LexisNexis® Legal Newsroom
Mealey's Insurance - No Coverage Available For Mold Growth In Insured's Attic, New Jersey Panel Says

TRENTON, N.J. - No coverage is provided for mold growth in a home's attic because the insureds failed to prove that the mold growth was a result of a "fortuitous, direct physical loss," the New Jersey Superior Court Appellate Division said June 10 (Sheldon and Shirley Kavesh v. Franklin Mutual Insurance Co., No. A-5210-13T1, N.J. Super., App. Div.; 2015 N.J. Super. Unpub. LEXIS 1378).

Mealey's PI/Product Liability - Judge: Companies Owed Duty Of Care For Chemical Spill; Claim For Lost Taxes Fails

CAMDEN, N.J. - The federal judge in New Jersey presiding over the litigation brought by a school district seeking damages related to a chemical spill caused by the derailment of a train crossing the bridge over Mantua Creek on June 8 partially dismissed some of the claims against the railroad company defendants. The judge ruled that the school district had shown that the defendants owed it a duty of care, but the judge also concluded that the defendants were not liable for negligence resulting in a reduction in the property taxes (In re: Paulsboro Derailment Cases, No. 13-784, D. N.J.).

Mealey's Toxic Tort/Environmental - Judge: Companies Owed Duty Of Care For Chemical Spill; Claim For Lost Taxes Fails

CAMDEN, N.J. - The federal judge in New Jersey presiding over the litigation brought by a school district seeking damages related to a chemical spill caused by the derailment of a train crossing the bridge over Mantua Creek on June 8 partially dismissed some of the claims against the railroad company defendants. The judge ruled that the school district had shown that the defendants owed it a duty of care, but the judge also concluded that the defendants were not liable for negligence resulting in a reduction in the property taxes (In re: Paulsboro Derailment Cases, No. 13-784, D. N.J.).

Mealey's Labor & Employment - N.J. Federal Judge Certifies Chiropractors In Insurance Payment Dispute

NEWARK, N.J. - A New Jersey federal judge on June 1 certified two classes of chiropractors suing insurers for allegedly systematically denying payment for certain services rendered (Alphonse DeMaria, et al. v. Horizon Healthcare Services Inc. d/b/a Blue Cross Blue Shield of New Jersey, et al., No. 11-7298, D. N.J.; 2015 U.S. Dist. LEXIS 70176).

Mealey's Banking & Finance - Federal Judge Dismisses FDCPA And TILA Claims As Untimely

NEWARK, N.J. - A New Jersey federal judge on June 3 granted a motion filed by several loan entities to dismiss claims against them, finding that a borrower's claims for violation of the Truth in Lending Act (TILA) and the Fair Debt Collection Practices Act (FDCPA) were time-barred (Patricia Mogavero v. Seterus Inc., et al., No. 15-cv-1314, D. N.J.; 2015 U.S. Dist. LEXIS 71600).

Mealey's Litigation Procedure - N.J. Federal Judge Certifies Chiropractors In Insurance Payment Dispute

NEWARK, N.J. - A New Jersey federal judge on June 1 certified two classes of chiropractors suing insurers for allegedly systematically denying payment for certain services rendered (Alphonse DeMaria, et al. v. Horizon Healthcare Services Inc. d/b/a Blue Cross Blue Shield of New Jersey, et al., No. 11-7298, D. N.J.; 2015 U.S. Dist. LEXIS 70176).

Mealey's Litigation Procedure - Amended Complaint Against Helmet Maker Meets Pleading Standards, Plaintiff Argues

CAMDEN, N.J. - An amended class complaint alleging that Riddell Inc. falsely markets its Revolution-brand football helmet as safer than others addresses deficiencies that led a federal judge in New Jersey to dismiss it without prejudice, class plaintiff Normal Thiel argues in a May 22 memorandum opposing Riddell's motion to dismiss (In re Riddell Concussion Reduction Litigation, No. 13-7585, D. N.J.).

Mealey's Antitrust/Unfair Competition - Amended Complaint Against Helmet Maker Meets Pleading Standards, Plaintiff Argues

CAMDEN, N.J. - An amended class complaint alleging that Riddell Inc. falsely markets its Revolution-brand football helmet as safer than others addresses deficiencies that led a federal judge in New Jersey to dismiss it without prejudice, class plaintiff Normal Thiel argues in a May 22 memorandum opposing Riddell's motion to dismiss (In re Riddell Concussion Reduction Litigation, No. 13-7585, D. N.J.).

Mealey's PI/Product Liability - Amended Complaint Against Helmet Maker Meets Pleading Standards, Plaintiff Argues

CAMDEN, N.J. - An amended class complaint alleging that Riddell Inc. falsely markets its Revolution-brand football helmet as safer than others addresses deficiencies that led a federal judge in New Jersey to dismiss it without prejudice, class plaintiff Normal Thiel argues in a May 22 memorandum opposing Riddell's motion to dismiss (In re Riddell Concussion Reduction Litigation, No. 13-7585, D. N.J.).

Mealey's PI/Product Liability - Comedian Tracy Morgan Settles Suit Against Wal-Mart In New Jersey Federal Court

TRENTON, N.J. - Actor-comedian Tracy Morgan indicated in court papers May 27 that he and two other plaintiffs have settled their suit against Wal-Mart Stores Inc. stemming from an accident involving a tractor-trailer owned by the retailer for an undisclosed amount (Tracy Morgan, et al. v. Wal-Mart Stores Inc., et al., No. 14-cv-04388, D. N.J.).

Mealey's PI/Product Liability - Defendant In Paulsboro Train Derailment Case Says Punitive Damages Claims Fail

CAMDEN, N.J. - One of the railroad company defendants being sued by New Jersey residents seeking damages related to a chemical spill caused by the derailment of a train crossing the bridge over Mantua Creek on May 22 filed a brief in New Jersey federal court contending that punitive damages should not be permitted (In re: Paulsboro Derailment Cases, No. 13-784, D. N.J.).

Mealey's Toxic Tort/Environmental - Defendant In Paulsboro Train Derailment Case Says Punitive Damages Claims Fail

CAMDEN, N.J. - One of the railroad company defendants being sued by New Jersey residents seeking damages related to a chemical spill caused by the derailment of a train crossing the bridge over Mantua Creek on May 22 filed a brief in New Jersey federal court contending that punitive damages should not be permitted (In re: Paulsboro Derailment Cases, No. 13-784, D. N.J.).

Mealey's Insurance - Policy Clearly Bars Coverage For Damages Caused By Oil Spill, New Jersey Panel Says

TRENTON, N.J. - No coverage is available to homeowners for damages caused to their own property by a leaking underground fuel storage tank because the policy clearly excludes coverage under the owned property exclusion and limits coverage related to liability claims related to oil spills, the New Jersey Superior Court Appellate Division said May 15 (Stanley and Leah Weiss v. New Jersey Manufacturers Insurance Co., No.A-5219-13T3, N.J. Super., App. Div.; 2015 N.J. Super. Unpub. LEXIS 1134).

Mealey's PI/Product Liability - Conductor On Derailed Amtrak Train Files Suit In New Jersey State Court

NEWARK, N.J. - A conductor who was working on Amtrak Train No. 188 when it derailed in Philadelphia on May 12 filed suit in New Jersey state court May 18, seeking damages for his injuries (Emilio Fonseca, et al. v. National Railroad Passenger Corp. d/b/a Amtrak, No. N/A, N.J. Super. Essex Co.).

Mealey's Toxic Tort/Environmental - Legislator: Criminal Probe Needed In Paulsboro Train Derailment Case

CAMDEN, N.J. - A New Jersey legislator on May 13 sent a letter to the U.S. attorney for the District of New Jersey renewing his call for a criminal investigation into the train derailment that spilled vinyl chloride into the Mantua Creek in 2012 (In re: Paulsboro Derailment Cases, No. 13-784, D. N.J.).

Mealey's Litigation Procedure - 3rd Circuit Remands Worker Classification Suit After New Jersey High Court Ruling

PHILADELPHIA - A New Jersey federal court must reconsider a class complaint filed by deliverers alleging that they were misclassified as independent contractors following a ruling by the New Jersey Supreme Court regarding what employment test applies to those claims, the Third Circuit U.S. Court of Appeals ruled May 12 (Sam Hargrove, et al. v. Sleepy's LLC, Nos. 12-2540 and 12-2541, 3rd Cir.; 2015 U.S. App. LEXIS 7832).

Mealey's Labor & Employment - 3rd Circuit Remands Worker Classification Suit After New Jersey High Court Ruling

PHILADELPHIA - A New Jersey federal court must reconsider a class complaint filed by deliverers alleging that they were misclassified as independent contractors following a ruling by the New Jersey Supreme Court regarding what employment test applies to those claims, the Third Circuit U.S. Court of Appeals ruled May 12 (Sam Hargrove, et al. v. Sleepy's LLC, Nos. 12-2540 and 12-2541, 3rd Cir.; 2015 U.S. App. LEXIS 7832).

Mealey's Litigation Procedure - New Jersey Panel Remands Counsel Fee Issue In Professional Liability Coverage Suit

TRENTON, N.J. - A New Jersey appeals panel on May 12 affirmed a lower court's rulings in a coverage dispute over underlying legal malpractice claims but remanded to consider the attorney insured's application for counsel fees and costs (Law Offices of Anthony Carbone v. Chicago Insurance Co., et al., No. A-3384-13T2, N.J. Super., App. Div.; 2015 N.J. Super. Unpub. LEXIS 1080).

Mealey's Labor & Employment - New Jersey Panel Remands Counsel Fee Issue In Professional Liability Coverage Suit

TRENTON, N.J. - A New Jersey appeals panel on May 12 affirmed a lower court's rulings in a coverage dispute over underlying legal malpractice claims but remanded to consider the attorney insured's application for counsel fees and costs (Law Offices of Anthony Carbone v. Chicago Insurance Co., et al., No. A-3384-13T2, N.J. Super., App. Div.; 2015 N.J. Super. Unpub. LEXIS 1080).

Mealey's IP/Tech - 3rd Circuit: Website, Emails Do Not Confer Jurisdiction In Classic Car Dispute

PHILADELPHIA - A New Jersey man claiming fraud over his purchase of a classic car from a California dealer did not establish that state's jurisdiction over the defendants, a Third Circuit U.S. Court of Appeals panel ruled May 11, finding that the dealer's interactive website and two emails did not constitute purposeful availment of its activities toward New Jersey (John Corigliano v. Classic Motor Inc., et al., No. 14-3586, 3rd Cir.; 2015 U.S. App. LEXIS 7722).

Mealey's Toxic Tort/Environmental - Paulsboro Train Derailment Defendant: Transcript Should Be Sealed And Redacted

CAMDEN, N.J. - One of the railroad company defendants sued by New Jersey residents who allege personal injuries from vinyl chloride that was spilled as a result of a train derailment filed a document in New Jersey federal court on May 12 containing findings of fact contending that the judge should seal and redact portions of the transcript of the proceedings because a failure to do so is "highly likely to cause them serious injury" (In re: Paulsboro Derailment Cases, No. 13-784, D. N.J.).

Mealey's Insurance - Judge: Implied Covenant Claim Is Duplicative Of Insureds' Bad Faith Claim

NEWARK, N.J. - A federal judge in New Jersey on May 12 partially dismissed an insurance bad faith lawsuit, ruling that although insureds have properly shown that their insurer owed them a fiduciary duty and breached it, other claims are either duplicative or are not permissible due to the parties' involvement in a valid insurance contract (Adolf Senft, et al. v. Fireman's Fund Insurance Co., et al., No. 14-7805, D. N.J.; 2015 U.S. Dist. LEXIS 61870).

Mealey's Insurance - New Jersey Panel Remands Counsel Fee Issue In Professional Liability Coverage Suit

TRENTON, N.J. - A New Jersey appeals panel on May 12 affirmed a lower court's rulings in a coverage dispute over underlying legal malpractice claims but remanded to consider the attorney insured's application for counsel fees and costs (Law Offices of Anthony Carbone v. Chicago Insurance Co., et al., No. A-3384-13T2, N.J. Super., App. Div.; 2015 N.J. Super. Unpub. LEXIS 1080).

Mealey's Litigation Procedure - Judge: No Evidentiary Basis Warranting Dismissal Of Superstorm Sandy Coverage Suit

NEWARK, N.J. - A New Jersey federal judge on May 12 denied an insurer's motion to dismiss a Superstorm Sandy coverage dispute, finding that the insurer presented no admissible evidence supporting its contention that the insureds' attorney violated discovery and scheduling orders (Peter Blaso & Demeglio Family v. Alterra Excess & Surplus Insurance Co., No. 14-2574 [WHW-CLW], D. N.J.; 2015 U.S. Dist. LEXIS 61869).

Mealey's Insurance - Judge: No Evidentiary Basis Warranting Dismissal Of Superstorm Sandy Coverage Suit

NEWARK, N.J. - A New Jersey federal judge on May 12 denied an insurer's motion to dismiss a Superstorm Sandy coverage dispute, finding that the insurer presented no admissible evidence supporting its contention that the insureds' attorney violated discovery and scheduling orders (Peter Blaso & Demeglio Family v. Alterra Excess & Surplus Insurance Co., No. 14-2574 [WHW-CLW], D. N.J.; 2015 U.S. Dist. LEXIS 61869).