LexisNexis® Legal Newsroom
Mealey's Labor & Employment - No Stay In Wages Class Suit While California High Court Considers Questions

SACRAMENTO, Calif. - A California federal judge on Jan. 10 denied a motion to stay a certified class action seeking wages for time spent going through bag checks and unreimbursed business expenses pending decisions by the California Supreme Court in two cases concerning wages, finding "a fair possibility" of harm to class members with a stay (Jimmy Greer, et al. v. Dick's Sporting Goods, Inc., et al., No. 15-1063, E.D. Calif., 2018 U.S. Dist. LEXIS 4711).

Mealey's Litigation Procedure - Magistrate Judge Denies Protection On Reinsurance Participation Agreement

SACRAMENTO, Calif. - In two putative class actions, a California federal magistrate judge ruled Jan. 12 that insurers are not entitled to a protective order regarding submission of a reinsurance participation agreement (RPA) (Shasta Linen Supply Inc. v. Applied Underwriters Inc., et al., Nos. 16-00158 & 16-01211, E.D. Calif., 2018 U.S. Dist. LEXIS 6079).

Mealey's Insurance - Magistrate Judge Denies Protection On Reinsurance Participation Agreement

SACRAMENTO, Calif. - In two putative class actions, a California federal magistrate judge ruled Jan. 12 that insurers are not entitled to a protective order regarding submission of a reinsurance participation agreement (RPA) (Shasta Linen Supply Inc. v. Applied Underwriters Inc., et al., Nos. 16-00158 & 16-01211, E.D. Calif., 2018 U.S. Dist. LEXIS 6079).

Mealey's Insurance - Appeals Court: Perjury, Workers' Compensation Fraud Sentences Were Authorized

LOS ANGELES - A California appeals court panel on Jan. 11 found that a man found guilty of workers' compensation fraud should serve three years because the sentence is allowed by the California Insurance Code and because the defendant did not object to the sentence to the trial court judge (People v. Luis Hernandez, No. B279922, Calif. App., 2nd Dist., 5th Div., 2018 Calif. App. Unpub. LEXIS 265).

Mealey's Litigation Procedure - No Stay In Wages Class Suit While California High Court Considers Questions

SACRAMENTO, Calif. - A California federal judge on Jan. 10 denied a motion to stay a certified class action seeking wages for time spent going through bag checks and unreimbursed business expenses pending decisions by the California Supreme Court in two cases concerning wages, finding "a fair possibility" of harm to class members with a stay (Jimmy Greer, et al. v. Dick's Sporting Goods, Inc., et al., No. 15-1063, E.D. Calif., 2018 U.S. Dist. LEXIS 4711).

Mealey's Labor & Employment - Class Of Eddie Bauer Employees Certified In Bag Check Suit

SAN JOSE, Calif. - A California federal judge on Jan. 10 ruled that claims for unpaid minimum and overtime wages, wage statement violations and violations of California's unfair competition law (UCL) are appropriate for class treatment in a lawsuit brought by Eddie Bauer LLC employees who allege that they were denied pay for time spent undergoing bag checks before they left the stores (Stephanie Heredia v. Eddie Bauer LLC, No. 16-6236, N.D. Calif., 2018 U.S. Dist. LEXIS 4747).

Mealey's Antitrust/Unfair Competition - Class Of Eddie Bauer Employees Certified In Bag Check Suit

SAN JOSE, Calif. - A California federal judge on Jan. 10 ruled that claims for unpaid minimum and overtime wages, wage statement violations and violations of California's unfair competition law (UCL) are appropriate for class treatment in a lawsuit brought by Eddie Bauer LLC employees who allege that they were denied pay for time spent undergoing bag checks before they left the stores (Stephanie Heredia v. Eddie Bauer LLC, No. 16-6236, N.D. Calif., 2018 U.S. Dist. LEXIS 4747).

Mealey's Insurance - Majority: Court Did Not Err In Using ERISA's 'Unique' Abuse Of Discretion Standard

SAN FRANCISCO - A majority of a Ninth Circuit U.S. Court of Appeals panel on Jan. 9 affirmed a lower federal court's summary judgment ruling in favor of Blue Shield of California in an Employee Retirement Income Security Act lawsuit challenging the denial of a claim for medical benefits, finding the court did not err in applying ERISA's "unique" abuse of discretion standard (Krysten C. v. Blue Shield of California, No. 16-16958, 9th Cir., 2018 U.S. App. LEXIS 584).

Mealey's Insurance - Professional Services Exclusion Does Not Bar Coverage, Federal Judge Rules

SAN JOSE, Calif. - Ruling on dueling summary judgment motions in an insurer's lawsuit seeking equitable contribution from a second insurer, a California federal judge on Jan. 9 found that two underlying lawsuits against Narconon International and its affiliates triggered commercial general liability and improper sexual conduct coverage and, therefore, the second insurer also has a duty to defend (Western World Insurance Company v. Nonprofits Insurance Alliance of California, No. 14-04466, N.D. Calif., 2018 U.S. Dist. LEXIS 4720).

Mealey's Insurance - Claims In Bad Faith Suit Found To Be Preempted By Federal Law

SAN FRANCISCO - Insureds' claims in an insurance breach of contract and bad faith lawsuit over coverage under a homeowners insurance and a standard flood insurance policy (SFIP) are preempted by federal law, a federal judge in California ruled Jan. 10 in granting the insurer's motion to dismiss (Alicia Martin, et al. v. CSAA Insurance Exchange, No. 17-4066, N.D. Calif., 2018 U.S. Dist. LEXIS 4675).

Mealey's Litigation Procedure - Class Of Eddie Bauer Employees Certified In Bag Check Suit

SAN JOSE, Calif. - A California federal judge on Jan. 10 ruled that claims for unpaid minimum and overtime wages, wage statement violations and violations of California's unfair competition law (UCL) are appropriate for class treatment in a lawsuit brought by Eddie Bauer LLC employees who allege that they were denied pay for time spent undergoing bag checks before they left the stores (Stephanie Heredia v. Eddie Bauer LLC, No. 16-6236, N.D. Calif., 2018 U.S. Dist. LEXIS 4747).

Mealey's Insurance - Amici Praise Pregnancy Centers' Efforts, Bemoan Abortion Disclosure Law

WASHINGTON, D.C. - Women helped by crisis pregnancy centers and 23 such centers based in Illinois sang the praises of the volunteer organizations in amicus curiae briefs filed with the U.S. Supreme Court on Jan. 11 in an effort to bolster a Jan. 8 opening brief challenging a California law requiring the centers to disclose the availability of abortions (NIFLA, et al. v. Xavier Becerra, et al., No. 16-1140, U.S. Sup.).

Mealey's Insurance - Judge Finds Insurer Did Not Improperly Deny Coverage In Violation Of UCL

SACRAMENTO, Calif. - After finding that an insurer did not violate California's unfair competition law (UCL) when it denied coverage for injuries suffered by an insured in a vehicle accident that had already been paid under a medical plan, a California federal judge on Jan. 8 granted the insurer's motion to dismiss the claim against it without leave to amend (Deborah Quattrocchi v. Allstate Indemnity Company, No. 2:17-cv-01578, E.D. Calif., 2018 U.S. Dist. LEXIS 3922).

Mealey's Antitrust/Unfair Competition - Judge Finds Insurer Did Not Improperly Deny Coverage In Violation Of UCL

SACRAMENTO, Calif. - After finding that an insurer did not violate California's unfair competition law (UCL) when it denied coverage for injuries suffered by an insured in a vehicle accident that had already been paid under a medical plan, a California federal judge on Jan. 8 granted the insurer's motion to dismiss the claim against it without leave to amend (Deborah Quattrocchi v. Allstate Indemnity Company, No. 2:17-cv-01578, E.D. Calif., 2018 U.S. Dist. LEXIS 3922).

Mealey's PI/Product Liability - California Appeals Court Says Flagstone Seller Cannot Obtain Attorney Fees

LOS ANGELES - A building materials supplier accused of selling defective flagstone to a couple's masonry subcontractor cannot obtain attorney fees from the plaintiffs after prevailing on its breach of warranty claim, a California appeals panel ruled Jan. 9, holding that an agreement between the seller and the subcontractor only conferred a right to the parties in the contract to those fees (Jeffrey Prince, et al. v. Thompson Building Materials, No. B280813, Calif. App., 2nd Dist., 2nd Div., 2018 Calif. App. Unpub. LEXIS 150).

Mealey's IP/Tech - Federal Circuit Affirms: Malware Detection Patent Is Patent-Eligible

WASHINGTON, D.C. - Although upholding a California federal judge's determination of patent eligibility, the Federal Circuit U.S. Court of Appeals on Jan. 10 deemed a defendant entitled to judgment as a matter of law (JMOL) with regard to a separate patent on grounds that an accused malware detection product does not perform a claimed "policy index" limitation (Finjan Inc. v. Blue Coat Systems Inc., No. 16-2520, Fed. Cir.).

Mealey's Labor & Employment - Car Dealership Tells High Court That 'Service Advisors' Are Exempt From Overtime

WASHINGTON, D.C. - Car dealership "service advisors" are salesmen primarily engaged in "serving automobiles" and, as a result, are exempt from receiving overtime wages under the Fair Labor Standards Act (FLSA), a California dealership argues in its reply brief filed Jan. 8 in the U.S. Supreme Court (Encino Motorcars, LLC v. Hector Navarro, et al., No. 16-1362, U.S. Sup.).

Mealey's Litigation Procedure - UnitedHealth, Insureds Battle Over Lactation Coverage Requirements In ACA

SAN FRANCISCO - Insureds create standards for lactation support services the Patient Protection and Affordable Care Act (ACA) does not impose in an attempt to save their suit, an insurance group told a California federal judge on Jan. 5 in support of its motion for summary judgment (Rachel Condry, et al. v. UnitedHealth Group Inc., et al., No. 17-183, N.D. Calif.).

Mealey's Insurance - UnitedHealth, Insureds Battle Over Lactation Coverage Requirements In ACA

SAN FRANCISCO - Insureds create standards for lactation support services the Patient Protection and Affordable Care Act (ACA) does not impose in an attempt to save their suit, an insurance group told a California federal judge on Jan. 5 in support of its motion for summary judgment (Rachel Condry, et al. v. UnitedHealth Group Inc., et al., No. 17-183, N.D. Calif.).

Mealey's Litigation Procedure - Judge Compels UCL, Fraud Claim Against Pharma Company To Arbitration In Hong Kong

SAN DIEGO - After finding that a California natural plant company's claims for violation of California's unfair competition law (UCL) and fraud against a group of companies and their officer in relation to a distribution agreement arose directly under an underlying contract, a California federal judge on Jan. 8 compelled the claims against one business entity to arbitration in Hong Kong (Everest Biosynthesis Group LLC, dba Natural Plant Extracts v. Biosynthesis Pharma Group Limited, et al., No. 17cv1466, S.D. Calif., 2018 U.S. Dist. LEXIS 3258).

Mealey's Antitrust/Unfair Competition - Judge Compels UCL, Fraud Claim Against Pharma Company To Arbitration In Hong Kong

SAN DIEGO - After finding that a California natural plant company's claims for violation of California's unfair competition law (UCL) and fraud against a group of companies and their officer in relation to a distribution agreement arose directly under an underlying contract, a California federal judge on Jan. 8 compelled the claims against one business entity to arbitration in Hong Kong (Everest Biosynthesis Group LLC, dba Natural Plant Extracts v. Biosynthesis Pharma Group Limited, et al., No. 17cv1466, S.D. Calif., 2018 U.S. Dist. LEXIS 3258).

Mealey's Health Law - UnitedHealth, Insureds Battle Over Lactation Coverage Requirements In ACA

SAN FRANCISCO - Insureds create standards for lactation support services the Patient Protection and Affordable Care Act (ACA) does not impose in an attempt to save their suit, an insurance group told a California federal judge on Jan. 5 in support of its motion for summary judgment (Rachel Condry, et al. v. UnitedHealth Group Inc., et al., No. 17-183, N.D. Calif.).

Mealey's Litigation Procedure - Agency's Records Shielded By Deliberative Process Privilege, Panel Rules

SACRAMENTO, Calif. - A state labor agency's records related to the drafting of legislation, including the identities of individuals consulted during drafting, are protected from disclosure under the California Public Records Act (PRA), a California appeals panel ruled Jan. 8, deeming such information exempted under the deliberative process privilege and the work product doctrine (Labor and Workplace Development Agency v. Fowler Packing Company Inc., et al., No. C083180, Calif. App., 3rd Dist., 2018 Cal. App. LEXIS 15).

Mealey's Banking & Finance - Panel Finds Loan Was Not Void, Affirms Dismissal Of UCL, Fraud Claims

SANTA ANA, Calif. - A California appeals court on Jan. 5 affirmed the dismissal of claims for violation of California's unfair competition law (UCL), fraud and other claims asserted against lenders and a loan servicer, finding that borrowers failed to show that their original loan was void (Andrea E. Lucas, et al. v. Deutsche Bank National Trust Company, et al., No. G053165, Calif. App., 4th Dist., Div. 3, 2018 Cal. App. Unpub. LEXIS 114).

Mealey's Litigation Procedure - Judge Allows UCL, CLRA Class Claims Against Dive Equipment Maker To Proceed

SAN DIEGO - A California federal judge on Jan. 8 found that purchasers of allegedly defective dive computers sufficiently alleged facts to allow their claims for violation of California's unfair competition law (UCL) and Consumers Legal Remedies Act (CLRA) to survive dismissal, but granted the maker of the equipment's motion to strike a third-party complaint against it (Ralph A. Huntzinger, et al. v. Aqua Lung America Inc., et al., No. 15cv1146, S.D. Calif., 2018 U.S. Dist. LEXIS 3222).