As part of a class action settlement agreeing to offer more same-sex date matching, eHarmony has allotted $500,000 to persons who can show they were harmed by its failure to offer it before. [San Francisco Chronicle, earlier]
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Posts tagged as:
class action settlements
“Adorno & Yoss founding partner Henry Adorno violated professional rules by orchestrating a $7 million class action settlement that benefited only seven people rather than all Miami taxpayers, a judge ruled Friday in a disciplinary case brought by The Florida Bar.” However, a Broward County judge ruled there was not enough evidence to support a charge that Adorno misled a judge about the settlement, on an unconstitutional city fire fee. [Daily Business Review; earlier here, here, and here] Update: judge recommends reprimand.
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Objectors, including the offices of Texas Attorney General Greg Abbott and 25 other AGs, say the coupons, free instructional DVD and other benefits to the class aren’t very valuable. Lawyers are slated to get $2.95 million. [Christopher Jensen, NYT "Wheels" blog; Center for Class Action Fairness (h/t Ted in comments)]
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Eric Turkewitz, noted plaintiff’s-lawyer blogger, teams up with Ted Frank, noted Overlawyered.com blogger, to object to a Yahoo! class action settlement.
The Arkansas plaintiff’s lawyer says he was too embarrassed to make layoffs as his finances turned sour, which is why he stole the $9.3 million in class-action settlement funds [WSJ Law Blog, ABA Journal] Earlier here, here, and here.
More from Kevin LaCroix:
An earlier WSJ.com Law Blog post reported (here) that Cauley was in fact a protégé of Bill Lerach. Today’s article on Bloomberg (here) about Cauley’s criminal sentencing notes that Cauley joins a growing list of plaintiffs’ securities class action attorneys who have “been jailed for felonies,” including Bill Lerach himself and his former law partners, Mel Weiss, Steven Schulman and David Bershad, and including even Marc Dreier.
These gentlemen of course made their living for many years accusing corporate officials of fraud. Ahem. Yes, well…isn’t ironic, don’t you think?
More background reading on the Draconian consumer product safety law:
- Fear of losing even more high-quality German toy suppliers [Kathy + Matt Take Milwaukee]
- Mattel will pay $13 million to 20 plaintiff’s firms
to resolve class action over toy recalls; claimed value of settlement to class (vouchers, etc.) is something like $37 million [National Law Journal, Coughlin Stoia release; earlier] Note also Rick Woldenberg’s March analysis of one recall (recall of 436,000 units premised on two cans of bad paint). - New law “has added several new tasks [to the CPSC], many of which most charitably can be described as marginal in the overall pursuit of product safety that will divert staff and financial resources from more important safety issues.” [attorney Michael Brown, quoted at Handmade Toy Alliance Blog]
- Alarmist reporting on Boston’s WBZ affords a glimpse of
“the scary people behind the law” [Woldenberg] - Effort to help move blogger Kevin Drum up the CPSIA learning curve [Coyote]
- “The “Resale Round-up,” launched by the CPSC, finally limits the power of these merchants of death who recklessly barter second-hand toys to unsuspecting civilians at low prices…. The only question now is how did any of us survive this long?” [David Harsanyi, Denver Post]
- Among its other effects, the statute “will boost opportunities for mass-tort suits” [Crain's Chicago Business]
- Law’s “continuing disaster for small business” illustrates
difference between crony capitalism and the real kind [James DeLong, The American, with kind words for a certain "indispensable" website that's covered the law]
PUBLIC DOMAIN IMAGES from Ethel Everett, illustrator, Nursery Rhymes (1900), courtesy ChildrensLibrary.org.
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Russell Jackson on Dannon’s proposed deal to resolve class action lawsuits (see Jan. 24, 2008) over its promotion of its Activia and DanActive lines as beneficial to health:
The proposed settlement also contains “equitable relief” in the form of restrictions on advertising and labeling. Reading these so-called restrictions, I am struck by the fact that the statements challenged in these lawsuits clearly were not false. Indeed, if I were still teaching my Product Liability course, I would ask my students to study this settlement and tell me whom they trust the most to issue restrictions on speech based on the results of scientific research: lawyers (as here), judges, juries, or scientists employed by regulatory bodies.
Lawyers want $10 million plus expenses, while Dannon’s outlays will depend in part on how many consumers file claims (via Calif. Civil Justice).
P.S. Should have caught this before: Ted discussed this case yesterday at his Center for Class Action Fairness blog.
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Karen Lee Torre, in the Sep. 28 Connecticut Law Tribune, hates cy pres even more than I do. See also Peggy Little at Point of Law.
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- There are “almost certainly” many innocent persons in prison today wrongly convicted of shaking a baby to death [Radley Balko, Reason] Harris County, Texas forensic examiner under scrutiny [same, Reason "Hit and Run"] L.A. Times on forensics reform [same]
- Feds order large private insurer Humana to pull criticisms of Obama health plan from its website [David Henderson, Eugene Volokh and followup]
- Why would anyone market lawyers’ services through blog comment spam? Especially at Popehat? [first and second posts]
- “Revolving door” for officials of regulatory agencies tends to lead to law firms [Naked Capitalism]
- Tenure trouble: teacher’s union head “would protect a dead body in the classroom” [Ron Bailey, Reason on Brill "Rubber Room" article, earlier]
- Google asked to unmask user in another defamation suit (Turks & Caicos developer) [Brian Kumnick, FindLaw "Injured"]
- “Fired Ave Maria Law Prof Gets Tenure in Whistle-Blower Settlement, Lawyer Says” [ABA Journal, background Washington Monthly]
- Ted Frank on Ameritrade settlement [Center for Class Action Fairness, earlier]
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- Proposed Costco fuel settlement: $0 for class, $10M for attorneys. [CCAF]
- Senator Specter’s latest attempt to curry favor with trial lawyers. [Ribstein; see also Corporate Counsel]
- The Frank-Gryphon paper on the game theory of medical malpractice settlements is now posted. Comments welcome. [SSRN]
- Heritage panel on tort reform in the states features Mississippi Gov. Haley Barbour. [Summary at Point of Law]
- Liability waivers ignored and Texas Motor Speedway on the hook for $12 million after a 12-year-old driver strikes 11-year-old in the pit area. [Fort Worth Star-Telegram; id. on pre-trial]
- Martha Raye turning over in her grave, as trial lawyers target denture cream as next mass tort. [AP/Washington Post]
Pitney Bowes, the office supply giant, will pay some Georgia lawyers $950,000 and make available discount coupons to class members to settle charges that it improperly sent faxes to customers of a toner business it bought in 2007. [Fulton County Daily Report] I’ve written and blogged about the junk-fax law here as well as on this site.
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The Sep. 21 issue of Forbes magazine, now on newsstands, has a lengthy profile by Dan Fisher of my founding of the Center for Class Action Fairness, complete with a photo of my ugly mug gracing the story.
Of interest is a new revelation in the infamous Toshiba class action:
After few consumers availed themselves of a $2 billion settlement over supposedly defective laptop computers in 2000, for example, Toshiba America handed $353 million to a Beaumont charity whose chairman was plaintiff attorney Wayne Reaud, the lawyer on the case. Six years later the charity was still sitting on $250 million and the Texas attorney general sued for breach of fiduciary duty, including paying its president, W. Frank Newton, $560,000 in 2004. Newton is the former president of the State Bar of Texas.
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The settlement discussed in this space July 17 — in which lawyers nabbed more than $25 million in fees and expenses, while fewer than 100 consumers redeemed Ford coupons worth $37,500 — was covered by the Associated Press last week, which stirred outrage in many quarters [Krauss/PoL, Greenfield, Cal Biz Lit]. As Cal Civil Justice notes, the settlement was purportedly on behalf of owners who suffered no rollover or other mishap. Instead, it sought damages for losses in the vehicle’s resale value due to adverse publicity, a nicely circular theory, since the adverse publicity was in good measure propelled by various allies of the plaintiff’s bar. Interestingly, several groups that had opposed the settlement dropped their objections after it was rejiggered to require Ford to provide a $950,000 donation to what are described as nonprofit auto-safety groups (which ones?). Plaintiff’s firm Lieff Cabraser, in a letter to AP, cited that and changes in Ford advertising as reasons why the settlement provided more benefit to the customer class than can be measured by the coupons alone.
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“Hank Adorno, head of the nation’s largest minority-owned law firm, violated nine Florida Bar rules when he engineered a $7 million class action settlement that distributed money to only seven people instead of all Miami taxpayers, the state regulatory agency for attorneys claims.” [Billy Shields, Daily Business Review and Law.com; earlier here and here]
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