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State Will Handle WVU-Rodriguez Lawsuit
Court Watch | 2008/02/12 04:12
The lawsuit over a $4 million buyout clause in the contract of former West Virginia University football coach Rich Rodriguez is headed back to the court where it originated.

A federal judge ruled Monday the matter belongs in Monongalia County Circuit Court. That's where WVU filed the case after Rodriguez resigned to take the head coaching job at Michigan.

WVU had argued because it's an arm of state government, it can only be sued in state court.

U.S. District Court Judge John Bailey agrees. He says the university is not an independent body.

The ruling also says it's clear the outcome of the case will have an impact on state funds because any money paid to or held by the university is considered the state's money.



Appeals Court Upholds Isley's Sentence
Court Watch | 2008/02/12 04:04
An appellate court has upheld Ronald Isley's 37-month federal prison sentence for tax evasion.

The three-judge panel rejected the 66-year-old R&B singer's argument that his sentence was unreasonable due to his age, poor health and lack of proof that the federal prison system can provide him adequate health care.

In its ruling, the appellate court said the trial judge was correct in sentencing and "best balanced the need to sanction Mr. Isley's `pathological' tax evasion against the need to accommodate Mr. Isley's poor health."

Isley was sentenced in 2006 after being convicted of five counts of tax evasion and one count of willful failure to file a tax return.

Prosecutors said Isley avoided paying taxes numerous times over a three-year period and declared bankruptcy after the IRS seized his yacht, cars and other property in 1997.

He was discharged from bankruptcy four years later, but then did not file tax returns for the years 1997 to 2001 and in 2002 did not sign his return and failed to pay all taxes due.

Isley suffered a minor stroke in July 2004, but got married one year later and continuously performed concerts at that time. He is incarcerated at the Terre Haute Federal Corrections Institution in Indiana and his projected release date is in April 2010.

Isley was inducted into the Rock and Roll Hall of Fame and was part of the Isley Brothers, whose hits included "Twist and Shout" and "This Old Heart of Mine (Is Weak for You)."



Lawyer accused of way-too-firm handshake
Court Watch | 2008/02/11 05:28
A lawyer who allegedly shook a legal opponent's hand so fiercely she injured her shoulder is now facing physical assault charges in Florida.

An attorney for private lawyer Brewer Rentas said her client never intended to harm a federal prosecutor in Fort Lauderdale, Fla., when they shook hands last week, the South Florida Sun-Sentinel reported.

"It all stems from a handshake," attorney Gwendolyn Tuggle said. "In her mind she never intended to cause any harm to any federal official."

The 49-year-old Rentas had been in court Thursday as part of her husband's trial on cocaine distribution charges and the attorney reportedly made a point of shaking hands with Assistant U.S. Attorney Jennifer Keene after the court's ruling.

Rentas' arrest report states she then allegedly grabbed Keene's hand, knocking her off balance, and then roughly shook her arm up and down.

The Sun-Sentinel said Rentas is now facing a federal misdemeanor charge over the incident and will likely face an attorney conduct review, as well.


Illinois Court Upholds Free-Speech Right For Ad
Court Watch | 2008/02/08 03:54
A newspaper advertisement harshly criticizing a competitor for a discount sale might have been distasteful and juvenile but also was constitutionally protected free speech, the Illinois Supreme Court ruled Thursday.

Chicago men’s clothing store Imperial Apparel took competitor Cosmo’s Designer Direct to court after Cosmo’s ran an ad in October 2004 in the Chicago Sun-Times.

Cosmo’s ran the ad to notify customers that it was unhappy that Imperial was touting a new 3-for-1 sale, which Cosmo’s was known for offering.

The wide-ranging ad did not mention Imperial by name, but did refer to “Empire rags center.” It said the competitor had the integrity of the “Iraq information minister” and that the 3-for-1 was an imitation offer that “has the transparency of a hooker’s come on.”

Imperial’s owners responded by suing Cosmo’s and the Sun-Times for running the ad, saying it was defamatory and damaged the company’s reputation.

An appellate court partially agreed with Imperial’s argument.

But the Supreme Court determined that the ad wasn’t defamatory because its statements couldn’t be viewed as facts about Imperial.

“The text is artless, ungrammatical, sophomoric and sometimes nonsensical,” Justice Lloyd Karmeier wrote in the court’s opinion.

“We do not believe, however, that an ordinary reader would perceive it as making objectively verifiable assertions about [Imperial’s] business.”

Imperial lawyer Edward Feldman said Thursday he hadn’t talked with Imperial’s owners about the next step in the case. The company changed its name to Suits 20/20 in recent years in an unrelated business decision, Feldman said.

“We think this was a vicious and intentional libel and that the ad contained facts that are defamatory and not mere opinion,” Feldman said.

Cosmo’s lawyer James Wolf said the company was pleased with the outcome.

“The law is offensive speech does not render it defamatory,” Wolf said.

Wolf and Sun-Times lawyer Damon Dunn agreed that advertisers and newspapers can breathe easier with Thursday’s ruling.

Advertisers could have been scared away from aggressive competition and newspapers could have been forced to screen ads and even letters to the editor for factual accuracy if the ruling had been different, they said.

“We think that this means that we won’t have all these lawyers and judges and juries all looking over our shoulders,” Dunn said.



Disorder in the Court: Lawyer Punched
Court Watch | 2008/02/07 06:15
A public defender who was punched in court by a disgruntled client said Thursday he doesn't blame the man who gave him with two black eyes. The disorder in the court, captured on video, happened Monday at Scott County Circuit Court after the judge refused defendant Peter Hafer's request for a new attorney.

Hafer, 30, of Cynthiana, told the judge he didn't trust his court-appointed lawyer, Doug Crickmer. As Crickmer began to tell Judge Rob Johnson that Hafer couldn't choose his public defender, Hafer landed the first punch.

"I just couldn't take it anymore and I just snapped," Hafer said later at the Scott County jail.

Hafer hit the attorney several times in the face and stomach. Hafer was restrained on the ground. Crickmer was admitted to Georgetown Community Hospital and released later that day. He said he will not file assault charges.

"I certainly don't fault him or blame him or wish him any ill will," Crickmer said Thursday on NBC's "Today" show. "I think Mr. Hafer was just frustrated. Like I said, he had been in jail for some time. ... I think he just got frustrated, fed up, and he just snapped and I was the nearest target."

Hafer was arrested in August on charges of burglarizing a K-Mart store in June.

As for his request for a new attorney, Hafer apparently will get his way. Authorities said a new one will be appointed.



Georgia loses major ruling on rights to Lanier water
Court Watch | 2008/02/06 04:33

It would take an act of Congress to get more drinking water out of Lake Lanier for metro Atlanta, a federal appellate court ruled Tuesday.

Alabama and Florida immediately declared a major victory in the 18-year, tri-state water war, with Alabama Gov. Bob Riley calling it "one of the most important" legal decisions in his state's history.

"The ruling invalidates the massive water grab that Georgia tried to pull off," Riley said in a statement.

The decision by the U.S. Court of Appeals for the District of Columbia Circuit comes at a critical juncture, with the three states rushing toward a Feb. 15 deadline to reach a long-term, water-sharing agreement.

Observers say it gives Alabama and Florida leverage in the negotiations and belies metro Atlanta's assumption that it can count on Lanier to continue fueling its growth. Water from Lanier, the largest federal reservoir on the Chattahoochee River, forms Georgia and Alabama's southern border and winds up in Gulf of Mexico.

Lanier is the main water source for more than three million metro Atlantans. But it also supports multiple downstream users, from a nuclear power plant near Dothan, Ala., to oystermen in Florida's Apalachicola Bay.

"The big loser here is metro Atlanta," said George William Sherk, an expert in water law at the Colorado School of Mines who once represented the city of LaGrange and Troup County in tri-state water matters. "The logical response for metro Atlanta right now is no new building permits unless the applicant can demonstrate a long-term water supply.



NY broker in Cunningham scandal pleads guilty
Court Watch | 2008/02/05 09:13
A New York mortgage broker who was involved in the Randy “Duke” Cunningham bribery scandal pleaded guilty to two charges Monday in federal court. John Michael pleaded guilty to conspiracy to commit an unlawful monetary transaction and to making a false statement to a federal grand jury. He is free on bond while awaiting sentencing May 5 before Judge Larry Burns. He faces a maximum of 10 years on each of the charges.

Michael pleaded guilty to using his Long Island, N.Y., mortgage company, Coastal Capital, to hide a half million dollars in bribes to Cunningham paid by Brent Wilkes, a Poway businessman. He also admitted to lying to the grand jury about how the financial transaction was structured.

Michael, 36, is the last person in the case to have his case resolved.

Wilkes was convicted Nov. 5 on 13 counts of bribery, conspiracy and wire fraud. Prosecutors said he paid Cunningham at least $625,000 in bribes, including meals, trips and gifts.

Cunningham, who in return steered millions in federal contracts to Wilkes' company, ADCS Inc. of Poway, is serving an eight-year prison term after pleading guilty to conspiracy and tax evasion.

Michael's uncle, New York financier Thomas Kontogiannis, pleaded guilty a year ago, and is awaiting sentencing.



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