News from September 2016
U.S. government sues Newman Broadcasting, its president for fraud
WASHINGTON (Legal Newsline) — The U.S. government has filed a lawsuit against a broadcasting company and its president for alleged fraud.
Time Inc., others allegedly deceived consumers into agreeing to automatic renewal subscriptions
SAN DIEGO (Legal Newsline) — Consumers have filed a class action lawsuit against a magazine subscription program provider after the provider allegedly renewed subscriptions automatically without permission.
Edelson firm turns back Spokeo defense in case against Gannett
BOSTON (Legal Newsline) — A judge has ruled that providing personally identifiable information to a third party obtained from app users' viewing data can cause the users harm.
Third Circuit affirms dismissal of data breach class action filed against prescription services company
The U.S. Court of Appeals for the Third Circuit, in its ruling last month, effectively quashed the lawsuit filed by a group of former Benecard Services Inc. employees. The plaintiffs, alleging breach of trust and identity fraud, sued their former employer for damages allegedly caused by a data security breach.
Punitive damages of $500,000 awarded In Lexus dealership's sexual harassment lawsuit
MIDDLESEX, Mass. (Legal Newsline) – In an unusual measure, punitive damages were awarded in a workplace sexual harassment lawsuit against a car dealership for $500,000.
Automatic renewal class action lawsuit against Omega Natural Science dismissed
LOS ANGELES (Legal Newsline) – On Aug. 22, the U.S. District Court for the Central District of California dismissed a class-action lawsuit against Omega Natural Science alleging violations of California's Automatic Renewal (ARL) Law.
Attorney: Tenants' rights remain even after flooding, other natural disasters
BATON ROUGE, La. (Legal Newsline) – The Louisiana floods can leave homeowners reeling, but there is another demographic that gets hit, often even harder - renters.
FTC announces final amendments to Disclosure Rule affecting E-Warranty Act
WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) has announced final amendments to its Disclosure Rule and Pre-Sale Availability Rule that affects the E-Warranty Act.
CDM Smith to pay $5.5 million after allegations of botching Plum Island water, sewer system
BOSTON (Legal Newsline) — Massachusetts Attorney General Maura Healey has announced CDM Smith Inc. (CDM) will pay $5.5 million after allegations it failed in its obligations to properly oversee construction of Plum Island’s water and sewer systems.
FTC approves Mylan divestiture order, allowing acquisition of Meda
WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) has approved a final order settling charges that Mylan Inc.’s $7.2 billion acquisition of Swedish drug maker Meda would be anticompetitive. The approval comes after a public comment period.
FTC announces ban on debt collection scheme that allegedly duped consumers
WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) has announced that Jared Irby, Richard Hughes, Coastal Acquisitions LLC, and PSC Administrative LLC have been banned from the debt collection business after allegations of falsely promising to resolve consumers’ payday loans through their hardship program.
Georgia federal judge rips plaintiffs attorneys in vaginal mesh MDL, says he’s tired of baseless lawsuits
Chief Judge Clay D. Land of the U.S. District Court for the Middle District of Georgia warned attorneys they will face sanctions if they don’t better evaluate their cases before proceeding.
Goodman Company pays $5.55 million to settle allegations of Consumer Product Safety Act violations
AUSTIN, Texas (Legal Newsline) — The Justice Department has announced a settlement with Goodman Company LP in which the company will pay $5.55 million to settle allegations of breaking Consumer Product Safety Commission (CPSC) rules.
U.S. government accuses planting systems manufacturers of violating Clayton Act
CHICAGO (Legal Newsline) — The U.S. government is suing planting systems manufacturers, alleging a proposed acquisition is illegal.
CFPB fines Wells Fargo $100 million after alleged illegal practices
WASHINGTON (Legal Newsline) — The Consumer Financial Protection Bureau (CFPB) has announced a $100 million fine against Wells Fargo.
Justice Department targets Vanguard Healthcare's alleged False Claims Act violations
NASHVILLE, Tenn (Legal Newsline) — The Department of Justice has announced a False Claims Act case against Vanguard Healthcare LLC and others.
Katz Boutique pays $1.175 million over 'Kush' allegations
AUSTIN, Texas (Legal Newsline) — Katz Boutique and owner Bao Quoc Nguyen will pay $1.175 million after allegations of violating the Texas Deceptive Trade Practices Act and a Texas nuisance law, state Attorney General Ken Paxton has announced.
Funding agreement still hasn’t been released in proposed class action over gas explosion
The plaintiff in a proposed class action brought against oil giant Chevron Corp. over a gas explosion off the coast of Nigeria has yet to reveal the identity of his third-party funder. Last month, Judge Susan Illston ordered the plaintiff, a Nigerian fisherman, to meet and confer in person regarding the agreement and related documents.
Third party litigation grows: Silicon Valley’s Thiel bankrolls new startup
Legalist's business model may cause persons who might not otherwise be able to afford to litigate to enter or stay in the litigation system. Morris Ratner, a professor of law and associate dean at the University of California Hastings College of the Law in San Francisco.
Fifth Circuit refuses to abandon precedent, side with NLRB over individual arbitration agreements
Soon after the U.S. Court of Appeals for the Fifth Circuit’s ruling, the Ninth Circuit went the other way, instead siding with the NLRB’s approach and ruling that individual arbitration waiver agreements are unenforceable under federal law. Other cases raising the same issue currently are pending before the Second, Third, Fourth, Sixth, Eleventh and D.C. Circuits.