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Class Action
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May 20, 2025
'Not A Denny's': 5th Circ. Judge Chides High Court Stopwatch
The Fifth Circuit on Tuesday expedited a case brought by Venezuelans who are accused of being gang members and who are challenging the use of a 1798 wartime law to deport them to an El Salvador prison, with one judge chastising the U.S. Supreme Court's majority for allowing the appeal to move forward.
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May 20, 2025
Flo Users Get Class Cert. In Google, Meta Data-Sharing Suit
A California federal judge has granted class status to users of the menstrual cycle tracking app developed by Flo Health Inc. in a suit accusing the company of unlawfully sharing their personal health information with Google and Meta, finding that the defendants' opposition to this move lacked clarity and support.
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May 20, 2025
Cigna Accused Of Mismanaging Retirement Plan Funds
Cigna has been unlawfully putting its own interests above those of a 401(k) plan's participants by using forfeited plan funds to reduce company contributions, despite experiencing "significant financial performance," a putative class action filed Tuesday in Pennsylvania federal court alleges.
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May 20, 2025
19-Year-Old Mass. Student Admits To PowerSchool Hacking
A 19-year-old student at Assumption University in Worcester, Massachusetts, has pled guilty to hacking into the networks of two companies, including education software and cloud storage company PowerSchool Group LLC, and extorting them for ransoms, the U.S. Department of Justice announced Tuesday.
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May 20, 2025
Prudential Investors Seek OK Of $10M Derivative Settlement
Shareholders of Prudential Financial have asked for final approval for a $10 million deal ending derivative claims that the company concealed that it would need to revise its cost expectations for certain life insurance policies it had acquired.
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May 20, 2025
Judge Questions Bank's Role In Jail Debit Card Fee Dispute
A federal magistrate judge in Washington state signaled Tuesday she might advance a debit card fee class action against a Missouri bank to trial, suggesting there's still a factual dispute as to whether the prepaid cards were forced on people trying to regain access to their money after being released from correctional facilities.
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May 20, 2025
Cancer Drug Co. Beats Investor Suit Over FDA Rejection
Cancer drug company Checkpoint Therapeutics Inc. has permanently escaped a shareholder suit alleging it understated the likelihood the U.S. Food and Drug Administration would refuse approving Checkpoint's lead product candidate, with a New York federal judge ruling company statements were not shown to be false or made with scienter.
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May 20, 2025
5 Ohio Cities Say Hyundai, Kia Negligence Claims Still In Play
Five Ohio cities have told a California federal judge that Hyundai and Kia cannot try to circumvent the Ninth Circuit and scuttle negligence claims in consolidated litigation alleging the automakers knowingly sold vehicles with design flaws that spawned a car-theft crime wave.
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May 20, 2025
Tech Co. AppLovin's Brass Face 'Shadow Downloads' Claims
Executives and directors of technology company AppLovin face a shareholder derivative suit alleging they breached their fiduciary duties after the company allegedly inflated its download numbers, a key performance metric, by means of manipulative practices.
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May 20, 2025
Ill. Judge Won't Toss Cannabis Payment Venture Dispute
An Illinois federal judge refused on Tuesday to toss out a shareholder's derivative lawsuit alleging his business partner usurped an opportunity to provide payment services to cannabis giant Cresco Labs, rejecting the other 50% shareholder's argument that the court lacked diversity jurisdiction in the case.
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May 20, 2025
Keurig Says Google Ruling Doesn't Back Antitrust Claims
Keurig coffee pod buyers who have accused the company of anticompetitive behavior mischaracterized a recent court ruling in an antitrust case against Google to make their own case look better, the company has told the New York federal court overseeing the long-running litigation.
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May 20, 2025
Medical Supply Co. Faces Ga. Suit Over Unwanted Texts
A Florida-based medical supply company has been hit with a proposed Telephone Consumer Protection Act class action in Georgia federal court by a man who says he received several promotional text messages from the company after he added himself to the National Do Not Call Registry.
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May 20, 2025
Elf Beauty Brass Face Investor Suit Over Declining Demand
Executives and directors of cosmetics company e.l.f. Beauty were hit with a shareholder derivative suit accusing them of concealing declining consumer demand, which led to a 55% decline in stock value as information regarding waning revenues and increasing inventory emerged.
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May 20, 2025
4th Circ. Won't Revive Md. Retirees' Drug Benefits Case
The Fourth Circuit backed Maryland's defeat of a proposed class action alleging it broke promises made to retirees when it transitioned their prescription drug benefits to Medicare Part D, saying Tuesday that a lower court was right to toss the case.
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May 20, 2025
BofA Class In Out-Of-Network ATM Fee Fight Narrowed
A California federal judge tweaked the definition of a class of account holders suing Bank of America over out-of-network fees for balance inquiries at certain ATMs, agreeing to exclude certain members from the class but largely rejecting the bank's qualms with the class certification.
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May 20, 2025
Nextdoor Beats Investor Suit Over Post-SPAC Profitability
A California federal judge has tossed a shareholder class action that alleges hyperlocal social networking service Nextdoor Holdings Inc. misled investors about its projected profitability when combining with a special purpose acquisition company, saying the suit's plaintiff never owned or sold the company's securities before the merger, among other things.
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May 20, 2025
J&J Workers Reassert Drug Costs Resulted In Concrete Harm
Johnson & Johnson workers are urging a New Jersey federal court to maintain their proposed class claims that the company botched the management of prescription drug costs in its employee healthcare plan by allowing excessive pharmacy costs, asserting that company mismanagement resulted in concrete harm.
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May 20, 2025
Meta Asks To Toss Claim That Illegal Tool Scraped Tax Info
Meta's tracking tool did not violate state privacy law, the company argued, urging a California federal court to toss a claim calling the tool an unauthorized recording device that collected sensitive information from tax filing websites H&R Block, TaxAct and Tax Slayer.
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May 20, 2025
The Alien Enemies Act Cases: A Roundup
Litigation over President Donald Trump’s March 14 proclamation invoking the 1798 Alien Enemies Act has moved at breakneck speed, spurring two U.S. Supreme Court decisions already while at least five different districts weigh his authority to invoke the wartime law. Here, Law360 catches you up on major developments in the litigation.
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May 20, 2025
Biotech Stockholders Challenge Director Pay Levels In Del.
Investors in biotech company Intellia Therapeutics Inc. stock opened a derivative suit in Delaware's Court of Chancery on Tuesday seeking recovery of allegedly excessive compensation paid to non-employee directors for multiple years without an approval vote by stockholders.
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May 20, 2025
Feds Ignored Order With South Sudan Removals, Judge Told
Lawyers for immigrants at risk of being deported to countries where they have no prior ties and may face harm told a Boston federal judge Tuesday that the government removed at least two class members to South Sudan in violation of a court order.
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May 20, 2025
Ex-Worker Accuses TIAA Of Mismanaging 401(k) Plans
An ex-worker accused the Teachers Insurance and Annuity Association of America of violating federal benefits law by keeping costly and underperforming fund offerings in its two employee 401(k) retirement plans, in a proposed class action lodged Tuesday in New York federal court.
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May 20, 2025
Investor Seeks Final OK For $41.5M Pilgrim's Pride Settlement
A proposed class of investors asked a Colorado federal judge for a final sign-off on a $41.5 million settlement with Pilgrim's Pride Corp. to resolve claims they artificially inflated stock prices with a price-fixing scheme targeted at the broiler chicken market, with $13.7 million of the deal going to attorney fees.
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May 20, 2025
TikTok's Bid To Get NY Docs From AG Sunk By New State Law
A New York state judge on Tuesday denied TikTok's bid to force the New York attorney general to turn over agency documents related to claims the app harms children's mental health, relying on an amendment tucked into the state's budget that was signed into law this month.
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May 20, 2025
Ex-NCAA Basketball Players Appealing NIL Denial To 2nd Circ.
A group of 16 former men's basketball players suing the NCAA for unrealized name, image and likeness compensation filed notice Monday that they plan to appeal to the Second Circuit a New York federal court's decision to toss their lawsuit.
Expert Analysis
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Notable Q4 Updates In Insurance Class Actions
In a continuation of trends in property and casualty insurance class actions, last quarter insurers struggled with defending the merits and class certification of sales tax and fee suits, and labor depreciation cases, but succeeded in dismissing privacy class actions at the pleading stages, says Mathew Drocton at BakerHostetler.
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Chancery Ruling Holds Authorized Share Takeaways For Cos.
The Delaware Chancery Court’s recent ruling in Salama v. Simon resolved statutory ambiguity in favor of boards seeking authorized share increases, and has important implications for litigators presenting extrinsic evidence in support of contract or statutory interpretation arguments, says Robin Wechkin at Sidley.
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How Courts Can Filter Nonmeritorious Claims In Mass Torts
Nonmeritorious claims have been a key obstacle to settlement in many recent high-profile mass torts, but courts may be able to use tools they already have to solve this problem, says Samir Parikh at Wake Forest University.
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Series
Racing Corvettes Makes Me A Better Lawyer
The skills I use when racing Corvettes have enhanced my legal practice in several ways, because driving, like practicing law, requires precision, awareness and a good set of brakes — complete with the wisdom to know how and when to use them, says Kat Mateo at Olshan Frome.
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Bill Would Bring Welcome Clarity To Del. Corporate Law
A recently proposed bill in Delaware that would provide greater predictability for areas including director independence and controlling stockholders reflects prudential adjustments consistent with the state's long history of refining and modernizing its corporate law, say attorneys at Simpson Thacher.
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Opinion
At 100, Federal Arbitration Act Is Used To Thwart Justice
The centennial of the Federal Arbitration Act, a law intended to streamline dispute resolution in commercial agreements, is an opportunity to reflect on its transformation from a tool of fairness into a corporate shield that impedes the right to a fair trial, says Lori Andrus at the American Association for Justice.
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Opinion
Attorneys Must Act Now To Protect Judicial Independence
Given the Trump administration's recent moves threatening the independence of the judiciary, including efforts to impeach judges who ruled against executive actions, lawyers must protect the rule of law and resist attempts to dilute the judicial branch’s authority, says attorney Bhavleen Sabharwal.
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Rethinking 'No Comment' For Clients Facing Public Crises
“No comment” is no longer a cost-free or even a viable public communications strategy for companies in crisis, and counsel must tailor their guidance based on a variety of competing factors to help clients emerge successfully, says Robert Bowers at Moore & Van Allen.
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Del. Supreme Court TripAdvisor Ruling May Limit 'MFW Creep'
The Delaware Supreme Court's recent Maffei v. Palkon ruling regarding TripAdvisor's proposed reincorporation to Nevada potentially signals a turning point in the trend of expanding the protections from Kahn v. M&F Worldwide to other types of transactions, says Andrew J. Haile at Elon University.
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Partially Faulting Airline For 401(k) ESG Focus Belies ERISA
A Texas federal court's recent finding that American Airlines breached its fiduciary duty of loyalty, but not of prudence, by letting its 401(k) pursue environmental, social and governance investments, misinterprets the Employee Retirement Income Security Act's standard of care, says Jeff Mamorsky, a Cohen & Buckmann partner and ERISA drafter.
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How Design Thinking Can Help Lawyers Find Purpose In Work
Lawyers everywhere are feeling overwhelmed amid mass government layoffs, increasing political instability and a justice system stretched to its limits — but a design-thinking framework can help attorneys navigate this uncertainty and find meaning in their work, say law professors at the University of Michigan.
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Opinion
Weight Drug Suits Highlight Need For Legal Work On Safety
The rapid ascent of glucagon-like peptide-1 receptor agonists like Ozempic has revolutionized diabetes management and weight loss — but legal wrangling over issues including off-label prescriptions, side effects and compounded versions underscores lawyers' roles in protecting patient safety, says attorney Gregg Goldfarb.
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Del. Justices' D&O Ruling Clarifies 'Related' Claim Analysis
In its recent decision in the Alexion Pharmaceuticals coverage case, the Delaware Supreme Court adopted a "meaningful linkage" standard for relatedness analysis, providing further guidance to Delaware policyholders on how to navigate those directors and officers insurance disputes, say attorneys at Hunton.
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Class Actions At The Circuit Courts: February Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy discusses five federal appellate court class certification decisions and identifies practice tips from cases involving breach of life insurance contracts, constitutional violations of inmates and more.
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Navigating The Trump Enviro Rollback And Its Consequences
The Trump administration's rapid push for environmental deregulation will lead to both opportunities and challenges, requiring companies to adopt strategic approaches to a complex, unpredictable legal environment in which federal rollbacks are countered by increased enforcement by states, and risks of citizen litigation may be heightened, say attorneys at Beveridge & Diamond.