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Commercial Contracts
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December 11, 2024
Suit Says Plastic Bag Maker Owes $3M For Property Damage
An Illinois property owner said Bio Star Films, a maker of plastic shopping bags, must pay over $3 million for repairs to five industrial buildings it leased in Chicago for recycling and plastic manufacturing, according to a lawsuit filed in state court.
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December 11, 2024
West Coast Conference Says Grand Canyon U. Breached Deal
The West Coast Conference has sued Grand Canyon University in California federal court alleging it breached an agreement just months after the ink dried so it could join the Mountain West Conference instead.
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December 11, 2024
Pashman Stein Accused Of Threatening Firm In Fee Dispute
A New Jersey attorney facing a lawsuit from Pashman Stein Walder Hayden PC over $90,000 in unpaid legal fees has alleged in state court that the firm unethically threatened to sue his sister-in-law's law firm as he sought to bring counterclaims.
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December 11, 2024
Dutch Duo Beats Insurer's Claims Of Poor Greenhouse Design
Neither a Dutch greenhouse builder nor designer were responsible for the failure of a Michigan produce farm's $14.1 million greenhouse, a federal judge ruled, granting an early win to the pair in an insurer's subrogation suit seeking coverage for a storm loss.
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December 11, 2024
Akerman Can't Escape Malpractice Suit Over Lease Dispute
Akerman LLP has lost its jurisdictional challenge to a lawsuit alleging it owes a seafood restaurant chain over $1 million for giving bad advice during a lease dispute in Florida, with a Texas appeals court ruling the malpractice claims stem from work the firm solicited within the Lone Star State.
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December 11, 2024
CORRECTED: Jury Finds Poultry Co. Owes $10.5M For Bony Chicken
Pilgrim's Pride owes Washington-based grocery vendor Innovative Solutions Inc. $10.5 million for consumer protection and negligence claims, a federal jury said Wednesday, capping off a weeklong trial in which Innovative accused the poultry producer of selling it bony chicken that ultimately ruined a chicken burger deal with Trader Joe's. Correction: An earlier version of the story misstated the verdict amount. The error has been corrected.
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December 11, 2024
Class Seeks Final OK Of Contentious $147.5M Insurance Deal
A class of insurance policyholders has urged a Connecticut federal judge to give his final blessing to a $147.5 million settlement resolving claims that two insurers overcharged when deducting costs from savings accounts attached to universal life insurance plans.
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December 11, 2024
Liberty Mutual Accused Of Stalling On $21M Loss Claims
The owners of a Massachusetts metal recycling plant that was severely damaged in an explosion last year say Liberty Mutual is attempting to avoid a $20.8 million payout in part by claiming that the facility, ordered razed by the city of Springfield, could have been repaired instead.
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December 10, 2024
Texas Judge Says Infowars Sale Flawed, Rejects Onion Bid
A Texas bankruptcy judge Tuesday denied a request by the trustee of the Alex Jones estate to sell the conspiracy theorist's Infowars website to satirical news outlet The Onion, saying a muddled auction process failed to generate enough value for creditors.
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December 10, 2024
Bristol-Myers Said To Renege On $450M Milestone Promise
Former security holders of a biotechnology company Bristol-Myers Squibb acquired in 2016 hauled the pharmaceutical giant into Delaware's Court of Chancery on Monday, accusing it of using "patent prosecution sleight of hand" to avoid paying up to $450 million in promised milestone payments related to an autoimmune disorder treatment.
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December 10, 2024
Arb. Award 'Unjust' Enough To Toss? Ga. Justices Ponder
Justices of Georgia's Supreme Court appeared to agree Tuesday that arbitration of a dispute between a medical provider and its contractor unjustly turned into a one-sided affair, but hesitated to endorse the argument that the issues raised warrant throwing out the arbitrator's $1.75 million award in the contractor's favor.
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December 10, 2024
Trader Joe's Seller Fumbled Burger Deal, Poultry Co. Says
Pilgrim's Pride told a federal jury Tuesday it was not ultimately responsible when a grocery supplier used its bony chicken shipments to make burgers, arguing the vendor failed to inspect the meat for excessive bones, leading to eventual recalls and the end of its Trader Joe's deal.
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December 10, 2024
7th Circ. Questions Reviving Harley-Davidson Warranty MDL
The Seventh Circuit on Tuesday flagged issues with not only Harley-Davidson's motorcycle warranty but also its customers' antitrust claims against it as the court considered reviving multidistrict litigation claiming the contract constitutes illegal tying.
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December 10, 2024
McGrath Kavinoky Denied Arbitration With 'Bullied' Clients
A California judge on Tuesday denied McGrath Kavinoky LLP's bid to arbitrate allegations it "bullied" clients into accepting a share of $374 million in settlements for women who say they were sexually abused by a UCLA Health gynecologist, finding the situation "presents a problem" for the firm.
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December 10, 2024
Chancery Awards Ajamie $13M In Cell Partnership Fight
Boutique law firm Ajamie LLP has won a Delaware Court of Chancery ruling that clients in a more-than decade-long multi-site battle over dozens of AT&T cellphone partnerships owe Ajamie about $13 million in legal fees despite a court finding that a formal fee-sharing agreement is unenforceable.
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December 10, 2024
Venezuela Oil Cos. Say $23M Suit Wasn't Properly Served
Two Venezuelan oil companies urged the Eleventh Circuit on Tuesday to undo a $23 million judgment for a Florida-based chemical distributor, arguing neither company was properly served the summons and complaint.
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December 10, 2024
Split 9th Circ. Won't Revive Tesla Worker's Whistleblower Suit
A split Ninth Circuit refused to revive a terminated Tesla worker's Sarbanes-Oxley whistleblower claim alleging he was retaliated against for reporting unlawful activity, ruling on Tuesday the worker is precluded from re-litigating in district court whether he engaged in protected activity, since an arbitrator already decided that he did not.
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December 10, 2024
Warner Bros., Comcast Settle 'Harry Potter' TV Show Fight
Warner Bros. Discovery and Comcast's United Kingdom and European subsidiaries settled their contract dispute over co-production of a new "Harry Potter" television series Monday as part of a new long-term distribution deal between the two media giants.
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December 10, 2024
ESPN, Fox Blast DOJ 'Formalistic Distinction' In Fubo Case
ESPN, Fox and Warner Bros. Discovery pressed the Second Circuit to upend a lower court injunction against their sports-only streaming service, taking particular aim at U.S. Department of Justice arguments asserting the sports giants can't claim they have a right to refuse dealing with rivals after joining forces.
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December 10, 2024
Mountain West Calls Trans Athlete Suit Moot After Tournament
The Mountain West Conference wants the Tenth Circuit to end a bid to obtain a restraining order that would have prevented a San Jose State University transgender volleyball player from participating in a now-finished tournament, arguing the point is moot and the case should be tossed.
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December 10, 2024
Labcorp Accuses Ex-Sales Exec Of Stealing Customers
Laboratory Corp. of America Holdings took its former sales marketing executive to North Carolina federal court, along with his new employer, claiming that the worker has been violating his noncompete and nonsolicitation agreements by poaching Labcorp's customers and using its confidential information against it.
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December 10, 2024
Keller Postman Seeks To DQ Jenner & Block In Tubi Fight
Keller Postman LLC wants Jenner & Block LLP sanctioned and disqualified for a "shocking pattern of unethical conduct" — which allegedly includes hiring a private investigator to interrogate the firm's clients — in a lawsuit accusing Keller Postman of filing thousands of "fraudulent" arbitration claims against streaming service Tubi Inc.
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December 10, 2024
Atty Recommended For Sanctions After 'Bad Faith' Filings
A Florida magistrate judge has recommended sanctioning an attorney representing a franchisee in a contract dispute with CBD American Shaman LLC, saying his duplicate filings — including four motions to reconsider a single order — amount to bad faith.
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December 09, 2024
Jones Says Waiver Gave Onion Unfair Edge In Infowars Auction
Lawyers for Alex Jones on Monday stepped up their criticism of satirical news outlet The Onion's bid to buy the conspiracy theorist's Infowars website, urging a Texas bankruptcy judge to block the deal and hand Infowars to a company operating a supplements website instead.
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December 09, 2024
Vail Resorts Says Colo. District Can't Escape Debt Deal
A Colorado special district seeking to revive a lawsuit challenging an intergovernmental agreement from the early 2000s is only trying to avoid repaying millions of dollars in debt, Vail Resorts and another special district told a state appellate court.
Expert Analysis
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Notable Q2 Updates In Insurance Class Actions
Mark Johnson and Mathew Drocton at BakerHostetler discuss the muted nature of the property and casualty insurance class action space in the second quarter of the year, with no large waves made in labor depreciation and total-loss vehicle class actions, but a new offensive theory emerging for insurance companies.
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Series
Playing Golf Makes Me A Better Lawyer
Golf can positively affect your personal and professional life well beyond the final putt, and it’s helped enrich my legal practice by improving my ability to build lasting relationships, study and apply the rules, face adversity with grace, and maintain my mental and physical well-being, says Adam Kelly at Venable.
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Law Firms Should Move From Reactive To Proactive Marketing
Most law firm marketing and business development teams operate in silos, leading to an ad hoc, reactive approach, but shifting to a culture of proactive planning — beginning with comprehensive campaigns — can help firms effectively execute their broader business strategy, says Paul Manuele at PR Manuele Consulting.
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Opinion
The Big Issues A BigLaw Associates' Union Could Address
A BigLaw associates’ union could address a number of issues that have the potential to meaningfully improve working conditions, diversity and attorney well-being — from restructured billable hour requirements to origination credit allocation, return-to-office mandates and more, says Tara Rhoades at The Sanity Plea.
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Opinion
It's Time For A BigLaw Associates' Union
As BigLaw faces a steady stream of criticism about its employment policies and practices, an associates union could effect real change — and it could start with law students organizing around opposition to recent recruiting trends, says Tara Rhoades at The Sanity Plea.
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Look For Flags On Expert Claims After Sunday Ticket Reversal
A California federal judge’s recent reversal of a jury’s $4.7 billion antitrust verdict in the NFL Sunday Ticket case indicates that litigants may be inclined to challenge expert testimony admissibility under Rule 702 of the Federal Rules of Evidence, and that judges may increasingly accept such challenges, say attorneys at Kutak Rock.
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What 7th Circ. Samsung Decision Means For Mass Arbitration
The Seventh Circuit's recent decision in Wallrich v. Samsung highlights the dilemma faced by mass arbitration filers in the face of nonpayment of arbitration fees by the defending party — but also suggests that there are risks for defendants in pursuing such a strategy, says Daniel Campbell at McDermott.
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How Justices Upended The Administrative Procedure Act
In its recent Loper Bright, Corner Post and Jarkesy decisions, the U.S. Supreme Court fundamentally changed the Administrative Procedure Act in ways that undermine Congress and the executive branch, shift power to the judiciary, curtail public and business input, and create great uncertainty, say Alene Taber and Beth Hummer at Hanson Bridgett.
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Understanding 2 Types Of Construction Payment Clauses
Given the recent trend of states prohibiting pay-if-paid clauses in construction clauses in favor of fortifying contractor protections with pay-when-paid clauses, parties involved in construction projects should take care to understand the nuances between the two clauses, say Jeffery Mullen and Josephine Bahn at Cozen O'Connor.
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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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Loper Fuels Debate Over Merchant Cash Advances As Credit
The U.S. Supreme Court's recent rejection of the Chevron doctrine in Loper Bright may escalate a Florida federal court dispute between the Revenue Based Finance Coalition and the Consumer Financial Protection Bureau over whether merchant cash advances should be considered credit under the Dodd-Frank Act, say attorneys at Sheppard Mullin.
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Nuclear Power Can Help Industrial Plants Get To Net-Zero
In the race to fight climate change and achieve net-zero emissions, the industrial sector currently faces immense challenges — but the integration of nuclear energy is a promising solution, so companies should consider the financial and regulatory issues, opportunities, and risk-mitigating factors, say attorneys at Morgan Lewis.
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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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A Look At The Regulatory Scrutiny Facing Liquid Restaking
Recent U.S. Securities and Exchange Commission enforcement actions highlight the regulatory challenges facing emerging financial instruments like liquid restaking tokens and services, say Daniel Davis and Alexander Kim at Katten.
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3 Notes For Arbitration Agreements After Calif. Ruling
After last month's California Supreme Court decision in Ramirez v. Charter Communications invalidated several arbitration clauses in the company's employee contracts as unconscionable, companies should ensure their own arbitration agreements steer clear of three major pitfalls identified by the court, say attorneys at Cooley.