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Commercial Contracts
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May 14, 2024
Insurer Files Another Suit Over Firm's Malpractice Coverage
After dropping a complaint in Washington federal court seeking a declaration that it does not have to indemnify Harris Sliwoski LLP for potential malpractice liability related to a $31 million judgment, Evanston Insurance Co. filed a similar action in New York on Tuesday.
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May 13, 2024
11th Circ. Says Class Attys Self-Dealt In $35M TCPA Settlement
The Eleventh Circuit on Monday dismissed a proposed $35 million settlement of a class action alleging GoDaddy.com violated the Telephone Consumer Protection Act by sending unwanted marketing texts, saying the deal may have come by through nefarious means.
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May 13, 2024
Chamber Asks Texas Judge To Stop FTC Noncompete Ban
The U.S. Chamber of Commerce asked a Texas federal judge to issue a court order stopping the Federal Trade Commission's new noncompete rule from going into effect while litigation challenging the ban plays out, arguing the rule's enforcement would irreparably harm businesses and their employees.
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May 13, 2024
Whirlpool Service Plans Don't Guarantee Repairs, Suit Says
Whirlpool Corp. violates Washington consumer protection laws by selling extended service plans that give the company the option to buy back broken appliances instead of fixing them, according to a proposed class action filed in federal court.
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May 13, 2024
Student Loan Servicer Faces Suit Over Tax Form Data Breach
An education-focused subsidiary of payment processor Global Payments Inc. faces a proposed class action accusing it of negligence after it disclosed that part of its website allowed bad actors unfettered access to certain student tax documents for months at a time.
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May 13, 2024
Wash. Hospital Scores Exit In Facebook Privacy Suit, For Now
A Washington federal judge has tossed a proposed class action accusing a Seattle-area hospital of sharing patients' confidential health information by using Facebook browser tracking tools, ruling on Monday the plaintiff has failed to show that her own private information was input into the website and shared with a third party.
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May 13, 2024
6th Circ. Backs Toss Of Private Security Co.'s Stolen Info Suit
A Sixth Circuit Court of Appeals panel has sided with a private security company accused of partnering with a similar business and stealing trade secrets so it could flourish while the other one wilted, saying the plaintiff failed to support its allegations.
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May 13, 2024
Construction Co. Says Guatemala Can't Exit $31M Award Suit
A construction and engineering firm has asked a D.C. federal court not to toss its litigation to enforce $31 million in arbitral awards against Guatemala that arose from unpaid public works contracts, saying local courts already denied the country's claim the awards violate domestic law.
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May 13, 2024
50 Cent, GC Accused Of Federal Wiretap Violations
A liquor business consultant has told a New York state court that Curtis "50 Cent" Jackson and the rapper's general counsel violated federal and New Jersey wiretap statutes, after the court dismissed an earlier counterclaim lodged under the Illinois Eavesdropping Act.
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May 13, 2024
Florida State Fee Fight Frozen Pending Ruling By NC Justices
A North Carolina state judge has pressed pause on the Atlantic Coast Conference's lawsuit against Florida State University in their public showdown over media rights fees, finding that they can't plow ahead when a pertinent question about jurisdiction is before the state's top court.
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May 13, 2024
Bottling Co. Ends $2.7M Suit Against Fake Loan Brokers
A North Carolina bottling company has ended its lawsuit accusing two loan brokers of lying about their connection to a wealthy lender who ended up being a fraudster who took nearly $3 million from a business and its financier.
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May 13, 2024
Ariz. Casino Can't Claim Immunity In Discrimination Row
Sovereign immunity can't protect a Harrah's casino operated on Arizona Native American lands from a discrimination lawsuit filed by five former employees, a federal judge said, arguing that the for-profit corporation is formed under the laws of the state, not those of the tribal community.
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May 13, 2024
IBM Won't Get Jury Trial In $1.5B Chip Contract Fight
IBM can't present its claims that a microchip maker swindled it into entering into semiconductor contracts and never followed through to a jury, after a New York state court ruled that those contractual agreements contain enforceable waivers of jury trial rights.
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May 13, 2024
E-Rate Requests Aren't FCA Claims, Law Group Tells Justices
The Washington Legal Foundation urged the U.S. Supreme Court to decide whether reimbursement requests for the Federal Communications Commission's E-Rate program are "claims" under the False Claims Act, arguing that a Seventh Circuit ruling that answered in the affirmative threatens wide-ranging consequences beyond the E-Rate program.
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May 13, 2024
Diaz Reus Attys Dodge Sanctions Over Last-Minute Dismissal Bid
Citing a lack of good cause for sanctions, a south Florida federal judge determined Monday that shareholders in a Venezuela-linked bank cannot penalize Miami-based Diaz Reus & Targ LLP lawyers over allegations they delayed an expected October 2023 trial in a suit alleging the bank's directors breached their fiduciary duty.
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May 13, 2024
CFTC Sues Over $161M Cattle Ponzi Scheme After SEC Deal
The Commodity Futures Trading Commission has sued two Texas men who allegedly ran a $161 million Ponzi scheme involving cattle trading, saying investor cash lined the men's pockets and went to paying off obligations to previous investors.
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May 13, 2024
Nursing Home Says Buyer's Lease Silence Endangers Future
An Ohio-based nursing home operator claimed Monday that its Pickaway County nursing home is in "imminent danger" because the company's owners are threatening the licensing and management of the nursing home by refusing to acknowledge terminated leases and not making the transition to a new lessee and operator.
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May 13, 2024
Arena Football Contract Row Ends With Settlement
After a monthslong dispute over an arena football team's decision to drop out of its former league to join a rival, upstart organization, the league said Friday that it had reached a settlement to end its litigation against the breakaway West Texas Desert Hawks.
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May 13, 2024
Catching Up With Delaware's Chancery Court
Sunken treasure, recycled plastics, questionable denim and dog food all made appearances in Chancery Court dockets last week, along with developments in cases involving Qualcomm, Tesla Inc., and Truth Social. In case you missed it, here's the latest from Delaware's Chancery Court.
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May 10, 2024
Epic Judge Raises Eyebrows About Apple's New 27% App Fee
The California federal judge overseeing Epic's antitrust case against Apple challenged the terms the tech giant is using to comply with her order to allow app developers to send users to outside payment platforms, saying Friday that Apple appears to be trying to maintain its past revenue with a new 27% fee.
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May 10, 2024
Starship Enterprise Finders Accuse Auction House Of Fraud
A pair of friends who found the long-lost model of the USS Enterprise starship featured in the "Star Trek" TV series have accused a prominent auction house of cheating them out of hundreds of thousands of dollars by secretly negotiating a cheaper deal with the son of the series creator for publicity.
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May 10, 2024
Reddit Accused Of Charging Advertisers For Fake Clicks
An artificial intelligence trading platform hit Reddit with a proposed class action on behalf of advertisers alleging that it has been charged for fraudulent "clicks" while promoting its business on the social media company's website, according to the suit filed in California federal court.
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May 10, 2024
Texas Judge Sanctions Atty The Cost Of Plane Ticket To DFW
A Texas federal judge sanctioned an attorney in the amount of the approximate cost of a last-minute flight from Los Angeles to Dallas-Fort Worth, saying in a show cause hearing Friday that he doesn't "know how you do things in LA" after the attorney didn't show up following a court order.
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May 10, 2024
Adviser's 'Rogue' Trading Cost Investor $700K, Suit Says
An attorney nearing retirement has filed suit against a former UBS investment adviser, alleging he lost over half of a $1.2 million nest egg after the adviser surrendered his broker licenses and started "rogue" trading in risky commodities investments.
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May 10, 2024
Retail Group Opposes $1B Arbitral Award Against Walgreens
An advocacy group for the retail industry is backing Walgreens as it looks to set aside a nearly $1 billion arbitral award in a dispute with a COVID test maker, telling a Delaware federal judge that judicial intervention is warranted in this case.
Expert Analysis
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This Earth Day, Consider How Your Firm Can Go Greener
As Earth Day approaches, law firms and attorneys should consider adopting more sustainable practices to reduce their carbon footprint — from minimizing single-use plastics to purchasing carbon offsets for air travel — which ultimately can also reduce costs for clients, say M’Lynn Phillips and Lisa Walters at IMS Legal Strategies.
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New Proposal Signals Sharper Enforcement Focus At CFIUS
Last week's proposed rule aimed at broadening the Committee on Foreign Investment in the United States' enforcement authority over foreign investments and increasing penalties for violations signals that CFIUS intends to continue expanding its aggressive monitoring of national security issues, say attorneys at Kirkland.
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How Companies Can Use Big Data As A Strategic Asset
Artificial intelligence technology powered by big data has the potential to create radical improvements to business operations, but if big data is improperly protected or monetized, this same information can give competitors similar advantages, or at the very least undermine a company's edge, say Gary Weinstein and Hudson Peters at Faegre Drinker.
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How Retail Tenants Can Avoid Paying Rent Prematurely
When negotiating leases for spaces in shopping centers, retail tenants should ensure that the language specifies they only need to begin paying rent when the center is substantially occupied as a whole, as it can be difficult to modify leases that are executed without co-tenancy requirements or termination rights, say Joshua Bernstein and Benjamin Joelson at Akerman.
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Policy Misrepresentations Carry Insurance Rescission Risks
The Second Circuit's recent decision in Medical Mutual v. Gnik, finding that material misrepresentation in a clinic's insurance applications warranted policy rescission, is a clear example of the far-reaching effects that misrepresentations can have and provides a reminder that policyholders should employ relatively straightforward steps to decrease risks, say attorneys at Hunton.
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Analyzing New EU Measure To Prevent Reexports To Russia
Niels Ersbøll, Alexander Italianer and Laura Beuls at Arnold & Porter offer a comprehensive overview of the European Union's new rule requiring export agreements to contain a clause prohibiting the reexport of goods to Russia, and discuss what companies should do to ensure compliance.
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3 Tech Sourcing Best Practices That Are Relevant For AI
It might be tempting to think that sourcing artificial intelligence tools requires a completely new set of skills, but the best practices that lead to a good deal are much the same as traditional technology procurement, says Mia Rendar at Pillsbury.
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Weisselberg's Perjury At Trial Spotlights Atty Ethics Issues
Former Trump Organization executive Allen Weisselberg’s recent guilty plea for perjury in the New York attorney general's civil fraud trial should serve as a reminder to attorneys of their ethical duties when they know a client has lied or plans to lie in court, and the potential penalties for not fulfilling those obligations, say Hilary Gerzhoy and Julienne Pasichow at HWG.
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Practicing Law With Parkinson's Disease
This Parkinson’s Awareness Month, Adam Siegler at Greenberg Traurig discusses his experience working as a lawyer with Parkinson’s disease, sharing both lessons on how to cope with a diagnosis and advice for supporting colleagues who live with the disease.
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Series
Playing Hockey Makes Me A Better Lawyer
Nearly a lifetime of playing hockey taught me the importance of avoiding burnout in all aspects of life, and the game ultimately ended up providing me with the balance I needed to maintain success in my legal career, says John Riccione at Taft.
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A Snapshot Of The Evolving Restrictive Covenant Landscape
Rachael Martinez and Brooke Bahlinger at Foley highlight recent trends in the hotly contested regulation and enforcement of noncompetition and related nonsolicitation covenants, and provide guidance on drafting such provisions within the context of stand-alone employment agreements and merger or acquisition transactions.
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For Lawyers, Pessimism Should Be A Job Skill, Not A Life Skill
A pessimistic mindset allows attorneys to be effective advocates for their clients, but it can come with serious costs for their personal well-being, so it’s crucial to exercise strategies that produce flexible optimism and connect lawyers with their core values, says Krista Larson at Stinson.
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Handling Customer Complaints In Bank-Fintech Partnerships
As regulators mine consumer complaint databases for their next investigative targets, it is critical that fintech and bank partners adopt a well-defined and monitored process for ensuring proper complaint handling, including by demonstrating proficiency and following interagency guidance, say attorneys at Jenner & Block.
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Trump's NY Civil Fraud Trial Spotlights Long-Criticized Law
A New York court’s recent decision holding former President Donald Trump liable for fraud brought old criticisms of the state law used against him back into the limelight — including its strikingly broad scope and its major departures from the traditional elements of common law fraud, say Mark Kelley and Lois Ahn at MoloLamken.
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What NAR Settlement Means For Agent Commission Rates
If approved, a joint settlement agreement between the National Association of Realtors and a class of home sellers will likely take the onus off home sellers to compensate buyers' agents, affecting considerations for all parties to real estate transactions, say attorneys at Jones Foster.