Employment

  • August 19, 2014

    Samsung To Pay $2.3M To End FCA Suit Over Trade Breach

    Samsung Electronics America Inc. has agreed to pay $2.3 million to settle a whistleblower suit in Maryland federal court accusing the tech giant of violating the False Claims Act by providing resellers with inaccurate information regarding its products’ country of origin, the U.S. Department of Justice announced Tuesday.

  • August 19, 2014

    Skechers Pays $1.2M To Settle Missed Break, OT Class Action

    A California judge on Tuesday tentatively approved a $1.2 million settlement to resolve class claims by about 4,800 Skechers USA Inc. employees who alleged the shoe retailer failed to pay them for overtime worked and deprived them of meal and rest breaks.

  • August 19, 2014

    Fla. Biz Sued For Using HUBZone To Get $11M In Contracts

    The U.S. intervened Monday in a whistleblower suit in Florida federal court against construction company Air Ideal Inc. for allegedly falsely using a Historically Underutilized Business Zone address to obtain more than $11 million in government contracts.

  • August 19, 2014

    UK Lehman Bankers Will Get Pensions In $306M Settlement

    Nearly 2,500 U.K.-based former Lehman Brothers bankers will receive their pension benefits in full under a $306 million settlement that will see Lehman Brothers International (Europe) fund the pensions with contributions from other companies in the group, a British regulator said Tuesday.

  • August 19, 2014

    College Profs Seek Final OK Of $19.5M Retirement Row Deal

    College professors accusing retirement funds of profiting off their savings by delaying trades asked a Vermont federal judge to approve a $19.5 million settlement in their Employee Retirement Income Security Act consolidated class action on Tuesday, almost six months after he granted preliminary approval.

  • August 19, 2014

    Ex-DuPont Engineer Wants No Prison For Trade Secret Plot

    A former DuPont Co. engineer convicted of taking part in a conspiracy to steal the company's proprietary information and sell it to Chinese government-owned companies urged a California federal judge to sentence him to just home confinement — far less than the 15 years his partner in crime got last month.

  • August 19, 2014

    Schlumberger Suggests Ex-GC Is Behind Second Patent Suit

    Schlumberger Ltd. has filed an amended trade secrets misappropriation lawsuit in Texas state court that suggests its former chief intellectual property lawyer is behind a second patent infringement suit Acacia Research Group launched against the oilfield services company earlier this year.

  • August 19, 2014

    Hotel Union Urges 7th Circ. To Rehear Coercive Tactics Case

    The Seventh Circuit should revisit a ruling that held a local Unite Here chapter may be liable under federal labor law if a Chicago hotel can show the union harassed its corporate customers during a labor dispute, the union said Monday.

  • August 19, 2014

    PE Firm Can't Shake WARN Claims From Cuts At Bankrupt Unit

    A Delaware federal judge refused Tuesday to dismiss a lawsuit against private equity firm Navigation Capital Partners Inc. over layoffs at a bankrupt unit in 2013, ruling the former employees had adequately alleged the firm had de facto control over its affiliate and could thus be liable.

  • August 19, 2014

    11th Circ. Tosses Discrimination Suit Against Ritz-Carlton

    The Eleventh Circuit on Tuesday dismissed a suit brought by two Ritz-Carlton Hotel Co. LLC employees alleging racial discrimination by the company, calling many of their arguments “frivolous” and saying they hadn’t shown an arbitrator who ruled for the company was biased.

  • August 19, 2014

    6th Circ. Revives EMT's Gender Discrimination Suit

    The Sixth Circuit on Tuesday ruled that required psychological counseling at the center of an emergency medical technician’s long-running discrimination suit against her former employer was not a job-related medical exam under the Americans with Disabilities Act, reversing a lower court decision to toss the case.

  • August 19, 2014

    NLRB Faults Aluminum Co. For Firing 'Cut Throat' Worker

    The National Labor Relations Board ruled on Monday that Nichols Aluminum LLC unlawfully fired an employee who allegedly made a "cut throat" gesture to another worker not long after returning from a strike, reversing an NLRB judge's conclusion that the worker was discharged for violating Nichols' anti-harassment policy.

  • August 19, 2014

    Tyson Can't Escape $4M Damages, Fees In Don-Doff Suit

    A Tenth Circuit panel on Tuesday rejected Tyson Foods Inc.’s attempts to reverse a $4 million verdict and attorneys’ fee award in an employee class action over unpaid wages for time spent putting on protective equipment, finding there was enough evidence to support the jury’s finding.

  • August 19, 2014

    KBR Insists Business Gifts Aren't The Same As Kickbacks

    Kellogg Brown & Root Inc. on Monday shot back against the government's attempt to win partial summary judgment in a suit over alleged kickbacks under its Iraq War contract, saying that the government hadn't established that the kickbacks were anything but commonplace business gifts accepted by low-level KBR employees.

  • August 19, 2014

    6th Circ. Rejects Mine Safety Rule Dispute Over Jurisdiction

    The Sixth Circuit on Tuesday rejected an industry challenge to a revised U.S. Mine Safety and Health Administration rule cracking down on safety enforcement in the nation's purported most dangerous mines, saying it did not have jurisdiction to hear the case.

  • August 19, 2014

    Facebook Asks Chancery Court To Quash Director Pay Suit

    Facebook Inc. urged the Delaware Chancery Court late Monday to grant summary judgment in a derivative lawsuit challenging director pay that an investor claims is more than 45 percent higher than the company's peers, arguing the compensation has been properly approved by the social media titan's controlling stockholder, CEO Mark Zuckerberg.

  • August 19, 2014

    Pharmacists Sue Walgreen Over Uniform, Training OT

    Walgreen Co. was hit with a proposed class action in California federal court Monday in which pharmacists alleged it violated California and federal labor law by failing to pay them minimum wage and overtime for training hours and time spent maintaining their uniforms.

  • August 19, 2014

    EEOC Says Bias Claims By Gov't Workers Dip, Payouts Jump

    Federal agencies paid out more than $62 million in 2012 to government workers complaining of discrimination, even as the total number of bias complaints dropped from 2011, the U.S. Equal Employment Opportunity Commission said in a report released Tuesday.

  • August 19, 2014

    NY Nursing Home To Pay $2.2M To End Medicaid Fraud Suit

    Nursing home owner Ralex Services Inc. has agreed to pay $2.2 million to settle a whistleblower suit accusing it of bilking New York’s Medicaid program by overstating the level of care its residents needed, according to filings made in federal court Monday.

  • August 19, 2014

    Foreign Workers Seek Nod On $1.8M TruGreen Wage Deal

    Former foreign workers who say TruGreen Landcare LLC fails to pay minimum wage by not reimbursing them for visa and travel costs urged a New York federal court Monday to grant final approval to their $1.8 million collective and class action settlement with the landscaping company.

Expert Analysis

  • NY Court Cuts Back On Runner Doctrine

    David M. Cost

    While New York plaintiff attorneys will likely continue to fit cases where a plaintiff does not fall or no object falls on him under Labor Law Section 240(1), Diaz v. Globalfoundries U.S. Inc. may serve as a basis to move for summary judgment in the event the evidence shows that an object neither fell nor was on a descent when injury occurred, says David Cost of Hiscock & Barclay LLP.

  • 6th Circ. Reminds Employers Of Collective Action Danger

    Chuck Mataya

    The Sixth Circuit's ruling in Killion v. KeHe Distributors should remind employers that they accept a risk — which is compounded by the threat of a collective action — whenever they treat an employee as exempt under the Fair Labor Standards Act, says Chuck Mataya of Bradley Arant Boult Cummings LLP.

  • Free And Clear Of Successor Liability Claims

    Christopher Hopkins

    The Delaware bankruptcy court’s holding in the case of Ormet Corp. that the express provisions of Section 363(f) are not trumped by the policy considerations embodied in the Employee Retirement Income Security Act and the Multiemployer Pension Plan Amendments Act should give comfort to debtors and purchasers of assets in a free-and-clear sale, says Christopher Hopkins of Weil Gotshal & Manges LLP.

  • 8th Circ. Provides Guidance On FCA Public Disclosure Bar

    Joe Dosch

    The Eighth Circuit recently affirmed the dismissal of a qui tam False Claims Act suit in Paulos v. Stryker Corp., and in doing so offered helpful guidance regarding the proper application of the public disclosure bar, while highlighting an open issue regarding public disclosure, say Scott Stein and Joe Dosch of Sidley Austin LLP.

  • A Clash Of Cultures: Employee Committees In The US

    Douglas A. Darch

    Management should proceed with caution when a union agrees to the establishment of a European-style works council and cedes its bargaining authority to the council because a union is free at any time — including during the term of a collective agreement — to void its agreement without violating U.S. labor laws, say Alexander Wolff and Douglas Darch of Baker & McKenzie.

  • Staying Union-Free Requires Proactive Steps By Employers

    Michael W. Groebe

    While congressional assistance for union organizing is not likely forthcoming, the United Auto Workers did not raise dues for the first time in decades just to sit back and allow its membership numbers to continue to dwindle — increases in organizing efforts are on the way, says Michael Groebe of Foley & Lardner LLP.

  • Prepare For The Wave Of FCRA Class Actions

    Stephanie A. Sheridan

    To minimize exposure to the recent influx of Fair Credit Reporting Act complaints it is best to use a properly worded stand-alone document and keep all other content in the employment application form separate and distinct, say Stephanie Sheridan and Denise Trani-Morris of Sedgwick LLP.

  • An In-House Lawyer's Top 10 Tips For Outside Counsel

    Francis M. Drelling

    To this day, I have yet to see a litigation hold letter that was written by someone who understands the realities of how a business is actually run. In-house counsel cannot issue decrees to business units that read like they are issued by the king to his subjects, says Francis Drelling, in-house counsel at Specialty Restaurants Corp.

  • Structuring Equity Compensation Options For Partnerships

    Colleen Hart

    Ultimately, it is possible to establish an equity plan for a publicly traded partnership that is a reasonable facsimile of equity plans established by corporations — from the perspective of the employee or other service provider, the grants and mechanics are likely to appear very similar, says Colleen Hart of Proskauer Rose LLP.

  • Consider Hearsay Issues Before A Rule 30(b)(6) Deposition

    Susan F. DiCicco

    To avoid the risk of multiple depositions or inadmissible testimony, all counsel should focus prior to a deposition — and before designating a witness — on knowledge and hearsay issues that may arise at Rule 30(b)(6) depositions, say Susan DiCicco and Stephen Scotch-Marmo of Bingham McCutchen LLP.