News from January 2017
Lawyer: Fifth Circuit ruling in Delek case 'significant victory for the regulated industry'
NEW ORLEANS (Legal Newsline) – A three-judge panel from the U.S. Court of
Appeals for the Fifth Circuit on Dec. 29 rejected Occupational Safety and Health Administration citations issued to a Delek Refining LTD facility for alleged safety violations that occurred years prior to its ownership of the refinery.
Health care industry is primary target of False Claims Act: Recovery exceeds $4 billion in FY 2016
WASHINGTON (Legal Newsline) – At $4.7 billion, fiscal year 2016's haul is the third-highest annual recovery of fraudulent claims in the history of the False Claims Act.
Gonnella Baking of Chicago settles EEOC charges of racial harassment, pays $30,000 penalty
CHICAGO (Legal Newsline) — The U.S. Equal Employment Opportunity Commission (EEOC) announced Jan. 10 that Gonnella Baking Co. of Chicago will pay $30,000 to resolve allegations of racial harassment at the company’s Aurora, Ilinois, facility.
Diallo's of Houston to pay $139,366 after EEOC alleges disability discrimination
HOUSTON (Legal Newsline) — The U.S. Equal Employment Opportunity Commission (EEOC) announced Jan. 9 that Diallo’s of Houston, a nightclub and party venue in the Houston area, will pay $139,366 after allegations of disability discrimination.
CFPB orders medical debt relief collection law firms to pay $577,135 to consumers
WASHINGTON (Legal Newsline) — The Consumer Financial Protection Bureau (CFPB) announced Jan. 9 that it is ordering Works and Lentz Inc., Works and Lentz of Tulsa Inc., and their president, Harry A. Lentz Jr., to provide $577,135 in relief to consumers, correct their business practices and pay a $78,800 penalty for allegations of falsifying documents sent to consumers in the debt collection process.
Ohio AG targets two telemarketing groups for allegedly misleading consumers
FREMONT, Ohio (Legal Newsline) — Ohio Attorney General Mike DeWine announced a lawsuit Jan. 6 against two telemarketing groups for allegedly misleading consumers – Buckeye Impact Group LLC and Premier Design Group LLC.
Federal Trade Commission launches class action study amid growing fairness skepticism
WASHINGTON (Legal Newsline) – Claim handlers from eight different entities have been ordered by the Federal Trade Commission to provide the government with data illustrating the way they notify class members about settlement agreements and other
developments related to their cases.
Alleged mortgage relief scheme operator agrees to FTC ban
WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) announced Jan. 11 that Damian Kutzner, who allegedly helped operate a mortgage relief scheme that duped consumers and stole millions, has agreed to a court order banning him from the debt relief business.
L3 Technologies agrees to SEC cease-and-desist, to pay $1.6 million in penalties
WASHINGTON (Legal Newsline) — The Securities and Exchange Commission (SEC) announced Jan. 11 that L3 Technologies Inc., a contractor for U.S. and various foreign government agencies, will pay $1.6 million after allegations of failing to maintain proper books and records.
FTC seeks to bar businesses from selling allegedly fake payday loan debt portfolios
WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) announced Jan. 9 that it had charged Joel Jerome Tucker, SQ Capital LLC, JT Holdings Inc. and HPD LLC with selling portfolios of fake payday loan debts.
FTC OKs final order in CentraCare-SCMG acquisition following public comment
WASHINGTON (Legal Newsline) — The Federal Trade Commission (FTC) announced the approval Jan. 9 of a final order settling charges that CentraCare’s acquisition of St. Cloud Medical Group, also known as SCMG, would be anti-competitive. The approval comes following a public comment period.
Labor Department targets Vermont ESOP fiduciaries for allegedly violating ERISA
MONTPELIER, Vt. (Legal Newsline) — The U.S. Department of Labor (DOL) announced a lawsuit Jan. 5 against First Bankers Trust Services Inc. and Sonnax Industries Inc. and its owners for alleged violations of the Employee Retirement Income Security Act.
Autumn Health Care ordered to pay more than $167,000 after allegedly falsifying documents
ZANESVILLE, Ohio (Legal Newsline) — Ohio Attorney General Mike DeWine announced Jan. 9 that Autumn Health Care of Zanesville Inc. will repay thousands of dollars it had obtained through allegedly fraudulent measures.
Court rules climate change scientist's defamation suit can proceed
WASHINGTON (Legal Newsline) – Dr. Michael Mann’s defamation claims against Rand Simberg and Mark Steyn are now going forward in the District of Columbia Superior Court.
Baxter Healthcare to pay $18M in penalties, forfeiture
CHARLOTTE, N.C. (Legal Newsline) — The Department of Justice announced Jan. 12 that Baxter Healthcare Corporation (Baxter) will pay $18.158 million after allegations it failed to follow current Good Manufacturing Practices (GMP) while manufacturing sterile drug products in North Carolina.
Woman suing Chipotle for billions over photo has $100 to her name
DENVER (Legal Newsline) – Faced with unemployment and only $100 to her name, a California woman has sued fast-food giant Chipotle for $2.2 billion over the allegedly unlawful use of a photo.
Uber employee alleges breach of contract
SAN FRANCISCO (Legal Newsline) — A Washington man is suing Uber, alleging breach of contract and negligent misrepresentation.
Whole Foods alleged to have not paid bonuses under Gainsharing program
WASHINGTON (Legal Newsline) – A former and a current employee of Whole Foods allege they were not paid bonuses.
Man alleges HP falsely advertised feature on printers
LOS ANGELES (Legal Newsline) – A consumer alleges he purchased a printer that did not come with a feature that was advertised.
Wegmans Food Markets Inc. alleged to have not provided consumer report disclosure
ROCHESTER, N.Y. (Legal Newsline) – Two New York residents allege a supermarket chain obtained a consumer report when they applied for employment without including a disclosure.