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Court Rules Against Tobacco Companies
Court Watch | 2008/02/26 03:51
The Supreme Court on Monday rejected a tobacco industry request to intervene in a lawsuit by over a thousand West Virginia smokers.

The justices declined to examine a trial procedure in which a jury first determines whether smokers as a group are entitled to punitive damages before establishing whether any single smoker is entitled to compensation.

Later, a new jury addresses issues unique to each alleged smoking victim who sued.

West Virginia courts are allowing the approach, which has been used in other types of lawsuits, including claims for asbestos exposure.

The second phases of such trials rarely occur, because the two sides usually settle once they know the value of the case.

Tobacco companies oppose use of the legal device, which lawyers call "reverse bifurcation."

The tobacco industry said a jury doesn't know until later in a case whether any smoker was actually harmed or how serious any injury was; which defendants if any were responsible; or the amount of compensatory damages any defendant owes to smokers.

In addition to helping resolve suits over asbestos exposure, reverse bifurcation has been applied to claims against makers of the dangerous diet drug fen-phen.

In asking the justices not to take the case, lawyers for the smokers said further delay would mean that most of their clients would die before their cases could be tried, "thus affording the defendants a free pass" for their alleged misconduct.

The smokers say the companies secretly agreed not to market a truly safer cigarette while publicly proclaiming the safety of their own particular brands.

The first phase of the trial was scheduled to begin March 18.

The case is Philip Morris USA v. Accord, 07-806.



Court Rules Against Tobacco Companies
Court Watch | 2008/02/25 07:33
The Supreme Court on Monday rejected a tobacco industry request to intervene in a lawsuit by over a thousand West Virginia smokers.

The justices declined to examine a trial procedure in which a jury first determines whether smokers as a group are entitled to punitive damages before establishing whether any single smoker is entitled to compensation.

Later, a new jury addresses issues unique to each alleged smoking victim who sued.

West Virginia courts are allowing the approach, which has been used in other types of lawsuits, including claims for asbestos exposure.

The second phases of such trials rarely occur, because the two sides usually settle once they know the value of the case.

Tobacco companies oppose use of the legal device, which lawyers call "reverse bifurcation."

The tobacco industry said a jury doesn't know until later in a case whether any smoker was actually harmed or how serious any injury was; which defendants if any were responsible; or the amount of compensatory damages any defendant owes to smokers.

In addition to helping resolve suits over asbestos exposure, reverse bifurcation has been applied to claims against makers of the dangerous diet drug fen-phen.

In asking the justices not to take the case, lawyers for the smokers said further delay would mean that most of their clients would die before their cases could be tried, "thus affording the defendants a free pass" for their alleged misconduct.

The smokers say the companies secretly agreed not to market a truly safer cigarette while publicly proclaiming the safety of their own particular brands.

The first phase of the trial was scheduled to begin March 18.



Court victory for correction officers reversed
Court Watch | 2008/02/24 03:09
A federal appeals court has reversed a correction officers union's U.S. District Court win against Nassau County, saying the lag payroll procedure imposed on the union members by county officials did not violate the Constitution.

The decision Friday by the U.S. Court of Appeals for the Second Circuit found no violation of the due-process clause of the 14th Amendment because the county notified the Nassau County Sheriff Officers Association before imposing the procedure and because the association could have taken the issue to grievance and did not.

The union was seeking to recoup two weeks' pay that had been taken in 2004 from each of its more than 1,100 officers, who under the "lag" would be paid back at the end of their career.

Union President Michael Adams yesterday said he was "very disappointed" with the decision.

"I don't think it's the end of the issue," he said. "I'll see what remedies we have. How could it have been upheld all the way through to this point? The district court judge even told the county to set aside the money."

County Attorney Lorna Goodman said she was "very pleased" with the latest ruling. Using the lag payroll procedure saves the county money.

"The decision demonstrates that we did not violate any rights with the lag payroll," she added.

Through a series of negotiations with several unions, including the sheriff officers association, in 1999, the county reached conditional agreement on the payroll lag procedure, wherein 10 days of pay for each union member would be deferred until the member left county service.


Supreme Court allows prosecution of NASSCOM chief
Court Watch | 2008/02/22 06:58

The Supreme Court on Thursday allowed the prosecution of Chief of the National Association of Software and Services Companies (NASSCOM), Som Mittal, for not providing adequate security to a female employee who was raped and murdered in 2005.

“If you are the head of a company, you are responsible for the safety of your employees,” the apex court said.

Pratibha Srikant Murthy, an employee of Hewlett-Packard (HP) GlobalSoft's BPO (Business Process Outsourcing) unit was raped and murdered in Bangalore by a cab driver who was dropping her home after work.

Mittal was the Managing Director of Hewlett-Packard GlobalSoft Pvt Ltd at that time.

However, Hewlett-Packard said in a statement: “In the matter concerning the order passed by the Hon'ble Supreme Court in response to a petition filed by Som Mittal, HP India would like to clarify that the Hon'ble Court has not pronounced either Mittal or HP guilty on any count. It has only directed Mittal to urge all the contentions as available under law, including maintainability of the complaint, before the trial court. However, since the matter is sub-judice, HP would not like to comment on any specifics related to the case at this point,” it added.

NASSCOM, which is a body representing Indian IT companies and BPO firms, refused to comment.



AIG must show documents to Greenberg, Smith
Court Watch | 2008/02/21 02:46
American International Group Inc. must give former Chief Executive Officer Maurice R. Greenberg and former Chief Financial Officer Howard I. Smith access to AIG legal documents in their defense against fraud charges brought by the New York attorney general, an intermediate New York appeals court has ruled.

Overturning a lower court decision that AIG could withhold the documents as privileged, a unanimous five-judge panel of the Appellate Division of New York State Supreme Court ruled that the two former AIG executives are entitled to the legal memoranda, which include some related to AIG’s allegedly fraudulent 2000 loss portfolio reinsurance deal with General Re Corp.

Yesterday’s appeals ruling stems from then-New York Attorney General Eliot Spitzer’s 2005 lawsuit charging Messrs. Greenberg and Smith with fraud related to the Gen Re deal and other allegedly sham transactions designed to manipulate AIG’s financial statements. AIG itself was originally a defendant, but settled with regulators in 2006, paying $1.6 billion.

Messrs. Greenberg and Smith have argued in part that they relied on the advice of legal counsel in the transactions cited in the attorney general’s lawsuit, and have sought copies of all legal memoranda related to the transactions prepared at the time they were AIG officers.

AIG refused to turn over the documents, and a New York judge ruled that they were protected by AIG’s attorney-client privilege.

The Appellate Division panel reversed that ruling, though, finding that the two former executives have a qualified right to inspect the memoranda.



Beaumont man pleads guilty to Rita fraud
Court Watch | 2008/02/20 01:38
A Beaumont man has pleaded guilty to making a false statement to FEMA in seeking disaster relief after Hurricane Rita.

Wilyum Henderson, 50, entered the plea Tuesday in federal court in Beaumont.

The U.S. Attorney's Office said Henderson filed a fake claim with the Federal Emergency Management Agency for disaster housing and individual assistance for losses from the hurricane that hit the Gulf Coast in 2005. He received $2,000 in assistance.

Henderson could be sentenced to up to five years in prison and fined up to $250,000. A sentencing date hasn't been set.



Court orders whistle-blower site offline in U.S.
Court Watch | 2008/02/19 09:11

A California district court has shut down a controversial Web site in the U.S. that allows whistle-blowers to post corporate and government documents online anonymously. A site known as Wikileaks.org has been taken offline in the U.S. due to a court order from the U.S. District Court in San Francisco. However, the site remains online in other countries, including Belgium and Germany.

The order in the U.S. came after a Swiss bank, the Julius Baer Group, filed a complaint earlier this month against the site and San Mateo, Calif.-based Dynadot LLC, Wikileaks' domain name registry, for posting several hundred of the bank's documents.

Some of those documents allegedly reveal that the Julius Baer Group was involved in offshore money laundering and tax evasion in the Cayman Islands for customers in several countries, including the U.S.

The court ordered that "Dynadot shall immediately clear and remove all DNS-hosting records for the wikileaks.org domain name," according to court documents. It also said that Dynadot should prevent the domain name from resolving to the wikileaks.org Web site, or any other Web site or server other than a blank park page until further notice.

A spokesman for the Julius Baer Group could not be reached for comment Monday.

According to its Web site, the purpose of Wikileaks, founded in 2006, is to develop "an uncensorable system for untraceable mass document leaking and public analysis."

Wikileaks has been plagued by controversy since its inception, coming under fire from institutions whose confidential documents have been posted on the site and from critics who have questioned the motives of the site's founders. Still, others have praised the site for supporting the free dissemination of information.

Wikileaks posted a press statement on its site about the U.S. order, calling it "clearly unconstitutional" and said it "exceeds its jurisdiction."



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Class action or a representative action is a form of lawsuit in which a large group of people collectively bring a claim to court and/or in which a class of defendants is being sued. This form of collective lawsuit originated in the United States and is still predominantly a U.S. phenomenon, at least the U.S. variant of it. In the United States federal courts, class actions are governed by Federal Rules of Civil Procedure Rule. Since 1938, many states have adopted rules similar to the FRCP. However, some states like California have civil procedure systems which deviate significantly from the federal rules; the California Codes provide for four separate types of class actions. As a result, there are two separate treatises devoted solely to the complex topic of California class actions. Some states, such as Virginia, do not provide for any class actions, while others, such as New York, limit the types of claims that may be brought as class actions. They can construct your law firm a brand new website, lawyer website templates and help you redesign your existing law firm site to secure your place in the internet.
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