Aeropostale Inc. agreed on Wednesday to pay $15 million to settle a shareholder class action alleging the primarily teenage-clothing retailer defrauded investors by hiding financial troubles after a failed attempt to market itself to older customers.
A Louisiana federal judge has found that Takeda Pharmaceuticals America Inc. breached a duty to preserve evidence in multidistrict litigation claiming its anti-diabetic drug Actos causes bladder cancer, saying she would decide what sanctions are warranted during a bellwether trial starting Monday.
A Virginia federal judge halted discovery in a securities class action against Star Scientific Inc. on Wednesday, finding that a criminal case against former Gov. Bob McDonnell and his wife for taking bribes to promote Star Scientific's nutritional supplements shares numerous allegations with the civil suit.
A California federal judge on Wednesday tossed a putative class action claiming the makers of video game blockbuster “Grand Theft Auto V” misled gamers by marketing online features that weren’t immediately ready, ruling the packaging never promised the features would be available at launch.
A California federal judge said Wednesday he would give final approval to Apple Inc.'s $53 million settlement with consumers who say Apple wrongfully refused warranty coverage on iPhones and iPods, but held off ruling on plaintiffs' “extraordinarily large” bid for $16 million in attorneys' fees.
The lead plaintiff in a proposed class action accusing Wal-Mart Stores Inc. of sending spam text messages has agreed to drop the suit after settling individually with the retail giant, according to a Tuesday filing in California federal court.
Diamond Pet Foods Inc. and Costco Wholesale Corp. on Tuesday agreed to pay $2 million to settle a proposed class action over large recalls in 2012 of dog food linked to a salmonella outbreak that sickened pets and 14 people.
The Fifth Circuit on Tuesday upheld Chinese drywall manufacturer Taishan Gypsum Co. Ltd.'s $2.7 million default judgment in sprawling multidistrict product liability litigation, finding the district court had jurisdiction based on the company's close ties with a Virginia distributor.
A federal judge in Washington state on Tuesday threw out a proposed class action against American Airlines Inc. over its alleged failure to reimburse baggage fees for lost luggage, finding that the plaintiff had neglected to file a claim in the company’s recently concluded bankruptcy case.
The Second Circuit affirmed Wednesday that Goldman Sachs Group Inc. won't have to disgorge nearly $2 million in short-swing trade profits of Leap Wireless International Inc. derivatives, finding Goldman wasn't a statutory Leap insider when it purchased the options in question.
The National Labor Relations Board on Tuesday asked the Fifth Circuit to rescind a recently issued mandate in its legal battle with D.R. Horton Inc., to allow it to seek rehearing of the court's decision rejecting its ruling prohibiting class action waivers in arbitration agreements.
A Missouri federal judge threw out a putative class action alleging Allergan USA Inc. overcharged consumers for chronic dry eye treatment Restasis by filling dispensers with pricey excess medicine, holding Tuesday that the plaintiff failed to state a claim under a Missouri consumer law.
A Pennsylvania federal judge preliminarily approved a $2.6 million settlement to be paid by Japanese camera and medical device manufacturer Olympus Corp., to resolve a shareholder class action claiming Olympus spent an exorbitant amount of money on advice for an acquisition.
A California federal judge on Tuesday dismissed shareholder derivative claims against Richard Demaray, part of a suit alleging Demaray purchased patents for himself instead of for his company, Antropy Inc., ruling the Antropy executive who brought the suit did not own shares and had no standing.
A California federal judge on Monday dismissed a proposed class action in which two companies were accused of violating the Telephone Consumer Protection Act during the marketing of a screening for a comedy featuring "Jackass" star Johnny Knoxville.
The Court of Federal Claims on Friday granted class certification to a group of some 500 former and current bankruptcy judges and their dependents and spouses over claims the judges never received full compensation after Congress failed to adjust their cost-of-living allowances.
The Fourth Circuit on Monday upheld decisions finding that Fannie Mae and Freddie Mac are not liable for state and local real estate transfer taxes, ruling that the companies' congressional charter exempts them from the taxes despite a requirement that they pay other property taxes.
The plaintiff in a proposed federal class action challenging OfficeMax Inc.’s $1.2 billion merger with Office Depot Inc. dropped the suit Monday after an Illinois judge last week approved a settlement in a consolidated putative class action also challenging the merger.
A New York state judge on Thursday dismissed the final complaint in a proposed class action aimed at securing rent abatements from the landlords of all state renters for warranty of habitability violations in the wake of Superstorm Sandy, after the plaintiff failed to file an amended petition.
A New Jersey federal judge on Monday denied class certification in a putative class action accusing First American Title Insurance Co. of misrepresenting and inflating title insurance costs charged to homeowners, ruling records needed to ascertain the class are not readily available.
As shown by Guippone v. BH S&B Holdings LLC in the Second Circuit, a parent company and its subsidiary may be considered a single employer under the WARN Act. Thus, a private equity sponsor or holding company could become ensnared in its operating subsidiary’s financial distress, says Nicholas Kajon of Stevens & Lee PC.
In Reed Elsevier v. Crockett, the Sixth Circuit recently held that courts — not arbitrators — decide whether an arbitration agreement permits classwide arbitration. The case reinforces the principle that arbitration is contractual and that arbitrators derive their authority from the parties’ agreement, say Kim Watterson and Richard Heppner Jr. of Reed Smith LLP.
Securities class actions have been demonstrated to have a positive effect on corporate conduct as an enforcement tool. They result in considerable compensation to injured investors — and indeed, where that is not the case, corporate wrongdoers, and their counsel, would not be so adamant in the practical elimination of securities class actions, says Fred Isquith of Wolf Haldenstein Adler Freeman & Herz LLP.
The U.S. Supreme Court's decision in Atlantic Marine Construction Co. v. U.S. District Court for the Western District of Texas made it clear that the plaintiff's choice of forum and private interests are irrelevant for motions to transfer based on a valid forum selection clause. This development is significant for employers with a nationwide workforce to prevent employees from suing anywhere, says Douglas Darch of Baker & McKenzie LLP.
As judges in the Northern District of California continue to issue rulings in the Google Inc. privacy cases, we learn more and more about how courts across the nation may approach privacy cases and apply the Electronic Communications Privacy Act — the archaic federal law being used as the weapon of choice. The most recent ruling is good news for defendants, say Thomas Counts and Ryan Nier of Paul Hastings LLP.
Tis the season for taking stock, making lists and counting down. It’s been an eventful year on the product liability front, with some notable cases. There were recurring themes — preemption anyone? — and head-to-head matchups such as the U.S. Food and Drug Administration's rule proposal against generic drug manufacturers, say Anand Agneshwar and Paige Sharpe of Arnold & Porter LLP.
In light of the Southern District of New York decision in Glatt v. Fox Searchlight Pictures Inc. — and the spate of class actions that followed — companies should structure their internship programs to ensure that the program offers more of an educational benefit to the intern than it does a utilitarian benefit to the company, says Adler Bernard of Dornbush Schaeffer Strongin & Venaglia LLP.
Unauthorized disclosures of internal company documents can be a nightmare for in-house counsel. Although a waiver typically involves voluntarily relinquishing a known right or privilege, courts have traditionally taken an expansive view of waiver in such situations. Dukes v. Wal-Mart Stores Inc. provides an effective roadmap for how in-house counsel can best shield a company from waiver of the privileges and further disclosure of protected documents, say attorneys at Shook Hardy & Bacon LLP.
Plaintiffs have proven remarkably agile in adopting new theories as to when “natural” claims are false or misleading, and it may be tempting for advertisers to try to predict the next angle of attack and adjust their ads accordingly. But a recent class action reminds us that the basic principles of advertising law — substantiation and consumer understanding — are the best defenses, say Barry Benjamin and John Knapp of Kilpatrick Townsend & Stockton LLP.
To date, it does not appear that any litigation has arisen regarding the use of polyacrylamide flocculent in frac sand mining, but considering the growing public opposition to these operations, especially in the Midwest, such litigation can be reasonably expected in the future, says Joseph Russell of von Briesen & Roper SC.