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Food & Beverage
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September 26, 2024
New Report Urges Feds To Take Larger Role In Pot Policy
The rise of state-sanctioned cannabis markets amid the absence of federal regulation has prioritized policies intended to launch marijuana sales over those focused on public health, according to a government-sponsored report made public Thursday.
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September 26, 2024
Chubb Bears Burden In Smithfield Hog Farm Coverage Suit
A Chubb unit must bear the burden of proving the reasonableness of costs that Smithfield Foods incurred in defending against claims that its farms were a nuisance, North Carolina's business court ruled, saying the pork producer must only show that it incurred and paid the costs at issue.
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September 26, 2024
Dominican Airport Co. Says Project Feud Must Be Arbitrated
The operator of airports in the Dominican Republic has urged a Puerto Rico federal court to compel a food-and-beverage concessionaire to resolve its multimillion-dollar claims against it in arbitration following an ill-fated expansion project at the country's main airport.
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September 26, 2024
Man Says Houston-Area Starbucks Put Racist Joke On Drink
Coffee chain Starbucks was hit with a race discrimination lawsuit Wednesday from a Black man who alleged staff at a Houston-area location put a racist note on his cup when he arrived to pick up a mobile order.
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September 26, 2024
Del. Bankruptcy Judge Says Purdue Limits Opt-Out Releases
A Delaware bankruptcy judge says the U.S. Supreme Court's decision in Purdue Pharma LP barring nonconsensual third-party releases does not allow a kind of oft-used opt-out waiver for voters who don't return ballots.
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September 26, 2024
Conn. PFAS Water Pollution Suit Returned To State Court
A Connecticut federal judge has sent back to state court a proposed class action accusing the Connecticut Water Co. of knowingly selling water contaminated with dangerous levels of PFAS and failing to take steps to remove the pollutants, saying the water supply system's arguments are "fatally flawed."
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September 26, 2024
Nightclub Can Pursue Defamation Suit Against TikTok User
A Chicago nightclub and restaurant has pled enough to pursue defamation claims against a woman who posted a viral TikTok video claiming security staff was "manhandling" and otherwise physically forcing her out of the establishment, a state court judge has said.
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September 26, 2024
Investor Ordered To Deposit $336K In Pot Co. Contract Suit
A Nevada magistrate judge has ordered Capital Pure Assets Ltd. to deposit $336,000 with the court as part of a dispute with a cannabis payment company's subsidiary over a failed business venture, finding the subsidiary is likely to succeed on its claims that CPA tricked it into putting that amount into an escrow fund.
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September 26, 2024
Bakery Wants Out Of $16M Payment To Pension Fund
An Indiana wholesale bakery company asked the Eleventh Circuit on Thursday to reverse an order for the bakery to pay a union pension fund $15.6 million, arguing that the pension fund's interpretation of the Multiemployer Pension Plan Amendments Act conflicts with the plain text of the statute.
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September 26, 2024
Pa. Justices Say COVID Closures Aren't Covered Losses
Pennsylvania's Supreme Court shut the door Thursday on COVID-19 pandemic loss insurance coverage for businesses closed by government mandate, ruling that requisite physical loss or damage required tangible alteration to property, reversing a lower court decision that stated loss of use was sufficient.
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September 26, 2024
11th Circ. Wary Of Ineffective-Counsel Claim In Salmonella Case
Peanut Corp. of America's former president and a food broker convicted for their roles in a salmonella outbreak that killed nine people and sickened more than 700 in 2008 and 2009 urged the Eleventh Circuit on Thursday to overturn a district court order refusing to vacate their prison sentences.
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September 26, 2024
Atty Sheehan Owes $144K Fees For 'Frivolous' Big Lots Suit
Prolific New York-based consumer advocate attorney Spencer Sheehan of Sheehan & Associates PC must cover the approximately $144,000 tab for attorney fees incurred amid the "frivolous" coffee labeling suit he brought against national retailer Big Lots Inc., a Florida federal judge has ordered.
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September 25, 2024
DoorDash, Uber Eats, Grubhub Win NYC Diner Data Law Row
A New York federal judge on Tuesday granted DoorDash Inc. and other food delivery app companies a win in their lawsuit challenging a New York City law requiring delivery services to provide restaurants with certain customer info, ruling that the law is unconstitutional.
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September 25, 2024
4th Circ. Doubts H-2A Wage Rule Should Be Put On Ice
A Fourth Circuit panel appeared reluctant on Wednesday to block the Biden administration's new wage rule for H-2A visa workers, doubting whether the rule should have accounted for illegal immigration and whether that issue was even properly before the court.
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September 25, 2024
Walgreens' TM Suit Can Proceed Against Founder's Relative
Walgreen Co. can move forward with its trademark infringement suit against the great-grandson of the company's founder for operating Walgreen Health Solutions after an Illinois federal judge denied his motion to dismiss, finding the drugstore chain has shown a likelihood of confusion between the two brands.
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September 25, 2024
Wyden Pitches New Bill To Regulate Intoxicating Hemp
U.S. Senator Ron Wyden, D-Ore., introduced a new bill on Wednesday to more tightly regulate products with hemp-derived cannabinoids, with an emphasis on age gating, manufacturing standards and labeling requirements.
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September 25, 2024
Court Defers Ruling On Challenge To Arkansas Hemp Law
An Arkansas federal judge has deferred a final ruling on a challenge to a state law banning hemp-derived intoxicating products while a pending appeal plays out in the Eighth Circuit.
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September 25, 2024
Poppi's 'Gut Healthy' Sodas Are Harmful To The Gut, Suit Says
The maker of Poppi-brand sodas misleadingly advertises the products as "prebiotics for a healthy gut," despite the fact that it's full of sugar, which is harmful to overall health and heightens the risk of obesity, Type II diabetes and other issues, alleges a putative class action filed in California federal court.
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September 25, 2024
Calif. Judge Says Fluoride In Water Risks Lowering Kids' IQ
A California federal judge on Tuesday agreed with green groups that the U.S. Environmental Protection Agency's current "optimal" level of fluoride in drinking water poses an unreasonable risk of lowering children's IQ and directed the EPA to act.
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September 25, 2024
Bar Works Crook Gets 7 Years For Role In $57M Global Fraud
A Manhattan federal judge hit an English real estate marketer with a seven-year prison sentence on Wednesday for joining what prosecutors call a global Ponzi scheme that tricked investors into pouring $57 million into the bogus workspace share venture Bar Works.
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September 24, 2024
Aristocrat Wins Injunction In Slot Machine Trade Secret Row
A federal judge in Las Vegas blocked gambling game company Light & Wonder Inc. from commercializing its Dragon Train video slot machine game, saying competitor Aristocrat Technologies Inc. is "extremely likely" to succeed in showing L&W misappropriated Aristocrat's trade secrets in developing the game.
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September 24, 2024
Calif. Gov.'s Emergency Hemp Intoxicant Ban Wins Approval
California retailers are no longer allowed to sell hemp products containing tetrahydrocannabinol after the Golden State's Office of Administrative Law on Monday approved Gov. Gavin Newsom's emergency ban, a move a leading hemp trade group has vowed to challenge.
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September 24, 2024
10th Circ. Judge Wants More Info Before Arbitration Decision
A Tenth Circuit judge suggested Tuesday that the maker of Wonder bread wanted the court to set employment precedent without crucial information, saying the court lacked detail about a wholesaler's relationship with the food manufacturer.
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September 24, 2024
NLRB Office Signs Off On Near $450K Deal With Musk Brother
A Colorado nonprofit co-founded by Elon Musk's brother settled a union's unfair labor practice claims for close to $450,000, according to a National Labor Relations Board announcement Tuesday, with the organization agreeing to pay thousands to laid-off workers and make supervisors undergo federal labor law training.
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September 24, 2024
Darden Committed 'Wage Abuse' Against Workers, Suit Says
Darden Restaurants failed to pay workers for their overtime hours and did not provide them with full, uninterrupted meal and rest periods, a former employee said in a Private Attorneys General Act lawsuit filed in California state court.
Expert Analysis
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Best Practices To Accommodate Workplace Service Animals
Excerpt from Practical Guidance
Since the U.S. Equal Employment Opportunity Commission recently pledged to enforce accommodations for people with intellectual, developmental and mental health-related disabilities, companies should use an interactive process to properly respond when employees ask about bringing service animals into the workplace, say Samuel Lillard and Jantzen Mace at Ogletree.
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A Vision For Economic Clerkships In The Legal System
As courts handle increasingly complex damages analyses involving vast amounts of data, an economic clerkship program — integrating early-career economists into the judicial system — could improve legal outcomes and provide essential training to clerks, say Mona Birjandi at Data for Decisions and Matt Farber at Secretariat.
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Opinion
State-Regulated Cannabis Can Thrive Without Section 280E
Marijauna's reclassification as a Schedule III-controlled substance comes at a critical juncture, as removing marijuana from being subjected to Section 280E of the Internal Revenue Code is the only path forward for the state-regulated cannabis industry to survive and thrive, say Andrew Kline at Perkins Coie and Sammy Markland at FTI Consulting.
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4 Sectors Will Likely Bear Initial Brunt Of FTC 'Junk Fees' Rule
If the Federal Trade Commission adopts its comprehensive proposed rule to ban unfair or deceptive fees across the U.S. economy, many businesses — including those in the lodging, event ticketing, dining and transportation sectors — will need to reexamine the way they market and price their products and services, say attorneys at Skadden.
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E-Discovery Quarterly: Recent Rulings On Text Message Data
Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.
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What CRA Deadline Means For Biden Admin. Rulemaking
With the 2024 election rapidly approaching, the Biden administration must race to finalize proposed agency actions within the next few weeks, or be exposed to the chance that the following Congress will overturn the rules under the Congressional Review Act, say attorneys at Covington.
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5 Climate Change Regulatory Issues Insurers Should Follow
The climate change landscape for insurers has changed dramatically recently — and not just because of the controversy over the U.S. Securities and Exchange Commission's climate-related risk disclosure rules, says Thomas Dawson at McDermott.
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8 Questions To Ask Before Final CISA Breach Reporting Rule
The Cybersecurity and Infrastructure Security Agency’s recently proposed cyber incident reporting requirements for critical infrastructure entities represent the overall approach CISA will take in its final rule, so companies should be asking key compliance questions now and preparing for a more complicated reporting regime, say Arianna Evers and Shannon Mercer at WilmerHale.
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Justices Clarify FAA But Leave Behind Important Questions
The U.S. Supreme Court's decision last month in Bissonnette v. LePage firmly shuts the door on any argument that the Federal Arbitration Act's Section 1 exemption is limited to transportation workers whose employers transport goods on behalf of others, but two major issues remain unresolved, say Joshua Wesneski and Crystal Weeks at Weil.
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PE In The Crosshairs Of Public And Private Antitrust Enforcers
A series of decisions from a California federal court in the recently settled Packaged Seafood Products Antitrust Litigation, as well as heightened scrutiny from federal agencies, serve as a reminder that private equity firms may be exposed to liability for alleged anti-competitive conduct by their portfolio companies, say attorneys at Axinn.
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Series
Swimming Makes Me A Better Lawyer
Years of participation in swimming events, especially in the open water, have proven to be ideal preparation for appellate arguments in court — just as you must put your trust in the ocean when competing in a swim event, you must do the same with the judicial process, says John Kulewicz at Vorys.
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A Recipe For Growth Equity Investing In A Slow M&A Market
Carl Marcellino at Ropes & Gray discusses the factors bolstering appetite for growth equity fundraising in a depressed M&A market, and walks through the deal terms and other ingredients that set growth equity transactions apart from bread-and-butter venture capital investing.
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What 100 Federal Cases Suggest About Changes To Chevron
With the U.S. Supreme Court poised to overturn or narrow its 40-year-old doctrine of Chevron deference, a review of 100 recent federal district court decisions confirm that changes to the Chevron framework will have broad ramifications — but the magnitude of the impact will depend on the details of the high court's ruling, say Kali Schellenberg and Jon Cochran at LeVan Stapleton.
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Microplastics At The Crossroads Of Regulation And Litigation
Though there are currently not many federal regulations specifically addressing microplastics as pollutants, regulatory scrutiny and lawsuits asserting consumer protection claims are both on the rise, and manufacturers should take proactive steps to implement preventive measures accordingly, say Aliza Karetnick and Franco Corrado at Morgan Lewis.
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Don't Use The Same Template For Every Client Alert
As the old marketing adage goes, consistency is key, but law firm style guides need consistency that contemplates variety when it comes to client alert formats, allowing attorneys to tailor alerts to best fit the audience and subject matter, says Jessica Kaplan at Legally Penned.