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Class Action
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December 03, 2024
Wheeling & Appealing: The Latest Must-Know Appellate Action
December's appellate forecast calls for a squall of showdowns in a tiny time period before the holidays, including arguments involving recent U.S. Supreme Court cases, Big Tech's patents and popular purveyors of health food. In addition, winds of change are swirling around the White House's litigation posture and judicial nominations, and we'll quiz you on the latter in this edition of Wheeling & Appealing.
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December 03, 2024
OpenAI Must Disclose Execs' Messages To News Orgs.
The New York Times, Daily News, other news organizations and writers can gain access to the social media messages of executives at OpenAI in their litigation accusing the company of using copyright-protected material to train ChatGPT after a New York judge rejected efforts to block the disclosure of the messages.
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December 03, 2024
AmEx Loses Arbitration Bid Due To 'Ironic' Unpaid $17M Bill
A Rhode Island federal judge on Monday rejected sending a proposed antitrust class action over American Express Co.'s swipe-fee rules back to arbitration after the company refused to pay arbitration fees totaling $17 million, observing that AmEx's actions created its own "ironic dilemma: a credit card company not paying its bills."
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December 03, 2024
Mattel's 'Wicked' Doll Boxes Linked To Porn Site, Mom Says
Mattel was hit with a proposed class action Tuesday in California federal court by a mother who alleged she bought the toy giant's line of "Wicked" dolls based on the film for her young daughter, only to find out afterward the packaging featured a hyperlink leading to a pornographic website.
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December 03, 2024
Walgreens Settles Call Center Workers' Unpaid OT Suit
An Illinois federal judge signed off Tuesday on a $460,000 agreement to settle a nationwide collective action of Walgreens call center workers who claimed they were unlawfully required to perform unpaid work before and after their shifts.
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December 03, 2024
Attys For Sears Ex-CEO, Appraisal Camp Clash In Chancery
A lawyer for Sears Hometown and Outlet Stores' former top fiduciary told a Delaware vice chancellor on Tuesday that case law does not support carving out stockholder proceeds from a fiduciary breach settlement in order to pay shareholders whose separate appraisal lawsuit was foiled by SHOS' bankruptcy.
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December 03, 2024
Robotics Co. Hit With Investor Suit Over Accounting Errors
Investors in supply chain automation company Symbotic on Tuesday accused executives of hiding faulty accounting processes, prompting financial reporting errors that tanked the company's stock when the issues came to light.
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December 03, 2024
Judge Trims Fraud Claims From Mead Johnson Formula Suit
An Illinois federal judge on Monday partially granted a bid by Mead Johnson to toss a class action alleging at least seven types of infant formula it sold contained undisclosed heavy metals, throwing out some warranty and fraud claims and claims related to products the lead plaintiff didn't purchase, but allowing the rest of the complaint to move forward.
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December 03, 2024
Ill. Panel Relieves Liberty Mutual Units Of BIPA Coverage
An Illinois state appeals court held that two Liberty Mutual units didn't owe coverage to a policyholder for an underlying class action alleging violations of the state's Biometric Information Privacy Act, reversing a lower court's decision surrounding the interpretation of a recording and distribution exclusion.
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December 03, 2024
Fla. Court Urged To OK 'Offensive' $645K Deal In Firm's Ch. 11
A law firm debtor urged a Florida bankruptcy court Tuesday to approve a $645,000 settlement in its Chapter 11 to resolve a proposed fraudulent misrepresentation class action in state court against a former Miami insurance attorney, who called the potential deal "offensive" and said it's possible he'll be sued again.
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December 03, 2024
Kimberly-Clark Strikes $2.25M Deal To End 401(k) Fee Suit
Consumer goods company Kimberly-Clark Corp. has agreed to pay $2.25 million to resolve a proposed class action claiming it loaded its $4 billion 401(k) plan with excessive recordkeeping costs, workers leading the suit told a Texas federal court.
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December 03, 2024
Tech Giants Seek Firm's Communications With Elusive Client
Apple and Amazon want Hagens Berman Sobol Shapiro LLP to turn over texts and emails with a client who disappeared from a putative class action against the tech giants, to determine whether the plaintiff consented to the case continuing in his absence.
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December 03, 2024
Judge Suspects Citigroup 401(k) Suit May Unnerve Fiduciaries
Allowing discovery in a proposed class action over allegedly imprudent investments in Citigroup Inc.'s employee 401(k) plan may signal to fiduciaries that their decisions are subject to judicial second-guessing, a Hartford federal judge observed Tuesday amid oral argument on the company's motion to dismiss.
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December 03, 2024
Feds Urge Justices To Revive Cornell Workers' ERISA Fight
The federal government urged the U.S. Supreme Court to reverse dismissal of a proposed class action alleging Cornell University mismanaged employees' retirement plans, backing Cornell workers' argument that the Second Circuit misapplied the standard for pleading a prohibited transaction claim when it upheld an end to the case.
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December 03, 2024
GardaWorld Aims To Toss Tobacco, Vaccine Surcharge Suit
Security company GardaWorld urged a North Carolina federal judge to toss a proposed class action claiming it discriminated against tobacco users and those who refused the COVID-19 vaccine by charging them a monthly fee in its health insurance plan, arguing that the fees comply with federal benefits law.
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December 02, 2024
Girardi Won't Get New Fraud Trial Despite Memory Claims
A California federal judge on Monday denied Tom Girardi's bid for a new trial after a jury found he misappropriated $15 million worth of client settlement funds, standing by a prior assessment that the disbarred attorney was "exaggerating" symptoms of mild cognitive impairment.
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December 02, 2024
Google Can't Yet Appeal Ruling Preserving Kids Tracking Suit
A California federal judge on Monday declined to let Google immediately appeal his earlier ruling leaving intact allegations the search giant surreptitiously tracks children's web activity, finding Google hasn't shown that the issues underlying that ruling warrant an appeal at this stage in the litigation.
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December 02, 2024
Investor Alleges Medical Device Co. Misled On FDA Clearance
The executives and directors of dialysis equipment company Outset Medical Inc. have been hit with a shareholder derivative suit in California federal court alleging they allowed the company to market its product without proper clearance from the U.S. Food and Drug Administration.
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December 02, 2024
Judge OKs Fla. Law Firm's $229K Fee In Chiquita MDL
A Florida federal judge on Monday approved a fee of more than $229,000 to a law firm for its work in reaching a settlement in the long-running multidistrict litigation over Chiquita Brands International Inc.'s funding of Colombian paramilitaries following a recommendation from a magistrate.
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December 02, 2024
Bank, Payment Processor Look To Sink Chargeback Fee Suit
Esquire Bank NA and a payment processor it sponsors have asked a New York federal judge to toss all but one of an online merchant's proposed class action claims over a fee provision in their contract, arguing as a mediation date looms that most of the merchant's claims are either duplicative or inapplicable.
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December 02, 2024
Chancery OKs Pruned $2.3M Fee For Info Tech Co. Suit
A Delaware vice chancellor on Monday cut $1.7 million from a $4 million fee sought by attorneys whose suit overturned corporate governance concessions that information technology company N-able Inc. granted to its lead investors, citing partial overlaps with an earlier, high-profile case.
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December 02, 2024
Red Cross Says 401(k) Suit Lacks Proof Of Mismanagement
The American National Red Cross urged a D.C. federal judge Monday to toss a suit claiming it hindered its retirement plan with steep fees and underperforming funds, arguing that the group of workers behind the proposed class action hasn't put forward proof of imprudent management.
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December 02, 2024
Chancery OKs $21M Deal To End Gene Co. Class Suit
A $21 million settlement of stockholder challenges to a blank check company's take-public merger with clinical data and genomics company Sema4 Holdings in July 2021 won Delaware Court of Chancery approval Monday, with nearly $4.1 million carved out for attorney fees.
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December 02, 2024
GoodRx Inks $25M Deal With Users Over Alleged Data-Sharing
A proposed class alleging GoodRx breached privacy laws by sharing users' sensitive health data with advertisers asked a California federal judge Friday for preliminary approval of a proposed $25 million settlement with the company, saying it still leaves the potential for additional recoveries from co-defendants Meta Platforms, Google and Criteo Corp.
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December 02, 2024
Apple, Google Hit With Class Claims Over Casino Apps
Apple Inc., Google LLC and several online casino companies are operating an illegal gambling enterprise through "sweepstakes casino" apps and websites, in violation of New Jersey gaming laws, consumer protection statutes and federal racketeering laws, according to proposed class claims.
Expert Analysis
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3 Ways To Train Junior Lawyers In 30 Minutes Or Less
Today’s junior lawyers are experiencing a skills gap due to pandemic-era disruptions, but firms can help bring them up to speed by offering high-impact skill building content in bite-sized, interactive training sessions, say Stacey Schwartz at Katten, Diane Costigan at Winston & Strawn and Lauren Tierney at Freshfields.
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What Cos. Can Learn from Water Microplastics Class Actions
Class actions against companies whose bottled spring water allegedly contains microplastics, challenging claims such as "natural" and "100% spring water," seem to be drying up — but these cases serve as a good reminder to other businesses to review regulatory standards, and carefully vet plaintiff allegations at the outset, say attorneys at Keller and Heckman.
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$3B TD Bank AML Settlement Is A Wake-Up Call For All Banks
TD Bank’s historic settlement over anti-money laundering violations, resulting in over $3 billion in penalties, reminds banks of all shapes and sizes why they need to take financial crime compliance seriously, and highlights three areas that may be especially vulnerable to enforcement, says Jack Harrington at Bradley Arant.
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The Bar Needs More Clarity On The Discovery Objection Rule
Almost 10 years after Federal Rule of Civil Procedure 34 was amended, attorneys still seem confused about what they should include in objections to discovery requests, and until the rules committee provides additional clarity, practitioners must beware the steep costs of noncompliance, says Tristan Ellis at Shanies Law Office.
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Key Plaintiff Litigation Strategies For Silicosis Lawsuits
A California stone worker's recent $52 million jury award highlights the growing silicosis crisis among employees in the stone fabrication industry — and points to the importance of a strategic approach to litigating silicosis cases against employers and manufacturers, says David Matthews at Matthews & Associates.
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The AI Consumer Class Action Threat Is Not A Hallucination
As regulators scrutinize whether businesses can deliver on claims about their artificial intelligence products and services, the industry faces a wave of consumer fraud class actions — but AI companies can protect themselves by prioritizing fundamental best practices that are often overlooked, say Ronald Levine at Herrick Feinstein and Richard Torrenzano at the Torrenzano Group.
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Del. Dispatch: Clarifying Charter Amendment Vote Obligations
The Delaware Court of Chancery recently held in Gunderson v. The Trade Desk that only a majority stockholder vote is needed to approve a company's proposed reincorporation from Delaware to Nevada through a corporate conversion, which bodes well for other companies also considering leaving the First State, say attorneys at Fried Frank.
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What's Still Up In The Air After Ruling On Calif. Climate Laws
A California federal court's recent ruling on challenges to California's sweeping climate disclosure laws resolved some issues, but allows litigation over the constitutionality of the laws to continue, and leaves many important questions on what entities will need to do to comply with the laws unanswered, say attorneys at Paul Hastings.
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Series
Being A Navy Reservist Makes Me A Better Lawyer
Serving this country in uniform has not only been one of the greatest honors of my life, but it has also provided me with opportunities to broaden my legal acumen and interpersonal skills in ways that have indelibly contributed to my civilian practice, says Phillip Smith at Weinberg Wheeler.
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Video Privacy Law Claims After 2nd Circ. NBA Ruling
The Second Circuit's recent ruling in Salazar v. National Basketball Association expanded the definition of what constitutes a consumer under the Video Privacy Protection Act, breathing new life into the law by making any newsletter subscriber to a platform that hosts video content a potential plaintiff, say attorneys at Clark Hill.
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Next Steps In The $2.8B Blue Cross Payout To Providers
Healthcare providers deciding whether to participate in Blue Cross Blue Shield network's recent $2.8 billion antitrust class action settlement must weigh key recovery factors, including provider type and litigation cost, say attorneys at Hall Render.
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So You Want To Move Your Law Practice To Canada, Eh?
Google searches for how to move to Canada have surged in the wake of the U.S. presidential election, and if you’re an attorney considering a move to the Great White North, you’ll need to understand how the practice of law differs across the border, says David Postel at Henein Hutchison.
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Class Actions At The Circuit Courts: November Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy discusses six federal court decisions that touch on Rule 23 of the Federal Rules of Civil Procedure, and when individual inquiries are needed to prove economic loss.
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Philly's Algorithmic Rent Ban Furthers Antitrust Policy Trends
A Philadelphia bill banning the use of algorithmic software to set rent prices and manage occupancy rates is indicative of growing scrutiny of this technology, and reflects broader policy trends of adapting traditional antitrust principles to respond to new technology, say attorneys at Ballard Spahr.
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Notable Q3 Updates In Insurance Class Actions
Total loss valuation cases and labor depreciation cases dominated the past quarter of insurance class actions, with courts continuing to reject challenges to condition adjustments in the former, and a pro-insured trend persisting in the latter, say attorneys at BakerHostetler.