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Commercial Contracts
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January 30, 2025
Ex-Partners Used Co. Money For Other Biz Ventures, Suit Says
A Colorado restaurant company is suing two former managing members for "brazen and wide-ranging fraud" against the company, alleging the members used company coffers to fund employees and expenses for their own business ventures.
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January 30, 2025
Semiconductor Co. Eyeing $5M Award Can't Get Asset Freeze
A California federal judge has denied a Chinese semiconductor company's request to bar a commodity trading firm from dissipating its assets while the two are locked in an arbitration battle over a contract for lithography machines, saying the trader, now aware of the litigation, had not sold off its assets or indicated an intention of doing so.
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January 30, 2025
Historic Soda Co. Says Ex-Officer's Lease Suit Is 'Revenge'
Foxon Park Beverages Inc., a century-old soft drink maker in Connecticut, has asked a state court judge to dismiss a lawsuit alleging that it entered into an unfair lease agreement with another company owned by the same family, arguing that the entities' former president brought it for an improper purpose.
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January 30, 2025
Panel Passes On Snowboarder's Version Of Ski Waiver Ruling
A Colorado state appeals court on Thursday said it didn't need to touch an injured snowboarder's argument that precedent limiting the reach of ski resort liability waivers also applies to his lawsuit over a snowmobile collision, because the snowboarder released any legal claims when he later purchased a resort pass.
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January 30, 2025
Food Co. Says Ex-Manager Hoodwinked Customers For Rivals
The former general manager of a chicken processing plant allegedly double-crossed his employer by working with two competing food distributors to poach customers through deceptive sales pitches and pocketing company funds through off-the-book rental agreements, according to a newly designated North Carolina Business Court complaint.
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January 30, 2025
Ligado Creditor Pans 'Exorbitant' Fees For $115M DIP Loan
Satellite communications company Ligado Networks LLC's largest unsecured creditor asked a Delaware bankruptcy judge to reject the company's proposed $115 million Chapter 11 financing package, saying Ligado's secured lenders were seeking to help themselves to $100 million in fees as part of the deal.
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January 30, 2025
WB's 'The Pitt' Is 'Absolutely' An 'ER' Reboot, Crichton Says
Counsel for the widow of "ER" creator Michael Crichton urged a California state judge on Thursday not to toss allegations that Warner Bros. Discovery's new medical drama "The Pitt" is an unauthorized reboot, saying the now-streaming show's development history proves it "absolutely derived" from the 1990s and early 2000s hit.
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January 30, 2025
NC Biz Court Bulletin: Sanctions Miss, Philip Morris Refund
In the second half of January, the North Carolina Business Court tussled with sanctions against a biogas company, heard claims an insurer tried to deliberately embarrass Cadwalader Wickersham & Taft LLP and ordered an $11 million tax refund for Philip Morris.
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January 30, 2025
Ex-Charter Communications IT Exec Says Noncompete Is Void
A former Charter Communications Inc. executive has asked a Connecticut federal judge to throw out the company's trade secrets claims against him or at least transfer the case to Colorado, arguing that his ex-employer has failed to say what secrets he allegedly took to his new job and that his noncompete agreement is void.
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January 30, 2025
Broker Sues Builder After Condo Plan Ditched For Apartments
A brokerage contracted to market condominiums in Denver says a developer is refusing to pay commission and other costs after deciding to convert the project into an apartment complex, according to a lawsuit filed in Colorado state court.
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January 30, 2025
Storage Co. Says Rothman Gordon Left Behind Files, Big Bills
The defunct Pittsburgh law firm Rothman Gordon PC has left thousands of file boxes in storage at a contractor's warehouse without paying, and is insisting that the contractor go through the stored records to return files to former clients, according to a lawsuit the storage company filed in Pennsylvania state court.
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January 29, 2025
Fla. Yacht Owner Seeks Depo At Courthouse After Shooting
A yacht owner has urged a Florida state court to allow a deposition in a lawsuit over an ownership dispute to be taken at the downtown Miami courthouse, saying he fears for his safety following threats on his life and a shooting that almost killed him.
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January 29, 2025
Spotify Beats Suit Challenging 'Bundling' Royalty Structure
A New York federal judge tossed a challenge to Spotify's new method for calculating artist royalties Wednesday, finding that the streaming giant followed the law in "bundling" a premium subscription that gives users access to both music and audiobooks.
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January 29, 2025
Apple Will Appeal Denial Of Bid To Defend Google Search Deal
Apple said Wednesday that it will appeal an order refusing to let it intervene in the government's search monopolization case against Google to defend a multibillion-dollar revenue-sharing deal that makes Google the default search engine for the Safari browser.
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January 29, 2025
$17M Punitive Award Reversed In Miami Hotel's Noise Suit
A Florida state appeals court on Wednesday upheld sanctions against the owner of two Miami Beach hotels for committing fraud on the court in a commercial landlord-tenant dispute, but the court threw out a $17.4 million punitive damages award and ordered a new trial on that issue.
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January 29, 2025
Dentons Taps SEC Enforcement Vet From Morrison Cohen
Dentons has brought on a former U.S. Securities and Exchange Commission enforcement attorney from Morrison Cohen LLP, where his work made headlines when he won a rare sanctions order against the regulator over its handling of a case against a client, the crypto project known as Debt Box.
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January 29, 2025
Mich. Judge Doubts Discovery Dispute Should DQ Firm
A Michigan federal judge on Wednesday said a law firm's alleged "bad behavior" doesn't necessarily mean it can't represent a former CEO of a solar energy company, telling residents who sought to disqualify the firm because of a supposed conflict that their complaints may be better dealt with through discovery motions.
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January 29, 2025
Cell Tower Co. Says Colo. Jury Was Misled Over Dish Lease
Telecom infrastructure giant Crown Castle is urging the Colorado Court of Appeals to vacate a jury finding in its $32 million suit against Dish Network over allegedly unpaid cell tower site rent, arguing that a judge's pretrial ruling led the jury to incorrectly find that Dish wasn't at fault.
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January 29, 2025
Defamation And Default Alleged In Conn. Mortgage Biz Battle
A Connecticut businessman accused of raiding a mortgage servicer's business accounts to start a competing firm says the company defamed him in a counterclaim in state court lodged on the same day the company sought a default judgment in the litigation over a soured partnership.
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January 29, 2025
Amazon Says Docs FTC Wants For Prime Case Are Privileged
Amazon fired back in a discovery dispute in the Federal Trade Commission's case accusing the e-commerce giant of Prime subscription deception, saying the regulator is not entitled to documents tied to a company meeting because the records reflect legal advice and work product.
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January 29, 2025
Rental Co. Urges NC Justices To Review Debt Deadline Ruling
A South Carolina real estate rental company urged the North Carolina Supreme Court on Tuesday to overturn a lower court's decision that the company missed the window to enforce a debt because the automatic stay triggered by the debtor's bankruptcy filing didn't toll the statutory 10-year period for the company to renew the judgment.
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January 29, 2025
Curaleaf To Pay $31.8M In Pot Farm Contract Row
A Michigan federal jury on Wednesday found that a pair of Curaleaf affiliates breached their contract with a cannabis farm, awarding the farm nearly $32 million in damages, while rejecting Curaleaf's counterclaims.
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January 29, 2025
Uber Can't Duck Mass. Tech Company's Trade Secrets Suit
A Massachusetts state judge ruled Wednesday that a forum selection clause can't protect Uber from answering claims that it stole a Boston technology company's trade secrets after partnering with it on rider safety pilot projects in Brazil.
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January 29, 2025
Suit Over Ohtani's Historic Stolen Base Ends With Settlement
The Miami Marlins and Los Angeles Dodgers have reached a settlement in a now-dropped lawsuit in which a baseball collector alleged he never received a base used in the game that saw Dodgers slugger Shohei Ohtani eclipse 50 home runs and 50 stolen bases in a single season.
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January 29, 2025
Dechert Seeks Clawback From Ex-Atty After $132K Pay Error
A former Dechert senior project attorney is accused of failing to report a $132,250 billing error and refusing to return the funds, according to a suit the firm brought against her in New York state court.
Expert Analysis
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What 2 Rulings On Standing Mean For DEI Litigation
Recent federal court decisions in the Fearless Fund and Hello Alice cases shed new light on the ongoing wave of challenges to diversity, equity and inclusion initiatives, with opposite conclusions on whether the plaintiffs had standing to sue, say attorneys at Moore & Van Allen.
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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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Class Actions At The Circuit Courts: June Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy considers two recent decisions from the Third and Tenth Circuits, and identifies practice tips around class action settlements and standing in securities litigation.
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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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Arbitration Implications Of High Court Coinbase Ruling
The U.S. Supreme Court's recent Coinbase v. Suski ruling not only reaffirmed the long-standing principle that arbitration is a matter of contract, but also established new and more general principles concerning the courts' jurisdiction to decide challenges to delegation clauses and the severability rule, say Tamar Meshel at the University of Alberta.
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A Look At Calif. Contract Considerations In Fiji Water Ruling
A California appellate court's recent decision in Carolina Beverage v. Fiji Water, that a party may not seek contractual recovery on the basis of constructive termination, offers a look at contract construction and other considerations on negotiating distribution agreements, says Michael Laszlo at Clark Hill.
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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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Practical Private Equity Lessons From 2 Delaware Deals
A pair of Delaware Chancery Court cases remind private equity sponsors that specificity is crucial through the lens of deal certainty, particularly around closing conditions and agreement sections of acquisition agreements, say Robert Rizzo and Larissa Lucas at Weil Gotshal and William Lafferty at Morris Nichols.
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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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How Uyghur Forced Labor Law Affects Importing Companies
Amid a growing focus on forced labor in supply chains and a likely increase in enforcement under the Uyghur Forced Labor Prevention Act, companies may face costly import delays unless they develop and implement compliance best practices, say Thad McBride and Lauren Gammer at Bass Berry.
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Revisiting Morals Clauses In The Age Of Deepfakes
Deepfakes and other forms of misrepresentation powered by artificial intelligence have complicated the traditional process of reputation management for companies entering into talent agreements with celebrities, bringing new considerations for the morals clauses that usually shield against these risks, say attorneys at Pryor Cashman.
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4 Tips For Drafting Earnouts To Avoid Disputes
Amid slowed merger and acquisition activity, buyers and sellers are increasingly turning to earnout provisions to get deals done, but these must be carefully drafted to avoid interpretative differences that can lead to later disputes, say attorneys at Cooley.
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Atmospheric Rivers: Force Majeure Or Just A Rainy Day?
As atmospheric rivers pummel California with intense rainfall, flooding and landslides, agencies and contractors in the state struggling to manage projects may invoke force majeure — but as with all construction risk issues, the terms of the agreement govern, and relief may not always be available, say Kyle Hamilton and Corey Boock at Nossaman.
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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 11th Circ. Fearless Fund Ruling Means For DEI In Courts
The Eleventh Circuit's recent backing of a freeze on the Fearless Fund's grants to women of color building new companies marks the latest major development in litigation related to diversity, equity and inclusion and may be used to question other DEI programs targeted at providing opportunities to certain classes of individuals, say attorneys at Simpson Thacher.