LexisNexis® Legal Newsroom
Mealey's Securities/D&O Liability - Final Approval Of $235M Settlement In Securities Class Action Granted

NEW YORK - A federal judge in New York on July 31 granted final approval of a $235 million settlement in a securities class action lawsuit, ruling that the settlement met all statutory guidelines for approval (New Jersey Carpenters Health Fund, et al. v. Residential Capital LLC, et al., No. 08-8781, S.D. N.Y.).

Mealey's Litigation Procedure - $388M J.P. Morgan Securities Fraud Settlement Granted Preliminary Approval

NEW YORK - A New York federal judge on Aug. 4 granted preliminary approval of a settlement agreement under which J.P. Morgan Chase & Co. has agreed to pay $388 million to settle claims that it violated provisions of federal securities law by misrepresenting the investment quality of certain mortgage-backed securities it sold to investors, according to court documents filed in New York federal court (Fort Worth Employees' Retirement Fund v. J.P. Morgan Chase & Co., et al., No. 09-3701, S.D. N.Y.).

Mealey's Securities/D&O Liability - Judge Provides Further Detail In Dismissal Of Claims In Securities Class Action

NEW YORK - A federal judge in New York on July 30 issued an opinion providing further detail into an order he issued earlier in the month granting in part and denying in part a motion to dismiss in a securities class action lawsuit (In re Petrobas Securities Litigation, No. 14-9662, S.D. N.Y.).

Mealey's Litigation Procedure - Report: Securities Class Action Filings Below Average In First Half Of 2015

BOSTON - Although securities class action filings in the first half of 2015 were up over the number of filings from first half of 2014, the number of filings overall still remains below historical semiannual averages, according to a report filed July 29 by economic and financial analysis provider Cornerstone Research.

Mealey's Securities/D&O Liability - Report: Securities Class Action Filings Below Average In First Half Of 2015

BOSTON - Although securities class action filings in the first half of 2015 were up over the number of filings from first half of 2014, the number of filings overall still remains below historical semiannual averages, according to a report filed July 29 by economic and financial analysis provider Cornerstone Research.

Mealey's Securities/D&O Liability - Judge: Pension Fund Failed To Plead Scienter In Securities Class Action

LOS ANGELES - A federal judge in California on July 28 granted a motion to dismiss filed by defendants in a securities class action lawsuit, ruling that a pension fund failed to properly plead scienter as statutorily required (In re Herbalife Ltd. Securities Litigation, No. 14-2850, C.D. Calif.).

Mealey's Litigation Procedure - Class Certified In Halliburton Securities Class Action Lawsuit

DALLAS - A federal judge in Texas on July 25 granted in part an investor's motion for class certification in a securities class action lawsuit, ruling that the investor has properly pleaded a corrective disclosure that led to a price impact on the part of Halliburton Co. and its former CEO with regard to statements made in a Dec. 7, 2001, announcement regarding a jury verdict against Halliburton's subsidiary and others (The Erica P. John Fund Inc., et al. v. Halliburton Co., et al., No. 02-1152, N.D. Texas; 2015 U.S. Dist. LEXIS 97464).

Mealey's Securities/D&O Liability - Class Certified In Halliburton Securities Class Action Lawsuit

DALLAS - A federal judge in Texas on July 25 granted in part an investor's motion for class certification in a securities class action lawsuit, ruling that the investor has properly pleaded a corrective disclosure that led to a price impact on the part of Halliburton Co. and its former CEO with regard to statements made in a Dec. 7, 2001, announcement regarding a jury verdict against Halliburton's subsidiary and others (The Erica P. John Fund Inc., et al. v. Halliburton Co., et al., No. 02-1152, N.D. Texas; 2015 U.S. Dist. LEXIS 97464).

Mealey's Litigation Procedure - 2nd Circuit: Cash Balance Plan's Definition Of 'Normal Retirement Age' Is Invalid

NEW YORK - PricewaterhouseCoopers LLP's cash balance pension plan violates the Employee Retirement Income Security Act because it defines "normal retirement age" as five years of service, which "bears no plausible relation to 'normal retirement,'" the Second Circuit U.S. Court of Appeals ruled July 23 (Timothy D. Laurent, et al. v. PricewaterhouseCoopers, et al., No. 14-1179, 2nd Cir.; 2015 U.S. App. LEXIS 12678).

Mealey's PI/Product Liability - Bard Pays Medtronic $121M To Settle Pelvic Mesh Supplier Claims

MURRAY HILL, N.J. - Pelvic mesh manufacturer C.R. Bard said July 24 that it has agreed to pay Medtronic Inc. $121 million to settle supplier claims, Bard said in a Form 10-Q report filed with the U.S. Securities and Exchange Commission.

Mealey's Labor & Employment - 2nd Circuit: Cash Balance Plan's Definition Of 'Normal Retirement Age' Is Invalid

NEW YORK - PricewaterhouseCoopers LLP's cash balance pension plan violates the Employee Retirement Income Security Act because it defines "normal retirement age" as five years of service, which "bears no plausible relation to 'normal retirement,'" the Second Circuit U.S. Court of Appeals ruled July 23 (Timothy D. Laurent, et al. v. PricewaterhouseCoopers, et al., No. 14-1179, 2nd Cir.; 2015 U.S. App. LEXIS 12678).

Mealey's Litigation Procedure - Judge Grants Final Approval To $62M Settlement And Fee Award In 401(k) Case

EAST ST. LOUIS, Ill. - A federal judge in Illinois on July 17 awarded $20.6 million in fees and $1.6 million in costs and, on July 20, granted final approval to a $62 million settlement of claims by participants in two of Lockheed Martin Corp.'s 401(k) plans that the plans' fiduciaries breached their duties under the Employee Retirement Income Security Act by causing the plans to pay excessive administrative expenses, by investing in a stable-value fund (SVF) that did not result in a rate of return that was sufficient for a retirement asset and by mismanaging the plan's company stock funds (CSFs) (Anthony Abbott, et al. v. Lockheed Martin Corp., et al., No. 06-cv-701, S.D. Ill.; 2015 U.S. Dist. LEXIS 93206).

Mealey's Labor & Employment - Judge Grants Final Approval To $62M Settlement And Fee Award In 401(k) Case

EAST ST. LOUIS, Ill. - A federal judge in Illinois on July 17 awarded $20.6 million in fees and $1.6 million in costs and, on July 20, granted final approval to a $62 million settlement of claims by participants in two of Lockheed Martin Corp.'s 401(k) plans that the plans' fiduciaries breached their duties under the Employee Retirement Income Security Act by causing the plans to pay excessive administrative expenses, by investing in a stable-value fund (SVF) that did not result in a rate of return that was sufficient for a retirement asset and by mismanaging the plan's company stock funds (CSFs) (Anthony Abbott, et al. v. Lockheed Martin Corp., et al., No. 06-cv-701, S.D. Ill.; 2015 U.S. Dist. LEXIS 93206).

Mealey's Litigation Procedure - J.P. Morgan To Pay $388M To Settle Federal Securities Fraud Claims

NEW YORK - J.P. Morgan Chase & Co. on July 17 agreed pay $388 million to settle claims that it violated provisions of federal securities law by misrepresenting the investment quality of certain mortgage-backed securities it sold to investors, according to court documents filed in New York federal court (Forth Worth Employees' Retirement Fund v. J.P. Morgan Chase & Co., et al., No. 09-3701, S.D. N.Y.).

Mealey's Litigation Procedure - Federal Judge Appoints Lead Plaintiffs, Lead Counsel In Securities Class Action

NEW YORK - A federal judge in New York on July 16 granted the motion of a group of union pension funds for appointment as lead plaintiffs and for appointment of lead counsel in a securities class action, accepting a magistrate judge's report and recommendation (R&R) calling for the motion to be granted (Brian Ford v. VOXX International Corp., et al., No. 14-4183, E.D. N.Y.; 2015 U.S. Dist. LEXIS 92646).

Mealey's Securities/D&O Liability - J.P. Morgan To Pay $388M To Settle Federal Securities Fraud Claims

NEW YORK - J.P. Morgan Chase & Co. on July 17 agreed pay $388 million to settle claims that it violated provisions of federal securities law by misrepresenting the investment quality of certain mortgage-backed securities it sold to investors, according to court documents filed in New York federal court (Forth Worth Employees' Retirement Fund v. J.P. Morgan Chase & Co., et al., No. 09-3701, S.D. N.Y.).

Mealey's Securities/D&O Liability - Federal Judge Appoints Lead Plaintiffs, Lead Counsel In Securities Class Action

NEW YORK - A federal judge in New York on July 16 granted the motion of a group of union pension funds for appointment as lead plaintiffs and for appointment of lead counsel in a securities class action, accepting a magistrate judge's report and recommendation (R&R) calling for the motion to be granted (Brian Ford v. VOXX International Corp., et al., No. 14-4183, E.D. N.Y.; 2015 U.S. Dist. LEXIS 92646).

Mealey's Insurance - 11th Circuit Affirms Denial Of Statutory Penalties For Failure To Provide Documents

ATLANTA - A federal district court did not abuse its discretion by holding that a disability plan's claims administrator and plan administrator are not liable for penalties and attorney fees under the Employee Retirement Income Security Act for failure to provide plan documents to a plan participant, the 11th Circuit U.S. Court of Appeals ruled July 17 in an unpublished opinion (Allena Burge Smiley, D.M.D. v. Hartford Life and Accident Insurance Company, No. 15-10056, 11th Cir.; 2015 U.S. App. LEXIS 12334).

Mealey's Litigation Procedure - 2nd Circuit: Health Care Providers Lack Standing To Assert Retaliation Claims

NEW YORK - Health care providers are not beneficiaries of their patients' health insurance plans and, therefore, do not have standing to assert anti-retaliation protections under the Employee Retirement Income Security Act, the Second Circuit U.S. Court of Appeals affirmed July 15 (Henry L. Rojas, M.D., et al. v. Cigna Health and Life Insurance Company, et al., No. 14-3455, 2nd Cir.; 2015 U.S. App. LEXIS 12210).

Mealey's Health Law - 2nd Circuit: Health Care Providers Lack Standing To Assert Retaliation Claims

NEW YORK - Health care providers are not beneficiaries of their patients' health insurance plans and, therefore, do not have standing to assert anti-retaliation protections under the Employee Retirement Income Security Act, the Second Circuit U.S. Court of Appeals affirmed July 15 (Henry L. Rojas, M.D., et al. v. Cigna Health and Life Insurance Company, et al., No. 14-3455, 2nd Cir.; 2015 U.S. App. LEXIS 12210).

Mealey's Labor & Employment - 11th Circuit Affirms Denial Of Statutory Penalties For Failure To Provide Documents

ATLANTA - A federal district court did not abuse its discretion by holding that a disability plan's claims administrator and plan administrator are not liable for penalties and attorney fees under the Employee Retirement Income Security Act for failure to provide plan documents to a plan participant, the 11th Circuit U.S. Court of Appeals ruled July 17 in an unpublished opinion (Allena Burge Smiley, D.M.D. v. Hartford Life and Accident Insurance Company, No. 15-10056, 11th Cir.; 2015 U.S. App. LEXIS 12334).

Mealey's Labor & Employment - Severance Policy Is ERISA Plan, 2nd Circuit Rules

NEW YORK - A medical center's severance policy that had been maintained for almost 25 years and had not been modified for 15 years was an employee welfare benefit plan within the meaning of the Employee Retirement Income Security Act, the Second Circuit U.S. Court of Appeals ruled July 17 (Alexander Okun, MD, v. Montefiore Medical Center, No. 13-3928-cv, 2nd Cir.; 2015 U.S App. LEXIS 12361).

Mealey's Labor & Employment - 2nd Circuit: Health Care Providers Lack Standing To Assert Retaliation Claims

NEW YORK - Health care providers are not beneficiaries of their patients' health insurance plans and, therefore, do not have standing to assert anti-retaliation protections under the Employee Retirement Income Security Act, the Second Circuit U.S. Court of Appeals affirmed July 15 (Henry L. Rojas, M.D., et al. v. Cigna Health and Life Insurance Company, et al., No. 14-3455, 2nd Cir.; 2015 U.S. App. LEXIS 12210).

Mealey's Litigation Procedure - Judge Quashes Subpoena On Homeland Security Secretary In Privacy Suit

WASHINGTON, D.C. - Citing the presumption against subpoenaing high-ranking government officials and the plaintiffs' failure to establish that they cannot obtain the information sought from other sources, a District of Columbia federal judge on July 16 granted the government's motion to quash a subpoena seeking testimony from the secretary of the Department of Homeland Security (DHS) in a lawsuit alleging privacy violations by the government's retention, search and use of the plaintiffs' emails (Gilberte Jill Kelley, et al. v. Federal Bureau of Investigation, et al., No. 1:13-cv-00825, D. D.C.).

Mealey's Litigation Procedure - Texas Federal Judge Partly Quashes Subpoena In Patent Case

AUSTIN, Texas - Efforts by Samsung Austin Semiconductor (SAS) LLC to quash a subpoena by Rembrandt Secure Computing LP in Rembrandt's patent lawsuit against Apple Inc. were largely successful on July 15 (Rembrandt Secure Computing LP v. Apple Inc. et al., No. 15-438, W.D. Texas; 2015 U.S. Dist. LEXIS 91756).