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Commercial Contracts
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October 10, 2024
Ousted Chair's Claims To Go Before Arbitrator, Judge Says
A New York federal judge ruled that an arbitrator must decide whether the ousted former chairperson of software investment company The Resource Group International Ltd., who was forced to resign in late 2021 following a widely reported sexual harassment scandal, can pursue some of his claims in arbitration.
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October 10, 2024
OpenAI Calls Musk's Fraud, RICO Suit A Harassing Biz Move
OpenAI asked a California federal judge to toss Elon Musk's claims that the artificial intelligence venture and its top brass engaged in fraud by deciding to make OpenAI a for-profit company, claiming Musk "has been trying to leverage the judicial system for an edge" since launching a competing AI company.
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October 10, 2024
Contractor Slams Stay Bid In $13M Lake Ontario Awards Fight
Geotechnical contractor Soletanche Bachy Canada Inc. has asked a Texas federal court not to pause its suit looking to enforce arbitral awards of $13 million against an infrastructure construction corporation, saying the construction company misrepresents an appeal proceeding in Ontario.
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October 10, 2024
Vape Co. Missed Cutoff To Toss $892K Arb. Loss, 9th Circ. Says
A Ninth Circuit panel on Thursday affirmed a Washington distributor's $892,000 arbitration award in a dispute with vape company Avid Holdings, in an order siding with a district court judge who determined Avid waited too long to dispute the arbitrator's decision.
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October 10, 2024
Colo. Hemp Farm Says Solar Co. Work Caused $200M Loss
Two Colorado hemp growers are suing a subsidiary of energy company AES Corp. for $200 million, claiming it damaged their water lines while constructing a solar panel project, ultimately causing most of their crop to die.
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October 10, 2024
Yale Hospital Says Pension Liens Breach $435M Sale Deal
A hospital operator's purported $4 million pension liability has saddled its properties with liens that breach a $435 million sale contract, Yale New Haven Health told a Connecticut state judge Wednesday in a letter suggesting it may add claims to litigation over its deal with Prospect Medical Holdings Inc.
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October 10, 2024
Faulty New Balance Shoes Killed Olympian's Career, Suit Says
An athlete, who previously competed in two Summer Olympics, claims she missed this year's Paris Games after suffering a "career-ending injury" due to defective running shoes provided by her sponsor, New Balance, according to a lawsuit filed in Rhode Island federal court.
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October 10, 2024
Cigna Says NJ Plastic Surgeons Fraudulently Billed $8.5M
Two Cigna units said a New Jersey-based plastic and reconstructive surgery group billed excessively high fees and then waived patient cost-shares, fraudulently obtaining just over $8.5 million from the insurer in a scheme that dates back nearly a decade.
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October 10, 2024
Suppliers' $7.6M Deal To End Daily Harvest Leek Claims OK'd
A New York federal judge has given the go-ahead to a $7.6 million settlement with suppliers for meal kit delivery service Daily Harvest Inc. to end claims from buyers that a lentil and leek meal caused gastrointestinal illness.
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October 10, 2024
SeaWorld Wraps Up Suit Over COVID Severance Pay
SeaWorld has inked settlements with two employees to resolve a California federal court suit claiming the business ignored its policies by failing to pay employees severance when they were furloughed during the COVID-19 pandemic.
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October 10, 2024
Proskauer Adds Akin Knowledge Management Ace In NY
Proskauer Rose LLP is expanding its private funds team, bringing in an Akin Gump Strauss Hauer & Feld LLP knowledge management expert as a partner in its New York office.
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October 10, 2024
Rock Climbing School Not Covered In Fall Suit, Insurer Says
An insurer said it doesn't owe coverage to a rock climbing school in an underlying suit brought by the family of a teenager who was injured after he fell 35 feet while climbing, telling a North Carolina federal court that the policy does not provide coverage for joint ventures.
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October 10, 2024
Pa. Justices Vexed By Mall's Bid To Dodge Store's Legal Bill
The Pennsylvania Supreme Court on Thursday questioned Harrisburg Mall's argument that it should be let off the hook for Bass Pro Shops' legal bills after the retailer sank a customer's trip-and-fall suit, with one justice suggesting that the alleged need for proof or a judgment incentivized the tenant to lose the case.
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October 10, 2024
Houston Firm Says 'Scurrilous' Ex-Atty Not Entitled To Fees
A Houston law firm is urging a state court to dismiss a lawsuit from a disbarred attorney seeking fees for cases he worked on before going to prison for fraud, arguing that paying him the $3.84 million he is asking for would run afoul of ethics rules and a Texas Supreme Court order.
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October 10, 2024
Investor Connected To Texas AG Seeks To Ax Fraud Case
Nate Paul, a real estate investor at the heart of the failed impeachment of Texas Attorney General Ken Paxton, has moved to dismiss federal wire fraud and conspiracy charges against him, arguing that the indictment does not claim that he acted willfully when allegedly ripping off lenders and investors.
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October 10, 2024
Ex-NFLer Can't Get Sanctions For Dropped Sexual Abuse Suit
A Colorado state judge on Wednesday denied awarding attorney fees to a former NFL player-turned-reptile-shipper as a sanction, concluding it wasn't clear that the now-dismissed lawsuit by a former employee who accused him of sexually abusing her and then firing her was brought in bad faith or without any factual foundation.
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October 10, 2024
Fiduciary Co. Asks Justices To Weigh ERISA Arbitration Denial
A fiduciary services provider urged the U.S. Supreme Court to review the Second Circuit's decision blocking arbitration in a proposed class action alleging a debt relief company overcharged an employee stock ownership plan, arguing the ruling demonstrated a "judicial hostility" to arbitration that justices have warned against.
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October 10, 2024
Quinn Emanuel Adds Of Counsel Atty, 6 Associates In Miami
Quinn Emanuel Urquhart & Sullivan LLP's 3-year-old Miami office has just surpassed the 20-lawyer mark with the addition of seven attorneys in the past two months.
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October 09, 2024
'Legend' Distributor Tried 'Shell Game' To Duck Bill, Judge Told
French film company StudioCanal's attorney said Wednesday during opening statements of a California bench trial that companies associated with Cross Creek Pictures and its cofounder played a "shell game" by fraudulently avoiding paying millions owed for the North American distribution rights to the 2015 film "Legend."
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October 09, 2024
$140M Chilean Hospital Award Fight Is Paused In Canada
A Canadian judge has paused a Chilean construction company's bid to enforce a $140 million arbitral award arising from a soured hospital construction project against Webuild while an Italian court determines whether the construction giant is obligated to pay.
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October 09, 2024
Amid Copyright Suit, Authors Guild Eyes Licensing To AI Cos.
The rise of generative artificial intelligence has led to a tsunami of copyright lawsuits by authors alleging OpenAI and other tech companies are ripping off their works, but on Wednesday the nation's largest professional organization for writers announced a new plan of attack: Help writers license their works to AI companies.
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October 09, 2024
Chancery Keeps $5B Md. Data Center Project Fight In Del.
A court battle over control and management of early work on a potential $5 billion data complex in western Maryland will remain in the First State despite a marginally earlier-filed suit in Texas' new business court, a Delaware vice chancellor ruled late Wednesday.
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October 09, 2024
Hedge Fund Agrees To Drop Spoofing Claims Against TD Bank
Broker-dealer affiliates of TD Bank will no longer face a hedge fund's claims that they manipulated markets by placing trade orders they never intended to fulfill, the parties told a Manhattan federal judge.
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October 09, 2024
Court Affirms Waste Management Win In 'Titans Of Trash' Spat
A Florida appeals court on Wednesday affirmed a win for Waste Management Inc. of Florida Inc. in a dispute with Bergeron Environmental and Recycling LLC over a joint venture to provide municipal trash pickup services and said the agreement's jury trial waiver was valid.
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October 09, 2024
Atlanta Braves Pitch Dismissal Or Transfer Of Defamation Suit
The Atlanta Braves urged a Texas federal judge to dismiss or transfer a defamation lawsuit filed by an auction house alleging the team purposely maligned its image by leaking false claims to the media that the auctioneer was selling memorabilia to which it had no rights.
Expert Analysis
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9th Circ. Ruling Shows Lies Must Go To Nature Of Bargain
The Ninth Circuit’s recent U.S. v. Milheiser decision, vacating six mail fraud convictions, clarifies that the key question in federal fraud cases is not whether lies were told, but what they were told about — thus requiring defense counsel to rethink their strategies, say Charles Kreindler and Krista Landis at Sheppard Mullin.
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Adopting 7 Principles May Improve Voluntary Carbon Markets
The Biden administration's recently issued joint policy statement on improving the integrity of voluntary carbon markets may help companies using carbon credits to offset their emissions withstand scrutiny by government agencies, the public and investors, say attorneys at Morgan Lewis.
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Managing Legal Risks After University Gaza Protests
Following the protests sparked by the war in Gaza, colleges and universities should expect a long investigative tail and take steps to mitigate risks associated with compliance issues under various legal frameworks and institutional policies, say Wiley's Diana Shaw and Colin Cloherty.
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Debate Over CFPB Definition Of Credit Is Just Beginning
The Consumer Financial Protection Bureau has recently worked to expand the meaning of credit, so anyone operating on the edges of the credit markets, or even those who assumed they were safely outside the scope of this regulatory perimeter, should pay close attention as legal challenges to broad interpretations of the definition unfold, says John Coleman at Orrick.
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Abu Dhabi Ruling Hints At More Arbitration-Friendly Approach
The international and comparative rationale an Abu Dhabi onshore court used to decide that an arbitration agreement referencing a defunct arbitration center was still enforceable suggests that the UAE judiciary may be adopting a more flexible, pro-arbitration framework and stabilizing Dubai's arbitration landscape, say attorneys at Reed Smith.
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Series
Fishing Makes Me A Better Lawyer
Atop the list of ways fishing makes me a better lawyer is the relief it offers from the chronic stress of a demanding caseload, but it has also improved my listening skills and patience, and has served as an exceptional setting for building earnest relationships, says Steven DeGeorge at Robinson Bradshaw.
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A Healthier Legal Industry Starts With Emotional Intelligence
The legal profession has long been plagued by high rates of mental health issues, in part due to attorneys’ early training and broader societal stereotypes — but developing one’s emotional intelligence is one way to foster positive change, collectively and individually, says attorney Esperanza Franco.
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To Make Your Legal Writing Clear, Emulate A Master Chef
To deliver clear and effective written advocacy, lawyers should follow the model of a fine dining chef — seasoning a foundation of pure facts with punchy descriptors, spicing it up with analogies, refining the recipe and trimming the fat — thus catering to a sophisticated audience of decision-makers, says Reuben Guttman at Guttman Buschner.
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Circuit Judge Writes An Opinion, AI Helps: What Now?
Last week's Eleventh Circuit opinion in Snell v. United Specialty Insurance, notable for a concurrence outlining the use of artificial intelligence to evaluate a term's common meaning, is hopefully the first step toward developing a coherent basis for the judiciary's generative AI use, says David Zaslowsky at Baker McKenzie.
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DC Circ. Ruling Heightens HHS Contract Pharmacy Challenges
The D.C. Circuit's recent ruling that the Section 340B program does not bar manufacturers from restricting deliveries of discounted drugs to contract pharmacies represents a second strike against the U.S. Department of Health and Human Services' current contract pharmacy policy and raises the stakes surrounding an upcoming Seventh Circuit ruling on the same issue, say attorneys at Foley Hoag.
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Trending At The PTAB: Real Party In Interest And IPR
The Patent Trial and Appeal Board’s recent Luminex v. Signify decision, finding a complaint seeking indemnification may be treated as a public demand sufficient to establish a real party-in-interest, shows that the board continues to apply a broad and expansive definition to that term, say Yicong (Eve) Du and Yieyie Yang at Finnegan.
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How Employers, Attorneys Can Respond To Noncompete Ban
As the Federal Trade Commission's recently issued noncompete ban faces ongoing legal challenges, now is a good time for employers to consider whether they want to take a wait-and-see approach before halting use of noncompetes and for practitioners to gain insight into other tools available to protect their clients' business interests, says Jennifer Platzkere Snyder at Dilworth Paxson.
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Perspectives
Trauma-Informed Legal Approaches For Pro Bono Attorneys
As National Trauma Awareness Month ends, pro bono attorneys should nevertheless continue to acknowledge the mental and physical effects of trauma, allowing them to better represent clients, and protect themselves from compassion fatigue and burnout, say Katherine Cronin at Stinson and Katharine Manning at Blackbird.
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CFPB's Expanding Scope Evident In Coding Bootcamp Fine
The Consumer Financial Protection Bureau's recent penalty against a for-profit coding bootcamp that misrepresented its tuition financing plans is a sign that the bureau is seeking to wield its supervisory and enforcement powers in more industries that offer consumer financing, say Jason McElroy and Brandon Sherman at Saul Ewing.
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4 Arbitration Takeaways From High Court Coinbase Ruling
The U.S. Supreme Court's May 23 decision in Coinbase v. Suski, which provides clarity to parties faced with successive contracts containing conflicting dispute resolution provisions, has four practical impacts for contracting parties to consider, say Charles Schoenwetter and Eric Olson at Bowman and Brooke.