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California
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August 16, 2024
Nikola, Romeo Power Targeted In Del. Derivative Complaint
A former Romeo Power Inc. stockholder has launched a double derivative suit seeking derivative damages from nine former Romeo directors and officers in part through derivative claims via Nikola Corp., which acquired Romeo in August 2022 for a fraction of the company's once $1 billion-plus valuation.
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August 16, 2024
Airbnb Says Travel Insurance Fee Fight Must Be Arbitrated
Airbnb and an Italian insurer are urging a California federal court to send a proposed class action over allegedly unfair fees on travel insurance policies to arbitration, arguing Thursday that the plaintiffs are ignoring an arbitration clause they had to sign to use the Airbnb platform.
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August 16, 2024
Calif. State Court Tosses Antitrust Case Against MultiPlan
A California state court has tossed a suit accusing MultiPlan Inc. of violating antitrust law through pricing tools used by health insurance providers, similar to claims being made in multidistrict litigation that were recently centralized in Illinois federal court.
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August 16, 2024
Carpenters Union Healthcare Plan Seeks To Ax Worker's Suit
A Carpenters-represented worker who lost health insurance once the union's healthcare plan stopped working with his employer lacks standing to sue the plan, the plan and its trustees argued in California federal court, suggesting the worker raise the issue with his employer or the union itself.
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August 16, 2024
9th Circ. Upholds Tribe's Win In Washington Dam Suit
The Ninth Circuit on Friday upheld an order requiring that a Washington hydroelectric company alter its rock pile dam on the Puyallup River, handing another win to the Puyallup Tribe of Indians, which says the dam is threatening several species of endangered fish.
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August 16, 2024
Ga. BCBS Fights Hospital Remand Bid In Reimbursement Suit
A Georgia Blue Cross Blue Shield unit is fighting a California hospital's push to have a lawsuit seeking $905,000 in reimbursements sent back to a Georgia state court, arguing the hospital's state law claims are preempted by the federal Employee Retirement Income Security Act.
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August 16, 2024
Ex-Worker Says Toshiba Unit's Laxity Led To 3-Month Breach
A onetime employee of Toshiba America Business Solutions Inc., a U.S.-based subsidiary of Japanese electronics company Toshiba, has filed a proposed class action against his former employer claiming his personal information was stolen in a data breach made possible by the company's negligence.
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August 16, 2024
9th Circ. Keeps Part Of Block On Calif. Kids' Privacy Law
The Ninth Circuit on Friday refused to completely scrap an injunction halting a groundbreaking new California law requiring social media platforms to bolster privacy protections for children, finding that a tech trade group was "likely to succeed" on its argument that the mandate for companies to identify and address potential risks to minors violates the First Amendment.
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August 16, 2024
Fla. Advertising Co. Says Pot Cos. Didn't Pay Up For Services
A Miami advertising agency is suing the cannabis companies behind the Cookies brand, claiming they failed to pay for months of work worth tens of thousands of dollars.
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August 16, 2024
Ex-Matterport Worker Sues In Del. Over 'Invalid' Trade Block
A shareholder of 3D spatial mapping company Matterport Inc. sued the California company in Delaware's Court of Chancery Friday, alleging that when it went public by merging with a special acquisition company in 2021, the company prevented him from trading his shares for six months through an "invalid transfer restriction."
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August 16, 2024
Anthropic Says IP Suit Doesn't Show AI Users Infringed Lyrics
Artificial intelligence company Anthropic has asked a California federal court to toss the bulk of a copyright suit from several music publishers that allege their song lyrics were ripped off to train Anthropic's chatbot Claude, arguing among other things that the plaintiffs have not shown any infringing acts by Claude users.
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August 16, 2024
$117M Interest Ruled 'Not A Windfall' On $262M Patent Verdict
A California federal judge approved $117 million in prejudgment interest for an Austrian inventor's company on top of the $262 million royalty verdict in its favor against hard drive maker Western Digital Technologies Inc., ruling that the interest "does not amount to a windfall or a punitive award."
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August 16, 2024
Ch. 7 Trustee Can't Recover Tax Payment, States Tell Justices
A group of roughly two dozen states threw their support behind the federal government in asking the U.S. Supreme Court to overturn a ruling that forced the IRS to return a tax payment after a bankruptcy trustee argued it was a fraudulent transfer and recoverable under state law.
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August 16, 2024
9th Circ. Revives Jamaican Man's Bid To Fight Removal
The Ninth Circuit resuscitated a Jamaican man's case to fight his removal from the country, agreeing with both the man and the government that an immigration appeals board misapplied the law when it dismissed the suit.
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August 16, 2024
PE Firm's SpaceX Suit Belongs In Delaware, HK Co. Says
A Hong Kong company that sued a California-based private equity firm for refusing to invest the company's $50 million into SpaceX says the firm has now sued the company's Chinese parent in California, creating "duplicative proceedings" that ought to be brought in Delaware's Chancery Court.
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August 16, 2024
Psilocybin Right-To-Try Petition To Get 9th Circ. Hearing
A Ninth Circuit panel will hear oral arguments Monday in an appeal brought by a Seattle doctor seeking to administer psilocybin to terminal cancer patients under state and federal right-to-try laws.
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August 15, 2024
CBS, Writer To Resolve Bias Suit Via Summary Judgment
A California federal judge refused to toss a freelance scriptwriter's lawsuit accusing CBS of repeatedly denying him a staff writer position for being a "white, heterosexual male," but said the suit could be resolved without a hearing.
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August 15, 2024
San Francisco Unveils Landmark Suit Over 'Deepfake' Porn
The San Francisco city attorney on Thursday launched a suit against the operators of 16 websites that he claims create and distribute nonconsensual, artificial intelligence-generated pornography, also known as "deepfake pornography" or "deepnudes."
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August 15, 2024
Uber Gets Most Claims Tossed In Driver Assault MDL, For Now
A California federal judge on Thursday threw out the majority of claims from California and Texas Uber riders in multidistrict litigation that aims to hold the ride-hailing company liable for their sexual assaults; however, the judge gave the plaintiffs the opportunity to amend those claims.
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August 15, 2024
Tom Girardi Has Dementia, USC Neurologist Tells Calif. Jury
A University of Southern California neurology professor testified Thursday in Tom Girardi's California federal criminal trial that she diagnosed him with mild-to-moderate dementia months after his law firm collapsed, although the lawyer insisted at the time that his memory was fine and that he was still busily working at his firm.
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August 15, 2024
Honda Slams 'Grossly Excessive' Atty Fee Bid In Defect Deal
Honda urged a California federal judge on Thursday to reject a $10.8 million fee request in a consumer settlement that's paid out just $540,000 to Acura car owners with a purported hands-free calling battery-draining defect, blasting the amount as "grossly excessive" under the Ninth Circuit's recent Lowery decision.
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August 15, 2024
Green Group Backs Feds' Denial Of Water Co.'s Right-Of-Way
Save Our Forest Association urged a D.C. federal judge on Thursday to reject the company behind Arrowhead Mountain Spring Water's attempt to block the federal government from requiring it cease operation of its 23,000-foot-long water pipeline in Berkeley, California's Strawberry Canyon.
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August 15, 2024
Bloom Firm Settles False Claims Act Suit Over Virus PPP Loan
Civil rights attorney Lisa Bloom, her Calabasas, California-based firm and her husband have agreed to pay a combined $274,000 to settle a rival law firm's False Claims Act suit alleging they provided false information to obtain a federal Paycheck Protection Program loan during the COVID-19 pandemic.
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August 15, 2024
Philips' Fitness Tracker Patent Suit Is Back On Course
The Federal Circuit on Thursday breathed new life into a patent suit by electronics giant Philips targeting fitness trackers made by Garmin.
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August 15, 2024
Nvidia Illegally Scraped Videos To Train AI, YouTuber Says
Artifical intelligence technology titan Nvidia Corp. has been collecting millions of YouTube videos without creators' permission and using them to train its deep-learning AI software, according to a proposed class action filed Wednesday in California federal court.
Expert Analysis
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Despite Calif. Delays, Climate Disclosure Rules Are Coming
Progress continues on state, federal and international climate disclosure regimes, making compliance a key concern for companies — but the timeline for implementation of California's disclosure laws remains unclear due to funding and timing disputes, says David Smith at Manatt Phelps.
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Dueling Calif. Rulings Offer Insight On 401(k) Forfeiture Suits
Two recent decisions from California federal courts regarding novel Employee Retirement Income Security Act claims around 401(k) forfeitures provide early tea leaves for companies that may face similar litigation, offering reasons for both optimism and concern over the future direction of the law, say Ashley Johnson and Jennafer Tryck at Gibson Dunn.
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3 Policyholder Tips After Calif. Ruling Denying D&O Coverage
A California decision from June, Practice Fusion v. Freedom Specialty Insurance, denying a company's claim seeking reimbursement under a directors and officers insurance policy for its settlement with the Justice Department, highlights the importance of coordinating coverage for all operational risks and the danger of broad exclusionary policy language, says Geoffrey Fehling at Hunton.
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Loss Causation Ruling Departs From Usual Securities Cases
A California federal court recently dismissed Ramos v. Comerica, finding that the allegations failed to establish loss causation, but the reasoning is in tension with the pleading-stage approaches generally followed by both courts and economists in securities fraud litigation, say Jesse Jensen and Aasiya Glover at Bernstein Litowitz.
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PAGA Reforms Encourage Proactive Employer Compliance
Recently enacted reforms to California's Private Attorneys General Act should make litigation under the law less burdensome for employers, presenting a valuable opportunity to streamline compliance and reduce litigation risks by proactively addressing many of the issues that have historically attracted PAGA claims, say attorneys at Mintz.
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Opinion
Now More Than Ever, Lawyers Must Exhibit Professionalism
As society becomes increasingly fractured and workplace incivility is on the rise, attorneys must champion professionalism and lead by example, demonstrating how lawyers can respectfully disagree without being disagreeable, says Edward Casmere at Norton Rose.
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What FTX Case Taught Us About Digital Asset Recoverability
FTX's Chapter 11 plan has drawn lots of attention, but the focus should be on the anticipated outcome for investors, which counters several myths about digital currencies, innovation and recoverability, says Kyla Curley at StoneTurn.
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Series
Serving In The National Guard Makes Me A Better Lawyer
My ongoing military experience as a judge advocate general in the National Guard has shaped me as a person and a lawyer, teaching me the importance of embracing confidence, balance and teamwork in both my Army and civilian roles, says Danielle Aymond at Baker Donelson.
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A Midyear Forecast: Tailwinds Expected For Atty Hourly Rates
Hourly rates for partners, associates and support staff continued to rise in the first half of this year, and this growth shows no signs of slowing for the rest of 2024 and into next year, driven in part by the return of mergers and acquisitions and the widespread adoption of artificial intelligence, says Chuck Chandler at Valeo Partners.
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Synapse Bankruptcy Has Ripple Effects For Fintech Industry
Synapse Financial Technologies’ recent bankruptcy filing marks a significant moment in the fintech industry's evolution, highlighting that stringent compliance and risk management in fintech partnerships are essential to mitigate risk and protect consumers, say Joann Needleman and Ryan Blumberg at Clark Hill.
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California Adds A Novel Twist To State Suits Against Big Oil
California’s suit against Exxon Mobil Corp., one of several state suits that seek to hold oil and gas companies accountable for climate-related harms, is unique both in the magnitude of the alleged claims and its use of a consumer protection statute to seek disgorgement of industry profits, says Julia Stein at UCLA School of Law.
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Opinion
States Should Loosen Law Firm Ownership Restrictions
Despite growing buzz, normalized nonlawyer ownership of law firms is a distant prospect, so the legal community should focus first on liberalizing state restrictions on attorney and firm purchases of practices, which would bolster succession planning and improve access to justice, says Michael Di Gennaro at The Law Practice Exchange.
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Why Justices Should Rule On FAA's Commerce Exception
The U.S. Supreme Court should review the Ninth Circuit's Ortiz v. Randstad decision, to clarify whether involvement in interstate commerce exempts workers from the Federal Arbitration Act, a crucial question given employers' and employees' strong competing interests in arbitration and litigation, says Collin Williams at New Era.
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Tricky Venue Issues Persist In Fortenberry Prosecution Redo
Former Rep. Jeff Fortenberry was recently indicted for a second time after the Ninth Circuit tossed his previous conviction for improper venue, but the case, now pending in the District of Columbia, continues to illustrate the complexities of proper venue in "false statement scheme" prosecutions, says Kevin Coleman at Covington.
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Series
Solving Puzzles Makes Me A Better Lawyer
Tackling daily puzzles — like Wordle, KenKen and Connections — has bolstered my intellectual property litigation practice by helping me to exercise different mental skills, acknowledge minor but important details, and build and reinforce good habits, says Roy Wepner at Kaplan Breyer.