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Class Action
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April 26, 2024
HomeServices Brokerage Reaches Deal With Home Sellers
Berkshire Hathaway-owned brokerage firm HomeServices of America reached a deal Friday to settle claims that it forced a class of home sellers to pay inflated commissions, closely following the approval of a $418 million deal between the class and the National Association of Realtors.
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April 26, 2024
Wells Fargo Clients Seek Class Cert. In Race Bias Suit
Mortgage applicants accusing Wells Fargo of discriminating against borrowers from racial minorities with higher interest rates, worse terms and more scrutiny than white clients have asked a California federal judge to approve their class.
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April 26, 2024
Ill. Hospital Wins Dismissal Of Genetic Privacy Case
An Illinois state court judge has thrown out a proposed class action accusing Advocate Health and Hospitals Corp. of violating the state's decades-old genetic information privacy law, saying Wednesday the lead plaintiff not only released the hospital system from liability, but was largely asked about her own medical status after she was already offered a job.
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April 26, 2024
Apple Keeps Win Over Fortnite Player In Calif. Antitrust Suit
A California state appeals court on Thursday refused to revive a putative class action brought by Fortnite players alleging that Apple's App Store policies violate the state's antitrust and unfair competition laws, saying because the tech giant's conduct is immune from antitrust liability it can't be held to be "unfair."
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April 26, 2024
Umpqua Bank Seeks Win On Investors' Ponzi Aiding Claims
Oregon-based Umpqua Bank has asked a San Francisco federal judge to toss claims that it aided and abetted a $250 million real estate Ponzi scheme, arguing the investors who brought the suit saw that their funds were put into "legitimate" investments.
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April 26, 2024
NJ Solar Co. To Settle Claims It Ignored Do Not Call List
Apollo Energy Co. and the Pennsylvania man who accused it of repeatedly calling consumers who had put their phone numbers on the national Do Not Call registry or who had already asked not to call them again have agreed to settle their dispute, the parties said.
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April 26, 2024
Investors Ask 3rd Circ. To Revive Row With Maiden Holdings
Investors urged the Third Circuit to revive their suit claiming that reinsurance company Maiden Holdings Ltd. misrepresented its underwriting and risk management practices, saying the lower court's erroneous discovery restriction prevented them from proving their case.
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April 26, 2024
CVS Customers Say Colo. Co. 'Eavesdrops' On Web Activity
Two consumers who used CVS.com to order prescription refills have filed a putative class action against a Colorado software service provider claiming it illegally eavesdrops on visitors' interactions with the website without their knowledge, even gathering information about specific drugs and dosages they purchased.
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April 26, 2024
Blackstone Must Face Claims Of Price-Fixing At Vegas Hotels
A Las Vegas hotel price-fixing suit against Blackstone and others has survived the private equity firm's motion to dismiss, with a Nevada federal judge ruling the plaintiffs had shown enough to allege Blackstone was in control of one of the target hotels, the Cosmopolitan Hotel, at the time of the alleged scheme.
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April 26, 2024
HCA Owes OT, Break Wages, Ex-NC Hospital Worker Says
A longtime respiratory therapist at a western North Carolina hospital accused the system's owners of manipulating employees' time sheets to remove hours they worked and automatically deducting lunch breaks workers couldn't take in a proposed collective action filed in federal court.
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April 26, 2024
Sonus $4.5M Settlement With Investors Gets Final OK
A Massachusetts federal judge has granted final approval to a $4.5 million settlement, including $1.5 million in fees for class counsel, to resolve a securities class action between the former Sonus Networks Inc. and investors over a 2015 stock price decline tied to the communications company's revenue forecasting.
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April 26, 2024
TETRA Tech Shareholder Sues In Del. To Stop Poison Pill
A TETRA Technologies Inc. investor has filed a proposed class action in Delaware's Court of Chancery accusing the company of adopting a poison pill as a prohibited anti-takeover weapon rather than an allowable shield for $411 million in tax-advantaged net operating losses.
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April 26, 2024
Flight Attendants Seek Class Status In FMLA Penalty Suit
Former and current Southwest flight attendants have asked a California federal judge for class status in their suit claiming the airline punished workers who took family or medical leave by blocking them from improving their disciplinary records, arguing that their allegations are best resolved collectively.
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April 26, 2024
Therapy Co. SPAC Investors To Settle Del., Ill. Merger Suits
An attorney for a blank-check company that took ATI Physical Therapy Inc. public told Delaware's Court of Chancery it has agreed to settle two proposed stockholder class actions in conjunction with pending federal class and derivative suits in the Northern District of Illinois.
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April 25, 2024
Tesla Says Investors May Want To Influence Shareholder Vote
Tesla on Thursday questioned the motives of investors who want billions of dollars in company stock put into a trust, saying that their push to hasten the court's decision in their suit over Elon Musk's compensation plan raises concerns that they want to "elicit commentary" ahead of a shareholder meeting.
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April 25, 2024
QuidelOrtho Execs Lied About COVID Test Revenue, Suit Says
A QuidelOrtho Corp. investor on Thursday filed a derivative shareholder suit in New York federal court against board members and executives of the diagnostic healthcare company, alleging they made misleading statements about the company's ability to maintain a high margin revenue after sales of its COVID-19 detection tests plunged.
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April 25, 2024
5th Circ. Axes Class Claims Over Anadarko's $900M Write-Off
The Fifth Circuit on Thursday decertified a class of Anadarko Petroleum Corp. shareholders who claim they lost money on the company's bad oilfield bet, ruling a lower court judge didn't allow the company to respond to an expert report that tied a stock price drop to a $900 million write-off disclosure.
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April 25, 2024
McDermott Judge U-Turns, Says Some Investors Deserve Cert.
A Texas federal magistrate judge reversed his recommendation that investors be denied class certification in litigation over McDermott International's $6 billion merger with Chicago Bridge & Iron, saying a former CB&I shareholder class "should be certified now" and a putative McDermott stock purchaser class be created for subsequent consideration.
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April 25, 2024
Real Estate Exec Can't Escape Shareholder's Self-Dealing Suit
A California federal judge ruled that a derivative shareholder suit accusing the president of a real estate management and investment firm of misusing nearly $35 million of company revenue now passes the so-called Zuckerberg test since the plaintiff sufficiently pled that demand on the company's board members would be futile.
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April 25, 2024
Zendesk Beats Shareholders' Suit Over $10B PE Takeover
Zendesk Inc. has defeated a securities class action in California federal court accusing the customer service software company of undervaluing itself to get a $10.2 billion go-private merger with private equity firms approved by Zendesk shareholders.
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April 25, 2024
Objector Takes $125M PACER Overcharge Deal To Fed. Circ.
An objector to a $125 million deal resolving class action claims that the federal judiciary overcharges users of its PACER court records system is taking his challenge to the settlement to the Federal Circuit.
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April 25, 2024
PHX Minerals Stockholders Sue In Del. To Change Bylaws
A proposed class of PHX Minerals Inc. stockholders has sued the natural gas and oil mineral company and its board in Delaware state court, arguing that the company's bylaws must be changed to bring them into compliance with the Delaware General Corporation Law.
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April 25, 2024
Delta Illegally Shares Fliers' Info With Facebook, Suit Says
Delta Air Lines Inc. was hit with a proposed class action lodged Thursday in California state court by two customers who accused it of unlawfully sharing their personal information with Facebook, including their travel dates, airport destinations, travel class, loyalty status, language and currency used to book flights on the airline's website.
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April 25, 2024
Manufacturer To Pay $3M To End Retirement Kickback Suit
An aerospace and auto parts manufacturer will pay nearly $3 million to settle a suit claiming it pushed workers' retirement savings into lackluster funds through an investing tool that prioritized kickbacks for the plan's recordkeeper over returns for employees, according to a filing Thursday in Michigan federal court.
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April 25, 2024
Judge Decries Discovery Delay In Chicago Genetic-Bias Fight
An Illinois federal judge has warned a proposed class of Chicago employees that further discovery delays in their suit alleging a city wellness program intentionally discriminated against them on the basis of their genetic information could result in the court barring witnesses' testimony from the case.
Expert Analysis
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3 Tips For Defending Against Data Breach Litigation
As cyberattacks become more prevalent, companies responding to data breaches must consider several strategies to better position themselves in the event of litigation even during their preliminary investigations and breach notifications, say attorneys at Davis Wright.
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Tips For Litigating Against Pro Se Parties In Complex Disputes
Litigating against self-represented parties in complex cases can pose unique challenges for attorneys, but for the most part, it requires the same skills that are useful in other cases — from documenting everything to understanding one’s ethical duties, says Bryan Ketroser at Alto Litigation.
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Opinion
Test Results Signal Poor Odds For Lead Cables Litigation
After sites in New York and New Jersey allegedly contaminated with lead by telecommunications cables were found by state and federal agencies to present no imminent threats to public health, it seems unlikely that mass litigation over this issue by plaintiffs firms or state attorneys general will succeed, says Andrew Ketterer at Ketterer & Ketterer.
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How Justices' Disclosure Ruling May Change Corp. Filings
In the upcoming Macquarie Infrastructure v. Moab Partners case, the U.S. Supreme Court will resolve a circuit split over whether a company may be sued for private securities fraud if they fail to disclose certain financial information in public filings, which may change the way management analyzes industry risks and trends for investors, says Paul Kisslinger at Lewis Brisbois.
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How Ill. Supreme Court Could Shape Statutory Violation Cases
In Fausett v. Walgreens, the Illinois Supreme Court will take up the question of whether a violation of the Fair and Accurate Credit Transactions Act satisfies the injury-in-fact requirement, and any outcome could significantly change the litigation landscape in Illinois, say Donald Patrick Eckler and Joshua Zhao at Freeman Mathis.
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Class Action Defense: Don't Give Up On Bristol-Myers Squibb
Federal appellate court decisions in the six years since the U.S. Supreme Court decided Bristol-Myers Squibb show that it's anyone's ballgame in class action jurisdictional arguments, so defendants are encouraged to consider carefully whether, where and when arguing lack of specific personal jurisdiction may be advantageous, say attorneys at K&L Gates.
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Pro Bono Work Is Powerful Self-Help For Attorneys
Oct. 22-28 is Pro Bono Week, serving as a useful reminder that offering free legal help to the public can help attorneys expand their legal toolbox, forge community relationships and create human connections, despite the challenges of this kind of work, says Orlando Lopez at Culhane Meadows.
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High Court Bakery Driver Case Could Limit Worker Arbitration
Employers that require arbitration of worker claims under the Federal Arbitration Act should closely follow Bissonnette v. LePage Bakeries as it goes before the U.S. Supreme Court, which could thoroughly expand the definition of “transportation workers” who are exempt from compulsory arbitration and force companies to field more employee disputes in court, says Nick Morisani at Phelps Dunbar.
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Series
Playing In A Rock Cover Band Makes Me A Better Lawyer
Performing in a classic rock cover band has driven me to hone several skills — including focus, organization and networking — that have benefited my professional development, demonstrating that taking time to follow your muse outside of work can be a boon to your career, says Michael Gambro at Cadwalader.
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How To Advertise Carbon Reductions Under New Calif. Law
As more companies advertise their efforts to reach the status of carbon neutral or net zero, California's recently enacted Voluntary Carbon Market Disclosures Act aims to force companies to more clearly disclose the basis for such claims — and there's not a lot of time to comply, say Gonzalo Mon and Katie Rogers at Kelley Drye.
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How Cos. Can Prioritize Accessibility Amid Increase In Suits
The U.S. Department of Justice's notice of proposed rulemaking on digital accessibility and recent legal proceedings regarding tester plaintiff standing in accessibility cases show websites and mobile apps are a growing focus, so businesses must proactively ensure digital content complies with the Americans with Disabilities Act, say attorneys at Hinckley Allen.
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Series
The Pop Culture Docket: Judge Espinosa On 'Lincoln Lawyer'
The murder trials in Netflix’s “The Lincoln Lawyer” illustrate the stark contrast between the ethical high ground that fosters and maintains the criminal justice system's integrity, and the ethical abyss that can undermine it, with an important reminder for all legal practitioners, say Judge Adam Espinosa and Andrew Howard at the Colorado 2nd Judicial District Court.
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Calif. Right To Repair Law Highlights A Growing Movement
New legislation in California is a comprehensive victory for the "right to repair" movement — signaling that this push for legal reform represents a multifaceted challenge to the status quo not only on the consumer rights front, but also in the fields of copyright, software, antitrust and warranty law, says Courtney Sarnow at Culhane Meadows.
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NY Rulings Show Tough Odds For 'Made With' Class Actions
Two recent dismissals of proposed class actions — over alleged misrepresentations of food product ingredients — in New York federal courts suggest a growing skepticism of challenges to "made with"-type claims, but companies that decide to make such claims should still consider options to mitigate litigation risk, say Ashley Simonsen and Kaixin Fan at Covington.
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Lessons For Biosimilar And Biologic Antitrust Litigation
Aaron Marks at Cohen Milstein considers emerging ways in which biosimilar markets differ from traditional small-molecule drug markets, and recommends how pharmaceutical antitrust litigators can account for these market dynamics in biosimilar-delay cases.