LexisNexis® Legal Newsroom
Mealey's Insurance - Class, Health Insurer Reach $7M Settlement Over Mental Health Coverage

SAN JOSE, Calif. - Health insurer Blue Shield of California and a class of people who claim that the company improperly denied coverage for mental health services reached a $7 million agreement resolving the case on Jan. 15 (Charles Des Roches, et al. v. California Physicians' Service, et al., No...

Mealey's Labor & Employment - U.S. High Court Won't Rule On Authority Of Magistrate Judge

WASHINGTON, D.C. - The U.S. Supreme Court on Jan. 16 denied a petition for writ of certiorari by Wisconsin's Labor and Industry Review Commission seeking to overturn a decision by the Seventh Circuit U.S. Court of Appeals that found that a magistrate judge lacks authority to enter final judgment...

Mealey's Litigation Procedure - Ogletree Attorney Seeks More Than $300 Million In Equal Pay Act Class Lawsuit

SAN FRANCISCO - Ogletree, Deakins, Nash, Smoak & Stewart favors men in pay, promotions and other opportunities, and leadership fosters an environment where women are marginalized and demeaned, one female attorney and nonequity shareholder of the firm alleges in her class and collective action complaint...

Mealey's Insurance - Judge Dismisses Insurer's Dispute Over Defense Owed For Construction Defects Cases

ASHEVILLE, N.C. - Citing overlapping issues with an underlying state court declaratory judgment action, a North Carolina federal judge on Jan. 12 dismissed a coverage dispute between commercial general liability insurers with regard to a duty to defend a mutual insured and additional insureds in construction...

Mealey's Litigation Procedure - Woman Who Kept Girls As Slaves Fails In Attack On 'Trauma Bond' Testimony

NEW ORLEANS - The Fifth Circuit U.S. Court of Appeals on Jan. 15 affirmed the guilty verdicts and six-year prison sentence for a woman who kept illegal Mexicans in her home, where she abused them and forced them to perform slave labor, after finding that the trial court did not abuse its discretion in...

Mealey's Securities/D&O Liability - Securities Suit Remanded For Proper Application Of Basic Reliance Standard

NEW YORK - It is unclear whether a federal district court properly applied the correct standard in determining that defendants in a securities class action lawsuit failed to properly rebut the presumption of reliance by a preponderance of the evidence as required pursuant to the U.S. Supreme Court's...

Mealey's Insurance - Judge Finds Indictment Sufficiently Alleges Scheme To Defraud Insurer, Government

BILLINGS, Mont. - A federal judge in Montana on Jan. 16 denied a motion to dismiss a 14-count indictment filed by a transportation company and its owner accused of concealing from their insurer that they were transporting explosives, finding that the allegations in the indictment sufficiently support...

Mealey's Securities/D&O Liability - Earnings Call Statements Not Protected By Safe Harbor Provision, Judge Rules

NEWARK, N.J. - Statements made by defendants in a securities class action lawsuit against a pet food company and certain of its executive officers in 2015 investor earnings calls were not forward-looking or protected by the safe harbor provision of the Private Securities Litigation Reform Act (PSLRA...

Mealey's Toxic Tort/Environmental - Special Master Fees In Lago Agrio Case Pose 'Ethical Problems,' Attorney Says

NEW YORK - The attorney representing a group of Ecuadorian residents who won an $18.5 billion judgment against Chevron Corp. for injuries, only to have it reversed, on Jan. 16 filed a letter with the presiding judge in the U.S. District Court for the Southern District of New York, arguing that the special...

Mealey's Toxic Tort/Environmental - Rail Car Pipe Insulation Asbestos Claims Survive Preemption, Federal Judge Says

KANSAS CITY, Kan. - Claims of asbestos exposure from pipe insulation aboard railway passenger cars do not clearly implicate federal statutes governing locomotives or safety appliances and avoid preemption, a federal judge in Kansas held Jan. 12 (Nancy Little, et al. v. The Budd Co., No. 16-4170, D. Kan...

Mealey's Insurance - Insurer Says Reinsurer Breached Contract With Regard To Asbestos Claims

BRIDGEPORT, Conn. - A reinsurer breached its contract by refusing to pay its share of losses arising out of the settlement of asbestos claims, an insurer says in a Jan. 16 complaint filed in the Connecticut federal court (Travelers Casualty and Surety Co. v. Lamorak Insurance Co., No. 18-00087, D. Conn...

Mealey's Litigation Procedure - Parties Settle Dispute Over $18M ICC Award Issued Over Tunnel Excavation Claims

MIAMI - A Florida federal judge on Jan. 12 granted a joint motion to dismiss a petition to vacate and a cross-petition to confirm a $18,068,685 international arbitral award issued in a dispute over a contract for the excavation of tunnels as part of a project for the construction of a hydroelectric plant...

Mealey's Labor & Employment - Car Dealership Attorney To High Court: 'Service Advisors' Are Salespeople

WASHINGTON, D.C. - The attorney representing a Mercedes-Benz car dealership argued before the U.S. Supreme Court on Jan. 17 that "service advisors" are "plainly salespeople" who are primarily engaged in "the servicing of automobiles" and are exempt from receiving overtime...

Mealey's Litigation Procedure - Aetna Will Pay $17 Million To End Privacy Class Suit By HIV Patients

PHILADELPHIA - Aetna Inc. and related entities (Aetna, collectively) have agreed to pay $17,161,200 to settle privacy claims by more than 13,400 class members whose HIV status was revealed by the insurer through an indiscreet mailing, according to a motion for preliminary approval of a class action settlement...

Mealey's PI/Product Liability - U.S. Attorney Seeks $611,774 In Forfeiture Against NECC Chief Pharmacist

BOSTON - The United States on Jan. 16 asked a district court to order former New England Compounding Center (NECC) pharmacist Glenn A. Chin to forfeit $611,744 following his conviction for racketeering, mail fraud and selling adulterated and misbranded drugs (United States of America v. Glenn A. Chin...

Mealey's Insurance - North Carolina Panel Affirms Ruling In Insurers' Favor In Superstorm Sandy Suit

RALEIGH, N.C. - A North Carolina appeals panel on Jan. 16 affirmed a lower court's ruling in favor of insurers in their declaratory judgment lawsuit challenging coverage for underlying property damage caused by Superstorm Sandy, finding that the insured's interpretation of the examination under...

Mealey's Health Law - United States Says California Abortion Law Governing Licensed Speakers Fails

WASHINGTON, D.C. - Neither pregnancy counseling centers challenging a law requiring that they disclose the availability of abortion services nor the state of California advances the correct standard for analyzing the case, and the law at the heart the case partially fails when properly evaluated, the...

Mealey's IP/Tech - Federal Circuit Affirms Obviousness Rejection Of Patent Application

WASHINGTON, D.C. - An inventor's efforts to patent a portable memory device identification system were unsuccessful Jan. 17, when the Federal Circuit U.S. Court of Appeals instead affirmed findings by the Patent Trial and Appeal Board that the invention would be obvious to a person of skill in the...

Mealey's Insurance - Panel Reverses Ruling, Says Questions Of Fact Exist On Insured's Bad Faith Claim

ATLANTA - The 11th Circuit U.S. Court of Appeals on Jan. 16 vacated and remanded a district court's judgment in favor of an insurer on the basis that genuine issues of material fact exist as to whether the insurer acted in bad faith by failing to pay the full uninsured motorist (UM) benefit to the...

Mealey's Litigation Procedure - Magistrate Strikes Some Expert Testimony In Ticket Sales Patent License Row

MARSHALL, Texas - A Texas federal magistrate judge on Jan. 17 granted in part a motion by a patent holder to exclude testimony from a ticket distributor's computer-programming expert in a dispute over a license agreement, ruling that the expert cannot offer opinions about a key term in the agreement...

Mealey's Banking & Finance - Judge Allows Philadelphia's FHA Claims Against Wells Fargo To Proceed

PHILADELPHIA - A Pennsylvania federal judge on Jan. 16 refused to dismiss claims for violation of the Fair Housing Act (FHA), finding that the City of Philadelphia sufficiently pleaded allegations to allow claims that a bank engaged in discriminatory lending practices in minority communities within the...

Mealey's Insurance - Judge Refuses To Remand Fraud Suit For Improper Service To Defendant Doctor

PHILADELPHIA - A federal judge in Pennsylvania on Jan. 12 denied a motion to remand filed by Aetna Inc. and Aetna Health Management LLC, finding that their attempt to provide service to a defendant doctor accused of conspiring to submit claims for an opioid-based pain medication for cancer patients was...

Mealey's Insurance - Out-Of-State Insurer Wants Emergency Care Provider's California Suit Dismissed

LOS ANGELES - An emergency health services provider relies on "phantom allegations" and evidence outside the complaint in opposing dismissal of implied-in-fact contract and quantum meruit claims, a South Carolina insurer told a California federal judge on Jan. 17 (Long Beach Memorial Medical...

Mealey's Insurance - Reinsurers Breached Their Contract By Failing To Pay Share Of Loss, Insurer Says

BRIDGEPORT, Conn. - With regard to settlements of underlying asbestos claims, two reinsurers breached their contract by failing to pay their share of losses, an insurer says in its Jan. 16 complaint filed in Connecticut federal court (Travelers Casualty and Surety Co. v. Nationwide Mutual Insurance Co...

Mealey's Insurance Insurer Opposes New Trial As Jury Had Evidence For $64M Award Against Reinsurer

UTICA, N.Y. - In response to a reinsurer's motion for a new trial, an insurer argues in a Jan. 12 brief to a New York federal court that a jury had ample evidence in a "dozen witnesses and hundreds of exhibits" before reaching a $64 million verdict against a reinsurer over asbestos claims...