LexisNexis® Legal Newsroom
Mealey's Insurance - Panel: Insured Owed Coverage For Debris Removal In Addition To $1M Flood Limit

TRENTON, N.J. - A New Jersey appeals panel on March 14 held that an insured is owed $207,961.28 for debris removal in addition to $1 million in flood coverage under a surplus lines insurance policy, reversing a lower court's partial summary judgment ruling in favor of the insurer in a Superstorm Sandy coverage dispute (Oxford Realty Group Cedar, CLA Management and R.K. Patten LLC v. Travelers Excess and Surplus Lines Co., No. A-0342-14T3, N.J. Super., App. Div.; 2016 N.J. Super. Unpub. LEXIS 552).

Mealey's Labor & Employment - New Jersey Federal Judge Denies Dismissal In ERISA Case

TRENTON, N.J. - Efforts by Blue Cross and Blue Shield of Texas and ExpressJet Airlines to obtain dismissal of an out-of-network health care provider's allegation of Employee Retirement Income Security Act violations were unsuccessful March 7, when a New Jersey federal judge ruled instead that the case should proceed (Atlantic Orthopaedic Associates LLC v. Blue Cross and Blue Shield of Texas, et al., No. 15-1854, D. N.J.; 2016 U.S. Dist. LEXIS 29360).

Mealey's Insurance - Federal Judge Refuses To Set Aside Judgment In Superstorm Sandy Coverage Dispute

CAMDEN, N.J. - A New Jersey federal judge on March 4 refused to set aside a judgment in a coverage dispute over Superstorm Sandy property damage, finding that there is insufficient evidence to warrant reopening the case due to extraordinary circumstances (Gerard Margiotti v. Selective Insurance Co. of America, No. 14-1481, D. N.J.; 2016 U.S. Dist. LEXIS 27749).

Mealey's IP/Tech - Federal Circuit Affirms In Design Patent Dispute

WASHINGTON, D.C. - A New Jersey federal magistrate judge did not err in rejecting on summary judgment allegations of design patent infringement levied in connection with a body washing brush, the Federal Circuit U.S. Court of Appeals ruled March 3 (Allyson Wallace v. Ideavillage Products Corporation, No. 15-1077, Fed. Cir.; 2016 U.S. App. LEXIS 3975).

Mealey's Insurance - Insureds Permitted To File Amended Complaint, New Jersey Appellate Panel Says

TRENTON, N.J. - A trial court did not err in granting a motion to dismiss a complaint; however, the plaintiffs are permitted to file a second amended complaint against their insurers because the dismissal was without prejudice, the New Jersey Superior Court Appellate Division said March 3 (Marolda Farms Inc. et al. v. Maryland Casualty Insurance Co. et al., No. A-5897-13T4, N.J. Super., App. Div.; 2016 N.J. Super. Unpub. LEXIS 459).

Mealey's PI/Product Liability - Federal Judge Trims Claims In Securities Class Action Over FDA Drug Approval

TRENTON, N.J. - A federal judge in New Jersey on March 2 granted in part and denied in part a motion to dismiss filed by defendants in a securities class action lawsuit, ruling that although lead plaintiffs have properly pleaded their federal securities law claims against a pharmaceutical company, they have failed to do so against a number of the company's current and former officers and directors (Bing Li v. Aeterna Zentaris Inc., et al., No. 14-7081, D. N.J.; 2016 U.S. Dist. LEXIS 26772).

Mealey's Litigation Procedure - Federal Judge Trims Claims In Securities Class Action Over FDA Drug Approval

TRENTON, N.J. - A federal judge in New Jersey on March 2 granted in part and denied in part a motion to dismiss filed by defendants in a securities class action lawsuit, ruling that although lead plaintiffs have properly pleaded their federal securities law claims against a pharmaceutical company, they have failed to do so against a number of the company's current and former officers and directors (Bing Li v. Aeterna Zentaris Inc., et al., No. 14-7081, D. N.J.; 2016 U.S. Dist. LEXIS 26772).

Mealey's Securities/D&O Liability - Federal Judge Trims Claims In Securities Class Action Over FDA Drug Approval

TRENTON, N.J. - A federal judge in New Jersey on March 2 granted in part and denied in part a motion to dismiss filed by defendants in a securities class action lawsuit, ruling that although lead plaintiffs have properly pleaded their federal securities law claims against a pharmaceutical company, they have failed to do so against a number of the company's current and former officers and directors (Bing Li v. Aeterna Zentaris Inc., et al., No. 14-7081, D. N.J.; 2016 U.S. Dist. LEXIS 26772).

Mealey's Labor & Employment - New Jersey Federal Judge Sides Partly With Aetna; Subrogation Claims Preempted

CAMDEN, N.J. - Allegations that Aetna Inc. violated New Jersey's anti-subrogation laws were rejected, in part, on March 1 by a New Jersey federal judge on grounds of preemption by the Employee Retirement Income Security Act (Michelle Roche, et al. v. Aetna Inc., et al., No. 13-1377, D. N.J.; 2016 U.S. Dist. LEXIS 25208).

Mealey's Insurance - Olympus Pays $646M In Criminal, Civil Penalties For Kickbacks, False Claims

NEWARK, N.J. - Olympus Corp. of the Americas and a Latin America subsidiary will pay $646 million in criminal and civil penalties for paying kickbacks to health care providers to buy its endoscopes and causing false claims to be paid by federal health care programs, according to documents filed March 1 in the U.S. District Court for the District of New Jersey (United States of America v. Olympus Corporation of the Americas, No. 16-3524, and United States ex rel. Slowik, et al. v. Olympus America. Inc., et al., No. 10-5994, D. N.J.).

Mealey's Health Law - Olympus Pays $646M In Criminal, Civil Penalties For Kickbacks, False Claims

NEWARK, N.J. - Olympus Corp. of the Americas and a Latin America subsidiary will pay $646 million in criminal and civil penalties for paying kickbacks to health care providers to buy its endoscopes and causing false claims to be paid by federal health care programs, according to documents filed March 1 in the U.S. District Court for the District of New Jersey (United States of America v. Olympus Corporation of the Americas, No. 16-3524, and United States ex rel. Slowik, et al. v. Olympus America. Inc., et al., No. 10-5994, D. N.J.).

Mealey's Litigation Procedure - Judge Dismisses Without Prejudice Claims For Damages From PEX Pipes

TRENTON, N.J. - A federal judge in New Jersey on Feb. 26 granted in part a motion to dismiss filed by the manufacturer of cross-linked polyethylene (PEX) plumbing systems, finding that the plaintiffs could not seek damages stemming from the allegedly defective pipes and fittings under the economic loss doctrine (Kimberly Cole, et al. v. NIBCO Inc., No. 13-7871, D. N.J.; 2016 U.S. Dist. LEXIS 24839).

Mealey's PI/Product Liability - New Jersey Medical Center Faces Class Suit Over HIV, Hepatitis Exposure

ATLANTIC CITY, N.J. - A class complaint, initially filed in New Jersey state court on Feb. 26 and amended on Feb. 29, accuses a New Jersey medical center of exposing more than 200 patients to HIV, hepatitis B or hepatitis C between June 1, 2013, and Sept. 17, 2014 (R.S., et al. v. Shore Medical Center, et al., No. ATL-L-394-16, N.J. Super., Atlantic Co.).

Mealey's Litigation Procedure - New Jersey Medical Center Faces Class Suit Over HIV, Hepatitis Exposure

ATLANTIC CITY, N.J. - A class complaint, initially filed in New Jersey state court on Feb. 26 and amended on Feb. 29, accuses a New Jersey medical center of exposing more than 200 patients to HIV, hepatitis B or hepatitis C between June 1, 2013, and Sept. 17, 2014 (R.S., et al. v. Shore Medical Center, et al., No. ATL-L-394-16, N.J. Super., Atlantic Co.).

Mealey's PI/Product Liability - Judge Dismisses Without Prejudice Claims For Damages From PEX Pipes

TRENTON, N.J. - A federal judge in New Jersey on Feb. 26 granted in part a motion to dismiss filed by the manufacturer of cross-linked polyethylene (PEX) plumbing systems, finding that the plaintiffs could not seek damages stemming from the allegedly defective pipes and fittings under the economic loss doctrine (Kimberly Cole, et al. v. NIBCO Inc., No. 13-7871, D. N.J.; 2016 U.S. Dist. LEXIS 24839).

Mealey's PI/Product Liability - Olympus Pays $646M In Criminal, Civil Penalties For Kickbacks, False Claims

NEWARK, N.J. - Olympus Corp. of the Americas and a Latin America subsidiary will pay $646 million in criminal and civil penalties for paying kickbacks to health care providers to buy its endoscopes and causing false claims to be paid by federal health care programs, according to documents filed March 1 in the U.S. District Court for the District of New Jersey (United States of America v. Olympus Corporation of the Americas, No. 16-3524, and United States ex rel. Slowik, et al. v. Olympus America. Inc., et al., No. 10-5994, D. N.J.).

Mealey's Insurance - Justice Asks For Input Regarding Proposed End To Ancillary Receivership

NEW YORK - A New York justice on Feb. 25 issued an order to show cause why the court should not terminate the ancillary receivership of a New Jersey insurer doing business in New York (In the Matter of the Ancillary Receivership of Newark Insurance Company, No. 400874/09, N.Y. Sup., New York Co.).

Mealey's Litigation Procedure - Federal Judge Certifies Shareholder Class In Suit Against Pharma Company

NEWARK, N.J. - A federal judge in New Jersey on Feb. 22 granted a motion for class certification in a securities lawsuit against a pharmaceutical company and others alleged to have issued misstatements in the offering documents for the company's initial public offering (IPO), ruling that the lead plaintiffs properly met all statutory requirements to certify the class (Robin J. Dartell, et al. v. Tibet Pharmaceuticals Inc., et al., No. 14-3620, D. N.J.; 2016 U.S. Dist. LEXIS 21541).

Mealey's Securities/D&O Liability - Federal Judge Certifies Shareholder Class In Suit Against Pharma Company

NEWARK, N.J. - A federal judge in New Jersey on Feb. 22 granted a motion for class certification in a securities lawsuit against a pharmaceutical company and others alleged to have issued misstatements in the offering documents for the company's initial public offering (IPO), ruling that the lead plaintiffs properly met all statutory requirements to certify the class (Robin J. Dartell, et al. v. Tibet Pharmaceuticals Inc., et al., No. 14-3620, D. N.J.; 2016 U.S. Dist. LEXIS 21541).

Mealey's Toxic Tort/Environmental - Defendant: Contamination Case Should Be Dismissed Because Federal Law Bars It

TRENTON, N.J. - The New Jersey Department of Transportation (NJDOT), which is a defendant in a lead contamination lawsuit brought by two environmental groups, on Feb. 22 filed a brief in a New Jersey federal court arguing that the claim should be dismissed because it is barred by federal law (Raritan Baykeeper Inc., et al. v. NL Industries Inc., et al., No. 09-4117, D. N.J.).

Mealey's PI/Product Liability - Magistrate Judge Transfers Suit Over Defective Mortar Repair To New York

NEWARK, N.J. - A federal magistrate judge in New Jersey on Feb. 22 transferred a lawsuit involving allegedly defective mortar repair made by Strongwall Industries Inc. to the U.S. District Court for the Southern District of New York, finding that the events giving rise to the lawsuit occurred in Manhattan (Central Construction Management LLC v. Strongwall Industries Inc., et al., No. 15-7342, D. N.J.; 2016 U.S. Dist. LEXIS 20771).

Mealey's Toxic Tort/Environmental - State Environmental Agency Settles MTBE Claims With 1 Defendant For $1.7M

NEW YORK - A federal judge in New York on Feb. 19 approved a $1.7 million settlement between the New Jersey Department of Environmental Protection (NJDEP) and Duke Energy Merchants LLC (DEM), one of the defendants in a lawsuit seeking damages for groundwater contamination from methyl tertiary butyl ether (MTBE) (In Re: Methyl Tertiary Butyl Ether Products Liability Litigation, No. 00-1898, MDL 1358, New Jersey Department of Environmental Protection v. Atlantic Richfield Company, No. 08-0312, S.D. N.Y.; 2016 U.S. Dist. LEXIS 21263).

Mealey's Insurance - Insured Allowed To Renew Motion To Show Extraordinary Circumstances Warrant Relief

CAMDEN, N.J. - A New Jersey federal judge on Feb. 16 denied without prejudice an insured's motion to set aside a final judgment in a Superstorm Sandy coverage dispute based on the purported neglectful representation of her former counsel, allowing the insured to renew her motion to show that there are extraordinary circumstances that warrant relief from the judgment (Emma Linbald v. Nationwide Mutual Insurance Co., No. 14-908, D. N.J.; 2016 U.S. Dist. LEXIS 18100).

Mealey's Banking & Finance - Federal Judge Finds Damages' Claims Are Not Actionable Under RESPA

NEWARK, N.J. - A New Jersey federal judge on Feb. 16 granted a lender's motion to dismiss a property owner's claim for violation of the Real Estate Settlement Procedures Act (RESPA), finding that certain claims for damages were not actionable under RESPA (Amelia Giordano v. MGC Mortgage Inc., No. 15-4399, D. N.J.; 2016 U.S. Dist. LEXIS 18283).

Mealey's Banking & Finance - New Jersey High Court Affirms Insurer Not Required To Show It Suffered Prejudice

TRENTON, N.J. - The New Jersey Supreme Court on Feb. 11 affirmed a lower court's ruling that a directors and officers liability insurer was not required to demonstrate that it suffered prejudice before denying coverage based on the insured's failure to give timely notice of an underlying claim stemming from a failed real estate transaction, finding that the "claims made" policy was "not a contract of adhesion but was agreed to by sophisticated parties" (Templo Fuente De Vida Corp. and Fuente Properties Inc. v. National Union Fire Insurance Company of Pittsburgh, P.A., No. A-18 September Term 2014, 074572, N.J. Sup.; 2016 N.J. LEXIS 144).