Law firm can’t recover costs under Fair Debt Act

May 7, 2010 2:27 PM

A law firm could not recover its costs in successfully defending a lawsuit that alleged its debt collection activities violated federal law, the 9th Circuit has ruled in vacating an award.

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Consumer arbitration award can’t be overturned

A consumer could not seek to overturn an arbitration award against her on the basis of non-statutory, judicially-created grounds, the 11th Circuit has ruled in affirming judgment.

Federal statute preempts state law on uninsured motorists

The federal Graves Amendment preempts a state law imposing vicarious liability on the lessor of an uninsured motor vehicle for damages caused by the negligent acts of the lessee, the Connecticut Supreme Court has ruled.

Outside counsel not liable for securities fraud

A corporation’s outside counsel could not be held secondarily liable for false statements attributed to the client that investors relied upon, the 2nd Circuit has ruled in affirming a dismissal.

Music pirates not entitled to anonymity

The First Amendment does not protect the anonymity of a defendant who allegedly illegally downloaded copyrighted music, the 2nd Circuit has ruled.

Solo forced out of lawsuit can sue for conversion

A solo practitioner who was allegedly forced out of a personal injury lawsuit could sue for conversion once the matter was settled, the California Court of Appeal has ruled in reversing judgment.

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Court’s Fair Debt Act ruling may have negative impact on lawyers

April 30, 2010 4:53 PM

The U.S. Supreme Court’s decision in a Fair Debt Collection Practices Act case last week may create ethical dilemmas for attorneys forced to interpret the statute on behalf of their clients.

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Drywall plaintiffs entitled to restoration of home

Plaintiffs whose new home sustained damage due to the installation of Chinese drywall are entitled to have their property restored to its original condition, a U.S. District Court in Louisiana has ruled.

Court retains jurisdiction under Class Action Act

A denial of class certification did not divest a federal court of jurisdiction over a wage lawsuit removed from state court, the 9th Circuit has ruled in reversing a remand order.

Rice farmers reap $48M verdict over genetically-modified crops

In the fourth trial of thousands to come, a group of Arkansas rice farmers has won a $48 million verdict against Bayer CropScience for allowing an experimental strain of genetically-modified rice to contaminate the commercial rice supply and send rice prices plummeting in 2006.

Supreme Court nixes class actions in arbitration

Class actions in arbitration are inconsistent with the Federal Arbitration Act unless the parties expressly agree to consent to a class action in the arbitration agreement, the U.S. Supreme Court has ruled.

Can denial of summary judgment be appealed after trial?

The U.S. Supreme Court has agreed to decide whether a party may appeal an order denying summary judgment after a full trial on the merits.

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Law firm can be liable for legal mistake under FDCPA

April 26, 2010 3:19 PM

A law firm is liable under the Fair Debt Collection Practices Act for sending a letter to a debtor on behalf of a mortgage company that misrepresented the debtor's legal obligations - that the firm made a bona fide error is no defense, the U.S Supreme Court has ruled.

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Nursing home arbitration clause may be enforceable: A plaintiff could not avoid arbitration of a wrongful death claim against a nursing home based on a state law prohibiting the waiver of jury trial rights, the Illinois Supreme Court has ruled.

Judge removes $8.5M e-discovery sanctions: More than two years after a judge ordered a jaw-dropping $8.5 million in sanctions against attorneys in the case that became textbook for how not to do e-discovery, Qualcomm v. Broadcom, a federal magistrate judge has decided that none of the attorneys should be sanctioned after all. 

Discovery sanctions against law firm affirmed: Discovery sanctions against a law firm for using an insurer's customer files to identify new clients for a class action didn't violate the First Amendment, the 10th Circuit has ruled. 

Mississippi joins ranks of states with data breach law: Mississippi became the 46th state to enact a data breach notification law earlier this month. Just four states - Alabama, Kentucky, New Mexico and South Dakota - have yet to pass legislation requiring a business to notify consumers if their personal information has been illegally obtained. 

Heated arguments ensue in religious school group case: WASHINGTON - During oral arguments Monday in a case asking whether a public law school has the right to deny benefits to a student group that excludes gays - and requires all members to share its beliefs - exchanges between the justices of the Supreme Court and lawyers got heated at times. 

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Law firm isn't subject to automatic disqualification

April 19, 2010 3:22 PM

An insurance defendant's law firm wasn't subject to automatic disqualification based on the fact that one of its lawyers had in the past received confidential information from the plaintiffs, the California Court of Appeal has ruled in reversing a disqualification order. 

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Toyota MDL consolidated in Calif.: The Joint Panel on Multidistrict Litigation has decided to consolidate Toyota sudden acceleration lawsuits in U.S. District Court for the Central District of California.

Lawyer isn't liable for garnishing exempt funds: A lawyer didn't violate federal debt collection law when, in an effort to collect an unpaid credit card balance, he garnished a bank account that contained Social Security benefits, the 6th Circuit has ruled in reversing a $161,000 judgment.

An e-discovery challenge for solos, small firms: Ready for an e-discovery challenge? Earlier this year, Austin, Texas trial lawyer and technologist Craig Ball threw down the gauntlet with E-Discovery for Everybody: the EDna Challenge. 

Lease provision upheld despite state law: A lease provision requiring a tenant to buy liability insurance isn't invalidated by a state statute that voids lease provisions that require tenants to indemnify landlords for their own negligence, Massachusetts' highest court has ruled.

Expert may be required to disclose financial records: A medical expert in an automobile accident case could be required to disclose financial records documenting the payments he received for appearing as a witness in other personal injury cases, Maryland's highest court has ruled. 

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Insurer isn’t obligated to defend lead toy claims

April 12, 2010 1:35 PM

A commercial liability insurer was not required to defend class actions alleging that its insured negligently sold toys containing lead that were made in China, the 7th Circuit has ruled in reversing judgment.

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Judge adds $20 million to jury’s $65 million verdict: A $65 million verdict that was rendered in October 2009 in a lawsuit between two business partners has been given a boost by the trial judge, who added $20 million to the jury’s award.

Card holder doesn’t have right to reimbursement under TILA: A credit card holder doesn’t have a right to reimbursement under the Truth in Lending Act, the 3rd Circuit has ruled in affirming summary judgment for the credit card company.

California law governs domain name dispute: A dispute over a domain name is governed by California law, which treats a domain name as intellectual property, the 9th Circuit has ruled.

Liability cap doesn’t preclude federal jurisdiction: A liability cap in a travel company’s customer agreement does not preclude a determination that an action to compel the arbitration of a wrongful death suit meets the $75,000 amount-in-controversy requirement for federal jurisdiction, the 9th Circuit has ruled in reversing a dismissal.

Washington enacts data security law: Following in the footsteps of Minnesota and Nevada, Washington state has passed legislation that requires businesses to comply with data security requirements or face potential liability if a data breach occurs. 

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Litigant loses due to lawyer's computer glitch

April 5, 2010 10:16 AM

A plaintiff is not entitled to relief from summary judgment entered against him where his lawyer’s computer glitch caused him to miss the court’s electronic notice, the 4th Circuit has ruled.

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Justices rule in class action dispute: A state law barring class actions to recover “penalties” does not preclude federal diversity jurisdiction for a class action alleging that an automobile insurer routinely failed to remit interest due its insureds, the U.S. Supreme Court has ruled.

Hospital can’t be sued out of state: A Maine hospital that marketed its services to out-of-state patients didn’t subject itself to being sued in New Hampshire for medical malpractice, the 1st Circuit has ruled in affirming a dismissal.

Debt collector may be liable for failing to register: A debt collector may violate federal consumer protection law by failing to register as a collection agency in accordance with state law, the 11th Circuit has ruled.

False Claims Act suit barred by public disclosures: A False Claims Act suit over fraudulent government flood control contracts was barred because the plaintiff’s claims were based upon allegations publicly disclosed in state and county audit reports, the U.S. Supreme Court has ruled in a 7-2 decision.

TBS loses appeal of $281M verdict: A Georgia appeals court has upheld a lower court’s order that required Turner Broadcasting System to pay Texas businessman David McDavid $281 million.

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