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Class Action
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June 10, 2024
Fat Brands Faces Investor Suit Over $47M Loan Scheme
Fat Brands and its executives face a proposed class action in California federal court alleging that they falsely claimed to be cooperating with governmental probes into their CEO's spending $47 million on company loans while skirting taxes, leading stock prices to plunge last month when criminal charges were announced.
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June 10, 2024
Ill. Judge Hangs Gain False Labeling Claims Out To Dry
An Illinois consumer who washes clothes with Gain detergent cannot pursue fraud claims targeting a bottle's purported load capacity because she hasn't shown that reasonable customers believe the label refers to large rather than medium loads, a federal judge said Monday.
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June 10, 2024
Apple IPhone Antitrust MDL Heads To NJ, Where DOJ Is Suing
Apple customers accusing the company of locking in iPhone users through anticompetitive agreements will have their cases consolidated in New Jersey, the U.S. Judicial Panel on Multidistrict Litigation ruled Friday, finding the parties can coordinate with the U.S. Department of Justice's enforcement action there to avoid duplicative discovery and inconsistent rulings.
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June 10, 2024
SoCal Workers Want Class Cert. In Union Healthcare Fee Suit
A group of union-represented Southern California hospitality workers who say they're getting charged much higher health insurance rates than their counterparts in Las Vegas are seeking class certification in their lawsuit challenging the rates, according to a filing in Illinois federal court.
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June 10, 2024
Bloomberg's Utility Bond Changes Hurt Consumers, Suit Says
Bloomberg LP was hit with a proposed class action by California and Texas electricity customers who claim the company reclassified certain bonds issued by utility companies to elevate their perceived risk and hike interest rates, a move they say benefited institutional investors but imposed increased costs on electricity customers.
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June 10, 2024
'Junk Fee' Suit Against Hilton Shipped Back To State Court
A D.C. federal judge has sent back to state court a traveler advocacy group's lawsuit accusing Hilton of tricking hotel guests into paying "junk fees" late in the booking process, rejecting the hotel chain's bid to litigate the proposed class action in federal court.
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June 10, 2024
Colo. Justices Say Toxic Tort Plaintiffs Didn't Waive Privilege
Colorado's justices on Monday said plaintiffs suing a medical sterilization plant over exposure to a carcinogen cannot be forced to turn over communications with their lawyers related to an expert report, rejecting the plant's argument that the disclosure of a spreadsheet to an expert waived attorney-client privilege.
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June 10, 2024
Uber Black Drivers Aren't Like Plumbers, Philly Jury Told
Uber Black drivers on Monday tried for a second time to convince a Pennsylvania federal jury that the ride-sharing company owes them the same perks as employees, saying they're nothing like plumbers, the quintessential independent contractors.
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June 10, 2024
Drugmakers Look To Nix Non-Insulin Claims From AG Suit
Novo Nordisk, Eli Lilly and Sanofi-Aventis asked the federal judge overseeing a diabetes drug price-fixing multidistrict litigation to rule for drugmakers on Mississippi's claims the pricing for GLP-1s is illegal, saying in a brief that the drugs are under patent and too new to be included in the insulin-pricing suit.
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June 10, 2024
Ill. Tool Maker Must Face Retirement Mismanagement Claims
An Illinois tool manufacturer must answer to accusations that it mishandled billions in employee retirement savings by allowing their plan to take on unreasonable recordkeeping fees and retaining underperforming funds, a federal judge said Monday.
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June 10, 2024
Calif. Cannabis Co. Stiiizy Wants Delta-8 Product Suit Tossed
A California cannabis company urged an Illinois federal judge to toss a consumer-led false advertising lawsuit alleging it put higher levels of THC in its vape pens than federally allowed, saying the buyers didn't even purchase the one product that was allegedly tested.
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June 10, 2024
Migrant Cleaners Rebuff Colo. Hotel's Bid To Ditch Wage Suit
The migrant contractor staff that cleaned a Colorado luxury hotel slammed the hotel's efforts to escape claims of underpaying its workers, telling a Colorado federal court Monday that the hotel set the terms of their employment.
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June 10, 2024
2nd Circ. Remands Malpractice Suit Against DLA Piper
The Second Circuit on Monday sent back to state court a Chinese smart car technology company's malpractice suit against DLA Piper that accused the firm of mishandling a shareholder suit, with the appeals court panel saying federal court does not have jurisdiction over the suit.
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June 10, 2024
Amid FBI Probe, Troubled Law Firm Gets Fees Win At 5th Circ.
An embattled Texas law firm has won another shot to secure fees for its work on hurricane-related cases in Louisiana, the Fifth Circuit ruled, one day after the FBI revealed it was investigating the firm over its client solicitation practices.
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June 10, 2024
Victims Of Chiquita-Funded Paramilitaries Win $38M Award
The first bellwether trial in multidistrict litigation against Chiquita over its funding of right-wing paramilitaries in Colombia's banana-producing region ended with a victory Monday afternoon for nearly all the plaintiffs, as a Florida federal jury awarded them $38.3 million in damages for the losses of their loved ones killed by paramilitaries.
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June 10, 2024
Kirkland Faces Class Claims Over Breach Of File Transfer Tool
A proposed class of victims of a data breach has sued Kirkland & Ellis LLP and various other entities in a Massachusetts federal court, accusing them of failing to "properly secure and safeguard [the] plaintiff's and other similarly situated individuals' private information" in the lead-up to the massive 2023 MOVEit data breach.
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June 10, 2024
Prudential Financial Hit With Data Breach Suit In NJ
Prudential Financial Inc. faces a negligence suit alleging the company failed to protect the personal information of nearly 37,000 clients after it acknowledged that certain of its systems were compromised in a February hacking incident involving so-called social engineering.
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June 10, 2024
Catching Up With Delaware's Chancery Court
Big players and big moves dominated much of the past week in Delaware's Court of Chancery, as Tesla in particular and big corporations in general showed their pique over rulings that went toward stockholders or against conventional expectations.
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June 10, 2024
Citgo Retirees Secure Amended Class Cert. In ERISA Suit
An Illinois federal judge greenlighted class status to retired Citgo employees who accused the company of shortchanging them by using outdated metrics to calculate early retirement payouts, saying the former employees properly winnowed down the class definition.
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June 10, 2024
Justices To Hear Meta Investor Suit Over Risk Disclosures
The U.S. Supreme Court on Monday agreed to hear Meta Platforms' petition regarding the Ninth Circuit's decision to partially revive investors' claims over the Cambridge Analytica data abuse scandal, after the tech giant argued the appellate panel adopted "extreme outlier positions."
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June 07, 2024
Motley Rice Allocated Biggest Share Of $2B Opioid Fees
A panel directed with allocating $2.13 billion in attorney fees stemming from opioid settlements has recommended awarding the largest shares of the pot to Motley Rice LLC, Simmons Hanly Conroy LLC and Napoli Shkolnik PLLC, according to a report filed Friday in Ohio federal court.
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June 07, 2024
Public Schools Tossed From Calif. Social Media Injury Case
Four public school districts cannot pursue their claims against Meta Platforms, Snap, Google, YouTube and TikTok that their allegedly addictive social media platforms fueling a mental health crisis among children have had a ripple effect on schools, a California state judge ruled Friday.
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June 07, 2024
NFL's Kraft Testifies 'Too Many' Sunday Ticket Sales Is Bad
A California federal jury considering multi-billion dollar antitrust claims against the NFL brought by Sunday Ticket subscribers saw video deposition testimony Friday from New England Patriots owner Robert Kraft, who said ensuring a high price for the television package is a league priority, and he would not want "too many" U.S. subscribers.
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June 07, 2024
Uber Targets Most Calif., Texas Claims In Driver Assault MDL
Uber urged a California federal judge Friday to toss the majority of claims from plaintiffs in California and Texas in multidistrict litigation seeking to hold the ride-hailing company liable for drivers' sexual assaults, saying it can't be held responsible for the actions of individual drivers under those state's laws.
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June 07, 2024
Ozempic MDL Gets New Judge After Judge Pratter's Death
The U.S. Judicial Panel on Multidistrict Litigation on Thursday reassigned sprawling litigation over Ozempic and similar drugs in the Eastern District of Pennsylvania following the sudden death of U.S. District Judge Gene E.K. Pratter, who'd been overseeing the MDL.
Expert Analysis
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Changes To Note In New AAA Mass Arbitration Rules
The American Arbitration Association updated its mass arbitration rules earlier this month — clarifying issues that were previously being litigated in front of the AAA, and significantly streamlining the process of getting to a merits arbitration for claimants who have suffered similar wrongs and are bound by mandatory arbitration clauses, say attorneys at Labaton Keller.
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NY Discovery Stay Ruling Empowers Securities Defendants
A New York state appeals court’s recent decision in Camelot Event v. Morgan Stanley — which extends a federal securities law's discovery stay to state courts — clarifies an issue that has perplexed state courts across the country and provides the advantage of reduced discovery costs to securities defendants, say Katherine Kelly Fell and Jeremy Wertz at Milbank.
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Opinion
Proposed Rule Misses The Mark On Improving MDLs
The Advisory Committee on Civil Rules' recently proposed rule on multidistrict litigation would provide some guidance for courts on managing MDLs — but without any requirement for the early vetting of claims, it is particularly unhelpful for defendants in pharmaceutical and product liability cases, say attorneys at Crowell & Moring.
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10 Years Of Retail Battles: Unpacking Pricing Litigation Trends
A close look at a decade of pricing class actions against retailers reveals evolving trends, plaintiffs bar strategies, and the effects of significant court decisions across states, say attorneys at Benesch.
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The 7th Circ.'s Top 10 Civil Opinions Of 2023
Attorneys at Jenner & Block examine the most significant decisions issued by the Seventh Circuit in 2023, and explain how they may affect issues related to antitrust, constitutional law, federal jurisdiction and more.
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Employee Experience Strategy Can Boost Law Firm Success
Amid continuing business uncertainty, law firms should consider adopting a holistic employee experience strategy — prioritizing consistency, targeting signature moments and leveraging measurement tools — to maximize productivity and profitability, says Haley Revel at Calibrate Consulting.
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And Now A Word From The Panel: A Strong Year For MDLs
While the Judicial Panel on Multidistrict Litigation granted even fewer MDL petitions last year than in 2022, hitting a 21st-century low, a closer look at the record-setting number of total actions encompassed within current proceedings reveals that MDL practice is still quite robust, says Alan Rothman at Sidley.
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How Consumer Product Cos. Can Keep Up With Class Actions
Recent cases show California's federal courts and the Ninth Circuit remain the preferred arena for consumers pursuing false advertising and trade deception claims against companies — so manufacturers, distributors and retailers of consumer products should continue to watch these courts for guidance on how to fight class actions, say attorneys at Dechert.
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Series
Competing In Triathlons Makes Me A Better Lawyer
While practicing law and competing in long-distance triathlons can make work and life feel unbalanced at times, participating in the sport has revealed important lessons about versatility, self-care and perseverance that apply to the office as much as they do the racecourse, says Laura Heusel at Butler Snow.
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Mitigating Compliance And Litigation Risks Of Evolving Tech
Amid artificial intelligence and other technological advances, companies must prepare for the associated risks, including a growing suite of privacy regulations, enterprising class action theories and consumer protection challenges, and proliferating disclosure obligations, say attorneys at Eversheds Sutherland.
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Where Justices Stand On Chevron Doctrine Post-Argument
Following recent oral argument at the U.S. Supreme Court, at least four justices appear to be in favor of overturning the long-standing Chevron deference, and three justices seem ready to uphold it, which means the ultimate decision may rest on Chief Justice John Roberts' vote, say Wayne D'Angelo and Zachary Lee at Kelley Drye.
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Perspectives
6 Practice Pointers For Pro Bono Immigration Practice
An attorney taking on their first pro bono immigration matter may find the law and procedures beguiling, but understanding key deadlines, the significance of individual immigration judges' rules and specialized aspects of the practice can help avoid common missteps, says Steven Malm at Haynes Boone.
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Lessons From Country Singer's Personal Service Saga
Recent reports that country singer Luke Combs won a judgment against a Florida woman who didn’t receive notice of the counterfeit suit against her should serve as a reminder for attorneys on best practices for effectuating service by electronic means, say attorneys at Jenner & Block.
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NY Pay Frequency Cases May Soon Be A Thing Of The Past
Two recent developments in New York state have unfurled to suggest that the high tide of frequency-of-pay lawsuits may soon recede, giving employers the upper hand when defending against threatened or pending claims, say attorneys at Reed Smith.
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Arbitration Is Still On The Table To Fight ERISA Class Actions
Despite the U.S. Supreme Court recently denying certiorari in two cases that would have brought clarity to the arbitrability of ERISA claims, it is likely that the issue will remain hotly contested for some time, but lower court decisions provide tools for plan sponsors to curtail their ERISA exposure, say attorneys at Sullivan & Cromwell.