Class Action

  • September 24, 2024

    Norfolk Southern Says Stock Drop Suit Based On 'Hindsight'

    Norfolk Southern Corp. is urging a Georgia federal court to throw out a proposed class action alleging it duped stockholders by misleading them about the safety of its operations, leading to a stock drop after last year's derailment in East Palestine, Ohio, saying the claims are a bid to capitalize in hindsight on the crash.

  • September 24, 2024

    RTX Denies Securities Fraud In Engine Crack Class Action

    RTX Corp. faced significant challenges and spent billions of dollars after a subsidiary's jet engines developed "microcracks," but it did not commit securities fraud by lying or withholding relevant information from investors, the aerospace giant said in seeking dismissal of a class action from Connecticut federal court.

  • September 24, 2024

    EMS Workers Get Class Status In Sex, Race Pay Gap Suit

    A New York federal judge approved on Tuesday emergency medical services workers to proceed as a class in their lawsuit alleging New York City paid them less in relation to their almost exclusively white, male counterparts at the fire department, despite differences in rank and responsibility.

  • September 24, 2024

    Conn. Judge Sends Law Firm's Trade Secrets Case To Fla.

    A Connecticut boutique law firm must go to Florida if it wants to continue pursuing its trade secrets case against a consultant it accused of making off with some of its confidential information because the Constitution State is an improper venue, a federal judge has ruled.

  • September 24, 2024

    2nd Circ. Partly Revives Suit Over $18.5B Telehealth Deal

    The Second Circuit on Tuesday partially revived a suit against telehealth company Teladoc Health Inc. brought by investors who claim they were misled about the status of its integration with Livongo following their $18.5 billion merger.

  • September 24, 2024

    1st Circ. Sides With Wynn Casino Over Voucher Payouts

    The First Circuit affirmed a lower court's decision tossing a proposed class action over Wynn Resorts Encore Boston Harbor casino's use of vouchers instead of coins to pay out winnings under $1.

  • September 23, 2024

    Nike, Others Let TikTok 'Fingerprint' Sites, Suits Claim

    Nike, its subsidiary Converse and telehealth company Teladoc were each hit with proposed class actions on Friday in California federal court over allegations that they violated the state's "trap and trace" law by using TikTok software to collect personal data from visitors to their websites.

  • September 23, 2024

    Credit Suisse Can't Ditch Investor Fraud Suit, But PwC Can

    A New York federal judge has declined to fully dismiss a proposed class action alleging Credit Suisse misled investors about its condition in the run-up to its collapse and takeover by UBS, ruling that a narrow part of the litigation can proceed while much of it — including claims against PwC — must go.

  • September 23, 2024

    Lowe's Customer Fights Arbitration Bid In 'Made In USA' Suit

    A Lowe's customer opposed the retailer's bid to cut down his proposed class action accusing the company of falsely advertising its safety gloves as U.S. made, telling a Michigan federal court Lowe's has no grounds to send his claims to individual arbitration or relocate the dispute to North Carolina.

  • September 23, 2024

    John Paul Mitchell Beats Dry Shampoo Benzene Suit, For Now

    An Illinois federal judge ruled Monday a putative consumer class action claiming a Paul Mitchell dry shampoo contains cancer-causing benzene didn't sufficiently show an "injury-in-fact" to warrant damages or even that the product contained the carcinogen, but gave the consumers a chance to amend their complaint.

  • September 23, 2024

    Mallinckrodt Brass Can't Avoid Investor Suit Over 2nd Ch. 11

    A New Jersey federal judge ruled Monday that senior leaders of drugmaker Mallinckrodt cannot escape a lawsuit brought by shareholders alleging the company tricked them into thinking it had recovered from bankruptcy and would make a $200 million payment to opioid claimants, finding the investors sufficiently pleaded securities law violations.

  • September 23, 2024

    Petco, Shareholders Battle In Chancery Over Controller Clout

    Attorneys for Petco Health & Wellness Co. Inc. face an "uphill battle" in branding as "wrongly decided" a landmark Court of Chancery ruling earlier this year that struck down an agreement giving a company's controlling stockholder board-trumping power, Delaware's chancellor cautioned on Monday.

  • September 23, 2024

    'Bluey,' 'Paw Patrol' App Maker Sued Over 'Stealth Marketing'

    A proposed class of parents is suing Budge Studios Inc., the maker of licensed phone and tablet applications for children's cartoons such as "Bluey" and "Paw Patrol," alleging that the company used predatory "stealth marketing" and "dark patterns" to entice children into getting their parents to pay for monthly subscriptions and in-app purchases.

  • September 23, 2024

    Toyota Accused Of 'Rotten' Forklift Emissions Compliance

    Toyota has been misrepresenting the true emissions levels of the engines in its forklifts and construction machinery, leading businesses to believe the engines were far more environmentally friendly than they actually were, according to a proposed class action filed in California federal court.

  • September 23, 2024

    Court Sinks Antitrust Claims Against Suns Owner

    A Florida federal court adopted the recommendations of a magistrate judge and tossed a mortgage broker's antitrust case against the owner of the NBA's Phoenix Suns and his company, United Wholesale Mortgage, over an alleged boycott.

  • September 23, 2024

    Wash. Agency No Longer Seeking Names In 3M Earplug Case

    The Washington state agency that handles child support claims seems no longer interested in seeking information on service members who are expected to receive payments from the 6 billion settlement from 3M Co. over injuries stemming from its Combat Arms Earplugs.

  • September 23, 2024

    NCAA Gets HBCU Race Bias Suit Tossed, For Now

    An Indiana federal judge has granted the NCAA's motion to dismiss a lawsuit from a basketball player who claims the organization's academic program is discriminatory, but left the door open for an amended complaint.

  • September 23, 2024

    Fired Sotera Exec's Vesting Suit Goes Forward In Del.

    Delaware's Court of Chancery dismissed on Monday some claims in a former Sotera Health Co. executive's suit accusing the lab-testing and sterilization firm of wrongly refusing to grant him severance benefits and equity awards worth millions, while holding other claims for trial.

  • September 23, 2024

    Vanguard Agrees To Settle Investors' Tax Liability Suit

    Vanguard agreed to settle a proposed class action by investors who accused the company of violating its fiduciary duties when it triggered a sell-off of assets that left them with massive tax bills, according to a Pennsylvania federal court order Monday.

  • September 23, 2024

    Edelson, Susman, Berger To Lead MultiPlan Collusion MDL

    An Illinois federal judge on Monday tapped a team of lawyers from Edelson PC, Susman Godfrey LLP and Berger Montague PC to take the lead for plaintiffs in multidistrict litigation accusing MultiPlan and a host of insurers of colluding through the use of the data firm's pricing tools to systematically underpay out-of-network providers.

  • September 23, 2024

    Auto AI Co.'s $30M Settlement With Investors Gets Initial Nod

    An automotive software company's $30 million settlement to end an investor fraud class action won initial approval from a Boston federal judge on Monday.

  • September 23, 2024

    Class Gets Cert In Suit Over Dave's Killer Bread Protein Claims

    A California federal judge on Friday granted class certification to a group of consumers alleging that Dave's Killer Bread and Flowers Foods violated U.S. Food and Drug Administration labeling regulations by leaving out required protein content information, finding that the consumers had standing.

  • September 23, 2024

    Ford Investor Claims Automaker's Execs Hid Warranty Costs

    Directors and executives of Ford Motor Co. have been hit with a shareholder derivative suit alleging they covered up problems with the company's quality assurance procedures and made misleading statements about how much money was in warranty reserves, leading the company to overpay about $115 million when it bought back its own stock at artificially inflated prices.

  • September 23, 2024

    Frontier Must Face 401(k) Suit Over Verizon Investments

    Frontier Communications Corp. can't dodge a proposed class action alleging its employee 401(k) plan was overinvested in Verizon Wireless and other telecommunications stocks, a Connecticut federal judge ruled, saying the existence of other investment options in the plan couldn't defeat the case.

  • September 23, 2024

    Cargo Airliner ESOP Participants Seek OK On $14.5M Deal

    Western Global Airlines and its investment manager will pay $14.5 million to end a proposed class action from two pilots for the cargo airliner alleging the company's employee stock ownership plan was mishandled, according to filings in Delaware federal court.

Expert Analysis

  • Series

    Being An Equestrian Makes Me A Better Lawyer

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    Beyond getting experience thinking on my feet and tackling stressful situations, the skills I've gained from horseback riding have considerable overlap with the skills used to practice law, particularly in terms of team building, continuing education, and making an effort to reset and recharge, says Kerry Irwin at Moore & Van Allen.

  • 7th Circ. Mootness Fee Case May Curb Frivolous Merger Suits

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    On April 15, the Seventh Circuit in Jorge Alcarez v. Akorn Inc. mapped out a framework for courts to consider mootness fees paid to individual shareholders after the voluntary dismissal of a challenge to a public company merger, which could encourage objections to mootness fees and reduce the number of frivolous merger challenges filed, say attorneys at Skadden.

  • 4 Ways To Refresh Your Law Firm's Marketing Strategy

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    With many BigLaw firms relying on an increasingly obsolete marketing approach that prioritizes stiff professionalism over authentic connection, adopting a few key communications strategies to better connect with today's clients and prospects can make all the difference, say Eric Pacifici and Kevin Henderson at SMB Law.

  • 9th Circ. Ruling Puts Teeth Into Mental Health Parity Claims

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    In its recent finding that UnitedHealth applied an excessively strict review process for substance use disorder treatment claims, the Ninth Circuit provided guidance on how to plead a Mental Health Parity and Addiction Equity Act violation and took a step toward achieving mental health parity in healthcare, says Mark DeBofsky at DeBofsky Law.

  • Using Rule 23(f) To Review Class Certification Orders

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    Since plaintiffs on average are prevailing in certifying a class more often than not, the best-positioned class action defendants are those prepared to pursue relief under Rule 23(f) well before the district court issues its certification decision, say attorneys at K&L Gates.

  • The Practical Effects Of Justices' Arbitration Exemption Ruling

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    The U.S. Supreme Court's recent decision in Bissonnette v. LePage Bakeries, that a transportation worker need not work in the transportation industry to be exempt from the Federal Arbitration Act, may negatively affect employers' efforts to mitigate class action risk via arbitration agreement enforcement, say Charles Schoenwetter and Eric Olson at Bowman and Brooke.

  • Binance Ruling Spotlights Muddled Post-Morrison Landscape

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    The Second Circuit's recent decision in Williams v. Binance highlights the judiciary's struggle to apply the U.S. Supreme Court's Morrison v. National Australia Bank ruling to digital assets, and illustrates how Morrison's territorial limits on the federal securities laws have become convoluted, say Andrew Rhys Davies and Jessica Lewis at WilmerHale.

  • 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.

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