“The Eleventh Circuit has clarified the scope of the ‘local event exception’ to the federal-court jurisdiction over ‘mass actions’ conferred by the Class Action Fairness Act (“CAFA”), holding that claims by former foundry employees against manufacturers and distributors of products used at the foundry are not within the exception,” posted Valerie Sanders in Eversheds Sutherland’s 11 Circuit Business Blog.

“The plaintiffs in the case are 230 former workers at a now-closed Alabama foundry.  They worked in different jobs at different times, but all claim that they were harmed by exposure to hazardous chemicals during their employment.  The defendants are unrelated companies that manufactured (and in some cases distributed) chemical products used at the foundry, including sands, resins, gases, and other substances of various formulations.  The plaintiffs’ complaint, originally filed in state court, includes several claims, all arising from the allegation that the ‘normal and foreseeable’ use of the defendants’ products at the foundry caused the ‘formation and release of hazardous and carcinogenic chemical substances,’ which harmed them.”

Read the article.

“One after another, like dominos, court systems are shutting down or moving to drastic restrictions. In the process, court dates are being pulled and cases are moving into limbo. As that happens to your own once trial-bound cases, you think, ‘What now?’ What do you do with the time that you now unexpectedly have as your case is put on pause?” asks Dr. Ken Broda-Bahm in Persuasive Litigator.

“Clients will often issue a ‘Stop work’ notice, thinking, ‘Let’s put a pin in it, package everything so it’s fresh, then revisit the situation down the road, closer to the new date.’ Limiting the expenses is, of course, a worthwhile goal, particularly now that the economy is moving into limbo as well. But sometimes, the decision to call an abrupt and complete halt can be more penny-wise than actually wise. When a pause is created, not just by the current Coronavirus measures, but by any delay or uncertainty over a court date, that pause can be an opportunity.”

In this post, Dr. Broda-Bahm shares seven ideas on how to make the best use of an unexpected delay.

Read the article.

“Three prosecutors in Utah recently resigned amid an internal investigation into free Utah Jazz tickets they received from a defense lawyer who had appeared opposite them,” reports Debra Cassens Weiss in ABA Journal’s Latest News.

“The deputy Utah County attorneys who resigned are Craig Johnson, Chase Hansen and Pona Sitake, report the Salt Lake Tribune and the Daily Herald. Both publications obtained a human resources report on the investigation into the Dec. 4 tickets provided by defense attorney Dennis Pawelek.”

“The Salt Lake Tribune says the prosecutors resigned in early February, while the Daily Herald reports they resigned in late January.”

“Sitake also was investigated in the fall for allegations he took photos of women in court and then shared them in a group message where men talked about their looks, a prior report said.”

Read the article.

“Amid investigations, litigation and public scrutiny over allegedly exorbitant executive compensation at the Florida Coalition Against Domestic Violence, Tiffany Carr, the woman at the center of the maelstrom, has remained almost silent,” reports The Gainesville Sun.

“But a lawyer who represents Carr, the former CEO of the nonprofit organization, provided a glimpse in a court filing into her defense against accusations that she misspent public funds meant for the state’s domestic-violence centers.”

“Gov. Ron DeSantis, Attorney General Ashley Moody and House and Senate leaders in recent weeks have vilified Carr for orchestrating $7.5 million in compensation over three years, which included more than $4 million in paid time off. Inquiries into the nonprofit’s finances have also targeted the coalition’s executive staff and board of directors, who each year signed off on her salary and benefits.”

Read the article.

“A prominent Chinese dissident may proceed with his malpractice case against a law firm based on allegations that the firm failed adequately to protect his personal data from hackers, a Washington, D.C. district court said in an opinion on February 20.  In his $50 million suit, the plaintiff, Guo Wengui, alleges that after he retained the firm, someone (assumed to be associated with the Chinese government) penetrated the firm’s computer servers, gained access to his confidential information and published it on the Internet,” reports Karen Rubin and Tom Zych in The Law for Lawyers Today’s Malpractice.

“The district court turned back the firm’s motion to dismiss and allowed most of Wengui’s claims to go forward.  The case bears watching as cyberattacks increasingly target law firms, and legal IT teams struggle to stay one step ahead of security threats.”

Read the article.

“Two federal appellate courts published notable opinions on the intersection between personal jurisdiction jurisprudence and Rule 23 class action procedure. The defendants in both cases face nationwide class actions, and each argued that the Supreme Court’s 2017 decision in Bristol-Myers Squibb Co. v. Superior Court of California, 137 S. Ct. 1773, precludes district courts from exercising specific jurisdiction over the claims of unnamed putative class members from other states. The majority of a D.C. Circuit panel decided to resolve the appeal before it on alternate grounds. But in dissent, Judge Silberman explained why he understands Bristol-Myers’s holding to extend to nationwide class actions brought in federal court. The next day, a unanimous Seventh Circuit panel refused to extend Bristol-Myers to federal class actions,” reports Michael D. Leffel and Aaron R. Wegrzyn in Foley & Lardner’s Insights.

“The Supreme Court’s Bristol-Myers decision addresses state courts’ jurisdiction over the claims of non-resident plaintiffs in mass tort actions. The Court held that a California state court lacked jurisdiction over the defendant with respect to nonresident plaintiffs’ claims because the defendant was not incorporated in California and did not have its principal place of business in California (thus defeating general jurisdiction) and because the claims lacked an “adequate link” to California (thus defeating specific jurisdiction). Following that ruling, district courts across the country have split on whether to extend the logic of Bristol-Myers from state mass tort actions to nationwide class actions. ”

Read the article.

“PricewaterhouseCoopers (PwC) has agreed to settle a class action lawsuit alleging age discrimination in hiring by paying out $11.625 million, an amount that is not even a blip on the radar screen of a firm that reports annual revenues in excess of $41 billion,” reports Patricia Barnes in Forbes’ Leadership.

“Moreover, PwC seems somewhat tentative with respect to its commitment to change the hiring practices the plaintiffs have argued since 2016 were grossly discriminatory to older workers.”

“Both sides released a carefully worded press release earlier this month stating that PwC has agreed ‘to enhance certain of its recruiting procedures geared toward further attracting qualified older applicants for entry level jobs.’”

Read the article.

“The three giant drug distributors are negotiating a deal with the states to end thousands of opioid lawsuits nationwide, in which they would pay $19.2 billion over 18 years and immediately submit to stringent monitoring requirements to assure that suspicious orders for prescription opioids would be halted,” reports Jan Hoffman in The New York Times’ Health.

“So far, 31 states plus the District of Columbia have tentatively agreed to the deal, while 19 states, including Florida, Connecticut and West Virginia, have not.”

Read the article.

“New court filings reveal that the Department of Defense wants to ‘reconsider certain aspects’ of its decision to award Microsoft with the coveted $10 billion Joint Enterprise Defense Infrastructure contract,” reports Taylor Soper in GeekWire.

“The latest legal development is part of Amazon’s protest over the prestigious cloud computing deal, known as JEDI. Amazon Web Services sued the federal government after Microsoft emerged as the surprise winner of the JEDI contract last year.”

“In the new filing, a motion for voluntary remand, the DoD said that it ‘wishes to reconsider its award decision in response to the other technical challenges presented by AWS.’ The DoD is asking for 120 days to assess the matter. It wants to specifically examine one issue related to ‘online marketplace offerings.'”

Read the article.

“A $143 million settlement between Columbia Gas and thousands of people affected by the company’s 2018 pipeline disaster in the Merrimack Valley received final approval from a state judge on Thursday,” reports Callum Borchers in Bostonmix.

“The resolution of a class action civil case comes two weeks after Columbia Gas agreed to plead guilty in a criminal proceeding, acknowledging it violated the federal Pipeline Safety Act. The plea deal included a $53 million fine and required Columbia’s parent company, NiSource, to sell its Massachusetts business. NiSource quickly found a buyer in Eversource.”

“Anyone who lived in Lawrence, Andover or North Andover at the time of widespread fires and explosions in September 2018 can apply for compensation. The deadline to file a claim has been extended to April 27.”

Read the article.

“In an important lesson for both employers and employees a California superior court judge affirmed a $179 million arbitration award against a former Uber executive, Anthony Levandowski, for stealing Google’s trade secret information and soliciting its employees to benefit Uber. See Google LLC v. Levandowski et al., Case No. CPF-20-516982. Levandowski, who also faces criminal charges from the U.S. Attorney’s office for theft and attempted theft of trade secrets, filed for bankruptcy following the judge’s order,” reports Aaron Goldstein and Jasmine Hui in Dorsey’s Publications.

“The court’s ruling underscores the importance of well-crafted confidentiality, non-compete, and non-solicit agreements. Over the course of Levandowski’s employment with Google, he signed at least four separate agreements which included either non-compete, non-solicit, confidentiality, and nondisclosure provisions, or a combination thereof. The panel of arbitrators in the underlying case held, among other things, that Levandowski breached these employment contracts with Google by misusing Google’s confidential information and attempting to solicit Google employees.”

“Google hired Levandowski in 2007, where he co-founded the company’s autonomous vehicle project, which later became Waymo, LLC. In 2015, Levandowski left Google and formed a new self-driving company, Ottomotto, Inc. In 2016, Uber acquired Ottomotto, Inc. and hired Levandowski to head its autonomous vehicle department. Shortly thereafter, Google filed two arbitration demands against Levandowski and another former Google employee who moved to Uber.”

Read the article.

“The Am Law 50 firm moved its headquarters to Philadelphia’s Cira Centre in 2005, taking advantage of a tax break program that Pennsylvania offers businesses to move into developments in formerly run-down areas. Since taking up residence in Cira Centre, Dechert’s paid virtually no state or local business taxes in exchange for Dechert’s role in making the area an attractive business destination,” notes Joe Patrice in Above the Law’s Biglaw.

“But the program expired in 2018, so when the Keystone Opportunity Zone program eyed a new tax-free area in Schuylkill Yards, Dechert walked up and asked to move there too.”

“There’s nothing in the law to say companies can’t hop from zone to zone to remain permanently tax-free, and when authorities denied Dechert’s request to continue not paying its taxes, the firm took the government to court.”

Read the article.

“The Ohio Supreme Court has suspended an Olmsted Falls attorney who repeatedly violated a protection order, lied to police about violating the order and tested positive for cocaine use, which violated the terms of his probation,” reports Dan Trevas in the Highland County Press’ Headlines.

“In a per curiam opinion, the Supreme Court suspended Anthony M. Piazza for two years, with one year stayed with conditions, based on repeated violations of court orders between July 2017 and March 2019, as well as failing to comply with the rules for operating his client trust account. The second year of Piazza’s suspension was stayed as long as he does not commit further professional misconduct and obtains an assessment from the Ohio Lawyers Assistance Program (OLAP).”

“Chief Justice Maureen O’Connor and Justices Sharon L. Kennedy, Judith L. French, R. Patrick DeWine, Michael P. Donnelly, and Melody J. Stewart joined the opinion Feb. 25.”

Read the article.

“Litigation has its place, but most in-house counsel agree: avoid it if at all possible. That’s why Chris Fairey is a proponent of arbitration clauses in his employee contracts. Fairey is General Counsel for American Residential Services (ARS), one of the nation’s largest residential and commercial heating, air-conditioning, and plumbing services companies. ARS earns approximately $1 billion dollars in revenue annually and has more than 6,000 employees across the country. Like any legal leader of a company that size, Fairey spends a lot of time thinking about risk,” discusses Mark P. Henriques in Womble Bond Dickinson’s Articles and Briefings.

“One of the big upsides to arbitration from Fairey’s point of view is that the process takes a lot of the emotion out of a dispute.  He points out that presenting a case to an experienced arbitrator, rather than a jury, removes many of the emotional elements that can go along with litigation, especially when employees or consumers are on the other side. A jury trial can be subject to grandstanding by plaintiff’s counsel, which is not the case in arbitration.”

Read the article.

Bradley Arant Boult Cummings LLP is pleased to announce that it has secured a favorable settlement agreement for its hospice provider client AseraCare with the U.S. Department of Justice (DOJ) over a Qui Tam lawsuit that began in 2008.

Under terms of the agreement, AseraCare will pay $1 million to the DOJ, which had sought more than $200 million worth of claims under the False Claims Act.

“Our client AseraCare is very pleased with this settlement and the outcome of this case that provides benefit and clarity to the hospice industry over Medicare billing reimbursement, as well as some level of comfort and certainty to physicians who treat terminally ill patients,” said Bradley partner Jack W. Selden, who served as lead counsel in this case. “The existing law and the evidence that we presented clearly supported AseraCare’s position and helped us secure this settlement beneficial to our client.”

Bradley partner Kimberly B. Martin, chair of the firm’s Litigation Practice Group who also served as counsel to AseraCare in this matter, added, “This positive outcome also helps AseraCare continue its mission to provide vital hospice care and services to patients and their families with integrity and the utmost commitment to upholding ethics in the healthcare industry.”

The Eleventh Circuit Court of Appeals, in an opinion issued Sept. 9, 2019, agreed with AseraCare and the District Court that a mere difference of reasonable physician’s opinions on a terminal patient’s prognosis will not constitute falsity under the False Claims Act. The Court of Appeals also clarified that any other evidence presented by the government in an effort to impose False Claims Act liability must be directly linked to the claim the government contends is false. Bradley partner Matt Lembke, who was a key member of the trial team and argued the case in the Eleventh Circuit Court of Appeals, noted that “The result provides additional clarity for hospice providers faced with claims under the False Claims Act.”

Other key members of the Bradley team included Nick Danella, Tiffany deGruy, Fritz Spainhour, and Erin Sullivan.

AseraCare is a leading provider of hospice services caring for 2,200 patients and families per day. The company operates 44 locations in 14 states. For more information about AseraCare, visit www.aseracare.com.

About Bradley
Bradley combines skilled legal counsel with exceptional client service and unwavering integrity to assist a diverse range of corporate and individual clients in achieving their business goals. With offices in Alabama, Florida, Mississippi, North Carolina, Tennessee, Texas, and the District of Columbia, the firm’s nearly 550 lawyers represent regional, national and international clients in various industries, including banking and financial services, construction, energy, healthcare, life sciences, manufacturing, real estate, and technology, among many others.

“Apple has tentatively agreed to a $500 million settlement after admitting to slowing down older phones. The deal would provide small payouts for many iPhone owners in the US, plus greater compensation for named class members and attorneys. It covers people who bought any product in the iPhone 6 and 7 lineup — which Apple secretly throttled to conserve battery life.” reports Adi Robertson in The Verge.

“As Bloomberg Law notes, the settlement was filed in a California court last Friday and is awaiting final court approval. The deal — which took months to negotiate — would resolve dozens of class action lawsuits that were filed between 2017 and 2018, then later consolidated into one complaint.”

Read the article.

“Brittny Lewton, a district attorney who represents seven counties on Colorado’s Eastern Plains, was indicted Thursday by a grand jury on drug and official misconduct charges,” reports Sam Tabachnik in the Denver Post’s Crime & Courts.

“On Friday morning, Lewton turned herself in to the Logan County Jail, said Stan Garnett, the former Boulder County district attorney who is serving as Lewton’s lawyer.”

“The indictment and the arrest affidavit remain suppressed.”

“Lewton, the 40-year-old lead prosecutor for the state’s 13th Judicial District, faces three counts involving controlled substances, including possession and conspiracy, and one count of official misconduct, according to Logan County District Court records. A judge gave her a $10,000 personal recognizance bond.”

Read the article.

“During Supreme Court oral arguments earlier this week, a Biglaw partner dropped a ‘damn’ to colorfully illustrate his point,” reports Kathryn Rubino in Above the Law’s Courts.

“It happened during the arguments in Opati v. Republic of Sudan. Sudan’s lawyer, White & Case’s Christopher Curran, was in an exchange with Justice Stephen Breyer when he argued SCOTUS had previously held the retroactive assessment of punitive damages was unfair and a ‘draconian step.’ That’s when the juiciness happened:”

“So before we attribute that intention to Congress, we’re going to ask Congress to say it pretty damn clearly.”

“Chief Justice William Rehnquist let it fly in arguments in Donnolley v. Dechristoforo (1974). In fact, according to Law.com, ‘damn’ has been said a handful of times during oral arguments from 1950-2015. However, the majority of the times it was used it was in quoting the record of the case. But at least one other advocate used ‘damn’ for emphasis:”

Read the article.

“An East Providence lawyer who specializes in asbestos litigation is suing the Town of Barrington over his arrest on assault and disorderly conduct charges that were later dismissed,” reports Katie Mulvaney in the Providence Journal.

“John Deaton is accusing his hometown, specific police officers, a lieutenant and retired Police Chief John LaCross of violating his rights, conspiracy, false imprisonment, invading his privacy, and malicious prosecution over his Sept. 24, 2017, arrest following a confrontation at a Pop Warner football game.”

“LaCross and Lt. Timothy Harrington face allegations of failure to supervise, while Officer David Wyrostek stands accused of assault and battery.”

“Deaton alleges that as a result of his ‘unlawful’ arrest he lost more than $3 million in business, incurred legal fees, and suffered irreparable harm to his reputation.”

Read the article.

“Johnson & Johnson and other drug companies facing thousands of lawsuits over their role in the opioid epidemic have warned that settlement talks will be “severely” jeopardized if plaintiffs’ lawyers are allowed to assess a fee payment worth billions of dollars,” reports Tom Hals and Nate Raymond in Reuters Business News.

“Major distributors such as McKesson Corp and drugmakers including Teva Pharmaceutical Industries Ltd joined in the request that U.S. District Judge Dan Polster in Cleveland, Ohio, reject a request by a committee of plaintiffs’ lawyers for a 7% fee assessed against any settlements. They filed their brief late Wednesday.”

“The request could amount to $3.3 billion, based on a $48 billion settlement proposal that five companies have been negotiating with various state attorneys general.”

“The drug companies noted that the attorneys would receive more money from the settlement than even some of the states they represent. Dozens of state attorneys general also opposed the request for the fee to the plaintiffs executive committee that is litigating thousands of lawsuits by towns, counties and tribal governments.”

Read the article.