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Class Action
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June 25, 2024
FTX Gets OK To Seek Creditor Votes On Ch. 11 Plan
Bankrupt cryptocurrency exchange FTX Trading Ltd. can seek creditor votes for its Chapter 11 plan after a Delaware bankruptcy judge said he would approve the debtor's disclosures after overruling several objections.
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June 25, 2024
NY Judge Rejects Visa, Mastercard Fee Deal
A New York federal judge handling multidistrict litigation over Visa and Mastercard merchant fees rejected a proposed settlement for equitable relief and recommended a case from Grubhub be sent back to Illinois, making good on a suggestion she shared at a previous hearing.
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June 25, 2024
Amazon Says It Shares 'Cookies,' But Not Prime Viewers' ID
Amazon.com Inc. on Tuesday urged a federal judge to toss a proposed class action filed by Prime movie subscribers, calling the privacy complaint a "smokescreen" attempting to get around the terms of a use agreement that allows advertisers to access cookies that don't identify specific customers.
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June 25, 2024
Chancery Tentatively OKs $15.5M Lordstown SPAC Suit Deal
A $15.5 million class settlement for a stockholder suit that challenged the special-purpose acquisition company deal that took Lordstown Motors Inc. public won tentative Delaware Court of Chancery approval Tuesday, conditioned on confirmation of one expense claim.
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June 25, 2024
Conn. Firefighters Sue Over PFAS In Protective Gear
Connecticut firefighters slapped 3M, DuPont and 17 others with a proposed class action on Tuesday, alleging they have been exposed to dangerous levels of per- and polyfluoroalkyl substances, or PFAS, contained in their protective gear manufactured and sold by the companies.
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June 25, 2024
$3M Broker Commission Deal Stayed To Await NAR Settlement
A Massachusetts federal court will not consider a $3 million settlement reached between home sellers and a multiple listing service over broker commission rules until after a decision on a much larger settlement in the separate sprawling case against the National Association of Realtors.
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June 25, 2024
Oil Co. Accused Of Duping Consumers With Biodiesel Product
A Massachusetts home heating oil dealer falsely told consumers they were purchasing an environmentally friendly biodiesel product, a proposed class action filed in state court on Monday alleges.
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June 25, 2024
Sinclair Accused Of Violating Video Privacy Law
Sinclair Inc. was hit with a lawsuit in Illinois state court Monday alleging it uses tracking technology to see which videos users watch on its tennis streaming service and target advertisements to them accordingly, in violation of the Video Privacy Protection Act.
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June 25, 2024
American Airlines Can't Move Frequent Flyers' Suit To Texas
American Airlines lost its bid to transfer to Texas a proposed class action alleging it improperly terminated frequent flyer accounts and erased accrued airline miles, as a California federal judge ruled Monday the airline hadn't shown convenience and justice required moving it from the Golden State.
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June 25, 2024
Calif. Pot Co. Accused Of 'Lab Shopping' To Skirt Safety Rules
A California marijuana cultivator has been accused of selling cannabis products with unacceptable levels of contaminants, getting around state requirements by seeking out laboratories that turned a "blind eye" to its crops' impurities, according to a proposed class action.
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June 25, 2024
Plaintiffs Firms Appealing $2.1B Fee Order In Opioid Case
Motley Rice LLC, Weisman Kennedy & Berris Co. LPA, Stranch Jennings & Garvey PLLC, Crueger Dickinson LLP, Goldstein & Russell PC, Kelley & Ferraro LLP, Spangenberg Shibley & Liber LLP and Meyers & Flowers LLC are appealing $2.13 billion in attorney fees stemming from opioid settlements awarded earlier this month.
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June 25, 2024
Chancery OKs $71M Premier Deal, $14M Four-Firm Fee
Shareholder attorneys led by Friedlander & Gorris who negotiated a $71 million settlement to end derivative Delaware Chancery Court litigation with healthcare-purchasing giant Premier Inc. will get $14 million for their efforts, the total fee award they sought.
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June 25, 2024
Healthcare Co. Inks $1.5M Deal To End Pension Fund Suit
A Massachusetts healthcare company has agreed to pay $1.5 million to end a class action alleging it loaded its $500 million pension plan with costly investments and failed to keep administrative fees in check, plan participants leading the suit told a federal court.
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June 25, 2024
Lye Buyers Can't Get Court OK For $38.5M Antitrust Deals
A federal judge in Buffalo has rejected three settlements totaling $38.5 million for a proposed class of lye purchasers who alleged producers of the chemical colluded to inflate prices, ruling exceptions to who qualifies for the class make it impossible to determine membership.
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June 25, 2024
Advance Auto Parts Hit With 4 Data Breach Suits
Advance Auto Parts Inc. has been hit with four proposed class action complaints over a recent data breach that one suit says exposed more than 1 million people's private information, some of which has purportedly already gone up for sale on the dark web.
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June 25, 2024
Fed. Circ. Revives Class Action Against Feds' Visa Fraud Sting
The Federal Circuit on Tuesday revived an Indian citizen's proposed class action to recover tuition payments to a fake university the U.S. Department of Homeland Security set up to catch visa fraudsters, saying the lower court wrongly determined it lacked jurisdiction.
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June 24, 2024
UFC Fighters Swing Again To Get OK On $335M Wage Deal
UFC fighters seeking preliminary approval for their $335 million deal to end class claims that the mixed martial arts organization suppressed their wages submitted a revised distribution plan Monday, after a Nevada federal judge said he wanted to see "life changing" money for fighters who waited through the decadelong litigation.
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June 24, 2024
Bill Pay Co. Tricks Consumers With 'Dark Patterns,' Suit Says
Third-party bill payment company Doxo Inc. and two of its co-founders have been hit with a proposed class action alleging the company uses so-called dark patterns to trick consumers into using its website to pay other companies' bills online.
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June 24, 2024
Tesla Class Attys In Del. Blast Musk's Texas Pay-Salvage Plan
Tesla stockholder attorneys who won a Delaware Court of Chancery order voiding Elon Musk's then-$56 billion compensation package in January have asked the court to reject company claims that recent stockholder approval of the same Musk pay plan after Tesla's reincorporation in Texas "has controlling and preclusive effect."
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June 24, 2024
Judge Mulls BioXcel's Duty To Tell Investors Of FDA Troubles
A Connecticut federal judge wondered Monday if executives at the artificial intelligence-driven drugmaker BioXcel Therapeutics Inc. had an opportunity to correct problems that government regulators identified with a key clinical trial and, if so, whether their statements on the subject to investors could be considered false or misleading.
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June 24, 2024
Harvard Prof Calls NFL Sunday Ticket 'Highly Anticompetitive'
A Harvard law professor testified Monday in a multibillion-dollar antitrust lawsuit over the NFL's Sunday Ticket that pooling teams' television rights into exclusive deals is not like Beyoncé having an exclusive music distributor — as an NFL expert testified — but like Beyoncé, Rihanna, Taylor Swift and Billie Eilish pooling rights.
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June 24, 2024
Teamsters Fund Must Face Pension Conversion Suit
A West Coast-based Teamsters pension fund must keep facing claims that it shortchanged married retirees by using outdated data to convert their benefits from single-life annuity form, with a Washington federal judge deeming the suit strong enough to beat the fund's dismissal motion.
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June 24, 2024
Apple, Amazon Assail Hagens Berman's Class Rep 'Charade'
Apple and Amazon.com blasted Hagens Berman Sobol Shapiro LLP for trying to "have it both ways" in an antitrust suit over a pact between the companies restricting Amazon iPhone and iPad sales to approved vendors, arguing the firm cannot withdraw its original named plaintiff without forcing him to testify.
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June 24, 2024
Anaplan Beats Chancery Suit Over $10.4B Thoma Bravo Deal
A Delaware vice chancellor has tossed a consolidated suit alleging that former officers of Anaplan Inc. "squandered" roughly $400 million in shareholder value when agreeing to the company's $10.4 billion sale to private equity firm Thoma Bravo, saying the suit fails because the stockholders approved the transaction through an informed and uncoerced vote.
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June 24, 2024
Boeing Says Turbulent Securities Suit Should Be Dismissed
Boeing has moved to dismiss a proposed securities fraud suit in Virginia federal court accusing it of misleading investors about the overall safety of its 737 Max jets, saying that the plaintiffs' "kitchen-sink" approach falls short of pleading requirements.
Expert Analysis
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Open Questions After Elastos Crypto Class Action Settlement
The recent settlement in Owen v. Elastos Foundation resolving a class action fight over whether Elastos was required to register an initial coin offering with U.S. regulators has raised several questions that may be of interest to lawyers litigating cryptocurrency-related cases, including whether a crypto token constitutes a security under U.S. law, says Bradley Simon at Schlam Stone.
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Aviation Watch: 737 Max Blowout Raises Major Safety Issues
The sudden in-flight loss of a side panel on an Alaska Air 737-9 Max last month, leaving a gaping hole in the side of the plane's cabin, highlighted ongoing quality issues at Boeing, the jet's manufacturer — but the failure also arose from decisions made by the airline, says Alan Hoffman, a retired attorney and aviation expert.
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Mass Arb. Rule Changes May Be A Hindrance For Consumers
The American Arbitration Association's recent changes to its mass arbitration supplementary rules and fee schedule, including a shift from filing fees to initiation and per-case fees, may reduce consumers' ability to counteract businesses' mandatory arbitration agreements, say Eduard Korsinsky and Alexander Krot at Levi & Korsinsky.
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Series
Coaching High School Wrestling Makes Me A Better Lawyer
Coaching my son’s high school wrestling team has been great fun, but it’s also demonstrated how a legal career can benefit from certain experiences, such as embracing the unknown, studying the rules and engaging with new people, says Richard Davis at Maynard Nexsen.
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Opinion
New Rule 702 Helps Judges Keep Bad Science Out Of Court
A court's recent decision to exclude dubious testimony from the plaintiffs' experts in multidistrict litigation over acetaminophen highlights the responsibility that judges have to keep questionable scientific evidence out of courtrooms, particularly under recent amendments to Federal Rule of Evidence 702, says Sherman Joyce at the American Tort Reform Association.
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SG's Office Is Case Study To Help Close Legal Gender Gap
As women continue to be underrepresented in the upper echelons of the legal profession, law firms could learn from the example set by the Office of the Solicitor General, where culture and workplace policies have helped foster greater gender equality, say attorneys at Ocean Tomo.
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Opinion
Proposed Rule Could Impair MDL Flexibility, Harm Plaintiffs
While proposed Federal Rule of Civil Procedure 16.1 is intended to enhance the management of multidistrict litigation proceedings, its one-size-fits-all requirements could stifle the flexibility that judges need to address the varying circumstances of MDLs effectively, and jeopardize plaintiffs' ability to pursue justice, say Christopher Seeger and Jennifer Scullion at Seeger Weiss.
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Del.'s Tesla Pay Takedown Tells Boards What Not To Do
The Delaware Chancery Court’s ruthless dissection of the Tesla board’s extreme departures from standard corporate governance in its January opinion striking down CEO Elon Musk’s $55 billion pay package offers a blow-by-blow guide to mistakes Delaware public companies can avoid when negotiating executive compensation, say attorneys at Cleary.
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What Brands Must Know For Calif. Recycle Label Compliance
A brand that stamps nonrecyclable packaging with the chasing arrows symbol could face liability under California's new law on labeling recyclable material, so brand owners should keep an eye on the state's pending survey process to identify which materials meet the criteria before requirements go into effect, say attorneys at ArentFox Schiff.
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Opinion
3rd-Party Financiers Have Power To Drive Mass Tort Cases
The abnormal recovery premium presented by modern mass tort cases coupled with their deemphasized role for attorneys creates an opportunity for third-party financiers to both create and control these cases, says Samir Parikh at Lewis & Clark Law School.
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Del. Dispatch: Clarification On Fiduciary Duties Of Controllers
The Delaware Chancery Court’s January opinion in a Sears Hometown and Outlet Stores' stockholder dispute — holding that a controlling stockholder owes the company and minority shareholders some fiduciary duties when selling shares or voting to change the status quo — suggests instances where investors opposing board decisions should tread carefully, say attorneys at Fried Frank.
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Reimagining Law Firm Culture To Break The Cycle Of Burnout
While attorney burnout remains a perennial issue in the legal profession, shifting post-pandemic expectations mean that law firms must adapt their office cultures to retain talent, say Kevin Henderson and Eric Pacifici at SMB Law Group.
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Series
Competing In Dressage Makes Me A Better Lawyer
My lifelong participation in the sport of dressage — often called ballet on horses — has proven that several skills developed through training and competition are transferable to legal work, especially the ability to harness focus, persistence and versatility when negotiating a deal, says Stephanie Coco at V&E.
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What Retailers Should Note In Calif. Web Tracking Suits
As retailers face a deluge of class actions alleging the use of conventional web analytic tools violate wiretapping and eavesdropping provisions of the California Invasion of Privacy Act, uncovering the path toward a narrow interpretation of the law will largely depend on how these cases proceed, say Matthew Pearson and Kareem Salem at BakerHostetler.
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Musk Pay Package Ruling Offers Detailed Lesson On Del. Law
Anat Alon-Beck and John Livingstone at Case Western Reserve University discuss the specifics that led Delaware's chancellor to rescind Elon Musk's $55.8 billion Tesla pay package on Jan. 30, how the state’s entire fairness doctrine played into the ruling, and its bigger-picture impact on the executive compensation landscape.