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Conn. land vacant 4 years after court OK'd seizure
Law Center | 2009/09/28 05:57

Weeds, glass, bricks, pieces of pipe and shingle splinters have replaced the knot of aging homes at the site of the nation's most notorious eminent domain project.

There are a few signs of life: Feral cats glare at visitors from a miniature jungle of Queen Anne's lace, thistle and goldenrod. Gulls swoop between the lot's towering trees and the adjacent sewage treatment plant.

But what of the promised building boom that was supposed to come wrapped and ribboned with up to 3,169 new jobs and $1.2 million a year in tax revenues? They are noticeably missing.

Proponents of the ambitious plan blame the sour economy. Opponents call it a "poetic justice."

"They are getting what they deserve. They are going to get nothing," said Susette Kelo, the lead plaintiff in the landmark property rights case. "I don't think this is what the United States Supreme Court justices had in mind when they made this decision."

Kelo's iconic pink home sat for more than a century on that currently empty lot, just steps away from Connecticut's quaint but economically distressed Long Island Sound waterfront. Shortly after she moved in, in 1997, her house became ground zero in the nation's best-known land rights catfight.

New London officials decided they needed Kelo's land and the surrounding 90 acres for a multimillion-dollar private development that included residential, hotel conference, research and development space and a new state park that would complement a new $350 million Pfizer pharmaceutical research facility.

Kelo and six other homeowners fought for years, all the way to the U.S. Supreme Court. In 2005, justices voted 5-4 against them, giving cities across the country the right to use eminent domain to take property for private development.



Fallen money-market fund makes $1B distribution
Law Center | 2009/09/24 08:07

A money-market mutual fund that held more than $60 billion before it notoriously "broke the buck" a year ago said Wednesday it will hand out $1 billion in a fifth distribution to investors from the fund's remaining assets.

The $1 billion distribution, the smallest of five partial payouts since the Reserve Primary Fund's collapse, will be made to shareholders on or about Oct. 2, said New York-based Reserve Management Co., which ran the fund.

After that payout, the fund will hold about $3.5 billion. The final distribution and its timing is tied up in a pending civil fraud case brought by the Securities and Exchange Commission against Reserve Management and its two top executives.

At a hearing in New York on Wednesday, U.S. District Court Judge Paul Gardephe said he was inclined to set a Dec. 23 deadline by which the bulk of the remaining assets should be distributed to the fund's thousands of shareholders.

The fund had held more than $64 billion shortly before Sept. 16, 2008, when its net asset value fell below the $1 level needed to ensure investors a dollar-for-dollar return of their principal put into the fund. The fund declared $785 million that it held in Lehman Brothers debt worthless after the investment bank's bankruptcy filing. That sank the fund's net asset value to 97 cents, leading to the fund's collapse as institutional investors demanded cash back and fund managers were forced to sell assets at steep discounts amid plunging markets.



Calif. courts shuttered Wednesday to save money
Law Center | 2009/09/17 09:24

The doors are closed at the California Supreme Court, the tiny courthouse in Alpine County and every state courthouse in between in an unprecedented attempt to close a historic budget deficit.

The Judicial Council, which oversees California's courts, plan to shutter the courts on the third Wednesday of every month from September through July. The move is expected to save the state $84 million.

The closures will cost 20,000 court employees a day's pay each month.

The state's 1,700 judges are protected by state law from having their paychecks altered and are exempt from the cuts. Chief Justice Ron George says all seven high court justices have voluntarily given up a day's pay and that a large number of other judges have followed suit.



Supreme Court could loosen cap on corporate political spending
Law Center | 2009/09/14 02:37

The Supreme Court's conservative bloc sounded poised Wednesday to strike down on free-speech grounds a 102-year-old ban against corporations spending large amounts of money to elect or defeat congressional and presidential candidates.

If the justices were to issue such a ruling in the next few months, it could reshape American politics, beginning with the congressional campaign in 2010. Big companies and industries -- and possibly unions as well -- could fund campaign ads to support or defeat members of Congress.

For example, the health insurance industry would have a much greater ability to target for defeat lawmakers who supported a so-called public option for medical insurance. Banks and investment firms could oppose representatives who favored stricter regulation of the financial industry.

And far more money could flow into elections. Last year, the political parties spent about $1.5 billion on campaigns, while corporations earned more than $600 billion in profits.

Since 1907, federal law has prohibited corporations from giving money to candidates. And since 1947, corporations and unions have been barred from spending money on their own to urge voters to elect or defeat federal candidates.

Of course, corporate executives, as individuals, can contribute money to a corporate political action committee, or PAC, but these amounts are modest compared with the funds available to corporate treasuries.



Appeals court upholds Kan. pharmacist's conviction
Law Center | 2009/09/10 07:36

An appeals court panel upheld on Wednesday the conviction of a pharmacist for conspiracy to unlawfully distribute prescription drugs through a Wichita-based Internet pharmacy.

But the panel from the 10th U.S. Circuit Court of Appeals in Denver also threw out the conviction of a co-defendant who worked as a computer technician for Red Mesa Pharmacy.

Pharmacist Jerry Lovern and computer technician Robert Barron were convicted in February 2008 of one count of conspiracy and three counts of unlawfully distributing controlled substances.

Prosecutors said Red Mesa Pharmacy distributed more than 9,200 orders between December 2005 and March 2006 for prescriptions approved by doctors who did not physically examine the buyers or have any communication with them. The prescriptions cited included Ambien, a controlled drug used for insomnia; and phentermine, a stimulant that is sometimes contained in prescription drugs used for weight loss.

Red Mesa's owner, Dr. Wilbur Hilst of Wewoka, Okla., is serving a 33-month sentence after pleading guilty to conspiracy to unlawfully distribute prescription drugs.



Feds ask appeals court to stay drug decision
Law Center | 2009/09/02 07:00

Federal prosecutors have asked an appeals court to stay its decision that government agents illegally seized the drug testing records and samples of more than 100 baseball players.

The move could keep baseball's infamous drug list from being destroyed for at least a few months.

In a filing late Monday with the 9th U.S. Circuit Court of Appeals, the U.S. attorney's office in San Francisco said the Solicitor General, in consultation with the criminal division of the Justice Department and the U.S. attorney's office, was considering whether to ask the Supreme Court to review the decision.

The deadline for a filing with the Supreme Court is Nov. 24.

"There is good cause for a stay," the government wrote in a motion filed by Joseph P. Russoniello, the U.S. attorney in San Francisco, and signed by Barbara J. Valliere, chief of his appellate section.



Ruling favors Latino voters in Texas Democrat suit
Law Center | 2009/08/26 01:09
Latino voters celebrated a federal court ruling Tuesday that came down against the Texas Democratic Party and could put the complicated "Texas Two-step" presidential delegate system in jeopardy.

The ruling by a three-judge panel will allow the lawsuit to go forward and put the Texas delegate system closer to facing a potential review by the Justice Department, which Latino advocates sought in the aftermath of last year's intense Democratic primary between Barack Obama and Hillary Rodham Clinton.

In a lawsuit filed last year, the Latino groups argued that the way Texas Democrats awarded presidential delegates unfairly discriminated against Latinos by awarding fewer presidential delegates to heavily Hispanic areas. They did not contest to whom the delegates were awarded, but rather how the allotment was made.

Latino advocates saw Tuesday's ruling as clearing the way for the party's complex process of awarding delegates through a primary and caucus to be done away with entirely.



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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 and help you redesign your existing law firm site to secure your place in the internet.
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