NEW YORK - Shareholders in a securities class action lawsuit against car maker Fiat Chrysler Automobiles N.V. (Chrysler), certain of its executive officers and others have properly pleaded scienter and falsity in making their federal securities law claims by showing that the defendants concealed certain emissions-based issues with several of Chrysler's automobiles, a federal judge in New York ruled Nov. 13 in denying the defendants' motion to dismiss (Victor Pirnik v. Fiat Chrysler Automobiles N.V., et al., No. 15-7199, S.D. N.Y.; 2017 U.S. Dist. LEXIS 187264).
NEW YORK - The federal judge in New York presiding over litigation stemming from groundwater contamination caused by the gasoline additive methyl tertiary butyl ether (MTBE) on Nov. 13 recommended remanding the Orange County Water District's (OCWD) lawsuit to California federal court, finding that all consolidated pretrial proceedings in the suit have been completed (In re: Methyl Tertiary Butyl Ether (MTBE) Products liability Litigation, MDL 1358, Orange County Water District v. Unocal, et al., No. 04 Civ. 4968, S.D. N.Y., 2017 U.S. Dist. LEXIS 187458).
NEW YORK - A class complaint alleging that the live stream of an August boxing match suffered from technical failures and caused pay-per-view viewers to miss large portions of the fight was stayed Nov. 7 by a New York federal judge, who ordered the matter to arbitration (Victor Mallh, et al. v. Showtime Networks Inc., No. 17-6549, S.D. N.Y., 2017 U.S. Dist. LEXIS 184471).
NEW YORK - A New York federal judge did not err in rejecting allegations that a licensee violated the Digital Millennium Copyright Act (DMCA), 17 U.S.C. 1201(a), when it modified security measures to prevent two software programs from self-enforcing certain licensing restrictions because the plaintiffs failed to demonstrate the copyrightability of the underlying programs, the Second Circuit U.S. Court of Appeals ruled Nov. 8 (Dynamic Concepts Inc. and Point 4 Data Corp. v. Tri-State Surgical Supply, et al., Nos. 15-0563, -3212, 2nd Cir., 2017 U.S. App. LEXIS 22348).
NEW YORK - Consolidated Edison Company of New York Inc. (Con Edison) has agreed to pay $800,000 and provide other relief to settle a lawsuit accusing the employer's doctors of refusing to medically approve qualified candidates to commence their employment due to their disabilities, the Equal Employment Opportunity Commission announced Nov. 8 (U.S. Equal Employment Opportunity Commission v. Consolidated Edison Company of New York, Inc., No. 17-7390, S.D. N.Y.).
NEW YORK - Responding to a summary judgment motion filed by the U.S. Department of Justice (DOJ), on behalf of President Donald J. Trump and three top aides, a group of people that have been blocked from the president's Twitter account filed a cross-motion on Nov. 3 in New York federal court, defending their claims under the First Amendment to the U.S. Constitution (Knight First Amendment Institute at Columbia University, et al. v. Donald J. Trump, et al., No. 1:17-cv-05205, S.D. N.Y.).
UTICA, N.Y. - A New York federal judge on Nov. 7 granted an insurer's motion to dismiss eight claims alleged by an insured seeking coverage for water and mold damages after determining that the insured plausibly alleged that the insurer breached its contract but failed to prove that the insurer's conduct amounted to any tortious behavior (Edmund G. Sanderson v. First Liberty Insurance Corp., No. 16-644, N.D. N.Y., 2017 U.S. Dist. LEXIS 184468).
NEW YORK - In a reinsurance coverage dispute for a trucking accident, a New York federal judge on Nov. 2 granted an extension for an insurer and a reinsurer on a discovery deadline because a dispute remains in the underlying action concerning any interest owed by the insurer (Endurance Assurance Corp. v. Florists' Mutual Insurance Co., et al., No. 16-09955, S.D. N.Y.).
NEW YORK - A federal judge in New York on Nov. 3 denied motions filed by two doctors seeking to sever their claims from a criminal insurance fraud indictment, finding that the defendants' antagonistic defenses and the possibility of prejudicial spillover did not warrant severance (United States of America v. Asim Hameedi, et al., No. 17 Cr. 137, S.D. N.Y., 2017 U.S. Dist. LEXIS 182790).
NEW YORK - A New York federal judge did not err in determining, following a bench trial, that a declaratory judgment plaintiff's bag closure products do not infringe or dilute a competitor's trade dress, the Second Circuit U.S. Court of Appeals concluded Nov. 2 (Schutte Bagclosures Inc. and Schutte Bagclosures B.V. v. Kiwk Lok Corporation, No. 16-2767, 2nd Cir., 2017 U.S. App. LEXIS 21864).
NEW YORK - In a Nov. 2 summary order, a Second Circuit U.S. Court of Appeals panel found that a breach of contract claim over problems with the website and app of Weight Watchers International Inc. failed because the site was offered on an "as is" basis, affirming a trial court's dismissal of a putative class action (Raymond M. Roberts v. Weight Watchers International Inc., No. 16-3865, 2nd Cir., 2017 U.S. App. LEXIS 21874).
NEW YORK - A federal district court erred in granting summary judgment to defendants in a shareholder derivative lawsuit against hedge funds and a hedge fund manager because the defendants did not meet the statutory guidelines necessary to avoid disgorgement of certain short-swing profits they obtained as part of a stock purchase agreement (SPA) and stock exchange agreement (EA) the defendants had with freight shipping company YRC Worldwide Inc., a YRC shareholder argues in an Oct. 31 appellant brief filed in the Second Circuit U.S. Court of Appeals (Andrew E. Roth v. Solus Alternative Asset Management LP, et al., No. 17-2287, 2nd Cir.).
NEW YORK - A federal district court properly dismissed a securities class action lawsuit against the operator of an online marketplace, certain of its executive officers and underwriters of the company's initial public offering (IPO) because shareholders failed to plead any actionable misstatements or omissions or the necessary elements of scienter in making their federal securities law claims, the defendants argue in a Nov. 1 appellee brief filed in the Second Circuit U.S. Court of Appeals (Saleh Altayyar, et al. v. Etsy Inc., et al., No. 17-1180, 2nd Cir.).
NEW YORK - A New York federal judge on Oct. 30 entered an order endorsing a settlement in which an insured agreed that certain underlying environmental contamination claims are not covered under two environmental hazard insurance policies issued to the insured in the 1980s (Travelers Indemnity Co., et al. v. Northrop Grumman Corp., et al., Nos. 16-8778, 12-3040, S.D. N.Y., 2017 U.S. Dist. LEXIS 180486).
NEW YORK - A New York federal judge on Oct. 30 denied a motion to strike an unaccepted offer of judgment filed by the lead plaintiffs suing New York City for seizing their food carts, opining that since there is not yet a certified class, offers of judgment on the lead plaintiffs' individual claims are appropriate (Sanwar Ahmed, et al. v. City of New York, et al., No. 17-3044, S.D. N.Y., 2017 U.S. Dist. LEXIS 179531).
SYRACUSE, N.Y. - An expert witness for a former college student who was kicked out of school for allegedly sexually assaulting three female students cannot testify about the "presumption of trauma" for rape victims or any other aspect of the accused's human rights case against the college because her testimony is "replete with speculation, improper legal conclusions, and opinions that she is unqualified to make," a New York federal judge ruled Oct. 31 (John Doe v. Colgate University, et al., No. 5:15-cv-1069, N.D. N.Y., 2017 U.S. Dist. LEXIS 180267).
NEW YORK - In a reinsurance coverage dispute for a trucking accident, an insurer on Oct. 26 filed a letter with a New York federal court, seeking an extension for it and a reinsurer on a discovery deadline because a dispute remains in the underlying action concerning any interest owed by the insurer (Endurance Assurance Corp. v. Florists' Mutual Insurance Co., et al., No. 16-09955, S.D. N.Y.).
NEW YORK - A district court properly found that an insurer did not act in bad faith when handling an insurer's claim related to the settlement of an underlying personal injury suit arising out of a boating accident because the insured failed to prove that the insurer acted with gross disregard of the insured's interest, the Second Circuit U.S. Court of Appeals said Oct. 27 (Sea Tow International Inc. v. St. Paul Fire & Marine Insurance Co., et al., No. 16-3672, 2nd Cir., 2017 U.S. App. LEXIS 21308).
UTICA, N.Y. - In a dispute over a $325 million settlement of asbestos claims, an insurer in an Oct. 25 letter asks a New York federal court to deny a reinsurer's request to preclude a constructive notice argument, the use of prior court decisions and settlements and expert testimony (Utica Mutual Insurance Co. v. Fireman's Fund Insurance Co., No. 09-00853, N.D. N.Y.).