Class Action

  • May 24, 2017

    Used Car Dealer Adds Doubts To Class Bid In Junk Text Suit

    A used-car dealer raised numerous issues Wednesday in federal court in Miami objecting that evidence a Florida man presented in his bid to form a class to pursue claims of Telephone Consumer Protection Act violations over unsolicited text messages, as well as his suitability to lead a class.

  • May 24, 2017

    Employee Barred From Baggage Co. Over Trade Secrets Spill

    A Florida federal judge on Tuesday issued an injunction against a former baggage handling company employee as part of a settlement agreement ending allegations that he sent the company's trade secrets to Delta Air Lines Inc. during contract negotiations.

  • May 24, 2017

    Honda Won't Remedy Defective Engine Starters, Suit Says

    A Honda Accord owner hit the car manufacturer with a putative class action in New Jersey federal court on Wednesday, alleging Honda has violated consumer fraud laws by failing to remedy a defect to the engine starter system that can cause motors and batteries to fail.

  • 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

    Student Truckers Awarded $780K From Werner For Break Pay

    A Nebraska federal jury decided on Tuesday that Werner Enterprises Inc. and a subsidiary owed a class of around 52,000 student truck drivers almost $780,000 over allegations the company failed to pay the students for short rest breaks of 20 minutes or less in violation of minimum wage laws.

  • 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

    3rd Circ. Ends Amarin Shareholder Row Over Heart Drug

    The Third Circuit upheld the dismissal of a securities class action against biopharmaceuticals maker Amarin on Tuesday, agreeing with a New Jersey district court that the company’s statements about the FDA approval process for a fish oil drug were not misleading to investors.

  • 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

    Thompson & Knight Adds Trial Partner From Jones Day

    Thompson & Knight LLP added a trial partner with a focus on high-stakes litigation, particularly in the health care and oil and gas industries, to its Austin, Texas, office from Jones Day, the firm announced Wednesday.

  • May 24, 2017

    Atty Hits Back At Muzzling Motion In Chiquita MDL

    An attorney accused of improperly copying Chiquita Brands International Inc. on privileged communications in a suit claiming the company paid off a paramilitary group responded to the allegations Wednesday in Florida federal court, saying the issue arises from his attempts to sort out duplicate claims and retainer agreements.

  • May 24, 2017

    Class Cert. Granted To AT&T Call Center Reps In OT Suit

    A group of call center employees suing various Midwestern AT&T units for unpaid overtime in Illinois federal court were granted conditional class certification on Wednesday, and AT&T was given seven days to turn over a list of all its employees who might be eligible to join the suit.

  • 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

    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

    Pa. Justices Won't Hear Payroll Card Class Action Challenge

    The Pennsylvania Supreme Court on Tuesday refused to hear an appeal of a decision in a wage class action agreeing that a McDonald's franchisee ran afoul of state wage laws by requiring employees to accept their pay on debit cards.

  • 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.

  • May 24, 2017

    Chipotle Shareholder Suits Over Food Safety Consolidated

    A Colorado federal judge on Wednesday consolidated two derivative suits brought by Chipotle Mexican Grill Inc. shareholders alleging officers’ and directors’ food safety failures resulted in costly outbreaks of food-borne illnesses at the restaurant chain starting in 2015.

  • May 24, 2017

    Costco, NBTY Can't Shake Supplement Label Row, Court Told

    A consumer told a California federal court on Tuesday that Costco and NBTY aren’t entitled to a quick win in a class action accusing them of falsely advertising that a ginkgo biloba product improves mental alertness and memory, saying that the evidence makes it clear the supplement is no better than a placebo.

  • May 24, 2017

    Judge Expresses Dismay Over Ill.'s Unpaid Medicaid Bills

    A federal judge on Wednesday said “it doesn’t seem right” that Illinois isn’t paying its Medicaid bills but wasn’t sure what she could do to force the state to pay providers while it sorts through a $14 billion backlog without a budget.

  • May 24, 2017

    Landowners Denied Cert. In Union Pacific, Kinder Morgan Row

    A California federal judge declined Tuesday to certify a class of landowners challenging Union Pacific Railroad's and Kinder Morgan's use of a railroad right of way to lay pipelines, finding that the named plaintiffs had not shown their claims were typical of the claims of the proposed class, among other things.

  • May 24, 2017

    XTO Energy, Royalty Owners Settle Underpayment Claims

    An Arkansas federal judge on Tuesday agreed to dismiss suits from royalty owners that had alleged XTO Energy Inc. underpaid them for gas royalties after the owners agreed to drop their cases the same day.

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.

  • 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.

  • What Lawyers Can Learn From United's Passenger Incident

    Peter Shaplen

    Following United Airlines' disastrous response to its recent mishandling of a passenger, the change to note is simply this: While there was always pressure to mount a quick legal response and communicate it, the time frame for this has been reduced to nanoseconds, say Peter Shaplen and Traci Stuart of Blattel Communications.