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Commercial Contracts
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May 27, 2025
NC Justices Say Insured's Failure To Read Doesn't Bar Claim
North Carolina's highest court found a homeowner isn't barred from suing an insurance agency for negligence over false answers on a property insurance application even though he never read the document, saying context bears on his culpability.
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May 27, 2025
Ex-Solar CEO Can't Arbitrate Fraud Suit Now, Judge Says
The former CEO of a defunct solar company and its financial backers waived their rights to force Michigan residents into arbitration by extensively litigating a proposed class action that accused them of deceptive sales practices and racketeering, a federal judge ruled.
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May 27, 2025
Calif. Bar Seeks More Remedies After Problematic Feb. Exam
The state bar of California has formally asked the state Supreme Court to approve measures including a limited provisional licensure program and a more direct pathway to admission for out-of-state attorneys, in the state bar's latest attempt to seek equitable remedies amid the fallout from the bungled February 2025 California bar exam.
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May 27, 2025
Dollar Bank Yanks Funeral Home Loan Over Pet Accusations
A Pittsburgh-area funeral director's alleged failure to disclose that he was facing criminal charges and civil suits over accusations that he mishandled the remains of customers' pets led Dollar Bank to declare that he and his companies now owe nearly $332,000 on a 2023 loan, according to a lawsuit filed in state court.
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May 23, 2025
Law360 Reveals Titans Of The Plaintiffs Bar
This past year, a handful of attorneys secured billions of dollars in settlements and judgments for both classes and individual plaintiffs against massive companies and organizations like Facebook, Dell, the National Association of Realtors, Johnson & Johnson, UFC and Credit Suisse, earning them recognition as Law360's Titans of the Plaintiffs Bar for 2025.
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May 23, 2025
Disney Accuses YouTube Of Poaching Ex-Distribution Exec
Disney has hauled YouTube and freshly resigned Disney executive Justin Connolly into California state court, accusing YouTube of poaching Connolly, who it said was leading license renewal negotiations with the Google-owned video sharing company.
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May 23, 2025
X Says Media Matters Must Pay For 'Unjustified' Transfer Bid
Social media giant X Corp. wants Media Matters for America sanctioned for waiting more than a year to try to transfer X Corp.'s lawsuit against it, and told a Texas federal judge Wednesday that the left-leaning media watchdog must cover the costs of defending against the unsuccessful motion.
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May 23, 2025
Texas Justices Flip $6M Judgment In Gas Pipeline Row
The Texas Supreme Court chided a trial court after it "blue-penciled extra words" into a contract dealing with a natural gas pipeline, reversing Friday a $6 million judgment previously in favor of Rainbow Energy Marketing Corporation and what it called a "cascade of errors."
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May 23, 2025
X Corp. Hit With $8.2M Judgment Over Colo. Lease Breach
A Colorado state judge on Friday found that X Corp. violated a lease and ordered the company to pay more than $8.2 million in unpaid rent and other costs, citing testimony from a former employee that the social media company stopped making rent payments on various leases as a "renegotiating tactic."
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May 23, 2025
Alleged Forex Scammers Owe $18.5M In CFTC Default Win
A pair of entities purporting to be commodity trading platforms and the duo that allegedly controlled them have been hit with an order saddling them with restitution and civil penalty obligations totaling nearly $18.5 million after ignoring claims brought by the Commodity Futures Trading Commission.
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May 23, 2025
X Alleges Vietnamese Group Is Exploiting Engagement Metrics
X Corp. on Thursday filed suit in Texas federal court against several Vietnamese nationals it alleges run a cybercrime ring that farms money using computer-generated content and manipulating its social media platform's engagement metrics through bots.
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May 23, 2025
Texas Justices Answer 5th Circ. Query On State Usury Laws
The Texas Supreme Court on Friday concurred with a credit card industry firm that sued a lender over its "usurious" interest charges, telling the Fifth Circuit that state law holds that the maximum permissible interest on a loan is based on the declining principal balance, not the initial total principal amount.
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May 23, 2025
SoCal Edison To Pay $82.5M Over 2020 Bobcat Fire Costs
Southern California Edison agreed Friday to pay $82.5 million to the federal government to resolve a lawsuit that seeks to recoup costs incurred by the U.S. Forest Service as a result of the devastating 2020 Bobcat Fire, which burned over 100,000 acres, the U.S. Attorney's Office for the Central District of California announced.
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May 23, 2025
DC DHS Guards Forced To Work Through Breaks, Court Told
A contractor that provides guards for a U.S. Department of Homeland Security facility in Washington, D.C., forces them to take meal break pay deductions despite such breaks rarely occurring, employees said in a proposed class and collective action.
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May 23, 2025
Judge Tells Boat Crash Widow To Replead $66M Insurer Suit
A Florida federal judge on Friday dismissed a lawsuit by the widow of the victim of a fatal boat crash seeking to get insurers to pay $66 million judgments but told the widow to replead her claims without the bad faith allegations to streamline discovery in the first stage of the litigation.
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May 23, 2025
Ohio Pest Co. Says Ex-Director Is Unfairly Competing
An Ohio-based pest control company took a former regional director of operations to federal court, claiming he formed his own pest control firm in violation of his noncompete agreement and is unfairly cutting in on the company's business.
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May 23, 2025
Dallas Jury Enters $9.4M Verdict Against El Rancho Chain
A Dallas County jury said that a Texas trucking company is owed nearly $10 million from the El Rancho Supermercado grocery chain and its shipping arm over contract breaches that occurred after the chain was acquired by a new company.
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May 23, 2025
9th Circ. Urged To Force ERISA 401(k) Suit Arbitration
A Los Angeles-based investment management company urged the Ninth Circuit to force individual arbitration of an ex-worker's proposed class action alleging 401(k) mismanagement, arguing a lower court incorrectly concluded an arbitration provision in employees' retirement plan wasn't enforceable because it waived statutory rights under federal benefits law.
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May 23, 2025
Home Makeover Host Sues Citibank For Debit Declines
The host of a home makeover show who calls himself "America's top lifestyle expert" has sued Citibank N.A. in Connecticut state court, alleging that he suffered embarrassment and loss of business opportunities when his debit card transactions were declined numerous times despite sufficient funds.
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May 23, 2025
NC Biz Court Serves Up Wins In Real Estate Commission Fight
North Carolina's business court gave a food service company and a real estate broker partial wins in their ongoing commission dispute, ruling that the broker is entitled to commissions on transactions it has not been paid for but cannot require the food firm to use it for future deals.
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May 23, 2025
Musk Doubles Down After OpenAI Drops For-Profit Transition
OpenAI's decision to abandon its transition into a for-profit enterprise was not enough to appease Elon Musk, who doubled down Thursday with an amended California federal court complaint continuing to allege the ChatGPT maker tricked him into contributing nearly $45 million with false promises of remaining a nonprofit.
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May 23, 2025
Fed. Circ. Partly Revives Allstate Challenge To Tech Patent
The Federal Circuit on Friday threw out the Patent Trial and Appeal Board's finding that Allstate failed to show the invalidity of two claims in a patent on cellphone sensors that can tell if a vehicle has accelerated or crashed, telling the board to take another look.
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May 23, 2025
Off The Bench: Tennis Officials, NCAA Stay On The Defensive
In this week's Off The Bench, tennis players face pushback from the governing bodies they are accusing of antitrust violations, college basketball players claiming the NCAA exploited them want their class action revived, and a baseball player seeking one last year to play in college hits another legal roadblock.
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May 23, 2025
Lindberg Urges NC Panel To Rebuff 'Ambush' Sanctions Bid
A convicted billionaire seeking to unravel a receivership order against him has urged the North Carolina Court of Appeals not to scrap his case as a sanction for alleged procedural violations, saying the only gamesmanship afoot is opposing counsel's monthslong "radio silence."
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May 23, 2025
FTC Finally Drops Challenge To Microsoft-Activision Deal
The Federal Trade Commission has dropped its in-house case seeking to block Microsoft's $68.7 billion purchase of video game developer Activision Blizzard, after its Ninth Circuit loss earlier this month, ending a lingering challenge to a deal that closed in late 2023.
Expert Analysis
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Reading Tea Leaves In Fed. Circ. Deep Dive On Review Scope
Roy Wepner at Kaplan Breyer investigates why a recent Federal Circuit opinion spent six pages explaining its unsurprising conclusion on proper scope of review — that no deference need be afforded to the trial court in a case dismissed for failure to state a claim.
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How Judiciary Can Minimize AI Risks In Secondary Sources
Because courts’ standing orders on generative artificial intelligence and other safeguards do not address the risk of hallucinations in secondary source materials, the judiciary should consider enlisting legal publishers and database hosts to protect against AI-generated inaccuracies, say attorneys at Lankler Siffert & Wohl.
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NC Ruling Takes Practical Approach To Duty-To-Defend Costs
In Murphy-Brown v. Ace American Insurance, a case of first impression, the North Carolina Business Court adopted the commonsense rationale of many state courts in holding that policyholders' defense costs should be deemed presumtively reasonable when a insurer breaches its duty to defend, say attorneys at McGuireWoods.
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How Attorneys Can Break Free From Career Enmeshment
Ambitious attorneys can sometimes experience career enmeshment — when your sense of self-worth becomes unhealthily tangled up in your legal vocation — but taking the time to discover and realign with your core personal values can help you recover your identity, says Janna Koretz at Azimuth Psychological.
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Lawyers With Disabilities Are Seeking Equity, Not Pity
Attorneys living with disabilities face extra challenges — including the need for special accommodations, the fear of stigmatization and the risk of being tokenized — but if given equitable opportunities, they can still rise to the top of their field, says Kate Reder Sheikh, a former attorney and legal recruiter at Major Lindsey & Africa.
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Testing The Waters As New Texas Biz Court Ends 2nd Month
Despite an uptick in filings in the Texas Business Court's initial months of operation, the docket remains fairly light amid an apparent wait-and-see approach from some potential litigants, say attorneys at Norton Rose.
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How DOJ's Visa Debit Monopolization Suit May Unfold
The U.S. Department of Justice's recently filed Section 2 monopolization suit against Visa offers several scenarios for a vigorous case and is likely to reveal some of the challenges faced by antitrust plaintiffs following the U.S. Supreme Court's split 2018 American Express decision, say attorneys at Mintz.
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Opinion
Judicial Committee Best Venue For Litigation Funding Rules
The Advisory Committee on Civil Rules' recent decision to consider developing a rule for litigation funding disclosure is a welcome development, ensuring that the result will be the product of a thorough, inclusive and deliberative process that appropriately balances all interests, says Stewart Ackerly at Statera Capital.
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The Strategic Advantages Of Appointing A Law Firm CEO
The impact on law firms of the recent CrowdStrike outage underscores that the business of law is no longer merely about providing supplemental support for legal practice — and helps explain why some law firms are appointing dedicated, full-time CEOs to navigate the challenges of the modern legal landscape, says Jennifer Johnson at Calibrate Strategies.
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There's No Crying In Property Valuation Baseball Arbitration
The World Series is the perfect time to consider how the form of arbitration used for settling MLB salary disputes — in which each side offers competing valuations to an arbitrator, who must select one — is often ideal for resolving property valuation disputes, say Sean O’Donnell at Herrick Feinstein and Mark Dunec at FTI Consulting.
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Navigating Fla.'s Shorter Construction Defect Claim Window
In light of recent legislation reducing the amount of time Florida homeowners have to bring construction defect claims, homeowners should be sure to understand their rights and responsibilities regarding maintenance, repairs and inspections set forth in developer-drafted documents, say Brian Tannenbaum and Nicholas Vargo at Ball Janik.
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Why Diversity Jurisdiction Poses Investment Fund Hurdles
Federal courts' continued application of the exacting rules of diversity jurisdiction presents particular challenges for investment funds, and in the absence of any near-term reform, those who manage such funds should take action to avoid diversity jurisdiction pitfalls, say attorneys at Sher Tremonte.
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Webuild Ruling Complicates Arb. Award Enforcement In US
A Delaware federal court's recent decision in Sociedad Concesionaria Metropolitana de Salud v. Webuild, if read literally, could undercut the United States' image as a proarbitration jurisdiction by complicating creditors' efforts to enforce awards against property in this country, says Jeff Newton at Omni Bridgeway.
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Series
Beekeeping Makes Me A Better Lawyer
The practice of patent law and beekeeping are not typically associated, but taking care of honeybees has enriched my legal practice by highlighting the importance of hands-on experience, continuous learning, mentorship and more, says David Longo at Oblon McClelland.
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Opinion
Legal Institutions Must Warn Against Phony Election Suits
With two weeks until the election, bar associations and courts have an urgent responsibility to warn lawyers about the consequences of filing unsubstantiated lawsuits claiming election fraud, says Elise Bean at the Carl Levin Center for Oversight and Democracy.