LexisNexis® Legal Newsroom
Mealey's Banking & Finance - Federal Judge Dismisses Foreclosure-Related Claims As Barred By Rooker-Feldman

CHICAGO - An Illinois federal judge on Jan. 17 granted a mortgage company's motion to dismiss foreclosure-related claims asserted by a former property owner, finding that the case was barred by a state court action (Fred Freeman v. Long Beach Mortgage Co., et al., No. 16-cv-4272, N.D. Ill.; 2017 2017 U.S. Dist. LEXIS 5943).

Mealey's Insurance - Plaintiff's Claims Are Preempted By ERISA, Illinois Federal Judge Says

CHICAGO - An Illinois federal judge on Jan. 12 denied a plaintiff's motion to remand after determining that her state law claims arising out of the disclosure of medical records without consent are preempted by the Employment Retirement Income Security Act (Jane Doe v. Aetna Inc., et al., No. 16-8390, N.D. Ill.; 2017 U.S. Dist. LEXIS 4866).

Mealey's Toxic Tort/Environmental - Judge Trims Claims From City's Suit Over Manufactured Gas Waste Contamination

CHICAGO - An Illinois city cannot seek civil penalties under the Resource Conservation and Recovery Act (RCRA) against two companies that owned a manufactured gas facility, a federal judge in Illinois ruled Jan. 17, holding that the city did not allege that the companies violated subchapter III of the RCRA (City of Evanston, Ill. v. Northern Illinois Gas Company, et al., No. 16-C-5692, N.D. Ill.; 2017 U.S. Dist. LEXIS 5771).

Mealey's Insurance - Issues Of Material Fact Preclude Summary Judgment In Avian Flu Suit, Federal Judge Says

MINNEAPOLIS - Because issues of material fact exist regarding how an outbreak of the avian flu virus was transmitted, a Minnesota federal judge on Jan. 12 denied both the insurer and insured's motions for summary judgment (Rembrandt Enterprises Inc. v. Illinois Union Insurance Co., No. 15-2913, D. Minn.; 2017 U.S. Dist. LEXIS 4946).

Mealey's PI/Product Liability - Illinois Appellate Panel: Evidence Favored Doctor In Medical Malpractice Suit

ELGIN, Ill. - An Illinois appellate panel on Jan. 9 found that a trial court correctly denied a plaintiff's motion for judgment notwithstanding the verdict or for a new trial in a medical malpractice suit because the plaintiff failed to raise objections during the trial (Katherine Sondergaard v. Arnold J. Herbstman M.D., No. 2-15-1263, Ill. App. 2nd Dist.; 2017 Ill. App. Unpub. LEXIS 23).

Mealey's Health Law - Judge Orders Health Care Fraud Defendant To Turn Over Retirement Funds

CHICAGO - A cardiologist who pleaded guilty to one count of health care fraud for fraudulently billing Medicare and other insurance companies was ordered by a federal judge in Illinois to turn over three retirement funds valued at $300,738.60 after finding that forfeiture of the funds would not result in an overpayment of the $12 million he owes in restitution (United States of America v. Sushil Sheth, No. 09 CR 69-1, N.D. Ill.; 2017 U.S. Dist. LEXIS 2281).

Mealey's Insurance - Judge: No Indemnification Owed For Water Damage Caused By Insured

CHICAGO - An insurer has no duty to indemnify an insured and no duty to reimburse an additional insured for alleged water damage to an apartment building because there was no covered "occurrence" for the insured's failure to properly cover the building's roof, an Illinois federal judge ruled Jan. 6 (Brit UW Ltd. v. Tripar Inc. and Davis Russell Real Estate and Management LLC, No. 15-5866, N.D. Ill.; 2017 U.S. Dist. LEXIS 2462).

Mealey's Insurance - Judge Orders Health Care Fraud Defendant To Turn Over Retirement Funds

CHICAGO - A cardiologist who pleaded guilty to one count of health care fraud for fraudulently billing Medicare and other insurance companies was ordered by a federal judge in Illinois to turn over three retirement funds valued at $300,738.60 after finding that forfeiture of the funds would not result in an overpayment of the $12 million he owes in restitution (United States of America v. Sushil Sheth, No. 09 CR 69-1, N.D. Ill.; 2017 U.S. Dist. LEXIS 2281).

Mealey's Insurance - Insurer Says No Coverage For Roofing Subcontractor's $6.6M In Faulty Work Damage

CHICAGO - A commercial general liability insurance policy does not cover a roofing subcontractor over faulty work claims that resulted in more than $6.6 million in damages to townhomes, an insurer says in its Jan. 4 complaint to an Illinois federal court (Nautilus Insurance Co. v. Classic Roofing Inc. and Custom Roofing Contracting Ltd., No. 17-45, N.D. Ill.).

Mealey's Insurance - Federal Judge: Recovery Sought Does Not Fall Under Policy's 'Definition Of Damages'

CHICAGO - An Illinois federal judge on Jan. 5 held that a professional liability insurer has no duty to defend or indemnify against an underlying complaint alleging that the insureds misrepresented important data that an insurer used to calculate premiums (Westport Insurance Corp. v. M.L. Sullivan Insurance Agency Inc., d/b/a Sullivan & Associates Insurance and Risk Management, et al., No. 15-7294, N.D. Ill., Eastern Div.; 2017 U.S. Dist. LEXIS 1527).

Mealey's IP/Tech - Federal Circuit Reverses Indefiniteness Holding, Judgment In Patent Case

WASHINGTON, D.C. - An Illinois federal judge erroneously granted a defendant summary judgment that myriad claims of a patented method for using a graphical indicator to encode information are invalid as indefinite, the Federal Circuit U.S. Court of Appeals ruled Jan. 5 (Sonix Technology Co. Ltd. v. Publications International Ltd., et al., No. 16-1449, Fed. Cir.).

Mealey's Labor & Employment - Illinois Federal Judge Certifies Excessive Deduction Class, Not Overtime One

CHICAGO - An Illinois federal judge on Dec. 30 certified an excessive deduction class but not an overtime class in a lawsuit brought by a tile store sales associate against his employer (Adriel Osorio, et al. v. The Tile Shop, LLC, No. 15-15, N.D. Ill.; 2016 U.S. Dist. LEXIS 180077).

Mealey's Litigation Procedure - Illinois Federal Judge Certifies Excessive Deduction Class, Not Overtime One

CHICAGO - An Illinois federal judge on Dec. 30 certified an excessive deduction class but not an overtime class in a lawsuit brought by a tile store sales associate against his employer (Adriel Osorio, et al. v. The Tile Shop, LLC, No. 15-15, N.D. Ill.; 2016 U.S. Dist. LEXIS 180077).

Mealey's Labor & Employment - 7th Circuit Panel Affirms Teamster Funds Entitled To Contribution Shortfalls

CHICAGO - A Seventh Circuit U.S. Court of Appeals panel on Dec. 21 affirmed an Illinois federal judge's ruling that three Teamster pension and welfare funds are entitled to collect shortfalls in contributions due from an employer under collective bargaining agreements, finding the employer's audit report to be unreliable (Teamsters Local Union No. 727 Health and Welfare Fund, et al. v. L&R Group of Companies, No. 16-2037, 7th Cir.; 2016 U.S. App. LEXIS 22870).

Mealey's PI/Product Liability - Judge Improperly Granted Judgment, Rejected Amendment, Woman Claims In Appeal

MADISON, Wis. - A judge erred both in rejecting a motion to amend or add findings to a ruling and in the original order granting judgment to an asbestos-insulation manufacturer after a bench trial, a woman claims in Dec. 19 filing with the Seventh Circuit U.S. Court of Appeals (Gary Souja, et al. v. Owens-Illinois Inc., No. 16-4177, 7th Cir.).

Mealey's Toxic Tort/Environmental - Judge Improperly Granted Judgment, Rejected Amendment, Woman Claims In Appeal

MADISON, Wis. - A judge erred both in rejecting a motion to amend or add findings to a ruling and in the original order granting judgment to an asbestos-insulation manufacturer after a bench trial, a woman claims in Dec. 19 filing with the Seventh Circuit U.S. Court of Appeals (Gary Souja, et al. v. Owens-Illinois Inc., No. 16-4177, 7th Cir.).

Mealey's IP/Tech - Illinois Federal Judge Partly Grants Dismissal In Copyright Dispute

CHICAGO - An individual copyright defendant won dismissal of allegations on Dec. 20 by an Illinois federal judge, who cited a lack of evidence that the individual used a corporate defendant "as an instrument" to carry out "willful and deliberate" infringement (Live Face On Web LLC v. KAM Development LLC, et al., No. 16-8604, N.D. Ill.; 2016 U.S. Dist. LEXIS 175619).

Mealey's PI/Product Liability - Parents Of Deceased Hockey Player Seek Remand In Wrongful Death Suit

CHICAGO - The parents of a deceased professional hockey player on Dec. 15 asked a federal judge in Illinois to remand their suit against the National Hockey League (NHL) to the Cook County Circuit Court because of the federal court's earlier finding that all of the remaining claims in their second amended complaint arise from state law (Len Boogaard, et al. v. National Hockey League, et al., No. 13-C-4846, N.D. Ill.).

Mealey's Litigation Procedure - Debt Collector Ordered To Pay For Collection Violations Made On Its Behalf

CHICAGO - A debt collector must pay class damages for unlawful debt collection practices made by a third party on its behalf, an Illinois federal judge ruled Dec. 15 (Mary T. Janetos, et al. v. Fulton Friedman & Gullace, LLP, et al., No. 12-1473, N.D. Ill.; 2016 U.S. Dist. LEXIS 173718).

Mealey's PI/Product Liability - Mississippi Court: FELA Award Not Subject To Offsets For Asbestos Trust Recoveries

JACKSON, Miss. - A railroad cannot offset a $50,000 Federal Employers' Liability Act (FELA) asbestos verdict with monies collected from asbestos bankruptcy trusts, a divided Mississippi Court of Appeals held Dec. 13 (Illinois Central Railroad Co. v. Bennie Oakes, deceased, by and through Clara Hagan, his representative, No. 2015-CA-00644-COA, Miss. App.).

Mealey's Toxic Tort/Environmental - Mississippi Court: FELA Award Not Subject To Offsets For Asbestos Trust Recoveries

JACKSON, Miss. - A railroad cannot offset a $50,000 Federal Employers' Liability Act (FELA) asbestos verdict with monies collected from asbestos bankruptcy trusts, a divided Mississippi Court of Appeals held Dec. 13 (Illinois Central Railroad Co. v. Bennie Oakes, deceased, by and through Clara Hagan, his representative, No. 2015-CA-00644-COA, Miss. App.).

Mealey's Litigation Procedure - Federal Magistrate Determines Memos, Emails Are Protected Under Work Product Doctrine

CHICAGO - An Illinois federal magistrate judge on Dec. 13 denied an insurer's motion to compel the production of unredacted documents and emails after determining that the documents and emails are protected under the work product doctrine because they were prepared in anticipation of litigation regarding coverage for the contamination of the insured's blood products (Baxter International Inc., v. AXA Versicherung, No. 11-cv-09131, N.D. Ill.; 2016 U.S. Dist. LEXIS 172234).

Mealey's Insurance - Federal Magistrate Determines Memos, Emails Are Protected Under Work Product Doctrine

CHICAGO - An Illinois federal magistrate judge on Dec. 13 denied an insurer's motion to compel the production of unredacted documents and emails after determining that the documents and emails are protected under the work product doctrine because they were prepared in anticipation of litigation regarding coverage for the contamination of the insured's blood products (Baxter International Inc., v. AXA Versicherung, No. 11-cv-09131, N.D. Ill.; 2016 U.S. Dist. LEXIS 172234).

Mealey's PI/Product Liability - Judge: Asbestos Document Request Overly Broad, But Some Production Warranted

PHILADELPHIA - A company's failure to comply with a state court motion to compel does not warrant sanctions because the request is overly broad, but going forward, the company must produce documents relevant to product identification testimony in an asbestos case, a federal magistrate judge held Dec. 6 (William Ney, et al. v. Owens-Illinois Inc., et al., No. 16-2408, E.D. Pa.; 2016 U.S. Dist. LEXIS 169371).

Mealey's Litigation Procedure - Judge: Asbestos Document Request Overly Broad, But Some Production Warranted

PHILADELPHIA - A company's failure to comply with a state court motion to compel does not warrant sanctions because the request is overly broad, but going forward, the company must produce documents relevant to product identification testimony in an asbestos case, a federal magistrate judge held Dec. 6 (William Ney, et al. v. Owens-Illinois Inc., et al., No. 16-2408, E.D. Pa.; 2016 U.S. Dist. LEXIS 169371).