Walmart Asks U.S. Supreme Court To Hear Appeal Of Gender Discrimination Class
WASHINGTON, D.C. - The nation's largest retailer on Aug. 25 filed a petition for writ of certiorari asking the U.S. Supreme Court to overturn a California federal judge's decision to certify a class of more than 1 million current and former female Walmart employees who claim that the company discriminated against them based on their gender (Wal-Mart Stores Inc. v. Betty Dukes, et al., No. 10A19, U.S. Sup.; See 5/6/10, Page 4).
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Judge: Insurer Has No Duty To Defend, Indemnify Kickback Conspiracy Claims
SCRANTON, Pa. - Underlying allegations that an insured purposely participated in a kickback scheme consist of intentional and/or malicious conspiratorial conduct on the part of the insured and not accidental conduct, a Pennsylvania federal judge held Aug. 31, further finding that coverage is precluded by certain policy exclusions (Travelers Property Casualty Company of America v. Robert K. Mericle and Mericle Construction Inc., No. 3:09-CV-1747, M.D. Pa.).
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Allergan Pleads Guilty, Pays $600M For Off-Label Marketing Of Botox
IRVINE, Calif. - Allergan Inc. said Sept. 1 that it will plead guilty to a federal misdemeanor charge related to off-label marketing of Botox and will pay a total of $600 million to the federal government in criminal and civil penalties.
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5th Circuit Remands Moratorium Dispute To District Court
NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on Aug. 16 remanded a dispute over a Louisiana federal judge's June 22 ruling striking down the federal government's six-month moratorium on offshore drilling operations of deepwater oil wells in the Gulf of Mexico. The Fifth Circuit directed the lower court to "consider the controversies" raised by the federal government's motion to vacate the preliminary injunction as moot (Hornbeck Offishore Services LLC, et al. v. Kenneth Lee Salazar, et al., No. 10-30585, 5th Cir.; See August 2010, Page 8).
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No Coverage Is Afforded Under General Liability Provision, Panel Says
NEW ORLEANS - Because an insurer accepted coverage for a chlorine gas release under the policy's pollution legal liability provision, the insured is not entitled to coverage under the policy's general liability provision pursuant to the policy's other coverages exclusion, the Fifth Circuit U.S. Court of Appeals said Aug. 24 (DPC Industries Inc. v. American International Specialty Lines Insurance Co., No. 09-20634, 5th Cir.; 2010 U.S. App. LEXIS 17687).
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Debtor Not Allowed To Claim 'Phantom' Expenses, Bank Tells U.S. High Court
WASHINGTON, D.C. - A bank that contends that transportation ownership expenses are not permitted in a bankruptcy when a debtor has no car payment filed a brief on Aug. 6 in the U.S. Supreme Court, insisting that "phantom" expenses cannot be deducted from disposable income (Jason M. Ransom v. MBNA America Bank, No, 09-907, Chapter 13, U.S. Sup.; See 07/07/10, Page 4).
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Attorneys General Oppose Dismissal Of Case Challenging Health Care Reform Act
PENSACOLA, Fla. - Attorneys general challenging the Patient Protection and Affordable Care Act (PPACA) on Aug. 6 filed in a Florida federal court a brief opposing dismissal of their case (State of Florida, et al. v. U.S. Department of Health and Human Services, No. 10-91, N.D. Fla., Pensacola Div.; See 7/7/10, Page 4).
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1st Circuit: Judge Can't Exclude Plaintiff OB/GYN Expert For Potential Bias
BOSTON - A trial court erred in excluding an obstetrician's standard of care opinion on grounds that his extensive plaintiff-side work rendered him biased in a medical malpractice case, a First Circuit U.S. Court of Appeals panel held July 26 (Hazel I. Cruz-Vazquez, et al. v. Mennonite General Hospital, Inc., et al., No. 09-1758, 1st Cir.; 2010 U.S. App. LEXIS 15263; See June 2009, Page 25).
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Wells Fargo Hit With $203M Judgment In UCL Overdraft Case
SAN FRANCISCO - A California federal judge on Aug. 10 found that San Francisco-based banking giant Wells Fargo violated the state's unfair competition law and ordered it to pay $203 million in restitution based on claims that the company manipulated transactions in an effort to maximize overdraft fees charged to customers (Veronica Gutierrez, et al. v. Wells Fargo Bank N.A., No. C 07-05923, N.D. Calif.; See May 2009, Page 12).
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Chinese Drywall MDL Plaintiffs Ask Court To Bar Ga. Court's Nationwide Settlement
NEW ORLEANS - Saying that a putative class action settlement of Chinese drywall liability against a drywall retailer in a Georgia state court is an "end-run" around the jurisdiction of the judge overseeing the federal multidistrict litigation, the MDL plaintiffs asked the judge Aug. 9 to enjoin the settlement as well as the attorneys involved (In re: Chinese-Manufactured Drywall Products Liability Litigation, No. 2:09md02047, E.D. La.; See August 2010, Page 4).
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Silica Attorney Indicted For Fraud Spars With Government On Double Jeopardy
HOUSTON - A Fifth Circuit U.S. Court of Appeals panel heard oral arguments on Aug. 3 in a silicosis attorney's bid to have the fraud indictment against him tossed on double jeopardy grounds after the jury deadlocked at trial (United States v. Warren Todd Hoeffner, et al., No. 09-20781, 5th Cir.; See March 2010, Page 6).
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Florida Beachfront Property Owners File Class Action Seeking Damages From Spill
PENSACOLA, Fla. - Owners of Florida beachfront property on July 30 filed a class action lawsuit in Florida federal court seeking damages as a result of the Gulf of Mexico oil spill (Michelle West, et al. v. BP PLC, et al., No. 10-cv-274, N.D. Fla.).
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Bank Of America Settles Data Theft Litigation
LOUISVILLE, Ky. - Bank of America Corp. has agreed to provide credit monitoring, reimbursement of identity theft losses and out-of-pocket expenses and incentive awards in a settlement approved by a Kentucky federal judge on Aug. 23, bringing to an end a class action filed against Countrywide Financial Corp. mortgage unit over data theft (In Re: Countrywide Financial Corp. Customer Data Security Breach Litigation, No. 08-1998, W.D. Ky.).
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Panel Affirms Insurer Had No Duty To Defend Medical Malpractice Suit
LOS ANGELES - A doctor is entitled to a defense only if, during the policy period, a claim was made against the doctor and the doctor or the hospital reported it to the insurer, a California appeals panel held July 28, affirming a lower court's ruling that the insurer had no duty to defend or indemnify the doctor against an underlying medical malpractice lawsuit stemming from a spine operation (Beta Healthcare Group Risk Management Authority v. Norcal Mutual Insurance Co., No. B216295, Calif. App., 2nd Dist., Div. 2; 2010 Cal. App. Unpub. LEXIS 5942).
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Class Certification Denial Affirmed In Bad Faith, Breach Claims Over Annuities
ST. LOUIS - A panel of the Eighth Circuit U.S. Court of Appeals affirmed denial of class certification to a complaint over fixed deferred retirement annuities on Aug. 12, finding that the plaintiffs' claims did not meet the predominance requirements for a class action (Jacqueline Avritt, et al. v. Reliastar Life Insurance Co., No. 09-2843, 8th Cir.; 2010 U.S. App. LEXIS 16700; See 3/12/09, Page 19).
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Insured's Negligence, Not Dog Attack, Caused Injury, Plaintiff Says
Case: Charles Stafford v. Scottsdale Insurance Co., No. 10-1397, 3rd Cir. Appellant's brief: Filed May 17 by Charles StaffordBrief available 50-100826-024B
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New Jersey Court Affirms $7.5 Million Award For Bystander Asbestos Exposure
TRENTON, N.J. - A judge properly concluded that a woman's claims that she contracted mesothelioma from exposure to asbestos on her husband's clothing could proceed against his employer, a New Jersey appeals court held Aug. 20. State law bars the company from seeking an apportionment of liability between her bystander exposure and any alleged exposure occurring while she worked at the company, the court held (Bonnie Anderson and John R. Anderson v. A.J. Friedman Supply Co., et al., No. A-5892-07T1, N.J. Super., App. Div.; See 6/18/08, Page 4).
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Insurers Owe Duty To Defend Against Environmental Contamination Claims
CHICAGO - Insurers have a duty to defend their insured against environmental contamination cleanup claims because the allegations against the insured indicate the potential of environmental contamination through releases of hazardous substances, an Illinois federal judge said Aug. 19 (United States of America v. James W. Clark, et al., No. 08-4158, N.D. Ill.; 2010 U.S. Dist. LEXIS 85775).
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Lung Disease Plaintiff Says Learned Intermediary Requires Adequate Warning
CLEVELAND - A drug manufacturer may not assert the learned intermediary as a defense when it has not warned of the injury asserted, a plaintiff who alleges that Remicade caused noninfectious interstitial lung disease (NILS) says in a July 30 brief in Ohio federal court opposing dismissal (Anthony DeGidio v. Centocor, Inc., et al., No. 3:09-cv-721, N.D. Ohio.; See July 2009, Page 10).
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3rd Circuit Reverses Denial Of Summary Judgment On Medical Monitoring Claim
PHILADELPHIA - A panel of the Third Circuit U.S. Court of Appeals on Aug. 24 reversed a district court's finding in favor of medical monitoring for a minor plaintiff who allegedly was injured by an experimental heart stent, holding that even if Delaware law would allow medical monitoring, the plaintiffs have failed to establish the elements necessary for a standard medical monitoring claim (M.G., et al. v. A.I. Dupont Hospital for Children, et al., No. 09-1426, 3rd Cir.).
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