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Commercial Contracts
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July 31, 2024
Ghanaian Oil Co. Hit With Sanctions In Discovery Fight
A Texas federal judge has slapped sanctions against an African energy company after finding that it lied in Ghanaian court about a discovery dispute related to a case in Ghana, saying attorney fees and costs are appropriate in relation to several proceedings.
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July 31, 2024
Del. Justices Reject New Earnout Claim In $300M Deal Appeal
Delaware's Supreme Court on Wednesday upheld dismissal of a post-sale stockholder representative suit challenging denial of accelerated, post-closing "earnout" payments after the merger of Edwards Lifesciences and Valtech Cardio Ltd., rejecting a stockholder bid to introduce post-appeal developments.
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July 31, 2024
Fla. Jury Awards $8.3M In Spat Over Sale Of Pro Player Brand
A Florida jury has awarded Perry Ellis $8.3 million after finding that United Legwear Co. purposely depressed the value of Perry Ellis' Pro Player brand under a licensing agreement to avoid paying fair market value when it purchased the brand later.
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July 31, 2024
NFL Finds Judge Open To Tossing $4.7B Sunday Ticket Award
A California federal judge appeared open Wednesday to the NFL's argument that he should throw out a jury's stunning $4.7 billion antitrust verdict over the league's Sunday Ticket television package, saying he has "trouble" with the jury's damages award and suggesting that jurors may have disregarded his instructions.
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July 31, 2024
Wells Fargo Hit With Suit Over Cash Sweep Program
Wells Fargo was hit with a proposed class action by a customer claiming the bank's cash sweep investment program only allows users to sweep their cash into Wells Fargo-selected accounts, a practice the suit says has drawn regulatory scrutiny because it disproportionately benefits the bank.
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July 31, 2024
Quality Not Baked Into NC Hospital Deal, HCA Tells Biz Court
A for-profit healthcare network has asked the North Carolina Business Court to find that its contract to buy an Asheville hospital didn't specify the quality of services it must provide, saying the state attorney general has sought to impose demands that don't exist.
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July 31, 2024
Telecom Trespassing On Reservation Land, Oregon Tribes Say
Lumen Technologies Inc. is trespassing on territory that belongs to the Confederated Tribes of the Warm Springs Reservation and has been for years, according to a lawsuit accusing the telecom of continuing to operate on an expired lease instead of striking a new deal for miles of laid fiber.
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July 31, 2024
Judge Rips 'Stinky' Business In Skiplagged Ticketing Suit
A Texas federal judge gave early wins Wednesday to American Airlines Inc. and Skiplagged Inc. in the airline's suit alleging the booking site used a "loophole" in booking connecting flights to sell unauthorized tickets, but he made sure to note his issues with the ticketing firm's business practices.
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July 31, 2024
NewAge Execs Deny Inflating Military Contract Prospects
Executives and board members of the defunct beverage company NewAge Inc. hit back at investors' allegations that they lied about having a deal to sell their products in military commissaries, saying the investors had failed to show that material misstatements were made.
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July 31, 2024
Ex-NFL Player Avoids Contempt Hearing In Reptile Biz Suit
Former professional football player Chadwick Brown and his ex-business partner have resolved a lawsuit in which Brown was accused of trying to strip the partner of his stake in the company, avoiding a contempt hearing over the partner's concerns about not getting paid the $200,000 he was owed under a settlement deal.
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July 31, 2024
Wyo. Biotech Wants Its Ex-CEO Sanctioned In Docs Fight
The former CEO of a Wyoming-based flavoring and aromas business should be sanctioned for failing to produce any documents in a Connecticut state court lawsuit accusing him of withholding company money and property after refusing to work, the plaintiff said.
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July 31, 2024
Metal Recycler Loses Contract Fight With Shredder Co.
The Fourth Circuit on Wednesday ruled against a North Carolina metal recycler in its bid to hold a heavy-equipment maker liable for backing out of a deal to sell a shredder, with the court reasoning that the recycler never signed paperwork to solidify the deal.
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July 31, 2024
Jury Instruction Error Kills $21M Verdict Over Noncompete
Three former employees of a consulting group who jumped to a competitor in 2016 were let off the hook for a $21 million jury verdict Wednesday by an intermediate Massachusetts appellate court over a prejudicial error in jury instructions.
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July 31, 2024
Wash. Cannabis Co. Sues Payroll Firm Over Back Taxes
A Puget Sound-area dispensary is suing Greenleaf HR LLC, a payroll provider specializing in the cannabis industry, and another firm, claiming they failed to pay the IRS on its behalf resulting in a nearly $172,500 tax bill, according to a lawsuit removed to Washington federal court.
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July 31, 2024
Ga. Panel Strikes Sanctions Without Day In Court In HOA Row
A Georgia Court of Appeals panel said Wednesday a Fulton County trial judge wrongly entered sanctions against a woman without holding a hearing after she failed to attend depositions with an Alpharetta homeowners association.
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July 31, 2024
4 Mass. Rulings You May Have Missed In July
Massachusetts state court judges refereed a damages dispute between a real estate titan and a Big Four consultant, ruled in favor of allegedly underpaid healthcare workers and untangled a defamation suit over a labor executive's old social media posts, among other notable rulings during the month of July.
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July 31, 2024
Fox Rothschild Faces Malpractice Suit Over Land Row
Two siblings have brought legal malpractice claims against Fox Rothschild LLP and a firm partner in New Jersey state court, accusing the lawyer of bungling a 1984 property deed and a 1993 trust belonging to their stepfather.
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July 31, 2024
Cadwalader Can't Cloak Cyberattack Coverage Suit, Court Told
A Lloyd's of London syndicate wants to unseal a complaint by Cadwalader Wickersham & Taft LLP seeking coverage for a November 2022 data breach, saying it was never given a chance to oppose, and the firm otherwise failed to show why the suit should stay under wraps.
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July 30, 2024
Ameriprise Says LPL Uses Recruits To Harvest Rivals' Secrets
LPL Financial should be barred from using any trade secrets and confidential client information it has harvested from Ameriprise Financial through the recruitment of its competitors' financial advisers, Ameriprise told a California federal judge Tuesday in alleging LPL has violated legal, regulatory and industry rules.
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July 30, 2024
Life Sciences Cases To Watch 2024: A Midyear Report
From the U.S. Supreme Court down to the federal district courts, judges and lawmakers are grappling with questions crucial to the life sciences industry. Here are some of the biggest life sciences cases to watch in the second half of 2024.
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July 30, 2024
Fla. Insurance Co. Accused Of Causing Black Mold Death
A Florida insurance company was accused of wrongfully causing the death of a woman who died from black mold contamination in a state complaint brought by her sole descendant, who alleges the insurer didn't send a promised team to remediate the woman's home after it was damaged by Hurricane Ian.
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July 30, 2024
4th Circ. Refuses To Certify Class Of Golf Course Investors
The Fourth Circuit on Tuesday declined to reverse a lower court order denying class certification to a group of Chinese investors who allege their money was used to purchase several golf courses, ruling they are not similar enough to make certification proper.
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July 30, 2024
Texas Appeals Court Says $10M Verdict For Railcar Co. Stands
A Texas appeals court said that Trinity Industries Leasing Co. is entitled to the full $10.6 million verdict that a jury previously awarded the company, finding Monday that corrosion on a railcar by itself didn't trigger limitations on Trinity's breach claim.
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July 30, 2024
Fla. Court Won't Nix Award In Israeli Sunglasses Fight
A Florida federal judge declined Monday to vacate an arbitral award issued to sunglasses maker Verso Israel LLC in a $3 million dispute with an Israeli pop star accused of undercutting a deal to promote the brand, ruling that the pop star's motion was filed far too late.
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July 30, 2024
Ex-HFZ Capital Chief Can't Reduce Bail In $86M Fraud Case
A Manhattan judge on Tuesday denied, for now, a request by the former head of troubled real estate firm HFZ Capital Group to lower a hefty bail requirement so he can get out of Rikers Island while fighting $86 million theft and tax fraud charges.
Expert Analysis
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What Recent Study Shows About AI's Promise For Legal Tasks
Amid both skepticism and excitement about the promise of generative artificial intelligence in legal contexts, the first randomized controlled trial studying its impact on basic lawyering tasks shows mixed but promising results, and underscores the need for attorneys to proactively engage with AI, says Daniel Schwarcz at University of Minnesota Law School.
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The Epic Antitrust Cases And Challenges Of Injunctive Relief
The Epic cases against Apple and Google offer a window into the courts' considerable challenges in Big Tech litigation and establishing injunctive relief that enhances competition and benefits consumers, say Kelly Lear Nordby and Jon Tomlin at Ankura Consulting.
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UMG-TikTok IP Rift Highlights Effective Rights Control Issues
Despite Universal Music Group's recent withdrawal of TikTok's licensing rights to its music catalog, the platform struggles to control uploads and reproductions of copyrighted material, highlighting the inherent tension between creative freedom and effective rights control in the age of social media, says Simon Goodbody at Bray & Krais.
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Fintech 'Prenups': Planning For A Card Program Breakup
After a year of economic downturns, some banks and their fintech partners are realizing they may have rushed to the altar without a good prenup, but planning ahead can curb both foreseeable and unexpected issues in the event of a termination of a bank-fintech card-issuing agreement, say Andrew Grant at Ketsal and Richard Malish at Community Federal Savings Bank.
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3 Notification Pitfalls To Avoid With Arbitration Provisions
In Lipsett v. Popular Bank, the Second Circuit found that a bank's arbitration provision was unenforceable due to insufficient notice to a customer that he was bound by the agreement, highlighting the importance of adequate communication of arbitration provisions, and customers' options for opting out, say attorneys at Covington.
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2nd Circ.'s Nine West Ruling Clarifies Safe Harbor Confusion
The Second Circuit’s recent ruling in Nine West’s Chapter 11 suit clarifies that courts in the circuit will apply a transfer-by-transfer analysis to determine the applicability of Section 546(e) of the Bankruptcy Code, and that to be safe harbored, a financial institution must act as an agent with respect to the specific transfer at issue, says Leonardo Trivigno at Carter Ledyard.
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Litigation Inspiration: A Source Of Untapped Fulfillment
As increasing numbers of attorneys struggle with stress and mental health issues, business litigators can find protection against burnout by remembering their important role in society — because fulfillment in one’s work isn’t just reserved for public interest lawyers, say Bennett Rawicki and Peter Bigelow at Hilgers Graben.
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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.