Jessica Karmasek News
DOL looks to delay fiduciary rule until 2019
The U.S. Department of Labor and its new secretary, R. Alexander Acosta, last week notified a Minnesota federal court that it submitted to the Office of Management and Budget, or OMB, proposed amendments to three exemptions. The proposed amendments include an “extension of transition period and delay of applicability dates” from Jan. 1, 2018 to July 1, 2019.
N.Y. high court says it must dismiss Facebook appeals over user information
In July 2013, a state Supreme Court issued 381 warrants directed at Facebook upon a warrant application by the New York County District Attorney’s Office. The warrants sought subscriber information and content from numerous user accounts in connection with a pending criminal investigation into allegations of widespread Social Security Disability fraud.
Racketeering lawsuit against Philadelphia asbestos firm refiled in Pennsylvania
The Illinois-based industrial manufacturer, after having its lawsuit dismissed by an Illinois federal judge in March, has filed another lawsuit against Philadelphia-based Shein Law Center and attorney Benjamin P. Shein, claiming the firm “devised and implemented a scheme” to defraud JCI and others. JCI filed its complaint in the U.S. District Court for the Eastern District of Pennsylvania May 12.
Law prof: Trump's lawless behavior with fiduciary rule undermines process
Mercer Bullard, a University of Mississippi law professor and founder of Fund Democracy, a group that advocates for mutual fund shareholders, is puzzled by the U.S. Department of Labor’s 60-day delay, arguing the rule had one of the most thorough vettings.
Minnesota federal judge again approves certification of Target data breach class action
The U.S. Court of Appeals for the Eighth Circuit sent the case back to the U.S. District Court for the District of Minnesota in February. Judge Paul A. Magnuson, in an order Wednesday, granted the consumer plaintiffs’ renewed motion to certify the class.
CHOICE Act aims to end taxpayer-funded bailouts; opponents argue it guts Dodd-Frank protections
U.S. Rep. Jeb Hensarling, R-Texas, introduced the Financial CHOICE Act, or H.R. 10, in late April. The bill was advanced by the U.S. House Financial Services Committee, which Hensarling chairs, earlier this month.
Missouri SC sides with Humane Society in kennel owner’s defamation lawsuit
The state’s high court, in an April 27 decision, agreed with the nation’s largest animal protection organization in a lawsuit brought against it by a Salem, Missouri, woman whose dog kennel was named one of the worst “puppy mills” in the state by The Humane Society of the United States.
Trump's decision to delay fiduciary rule might improve final version
Uday Singh, a partner in the financial institutions practice of A.T. Kearney, a global strategy and management consulting firm, argues the 60-day holdup already has proven somewhat beneficial, in that new information has emerged.
Arkansas SC says it can’t rule on attorney’s disqualification due to lack of hearing transcript
Billy Ray Brocato, doing business as Splash Pool and Spa, filed a complaint against the Helena Country Club in September 2015, alleging claims of breach of contract and a violation of the Arkansas Deceptive Trade Practices Act, or ADTPA.
Arizona SC rules $1.4 million late fee is an ‘unenforceable penalty’
A majority of the state Supreme Court, in its April 25 decision, concluded the fee couldn’t reasonably predict the bank’s loss and did not “reasonably approximate” the costs of handling and processing the late balloon payment.
Despite delay, fiduciary rule 'already causing great harm'
Last month, the U.S. Department of Labor released a measure officially delaying the implementation of the rule and its related exemptions by 60 days. The applicability date is now June 9. Some argue a longer delay is necessary, while others contend the U.S. Securities and Exchange Commission should step in and craft a better rule.
Michigan woman sues Fox, Reese Witherspoon over alleged ‘implanted hate’ of Jews in 'Water for Elephants'
Plaintiff Sarah Deming filed her nine-page complaint in the U.S. District Court for the Eastern District of Michigan, Southern Division, April 22. Los Angeles-based Fox Entertainment Group Inc. produced and distributed Water for Elephants, which was based on the novel of the same name.
Calif. appeals court upholds cap-and-trade program under state’s global warming law, says it’s not a tax
In 2006, the state Legislature passed and then-Gov. Arnold Schwarzenegger signed the California Global Warming Solutions Act, which requires that covered entities reduce greenhouse gas, or GHG, emissions to 1990 levels by the year 2020. The California Chamber of Commerce and Morning Star Packing Company were among those who sued the State Air Resources Board over a cap-and-trade aspect of the law.
California SC: Provision in predispute arbitration agreement ‘contrary’ to public policy
In 2011, plaintiff Sharon McGill filed a class action lawsuit against Citibank N.A. based on its marketing of a “credit protector” plan and the handling of a claim. Pursuant to an arbitration provision, Citibank petitioned to compel McGill to arbitrate her claims on an individual basis.
Shareholder derivative lawsuit filed against Tesla board of directors
The plaintiffs allege, according to a motion for permission to file under seal, violations of federal securities laws and state laws.
Miss. AG, with the help of outside attorneys, sues pharma companies over allegedly unapproved drugs
Attorney General Jim Hood filed six separate lawsuits against the defendant companies in Hinds County Chancery Court last month. The companies have since asked the lawsuits to be removed to federal court, arguing the attorney general’s complaints require the determination of issues of federal law.
Wash. state appeals court finds for veterinarian in lawsuit brought over dog’s euthanization
The Washington State Court of Appeals, Division 3, in its slip opinion published March 21, affirmed the denial of the dog owner’s emotional distress damages.
Wash. state appeals court mostly affirms ruling in class action against armored vehicle company
However, in its March decision, the Washington State Court of Appeals, Division 1, reversed a trial court’s award of double damages for meal period violations and its award of prejudgment interest on rest break damages.
Arizona governor OKs changes to state disabilities law, giving businesses more time to address violations
Gov. Doug Ducey, a Republican, signed the legislation, Senate Bill 1406, last week. The amendment to the Arizonans with Disabilities Act will allow businesses up to 90 days to fix access violations before a lawsuit can be filed. The amendment originally had included a 30-day compliance period.
Kentucky SC again takes up case over slip and fall in Speedway parking lot, this time reverses appeals court
The Kentucky Supreme Court, in a ruling last month, said the state Court of Appeals read and applied past high court decisions too narrowly. The appeals court had reversed and remanded for entry of a defense judgment, invoking the common law’s “open and obvious” doctrine.