Archive for May, 2014

Bodega-robbing cops will walk, cont’d

I’ve got a longer write-up at Cato at Liberty (earlier) on the extraordinary outcome of a federal investigation into larcenous raids on bodegas by Philadelphia narcotics cops pursuant to sales of banned plastic zip-lock bags: U.S. Attorney Zane David Memeger has closed the case without charges, the statute of limitations now having run.

This was a story that really got to me on many levels, as with this passage from the Philadelphia Daily News’s coverage: “Anh Ngo, like the Nams, said that she was never interviewed by investigators about what unfolded in her family grocery store in the Lower Northeast during a 2008 raid. Ngo, 30, said the officers smashed the [security surveillance] cameras with a sledgehammer and stole about $12,000, taking her mom’s diamond ring and emptying their wallets.” They took her mother’s ring! “‘To think that some light was shined on this by the Daily News and then the investigation just died, it’s really very frustrating,’ she said…. ‘[The cops] are living nice off of the money they stole from us.'” Notes one journalist: “The shop owners were all legal immigrants. None had criminal records. Nor had they ever met – they hailed from four corners of the city and spoke different languages.” Yet they told essentially the same stories.

The local press, specifically the Philadelphia Daily News, did everything one could reasonably wish to bring the story to light. In fact reporters Barbara Laker and Wendy Ruderman won a Pulitzer Prize for their investigation, “Tainted Justice,” and in March published a book on the scandal. The paper’s coverage of the dropping of charges has been likewise hard-hitting, including video of a bodega raid. In the end, none of it seemed to have worked in obtaining justice for the store owners.

I go on in the Cato piece to ask a few other questions about whether laws banning common items like mini-zip-lock bags are really a good idea given that they readily allow police to obtain search warrants against unsuspecting businesses; and whether we insist that store owners like these organize to defend their interests in the political process because the legal process will afford them no protection. Read it here.

And one other question: If we told these immigrant store owners that the American legal system works, would they believe us?

P.S. Internal police department discipline? The local Fraternal Order of Police union, according to its president, has been “standing behind the officers from the minute it happened.” Some don’t expect much:

“This is no big deal,” [the president of the police union lodge] said. “They’ll be handed some discipline and we’ll probably win in arbitration. . . . I don’t see anyone losing their jobs.”

On the other hand

Labor and employment roundup

  • Los Angeles officials push SEIU-backed scheme to fasten unions on nonunion workforce at LAX airport [Brian Sumers, Contra Costa Times]
  • Want to empower cities? Reform binding labor arbitration [Stephen Eide, Urbanophile]
  • “Explainer: What Does President Obama’s Equal Pay Day Executive Order Change?” [Rachel Homer, On Labor]
  • One lawyer’s advice: “when an employee complains about discrimination, or otherwise engages in protected conduct, you must treat that employee with kid gloves” [Jon Hyman on Sixth Circuit retaliation case]
  • Detroit juggles pension numbers to fix deficit, papers over the real problem [Dan Kadlec, Time; Shikha Dalmia, Washington Examiner]
  • No room left to cut budget, part 245,871: federal grants promote labor unions [Examiner]
  • More on EEOC’s campaign to limit employment criminal background checks [Coyote, Daniel Schwartz]

Craig Zucker settles with CPSC

According to the Consumer Product Safety Commission:

The U.S. Consumer Product Safety Commission (CPSC) is announcing a voluntary recall of all Buckyballs and Buckycubes. … Refunds will be processed through a Recall Trust that will be funded by Mr. Zucker, but created and controlled by CPSC.

According to Zucker in a press release:

The settlement amount is less than 1% of the original $57 million that the CPSC estimated a recall to cost and is not a fine or penalty….

In February of 2013, the CPSC took unprecedented action by naming Zucker personally under the controversial Park Doctrine as an officer of the company that sold Buckyballs®.

This happened after Zucker, in what was itself an unusual if not unprecedented stand for an executive at a firm subject to CPSC regulation, took a vigorous public stand defending his product against the commission’s recall demands and even employed jokes and caricatures to make fun of CPSC commissioners. Earlier coverage here. More: Nancy Nord.

Liebeck v. McDonald’s, another round

Ready to brew, 203 degrees

Ready to brew (h/t Ted Frank)

Because the twenty-year-old Stella Liebeck case is getting another round of attention on some blogs — Susan Saladoff’s short film Hot Coffee having served quite successfully to keep the trial lawyers’ side of the controversy in circulation — it’s worth a closer look at the latest in Jim Dedman’s (Abnormal Use) writings deflating the case’s mythos [Defense Research Institute DRI Today, previously briefly noted in a roundup a couple of weeks ago]. Excerpt:

The central issue was whether hot coffee, which by its very nature is hot, is an unreasonably dangerous and defective product because of its temperature. More specifically, the case concerned whether coffee served at 180-190 degrees is so hot that it makes the coffee itself unreasonably dangerous and defective. Shortly after the trial, The Wall Street Journal reported that McDonalds’ internal manuals at the time–produced in the litigation— indicated that “its coffee must be brewed at 195 to 205 degrees and held at 180 to 190 degrees for optimal taste.” … Contemporary media reports suggested that the coffee was approximately 165 to 170 degrees at the time of the spill, indicating that it had cooled somewhat between the time it was served and the time it had spilled….

Interestingly, today, on its website, the National Coffee Association advises that “[y]our brewer should maintain a water temperature between 195–205 degrees Fahrenheit for optimal extraction” and that “[i]f it will be a few minutes before it will be served, the temperature should be maintained at 180–185 degrees Fahrenheit.” Even in 1994, the National Coffee Association confirmed that McDonalds’ serving temperatures were within industry guidelines (and many restaurateurs have found that their customers complain if they lower the temperature of their coffee).

Failure to warn was also one of the theories in the case:

Curiously, the warnings issue receives little attention these days. Although Liebeck alleged that “the container that it was sold in had no warnings, or had a lack of warnings,” the very cup at issue is prominently displayed—with its “Plaintiff’s Exhibit 44” sticker still affixed—on both the website and the promotional poster of the Hot Coffee film. However, in the very same pictures, it is clear that the cup advises in orange text: “Caution: Contents Hot.”

Earlier coverage here, etc., etc., as well as by Nick Farr at Abnormal Use and Ted Frank at Point of Law. (Yet more: index of Abnormal Use posts).

P.S. It might be added that those “everything you know about the Stella Liebeck case is wrong” internet memes are very often wrong themselves. In particular:

* The story got onto national wires via the AP and immediately set off widespread public discussion on the strength of its own inherent interest, with no evident push from any interest group. When an organized public relations effort did emerge in early weeks of discussion, it was from the plaintiff’s side, which held a press conference in Washington seeking (successfully) to establish and solidify themes in Liebeck’s favor, such as that there had been many earlier consumer complaints about McDonald’s coffee temperature.

* The most gripping supposed “myths of the Liebeck case” were not in fact widely asserted or circulated either at that time or since. Very few commentators erroneously asserted that Liebeck had been driving or that her car was moving, or (even worse) mistakenly claimed that her injuries were somehow minor. Only by treating stray outliers as somehow representative of public discussion can revisionists portray the public’s grasp of the case as grossly ill-informed. It was then and is now plausible for both laypersons and experienced lawyers to fully and accurately grasp the facts of the Liebeck case and, based on that understanding, sharply disagree with the New Mexico jury’s verdict in her favor. That’s one reason most American juries both before and since 1994, asked to decide hot-beverage lawsuits based on similar fact patterns and claims, have decided for the defense even where serious injuries might engage sympathy for a plaintiff’s situation.

* Meanwhile, some truly extraordinary myths and misconceptions — such as that McDonald’s somehow mysteriously “superheated” its brewing water to temperatures unknown in home teakettle use — have widely circulated on the internet in years since, advanced by lawyers and even professors who have every reason to know better. Peculiar assertions of this sort seldom get attention in the oft-seen “myths of the Liebeck case” internet genre.

Ethics roundup

  • If you doubt lawyers can be heroes, consider Rashid Rehman, gunned down after defying death threats to represent university lecturer in Pakistan blasphemy case [BBC]
  • Some asbestos lawyers may have reason to be nervous as Garlock documents pave way for fraud-checking [Daniel Fisher/Forbes, Legal NewsLine, Rochester Democrat & Chronicle] Given consumer groups’ zeal for making litigation data public, they’ll support greater transparency in asbestos settlements, right? [WLF]
  • “Colloquium: The Legal Profession’s Monopoly on the Practice of Law” with John McGinnis and Russell Pearce, Benjamin Barton and others [Fordham Law Review]
  • “BP’s Billions Draw Scam Artists” [Amanda Bronstad, NLJ; NYTimes (“They told us we don’t even need a lawyer”); Insurance Journal]
  • “South Carolina: LegalZoom is not the Unauthorized Practice of Law” [Legal Ethics Forum]
  • Black lung series with legal ethics angle wins Pulitzer [Chris Hamby/Center for Public Integrity, earlier]
  • Much more to come in Chevron saga as oil company seeks $32 million in attorneys’ fees from adversary Donziger [Roger Parloff] Ted Boutrous, who repped both defendants, on parallels between Chevron and Dole scandals [USA Today]

George Will on the Wisconsin John Doe probe

The syndicated columnist praises Judge Rudolph Randa’s

remarkably emphatic ruling against an especially egregious example of Democrats using government power to suppress conservatives’ political speech.

Wisconsin’s sordid episode began, appropriately, with a sound of tyranny — fists pounding on the doors of private citizens in pre-dawn raids. While sheriff’s deputies used floodlights to illuminate the citizens’ homes, armed raiders seized documents, computers, cellphones and other devices.

Earlier here, here, etc.

And two Republican Wisconsin lawmakers are calling for a thorough review into the activities of the state Government Accountability Board, which “oversees Wisconsin campaign and election laws,” and whose contracted investigator, Dean Nickel, is reported to have played a role in setting in motion the process which resulted in the investigation of dozens of conservative organizations. [M.D. Kittle, Wisconsin Reporter/Watchdog.org] More: Milwaukee Federalist Society chapter roundup of coverage.

Banking and finance roundup

  • Furor grows over Obama administration’s Operation Chokepoint program chilling bank access for legal but disfavored groups [Iain Murray, Elizabeth Nolan Brown, FDIC list (not just payday lenders but also lawful purveyors of pills, guns, ammunition, and much more), Hans Bader] Parallel, though not happening under same program: JP Morgan abruptly closes accounts of former Colombia finance minister who is a renowned international economist, apparently because he made it onto a list of diplomats and other “politically exposed persons” statistically associated with legal risks and high compliance costs [Business Insider] Update via Nolan followup: Dana Liebelson at Mother Jones quotes anonymous bank officials as claiming that some account closures are wrongly being attributed to the program, but even in defending it concedes that should banks opt for continuing to service clients in disfavored lines of business they will shoulder distinctive (maybe decisive) compliance costs from “manag[ing] these relationships and risks,” engaging in due diligence, etc. Also, lawmakers like Sens. Jeff Merkley (D-Ore.) and Elizabeth Warren (D-Mass.) and Rep. Elijah Cummings (D-Md.) back the program; besides, this isn’t “the first time that feds have asked banks to keep an eye on their customers” since the Know Your Customer program goes back some years. So that’s comforting!
  • “Court: Standard & Poor’s is entitled to discovery supporting its ‘selective prosecution’ claim” [Volokh, earlier here and here]
  • “Plaintiff? Is That Really Necessary In A Class Action?” [Daniel Fisher on ZymoGenetics case]
  • Backed by hedge fund, lawyers exploit anti-terror law to squeeze global banks [Norman Lamont, New York Post]
  • “CEO facial masculinity predicts firm’s likelihood of being subject to SEC enforcement action” [Jia, Van Lent, and Zeng, SSRN via @brucecarton]
  • “Reflections on High Frequency Trading” [Robert Levy, Cato]
  • Banks finally lay to rest long-running litigation under Missouri second-mortgage law (MSMLA), though only after one Kansas City law firm ran up more than $600 million in settlements [Litigation Daily]