LexisNexis® Legal Newsroom
Mealey's Banking & Finance - HSBC To Pay Record $1.5B Settlement To End Securities Class Action

SAN DIEGO - In what is being called a record recovery for shareholders, HSBC Finance Corp. has agreed to pay more than $1.5 billion to settle claims that its predecessor-in-interest, Household International Inc., and certain of its executive officers and directors issued a series of misrepresentations concealing Household's involvement in a predatory lending scheme in violation of federal securities laws, according to a press release issued by shareholder counsel June 16 (Lawrence E. Jaffe Pension Plan v. Household International, Inc., et al., No. 02-5893, N.D. Ill.).

Mealey's Securities/D&O Liability - HSBC To Pay Record $1.5B Settlement To End Securities Class Action

SAN DIEGO - In what is being called a record recovery for shareholders, HSBC Finance Corp. has agreed to pay more than $1.5 billion to settle claims that its predecessor-in-interest, Household International Inc., and certain of its executive officers and directors issued a series of misrepresentations concealing Household's involvement in a predatory lending scheme in violation of federal securities laws, according to a press release issued by shareholder counsel June 16 (Lawrence E. Jaffe Pension Plan v. Household International, Inc., et al., No. 02-5893, N.D. Ill.).

Mealey's Litigation Procedure - Shareholders Failed To State A Claim For Relief In Securities Suit, Judge Rules

NEW YORK - Dismissal of claims in a securities class action lawsuit against Weight Watchers International Inc., certain of its former executive officers and others is proper because lead plaintiffs in the action failed to properly state a claim for relief in making their federal securities law claims, a federal judge in New York ruled May 11 (In re Weight Watchers International Inc. Securities Litigation, No. 14-1997, S.D. N.Y.; 2016 U.S. Dist. LEXIS 62456).

Mealey's Securities/D&O Liability - Shareholders Failed To State A Claim For Relief In Securities Suit, Judge Rules

NEW YORK - Dismissal of claims in a securities class action lawsuit against Weight Watchers International Inc., certain of its former executive officers and others is proper because lead plaintiffs in the action failed to properly state a claim for relief in making their federal securities law claims, a federal judge in New York ruled May 11 (In re Weight Watchers International Inc. Securities Litigation, No. 14-1997, S.D. N.Y.; 2016 U.S. Dist. LEXIS 62456).

Mealey's Antitrust/Unfair Competition - Court Affirms Order Lifting Stay Of Employee's Claims Against Remax

LOS ANGELES - After finding that an order lifting a stay of a case in which a former employee of a real estate company asserted claims for harassment and violation of California's unfair competition law (UCL) was not an appealable order, a California appellate court on Feb. 11 affirmed the decision (Amparo Gastelum v. Remax International, Inc., et al., No. B263213, Calif. App., 2nd Dist., Div. 5; 2016 Cal. App. LEXIS 101).

Mealey's Litigation Procedure - Volkswagen, Honeywell Denied JMOL, New Trial In $4.8M Design Defect Judgment

COLUMBUS, Ga. - A federal judge in Georgia on Feb. 2 denied motions by Volkswagen Group of America Inc. and Honeywell International for judgment as a matter of law (JMOL) or a new trial in a case in which a couple was awarded $4.8 million for injuries the woman sustained when her Volkswagen Passat crashed and turned over after suddenly accelerating (Cheryl Bullock and Kevin Bullock v. Volkswagen Group of America, Inc., et al., No 4:13-CV-37 [CDL], M.D. Ga., Columbus Div.).

Mealey's PI/Product Liability - Volkswagen, Honeywell Denied JMOL, New Trial In $4.8M Design Defect Judgment

COLUMBUS, Ga. - A federal judge in Georgia on Feb. 2 denied motions by Volkswagen Group of America Inc. and Honeywell International for judgment as a matter of law (JMOL) or a new trial in a case in which a couple was awarded $4.8 million for injuries the woman sustained when her Volkswagen Passat crashed and turned over after suddenly accelerating (Cheryl Bullock and Kevin Bullock v. Volkswagen Group of America, Inc., et al., No 4:13-CV-37 [CDL], M.D. Ga., Columbus Div.).

Mealey's PI/Product Liability - Judge Grants Final Approval Of $42.5M Securities Class Action Settlement

CHICAGO - A federal judge in Illinois on Jan. 22 granted final approval of a $42.5 million settlement in a securities class action lawsuit regarding certain false and misleading statements made by a medical device maker and certain of its executive officers and directors regarding the demand of certain of its products in violation of federal securities laws (City of Lakeland Employees' Pension Plan v. Baxter International Inc., No. 10-6016, N.D. Ill.)

Mealey's Litigation Procedure - Judge Grants Final Approval Of $42.5M Securities Class Action Settlement

CHICAGO - A federal judge in Illinois on Jan. 22 granted final approval of a $42.5 million settlement in a securities class action lawsuit regarding certain false and misleading statements made by a medical device maker and certain of its executive officers and directors regarding the demand of certain of its products in violation of federal securities laws (City of Lakeland Employees' Pension Plan v. Baxter International Inc., No. 10-6016, N.D. Ill.)

Mealey's Securities/D&O Liability - Judge Grants Final Approval Of $42.5M Securities Class Action Settlement

CHICAGO - A federal judge in Illinois on Jan. 22 granted final approval of a $42.5 million settlement in a securities class action lawsuit regarding certain false and misleading statements made by a medical device maker and certain of its executive officers and directors regarding the demand of certain of its products in violation of federal securities laws (City of Lakeland Employees' Pension Plan v. Baxter International Inc., No. 10-6016, N.D. Ill.).

Mealey's IP/Tech - 2nd Circuit Vacates, Remands Standing Holding In Lanham Act Dispute

NEW YORK - A U.S. court cannot invalidate an action of a foreign sovereign with regard to a transfer of rights on grounds that the transfer would be invalid under the law of the foreign sovereign, the Second Circuit U.S. Court of Appeals ruled Jan. 5, vacating a New York federal judge's dismissal of Lanham Act claims for lack of standing (Fed. Treasury Enterprise Sojuzplodoimport v. Spirits International B.V. f/k/a Spirits International N.V., et al., Nos. 14-4721, 15-152, 2nd Cir.; 2016 U.S. App. LEXIS 40).

Mealey's Litigation Procedure - International Tribunal Awards Eastern Mediterranean Gas Co. $324 Million

GENEVA - A law firm on Dec. 8 announced that a tribunal for the International Chamber of Commerce (ICC), International Court of Arbitration has issued a decision in arbitration between a Mediterranean gas company and two Egyptian entities, awarding the company $324 million.

Mealey's IP/Tech - Federal Judge Finds Trademark Claims Are Excluded Under Policy

SACRAMENTO, Calif. - A California federal judge on Dec. 7 granted judgment for an insurer named as a defendant in a third-party action seeking damages for trademark infringement and violation of California's unfair competition law (UCL), finding that a policy specifically excluded coverage for trademark infringement related to degreaser products (Lewyn Boler, AKA Leon Boler, individually and dba Production Car Care Products v. 3D International, et al., No. 2:14-cv-00658, E.D. Calif.; 2015 U.S. Dist. LEXIS 163850).

Mealey's Insurance - Federal Judge Finds Trademark Claims Are Excluded Under Policy

SACRAMENTO, Calif. - A California federal judge on Dec. 7 granted judgment for an insurer named as a defendant in a third-party action seeking damages for trademark infringement and violation of California's unfair competition law (UCL), finding that a policy specifically excluded coverage for trademark infringement related to degreaser products (Lewyn Boler, AKA Leon Boler, individually and dba Production Car Care Products v. 3D International, et al., No. 2:14-cv-00658, E.D. Calif.; 2015 U.S. Dist. LEXIS 163850).

Mealey's Antitrust/Unfair Competition - Federal Judge Finds Trademark Claims Are Excluded Under Policy

SACRAMENTO, Calif. - A California federal judge on Dec. 7 granted judgment for an insurer named as a defendant in a third-party action seeking damages for trademark infringement and violation of California's unfair competition law (UCL), finding that a policy specifically excluded coverage for trademark infringement related to degreaser products (Lewyn Boler, AKA Leon Boler, individually and dba Production Car Care Products v. 3D International, et al., No. 2:14-cv-00658, E.D. Calif.; 2015 U.S. Dist. LEXIS 163850).

Mealey's IP/Tech - Divided Federal Circuit: Electronic Transmissions Are Not 'Articles'

WASHINGTON, D.C. - A decision by the International Trade Commission that affirmed findings by an administrative law judge (ALJ) that digital data is an "article" covered by Section 337 of the Tariff Act of 1930 was reversed and remanded Nov. 10 by a divided Federal Circuit U.S. Court of Appeals (ClearCorrect Operating LLC and ClearCorrect Pakistan [Private] Ltd. v. International Trade Commission and Align Technology Inc., No. 14-1527, Fed. Cir.).

Mealey's Insurance - Pennsylvania Federal Judge Says Choice Of Law Ruling Will Not Be Changed

HARRISBURG, Pa. - A Pennsylvania federal judge on Oct. 13 denied an insurer's motion for reconsideration, determining that the addition to the record of a portion of the insurer's affidavit does not change the conclusion that Pennsylvania law, not New York law, governs the insured's lawsuit seeking coverage for underlying asbestos liabilities (York International Corp. v. Liberty Mutual Insurance Co., No. 10-0692, M.D. Pa.; 2015 U.S. Dist. LEXIS 138927).

Mealey's Litigation Procedure - ICSID Issues Order On Transparency In Investment Dispute Filed Against Guinea

WASHINGTON, D.C. - A tribunal for the International Centre for Settlement of Investment Disputes on Oct. 12 released an order in which it found that the United Nations Commission on International Trade Law (UNCITRAL) Rules on Transparency will apply to an arbitration commenced by a Guernsey mining company against the Republic of Guinea, with the exception of certain amendments (BSG Resources Limited v. Republic of Guinea, No. ARB/14/22, ICSID).

Mealey's Litigation Procedure - Investor States Sign UNCITRAL Convention On Transparency In Arbitration

VIENNA, Austria - The United Nations Commission on International Trade Law (UNCITRAL) on Oct. 6 announced that the Republic of Congo, Gabon and Madagascar have signed the United Nations Convention on Transparency in Treaty-based Investor-State Arbitration (Mauritius Convention on Transparency).

Mealey's Insurance - Judge: Lawyer Is Unqualified To Testify On Insurance Claims-Handling Process

MIAMI - A lawyer's expertise in insurance law does not match the type of expertise needed to render an expert opinion on the internal standards for handling an insurance claim, a Florida federal judge ruled Sept. 23, excluding the lawyer's testimony in an insurance bad faith lawsuit (Frank Lopez, as personal representative of the Estate of Giraldo Lopez, and Magaly Nunez Delgado, individually and as assignee of Michelle Soto v. Allstate Fire and Casualty Insurance Co., No. 14-20654, S.D. Fla.; 2015 U.S. Dist. LEXIS 127495).

Mealey's Litigation Procedure - Judge: Lawyer Is Unqualified To Testify On Insurance Claims-Handling Process

MIAMI - A lawyer's expertise in insurance law does not match the type of expertise needed to render an expert opinion on the internal standards for handling an insurance claim, a Florida federal judge ruled Sept. 23, excluding the lawyer's testimony in an insurance bad faith lawsuit (Frank Lopez, as personal representative of the Estate of Giraldo Lopez, and Magaly Nunez Delgado, individually and as assignee of Michelle Soto v. Allstate Fire and Casualty Insurance Co., No. 14-20654, S.D. Fla.; 2015 U.S. Dist. LEXIS 127495).

Mealey's Insurance - Judge: Pennsylvania Law Does Not Recognize Insured's Bad Faith Claims

WILMINGTON, Del. - Because Pennsylvania does not recognize a subcontractor's claims for insurance bad faith, dismissal of its claims against an insurer are proper, a federal judge in Delaware ruled Sept. 22 (VSI Sales LLC v. International Fidelity Insurance Co., No. 15-507, D. Del.; 2015 U.S. Dist. LEXIS 126392).

Mealey's Litigation Procedure - PCA Finds Netherlands Is Entitled To Damages For Russia's Vessel Seizure

THE HAGUE, Netherlands - A tribunal for the Permanent Court of Arbitration (PCA) on Aug. 24 announced that it has issued an award, finding that Russia violated the United Nations Convention on the Law of the Sea (UNCLOS) when it unlawfully seized a vessel operated by Greenpeace International and that the Netherlands is entitled to damages (The Netherlands v. Russia, No. 2014-02, PCA).

Mealey's Insurance - Judge: Pennsylvania Law Must Be Applied When Determining Duty To Indemnify

HARRISBURG, Pa. - Because the Commonwealth of Pennsylvania has a more significant relationship than the State of New York with the parties involved in an asbestos coverage dispute, Pennsylvania law must be applied when determining whether a duty to indemnify exists, a Pennsylvania federal judge said July 9 (York International Corp. v. Liberty Mutual Insurance Co., No. 1:10-CV-0692, M.D. Pa.; 2015 U.S. Dist. LEXIS 88847).

Mealey's Litigation Procedure - PCA Holds UNCITRAL Arbitration Hearing In Costa Rican Court

SAN JOSE, Costa Rica - The Permanent Court of Arbitration (PCA) on July 9 announced that it held a hearing in Costa Rica in an arbitration filed under the United Nations Commission on International Trade Law (UNCITRAL) rules (Consorcio John W. McDougall Company Inc. y Dredge & Marine Corporation [U.S.A.] and El Instituto Costarricense de Electricidad - ICE [Costa Rica], PCA).