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Class Action
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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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.
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September 23, 2024
Feds To Pay $893K Fee Award To Travel Ban Challengers
A California federal judge has signed off on the Biden administration's agreement to cover $893,000 worth of legal fees that thousands of visa applicants racked up while contesting a Trump-era travel ban that prevented them from immigrating to the U.S.
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September 23, 2024
J&J Accuses Beasley Allen Of Casting Bogus Talc Ballots
Johnson & Johnson has accused the Beasley Allen Law Firm of casting about two dozen false ballots against the company's latest talc bankruptcy plan without voters' consent and urged a New Jersey federal court to remove the firm from the plaintiff's steering committee as a consequence.
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September 23, 2024
Mich. Justices Let Civil Servant Retirees Keep Benefits
The Michigan Supreme Court has let stand a ruling that retired municipal employees in Allen Park, Michigan, are entitled to healthcare benefits on terms that outlast their collective bargaining agreements with the city.
Expert Analysis
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How Courts Split On Damages Analysis In Automotive Suits
As high-profile vehicle recalls and lawsuits alleging vehicle defects surge, many plaintiffs are turning to choice-based conjoint analysis to calculate damages, but a review of federal district court decisions reveals a range of views on the validity of this methodology, say Joshua Hochberg and Shireen Meer at Berkeley Research.
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Lessons From Rising Fake Discount Consumer Class Actions
Ellen Robbins and Scott Allbright at Akerman discuss the rise of false reference price consumer class actions and outline key strategies to minimize legal risk and protect businesses.
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Classwide Calculations May Get Price Premium Damages Wrong
In many consumer class actions, plaintiffs assert that they overpaid for a product because of a misrepresented or defective product feature, and that a single price premium estimate can be applied classwide — but failure to account for differences in price premiums across a putative class may lead to improper damage awards, say economists at Ankura Consulting.
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Mirror, Mirror On The Wall, Is My Counterclaim Bound To Fall?
A Pennsylvania federal court’s recent dismissal of the defendants’ counterclaims in Morgan v. Noss should remind attorneys to avoid the temptation to repackage a claim’s facts and law into a mirror-image counterclaim, as this approach will often result in a waste of time and resources, says Matthew Selmasska at Kaufman Dolowich.
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Series
Playing Dungeons & Dragons Makes Me A Better Lawyer
Playing Dungeons & Dragons – a tabletop role-playing game – helped pave the way for my legal career by providing me with foundational skills such as persuasion and team building, says Derrick Carman at Robins Kaplan.
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Parsing NJ Court's Rationale For Denying Lipitor Class Cert.
A New Jersey federal court's recent Lipitor rulings granting summary judgment and denying motions for class certification for two plaintiff classes offer insight into the level of rigorous analysis required by both parties and their experts to satisfy the requirements of class certification, says Catia Twal at Edgeworth Economics.
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Illinois BIPA Reform Offers Welcome Relief To Businesses
Illinois' recent amendment to its Biometric Information Privacy Act limits the number of violations and damages a plaintiff can claim — a crucial step in shielding businesses from unintended legal consequences, including litigation risk and compliance costs, say attorneys at Taft.
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Gilead Drug Ruling Creates Corporate Governance Dilemma
If upheld, a California state appellate court's decision — finding that Gilead is liable for delaying commercialization of a safer HIV drug to maximize profits on another drug — threatens to undermine long-standing rules of corporate law and exposes companies to liability for decisions based on sound business judgment, says Shireen Barday at Pallas.
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Class Action Law Makes An LLC A 'Jurisdictional Platypus'
The applicability of Section 1332(d)(10) of the Class Action Fairness Act is still widely misunderstood — and given the ambiguous nature of limited liability companies, the law will likely continue to confound courts and litigants — so parties should be prepared for a range of outcomes, says Andrew Gunem at Strauss Borrelli.
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3 Leadership Practices For A More Supportive Firm Culture
Traditional leadership styles frequently amplify the inherent pressures of legal work, but a few simple, time-neutral strategies can strengthen the skills and confidence of employees and foster a more collaborative culture, while supporting individual growth and contribution to organizational goals, says Benjamin Grimes at BKG Leadership.
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How Courts' Differing Views On Standing Affect PFAS Claims
Two recent opinions from New York federal courts — in Lurenz v. Coca-Cola, and Winans v. Ornua Foods North America — illustrate how pivotal the differing views on standing held by different courts will be for product liability litigation involving per- and polyfluoroalkyl substances, particularly consumer claims, say attorneys at Hollingsworth.
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E-Discovery Quarterly: Rulings On Hyperlinked Documents
Recent rulings show that counsel should engage in early discussions with clients regarding the potential of hyperlinked documents in electronically stored information, which will allow for more deliberate negotiation of any agreements regarding the scope of discovery, say attorneys at Sidley.
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Loper Bright Limits Federal Agencies' Ability To Alter Course
The U.S. Supreme Court's recent decision to dismantle Chevron deference also effectively overrules its 2005 decision in National Cable & Telecommunications Association v. Brand X, greatly diminishing agencies' ability to change regulatory course from one administration to the next, says Steven Gordon at Holland & Knight.
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Addressing The Growing Hazards Of Mass Arbitration
Though retail companies typically include arbitration provisions in their terms of service, the recent trend of costly mass arbitrations filed by plaintiffs may cause businesses to rethink this conventional wisdom, say attorneys at BCLP.
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Series
Teaching Scuba Diving Makes Me A Better Lawyer
As a master scuba instructor, I’ve learned how to prepare for the unexpected, overcome fears and practice patience, and each of these skills – among the many others I’ve developed – has profoundly enhanced my work as a lawyer, says Ron Raether at Troutman Pepper.