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August 05, 2024
Insurer Must Face Pa. Trans Firefighter's Surgery Claim
A Pennsylvania federal judge has refused to toss a suit from a transgender Philadelphia firefighter suing Independence Blue Cross for discrimination over the insurer's denial of coverage for facial feminization surgery, finding that claims under federal healthcare law could proceed, but not the Title VII claims.
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August 05, 2024
Cornell Workers Urge High Court To Hear ERISA Suit
Cornell University employees doubled down Monday on their request that the U.S. Supreme Court hear their class action accusing the university of mismanaging its employees' retirement savings, saying high court review is warranted to clear up a circuit court split.
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August 05, 2024
7th Circ. Backs Insurer's Win In Family's Autism Claims Fight
The Seventh Circuit on Monday affirmed a win for a Wisconsin health insurer in a family's dispute over coverage for autism therapies, finding that the insurer's denials of speech therapy to treat autism for a minor child were valid under a policy exclusion for treatments that weren't evidence-based.
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August 05, 2024
Catching Up With Delaware's Chancery Court
Sunken treasure, rock band discord, a wrestling competition, and more news about Elon Musk — all in all, a colorful week in Delaware's Court of Chancery. The First State's famous court of equity also pushed forward on disputes involving a famous social media app, Delaware's largest hospital system, an artificial intelligence company and a budding commodity futures exchange.
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August 05, 2024
11th Circ. Upholds Home Depot's Win In Workers' 401(k) Suit
The Eleventh Circuit has upheld dismissal of a class action against Home Depot from workers alleging their employee 401(k) plan was saddled with excessive fees and offered shoddy investment choices, finding a lower court was right to end the case in the home improvement retailer's favor.
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August 02, 2024
5th Circ. Upholds Challenge To Surprise Medical Billing Rule
The Fifth Circuit on Friday affirmed wins for plaintiffs challenging provisions of a federal surprise medical billing rule that relate to payment fights between out-of-network providers and health insurers, agreeing with a Texas federal judge that the rule places "a thumb on the scale" in insurers' favor.
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August 02, 2024
Fla.'s Trans Healthcare Ban Violates Title VII, Judge Says
A Florida federal judge has ruled the state's Department of Management Services illegally excluded gender-affirming treatment for transgender employees under state-sponsored health benefits plans, finding the state's exclusion only applies to trans individuals and is facially discriminatory under Title VII of the Civil Rights Act.
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August 02, 2024
Del. Chancellor Presses Tesla On Musk Pay Salvage Scheme
Delaware's chancellor pointed Friday to "zero cases under Delaware law" where stockholders were allowed to ratify a corporate act that had been found to be a breach of fiduciary duty, asking an attorney for Tesla Inc. why she should allow the company to use a post-verdict vote to resurrect Elon Musk's $56 billion stock-based compensation plan.
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August 02, 2024
Chancery Won't Force Open Paramount's Books On Skydance
A pension fund shareholder that sued Paramount Global for more information on its pending merger with Skydance Media may not have access to the entertainment company's corporate documents because the pension fund hasn't shown a "credible basis" to suspect wrongdoing, Delaware's Court of Chancery ruled Friday.
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August 02, 2024
Auto Parts Co. To Pay $2.9M To End 401(k) Class Action
Auto parts manufacturer Magna International agreed to pay $2.9 million to end a class action alleging it cost employees millions of dollars in retirement savings because it failed to remove flawed investment options from its retirement plan, workers told a Michigan federal court.
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August 02, 2024
3rd Circ. Backs Ex-NJ Firefighter's $50M Drug Fraud Sentence
The Third Circuit backed the eight-year prison sentence handed to a former New Jersey firefighter convicted for his role in a $50 million healthcare fraud scheme, rejecting his argument he was wrongly punished for taking his case to trial.
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August 02, 2024
4 ERISA Excessive Health Fee Suits To Watch
The Third Circuit will decide whether to revive a suit from MetLife workers alleging their pharmacy benefits were mismanaged, while suits proceed in district court against Wells Fargo and Johnson & Johnson alleging they violated the Employee Retirement Income Security Act via high drug costs a pharmacy benefit manager charged workers. Here, Law360 looks at four cases involving claims that employers violated ERISA by charging high healthcare costs — including for prescription drugs — that attorneys are watching.
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August 02, 2024
Allstate Plan Participants Want $70M ERISA Case Kept In Play
Claims by a proposed class of current and former Allstate workers that the insurer cost them nearly $70 million by keeping poor-performing funds in their retirement plan should head to trial, the workers argued Friday while urging an Illinois federal court not to toss the suit.
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August 02, 2024
Ex-CFO Of Embattled PE Firm Sues In Del. For Legal Fees
The former chief financial officer of 777 Partners LLC has sued the private equity firm in Delaware's Court of Chancery, seeking advancement of his legal fees in connection with a fraud investigation and at least 20 civil lawsuits related to the company's business.
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August 02, 2024
4th Circ. Says Upcoming 50th Birthday Didn't Affect Benefits
An administrative law judge was right to find a worker who suffers from a series of mental health issues isn't owed Social Security disability benefits, the Fourth Circuit said, agreeing that the worker's upcoming 50th birthday didn't strengthen her claim.
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August 01, 2024
NJ Transit On Hook For $11.6M Injury Verdict, 2nd Circ. Says
The Second Circuit on Tuesday affirmed a jury's $11.6 million verdict accusing New Jersey Transit of negligently ordering a train engineer to continue operating in an overheated cab that caused him to suffer career-ending injuries, saying the state-owned company had a duty to maintain the cab's air conditioning system.
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August 01, 2024
Employers Urge Justices Take Up Withdrawal Liability Fight
The U.S. Supreme Court must resolve a circuit split over how to calculate the bills sent to companies that leave union pension plans, a group of employers has argued, fighting an argument by the trustees of an International Association of Machinists pension fund that the split is "tolerable."
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August 01, 2024
Pa. Workers' OT Claims Over Pensions Stand, Judge Says
Federal labor law doesn't preempt some claims from unionized hospital workers in Pennsylvania over incorrect overtime pay, a federal judge determined, saying interpretation of a labor contract laying out the calculation of wage rates and pension contributions isn't necessary to resolve those allegations.
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August 01, 2024
House Workforce Chair Wants Mental Health Parity Regs Axed
The Republican chairwoman of the House Education and the Workforce Committee told the U.S. Department of Labor on Thursday it should not finalize regulations that aim to encourage employer compliance with a law requiring equitable mental health and substance use disorder treatments coverage, stating the rule burdens businesses.
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August 01, 2024
Chancery Denies Ex-InterMune CEO $6M Legal Fee Right
Delaware's Chancery Court rejected on Thursday a bid by former InterMune CEO W. Scott Harkonen to escape demands to repay nearly $6 million in legal fees covered by biotech venture InterMune Inc. and insurers during his unsuccessful defense against a 2009 wire fraud conviction, denying all claims for legal fee indemnification.
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August 01, 2024
GE Retirees Reach Deal To Resolve Pension Benefits Dispute
General Electric retirees announced Thursday they'd struck a deal with their former employer to resolve claims that GE improperly used a company spinoff to renounce responsibility for supplemental pension benefits reserved for senior executives, the plaintiff-side firm that represented the retirees said.
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July 31, 2024
Wells Fargo Let Workers' Prescription Costs Soar, Suit Says
A group of former Wells Fargo employees have accused the banking giant of mismanaging its prescription drug benefits program, costing its Employee Retirement Income Security Act plan and employees millions of dollars in premiums and medication costs, according to a proposed class action in Minnesota federal court.
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July 31, 2024
Gov't Fights Doctor's Bid For New Trial In NBA Fraud Case
Federal prosecutors are urging a New York district judge to reject a request for a retrial from a Seattle doctor found guilty for his role in a vast NBA fraudulent healthcare scheme, arguing that it properly admitted its evidence at trial, and it was more than enough to support the guilty verdict.
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July 31, 2024
Black Worker Says PBGC Didn't Promote Him Due To His Race
The Pension Benefit Guaranty Corp. passed over a Black worker for a senior director role in favor of a less qualified white woman and retaliated against him for a previously filed race discrimination complaint, a lawsuit filed in D.C. federal court said.
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July 31, 2024
Honesty Worries Justify Gas Co. Worker Firing, 4th Circ. Says
The Fourth Circuit upheld a Baltimore gas company's win over a former mechanic's lawsuit alleging he was unlawfully terminated for taking medical leave because of a diabetes-related condition, ruling Wednesday that suspicions of dishonesty provided a credible reason for letting him go.
Expert Analysis
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Series
Skiing And Surfing Make Me A Better Lawyer
The skills I’ve learned while riding waves in the ocean and slopes in the mountains have translated to my legal career — developing strong mentor relationships, remaining calm in difficult situations, and being prepared and able to move to a backup plan when needed, says Brian Claassen at Knobbe Martens.
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Air Ambulance Ruling Severely Undermines No Surprises Act
A Texas federal court's recent decision in Guardian Flight v. Health Care Service — that the No Surprises Act lacks a judicial remedy when a health insurer refuses to pay the amount established through an independent review — likely throws a huge monkey wrench into the elaborate protections the NSA was enacted to provide, says Mark DeBofsky at DeBofsky Law.
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Unpacking The Circuit Split Over A Federal Atty Fee Rule
Federal circuit courts that have addressed Rule 41(d) of the Federal Rules of Civil Procedure are split as to whether attorney fees are included as part of the costs of a previously dismissed action, so practitioners aiming to recover or avoid fees should tailor arguments to the appropriate court, says Joseph Myles and Lionel Lavenue at Finnegan.
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After A Brief Hiccup, The 'Rocket Docket' Soars Back To No. 1
The Eastern District of Virginia’s precipitous 2022 fall from its storied rocket docket status appears to have been a temporary aberration, as recent statistics reveal that the court is once again back on top as the fastest federal civil trial court in the nation, says Robert Tata at Hunton.
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Recruitment Trends In Emerging Law Firm Frontiers
BigLaw firms are facing local recruitment challenges as they increasingly establish offices in cities outside of the major legal hubs, requiring them to weigh various strategies for attracting talent that present different risks and benefits, says Tom Hanlon at Buchanan Law.
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Series
Glassblowing Makes Me A Better Lawyer
I never expected that glassblowing would strongly influence my work as an attorney, but it has taught me the importance of building a solid foundation for your work, learning from others and committing to a lifetime of practice, says Margaret House at Kalijarvi Chuzi.
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What DOL Fiduciary Rule Means For Private Fund Managers
Attorneys at Ropes & Gray discuss how the U.S. Department of Labor's recently released final fiduciary rule, which revises the agency's 1975 regulation, could potentially cause private fund managers' current marketing practices and communications to be considered fiduciary advice, and therefore subject them to strict prohibitions.
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How Associates Can Build A Professional Image
As hybrid work arrangements become the norm in the legal industry, early-career attorneys must be proactive in building and maintaining a professional presence in both physical and digital settings, ensuring that their image aligns with their long-term career goals, say Lana Manganiello at Equinox Strategy Partners and Estelle Winsett at Estelle Winsett Professional Image Consulting.
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High Court's Abortion Pill Ruling Shuts Out Future Challenges
The U.S. Supreme Court's unanimous ruling in U.S. Food and Drug Administration v. Alliance for Hippocratic Medicine maintains the status quo for mifepristone access and rejects the plaintiffs' standing theories so thoroughly that future challenges from states or other plaintiffs are unlikely to be viable, say Jaime Santos and Annaka Nava at Goodwin.
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Emerging Trends In ESG-Focused Securities Litigation
Based on a combination of shareholder pressure, increasing regulatory scrutiny and proposed rulemaking, there has been a proliferation of litigation over public company disclosures and actions regarding environmental, social, and governance factors — and the overall volume of such class actions will likely increase in the coming years, say attorneys at Mintz.
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Firms Must Rethink How They Train New Lawyers In AI Age
As law firms begin to use generative artificial intelligence to complete lower-level legal tasks, they’ll need to consider new ways to train summer associates and early-career attorneys, keeping in mind the five stages of skill acquisition, says Liisa Thomas at Sheppard Mullin.
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Think Like A Lawyer: Always Be Closing
When a lawyer presents their case with the right propulsive structure throughout trial, there is little need for further argument after the close of evidence — and in fact, rehashing it all may test jurors’ patience — so attorneys should consider other strategies for closing arguments, says Luke Andrews at Poole Huffman.
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Series
Playing Chess Makes Me A Better Lawyer
There are many ways that chess skills translate directly into lawyer skills, but for me, the bigger career lessons go beyond the direct parallels — playing chess has shown me the value of seeing gradual improvement in and focusing deep concentration on a nonwork endeavor, says attorney Steven Fink.
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9th Circ. Clarifies ERISA Preemption For Healthcare Industry
The Ninth Circuit's recent ruling in Bristol SL Holdings v. Cigna notably clarifies the broad scope of the Employee Retirement Income Security Act's preemption of certain state law causes of action, standing to benefit payors and health plan administrators, say attorneys at Troutman Pepper.
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Litigation Inspiration: Attys Can Be Heroic Like Olympians
Although litigation won’t earn anyone an Olympic medal in Paris this summer, it can be worthy of the same lasting honor if attorneys exercise focused restraint — seeking both their clients’ interests and those of the court — instead of merely pursuing every advantage short of sanctionable conduct, says Bennett Rawicki at Hilgers Graben.