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Class Action
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January 28, 2025
OpenAI Must Hand Over GPT-4 Dataset In Authors' IP Fight
A California federal judge on Tuesday ordered OpenAI Inc. to produce a dataset used to train the company's flagship GPT-4 model to counsel representing a proposed class of authors in their high-stakes copyright infringement battle, rejecting OpenAI's argument that handing over the dataset poses too many security issues.
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January 28, 2025
'Extraordinary' $630M CDK Deal Wraps Auto Dealer Data MDL
A certified class of car dealership app makers is seeking preliminary approval for the final settlement in the years-old web of cases accusing CDK Global of monopolizing auto dealership management software, with a $630 million Wisconsin federal court deal that puts a $140 million premium on estimated damages.
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January 28, 2025
SoCal Edison Faces More Suits Over Eaton Blaze
At least two more lawsuits were filed in California state court against Southern California Edison, alleging the investor-owned public utility is responsible for sparking the devastating Eaton Fire that began Jan. 7 and destroyed most of Altadena, California, killing at least 17 people.
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January 28, 2025
Pot Co. Faces New THC Potency Class Action In Illinois
A pair of Illinois men on Tuesday filed a new class action alleging a family of cannabis companies is selling products that exceed the state's limits on THC, joining a number of similar suits filed in the same district by the same attorneys.
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January 28, 2025
Arguments Lined Up Against NCAA's $2.8B NIL Settlement
A prominent plaintiffs-side sports attorney is joining the Department of Justice and a handful of athletes in trying to stop the NCAA's $2.78 billion class action settlement with college athletes over name, image and likeness rights, which he says would impose "a price fix [that] harms athletes."
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January 28, 2025
7th Circ. Considers Faith Of 2-Step Collective Certification
A Seventh Circuit panel considered Tuesday whether to keep or ditch the two-step certification process for collectives, with one judge calling Eli Lilly & Co.'s decertification argument in an age discrimination suit "spectacularly wrong" and another asking how tolling could change.
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January 28, 2025
'Right To Hug' Case In Michigan Draws ACLU Support
The American Civil Liberties Union and 15 other organizations urged a Michigan appeals court to hold that children have a right to in-person visits with their incarcerated parents, describing in a friend-of-the-court brief the long-lasting psychological effects of isolating child from parent.
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January 28, 2025
Calif. Panel Says Workers Can Be Added To $935K Wage Deal
A California state appeals court declined to upend an order allowing the reopening of a $935,000 settlement that resolved workers' wage and hour lawsuit against an aerospace company, saying the employer failed to show that unionized employees were correctly exempted from the deal.
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January 28, 2025
Cricket News Site Says Privacy Suit Belongs In Arbitration
The operator of cricket news site Cricbuzz has told a New Jersey federal judge that a data privacy suit by two users should be sent to arbitration or dismissed outright, since its terms of service contain a clause in which viewers agree to mandatory arbitration.
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January 28, 2025
Trader Joe's Accused Of Badly Stocked 401(k), High Fees
Grocery chain Trader Joe's mismanaged its retirement plan for employees to the tune of tens of millions of dollars, according to a potential class action filed Tuesday in Massachusetts federal court.
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January 28, 2025
Morgan & Morgan Keeps Win To Arbitrate Malpractice Claims
A Georgia federal judge on Tuesday declined to reconsider a ruling granting Morgan & Morgan PA's bid to compel arbitration in a former client's legal malpractice case or to send the dispute back to state court.
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January 28, 2025
Connecticut Bank Customer Drops Overdraft Class Claims
Connecticut's Fairfield County Bank has dodged a proposed class action accusing it of unlawfully charging fees on "authorize positive, settle negative" transactions, court records show.
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January 27, 2025
Pilgrim's Pride, Investors Ink $41.5M Price-Fixing Deal
Investors in Pilgrim's Pride asked a Colorado federal judge Friday to greenlight a settlement with the meat company and its former CEO, who have agreed to pay $41.5 million to resolve long-running claims over misrepresentations and price-fixing in the broiler chicken market that led to artificially inflated stock prices.
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January 27, 2025
Virtu, Insiders Sued In Del. Over Stock Buybacks
Stockholders of Virtu Inc. have sued the global financial services venture's top brass in Delaware's Court of Chancery, alleging they diverted roughly $400 million from public stockholders through share repurchases that took advantage of the company's two-tiered corporate structure.
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January 27, 2025
Radiology Co.'s Ex-Workers Win Class Cert. In ESOP Suit
A Colorado federal judge on Friday certified an ERISA class action accusing a radiology company and its trustee of overcharging its employee stock ownership plan for purchase of company stock.
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January 27, 2025
SoCal Edison To Leave Power Off Amid Eaton Fire Litigation
Southern California Edison agreed Monday that it won't re-energize the power lines leading to the site of this month's deadly Eaton Fire for three more weeks, after plaintiffs' firm Edelson PC obtained a video that appears to show electrical sparks near the utility's equipment just before the fire began.
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January 27, 2025
Advertising Platform's Changes Hurt Investors, Suit Says
Advertising platform Cardlytics Inc. faces a proposed class action alleging that it failed to warn shareholders that fast-paced changes to its technology could impact its ability to deliver on advertiser budgets, hurting investors when it disclosed an associated earnings miss.
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January 27, 2025
4th Circ. Says Servicemembers Law Doesn't Bar Arbitration
The Fourth Circuit ruled Monday that the Servicemembers Civil Relief Act, a federal law that grants financial protections to members of the U.S. armed forces, does not override mandatary arbitration agreements in lenders' contracts with military borrowers.
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January 27, 2025
Takeda Pushes Meijer Antitrust Suit Into Arbitration
Meijer is going to have to arbitrate its claims that Takeda Pharmaceutical broke antitrust law by cutting a pay-for-delay deal with Par Pharmaceuticals to keep a generic version of Takeda's anti-constipation drug Amitiza off the market for several years.
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January 27, 2025
Allstate Beats Plan Participants' $70M Poor-Performance Suit
An Illinois federal judge handed Allstate a pretrial win Monday over retirement plan participants' claim that the insurer cost them nearly $70 million by holding on to poor-performing funds, saying the plaintiffs' "apples and oranges" comparisons will not sway a jury in their favor.
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January 27, 2025
HSBC Bankers Fall Short Of Pay Class Cert., Judge Suggests
A New York federal magistrate judge recommended that proposed classes of HSBC Bank personal bankers be denied class certification for allegations that the company shortchanged them on pay in various ways, finding the evidence presented to establish commonality of the claims is full of hearsay.
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January 27, 2025
Attys Secure $967K Fee Award In Magna 401(k) Settlement
Lawyers for Magna International workers will take home nearly a million dollars in attorney fees as part of a $2.9 million class settlement over allegedly flawed investment options and fees in the company's employee retirement plan, after a Michigan federal judge signed off on the fees Monday.
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January 27, 2025
2 Firms Want To Co-Lead Humacyte Investor Suit
Hagens Berman Sobol Shapiro LLP and Pomerantz LLP have asked to co-lead a proposed class of Humacyte Inc. investors alleging that the company failed to disclose quality assurance issues at its manufacturing facilities, which delayed regulatory review for its bioengineered blood vessel product candidate.
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January 27, 2025
Judge Refuses To Stop Amazon Data Suit In Ill. State Court
A Delaware federal judge refused on Monday to block a lawsuit in Illinois state court accusing Amazon Web Services of illegally collecting voice data, saying the Illinois privacy case involves different claims and parties than the federal case, which was dismissed because some plaintiffs lacked standing.
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January 27, 2025
Yen Libor-Rigging Case Lands Before 2nd Circ. Again
Institutional investors urge the Second Circuit to again revive a lawsuit accusing Bank of America, UBS and others of rigging the interbank borrowing rate for Japanese yen, arguing in a brief Monday that a lower court judge dismissed the case on "obviously erroneous grounds with little (if any) supporting analysis."
Expert Analysis
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Navigating The Complexities Of Cyber Incident Reporting
When it comes to cybersecurity incident response plans, the uptick in the number and targets of legal and regulatory actions emphasizes the necessity for businesses to document the facts underlying the assumptions, complexities and obstacles of their decisions during the incident response, say attorneys at Troutman Pepper.
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Aviation Watch: Boeing Plea Agreement May Not Serve Public
The proposed plea agreement between the U.S. Department of Justice and Boeing — the latest outgrowth of the company's 737 Max travails — is opposed by crash victims' families, faces an uncertain fate in court, and may ultimately serve no beneficial purpose, even if approved, says Alan Hoffman, a retired attorney and aviation expert.
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Litigation Inspiration: Honoring Your Learned Profession
About 30,000 people who took the bar exam in July will learn they passed this fall, marking a fitting time for all attorneys to remember that they are members in a specialty club of learned professionals — and the more they can keep this in mind, the more benefits they will see, says Bennett Rawicki at Hilgers Graben.
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Opinion
AI May Limit Key Learning Opportunities For Young Attorneys
The thing that’s so powerful about artificial intelligence is also what’s most scary about it — its ability to detect patterns may curtail young attorneys’ chance to practice the lower-level work of managing cases, preventing them from ever honing the pattern recognition skills that undergird creative lawyering, says Sarah Murray at Trialcraft.
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A Class Action Trend Tests Limit Of Courts' Equity Powers
A troubling trend has developed in federal class action litigation as some counsel and judges attempt to push injunctive relief classes under Rule 23(b)(2) of the Federal Rules of Civil Procedure beyond the traditional limits of federal courts' equitable powers, say attorneys at Jones Day.
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What To Know About Latest Calif. Auto-Renewal Law Update
While businesses have about nine months to prepare before the recently passed amendment to California's automatic renewal law takes effect, it’s not too early to begin working on compliance efforts, including sign-up flow reviews, record retention updates and marketing language revisions, say Gonzalo Mon and Beth Chun at Kelley Drye.
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Class Actions At The Circuit Courts: September Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy identifies practice tips from four recent class certification rulings involving denial of Medicare reimbursements, automobile insurance disputes, veterans' rights and automobile defects.
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Series
Round-Canopy Parachuting Makes Me A Better Lawyer
Similar to the practice of law, jumping from an in-flight airplane with nothing but training and a few yards of parachute silk is a demanding and stressful endeavor, and the experience has bolstered my legal practice by enhancing my focus, teamwork skills and sense of perspective, says Thomas Salerno at Stinson.
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And Now A Word From The Panel: The MDL Map
An intriguing yet unpredictable facet of multidistrict litigation practice is venue selection for new MDL proceedings, and the Judicial Panel on Multidistrict Litigation considers many factors when it assigns an MDL venue, says Alan Rothman at Sidley Austin.
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Why Now Is The Time For Law Firms To Hire Lateral Partners
Partner and associate mobility data from the second quarter of this year suggest that there's never been a better time in recent years for law firms to hire lateral candidates, particularly experienced partners — though this necessitates an understanding of potential red flags, say Julie Henson and Greg Hamman at Decipher Investigative Intelligence.
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What 7th Circ. Collective Actions Ruling Means For Employers
With the Seventh Circuit’s recent Fair Labor Standards Act ruling in Vanegas v. Signet Builders, a majority of federal appellate courts that have addressed the jurisdictional scope of employee collective actions now follow the U.S. Supreme Court's limiting precedent, bolstering an employer defense in circuits that have yet to weigh in, say attorneys at Jackson Lewis.
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Considering Possible PR Risks Of Certain Legal Tactics
Disney and American Airlines recently abandoned certain litigation tactics in two lawsuits after fierce public backlash, illustrating why corporate counsel should consider the reputational implications of any legal strategy and partner with their communications teams to preempt public relations concerns, says Chris Gidez at G7 Reputation Advisory.
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How Labeling And Testing May Help Reduce PFAS Litigation
As regulators take steps to reduce consumers’ exposure to per- and polyfluoroalkyl substances, also known as forever chemicals, companies can take a proactive approach to mitigating litigation risks not only by labeling their products transparently, but also by complying with testing and marketing standards, says Sarah La Pearl at Segal McCambridge.
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It's No Longer Enough For Firms To Be Trusted Advisers
Amid fierce competition for business, the transactional “trusted adviser” paradigm from which most firms operate is no longer sufficient — they should instead aim to become trusted partners with their most valuable clients, says Stuart Maister at Strategic Narrative.
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Behind 3rd Circ. Ruling On College Athletes' FLSA Eligibility
The Third Circuit's decision that college athletes are not precluded from bringing a claim under the Fair Labor Standards Act raises key questions about the practical consequences of treating collegiate athletes as employees, such as Title IX equal pay claims and potential eligibility for all employment benefits, say attorneys at Debevoise.