LexisNexis® Legal Newsroom
Mealey's Labor & Employment - Dismissal Denied, Transfer Granted In Restaurant Worker's Wage-And-Hour Class Suit

NEW YORK - A U.S. District Court for the Southern District of New York judge on July 10 refused to dismiss a wage-and-hour class complaint filed against the owners of two New York restaurants but agreed with the defendants that the proper venue was the Northern District of New York (Andrew Spiciarich, et al. v. Mexican Radio Corp., et al., No. 14-9009, S.D. N.Y.; 2015 U.S. Dist. LEXIS 89924).

Mealey's Litigation Procedure - Plaintiffs, GM, Law Firm Spar Over Production Of Documents In MDL

NEW YORK - General Motors LLC (New GM) and King & Spalding (K&S) filed separate memoranda July 10 opposing a motion by plaintiffs in the multidistrict ignition-switch litigation against GM to compel the production of documents from the automaker and its counsel based on the crime-fraud exception to the attorney-client and attorney work product privileges (In re: General Motors LLC Ignition Switch Litigation, MDL No. 2543, No. 14-md-2543, S.D. N.Y.).

Mealey's Litigation Procedure - Dismissal Denied, Transfer Granted In Restaurant Worker's Wage-And-Hour Class Suit

NEW YORK - A U.S. District Court for the Southern District of New York judge on July 10 refused to dismiss a wage-and-hour class complaint filed against the owners of two New York restaurants but agreed with the defendants that the proper venue was the Northern District of New York (Andrew Spiciarich, et al. v. Mexican Radio Corp., et al., No. 14-9009, S.D. N.Y.; 2015 U.S. Dist. LEXIS 89924).

Mealey's PI/Product Liability - Plaintiffs, GM, Law Firm Spar Over Production Of Documents In MDL

NEW YORK - General Motors LLC (New GM) and King & Spalding (K&S) filed separate memoranda July 10 opposing a motion by plaintiffs in the multidistrict ignition-switch litigation against GM to compel the production of documents from the automaker and its counsel based on the crime-fraud exception to the attorney-client and attorney work product privileges (In re: General Motors LLC Ignition Switch Litigation, MDL No. 2543, No. 14-md-2543, S.D. N.Y.).

Mealey's Insurance - Consent Provision For Cleanup Costs Is Not Against Public Policy, Judge Says

NEW YORK - A policy's consent provision requiring an insured to obtain an insurer's consent prior to incurring any expenses for environmental contamination cleanup costs and requiring the insurer not to unreasonably withhold consent is not void as a matter of public policy and must be enforced as written, a New York federal judge said July 13 (SI Venture Holdings LLC v. Catlin Specialty Insurance Co., No. 14-2261, S.D. N.Y.; 2015 U.S. Dist. LEXIS 89925).

Mealey's Litigation Procedure - Judge Trims Claims, Compels Arbitration In Securities Class Action

NEW YORK - A federal judge in New York on July 9 granted in part and denied in part a motion to dismiss filed by defendants in a securities class action, ruling that shareholders failed to properly plead particular claims and that another claim was barred by the statute of repose (In re Petrobas Securities Litigation, No. 14-9662, S.D. N.Y.).

Mealey's PI/Product Liability - Couple Granted Discovery Into Automaker's Relationship With Prior Companies

NEW YORK - A couple may conduct further discovery into an automaker's relationship between various prior companies before dismissal of the defendant, a New York justice held in an opinion posted July 10 (In re: New York City Asbestos Litigation, Jay and Sharon Gayoso v. American Honda Motor Company Inc., et al., No. 190209/14, N.Y. Sup., New York Co.).

Mealey's Litigation Procedure - Couple Granted Discovery Into Automaker's Relationship With Prior Companies

NEW YORK - A couple may conduct further discovery into an automaker's relationship between various prior companies before dismissal of the defendant, a New York justice held in an opinion posted July 10 (In re: New York City Asbestos Litigation, Jay and Sharon Gayoso v. American Honda Motor Company Inc., et al., No. 190209/14, N.Y. Sup., New York Co.).

Mealey's Litigation Procedure - New York Federal Judge Dismisses Lehman Stock-Drop Case

NEW YORK - On remand, a federal judge in New York ruled July 10 that Lehman Brothers Holding Inc.'s former directors and benefit committee members did not breach fiduciary duties under the Employee Retirement Income Security Act by continuing to offer company stock as an investment option for Lehman's employee stock ownership plan (ESOP) before the company's declaring bankruptcy (In re: Lehman Brothers Securities and ERISA Litigation [In re Lehman Brothers ERISA Litigation], No. 09-md02017, 08-cv-5598, S.D. N.Y.; 2015 U.S. Dist. LEXIS 90109).

Mealey's Securities/D&O Liability - New York Federal Judge Dismisses Lehman Stock-Drop Case

NEW YORK - On remand, a federal judge in New York ruled July 10 that Lehman Brothers Holding Inc.'s former directors and benefit committee members did not breach fiduciary duties under the Employee Retirement Income Security Act by continuing to offer company stock as an investment option for Lehman's employee stock ownership plan (ESOP) before the company's declaring bankruptcy (In re: Lehman Brothers Securities and ERISA Litigation [In re Lehman Brothers ERISA Litigation], No. 09-md02017, 08-cv-5598, S.D. N.Y.; 2015 U.S. Dist. LEXIS 90109).

Mealey's Labor & Employment - Tolling Of Statute Of Limitations Denied In Equal Pay Class Suit

NEW YORK - A New York federal judge on July 8 denied a motion by female workers seeking equitable tolling of the limitations period for their claims under the Equal Pay Act (EPA), finding that the case did not involve "rare and exceptional circumstances" where such a remedy would be appropriate (Megan Barrett, et al. v. Forest Laboratories, Inc., et al., No. 12-5224, S.D. N.Y.; 2015 U.S. Dist. LEXIS 88299).

Mealey's Toxic Tort/Environmental - Couple Granted Discovery Into Automaker's Relationship With Prior Companies

NEW YORK - A couple may conduct further discovery into an automaker's relationship between various prior companies before dismissal of the defendant, a New York justice held in an opinion posted July 10 (In re: New York City Asbestos Litigation, Jay and Sharon Gayoso v. American Honda Motor Company Inc., et al., No. 190209/14, N.Y. Sup., New York Co.).

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 - Tolling Of Statute Of Limitations Denied In Equal Pay Class Suit

NEW YORK - A New York federal judge on July 8 denied a motion by female workers seeking equitable tolling of the limitations period for their claims under the Equal Pay Act (EPA), finding that the case did not involve "rare and exceptional circumstances" where such a remedy would be appropriate (Megan Barrett, et al. v. Forest Laboratories, Inc., et al., No. 12-5224, S.D. N.Y.; 2015 U.S. Dist. LEXIS 88299).

Mealey's Securities/D&O Liability - Judge Trims Claims, Compels Arbitration In Securities Class Action

NEW YORK - A federal judge in New York on July 9 granted in part and denied in part a motion to dismiss filed by defendants in a securities class action, ruling that shareholders failed to properly plead particular claims and that another claim was barred by the statute of repose (In re Petrobas Securities Litigation, No. 14-9662, S.D. N.Y.).

Mealey's Labor & Employment - New York Federal Judge Dismisses Lehman Stock-Drop Case

NEW YORK - On remand, a federal judge in New York ruled July 10 that Lehman Brothers Holding Inc.'s former directors and benefit committee members did not breach fiduciary duties under the Employee Retirement Income Security Act by continuing to offer company stock as an investment option for Lehman's employee stock ownership plan (ESOP) before the company's declaring bankruptcy (In re: Lehman Brothers Securities and ERISA Litigation [In re Lehman Brothers ERISA Litigation], No. 09-md02017, 08-cv-5598, S.D. N.Y.; 2015 U.S. Dist. LEXIS 90109).

Mealey's PI/Product Liability - Court Affirms Punitive Damages In New York Asbestos Cases But Finds Process Flawed

NEW YORK - A New York justice acted within her powers in amending an asbestos case management order (CMO) to allow for punitive damages, but the ruling violates due process protections by charging the jury at the conclusion of the evidentiary phase, improperly leaving defendants guessing about whether such damages will be sought, a state appeals court held July 9 (In re: New York City Asbestos Litigation, All NYCAL Cases against A.O. Smith Water Products Co., et al., Crane Co., et al., Nos. 15678, 15677, 15676, 15675 N.Y. Sup. App. Div., 1st Dept.).

Mealey's Litigation Procedure - Reinsurer Says Information Reinsured Seeks Is Overly Broad, Not Relevant To Case

SYRACUSE, N.Y. - A reinsurer told a federal court in New York on July 8 that its reinsured's discovery requests are overly broad and ambiguous (Utica Mutual Insurance Company v. R&Q Reinsurance Company, No. 13-cv-01332, N.D. N.Y.).

Mealey's Toxic Tort/Environmental - Judge Orders Owner Of Dry Cleaning Company To Pay $83,885 For Cleanup

NEW YORK - A federal judge in New York on July 9 ordered the owner of a former dry cleaning company to pay $83,885 in past response costs for cleanup of perchloroethylene (PCE) contamination and declared that the owner is responsible for all future response costs, after granting the property owner's motion for default judgment in a lawsuit under the Comprehensive Environmental Response, Compensation and Liability Act (CERCLA) (S&K Commack Development LLC v. Hasn Dry Cleaners Inc., d/b/a Kwik Cleaners, et al., No. 13-CV-5297, E.D. N.Y.; 2015 U.S. Dist. LEXIS 89327).

Mealey's Toxic Tort/Environmental - Court Affirms Punitive Damages In New York Asbestos Cases But Finds Process Flawed

NEW YORK - A New York justice acted within her powers in amending an asbestos case management order (CMO) to allow for punitive damages, but the ruling violates due process protections by charging the jury at the conclusion of the evidentiary phase, improperly leaving defendants guessing about whether such damages will be sought, a state appeals court held July 9 (In re: New York City Asbestos Litigation, All NYCAL Cases against A.O. Smith Water Products Co., et al., Crane Co., et al., Nos. 15678, 15677, 15676, 15675 N.Y. Sup. App. Div., 1st Dept.).

Mealey's Insurance - Reinsurer Says Information Reinsured Seeks Is Overly Broad, Not Relevant To Case

SYRACUSE, N.Y. - A reinsurer told a federal court in New York on July 8 that its reinsured's discovery requests are overly broad and ambiguous (Utica Mutual Insurance Company v. R&Q Reinsurance Company, No. 13-cv-01332, N.D. N.Y.).

Mealey's Bankruptcy - GM Says Plaintiffs' Bid For Relief From Injunction Raises No New Issues

NEW YORK - Arguments made by a group of plaintiffs seeking relief from a ruling by the U.S. Bankruptcy Court for the Southern District of New York enforcing a sale order and injunction against suits against General Motors LLC (New GM) raise no issues that haven't already been considered and rejected by the court, New GM argues in a brief filed July 6 (In re: Chapter 11 Motors Liquidation Co., et al., f/k/a General Motors Corp., et al., No. 09-50026, S.D. N.Y. Bkcy.).

Mealey's PI/Product Liability - Justice Grants More Time For Stipulated Reduction Of $190M Asbestos Award

NEW YORK - A New York justice handed plaintiffs 60 days to stipulate to the reduction of a $190 million asbestos verdict, saying in an opinion posted July 7 that a pending appellate case could assist both parties (Santo Assenzio v. A.O. Smith Water Products, Robert Brunck v A.O. Smith Water Products, Paul Levy v. A.O. Smith Water Products, Cesar Serna v A.O. Smith Water Products, Raymond Vincent v. A.O. Smith Water Products, Nos. 190008/12, 190026/12, 190200/12, 190183/12, 190184/12, N.Y. Sup., New York Co.).

Mealey's PI/Product Liability - GM Says Plaintiffs' Bid For Relief From Injunction Raises No New Issues

NEW YORK - Arguments made by a group of plaintiffs seeking relief from a ruling by the U.S. Bankruptcy Court for the Southern District of New York enforcing a sale order and injunction against suits against General Motors LLC (New GM) raise no issues that haven't already been considered and rejected by the court, New GM argues in a brief filed July 6 (In re: Chapter 11 Motors Liquidation Co., et al., f/k/a General Motors Corp., et al., No. 09-50026, S.D. N.Y. Bkcy.).

Mealey's Toxic Tort/Environmental - Justice Grants More Time For Stipulated Reduction Of $190M Asbestos Award

NEW YORK - A New York justice handed plaintiffs 60 days to stipulate to the reduction of a $190 million asbestos verdict, saying in an opinion posted July 7 that a pending appellate case could assist both parties (Santo Assenzio v. A.O. Smith Water Products, Robert Brunck v A.O. Smith Water Products, Paul Levy v. A.O. Smith Water Products, Cesar Serna v A.O. Smith Water Products, Raymond Vincent v. A.O. Smith Water Products, Nos. 190008/12, 190026/12, 190200/12, 190183/12, 190184/12, N.Y. Sup., New York Co.).