Posts Tagged ‘California’

Banking and finance roundup

  • “American Express Settlement Collapses Amid Charges Of Collusion” [Daniel Fisher]
  • Some on Capitol Hill would like U.S. Treasury to return money seized from South Mountain Creamery in now-notorious structuring case [Washington Post, our earlier coverage]
  • CEO pay shaming theory has been tried and failed twice, but why not one more try? [Marc Hodak, earlier]
  • Another big courtroom reverse for SEC in use of in-house administrative law judges [Reuters]
  • Judge Easterbrook on competitive federalism, Delaware, and incorporation [Robert Goddard, Corporate Law and Governance quoting Corre Opportunities Fund, LP v. Emmis Communications Corp.]
  • How far will California go to tax one wealthy ex-resident? Consider saga of Gilbert Hyatt vs. Franchise Tax Board [Lloyd Billingsley, Daily Caller]
  • Apparently so: “Is Securities Litigation’s Future Secure?” [Nick Goseland, Above the Law]

“Only two of the estimated 232,000 class members claimed the coupons”

“Only two of the estimated 232,000 class members claimed the coupons” in a class action led by Edelson McGuire LLP. Defendant Dick’s Sporting Goods “agreed not to oppose the plaintiff’s request for $210,000 in attorney fees and costs and a $3,500 incentive award,” but an Orange County, Calif. judge took away a large chunk of that sum because… why? Because some of the lawyers angling for it had not been admitted to practice in California, that’s why. [Kenneth Ofgang, Metropolitan News-Enterprise; Golba v. Dick’s Sporting Goods, unpublished]

Labor roundup

July 22 roundup

Restaurant found 55 percent responsible, actual attackers 45 percent

Adventures in negligent security: “A Southern California jury awarded $40 million to the parents of a man who was stabbed to death in a TGI Friday’s restaurant. The panel found [last month] that the restaurant’s operator was 55 percent responsible for the January 2009 death at a TGI Friday’s in Riverside.” The attackers, who “pleaded guilty to assault with a deadly weapon” and were sentenced to three and four years in prison respectively, “were found to be 45 percent responsible.” [Orange County Register]

Labor roundup

California lawmakers move against arbitration

By cutting off contractual freedom for pre-dispute arbitration agreements in the workplace, trial lawyers and unions in California intend to pave the way for more and bigger class actions [Dave Roberts, Fox and Hounds] More: Coyote (“Here is how you should think about this proposed law: Attorneys are the taxi cartels, and arbitration is Uber. And the incumbents want their competitor banned.”)

California regulators: Uber driver is employee

And there goes the Uber business model, if the ruling is upheld and extends to other drivers. Coyote predicts that if subject to the burdens now heaped on employers, ride-sharing services will have a hard time of it.

Or, to put it differently: yes, the authorities are prepared to kill any and all innovations that threaten their New Deal fantasy of perfect control. More: Matthew Feeney, Cato; Megan McArdle (“‘Employee’ Label Would End Uber as We Know It”); Timothy Lee [slightly edited Wednesday to reflect clarification in news reports]

Orange County lowers the boom on Axe

“Recently, the consumer protection unit of the Orange County (CA) District Attorney’s Office filed suit against Unilever, parent company of AXE, accusing the company of fudging the packaging of its male grooming products.” The charges, which were filed concomitantly with a proposed settlement the same day, do not claim that Axe misstated the quantity of product contained by weight, but say its packaging employed “false bottoms, false sidewalls, false lids or false coverings” which “serve no legitimate purpose and mislead consumers as to the amount of product contained in the containers. …Apparently, the DA has never purchased a bag of potato chips.” It is unclear from the coverage whether Orange County consumers were constrained from ascertaining how much product was in one of the packages by, say, lifting it to see how heavy it was, or looking at the number of ounces on the label. In settlement (the same day) of the charges, the company agreed to pay $750,000 to Orange County and $24,000 to its D.A.’s office, and to take out ads in various California newspapers with $3 coupons good off a consumer purchase of Axe. [Nick Farr, Abnormal Use; Orange County Register]

The Orange County district attorney’s office under Tony Rackauckas is emerging as an Overlawyered favorite, having knocked an impressive $16 million out of Toyota in the sudden-acceleration affair even though the cars in question do not suddenly accelerate, of which $4 million went to a locally influential tort attorney; the office has also kept mum about arrangements it has with tort attorneys. And of course Rackauckas’s office has lately been embroiled in one of the nation’s most prominent scandals of prosecutorial abuse (with retaliation angle).

P.S. Oh, and here is coverage of “slack fill” class action suits organized by private lawyers against both Unilever/Axe and competitor Procter & Gamble, confirming that this wasn’t exactly a solitary frolic on the county’s part. More: Amy Alkon.

“Legal profession admits undocumented immigrants”

At least in New York and California, if not every state. [John Steele, Legal Ethics Forum] Curiously uncontroversial, no? In 2012 we noted: “Among the trip-ups are that lawyers are sworn by oath to uphold the laws of the land; that federal law bars the granting of state professional licenses to illegals; that federal law makes it unlawful to offer employment to them; and that clients might find themselves in a pickle were their attorneys whisked away on zero notice to face deporation.” More: Scott Greenfield.