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Commercial Contracts
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March 27, 2025
Payroll Co. Hid IRS Interest Money From Clients, Court Told
A payroll provider for a maintenance company never passed along interest payments from the Internal Revenue Service related to its clients' pandemic-era relief claims, the company alleged in a proposed class action filed in Washington federal court.
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March 26, 2025
Sotomayor Urges Caution On Nondelegation Doctrine Revamp
U.S. Supreme Court Justice Sonia Sotomayor cautioned her colleagues during oral arguments Wednesday against using a challenge to the Federal Communications Commission's administration of a broadband subsidy program as a way to resurrect the long-dormant nondelegation doctrine. Several conservative justices, however, seemed willing to disregard that admonition.
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March 26, 2025
7 Firms Compete To Lead Novo Nordisk Securities Suit
Levi & Korsinsky LLP, Pomerantz LLP and the Rosen Law Firm PA are among seven law firms vying to lead proposed class claims accusing Novo Nordisk A/S of misleading investors about a clinical trial for an obesity drug.
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March 26, 2025
Crypto Co. CEO Must Face Suit Alleging Refund Fraud
The CEO of Power Block Coin LLC, which does business as SmartFi, must face a suit accusing him and the company of refusing to fulfill their "buyback guarantee" of its SmartFi tokens, with a Pennsylvania federal court ruling that the plaintiffs have sufficiently alleged that the CEO promised SmartFi would refund investors their money.
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March 26, 2025
Atty's Falsehoods In Key Docs Aided $23M Fraud, Suit Says
A pair of investment funds and two investors have hit a lawyer with professional malpractice and misrepresentation claims in Illinois federal court, accusing him of making false statements in solicitation documents to help their since-convicted managing member carry out a $23 million fraud.
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March 26, 2025
Judge Knocks Amazon For Mislabeled Docs In Antitrust Suits
Amazon.com Inc. must hand over dozens of records previously flagged as confidential to the consumers in a series of class actions alleging antitrust violations, a Washington federal judge has ruled, concluding that the e-commerce giant wrongly marked the documents as "attorney-client communications or attorney-work product."
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March 26, 2025
Crypto Expert Seeks OK Of $28M Bitcoin Arbitration Award
A Malta-based cryptocurrency expert and his two companies have asked a Manhattan federal judge to enforce a more than $28 million arbitral award against a bitcoin mining server supplier they claim sent them faulty machinery.
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March 26, 2025
Soured Colo. Housing Partnership Spawns Another Suit
A Colorado affordable housing project undermined by a trio of investors' soured partnership generated yet another lawsuit filed by an original investor alleging a partner brought on later intentionally tanked the project out of "seething vindictiveness."
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March 26, 2025
NYC Property Cos. Hit With Security Deposits Class Action
A proposed class of residential tenants accused a property manager and a property owner in New York federal court on Wednesday of violating state law by not placing their security deposits in accounts that would accrue interest and paying security deposits without accrued interest after the tenants moved out.
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March 26, 2025
Court Holds On Tight To 'What I Like About You' Band's Row
A Michigan federal judge said Wednesday the lead singer of The Romantics must face a bandmate's demands for a detailed accounting of the band's finances and allegations the singer has been withholding royalties and revenue from performances from a shared company.
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March 26, 2025
NCAA Can't Use NY Case To Halt NC State '83 Team's NIL Suit
North Carolina's business court refused to pause an antitrust lawsuit brought by members of the 1983 North Carolina State University men's basketball national championship team who accuse the NCAA of illegally using their likenesses, ruling the organization had failed to show it would suffer a "substantial injustice" without a stay.
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March 26, 2025
Judge Wants Mich. Supreme Court's Take On Daimler Contract
A Michigan federal judge has asked the state's Supreme Court to clear up whether a contract obligating a Daimler Truck subsidiary to purchase "1 part to 100%" of its needs for transmission parts from a seller is an enforceable contract under a 2023 Michigan Supreme Court opinion, noting state justices haven't addressed a conflict among Michigan appellate court rulings.
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March 26, 2025
Insurers Must Cover $29M Axle Defect Costs, Co. Says
A successor company to an auto parts manufacturer told a Michigan federal court Wednesday its commercial general liability insurers must help cover nearly $29 million a German company said it lost from faulty axle shafts it purchased and were ultimately installed in certain Dodge Ram pickup trucks.
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March 26, 2025
French Co. Fails To Win Arbitration Bid In Payment Dispute
French engineering company Saipem SA has lost its bid for a stay in a London court as it looks to arbitrate claims asserted by Panamanian logistics provider Destin Trading Inc. related to an alleged $7 million shortfall in payment for a Congo River project.
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March 26, 2025
Ex-GE Exec Gets 7 Years For Fraud In $1B Angola Energy Deal
A Manhattan federal judge hit a former GE Power executive with seven years in prison Wednesday, after a jury convicted him of forgery and taking a $5 million kickback while working on a $1.1 billion deal in his native Angola.
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March 25, 2025
Judge Eyes Late Discovery Dispute In Google Antitrust Case
A D.C. federal judge wondered Tuesday why an Android keyboard app developer waited until "the eleventh hour" to bring him several discovery disputes in its antitrust lawsuit against Google LLC, where it accuses the tech giant of making deals that prevent its product from being the pre-loaded default keyboard on a device.
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March 25, 2025
Intel Says Trial Should Answer License Issue In VLSI Case
Intel Corp. told U.S. District Judge Alan Albright that a trial in its high-stakes patent infringement fight with VLSI Technology should focus on teasing out a disputed ownership structure that could inform whether the technology company has a license to use the chip patents.
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March 25, 2025
Amazon Slams 'Alternative Reading' Of ERISA In Worker Suit
Amazon on Monday urged a Washington federal court to throw out a worker's proposed class action alleging that Amazon used abandoned retirement plan funds to offset its own contributions, arguing that the suit's "alternative reading" of the Employee Retirement Income Security Act "flies in the face of" the well-established practice.
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March 25, 2025
Realtek Loses Sanctions Bid Over Alleged Patent Suit Abuse
Taiwan's Realtek Semiconductor Corp. lost its bid in California federal court to punish a pair of patent-holding companies for "wasting party and judicial resources" in an antitrust lawsuit over a licensing deal and a series of purportedly sham patent suits in Texas.
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March 25, 2025
Insurers Claim 4th Circ. Must Revisit Ruling For Aluminum Co.
Insurers in a coverage cap dispute with an aluminum company have asked the Fourth Circuit to reconsider an opinion holding that an ambiguous policy provision must be construed in the company's favor, calling it contrary to South Carolina law.
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March 25, 2025
Ship Co. Targets Vessel Seizure In $12M Arbitration Dispute
A U.S. shipping charter firm that specializes in the offshore wind market has urged a Mississippi federal court to let it seize a deep-sea motor vessel as it looks to enforce more than $12 million of arbitral awards against a Mexican maritime company.
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March 25, 2025
Insurance Mogul Seeks To Overturn $122M Contempt Order
A convicted billionaire embroiled in lawsuits over the demise of his insurance empire wants out of a nine-figure contempt order, telling the North Carolina Court of Appeals that neither he nor his company has the ability to pay more than $122 million to purge the contempt.
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March 25, 2025
Phillies Sue To Keep Player Stats Program Exclusive
The Philadelphia Phillies took the owners of a baseball statistics and analytics program it paid extra to have exclusive access to into Pennsylvania state court for allegedly working to "circumvent" that exclusivity and sell parts of the system to other teams.
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March 25, 2025
McCarter & English's $3.77M Fee Win Headed For Appeal
A former McCarter & English LLP client will appeal a $3.77 million Connecticut federal court judgment for failing to pay its legal bills following a Kentucky trade secrets case loss, federal court papers indicate.
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March 25, 2025
Colo. Atty Gave $2M Mineral Rights To Other Client, Suit Says
The special district for a Colorado residential community has sued its former lawyer and firms White Bear Ankele Tanaka & Waldron PC and Spencer Fane LLP for malpractice, claiming the attorney failed to secure its mineral rights, instead executing a deal that favored one of Spencer Fane's other clients.
Expert Analysis
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Managing Sanctions Defense Across Multiple Jurisdictions
Companies called before multiple regulators to account for the same conduct in this era of increased global sanctions and import-control enforcement should consider national differences in law and policy, and proactively coordinate their responses in certain key areas, say attorneys at Baker McKenzie.
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How Cos. Can Protect Supply Chains During The Port Strike
With dock workers at ports along the East and Gulf Coasts launching a strike that will likely cause severe supply chain disruptions, there are several steps exporters and importers can take to protect their businesses and mitigate increased costs, say attorneys at Thompson Hine.
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Litigation Inspiration: Honoring Your Learned Profession
About 30,000 people who took the bar exam in July will learn they passed this fall, marking a fitting time for all attorneys to remember that they are members in a specialty club of learned professionals — and the more they can keep this in mind, the more benefits they will see, says Bennett Rawicki at Hilgers Graben.
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FTC Focus: How Scrutiny Of PBMs And Insulin May Play Out
Should Express Scripts' recent judicial challenge to the Federal Trade Commission succeed, any new targets could add litigation and choice of forum to their playbooks, and potential FTC court action on insulin could be forced to parallel venues as the issues between the commission and PBMs evolve, say attorneys at Proskauer.
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Opinion
AI May Limit Key Learning Opportunities For Young Attorneys
The thing that’s so powerful about artificial intelligence is also what’s most scary about it — its ability to detect patterns may curtail young attorneys’ chance to practice the lower-level work of managing cases, preventing them from ever honing the pattern recognition skills that undergird creative lawyering, says Sarah Murray at Trialcraft.
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Kubient Case Shows SEC's Willingness To Charge Directors
The U.S. Securities and Exchange Commission's recent fraud charges against Kubient's former CEO, chief financial officer and audit committee chair signal a willingness to be more aggressive against officers and directors, underscoring the need for companies to ensure that they have appropriate channels to gather, investigate and document employee concerns, say attorneys at Jenner & Block.
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3 Coverage Tips As 2nd Circ. 'Swipes Left' On Tinder Claim
The Second Circuit's recent opinion in Match Group v. Beazley Underwriting, overturning Tinder's victory on its insurer's motion to dismiss a coverage action, reinforces three best practices policyholders purchasing claims-made coverage should adhere to in order to avoid late-notice defenses, say Lynda Bennett and Alexander Corson at Lowenstein Sandler.
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Series
Round-Canopy Parachuting Makes Me A Better Lawyer
Similar to the practice of law, jumping from an in-flight airplane with nothing but training and a few yards of parachute silk is a demanding and stressful endeavor, and the experience has bolstered my legal practice by enhancing my focus, teamwork skills and sense of perspective, says Thomas Salerno at Stinson.
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Boeing Ruling Is A Cautionary Tale For Trade Secret Litigants
A Washington federal court’s recent ruling canceling a $72 million jury award against Boeing because Zunum Aero had failed to properly identify its trade secrets highlights the value of an early statement of alleged secrets, amended through discovery and used as a framework at trial, says Matthew D'Amore at Cornell.
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Why Now Is The Time For Law Firms To Hire Lateral Partners
Partner and associate mobility data from the second quarter of this year suggest that there's never been a better time in recent years for law firms to hire lateral candidates, particularly experienced partners — though this necessitates an understanding of potential red flags, say Julie Henson and Greg Hamman at Decipher Investigative Intelligence.
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Google And The Next Frontier Of Divestiture Antitrust Remedy
The possibility of a large-scale divestiture in the Google search case comes on the heels of recent requests of business breakups as remedies for anticompetitive conduct, and companies should prepare for the likelihood that courts may impose divestiture remedies in the event of a liability finding, say Lauren Weinstein and Nathaniel Rubin at MoloLamken.
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Considering Possible PR Risks Of Certain Legal Tactics
Disney and American Airlines recently abandoned certain litigation tactics in two lawsuits after fierce public backlash, illustrating why corporate counsel should consider the reputational implications of any legal strategy and partner with their communications teams to preempt public relations concerns, says Chris Gidez at G7 Reputation Advisory.
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Exploring Practical Employer Alternatives To Noncompetes
With the Federal Trade Commission likely to appeal a federal court’s recent rejection of its noncompete ban, and more states limiting the enforceability of these agreements, employers should consider back-to-basics methods for protecting their business interests and safeguarding sensitive information, says Brendan Horgan at FordHarrison.
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It's No Longer Enough For Firms To Be Trusted Advisers
Amid fierce competition for business, the transactional “trusted adviser” paradigm from which most firms operate is no longer sufficient — they should instead aim to become trusted partners with their most valuable clients, says Stuart Maister at Strategic Narrative.
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Service Agreement Lessons From July's Global Tech Outage
The worldwide outages recently caused by Crowdstrike Holdings' misconfigured software update highlight the need to evaluate potential IT vendors, negotiate certain service agreement terms, and review existing agreements and diligence forms to help prevent future disruptions and mitigate the fallout should one occur, say attorneys at WilmerHale.