Commercial Contracts

May 23, 2024
Calif. High Court Deals Loss To Policyholder In COVID-19 Suit

The California Supreme Court ruled Thursday that the coronavirus generally doesn't cause the kind of damage to property that would trigger coverage under an insurance policy, handing a win to a Chubb insurance company in one of the last major venues for pandemic coverage litigation.
May 23, 2024
NC Top Court Finds Credit Union's Arbitration Add-On Is Valid

The North Carolina Supreme Court on Thursday said a credit union can enforce an arbitration clause tacked on to a customer's contract at a later date, confirming a ruling by a lower appellate panel and requiring the customer suing the nonprofit over allegedly illegal overdraft fees to arbitrate her claims.
May 23, 2024
Judge Won't Strike $12.5M Suit Over LifeWallet Software

A Florida judge refused Thursday to strike a lawsuit accusing John Ruiz and his company, MSP Recovery, of failing to pay $12.5 million promised for LifeWallet software, finding that Ruiz had not met his burden of showing the lawsuit was a sham.
May 23, 2024
Man Can't Enforce Fatal Car Crash Settlement, Ga. Panel Says

The Georgia Court of Appeals on Thursday affirmed a trial court's rejection of a motion to enforce a presuit settlement in a case accusing a driver of fatally striking a man who was standing next to his vehicle on a highway's emergency lane, finding no agreement ever formed.
May 23, 2024
Conn. Marketing Co., Competitor Settle Exec Poaching Suit

The Connecticut-based healthcare marketing firm Primacy LLC has reached a settlement with a competitor it accused of poaching a top executive, weeks after bringing a trade secrets lawsuit in federal court.
May 23, 2024
Ex-Physical Therapy Clinics Owner Gets 2 Yrs. In Billing Scam

The former owner of eight physical therapy clinics in the Boston area was sentenced Thursday in Massachusetts federal court to just over two years in prison for a years-long scheme to bill insurance companies for nonexistent treatments, including for himself.
May 23, 2024
TRO Against Ex-TD Bank Employees Revised

A federal judge in Connecticut walked back part of a temporary restraining order against ex-TD Bank employees accused of siphoning $25 million in business to Raymond James Financial, saying the previous order may have been more restrictive than necessary.
May 23, 2024
Wiz Khalifa Settles Suit Over Cannabis Venture

Rapper Wiz Khalifa has settled a lawsuit filed by the co-owner of his cannabis enterprise who claimed he was cut out of a $20 million deal to license the artist's name and likeness to promote cannabis products.
May 23, 2024
2nd Circ. Revives Insurer's $2.5M Suit Over Valuation Software

The Second Circuit on Thursday revived an insurer's indemnification bid against software company Audatex for $2.5 million in costs from a suit alleging its use of Audatex's valuation software resulted in underpayment for totaled cars, concluding the lower court erred in finding the suit didn't result from the insurer's use of Audatex's software.
May 23, 2024
FirstKey Sanctioned For Trying To Coerce Workers In OT Suit

A Texas federal judge sanctioned FirstKey Homes LLC for issuing coercive communications to employees in an apparent effort to steer them from joining a proposed wage and hour class action, finding Wednesday the only purpose the company had was "attempting to undermine the collective action in this case."
May 23, 2024
Irma Power Outage Claims Must Be Brought To Fla. Regulator

A Florida state appellate court reversed the class certification in a multibillion-dollar lawsuit brought against Florida Power & Light Co. over extended electricity outages during Hurricane Irma, citing a new law requiring ratepayers to bring their claims before the state's Public Service Commission.
May 23, 2024
4th Circ. Rules No Coverage For Mars' COVID Losses

Candymaker Mars Inc. can't get coverage from Factory Mutual Insurance Co. for its COVID-19-related losses, the Fourth Circuit ruled Thursday, further rejecting Mars' bid to certify a question to the Virginia Supreme Court.
May 23, 2024
6th Circ. Unbuckles Supplier From 'Odd' Seat Belt Contract

A Sixth Circuit panel on Thursday freed a seat belt part supplier from having to continue to fulfill a seat belt system manufacturer's orders at an old price, saying the parties' "odd" agreement language isn't specific enough to enforce.
May 23, 2024
Split Ohio High Court Says Jury Must Mull Drilling Rights Row

A split Ohio Supreme Court unraveled a trial court ruling in favor of oil and gas rights owner Tera LLC that acted as the basis of a $40 million damages award against Gulfport Energy, reasoning Thursday that there is a "genuine issue of material fact" over the meaning of certain terms in parties' lease agreement.
May 23, 2024
Insurer, Ski Resort Co. Battle Over COVID Coverage

An owner and operator of 15 ski resorts urged a Colorado state court to find that an AIG unit owes coverage under its policy's "loss of attraction" provision for COVID-19-related business interruption losses, while the unit argued that a voluntary shutdown of business, "even for good reasons," isn't covered.
May 23, 2024
Stryker Unit And Seyfarth Attys Hit With $275K Sanctions

A Colorado federal judge has imposed $275,000 in sanctions jointly and severally on Stryker-owned Howmedica Osteonics Corp., along with Seyfarth Shaw LLP, for witness coaching and discovery violations in a bitter breach-of-contract dispute, amounting to roughly one-eighth of what plaintiff ORP Surgical LLC had sought.
May 23, 2024
Wow Such Basic: Justices Back Crypto Fans In Dogecoin Duel

It's up to judges, not arbitrators, to figure out whether contracts between businesses and consumers have subtly superseded earlier agreements to hash out disputes in arbitration rather than litigation, the U.S. Supreme Court ruled Thursday.
May 22, 2024
Activist Investor Must Face Exxon's Suit Over Proxy Proposal

A Texas federal judge Wednesday refused to dismiss an Exxon Mobil Corp. lawsuit against a U.S.-based activist investor over a now-withdrawn shareholder proposal concerning climate change, saying it isn't certain they won't refile their proposal in the future.
May 22, 2024
Conn. Judge Doubts Restaurant's Insurance Beef Is Stale

Connecticut's chief intermediate appellate court judge appeared skeptical Wednesday of Liberty Mutual Insurance Co.'s position that a restaurant is barred from suing over the denial of coverage for a worker's hand injury, suggesting that previous litigation over the worker's compensation policy has no bearing on the current suit.
May 22, 2024
Caterer Says $50M Asiana Airlines Award Must Be OK'd

A catering company has asked a California federal court to enforce its $50 million arbitral award against Asiana Airlines, saying a South Korean court already rejected the carrier's argument that the underlying contract was only signed in exchange for a bribe paid to its disgraced former chairman.
May 22, 2024
Seattle Sues Train Cos. Over Bike Track-Crossing Suits

The city of Seattle says two short-line railroads have breached agreements to maintain liability insurance and indemnify the city in lawsuits from cyclists injured crossing tracks along a perilous stretch of a popular bike trail, according to a complaint filed in Washington state court.
May 22, 2024
Antitrust Judge Questions Apple's Phil Schiller On New Fees

A California federal judge deciding whether Apple has complied with her ban on App Store anti-steering rules questioned Apple fellow Phil Schiller on Wednesday on Apple's new program imposing 27% fees on out-of-app transactions, saying "all the new program does is maintain the anti-competitive environment" for the company's benefit.
May 22, 2024
CBRE Calls Exec's Noncompete Right Fit In A Small World

A Texas appellate court wondered Wednesday whether a temporary injunction that seemingly bars a former CBRE executive from working in his trade anywhere in the world goes too far, and questioned the validity of the underlying noncompete agreement at the center of the legal battle.
May 22, 2024
Record Co. Worker Can't Appeal Before Nirvana Logo Trial

A former record company employee who claims he created Nirvana's "smiley face" logo can't immediately appeal a ruling denying his ownership claim or delay trial in the band's copyright suit against designer Marc Jacobs International LLC over the logo, a California federal judge has ruled.
May 22, 2024
NFL Escapes Sanders Statue Spat As Getty Eyes Arbitration

The NFL has escaped a New York federal lawsuit filed by a professional photographer who claims his copyrighted photo was unlawfully used to create a statue of legendary running back Barry Sanders, while Getty Images Inc. hopes to settle through arbitration.

Expert Analysis

Series

Calif. Banking Brief: All The Notable Legal Updates In Q4

As 2023 came to an end, we continued to see developments in California that are certain to have an impact on the financial services industry in 2024, including the California Department of Financial Protection and Innovation's request for comments on the state's new digital asset law and the state's continued enforcement actions against debt collectors, say Jennifer Olivestone and Juan Azel at Winston & Strawn.
4 Legal Ethics Considerations For The New Year

As attorneys and clients reset for a new year, now is a good time to take a step back and review some core ethical issues that attorneys should keep front of mind in 2024, including approaching generative artificial intelligence with caution and care, and avoiding pitfalls in outside counsel guidelines, say attorneys at HWG.
What The Law Firm Of The Future Will Look Like

As the legal landscape shifts, it’s become increasingly clear that the BigLaw business model must adapt in four key ways to remain viable, from fostering workplace flexibility to embracing technology, say Kevin Henderson and Eric Pacifici at SMB Law Group.
Navigating Class Actions After Papa John's Settlement Denial

A Kentucky federal court's surprising denial of preliminary approval for a $5 million settlement in the Papa John's no-poach case may prove to be an outlier but suggests a class action settlement would only be approved when a plaintiff demonstrates that a litigation class would be certified, say attorneys at Robins Kaplan.
4 PR Pointers When Your Case Is In The News

Media coverage of new lawsuits exploded last year, demonstrating why defense attorneys should devise a public relations plan that complements their legal strategy, incorporating several objectives to balance ethical obligations and advocacy, say Nathan Burchfiel at Pinkston and Ryan June at Castañeda + Heidelman.
Trouble Indemnity: IP Lawsuits In The Generative AI Boom

Attorneys at Ropes & Gray explore the contours of the intellectual property indemnification protections offered by providers of generative AI models — including their scope, coverage, conditions, exclusions and caps — to assess where businesses may still face liability exposure.
6 AI Cases And What They Mean For Copyright Law

Artificial intelligence cases filed last year, some decided and others pending, demonstrate how the appellate courts that set binding precedent look at the intersection between copyright and AI, so legal frameworks must adapt and provide clarity in order to foster innovation, protect creators, and ensure fair and equitable outcomes, say attorneys at Crowell & Moring.
The Space Law And Policy Outlook For 2024

Expect significant movement in space law, regulation and policy in 2024, as Congress, the administration and independent federal agencies like the Federal Communications Commission address the increasingly congested, contested and competitive nature of space and the space industry, say Paul Stimers and Leighton Brown at Holland & Knight.
Charting The Course For Digital Assets In 2024

Although 2023 was a tough year for the digital asset industry, upcoming court decisions, legislation and regulatory action will bring clarity, allowing the industry to expand and evolve, and the government will decide what innovation it will allow without challenge, says Joshua Smeltzer at Gray Reed.
Antitrust Enforcement Initiatives To Watch In 2024

The U.S. Department of Justice is likely to prioritize information-sharing prosecutions in 2024, following last year's withdrawal of safe harbors, as well as labor market enforcement after trial losses forced a pullback in 2023, say attorneys at Fried Frank.
Law Firm Strategies For Successfully Navigating 2024 Trends

Though law firms face the dual challenge of external and internal pressures as they enter 2024, firms willing to pivot will be able to stand out by adapting to stakeholder needs and reimagining their infrastructure, says Shireen Hilal at Maior Consultants.
The Most-Read Legal Industry Law360 Guest Articles Of 2023

A range of legal industry topics drew readers' attention in Law360's Expert Analysis section this year, from associate retention strategies to ethical billing practices.
HHS Advisory Highlights Free Product Inducement Risks

A recent U.S. Department of Health and Human Services advisory opinion highlights concerns that valuable free products and other inducements may influence patients and providers to choose one manufacturer’s product over another, notwithstanding that such free healthcare products may be a benefit, say attorneys at Morgan Lewis.
Attorneys' Busiest Times Can Be Business Opportunities

Attorneys who resolve to grow their revenue and client base in 2024 should be careful not to abandon their goals when they get too busy with client work, because these periods of zero bandwidth can actually be a catalyst for future growth, says Amy Drysdale at Alchemy Consulting.
In The World Of Legal Ethics, 10 Trends To Note From 2023

Lucian Pera at Adams and Reese and Trisha Rich at Holland & Knight identify the top legal ethics trends from 2023 — including issues related to hot documents, artificial intelligence and cybersecurity — that lawyers should be aware of to put their best foot forward.