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Class Action
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May 08, 2024
Hurricane Ads Suit Paused For Law Firm Amid Ch. 11 Case
In light of its recent bankruptcy filing, a Texas federal judge has paused class claims against a beleaguered Texas law firm accused of misconduct in soliciting clients in hurricane-related property damage cases, but the case remains active against a legal funding outfit and other defendants.
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May 08, 2024
NC Court Clerks, Administrators Escape Digital Courts Suit
Plaintiffs in a proposed class action have voluntarily dropped North Carolina court administrators and clerks from a lawsuit alleging that flaws in the state's electronic court filing system led to unlawful arrests and longer jail stays.
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May 08, 2024
Judge OKs American University's $5.4M COVID Tuition Deal
A D.C. federal judge gave the final nod to a $5.4 million deal resolving class action claims brought by American University students seeking tuition refunds after the school pivoted to remote learning during the early days of the COVID-19 pandemic.
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May 07, 2024
Apple's $490M Investor Deal Needs 'A Little Bit More Work'
A California federal judge refused Tuesday to preliminarily approve Apple's $490 million deal to end investors' class action alleging they were misled about iPhone sales in China, saying that while key terms are "satisfactory," the plan needs "a little bit more work," like fixing a "convoluted" notice to investors.
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May 07, 2024
Target Sued Over Citric Acid In Good & Gather Pasta Sauce
Target has been hit with a putative class action in California federal court by a shopper who alleges the retail giant falsely touts that its line of Good & Gather pasta sauces contain no artificial colors, flavors or preservatives despite containing citric acid.
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May 07, 2024
Astec Inks $13.7M Investor Deal Over Wood Pellet Plant Woes
An investor in manufacturer Astec Industries Inc. has asked a Tennessee federal judge for an initial green light on a $13.7 million deal to end claims the company misrepresented business prospects for its wood pellet plants.
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May 07, 2024
Bloom Energy Gets Final OK For $3M Settlement Over IPO
A California federal judge has granted final approval to a $3 million settlement between Bloom Energy Corp. and investors to resolve claims that the company, its leadership and underwriters for its initial public offering misrepresented or omitted key information in the IPO registration statement.
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May 07, 2024
New IPad Buyers And Complaint OK'd In Amazon-Apple Suit
Two new iPad buyers filed an amended antitrust complaint Tuesday over the Amazon-Apple pact restricting iPhone and iPad sales to approved vendors after a Washington federal judge overrode defense arguments that the named plaintiff swap is too late and replaces an unsuitable class representative.
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May 07, 2024
NYC Eatery Asks 2nd Circ. To Undo Revival Of Workers' Suit
A New York City restaurant operator urged the Second Circuit Tuesday to reject a lower court finding that its workers' federal wage claims may be cut from their class action but can also be reinstated if the appeals court were to vacate their state wage claims, insisting the decision is unfair.
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May 07, 2024
MultiPlan, Insurance Cos. Accused Of Algorithmic Collusion
A medical provider has lodged a proposed class action in Illinois federal court accusing MultiPlan and major insurance companies, including UnitedHealth, Aetna, Kaiser Permanente and Cigna, of using pricing tools to systematically underpay out-of-network providers.
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May 07, 2024
Gronk, Others To Pay $2.4M In Voyager Crypto Promoter Suit
Retired football star Rob Gronkowski, NBA player Victor Oladipo and NASCAR driver Landon Cassill have agreed to collectively pay $2.4 million to settle allegations they helped promote failed cryptocurrency exchange Voyager Digital Holdings Inc.
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May 07, 2024
Cigna Escapes Post-Judgment Accounting Bid In ERISA Row
A federal judge in Connecticut has denied a bid by a class of 25,000 Cigna Corp. workers for post-judgment discovery in an ERISA feud that has stretched on for 23 years, shutting down claims that the insurer violated court orders by improperly calculating award payments to class members.
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May 07, 2024
Atty Dons Muppet Head To Open Sesame Place Race Bias Trial
A federal jury in Philadelphia on Tuesday gazed at the googly eyes and blue fur of an attorney who donned the head of Sesame Street's Grover to tell them that performers wearing the fluorescent bodysuits of other beloved Muppets discriminated against children at a Pennsylvania theme park because of the color of their skin.
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May 07, 2024
$55M Hospital Merger Suit Deal OK'd, UHC Objection Rejected
An Illinois federal judge has given final approval to a $55 million class settlement, with $23.5 million in legal costs and attorney fees, resolving patient antitrust claims over a NorthShore University HealthSystem merger, all while finding that United Healthcare Services had no standing to object to the deal.
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May 07, 2024
Organic Grocery Chain Settles COBRA Notice Suit For $400K
An organic grocery store chain will pay $400,000 to close a proposed class action claiming it regularly failed to alert workers that they could extend their health insurance benefits if their coverage ended after losing their jobs, according to a Pennsylvania federal court filing.
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May 07, 2024
Plastics Recycler Sued In Del. After Stock Drop, Investigations
A PureCycle Inc. stockholder has launched a multicount derivative suit against the plastics recycling company's officers and directors in Delaware's Court of Chancery, seeking damages tied to a stock drop, alleged disclosure failures and insider dealings before and after a 2021 take-public merger.
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May 07, 2024
Starbucks Can't End Investor Suit Over Union-Busting Stance
A Washington state judge won't toss a shareholder suit accusing Starbucks' corporate leadership of diminishing stock values by allowing store managers to quash baristas' organizing efforts.
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May 07, 2024
DOL Official Says Expect Pension De-Risking Report Soon
The U.S. Department of Labor's employee benefits chief said Tuesday the agency expects to submit a report to Congress shortly on so-called pension risk transfers, which involve the exchange of defined benefit pension plan liabilities for annuity insurance contracts.
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May 07, 2024
Paycom Brass Face Investor Suit Over Future Revenue Woes
The top brass of human resources technology company Paycom Software Inc. have been hit with a shareholder derivative suit alleging that executives failed to disclose that a new product to streamline payroll processes was threatening its future revenue by helping companies avoid errors they would otherwise pay to fix.
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May 07, 2024
NJ Law Firm Scores Exit In Benicar MDL Fees Suit
A New Jersey federal judge on Tuesday granted Mazie Slater Katz & Freeman LLC attorneys a quick win in a proposed class action claiming they took excessive fees from plaintiffs' settlements in multidistrict litigation over the blood pressure drug Benicar, ruling the suit alleges identical claims to another suit that has been dismissed.
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May 07, 2024
Amazon Worker Wants Class Cert. In Military Leave Suit
A former Amazon worker urged a New York federal court to greenlight a more than 9,000-member class of military reservists in her lawsuit accusing the e-commerce giant of failing to provide paid leave for employees on active duty, saying the dispute is best suited for class treatment.
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May 07, 2024
Faegre Drinker Adds Business, Environmental Litigators In Pa.
Faegre Drinker Biddle & Reath LLP expanded its Philadelphia office this week with the addition of two partners whose practices specialize in commercial and securities litigation and environmental law.
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May 07, 2024
7th Circ. Ruling Imperils Anonymity In NCAA, Netflix Cases
Anonymous plaintiffs suing the NCAA and Netflix in separate cases in Indiana federal court must explain why they should be allowed to keep their identities hidden following a recent Seventh Circuit ruling that established "a stringent standard" relating to anonymity, a magistrate judge has ruled.
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May 07, 2024
Titans Of The Plaintiffs Bar: Susman's Brook, Shackelford
Susman Godfrey LLP attorneys Davida Brook and Stephen Shackelford Jr. learned very early on in their working relationship that they needed to trust each other. That concept, they say, has been foundational to their success as defamation attorneys, and those who have worked alongside them say everyone else has reason to trust them, too.
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May 07, 2024
Attys Denied $10M Fees As Family Dollar Deal Is Approved
A Tennessee federal judge has given final approval to a settlement to end consumer claims stemming from a rodent infestation at a Family Dollar Stores Inc. warehouse, but denied a bid by class counsel for $10 million in fees.
Expert Analysis
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Hollywood Labor Negotiations Provide AI Road Map
Sigma Khan at Henein Hutchison uses the recent Hollywood labor strikes — one of the first instances of a mass entertainment industry legal conflict where concerns over artificial intelligence's intrusion into the workspace has become a crucial issue — to analyze how litigation, legislation and contracts can aid in a landscape transformation precipitated by AI.
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Opinion
Newman Suspension Shows Need For Judicial Reform
The recent suspension of U.S. Circuit Judge Pauline Newman following her alleged refusal to participate in a disability inquiry reveals the need for judicial misconduct reforms to ensure that judges step down when they can no longer serve effectively, says Aliza Shatzman at The Legal Accountability Project.
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Data Furnishers Should Watch CFPB Plans For Class Actions
Companies should follow the Consumer Financial Protection Bureau’s rulemaking process as it considers allowing class actions against data brokers that provide incorrect consumer information to credit reporting agencies, a move that could rewrite the legal risks of participating in the consumer reporting ecosystem, say attorneys at Troutman Pepper.
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Calif. Delete Act Paves Way For Data Broker Accountability
California's recent enactment of a law that will allow state residents to delete personal information held by some 500 data brokers shows there is renewed focus on holding an extremely lucrative but underregulated industry accountable — but doing so may require both legislation and litigation, says Karina Puttieva at Cohen Milstein.
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How And Why Your Firm Should Implement Fixed-Fee Billing
Amid rising burnout in the legal industry and client efforts to curtail spending, pivoting to a fixed-fee billing model may improve client-attorney relationships and offer lawyers financial, logistical and stress relief — while still maintaining profit margins, say Kevin Henderson and Eric Pacifici at SMB Law Group.
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Issues Arise As Cos. Shift From Class Actions To Arbitration
As corporations like Epson and Samsung move from class action to arbitration, challenges such as a lack of transparency and delay tactics have emerged, leaving a pressing need for legislative reform to ensure accountability and to uphold the rights of consumers and employees, says former Maine Attorney General Andrew Ketterer.
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Why Standing Analysis Is Key In Data Breach Mediation
Amid a growing wave of data breach class action litigation, recent legal developments show shifting criteria for Article III standing based on an increased risk of future identity theft, meaning parties must integrate assessments of standing into mediation discussions to substantiate their settlement demands in data breach class actions, says Abe Melamed at Signature Resolution.
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Opinion
Judicial Independence Needs Defense Amid Political Threats
Amid recent and historic challenges to the judiciary from political forces, safeguarding judicial independence and maintaining the integrity of the legal system is increasingly urgent, says Robert Peck at the Center for Constitutional Litigation.
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Assessing D&O Coverage Amid Challenges To DEI Policies
As the recent backlash against corporate diversity, equity and inclusion policies leads to shareholder litigation and other legal challenges, companies bolstering their DEI efforts should ensure that their directors and officers and employment practices' liability insurance policies provide sufficient coverage for potential claims, say Peter Gillon and Patrick Blood at Pillsbury.
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How Life Sciences Cos. Can Prevent Securities Class Actions
Though the overall volume of securities fraud class actions has dipped in the last couple of years, life sciences companies remain a particularly popular target for these filings and should employ best practices to minimize risk, say Joni Jacobsen and Angela Liu at Dechert.
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How Law Firms Can Use Account-Based Marketing Strategies
Amid several evolving legal industry trends, account-based marketing can help law firms uncover additional revenue-generating opportunities with existing clients, with key considerations ranging from data analytics to relationship building, say Jennifer Ramsey at stage LLC and consultant Gina Sponzilli.
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Strategic Succession Planning At Law Firms Is Crucial
Senior partners' reluctance to retire, the rise of the nonequity partner tier and generational differences in expectations are all contributing to an increasing number of departures from BigLaw, making it imperative for firms to encourage retirement among senior ranks and provide clearer leadership pathways to junior attorneys, says Laura Leopard at Leopard Solutions.
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2nd Circ. OT Ruling Guides On Pay For Off-The-Clock Work
While the Second Circuit’s recent holding in Perry v. City of New York reiterated that the Fair Labor Standards Act obligates employers to pay overtime for off-the-clock work, it recognized circumstances, such as an employee’s failure to report, that allow an employer to disclaim the knowledge element that triggers this obligation, say Robert Whitman and Kyle Winnick at Seyfarth.
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Cos. Must Show Discretion In Public Statements When Sued
A recent securities class action ruling in Massachusetts federal court against software company Pegasystems shows that a boilerplate public denial of a lawsuit's merits can form the basis for a claim that the statement was false or misleading, underscoring the need to use discretion when responding to pending claims, say Brian Kearney and Stephen Kastenberg at Ballard Spahr.
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Maximizing Law Firm Profitability In Uncertain Times
As threats of an economic downturn loom, firms can boost profits by embracing the power of bottom-line management and creating an ecosystem where strategic financial oversight and robust timekeeping practices meet evolved client relations, says Shireen Hilal at Maior Strategic Consulting.