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Supreme Court hears antitrust case
Court Watch | 2007/03/27 08:49
The US Supreme Court heard oral arguments Monday in the case of Leegin Creative Leather Products, Inc. v. PSKS, Inc., 06-480, in which a clothing manufacturer requests the Court to overrule a 1911 Supreme Court decision, Dr. Miles Medical Co. v. John D. Park & Sons Co. that held any minimum price agreement to be per se illegal and anti-competitive. In the present case, manufacturer Leegin ceased supplying goods to retailer PSKS after PSKS lowered its prices beneath the minimum set by the manufacturer. Leegin argued that such agreements foster competition among smaller retailers by preventing large retailers from setting extremely low and predatory prices. The trial court found that Leegin's actions violated the Sherman Antitrust Act and awarded PSKS treble damages. The US Court of Appeals for the Fifth Circuit affirmed the decision in favor of PSKS. Associate Justice Stephen Breyer speculated that dropping the per se rule would raise prices, while Associate Justice Antonin Scalia suggested that some consumers prefer to pay more in return for greater customer service.


Virginia's Governor Vetoes Bills On The Death Penalty
Breaking Legal News | 2007/03/27 08:48

Virginia Governor Timothy M. Kaine announced Monday that he has vetoed five bills promoting the death penalty. House Bill 2750 and House Bill 2347  sought to make the murder of a judge and the murder of a witness in a criminal case, respectively, into capital crimes; Senate Bill 1116 proposed a similar measure. House Bill 2348 and its counterpart Senate Bill 1288 would have made accessories to first degree murder eligible for the death penalty. Kaine acknowledged the seriousness of the targeted offenses but said he did not believe that it was necessary to expand the death penalty "to protect human life or provide for public safety needs."

Kaine, a Democrat and a Roman Catholic, ran his 2005 campaign as an anti-death penalty candidate, but said he would not disrupt the current state laws. Monday's vetoes are expected to be overturned by the predominately Republican Virginia General Assembly during a vote on April 4. Virginia currently has the second-highest number of executions in the US after Texas.



Gonzales aide to invoke Fifth Amendment
Law Center | 2007/03/27 06:50

Attorney General Alberto Gonzales‘ liaison with the White House will refuse to answer questions at upcoming Senate hearings about the firings of eight U.S. attorneys, citing her Fifth Amendment protection against self-incrimination, her lawyer said Monday. The revelation complicated the outlook for Gonzales, who is traveling out of town this week even as he fights to keep his job.

Asked why he would want to remain as attorney general amid so many calls for his ouster, Gonzales said he‘s been asking himself lately whether it‘s appropriate for him to stay in his job.

But, he said, "at the end of the day, it‘s not about Alberto Gonzales. It‘s about this great Department of Justice that does so many wonderful things for the American people."

The House voted 329-78 to strip the attorney general of his power to indefinitely appoint federal prosecutors, approving a bill similar to one passed in the Senate. President Bush , who is standing by Gonzales, has signaled that he will not veto the legislation.



Oracle lawsuit escalates battle with SAP
Venture Business News | 2007/03/27 05:54

Oracle's lawsuit accusing rival SAP of stealing proprietary information is a serious escalation in the battle between the software giants that may create fear and uncertainty among customers, some analysts say.

"Clearly it's a very fierce rivalry that just keeps getting ratcheted up," says James Kobielus, principal analyst for data management at Current Analysis. "It's not surprising they'll continue to duke it out with each other through all available channels. ... Oracle has made no bones about the fact that it covets SAP's primary standing in the business application market. SAP clearly feels the threat from Oracle on that front."

Oracle Thursday accused SAP and its TomorrowNow subsidiary of engaging in "systematic, illegal access" to Oracle's computerized customer support systems. TomorrowNow provides third-party maintenance and support in large part for Oracle applications drawn from its PeopleSoft, Siebel and JD Edwards product families.

Oracle's lawsuit defends against TomorrowNow "looking to undercut a major revenue stream by offering half-rate support," writes Martin Schneider, an analyst at 451 Group. But Oracle has done the same in the past, he writes in analysis issued in response to the lawsuit.

"It is interesting that Oracle has been guilty of the same kind of activity with its recent underselling of RedHat Linux support," Schneider writes. "But since the JDE and PeopleSoft products are under proprietary licenses, Oracle has much more legal recourse than RedHat. But we wonder how much (Oracle) IP SAP did gather that is really hard to come by, since most of the later PeopleSoft bug fixes and patches were built using the open source Eclipse toolkit."

Oracle's lawsuit claims that SAP illegally accessed and downloaded more than 10,000 pieces of Oracle IP off its customer portal, Schneider notes.



Jackson Law Firm Sues Scruggs In Dispute Over Fees
Legal Business | 2007/03/27 04:37

A Jackson law firm has sued millionaire trial attorney Richard Scruggs for allegedly withholding money it claims it was owed for working on Hurricane Katrina insurance-related litigation.

The lawsuit was filed March 15 in Lafayette County Circuit Court by Grady F. Tollison Jr. on behalf of the Jones, Funderburg, Sessums, Peterson & Lee law firm in Jackson. No court date has been set for the lawsuit.

Tollison has requested a jury trial. Tollison was not in his office Tuesday and was not immediately available for comment.

Scruggs is one of the nation's wealthiest trial attorneys. In the late 1990s, his Mississippi-based firm earned nearly $1 billion in fees for his part in reaching a landmark $250 billion settlement with tobacco companies. He used that windfall to finance lawsuits against insurance companies for denying thousands of policyholders' claims after Katrina destroyed their homes.

Scruggs created a legal team, called the Scruggs Katrina Group, to represent the policyholders. SKG's work led to a settlement with State Farm Fire & Casualty Co. that will earn the attorneys about $26 million. Those legal fees are at the crux of the lawsuit.

Zach Scruggs of Oxford, Scruggs' son and law partner, said Tuesday that he could not immediately comment on the lawsuit. Also named as defendants in the lawsuit are other members of the SKG team.

The lawsuit, which gives only one side of the legal argument, alleges that senior partner John G. Jones and other members of the Jackson law firm deposed witnesses, handled briefs, filed motions and other tasks for Scruggs' group.

Specifically, the lawsuit mentions Jones and his law firm's work on a July 2006 lawsuit, filed by SKG on behalf of Pascagoula police officer Paul Leonard against Nationwide Mutual Insurance Co. over denial of Leonard's claim.

Jones participated in the questioning of witnesses in that lawsuit. The lawsuit notes that the agreement with SKG did not specify a percentage of fees that each participating law firm would receive.

The exception was a Ridgeland law firm that had agreed to finance part of the SKG joint venture.

The lawsuit alleges Scruggs and other conspired to "freeze out" the Jones firm and offered it a "ridiculously low figure" for its "substantial" work. Jones claimed his firm was offered a $1 million payment and was told it would get nothing from the legal fees to be paid by State Farm, according to the lawsuit.

Jones contends Scruggs declined to negotiate or enter into arbitration to settle the fees issue and kept Jones' law firm out of any other lawsuits filed by SKG. The Jones firm claims it is entitled to 20 percent of all past attorney fees collected by SKG and 20 percent of all future attorney fees SKG collects. The lawsuit also asks for unspecified punitive damages.



LV police to pay $1.48 million to settle lawsuit
Breaking Legal News | 2007/03/27 03:55
Las Vegas police will pay almost 1.5 (M) Million dollars to settle a federal lawsuit alleging a cover-up after an officer's wife hit and killed a bicyclist in 1994.

The lawsuit alleged that 26-year-old Janet Wagner had been drinking -- but that her police officer husband and others delayed contacting the N-H-P. Sheriff Douglas Gillespie says Wagner wasn't at fault -- but that the record-setting settlement addresses the appearance that she got preferential treatment.


Georgia’s Lawsuit against Russia
International | 2007/03/27 02:56

Georgia's Ministry of Justice said Monday it has filed a lawsuit against Russia with the European Court of Human Rights for the alleged illegal deportation of Georgian citizens last year.

"The lawsuit is based on thousands of instances of serious violations of human rights of Georgian citizens and ethnic Georgians during their deportation from Russia," the ministry said in an official statement.

Russia and Georgia became caught up in an intense diplomatic row last September when the arrest of four Russian officers in Tbilisi on spying charges prompted Russia to deport hundreds of Georgians, cut off mail and transport links with Tbilisi as well as crack down on 'illegal' Georgian businesses.

Mikhail Kamynin, the Russian Foreign Ministry's official spokesman, said that "such actions by Tbilisi officials will not help [the two countries] normalize bilateral relations, which Russia is striving for."

Vissarion Bokhashvili, Georgia's representative at the Strasbourg Court, is expected to make a statement on the lawsuit later Tuesday.

According to unofficial information, the Georgian side will present evidence of deported citizens who allegedly suffered from inhumane treatment at Moscow's police detention centers, as well as documents proving that their stays in Russia were legal.

Relations between Georgia and Russia have been strained ever since the Western-leaning government of President Mikheil Saakashvili came to power in 2003.

In addition to tensions over the breakaway regions of South Ossetia and Abkhazia, which Saakashvili has pledged to restore to Georgia proper, Georgia's ambition to join the Western NATO military alliance has been sharply criticized by Russia.

Last March, Russia banned Georgian wine and mineral water, dealing a heavy blow to the ex-Soviet republic's fragile economy.

Following the spying row, the situation deteriorated further when Tbilisi subsequently threatened to withdraw its support for Russia's WTO bid.



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