys at Jenner & Block.

  • Macquarie Ruling Raises The Bar For Securities Fraud Claims

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    The U.S. Supreme Court's decision last week in Macquarie Infrastructure v. Moab Partners — holding that a U.S. Securities and Exchange Commission rule does not forbid omissions in company disclosures unless they render other statements false — is a major setback for plaintiffs pursuing securities fraud claims against corporations, say attorneys at Skadden.

  • Series

    Whitewater Kayaking Makes Me A Better Lawyer

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    Whether it's seeing clients and their issues from a new perspective, or staying nimble in a moment of intense challenge, the lessons learned from whitewater kayaking transcend the rapids of a river and prepare attorneys for the courtroom and beyond, says Matthew Kent at Alston & Bird.

  • Del. Lessons For Director-Nominees On Sharing With Activists

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    The Delaware Chancery Court's recent decision in Icahn Partners v. deSouza finding that a director wasn't permitted to share certain privileged information with the activist stockholders that nominated him shows the need for companies to consider imposing appropriate confidentiality requirements on directors, say attorneys at Sullivan & Cromwell.

  • This Earth Day, Consider How Your Firm Can Go Greener

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    As Earth Day approaches, law firms and attorneys should consider adopting more sustainable practices to reduce their carbon footprint — from minimizing single-use plastics to purchasing carbon offsets for air travel — which ultimately can also reduce costs for clients, say M’Lynn Phillips and Lisa Walters at IMS Legal Strategies.

  • Oracle Ruling Underscores Trend Of Mootness Fee Denials

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    The Delaware Chancery Court’s recent refusal to make tech giant Oracle shoulder $5 million of plaintiff shareholders' attorney fees illustrates a trend of courts raising the standard for granting the mootness fee awards once ubiquitous in post-merger derivative disputes, say attorneys at Troutman Pepper.

  • Cos. Should Mind Website Tech As CIPA Suits Keep Piling Up

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    Businesses should continue evaluating their use of website technologies and other data-gathering software and review the disclosures in their privacy policies, amid an increase so far in 2024 of class actions alleging violations of the California Invasion of Privacy Act's pen register and trap-and-trace provisions, say attorneys at Sheppard Mullin.

  • Questions Persist After Ruling Skirts $925M TCPA Award Issue

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    After an Oregon federal court's recent Wakefield v. ViSalus ruling that the doctrine of constitutional avoidance precluded it from deciding whether a $925 million Telephone Consumer Protection Act damages award was constitutionally sound, further guidance is needed on when statutory damages violate due process, says Michael Klotz at O'Melveny.

  • Benzene Contamination Concerns: Drugmakers' Next Steps

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    After a citizen petition to the U.S. Food and Drug Administration and a flurry of class actions over benzene contamination in benzoyl peroxide acne products, affected manufacturers should consider a thoughtful approach that includes assembling internal data and possibly contacting the FDA for product-specific discussions, say attorneys at Morgan Lewis.

  • Opinion

    States Should Follow Federal Lead On Expert Evidence Rules

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    The recently amended Federal Rule of Evidence 702 will help ensure expert testimony in federal courts reflects adequate data and reliable methods properly applied to a given case, and state courts — home to the overwhelming majority of U.S. litigation — should adopt similar changes, says retired attorney Michael Harrington.

  • Opinion

    Post-Moelis Del. Corp. Law Proposal Would Hurt Stockholders

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    The proposed Delaware General Corporation Law amendment in response to the Court of Chancery's recent opinion in West Palm Beach Firefighters' Pension Fund v. Moelis would upend the foundational principle of corporate law holding that directors govern corporations in the interest of stockholders — and the potential harm would be substantial, say attorneys at Block & Leviton.

  • Back Labels In False Ad Cases Get Some Clarity In 9th Circ.

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    Courts in the Ninth Circuit have recently delivered a series of wins to advertisers, making clear that any ambiguity on the front of a product's package can be resolved by reference to the back label — which guarantees defendants a powerful tool to combat deceptive labeling claims, say attorneys at Patterson Belknap.

  • Opinion

    Federal MDL Rule Benefits From Public Comments

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    The new Federal Rule of Civil Procedure concerning multidistrict litigation that was approved this week by the Advisory Committee on Civil Rules incorporates ideas from public comments that will aid both plaintiffs and defense attorneys — and if ultimately adopted, the rule should promote efficient, merits-driven MDL case management, say Robert Johnston and Gary Feldon at Hollingsworth.

  • Tips For Orgs Defending Against Daniel's Law Claims

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    With Daniel's Law recently amended to require courts to award statutorily defined damages to aggrieved parties, organizations should identify whether they are subject to the law and ensure they have implemented a comprehensive compliance program to better avoid litigation costs and reputational harm, say attorneys at Thompson Hine.

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