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Benefits
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March 01, 2024
Tesla Stock For Fees? Attys Who Got Musk's Pay Cut Say Yes
The lawyers who convinced the Delaware Chancery Court to scuttle Elon Musk's proposed $55 billion Tesla compensation package on Friday filed a request for legal fees that came with a twist — they want to be paid in Tesla stock that rounds out to about $5.6 billion.
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March 01, 2024
Aetna Can't Escape Fertility Bias Suit From Same-Sex Couple
A California federal judge has declined to toss a woman's case challenging Aetna's fertility treatment coverage as discriminatory, finding at this stage, she has sufficiently argued that the policy discriminates against LGBTQ couples in violation of the Affordable Care Act.
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March 01, 2024
4 Argument Sessions Benefits Attys Should Watch In March
The Biden administration will urge the Fifth Circuit to preserve preventive services requirements in the Affordable Care Act, the Eighth Circuit will dive into an insurer's payment practices, and the Eleventh Circuit will hear Home Depot workers' bid to revive their 401(k) suit.
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March 01, 2024
55K Labcorp 401(k) Participants Seek Class Cert. In NC
Tens of thousands of participants in a 401(k) plan for Labcorp employees asked a North Carolina federal court on Friday to certify the claims in their benefits lawsuit, arguing they had claims common and typical to warrant certification.
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March 01, 2024
Fla. Officials Say Better Process Wouldn't Stop Medicaid Cuts
Florida health officials have urged a federal judge to toss a proposed class action brought by residents who argued state agencies cut their Medicaid coverage without proper notice, saying whatever notice the agencies might have provided, it wouldn't have made any difference in the residents' eligibility.
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March 01, 2024
Printing Co. Strikes Deal To End Ex-Employees' 401(k) Suit
A Minnesota printing company has agreed to end a proposed class action alleging it unlawfully kept high-priced investment options in its employee 401(k) plan when cheaper alternatives were available, a group of former employees told a federal court.
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March 01, 2024
Gilead, Cipla Ink Deal To End HIV Drug Buyers' Antitrust Suit
Gilead Sciences Inc. and generics maker Cipla told a California federal judge Friday they've reached a settlement ending a proposed class action filed by a public employees' health insurance fund over an alleged anti-competitive patent deal to delay the launch of a generic version of the HIV drug Truvada.
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March 01, 2024
DC Circ. Enforces UAW Bargaining Order With Auto Parts Co.
The National Labor Relations Board correctly found that an automotive parts manufacturer stalled and improperly withdrew recognition from a United Auto Workers local after union certification, the D.C. Circuit ruled Friday, denying the company's request to challenge the ruling and granting the board's bid to enforce it.
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March 01, 2024
Atty Censured Over Conduct In NFL Concussion MDL
A Pennsylvania federal judge has rejected objections from a law firm and its principal and affirmed a special masters' determination that the attorney be censured for engaging in "questionable behavior" while trying to secure monetary awards for clients from the NFL players' concussion injury litigation settlement.
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March 01, 2024
Aon, Transport Co. To Pay $9M To End Workers' ERISA Suit
A transportation company and its investment consultant will foot a $9 million bill to end a class action accusing them of running afoul of federal benefits law by replacing investment options in the company's retirement plan with subpar funds, according to a filing in Ohio federal court.
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March 01, 2024
18-Year Ogletree Shareholder Named ERIC Legal Group Head
A longtime Ogletree Deakins Nash Smoak & Stewart PC shareholder has left the firm for a role as executive director of the ERISA Industry Committee's Legal Center, the group announced Friday.
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February 29, 2024
Exxon Protected From Plant Fire Suits, Texas Court Rules
Providing workers' compensation insurance to its subcontractors shielded ExxonMobil Corp. from personal injury lawsuits brought by workers hurt in a fire at one of its petrochemical plants, a Texas appellate court said Thursday, overriding a trial court ruling against the oil giant.
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February 29, 2024
Real Estate Tech Co. Opendoor Beats Investor Suit, For Now
Real estate marketplace giant Opendoor Technologies Inc. has beaten, for now, a suit accusing it of misleading investors about its artificial-intelligence-powered algorithm and ability to remain profitable, with an Arizona federal judge ruling that many of the challenged statements in the suit are not actually false or misleading.
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February 29, 2024
Duke Can't Escape Retiree's Mortality Data Lawsuit
Duke University can't toss a retiree's suit alleging it underpaid former employees millions by using outdated mortality data to calculate their retirement benefits, a North Carolina federal judge said Thursday, ruling that the former worker put forward enough detail showing she was harmed.
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February 29, 2024
Insurance Co. Settles Mass. Worker's Long COVID Suit
Lincoln Life Assurance has agreed to resolve a suit alleging it wrongly cut off disability payments to a worker who was recovering from over a year of debilitating long-term symptoms caused by COVID-19, according to a Thursday order in Massachusetts federal court.
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February 29, 2024
Aetna Asks Judge To Force Arbitration In Aramark ERISA Feud
Aetna Life Insurance Co. says Aramark Services Inc. and its affiliated employee health plans ignored arbitration requirements in their contract when they filed a lawsuit in Texas accusing Aetna of mismanaging Aramark's health insurance claims, and has asked a Connecticut federal court to force the parties to arbitration there.
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February 29, 2024
10th Circ. Says NLRB's Remedies 'Inconsistent' With Law
The National Labor Relations Board surpassed its powers when ordering a concrete company to make pension contributions and profit-sharing payments to workers without factoring in past compensation, the Tenth Circuit ruled, sending the case back to the board for a second look but finding the company violated federal labor law.
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February 29, 2024
NJ Panel Says Ex-City Prosecutor Not Eligible For Pension
A former municipal prosecutor was not a city employee but a professional service provider, a New Jersey appellate panel held Thursday, stripping him of seven years of pension participation and credits.
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February 29, 2024
Abortion Coverage Remains Steady Post Dobbs, Survey Says
Abortion coverage has not been significantly rolled back from the nation's largest employer-sponsored health insurance plans since the U.S. Supreme Court overturned Roe v. Wade in 2022, according to a Thursday brief from the Kaiser Family Foundation.
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February 28, 2024
SEC Taps Agency Vet To Lead Adviser, Fund Rulemaking Unit
The U.S. Securities and Exchange Commission announced Wednesday that an agency veteran currently serving as deputy director of the examinations division will be the new head of its investment management division, which oversees the regulation of investment advisers, mutual funds and certain private fund operators.
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February 28, 2024
Musk, Ex-Twitter Staff Fail To Reach Deal In Severance Dispute
Settlement talks between X Corp., formerly known as Twitter, and a group of former employees have fallen apart, the parties told a Delaware federal judge on Wednesday, asking the judge to lift a stay in their dispute over severance compensation.
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February 28, 2024
Tilray Can't Get Exec's $4M Arbitration Award Tossed
Cannabis company Tilray Brands Inc. can't evade a nearly $4 million arbitration award to a former executive it fired, a federal judge ruled, saying the company's arguments for why the Washington district court should have jurisdiction over a Minnesota arbitration are "wrong on all counts."
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February 28, 2024
Save Mart Retirees Add To Nonunion Health Benefits Suit
Four retirees of a supermarket chain serving California and Nevada added two claims to their proposed Employee Retirement Income Security Act class action against their former employer, telling a California federal judge that Save Mart Supermarkets failed to properly terminate a health care plan for nonunion employees.
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February 28, 2024
Pilots Say Airline Shorted Servicemembers' 401(k) Funds
A discount airline unlawfully failed to contribute to employees' retirement funds when they were on military leave despite repeatedly being told about the oversight by pilots and their union, according to a proposed class action in Minnesota federal court.
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February 28, 2024
8th Circ. Axes Federal Mine Agency's Win In Pay Bias Row
A unanimous Eighth Circuit panel tossed a Federal Mine Safety and Health Review Commission ruling that a cement company discriminated against a worker by cutting bonuses she was to receive for helping federal inspectors at a mine, saying Wednesday the cut was not motivated by bias.
Expert Analysis
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Takeaways From New Fla. Pharmacy Benefit Manager Rules
A recently passed Florida law imposes several new requirements on pharmacy benefit managers, necessitating practical considerations that range from potential license application delays to possible trade secret exposure, say Thomas Range and Bruce Platt at Akerman.
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Roadblocks For Cannabis Employers Setting Up 401(k) Plans
Though the Internal Revenue Code and the Employee Retirement Income Security Act generally allow cannabis businesses to establish 401(k) plans for their employees, companies must still pick their way through uncertainties around tax deductions and recruiting reliable vendors, say attorneys at Shipman & Goodwin.
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Some Client Speculations On AI And The Law Firm Biz Model
Generative artificial intelligence technologies will put pressure on the business of law as it is structured currently, but clients may end up with more price certainty for legal services, and lawyers may spend more time being lawyers, says Jonathan Cole at Melody Capital.
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Revenue Sharing Argument Might Save Barrick In 401(k) Case
During recent oral arguments before the Tenth Circuit, Barrick Gold presented revenue sharing as an obvious alternative explanation for the selection of higher-cost share classes in its ex-workers’ 401(k) plan, establishing that dismissal of the case would be consistent with U.S. Supreme Court pleading standard precedent, say Emily Costin and Blake Crohan at Alston & Bird.
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Now More Than Ever, Fiduciaries Must Revisit ERISA Origins
Given increasing political pressures, including legislation on ESG investing, fiduciaries should have a firm grasp on the historical foundations of the Employee Retirement Income Security Act, especially its allocation and delegation provision — the act's most important fiduciary duty shield, says Jeff Mamorsky, a Cohen & Buckmann partner who helped draft the statute.
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A Lawyer's Guide To Approaching Digital Assets In Discovery
The booming growth of cryptocurrency and non-fungible tokens has made digital assets relevant in many legal disputes but also poses several challenges for discovery, so lawyers must garner an understanding of the technology behind these assets, the way they function, and how they're held, says Brett Sager at Ehrenstein Sager.
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Opinion
High Court's Ethics Statement Places Justices Above The Law
The U.S. Supreme Court justices' disappointing statement on the court's ethics principles and practices reveals that not only are they satisfied with a status quo in which they are bound by fewer ethics rules than other federal judges, but also that they've twisted the few rules that do apply to them, says David Janovsky at the Project on Government Oversight.
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Opinion
Time For Law Schools To Rethink Unsung Role Of Adjuncts
As law schools prepare for the fall 2023 semester, administrators should reevaluate the role of the underappreciated, indispensable adjunct, and consider 16 concrete actions to improve the adjuncts' teaching experience, overall happiness and feeling of belonging, say T. Markus Funk at Perkins Coie, Andrew Boutros at Dechert and Eugene Volokh at UCLA.
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4th Circ. Ruling Reveals 2 Layoff Pitfalls To Avoid
The Fourth Circuit's recent decision in Messer v. Bristol Compressors serves as a reminder that employers have a continuing obligation to keep employees informed about mass layoffs, and that employees do not need to show prejudice to succeed on Worker Adjustment and Retraining Notification Act claims, say Kevin White and Steven DiBeneditto at Hunton.
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Opinion
Duty To Oversee ESG Risks Would Erode Biz Judgment Rule
Imposing a duty to oversee ESG business risks on directors and officers is the exact kind of second-guessing that the business judgment rule is supposed to protect against, and it could expose corporate leaders to ruinous liability and disincentivize serving on public company boards, say Stephen Leitzell and Richard Horvath at Dechert.
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Tips For In-House Legal Leaders In A Challenging Economy
Amid today's economic and geopolitical uncertainty, in-house legal teams are running lean and facing increased scrutiny and unique issues, but can step up and find innovative ways to manage outcomes and capitalize on good business opportunities, says Tim Parilla at LinkSquares.
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How Cities Can Tackle Post-Pandemic Budgeting Dilemmas
Due to increasing office vacancies around the country, cities may consider politically unpopular actions to avoid bankruptcy, but they could also look to the capital markets to ride out the current real estate crisis and achieve debt service savings to help balance their budgets, say attorneys at Cadwalader.
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What Associates Need To Know Before Switching Law Firms
Excerpt from Practical Guidance
The days of staying at the same firm for the duration of one's career are mostly a thing of the past as lateral moves by lawyers are commonplace, but there are several obstacles that associates should consider before making a move, say attorneys at HWG.
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A Case For Sharing Mediation Statements With Counterparties
In light of a potential growing mediation trend of only submitting statements to the mediator, litigants should think critically about the pros and cons of exchanging statements with opposing parties as it could boost the chances of reaching a settlement, says Arthur Eidelhoch at Eidelhoch Mediation.
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Challenging Standing In Antitrust Class Actions: Injury-In-Fact
As demonstrated in recent cases, the classic injury-in-fact requirement for Article III standing claimed in most antitrust suits is economic harm — and while concrete harm satisfies the requirement, litigants may still be able to challenge whether economic injury has occurred, say Michael Hamburger and Holly Tao at White & Case.