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Retail & E-Commerce
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August 16, 2024
2nd Circ. Finds Walgreens Supplement False Ad Suit Preempted
The Second Circuit on Friday backed Walgreen Co. and International Vitamin Corp.'s win over a proposed class action alleging that a glucosamine supplement was mislabeled, finding the lower court was right to find the plaintiff's claims were preempted by federal law.
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August 16, 2024
Walgreens Didn't Disclose PFAS In Bandages, Shopper Says
Walgreens' parent company has been hit with a proposed class suit in Illinois state court claiming the pharmacy retailer illegally markets its flexible fabric bandages as safe while hiding that they contain hazardous "forever chemicals" that are dangerous to human health.
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August 16, 2024
Off The Bench: WNBA Suit, Olympic Fallout, Swimming Ban
In this week's Off The Bench, a WNBA star accuses her former team of discrimination for trading her once she became pregnant, questions swirl around the revocation of a U.S. gymnast's Olympic medal, and a BigLaw investigation prompts the University of Notre Dame to suspend its men's swimming program.
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August 16, 2024
Fla. Advertising Co. Says Pot Cos. Didn't Pay Up For Services
A Miami advertising agency is suing the cannabis companies behind the Cookies brand, claiming they failed to pay for months of work worth tens of thousands of dollars.
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August 15, 2024
Investing Website Isn't An Investment Adviser, Court Says
A New York federal judge ruled Thursday that an exclusion to the Investment Advisers Act applies to the investing analysis website Seeking Alpha, dismissing a proposed class action from subscribers who accused the site of serving as an unregistered investment adviser and unlawfully collecting subscription fees.
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August 15, 2024
Discover Can't Arbitrate Fraud Risk Claims, But Amex Can
A New York federal judge has refused to allow Discover Financial Services to arbitrate claims that it and other credit card networks conspired to dump fraud risk on retailers, but granted a similar motion from American Express.
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August 15, 2024
Onni Capital Asks Calif. Court To Void $95M LA Tower Deal
Onni Capital LLC has sued Nexstar Media Group and an affiliate in California state court to recoup a $30 million deposit and to exit a purchase agreement for a commercial office building in Los Angeles, alleging it was misled by the seller.
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August 15, 2024
Court Tosses Challenge To Wyoming's New Hemp Law
A Wyoming federal judge tossed a lawsuit Thursday brought by nearly a dozen hemp product retailers challenging the state's new hemp policy, saying most of the state defendants were entitled to immunity and that the retailers had not stated a claim for which relief could be granted.
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August 15, 2024
Kerrygold, Customers Agree To End 'Pure' False Ad Suit
A consumer who sued Irish butter brand Kerrygold has agreed to end her proposed class action over claims that it falsely advertised its product as "pure" even though it might contain "forever chemicals" by way of its packaging.
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August 15, 2024
Hemp Industry Rallies Against Calif. Bill
Hemp companies are coming out against a California bill that would impose new THC limits on consumables sold outside of licensed dispensaries, with some industry leaders calling it an "existential threat" to the entire state market.
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August 15, 2024
Samsung Knew About Range Knobs Fire Risk, Suit Says
Samsung Electronics was hit with a proposed consumer class action Wednesday in New York federal court in the wake of the company's announced recall program over a potential fire risk related to more than a million electric ranges with front-mounted knobs that can be turned on accidentally.
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August 15, 2024
Federal Circuit Upholds Duties On Steel Nails From Taiwan
The Federal Circuit upheld the "dumping margin" duties charged on certain Taiwanese nail imports, finding that the U.S. Department of Commerce had been unable to wring detailed data out of some of the producers and was thus justified in relying on outside facts when calculating the rates.
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August 15, 2024
Levi & Korsinsky To Lead Hertz EV Cost Shareholder Suit
Levi & Korsinsky LLP will represent a proposed class of investors in car rental giant Hertz Global Holdings Inc. in litigation alleging it exaggerated demand for electric cars, then took a $200 million earnings hit as it worked to offload those cars.
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August 15, 2024
Banking Groups Sue To Thwart New Ill. Swipe Fee Restrictions
The nation's largest bank trade association and other industry groups sued Thursday to block Illinois from implementing a new state law that prohibits financial intermediaries from charging so-called swipe fees on the sales tax and tip portions of payment card transactions, arguing it conflicts with federal law and risks broader "chaos."
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August 15, 2024
Carrier Wraps Strategic Exit Plan With $3B Sale Of Fire Units
Carrier Global Corp. said Thursday it has inked an agreement to sell its commercial and residential fire units to an affiliate of Lone Star Funds at an enterprise value of $3 billion, completing the company's strategic plan to sell off several business units and focus on its core ventilation business.
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August 14, 2024
New York Sues Lease-To-Own Fintech For 'Cheating' Users
New York state sued lease-to-own fintech company Acima on Wednesday, accusing the firm of taking advantage of consumers with deceptive practices around its lease agreements and interest rates that go far beyond the state's standard for usury.
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August 14, 2024
Costco Wants PFAS Kirkland Brand Baby Wipes Suit Tossed
Costco hit back at a proposed class action over its fragrance-free "natural" baby wipes filed earlier this summer in California federal court, saying that the suit is trying to scare parents by alleging the wipes are tainted with so-called forever chemicals.
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August 14, 2024
Amazon's Kuiper Says Satellite Framework Needed Soon
Amazon's Kuiper Systems is pushing the FCC to "take expeditious action" to wrap up new rules dealing with spectrum sharing among non-geostationary orbit fixed-satellite service operators, comments regarding which have been filing into the docket for years.
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August 14, 2024
Temu Parent Faces Investor Suit Over Security, Labor Claims
Chinese retail company PDD Holdings Inc., the owner of online merchandiser Temu, was hit with a proposed securities class action in New York federal court alleging it concealed from investors that it actively sought to put malware on its users' phones and sold goods that were likely made by forced labor.
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August 14, 2024
Tuna Price-Fixing Deal Comes With A Catch: $26M In Fish
Two groups of buyers accusing major canned tuna producers of price-fixing have asked a California federal judge to give the first seal of approval to settlements totaling more than $168 million in cash, plus $26 million in packaged tuna products.
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August 14, 2024
Google-Epic Antitrust Judge Vows To 'Tear The Barriers Down'
A California federal judge appeared impatient Wednesday with Google's arguments against Epic Games' proposed changes to the Google Play Store in the wake of Epic's antitrust jury win, saying the world created by its "monopolist conduct" is changing, and vowing "to tear the barriers down."
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August 14, 2024
Amazon Hit With $1.2M Suit Over Immersion Heater
Amazon is facing a lawsuit from a Colorado church's insurer alleging that the church suffered more than $1.2 million in damages after a fire caused by a 1500-watt immersion heater it bought off the e-commerce giant's platform that was being used to heat a baptismal font.
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August 14, 2024
CFPB Probe Draws Bead On Sporting Goods BNPL Firm
Credova, a fintech firm that specializes in buy-now, pay-later loans and other financing options for firearms and outdoor recreational goods purchases, is facing scrutiny from the Consumer Financial Protection Bureau and a potential enforcement action, its parent company said Wednesday.
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August 14, 2024
4 States Oppose FTC Bid To Block Kroger-Albertsons Deal
Four Republican-led states defended Kroger's proposed $25 billion acquisition of Albertsons in an amicus brief Wednesday, telling the Oregon federal judge overseeing the Federal Trade Commission's challenge to the deal that blocking it would actually "weaken, not protect, competition."
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August 14, 2024
Class Split Disrupts Hearing On $8.7M Sears Suit Settlement
A Sears Hometown and Outlet Stores stockholder that saw its share appraisal case tanked by the company's bankruptcy in late 2022 won Court of Chancery clearance Wednesday to intervene with a novel, alternative claim for recovery through a separate, ongoing SHOS class damages suit.
Expert Analysis
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How Justices Upended The Administrative Procedure Act
In its recent Loper Bright, Corner Post and Jakesy decisions, the U.S. Supreme Court fundamentally changed the Administrative Procedure Act in ways that undermine Congress and the executive branch, shift power to the judiciary, curtail public and business input, and create great uncertainty, say Alene Taber and Beth Hummer at Hanson Bridgett.
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Vendor Rights Lessons From 2 Chapter 11 Cases
A Texas federal court’s recent critical vendor order in the Zachry Holdings Chapter 11 filing, as well as a settlement between Rite Aid and McKesson in New Jersey federal court last year, shows why suppliers must object to critical vendor motions that do not recognize creditors' legal rights, says David Conaway at Shumaker.
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Lessons From Rising Fake Discount Consumer Class Actions
Ellen Robbins and Scott Allbright at Akerman discuss the rise of false reference price consumer class actions and outline key strategies to minimize legal risk and protect businesses.
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Classwide Calculations May Get Price Premium Damages Wrong
In many consumer class actions, plaintiffs assert that they overpaid for a product because of a misrepresented or defective product feature, and that a single price premium estimate can be applied classwide — but failure to account for differences in price premiums across a putative class may lead to improper damage awards, say economists at Ankura Consulting.
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2nd Circ. Ruling Reaffirms Short-Swing Claims Have Standing
The Second Circuit's recent ruling in Packer v. Raging Capital reversing the dismissal of a shareholder's Section 16(b) derivative suit seeking to recover short-swing profits for lack of constitutional standing settles the uncertainty of the district court's decision, which could have undercut Congress' intent in crafting Section 16(b) in the first place, say attorneys at Simpson Thacher.
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Mirror, Mirror On The Wall, Is My Counterclaim Bound To Fall?
A Pennsylvania federal court’s recent dismissal of the defendants’ counterclaims in Morgan v. Noss should remind attorneys to avoid the temptation to repackage a claim’s facts and law into a mirror-image counterclaim, as this approach will often result in a waste of time and resources, says Matthew Selmasska at Kaufman Dolowich.
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Series
Playing Dungeons & Dragons Makes Me A Better Lawyer
Playing Dungeons & Dragons – a tabletop role-playing game – helped pave the way for my legal career by providing me with foundational skills such as persuasion and team building, says Derrick Carman at Robins Kaplan.
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Illinois BIPA Reform Offers Welcome Relief To Businesses
Illinois' recent amendment to its Biometric Information Privacy Act limits the number of violations and damages a plaintiff can claim — a crucial step in shielding businesses from unintended legal consequences, including litigation risk and compliance costs, say attorneys at Taft.
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Unpacking The Latest FTC Guidance On Multilevel Marketing
Branko Jovanovic and Monica Zhong at Edgeworth Economics discuss the Federal Trade Commission's recent advice for multilevel marketers on how MLMs should approach their income and earnings reports, including participants costs, typical proceeds and distributor gains.
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3 Leadership Practices For A More Supportive Firm Culture
Traditional leadership styles frequently amplify the inherent pressures of legal work, but a few simple, time-neutral strategies can strengthen the skills and confidence of employees and foster a more collaborative culture, while supporting individual growth and contribution to organizational goals, says Benjamin Grimes at BKG Leadership.
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How Courts' Differing Views On Standing Affect PFAS Claims
Two recent opinions from New York federal courts — in Lurenz v. Coca-Cola, and Winans v. Ornua Foods North America — illustrate how pivotal the differing views on standing held by different courts will be for product liability litigation involving per- and polyfluoroalkyl substances, particularly consumer claims, say attorneys at Hollingsworth.
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E-Discovery Quarterly: Rulings On Hyperlinked Documents
Recent rulings show that counsel should engage in early discussions with clients regarding the potential of hyperlinked documents in electronically stored information, which will allow for more deliberate negotiation of any agreements regarding the scope of discovery, say attorneys at Sidley.
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Loper Bright Limits Federal Agencies' Ability To Alter Course
The U.S. Supreme Court's recent decision to dismantle Chevron deference also effectively overrules its 2005 decision in National Cable & Telecommunications Association v. Brand X, greatly diminishing agencies' ability to change regulatory course from one administration to the next, says Steven Gordon at Holland & Knight.
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Addressing The Growing Hazards Of Mass Arbitration
Though retail companies typically include arbitration provisions in their terms of service, the recent trend of costly mass arbitrations filed by plaintiffs may cause businesses to rethink this conventional wisdom, say attorneys at BCLP.
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Series
Teaching Scuba Diving Makes Me A Better Lawyer
As a master scuba instructor, I’ve learned how to prepare for the unexpected, overcome fears and practice patience, and each of these skills – among the many others I’ve developed – has profoundly enhanced my work as a lawyer, says Ron Raether at Troutman Pepper.