Class Action

  • October 31, 2014

    Zipcar Runs Over Damage-Fee Class Action At 2nd Circ.

    The Second Circuit on Friday upheld a lower court’s dismissal of a proposed class action that accused Zipcar Inc of violating New York law by improperly charging fees for rental car damage, saying that the applicable statute doesn’t provide a private right of action.

  • October 31, 2014

    Traders Blast CME's Bid To Toss Suit Over Secret HFT Deals

    Traders alleging CME Group Inc. gave certain high-frequency trading firms preferential and illegal access to futures markets told an Illinois federal court Thursday that they have adequately alleged their claims and that even more evidence has come to light since their complaint's filing.

  • October 31, 2014

    Sanofi's Duty To Detail FDA Concerns Key To Lemtrada Cases

    A New York federal judge asked Friday whether Sanofi's "very happy opinion" shared with investors about prospects for on-time approval of its potential blockbuster Lemtrada multiple sclerosis drug carried with it a duty to detail concerns among regulators about bias in the single-blind method by which the drug giant and its recently acquired Genzyme Corp. unit were conducting trials.

  • October 31, 2014

    7th Circ. Casts A Wary Eye On Supplement Labeling Deal

    A Seventh Circuit panel on Friday grilled NBTY Inc. and plaintiffs’ attorneys about the $6.5 million settlement they struck in a glucosamine supplement false labeling class action, questioning how the class ended up with only $900,000 and a dubious label change.

  • October 31, 2014

    Deal Struck In 1st Circ. Battle Over Class Arbitration

    Restaurant chain 99 Restaurants LLC said Thursday it had reached a deal to resolve a First Circuit battle over whether courts or arbitrators get to decide whether class arbitration is permitted, as well as a related arbitration action brought by an ex-server over alleged wage violations.

  • October 31, 2014

    Atossa Beats Claims It Duped Investors In $4M Offering

    A Washington federal court on Friday dismissed a proposed class action alleging breast cancer detection device maker Atossa Genetics Inc. misled investors into buying $3.7 million worth of shares in an initial public offering, saying the plaintiffs failed to adequately prove the company had acted unlawfully.

  • October 31, 2014

    Insurer Must Pay $50M Of Cameron's Deepwater BP Deal

    A Louisiana federal judge ruled Friday that Liberty International Underwriters Inc. must cover $50 million of a $250 million settlement reached between Cameron International Corp. and BP PLC over Cameron’s failed Deepwater Horizon blowout preventer, but that the insurer doesn’t have to also pay for defense costs.

  • October 31, 2014

    Madoff Victims Can't Look To Trustee To Save Picower Suit

    The judge presiding over the liquidation of Bernard L. Madoff’s defunct firm refused on Thursday to let several investors suing the estate of Ponzi scheme beneficiary Jeffry Picower in Florida take discovery in an attempt to salvage their claims from the trustee winding down the Madoff estate.

  • October 31, 2014

    Microsoft Again Urges Judge To Nix Suit Over $732M EU Fine

    A group of Microsoft Corp. executives asked a Washington federal judge to toss a derivative suit alleging they breached their fiduciary duties by willfully violating a European Union antitrust settlement and incurring a $732.2 million fine, saying the plaintiffs' opposition failed to show the executives knowingly breached their duties.

  • October 31, 2014

    Walgreen Says Gov’t Deal Dooms Gift Card FCA Suit

    Walgreen Co. is asking a Tennessee federal judge to throw out a False Claims Act suit over its alleged use of gift cards to induce Medicare and Medicaid recipients to switch pharmacies, arguing that the complaint addresses issues that have already been settled with the government.

  • October 30, 2014

    Eli Lilly, Takeda Plan Appeal Of $37M Actos Ruling

    Takeda Pharmaceuticals International Inc. and Eli Lilly & Co. said Thursday they will appeal a $37 million punitive damages ruling against them in a suit that alleged the company hid the cancer risks of diabetes drug Actos to keep sales high.

  • October 30, 2014

    Nev. High Court Rules Strippers Are Employees

    The Nevada Supreme Court on Thursday ruled that strippers are employees under state labor law, ending a years-long dispute with the world’s largest gentleman’s club over whether it must pay dancers a minimum wage and meet other employment requirements.

  • October 30, 2014

    Calif. Court Upholds $31M Visa, Mastercard Antitrust Deal

    A California appeals court on Thursday approved a $31 million settlement in two consolidated class actions challenging Visa USA Inc.'s and MasterCard International Inc.'s allegedly anti-competitive debit and credit policies, finding a revised version of the deal fixed an improper release of claims.

  • October 30, 2014

    Investors Blast OCZ Trustee's Bid To Halt $7.5M Settlement

    The lead plaintiffs in a shareholder class action against bankrupt OCZ Technology Group Inc.’s former brass in California federal court blasted on Thursday an effort by the estate’s liquidation trust to halt consideration of a $7.5 million settlement by asking the Delaware bankruptcy court to enforce Chapter 11’s automatic stay.

  • October 30, 2014

    Whirlpool Leaves 'Price Premium' Theory Down, But Not Out

    Whirlpool Corp.'s victory Thursday in a closely watched moldy-washer lawsuit dealt a blow to claims that consumers paid more for a product believing it did not have a defect, but attorneys say the so-called price premium theory will continue to be a major front in a variety of consumer litigation.

  • October 30, 2014

    Fry’s Tells Calif. Panel Concepcion Requires OT Arbitration

    Fry's Electronics Inc. urged a California appellate panel Thursday to send to arbitration a putative class alleging the retailer violated wage and hour laws, saying a lower court erroneously ruled its arbitration contract was unconscionable and unenforceable by applying outdated case law superseded by the U.S. Supreme Court's 2011 Concepcion decision.

  • October 30, 2014

    American Realty's Accounting Woes Spark 2 NY Class Actions

    A day after American Realty Capital Properties Inc. revealed accounting irregularities in recent earnings reports, the real estate investment trust was hit with two securities class actions in New York federal court Thursday alleging it misled investors about its financial health ahead of a $1.6 billion public equity offering in May.

  • October 30, 2014

    Former Texas Football Player Sues NCAA Over Head Injuries

    The first African American to play football for the University of Texas has filed a class action against the National Collegiate Athletic Association, accusing the organization of failing to warn college football players of the risks of repeated head trauma.

  • October 30, 2014

    Family Dollar Pays $2.3M To Settle Manager OT Class Action

    A Colorado federal judge signed off Thursday on a $2.3 million class action settlement resolving allegations that Family Dollar Stores Inc. improperly classified store managers as exempt from overtime.

  • October 30, 2014

    9th Circ. Revives Amgen ERISA Suit After High Court Remand

    The Ninth Circuit on Thursday revived a putative Employee Retirement Income Security Act class action against Amgen Inc. for a second time, after the U.S. Supreme Court vacated its first ruling, saying the high court's ruling doesn't shield Amgen from liability for a dip in the company's stock price.

Expert Analysis

  • NFL Films Ruling Reverses Course, Blurs Right Of Publicity

    Ronald Katz

    There is confusion regarding the right of publicity because so many courts disagree with one another. That lack of consensus has deepened with a recent Minnesota federal court's decision in Dryer v. National Football League, which differs in important respects from a 2010 opinion from that same court, says Ronald Katz of Manatt Phelps & Phillips LLP.

  • How To Manage Client Expectations During Litigation

    Mark E. Goodman

    Litigation is a fluid and amorphous process, subject to shifts in strategy based on constant flows of information and events, not the least of which are the reactions of opponents and those who don the black robes. If a client feels informed and part of the process, he or she will feel satisfied with services received — even if the result is not a good one, says Mark Goodman, co-chairman of Capes Sokol Goodman & Sarachan PC's litig... (continued)

  • 7 Ways Retailers Can Dodge An ADA Class Action Bullet

    Kimberly Reindl

    Even if the U.S. Department of Justice takes another year to adopt specific rules governing how websites can comply with the Americans with Disabilities Act, the threat of potential class actions against retailers favors advance planning now — the foremost advantage being companies will be better positioned to negotiate a settlement knowing they have a plan and date in place for remediation efforts, say Selena Linde and Kimberly Re... (continued)

  • 2 New Cases Temper Post-Halliburton Expectations

    John E. Clabby

    After the U.S. Supreme Court ruled in Halliburton Co. v. Erica P. John Fund, securities fraud defense counsel understand that they have received a new weapon, namely an earlier opportunity to show that the alleged misstatement had no impact on stock price. But two recent cases have tempered expectations as to this new weapon’s power, says John Clabby, of counsel at Carlton Fields Jorden Burt LLP and a former assistant U.S. attorney.

  • Automakers Should Not Be Held Strictly Liable For V2V Hacks

    Todd B. Bernoff

    Strict liability was initially used to spur the auto industry to develop safer vehicles. And it worked. But that incentive is not necessary in the case of hacking vehicle-to-vehicle communication systems, for a number of reasons, says Todd Bernoff of Alston & Bird LLP.

  • The Evolution Of ADR: 30 Years Of Change

    Maria M. Sypek

    As our legal system evolves and we understand more about how an effective court system should function, the role of alternative dispute resolution should also shift. For example, the growth of e-discovery — and the ballooning associated costs — has further pushed the special-master trend, say former U.S. Magistrate Judge John Hughes and former New Jersey Superior Court Judge Maria Sypek of JAMS.

  • A Look At The First Ebola-Related Securities Lawsuit

    Kevin M. LaCroix

    It is obvious that there is a segment of the investment marketplace convinced there is money to be made out of the Ebola outbreak by trying to pick the winners on the Ebola drug derby. Among the companies that got caught up in the frenzy was iBio Inc., says Kevin LaCroix of RT ProExec.

  • The Legal Professions’ Curious Under-Use Of 2nd Opinions

    Judge Wayne D. Brazil

    As conscientious professionals who are required to address problems with notoriously elusive dimensions, lawyers should consider securing second opinions in a much wider array of circumstances than has been the norm, says Judge Wayne Brazil, a neutrual with JAMS and former magistrate judge in the U.S. District Court for the Northern District of California.

  • Use Social Media For Legal Service Only As A Last Resort

    Steven Richard

    Courts remain largely skeptical about allowing litigants to serve and notify evasive parties of legal proceedings through their social media accounts. A recent split ruling by the Oklahoma Supreme Court shows the competing considerations, say Steven Richard and Britt Killian of Nixon Peabody LLP.

  • That’s Your Defense To Price-Fixing?

    Joseph Ostoyich

    Over the past few months, class action plaintiffs lawyers have responded to articles we wrote regarding a common practice that looks a lot like price-fixing of fees among class plaintiffs law firms in antitrust cases. But we have still not heard a strong defense, say attorneys with Baker Botts LLP.