LexisNexis® Legal Newsroom
Mealey's Securities/D&O Liability - Panel: Judge Properly Rejected Objection To Securities Settlement

NEW YORK - A federal district court did not err in rejecting a shareholder's objection to a securities class action lawsuit settlement because the settlement notice was adequate and the attorney fee award was "acceptable," a Second Circuit U.S. Court of Appeals panel ruled June 10 (J. Robert Arbuthnot, et al. v. Donald R. Pierson II, et al., No. 14-2135, 2nd Cir.).

Mealey's Litigation Procedure - $4.23 Million Settlement Proposed In Warner Music Group Intern Wage Dispute

NEW YORK - Interns suing Warner Music Group Corp. and Atlantic Recording Corp. (collectively, WMG) in the U.S. District Court for the Southern District of New York for unpaid wages filed a motion June 9 seeking preliminary approval of a $4.23 million settlement (Kyle Grant, et al. v. Warner Music Group Corp., et al., No. 13-4449, Justin Henry, et al. v. Warner Music Group Corp., et al., No. 13-5031, S.D. N.Y.).

Mealey's Toxic Tort/Environmental - Puerto Rico Dismisses Without Prejudice MTBE Claims Against Gasoline Companies

NEW YORK - The Commonwealth of Puerto Rico on June 10 stipulated to an order of dismissal without prejudice of some of its claims in against numerous defendants regarding groundwater allegedly contaminated by the gasoline additive methyl tertiary butyl ether (MTBE). The commonwealth retains the right to amend its complaint, however, to add claims for a regulatory enforcement action against the companies (In re: Methyl Tertiary Butyl Ether [MTBE] Products Liability Litigation, MDL 1358, No. 00-1898, Commonwealth of Puerto Rico v. Shell Oil Co., et al., No. 07 Civ. 10470, S.D. N.Y.).

Mealey's Securities/D&O Liability - JPMDL Consolidates Alibaba Securities Suits In New York Federal Court

WASHINGTON, D.C. - The Judicial Panel on Multidistrict Litigation on June 9 transferred two securities class action lawsuits to the U.S. District Court for the Southern District of New York and consolidated the actions with four similar actions already filed in the District Court, ruling that the actions meet statutory requirements for pretrial consolidation (In re Alibaba Group Holding Limited Securities Litigation, MDL No. 2631, JPMDL).

Mealey's PI/Product Liability - Delaware Court Asks New York To Weigh In On Asbestos-Insurance Dispute

WILMINGTON, Del. - The Delaware Supreme Court on June 10 certified questions to New York's top court about whether all sums or pro rata allocation governs an insurance dispute and how insurance policy exhaustion affects access to excess policies. The long-running dispute involves insurance coverage for asbestos claims against Viking Pump Inc. and Warren Pumps LLC (Viking Pump Inc. v. Century Indemnity Co., et al. Warren Pumps LLC v. Century Indemnity Co., et al., Viking Pump Inc. v. John Crane Inc., Houdaille Industries Inc., No. 518,2014; 523,2014; 525,2014; 528,2014, Del. Sup.; 2015 Del. LEXIS 278).

Mealey's Insurance - Delaware Court Asks New York To Weigh In On Asbestos-Insurance Dispute

WILMINGTON, Del. - The Delaware Supreme Court on June 10 certified questions to New York's top court about whether all sums or pro rata allocation governs an insurance dispute and how insurance policy exhaustion affects access to excess policies. The long-running dispute involves insurance coverage for asbestos claims against Viking Pump Inc. and Warren Pumps LLC (Viking Pump Inc. v. Century Indemnity Co., et al. Warren Pumps LLC v. Century Indemnity Co., et al., Viking Pump Inc. v. John Crane Inc., Houdaille Industries Inc., No. 518,2014; 523,2014; 525,2014; 528,2014, Del. Sup.; 2015 Del. LEXIS 278).

Mealey's Litigation Procedure - Magistrate Judge Declares Certain Reinsurance Discovery Material Confidential

SYRACUSE, N.Y. - A federal magistrate judge in New York on June 10 ordered that certain discovery material produced in a reinsurance dispute may be designated by the parties as confidential (Utica Mutual Insurance Company v. R&Q Reinsurance Company, No. 15-cv-00270, N.D. N.Y.).

Mealey's PI/Product Liability 2 Plaintiff Groups Appeal Order Shielding GM From Suit Liability

NEW YORK - A group of plaintiffs who seek damages for injuries suffered in ignition-switch-related accidents that occurred before the sale of the assets of General Motors Corp. (Old GM) to General Motors LLC (New GM) filed an appeal on June 10 from a bankruptcy court ruling that New GM is shielded from the majority of ignition-switch suits stemming from conduct on the part of Old GM (In re: Chapter 11 Motors Liquidation Co., et al., f/k/a General Motors Corp., et al., No. 09-50026, S.D. N.Y. Bkcy.).

Mealey's Toxic Tort/Environmental - Delaware Court Asks New York To Weigh In On Asbestos-Insurance Dispute

WILMINGTON, Del. - The Delaware Supreme Court on June 10 certified questions to New York's top court about whether all sums or pro rata allocation governs an insurance dispute and how insurance policy exhaustion affects access to excess policies. The long-running dispute involves insurance coverage for asbestos claims against Viking Pump Inc. and Warren Pumps LLC (Viking Pump Inc. v. Century Indemnity Co., et al. Warren Pumps LLC v. Century Indemnity Co., et al., Viking Pump Inc. v. John Crane Inc., Houdaille Industries Inc., No. 518,2014; 523,2014; 525,2014; 528,2014, Del. Sup.; 2015 Del. LEXIS 278).

Mealey's Insurance - Magistrate Judge Declares Certain Reinsurance Discovery Material Confidential

SYRACUSE, N.Y. - A federal magistrate judge in New York on June 10 ordered that certain discovery material produced in a reinsurance dispute may be designated by the parties as confidential (Utica Mutual Insurance Company v. R&Q Reinsurance Company, No. 15-cv-00270, N.D. N.Y.).

Mealey's IP/Tech - New York Federal Judge Sides With Copyright Defendant

ROCHESTER, N.Y. - Efforts by a copyright infringement plaintiff to hold a former licensee responsible for copying designs that were pitched and rejected failed June 10, when a New York federal judge instead granted the defendant summary judgment (Barbara McDonald v. K-2 Industries Inc. d/b/a Pavilion Gift Company, No. 10-6678, W.D. N.Y.; 2015 U.S. Dist. LEXIS 75205).

Mealey's PI/Product Liability - Judge Denies Motion For Reconsideration In Securities Class Action

NEW YORK - A federal judge in New York on June 5 denied motions for reconsideration filed by defendants in a securities class action lawsuit, ruling that the defendants' arguments fail as a matter of law (In re BioScrip Inc. Securities Litigation, No. 13-6922, S.D. N.Y.; 2015 U.S. Dist. LEXIS 73484).

Mealey's Litigation Procedure - Judge Denies Motion For Reconsideration In Securities Class Action

NEW YORK - A federal judge in New York on June 5 denied motions for reconsideration filed by defendants in a securities class action lawsuit, ruling that the defendants' arguments fail as a matter of law (In re BioScrip Inc. Securities Litigation, No. 13-6922, S.D. N.Y.; 2015 U.S. Dist. LEXIS 73484).

Mealey's Toxic Tort/Environmental - Insurer Sues Reinsurer Over Share Of Nearly $7M Environmental Cleanup

NEW YORK - An insurer told a federal court in New York on June 8 that its reinsurer has failed to pay its proportionate share of the nearly $7 million that the insurer says it has paid regarding the environmental cleanup of a river in Wisconsin (Continental Insurance Company v. Munich Reinsurance America, Inc., No. 15-cv-04413, S.D. N.Y.).

Mealey's Toxic Tort/Environmental - New York Federal Judge Denies Request To File Settlement Agreements Under Seal

BUFFALO, N.Y. - A New York federal judge on June 5 refused to allow excess insurers involved in an asbestos coverage dispute to file underlying settlement agreements under seal because the insurers presented no compelling reason to file the agreements under seal and because the agreements are relevant in resolving the claims at issue (Edna K. Mineweaser et al., v. OneBeacon America Insurance Co. et al., No. 14-585, W.D. N.Y.; 2015 U.S. Dist. LEXIS 73173).

Mealey's PI/Product Liability - N.Y. Court: Salvager's Demolition Not An Intended Use Of Product; No Duty Exists

NEW YORK - Demolition and dismantling of a product is not an intended or foreseeable use, freeing a manufacturer from liability to a man who claims exposure to asbestos while salvaging pumps, a New York appeals court held June 9 in finding a complaint should be dismissed (Bryan Hockler v. 3M Co., et al., No. 14981, N.Y. Sup. App., 1st Dept.; 2015 N.Y. App. Div. LEXIS 4679).

Mealey's Toxic Tort/Environmental - N.Y. Court: Salvager's Demolition Not An Intended Use Of Product; No Duty Exists

NEW YORK - Demolition and dismantling of a product is not an intended or foreseeable use, freeing a manufacturer from liability to a man who claims exposure to asbestos while salvaging pumps, a New York appeals court held June 9 in finding a complaint should be dismissed (Bryan Hockler v. 3M Co., et al., No. 14981, N.Y. Sup. App., 1st Dept.; 2015 N.Y. App. Div. LEXIS 4679).

Mealey's Insurance - New York Federal Judge Denies Request To File Settlement Agreements Under Seal

BUFFALO, N.Y. - A New York federal judge on June 5 refused to allow excess insurers involved in an asbestos coverage dispute to file underlying settlement agreements under seal because the insurers presented no compelling reason to file the agreements under seal and because the agreements are relevant in resolving the claims at issue (Edna K. Mineweaser et al., v. OneBeacon America Insurance Co. et al., No. 14-585, W.D. N.Y.; 2015 U.S. Dist. LEXIS 73173).

Mealey's Insurance - Insurer Sues Reinsurer Over Share Of Nearly $7M Environmental Cleanup

NEW YORK - An insurer told a federal court in New York on June 8 that its reinsurer has failed to pay its proportionate share of the nearly $7 million that the insurer says it has paid regarding the environmental cleanup of a river in Wisconsin (Continental Insurance Company v. Munich Reinsurance America, Inc., No. 15-cv-04413, S.D. N.Y.).

Mealey's Securities/D&O Liability - Judge Denies Motion For Reconsideration In Securities Class Action

NEW YORK - A federal judge in New York on June 5 denied motions for reconsideration filed by defendants in a securities class action lawsuit, ruling that the defendants' arguments fail as a matter of law (In re BioScrip Inc. Securities Litigation, No. 13-6922, S.D. N.Y.; 2015 U.S. Dist. LEXIS 73484).

Mealey's Litigation Procedure - 2nd Circuit: Jurisdiction Under CAFA Remains Despite Dismissal Of Class Claims

NEW YORK - A class complaint properly removed from state to federal court still belongs in federal court even if class claims are dropped after the removal, the Second Circuit U.S. Court of Appeals ruled June 4 (In Touch Concepts, d/b/a ZCOM v. Cellco Partnership, d/b/a Verizon Wireless, et al., No. 14-1622, 2nd Cir.; 2015 U.S. App. LEXIS 9293).

Mealey's Litigation Procedure - Judge Grants Preliminary Approval Of $1.95M Securities Class Action Settlement

BROOKLYN, N.Y. - A federal judge in New York on June 5 adopted a federal magistrate's report and recommendation that the federal judge grant preliminary approval of a settlement in a securities class action lawsuit, ruling that adopting the report and recommendation was proper because neither party objected to it (Waterford Township Police & Fire Retirement System v. Smithtown Bancorp, Inc., et al., Nos. 10-0864, E.D. N.Y.; 2015 U.S. Dist. LEXIS 73025).

Mealey's PI/Product Liability - Justice: Product Identification Testimony Keeps Tile Maker In Asbestos Action

NEW YORK - A defendant's "contorted interpretation" of the testimony and failure to account for existing asbestos-containing product inventory after it left the floor tile business keep it in an asbestos action, a New York justice held in an opinion posted June 5 (Bruce J. Bardone and Katherine Bardone v. A.O. Smith Water Products Co., et al., No. 190134/2014, N.Y. Sup., New York Co.; 2015 N.Y. Misc. LEXIS 1937).

Mealey's Toxic Tort/Environmental - Justice: Product Identification Testimony Keeps Tile Maker In Asbestos Action

NEW YORK - A defendant's "contorted interpretation" of the testimony and failure to account for existing asbestos-containing product inventory after it left the floor tile business keep it in an asbestos action, a New York justice held in an opinion posted June 5 (Bruce J. Bardone and Katherine Bardone v. A.O. Smith Water Products Co., et al., No. 190134/2014, N.Y. Sup., New York Co.; 2015 N.Y. Misc. LEXIS 1937).

Mealey's Securities/D&O Liability - Judge Grants Preliminary Approval Of $1.95M Securities Class Action Settlement

BROOKLYN, N.Y. - A federal judge in New York on June 5 adopted a federal magistrate's report and recommendation that the federal judge grant preliminary approval of a settlement in a securities class action lawsuit, ruling that adopting the report and recommendation was proper because neither party objected to it (Waterford Township Police & Fire Retirement System v. Smithtown Bancorp, Inc., et al., Nos. 10-0864, E.D. N.Y.; 2015 U.S. Dist. LEXIS 73025).