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Commercial Contracts
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July 25, 2024
Zurich Can't Revive Deductible In Georgia Coverage Suit
A Georgia federal judge rejected Zurich American Insurance Co.'s bid to reverse a ruling holding it could and did waive a $2.5 million flood deductible in its coverage row with First Solar Electric LLC over storm damage to a solar farm, holding that the insurer was just "regurgitating" arguments.
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July 25, 2024
Chicken Soup's Atty Wants Out Of $3M Conn. Pet Food Feud
The Graubard Miller attorney defending Chicken Soup for the Pet Lover's Soul Inc. in a manufacturer's $3 million contract suit asked a Connecticut state court to let her leave the case, writing in her motion to withdraw that Chicken Soup has refused to cooperate on the case.
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July 24, 2024
Clinic Drops Case Against Maker Of Body-Sculpting Devices
BTL Industries Inc., a Massachusetts company that sells body-sculpting equipment, and a Connecticut aesthetic clinic have mutually agreed to dismiss a lawsuit accusing the Bay State company of using misleading profit projections and illegal trade restraints that unfairly penalized equipment buyers and caused hefty investments to wither.
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July 24, 2024
Atty Who Put Settlement In Spouse's Account Loses Appeal
A Texas appellate court ruled Wednesday against an attorney seeking to overturn a ruling from a trial court barring him from practicing law for 18 months, saying the man clearly breached his ethical obligations by moving settlement funds through his spouse's personal bank account.
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July 24, 2024
Packaging Co. Can't Limit Rival's Sales In NC Biz Spat
The North Carolina Business Court on Wednesday refused to limit the clientele of a packaging company facing sales-poaching claims by a competitor, reasoning that the rival's lawsuit isn't likely to succeed.
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July 24, 2024
Safeway Gets Early Win In Floor Co.'s SEIU Conspiracy Suit
A floor cleaning company can't pursue its claim that Safeway took part in a civil conspiracy with a Service Employees International Union affiliate to award a contract to a competitor, a California federal judge ruled.
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July 24, 2024
Conn. Cannabis Co.'s Income Loss Not Covered, Insurer Says
An insurer said it has no obligation to cover a cannabis company's business income loss stemming from a February 2020 fire, telling a Connecticut federal court that the loss was not caused by a suspension of operations but rather damage to marijuana plants that aren't covered.
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July 24, 2024
Byju's Asks Del. Justices To Undo Lenders' Chancery Win
The bankrupt U.S. arm of India-based educational technology giant Byju's told the Delaware Supreme Court Wednesday that its dispute with a consortium of lenders belongs in New York and argued that the state's Chancery Court was wrong to find the lenders had validly taken over the company after several defaults.
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July 24, 2024
Pawnshop Co. Says Military Law Doesn't Back CFPB's Suit
National pawnshop company FirstCash says the Consumer Financial Protection Bureau should drop certain claims in a suit accusing it of subjecting military families to predatory lending, arguing that the bureau has admitted it has no authority to bring certain claims under the law undergirding the allegations.
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July 24, 2024
Navajo Coal Co. Appeals FINRA Arbitration Order In $11M Fight
A Navajo coal-mining company has wasted no time in appealing a Pennsylvania federal judge's order refusing to grant the tribe-owned business's bid to halt arbitration proceedings against a private equity firm in an $11 million dispute over their financing agreement.
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July 24, 2024
NBA's Pelicans Seek To Recoup Crypto Co.'s Sponsor Fees
The NBA's New Orleans Pelicans asked a Louisiana federal court to force cryptocurrency mining company PrimeBlock Operations LLC to either pony up the sponsorship fee it failed to deliver years ago or make good on a subsequent $500,000 settlement offer.
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July 24, 2024
Connecticut Justices Won't Certify 'Slum' Tenant Class
A Connecticut state court judge was under no obligation to redefine a proposed class of low-income tenants in order to help them meet the certification requirements in a fraud and unfair trade practices lawsuit against their corporate landlord and property manager, the state Supreme Court hs ruled.
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July 24, 2024
Minor League Hockey Team Settles Contract Breach Suit
A former minor league hockey team in Illinois has settled its breach of contract suit against the independent professional ice hockey league it was once a part of, according to a notice filed in North Carolina federal court.
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July 24, 2024
McCarter & English Beats Biotech Malpractice Suit In NJ
McCarter & English LLP defeated a New Jersey biotechnology company's legal malpractice suit this week, following a New Jersey state judge's finding that the malpractice claims should have been brought in an earlier round of litigation over unpaid legal fees.
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July 24, 2024
Chancery OKs $6M Deal Recovery After 'Voidness' Ruling
The Delaware Supreme Court's partial reversal last year of a vice chancellor's findings that upheld an investment company's foreclosure on $50 million in co-founder equity units cleared the way on Wednesday for the same company to recoup more than $6 million in damages and expenses.
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July 24, 2024
Ozy Media Ends Trade Secrets Suit After Ex-CEO's Conviction
News startup Ozy Media has dropped its trade secrets theft suit against Buzzfeed, its former editor-in-chief Ben Smith and the media company he co-founded, Semafor Inc., about a week after Ozy and its former CEO were convicted of lying to banks and investors to secure tens of millions of dollars to fund the multimedia business.
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July 23, 2024
Microsoft Calls FTC Price Hike Claims 'Misleading' At 9th Circ
Microsoft pushed back against the Federal Trade Commission's contention that an increase in the company's gaming subscription pricing is evidence of the anticompetitive effects of the software giant's $68.7 billion acquisition of game developer Activision Blizzard Inc., calling the commission out for trying to "reinvent" its case against the merger on appeal to the Ninth Circuit.
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July 23, 2024
Chancery Ends Challenge To $12.5B Qualtrics' SAP Sale
Saying it was not reasonably conceivable that he would find software giant SAP and Qualtrics International Inc. directors liable for damages after Qualtrics' $12.5 billion sale to Silver Lake Capital despite a superficially better offer, a Delaware vice chancellor on Tuesday dismissed a stockholder challenge to the deal.
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July 23, 2024
Madonna Tells DC Judge Late Show Suit Already Failed In NY
Madonna and venue management company Monumental Sports & Entertainment asked a D.C. federal judge to toss a lawsuit claiming that the pop singer kept concert attendees waiting for hours before taking the stage in Washington, D.C., saying the proposed class action should fare no better than a similar suit in New York that was dropped last month.
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July 23, 2024
Yamaha Sinks Defective WaveRunner Watercraft Suit
An Illinois federal judge on Tuesday threw out a proposed class action alleging Yamaha Motor Corp. USA sold WaveRunner-brand personal watercraft with defective fuel gauges and trip computers, saying the complaint fails to properly allege a breach of warranty or fraud.
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July 23, 2024
Judge Won't Force Meta To Run Bankrupt Rubio's Ads
A Delaware bankruptcy judge on Tuesday denied a temporary restraining order requested by fast-casual seafood chain Rubio's Coastal Grill against Meta Platforms Inc., which alleged Meta violated an automatic stay in the Chapter 11 case by not running Rubio's ads after the company didn't pay fees it had incurred prepetition.
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July 23, 2024
Regional Electric Co-Op Sues Power District Over Unpaid Bills
A regional electric cooperative based in Colorado has filed a lawsuit in Colorado federal court against a Nebraska public power district, alleging the Nebraska entity is refusing to pay for more than $1 million of electricity it bought from the regional cooperative this year.
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July 23, 2024
USA Pickleball Whacks Paddle Design Contract Suit
USA Pickleball Association has asked a Maryland federal judge to toss a fraud and negligence suit filed by a paddle manufacturer, arguing it was not vindictiveness that kept it from approving the company's design, but changing standards.
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July 23, 2024
Philly Judge Won't Block FTC Noncompete Ban
A Pennsylvania federal judge refused Tuesday to temporarily block the Federal Trade Commission's impending ban on employment noncompete agreements, a victory for commission authority that could be short-lived as the agency awaits a final decision from a Texas federal judge who's already indicated an inclination to stop the regulation.
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July 23, 2024
'Surface Water' Stumps Mass. Justices In Loss For Insurers
The top court in Massachusetts on Tuesday ruled in favor of a hospital seeking insurance coverage stemming from a severe rainstorm, saying it's unclear if water that pooled on the hospital's roof should be considered "surface water" that would trigger policy limits on flood damage.
Expert Analysis
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What FTC's 'Killer Acquisition' Theory Means For Pharma Cos.
The Federal Trade Commission's recent lawsuit to block Sanofi's acquisition of a pharmaceutical treatment developed by Maze Therapeutics builds on previous enforcement actions and could indicate the agency's growing willingness to use its so-called killer acquisition theory against perceived attempts to eliminate nascent competition, say attorneys at Morgan Lewis.
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Series
Skiing Makes Me A Better Lawyer
A lifetime of skiing has helped me develop important professional skills, and taught me that embracing challenges with a spirit of adventure can allow lawyers to push boundaries, expand their capabilities and ultimately excel in their careers, says Andrea Przybysz at Tucker Ellis.
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Practical Steps For Navigating New Sanctions On Russia
After the latest round of U.S. sanctions against Russia – the largest to date since the Ukraine war began – companies will need to continue to strengthen due diligence and compliance measures to navigate the related complexities, say James Min and Chelsea Ellis at Rimon.
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Think Like A Lawyer: Forget Everything You Know About IRAC
The mode of legal reasoning most students learn in law school, often called “Issue, Rule, Application, Conclusion,” or IRAC, erroneously frames analysis as a separate, discrete step, resulting in disorganized briefs and untold obfuscation — but the fix is pretty simple, says Luke Andrews at Poole Huffman.
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Complying With Enforcers' Ephemeral Messaging Guidance
Given federal antitrust enforcers’ recently issued guidance on ephemeral messaging applications, organizations must take a proactive approach to preserving short-lived communications — or risk criminal obstruction charges and civil discovery sanctions, say attorneys at Manatt.
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How Firms Can Ensure Associate Gender Parity Lasts
Among associates, women now outnumber men for the first time, but progress toward gender equality at the top of the legal profession remains glacially slow, and firms must implement time-tested solutions to ensure associates’ gender parity lasts throughout their careers, say Kelly Culhane and Nicole Joseph at Culhane Meadows.
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7 Common Myths About Lateral Partner Moves
As lateral recruiting remains a key factor for law firm growth, partners considering a lateral move should be aware of a few commonly held myths — some of which contain a kernel of truth, and some of which are flat out wrong, says Dave Maurer at Major Lindsey.
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No AI FRAUD Act Is A Significant Step For Right Of Publicity
The No Artificial Intelligence Fake Replicas and Unauthorized Duplications Act's proposed federal right of publicity protection, including post-mortem rights, represents a significant step toward harmonizing the landscape of right of publicity law, Rachel Hofstatter and Aaron Rosenthal at Honigman.
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Series
Cheering In The NFL Makes Me A Better Lawyer
Balancing my time between a BigLaw career and my role as an NFL cheerleader has taught me that pursuing your passions outside of work is not a distraction, but rather an opportunity to harness important skills that can positively affect how you approach work and view success in your career, says Rachel Schuster at Sheppard Mullin.
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Unpacking The New Russia Sanctions And Export Controls
Although geographically broad new prohibitions the U.S., U.K. and EU issued last week are somewhat underwhelming in their efforts to target third-country facilitators of Russia sanctions evasion, companies with exposure to noncompliant jurisdictions should pay close attention to their potential impacts, say attorneys at Shearman.
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Using Arbitration And Class Waivers As Privacy Suit Tools
Amid a surge in data breach class actions over the last few years, several federal court decisions indicate that arbitration clauses and class action waiver provisions can be possible alternatives to public court battles and potentially reduce the costs of privacy litigation, say Mark Olthoff and Courtney Klaus at Polsinelli.
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6 Pointers For Attys To Build Trust, Credibility On Social Media
In an era of information overload, attorneys can use social media strategically — from making infographics to leveraging targeted advertising — to cut through the noise and establish a reputation among current and potential clients, says Marly Broudie at SocialEyes Communications.
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5 Lessons For SaaS Companies After Blackbaud Data Breach
Looking at the enforcement actions that software-as-a-service provider Blackbaud resolved with state attorneys general, the U.S. Securities and Exchange Commission and the Federal Trade Commission in the past year can help SaaS companies manage these increasingly common forms of data breaches, say attorneys at Orrick.
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A Post-Mortem Analysis Of Stroock's Demise
After the dissolution of 147-year-old firm Stroock late last year shook up the legal world, a post-mortem analysis of the data reveals a long list of warning signs preceding the firm’s collapse — and provides some insight into how other firms might avoid the same disastrous fate, says Craig Savitzky at Leopard Solutions.
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2nd Circ. Ruling Will Guide Social Media Account Ownership
The Second Circuit’s recent decision in JLM Couture v. Gutman — which held that ownership of social media accounts must be resolved using traditional property law analysis — will guide employers and employees alike in future cases, and underscores the importance of express agreements in establishing ownership of social media accounts, says Joshua Glasgow at Phillips Lytle.