California

  • May 24, 2017

    SpaceX Techs Pressured To Fake Rocket-Part Tests, Jury Told

    A SpaceX employee testified Wednesday in his California wrongful firing trial that he told a human resources official that managers were pressuring workers to falsify test documents, and he wanted to talk to CEO Elon Musk directly “because managers were blocking my feedback on this.”

  • May 24, 2017

    Ex-Playmate Gets Community Service For Locker Room Pic

    Former Playboy Playmate Dani Mathers copped to an invasion of privacy charge in California state court and will serve 30 days of community service for mocking a woman she’d surreptitiously photographed on social media, Los Angeles City Attorney Mike Feuer said Wednesday.

  • May 24, 2017

    UC, Medivation Settle Drug Royalty Row On Eve Of Trial

    The University of California and pharmaceutical maker Medivation told a San Francisco jury Wednesday that they had settled the school’s drug patent licensing suit on the eve of trial, thanking jurors and telling them the jury selection process had helped usher in the deal.

  • May 24, 2017

    State AGs Set Data Security Bar With Record $18.5M Pact

    State attorneys general flexed their privacy muscles Tuesday with a record $18.5 million settlement with Target over the retailer's 2013 data breach, highlighting not only a growing willingness to band together to tackle such issues, but also a desire to lay out specific standards that other businesses would be wise to follow.

  • May 24, 2017

    Phony 5-Hour Energy Bottle Maker Gets Over 2 Years

    A California federal judge sentenced a bottle maker on Wednesday to more than two years in prison for his role in a massive scheme to counterfeit 5-Hour Energy drinks, saying he must serve prison time even if he didn’t originally know conspirators had asked him to make packaging for phony products.

  • May 24, 2017

    Matsuo’s $4M Bid-Rigging Fine A ‘Sweetheart Deal’: Judge

    A California federal judge called Matsuo Electric Co. Ltd.’s $4.17 million criminal fine a “sweetheart deal” at a Wednesday sentencing hearing on charges it fixed prices of electrolytic capacitors, and said he’d need information on the company’s financial status before deciding whether a five-year payment plan for the fine was necessary.

  • May 24, 2017

    Theranos Dodges Investors’ ‘Boundless’ Docs Bid, For Now

    A California magistrate judge refused Wednesday to order Theranos to provide a putative shareholder class with all documents the beleaguered startup produced in similar, recently settled suits over claims it lied about the accuracy of its blood tests, saying he opened discovery, but “that doesn’t mean discovery is boundless.”

  • May 24, 2017

    EEOC, Other Amici Push 9th Circ. To Rethink Equal Pay Ruling

    The U.S. Equal Employment Opportunity Commission and advocacy groups asked the Ninth Circuit to reconsider its ruling overturning an employee’s win in her salary case against a California school superintendent, saying in briefs entered Wednesday the school’s pay policy perpetuates what the law sought to undo.

  • May 24, 2017

    Jury Hands UC Berry IP Win, But Judge Slams Both Sides

    A California federal jury found largely in favor of the University of California Davis on Wednesday in a suit claiming two professors stole intellectual property from its strawberry breeding program in launching their rival company, but the presiding judge said “both sides are to blame,” because the university failed to plan the strawberry program’s future.

  • May 24, 2017

    Novo Nordisk, Benefit Co. Conspired To Hike Prices, Suit Says

    Drugmaker Novo Nordisk Inc. and pharmacy benefit manager OptumRx Inc. have conspired to artificially inflate the price of a Type 2 diabetes medication, forcing patients to pay more than they normally would for the treatment, according to a proposed class action filed Tuesday in California federal court.

  • May 24, 2017

    $51M Class Settlement Wins Initial OK In Hard Rock Suit

    A California federal judge signed off Wednesday on preliminary approval of a $51.15 million proposed class action settlement fund to resolve condo-hotel unit buyers’ claims over a Hard Rock Cafe International USA Inc. venture that allegedly violated land sale regulations.

  • May 24, 2017

    Education Tech. Co. Not Covered For FCA Suit, 9th Circ. Told

    Scottsdale Insurance Co. on Wednesday asked the Ninth Circuit to affirm that it doesn't have to cover education technology company HotChalk Inc.'s costs to defend and settle a False Claims Act suit accusing it of unlawfully offering incentives to employees for student recruitment, saying a lower court had properly held that an exclusion barred coverage.

  • May 24, 2017

    O’Melveny Adds IP Special Counsel In Silicon Valley

    O’Melveny & Myers LLP is bolstering its intellectual property and technology practice at its Silicon Valley office with the addition of a veteran advertising and marketing IP special counsel from DLA Piper, the firm announced.

  • May 24, 2017

    Hot Yoga Guru's Defiance Earns Arrest Warrant, $8M Bail

    A California judge issued an arrest warrant Wednesday for Bikram Choudhury with a bail of $8 million for defying court orders to turn over assets to satisfy a $6.7 million judgment the yogi's ex-attorney won against him in a sex harassment case, according to the ex-attorney’s legal team.

  • May 24, 2017

    Delivery Agent Execs Say Stearns Weaver Can't Rep Investor

    Executives of Delivery Agent Inc. have urged a California federal judge to disqualify Stearns Weaver Miller Weissler Alhadeff & Sitterson PA from representing an investor suing the bankrupt online retail club’s brass over allegations of securities fraud, saying a company executive previously sought legal advice from the firm. 

  • May 24, 2017

    Truckers Denied Class Cert. In Rest Break Suit

    A California federal judge declined Tuesday to certify a proposed class alleging that Swift Transportation Co. of Arizona denies drivers rest periods required by state law, saying that whether a given driver should be in the class is too fact-intensive for the suit to be decided collectively.

  • May 24, 2017

    Waymo Wants Privilege Log From Uber Exec In IP Suit

    Waymo asked a California federal judge on Tuesday to force a former engineer who's now working for Uber to provide a detailed list of documents he's refusing to disclose under the Fifth Amendment in a high-profile trade secrets fight alleging the ride-sharing giant stole the Alphabet Inc. unit's self-driving car technology.

  • May 24, 2017

    1 Of 6 Classes Gets Cert. In Big Lots Wage Suit

    Big Lots Stores Inc. will face just one of six proposed classes accusing the company of cheating workers out of pay after a California federal judge on Tuesday found some of the proposed groups had claims not mentioned in the complaint.

  • May 24, 2017

    Embattled Calif. Tax Board Adopts Governance Proposals

    California’s beleaguered tax board, which is facing investigations for the alleged misuse of state resources and other questionable practices, managed to adopt some new policies on Tuesday to curtail its own powers while struggling to formulate a new governance model for itself.

  • May 24, 2017

    Calif. Residents Win Cert. In Insurance Depreciation Row

    A California federal judge on Monday granted class certification to around 19,500 residents in a breach of contract suit against Hartford Casualty Insurance Co.,  finding a policyholder adequately alleged he suffered damages over the company’s allegedly illegal depreciation methods.

Expert Analysis

  • Extending Omnicare Beyond The Section 11 Case

    William Sullivan

    With its recent decision in a securities suit against Align Technology, the Ninth Circuit joined the Second Circuit in applying Omnicare’s heightened falsity pleading standards to Section 10(b) and Rule 10b-5 fraud claims. Companies should therefore pay attention to the Omnicare standards as applied to all of their public statements, say attorneys with Paul Hastings LLP.

  • My Milkshake Is Better Than Yours: Part 1

    Jill Dessalines

    As I sat there listening, incredulous to learn that "Milkshake" was not only a real song but also a chart-topper, it reminded me of Harvard Business School Professor Clayton Christensen’s work on disruptive innovation — and how it pertains to mid-size law firms, says Jill Dessalines, founder of Strategic Advice for Successful Lawyers and former assistant general counsel of McKesson Corp.

  • And Now A Word From The Panel: MDL Forum Selection

    Alan Rothman

    In the latest installment of his column on the Judicial Panel on Multidistrict Litigation, Alan Rothman of Arnold & Porter Kaye Scholer LLP takes a closer look at how the panel decides to exclude a potentially related action from a new MDL proceeding, and at how the panel deals with forum selection clauses in contracts between parties in multidistrict claims.

  • A Potent Weapon For Fighting False Ad Claims At 9th Circ.

    Michelle Gillette

    The Ninth Circuit’s recent decision in Kwan v. SanMedica International is good news for companies doing business in California, especially supplement manufacturers, that often find themselves sued in class actions attacking the studies on which they base their claims, say Michelle Gillette and Josh Foust of Crowell & Moring LLP.

  • Series

    Revisiting Affiliated Ute: And Its Limits In The 5th Circ.

    Susanna Buergel

    Given the perceived higher hurdles to class certification, it is likely that counsel for plaintiffs in securities cases will seek to recharacterize their claims as omission claims to take advantage of the 45-year-old Affiliated Ute presumption. In the Fifth Circuit, that will be a challenging task, say attorneys with Paul Weiss Rifkind Wharton & Garrison LLP.

  • Closing The Door On Hybrid Product Defect-Fraud Claims

    Erin Bosman

    Last month, a California federal court dismissed a proposed consumer fraud class action against BMW over soft-closing automatic car doors. While many automotive defect claims are brought as pure product liability actions, the plaintiffs in this case sought to “hybridize” product liability and fraud doctrines. The case illustrates the perils of overreaching, say attorneys from Morrison & Foerster LLP.

  • Back To The Fourco: High Court's New, Old Patent Venue Test

    Brian Ferguson

    For nearly 30 years, courts have liberally construed the patent venue statute. But no more — on Monday the U.S. Supreme Court reinstated its 1957 Fourco interpretation of the statute. This decision in TC Heartland will have a profound and immediate impact on patent litigation, say Brian Ferguson and Rahul Arora of Weil Gotshal & Manges LLP.

  • Series

    Revisiting Affiliated Ute: Back In Vogue In The 9th Circ.

    Michele Johnson

    While there are still very few district court decisions within the Ninth Circuit to have analyzed the relationship between the Affiliated Ute and the fraud-on-the-market presumptions of reliance since the U.S. Supreme Court’s 2014 Halliburton decision, plaintiffs are increasingly attempting to plead both theories, as demonstrated by several recent decisions, say Michele Johnson and Colleen Smith of Latham & Watkins LLP.

  • Attorneys, Your Input Is Needed On Deposition Rule

    Frank Silvestri, Jr.

    Every lawyer who’s handled a civil case in federal court knows about Rule 30(b)(6), governing deposition procedures. But for many real-world deposition dilemmas, the rule offers little guidance. Last year, an Advisory Committee on Civil Rules subcommittee began considering whether the rule should be amended. Now attorneys must advise the subcommittee how to proceed, says Frank Silvestri Jr. of Verrill Dana LLP.

  • Series

    Revisiting Affiliated Ute: Impact In The 7th Circ.

    Julie Goldsmith Reiser

    In the 45 years since the U.S. Supreme Court's ruling in Affiliated Ute, the Seventh Circuit has cited it 145 times. The most significant of these decisions was the court's rejection of the “fraud created the market” theory as an extension of Affiliated Ute, says Julie Goldsmith Reiser of Cohen Milstein Sellers & Toll PLLC.