UPS RICO Action Over Air Shipping Trimmed

Law360, Los Angeles (January 12, 2012, 6:59 PM EST) -- A California federal judge Thursday struck down contract and Racketeer Influenced and Corrupt Organizations Act claims in a putative consumer class action suit against UPS Inc. over air parcels shipped by ground, but said the plaintiff could proceed on a second RICO claim.

U.S. District Judge George H. Wu ruled that UPS was entitled to judgment on the pleadings on claims that it had breached an implied contractual covenant and the RICO Act when it tagged a jet fuel surcharge onto certain “Next Day Air” and...
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