“How Destroying Fish Is Not Like Destroying Financial Records”

In the upcoming case of Yates v. United States, the Supreme Court will decide whether a fisherman can be prosecuted under Sarbanes-Oxley’s prohibition on destroying or concealing “any record, document, or tangible object” to impede an investigation. The records, documents, or tangible objects in question were undersized fish, which Mr. Yates threw overboard instead of bringing back to the dock as instructed by inspectors. Cato has filed an amicus brief urging the Court to rule that Mr. Yates was not adequately put on notice of the reach of “tangible object” to include not just business items such as hard drives, but small marine creatures, lest the law “potentially criminalize an unfathomable range of activities.” [Trevor Burrus, earlier]

“Exceptions to free speech…”

“…will inevitably be used to protect police and others in power, not…the weak.” [Ken White/Popehat on case of Thomas G. Smith, whose conviction, later overturned, for “disorderly conduct” and “unlawful use of a computerized communication system” was based on an obscenity-filled rant against cops on the Facebook page of the Village of Arena, Wisc. police department]

Mass tort roundup

  • New Hampshire lottery: after Granite State’s MTBE contamination suits pays off big, Vermont files its own [WLF Legal Pulse]
  • Supreme Court declines to review various cases arising from Florida’s Engle tobacco litigation [Lyle Denniston, SCOTUSBlog, earlier] “U.S. Supreme Court Rejects Fen-Phen Lawyers’ Appeal of $42M Kentucky Verdict” [Insurance Journal, earlier]
  • In action against five drug firms over opioid marketing, California’s Santa Clara County partners with law firms Robinson Calcagnie, Cohen Milstein, and Hagens Berman, marking at least the tenth time the county has teamed up with outside law firms to file suits [Legal NewsLine; earlier on Chicago’s involvement in painkiller suit]
  • Lester Brickman on fraud in mesothelioma litigation [SSRN] “Plaintiff Lawyer Offers Inside Look At `Institutionalized Fraud’ At Asbestos Trusts” [Daniel Fisher]
  • “‘Light’ cigarette case vs Huck’s continues after 9 years; Two current judges had been plaintiff’s counsel” [Madison Record, ABA Journal]
  • “If honesty in the judicial system means anything, it means proceeding with candor before the tribunal, which plaintiffs’ counsel did not do during the removal proceedings.” [dissent in Peter Angelos Cashmere Bouquet asbestos case, Legal NewsLine]
  • Report on products liability and the driverless car [John Villasenor, Brookings, earlier]

Citigroup to pay $7 billion in mortgage settlement

WSJ editorial this morning: “We hold no brief for Citi, which has been rescued three times by the feds…. [But] good luck finding a justification for [the $7 billion figure] in the settlement agreement. The number seems to have been pulled out of thin air since it’s unrelated to Citi’s mortgage-securities market share or any other metric we can see beyond having media impact.

“This week’s settlement includes $4 billion for the Treasury, roughly $500 million for the states and FDIC, and $2.5 billion for mortgage borrowers. That last category has become a fixture of recent government mortgage settlements, even though the premise of this case involves harm done to bond investors, not mortgage borrowers.” More: Bloomberg. And the settlement directs Citigroup to hire former Eric Holder associate Thomas Perrilli, now at Jenner & Block, for a monitorship that is likely to prove an extremely lucrative plum [Reynolds Holding, Alison Frankel] Also: Ira Stoll.

Critics: unlawful for real estate websites to provide demographic data

A popular feature of many real estate websites is the ability to search for neighborhood- and town-level statistics on crime, rated school quality, income, age, concentration of school-age children, and a host of other demographic variables. Now the National Fair Housing Alliance, the busy group that has extracted tens of millions of dollars from other businesses through complaints and litigation, says it is considering complaints against sites that offer search for information related to forbidden fair housing categories (race, national origin, family structure, and others) and either offer real estate for sale or refer business to real estate agencies. Site operators object that the offending information typically comes from the U.S. Census Bureau itself and that consumers could still obtain such information online, if a bit less conveniently, even if real estate sites stopped offering it. [Kenneth Harney, Washington Post/syndicated]

July 15 roundup

  • “Cato Went 10-1 at Supreme Court This Term” [Ilya Shapiro; on merits cases] Yesterday I spoke to a private policy gathering in Annapolis, Md. with a retrospective on the Supreme Court term, especially its lessons for state government. If you’re looking for a speaker on Court issues, I or one of my colleagues at Cato’s Center for Constitutional Studies may fit the bill;
  • “CrossFit Sues ‘Competitor’ For Revealing Its Injury Rates” [DeadSpin]
  • New Jersey court rules for casino in unshuffled baccarat deck case [Elie Mystal/Above the Law, earlier]
  • Family rescued from 1000 miles offshore plans to sue over nonworking satellite cell phone [ABC 10 News]
  • Tartly worded response to third-party-subpoena demand in Sherrod/Breitbart case [attorney Robert Driscoll]
  • Legal academia: Prof. Bainbridge takes on law-and, empirical legal studies crowds [Bainbridge, TaxProf and reactions] George Leef on reforming law schools [Pope Center]
  • “Uber Agrees to End Surge Pricing During NY Emergencies, And Why That Means You’ll Never Find a Ride” [Gary Leff; Peter Van Doren, Cato]

Enterprise personhood: the first 2000+ years

Commenter Eric Rasmusen at Prof. Bainbridge, via Maitland, quotes Sir Frederick Pollock, Principles of Contract, originally published in 1876:

…the Roman invention, adopted and largely developed in modern systems of law, of constituting the official character of the holders for the time being of the same office, or the common interest of the persons who for the time being are adventurers in the same undertaking, into an artificial person or ideal subject of legal capacities and duties.

To put it differently, the law’s handling of enterprises as people was old news in Roman times. More on the misguided attack on rights-bearing by business organizations: Josiah Neeley, Matt Yglesias (“5 mistakes liberals make about corporate personhood and Hobby Lobby”).