Class Action

  • May 20, 2024

    Catching Up With Delaware's Chancery Court

    Delaware was full of drama last week, as proposed changes to the state's corporate law statutes raised eyebrows and a professor's friend-of-the-court brief sparked a very unfriendly public exchange. Delaware's court of equity banged the gavel on pipeline and social media disputes, and shareholders filed new suits alleging insider trading, vote bungling, unfair stock buybacks and merger shenanigans. In case you missed any of it, here's the recap of all the top news last week from Delaware's Chancery Court.

  • May 20, 2024

    Ga. Judge OKs $5M Atty Fees In $41M Acella Thyroid Deal

    A Georgia federal judge has signed off on a nearly $41.5 million class action settlement with Acella Pharmaceuticals LLC over faulty thyroid medication, while awarding the class attorneys another $5 million in legal fees courtesy of the pharma company.

  • May 20, 2024

    Atty Wants In On Ch. 11 Pause In Fraud Suit Against Law Firm

    A Houston attorney being sued for alleged misconduct in soliciting hurricane victims has asked a federal court to include him in a bankruptcy-triggered pause in the proceedings against his law firm, arguing that any judgment against him would effectively be against the law firm.

  • May 17, 2024

    Aramark Spinoff Faces Investor Action Over Slow Growth

    Uniform supplier Vestis Corp. was hit with a proposed class action on Friday alleging that it concealed years of underfunding prior to being spunoff by Aramark last year, leaving it unable to grow its revenue and retain customers.

  • May 17, 2024

    Trucking Co. Dodges Misclassification Suit, For Now

    A trucking company can temporarily escape claims that it misclassified drivers as independent contractors because the driver lodging the suit failed to show jurisdictional diversity, an Illinois federal judge ruled.

  • May 17, 2024

    Co-Lead Counsel Named In Baby Food Toxins MDL

    A California federal judge has tapped attorneys from Wisner Baum LLP and the Wagstaff Law Firm PC to lead multidistrict litigation alleging products from baby food manufacturers and distributors, including Walmart Inc. and Gerber Products Co., contain toxic metals and caused children to develop autism spectrum disorder and other conditions.

  • May 17, 2024

    T-Mobile Must Face Sprint Merger Suit Before Appealing

    The Seventh Circuit summarily rejected T-Mobile's move for interlocutory appeal in a proposed consumer class action targeting the company's 2020 merger with Sprint, allowing the case to advance to discovery after the district court denied T-Mobile's motion to dismiss in the fall.

  • May 17, 2024

    Tech Co. Can Force Solo Arbitration In 401(k) Forfeiture Suit

    A former Tetra Tech Inc. employee must individually arbitrate her suit alleging the company misused forfeited 401(k) contributions, a California federal judge said Friday, ruling federal benefits law doesn't override the arbitration agreement's bar on planwide reimbursement.

  • May 17, 2024

    Kohl's Directors' Aversion To Sale Was Self-Serving, Suit Says

    A Kohl's shareholder has hit the retailer's brass with a derivative suit alleging they covered up the results of a disastrous shift in business strategy and takeover offers, all in a bid to protect their own positions.

  • May 17, 2024

    Peloton Says Investors Are 'Manufacturing' Bike Recall Suit

    Fitness equipment company Peloton urged a New York federal judge on Friday to toss a suit alleging it overstated the safety of its bikes before the U.S. Consumer Product Safety Commission recalled roughly 2.2 million Peloton products over a bike seat defect, saying the investors are trying to "manufacture" a case from a voluntary recall.

  • May 17, 2024

    Bettors Say 6th Circ. Erred In Ruling Over Doped Derby Horse

    A group of gamblers who claim they had winning bets on the 2021 Kentucky Derby after officials stripped the lead horse of its title has petitioned the Sixth Circuit to rehear arguments after a panel of the court earlier this month affirmed the lower court's decision to toss the case.

  • May 17, 2024

    Dolce & Gabbana Sued Over 'Worthless' Digital Outfit NFTs

    Luxury fashion brand Dolce & Gabbana has been hit with a shareholder class action in New York federal court, alleging it sold consumers "essentially worthless" non-fungible tokens that it misrepresented as high-value and abandoned the project while retaining over $25 million that was used to fund it.

  • May 17, 2024

    Good Behavior Can Shave Contempt Sentences, Judge Rules

    A Michigan federal judge on Friday said he would not ask the state's highest court to decide whether civil litigants held in criminal contempt in state court can get time off their sentences for good behavior, saying he was confident justices would agree with him that they can.

  • May 17, 2024

    Cantor, Lutnick Strike Deal With Window SPAC Investors

    Shareholders of a special purpose acquisition company that took a now-bankrupt smart window manufacturer public have reached a tentative agreement to settle their proposed Delaware Chancery Court class action against Cantor Fitzgerald LP and its billionaire chair and CEO Howard Lutnick.

  • May 17, 2024

    Ga. OB-GYN Office Says Data Breach Class Action Falls Flat

    An Atlanta OB-GYN practice has urged a Georgia federal judge to dismiss a proposed class suit over a data breach that allegedly impacted the personal and protected health information of tens of thousands of patients, arguing the lead plaintiff has failed to meet the requirements of the Class Action Fairness Act.

  • May 17, 2024

    Texas Justices Let Fen-Phen Atty Malpractice Fight Roll On

    The Texas Supreme Court ruled Friday that roughly 4,000 former clients of a Houston mass tort lawyer can continue pressing their claims that the lawyer improperly kept millions of dollars in fen-phen diet drug settlement money.

  • May 17, 2024

    5th Circ. Won't Rethink SXSW Ticket Coverage Ruling

    The Fifth Circuit will not reconsider ordering a Chubb unit to cover defense costs incurred by Texas music festival South by Southwest from a class action by ticket holders seeking refunds after Austin officials canceled the festival in 2020 because of the COVID-19 pandemic.

  • May 16, 2024

    9th Circ. Won't Let Alexa Users Revive Voice Data Privacy Row

    The Ninth Circuit on Thursday refused to reinstate a proposed class action alleging Amazon's Alexa software illegally collects voice data to target users with advertisements, agreeing with the lower court that the e-commerce giant had clearly disclosed the practice and the plaintiffs hadn't shown they were harmed.

  • May 16, 2024

    Voice Actors Say Lovo Stole Their Voices For AI Tech

    Artificial intelligence startup Lovo has been stealing actors' voices for its AI-driven voice-over software, voice actors Paul Lehrman and Linnea Sage alleged in a proposed class action Thursday after they unexpectedly heard Lehrman's voice used in a podcast about the potential dangers of AI technology.

  • May 16, 2024

    $2B Default Recommended For Making Fair Trial 'Impossible'

    Years of lies should put a pair of Chinese electronics companies on the hook for over $2 billion in default judgment, a special master told a California federal judge, adding that their yearslong no-show and disregard of U.S. counsel advice to retain documents have rendered a fair trial "impossible."

  • May 16, 2024

    Albertsons Sued Over 'Naturally Flavored' Fruit Bar Labels

    Albertsons Cos. Inc. was hit with a proposed class action Wednesday in California federal court by a shopper who alleges the grocer falsely labels its breakfast cereal bars as containing natural flavors even though they're made with artificial ingredients derived from petrochemicals.

  • May 16, 2024

    BofA Customers Get Final OK For $8M Deal In ACH Fee Suit

    A North Carolina federal judge has granted final approval to an $8 million settlement for Bank of America customers who claim they were unfairly charged fees for Automated Clearing House transfers.

  • May 16, 2024

    BIC Hit With Class Action Over PFAS-Containing Razors

    The makers of BIC razors intentionally use so-called forever chemicals in several of their products but failed to mention that to customers, who say they wouldn't have bought the razors if they'd known they were exposing themselves to toxic chemicals.

  • May 16, 2024

    3rd Circ. Shuns Teva's 'Novel' Appeal On Israeli Investor Class

    The Third Circuit on Thursday turned away an appeal brought by Teva Pharmaceutical Industries Ltd., saying the class certification stage was not the right time to hear arguments over the "novel" question of the applicability of U.S. securities laws to Israeli-listed shares.

  • May 16, 2024

    Judge OKs Plan For Those Hit By Rescinded Trump Travel Ban

    Immigration advocates who sued the federal government said they were celebrating "a glimmer of hope" this week after a federal judge OK'd a plan that would require immigration officials to reconsider visa applications for people denied entry into the U.S. because of a Trump-era travel ban affecting individuals from Muslim-majority countries.

Expert Analysis

  • 5 Trends To Watch In Property And Casualty Class Actions

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    In 2023, class action decisions have altered the landscape for five major types of claims affecting property and casualty insurers — total loss vehicle valuation, labor depreciation, other structural loss estimating theories, total loss vehicle tax and regulatory fees, and New Mexico's uninsured and underinsured motorist coverage sale requirements, say Mark Johnson and Mathew Drocton at BakerHostetler.

  • Class Action-Style Claims Are On The Horizon In 2024

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    Following the implementation of an EU directive enabling consumers to bring actions for collective redress, 2024 will likely see the first serious swathe of class action-style cases in Europe, particularly in areas such as cyber exposures, ESG and product liability, says Henning Schaloske at Clyde & Co.

  • Series

    Children's Book Writing Makes Me A Better Lawyer

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    Becoming a children's book author has opened doors to incredible new experiences of which I barely dared to dream, but the process has also changed my life by serving as a reminder that strong writing, networking and public speaking skills are hugely beneficial to a legal career, says Shaunna Bailey at Sheppard Mullin.

  • A Review Of 2023's Most Notable Securities Litigation

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    There is much to be learned from the most prominent private securities cases of 2023, specifically the Tesla trial, the U.S. Supreme Court's Slack decision and the resolution of Goldman Sachs litigation, but one lesson running through all of them is that there can be rewards at the end of the line for defendants willing to go the distance, say attorneys at Fried Frank.

  • How Clients May Use AI To Monitor Attorneys

    Excerpt from Practical Guidance
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    Artificial intelligence tools will increasingly enable clients to monitor and evaluate their counsel’s activities, so attorneys must clearly define the terms of engagement and likewise take advantage of the efficiencies offered by AI, says Ronald Levine at Herrick Feinstein.

  • When Patients Have Standing For Hospital Antitrust Suits

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    Brown v. Hartford Healthcare Corp., recently decided by a Connecticut state court, provides a useful examination of how antitrust standing issues may be analyzed when patients directly sue a healthcare system for anti-competitive conduct, says Charles Honart at Stevens & Lee.

  • DOJ's RealPage Notice Signals Focus On Pricing Algorithms

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    The U.S. Department of Justice's Antitrust Division recently filed a statement of interest in the Realpage multidistrict litigation to stake out its position that price-fixing algorithms pose a great anti-competitive threat, which suggests that the DOJ and private parties may continue to bring similar actions in the future, say attorneys at Simpson Thacher.

  • What 3rd Circ. Gets Wrong About Arbitration Enforcement

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    The Third Circuit and other courts should correct their current law, exemplified by the Third Circuit's recent decision in Henry v. Wilmington Trust, requiring a motion to dismiss based on an arbitration clause because it conflicts with the Federal Arbitration Act, the Federal Rules of Civil Procedure, and — with regard to the improper-venue approach — U.S. Supreme Court precedent, says David Cinotti at Pashman Stein.

  • Series

    The Pop Culture Docket: Judge D'Emic On Moby Grape

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    The 1968 Moby Grape song "Murder in My Heart for the Judge" tells the tale of a fictional defendant treated with scorn by the judge, illustrating how much the legal system has evolved in the past 50 years, largely due to problem-solving courts and the principles of procedural justice, says Kings County Supreme Court Administrative Judge Matthew D'Emic.

  • The Key To Defending Multistate Collective FLSA Claims

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    Federal circuit courts are split on the reach of a court's jurisdiction over out-of-state employers in Fair Labor Standards Act collective actions, but until the U.S. Supreme Court agrees to review the question, multistate employers should be aware of a potential case-changing defense, say Matthew Disbrow and Michael Dauphinais at Honigman.

  • Series

    Performing Music Makes Me A Better Lawyer

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    The discipline of performing live music has directly and positively influenced my effectiveness as a litigator — serving as a reminder that practice, intuition and team building are all important elements of a successful law practice, says Jeff Wakolbinger at Bryan Cave.

  • The Shifting Landscape Of Securities Class Action Fees

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    An analysis of recently settled cases shows that in addition to the settlement size, plaintiffs counsel in securities class actions appear to be rewarded for good settlement outcomes relative to a statistical prediction, with certain outcomes for the motion to dismiss and motion for class certification also affecting attorney fees awarded, says Edward Flores at NERA Economic Consulting.

  • Aviation Watch: Pilots Face Mental Health Catch-22

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    The recent case of an Alaska Airlines pilot who attempted to crash an airliner in flight highlights the dilemma facing federally licensed cockpit personnel who need psychological help, yet could lose their jobs if they seek it — but a long-running program may provide a solution, says Alan Hoffman, a retired attorney and aviation expert.

  • Breaking Down High Court's New Code Of Conduct

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    The U.S. Supreme Court recently adopted its first-ever code of conduct, and counsel will need to work closely with clients in navigating its provisions, from gift-giving to recusal bids, say Phillip Gordon and Mateo Forero at Holtzman Vogel.

  • 7 Critical Copyright And AI Questions Courts Need To Address

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    U.S. courts have yet to rule on many copyright issues regarding generative artificial intelligence technologies, so developers and users should consider several questions when evaluating risks, developing risk mitigation plans and making decisions about particular use cases, say John Delaney and Sean West at Perkins Coie.

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