Posts Tagged ‘Richard Posner’

Posner: “selfish deal” by class counsel resulted in “outlandish” fees

“Judge Richard Posner of the Seventh Circuit Court of Appeals has unleashed another zinger at class-action attorneys, trashing a settlement over joint-pain pills that would have paid attorneys $2 million in fees, more than double what their clients got.” [Daniel Fisher, Forbes, whose own writing gets cited; opinion in Pearson v. NBTY] From the ABA Journal:

The opinion was a victory for Ted Frank of the Center for Class Action Fairness, who objected to the settlement as a class member. He told the Am Law Litigation Daily he will be citing the case in new objections to class-action settlements. So far, he says, his group has persuaded courts to wipe out $271 million in attorney fees in the 39 cases in which the center achieved some success.

“This is the best opinion out there” on class settlement issues, Frank told the Litigation Daily. “I think it will have a dramatic effect on class action settlements negotiated.”

October 3 roundup

  • Posner smacks lawyers, vindicates objectors in Radio Shack coupon settlement [CCAF, Fisher, more]
  • “Germany To Consider Ban On Late-Night Work Emails” [Alexander Kaufman, Huffington Post]
  • 7th Circuit overturns Wisconsin John Doe ruling, sends back to state judges [Milwaukee Journal-Sentinel, ruling; more, Vox] John Doe case prosecutor John Chisholm, via columnist Dan Bice, strikes back against source in office who talked to Stuart Taylor, Jr. [Taylor, Althouse]
  • Trial lawyer/massive Democratic donor Steve Mostyn also dabbles in Texas Republican primaries [Robert T. Garrett, Dallas Morning News; Mostyn’s national spending from Florida and Arizona to New Hampshire and Minnesota]
  • Sad: immigration lawyer known for Iraqi Christian advocacy faces asylum fraud charges [Chicago Tribune]
  • Might have been entertaining had Bruce Braley opponent Joni Ernst in Iowa argued in favor of nullification, but that’s not what evidence shows [Ramesh Ponnuru]
  • California hobbles insurers with diverse-procurement regulations [Ian Adams, Insurance Journal]

Posner tosses “scandalous” settlement: lawyers “sold out” clients

“A federal appeals court has rejected an ‘inequitable — even scandalous’ class-action settlement, removed the lead lawyer and reinstated ‘defrocked’ lead plaintiffs who had objected to the deal.” The ruling, involving a class action against the Pella Corp., window manufacturers, is another triumph for Ted Frank, former contributor to this blog and now a prominent objector through his Center for Class Action Fairness. [ABA Journal, Chicago Daily Law Bulletin (“attorneys would receive $11 million in fees while their clients would get, at most, $8.5 million — and likely much less”)]

November 20 roundup

  • KlearGear and the consumer non-disparagement clause that ate (or tried to eat) Chicago [Popehat and followup]
  • “House Passes Bill That Would Open Asbestos Trusts To Scrutiny” [Daniel Fisher/Forbes, Chamber-backed Legal NewsLine]
  • Randy Maniloff interviews Judge Richard Posner on his new book Reflections on Judging [Coverage Opinions]
  • In a custody fight, anything can happen: “Dad Accused of ‘Unfit Parenting’ for Refusing to Take His Son to McDonalds” [TIME]
  • “Released after serving 10 years on false rape accusation –then wrongly arrested for not registering as sex offender” [Chicago Tribune via @radleybalko]
  • Institute for Justice launches campaign to challenge local restrictions on food with suits over sale of cottage baked goods, front-yard vegetable gardens, advertising of raw milk [AP/Yahoo, “National Food Freedom Initiative“]
  • Alabama regulators add hassle factor when business tries to move into the state [Coyote]

1. Government strong-arms production of enviro-friendly washers…

…2. The new front-loading washers turn out to have novel maintenance issues. In particular, they may develop musty smells unless owners practice some combination of leaving doors open to vent, wiping down surfaces, and other steps. Some consumers are irritated at this and regret the purchase, others not.

3. Trial lawyers sue all the major makers in class actions saying the new designs are defective, even though Consumer Reports rates the new category of washer “best in class” despite its drawbacks.

4. One of these class actions lands before Judge Posner at the Seventh Circuit, and he rules for letting it go forward on a theory of “predominance” (do these plaintiffs all belong in the same suit, when many are experiencing no problem at all?) that varies interestingly from what people assumed the Supreme Court’s thinking was on that subject.

5. The U.S. Supreme Court decides (coming up momentarily) whether to grant certiorari in Sears v. Butler.

There isn’t actually a strong logical chain linking 1) through 5); it’s kind of happenstance that the case threw up an issue involving predominance that the Supreme Court might find worth its attention, as opposed to merely presenting an overall profile of “hasn’t the whole system just become a crazy way to enrich lawyers?” Because “hasn’t the whole system just become a crazy way to enrich lawyers?” doesn’t count as a well-formed question for certiorari. [Ted Frank, more, Daniel Fisher] (& cross-posted, adapted, at Cato at Liberty) Update: Court vacates and remands in light of Comcast.) (& thanks to Marissa Miller, SCOTUSBlog, for roundup link)

October 31 roundup

Intellectual property roundup

  • This is getting serious: “Patent troll targets Minecraft” [Rob Beschizza, BoingBoing] Are mainstream tech companies joining the patent-troll brigade? [WSJ Law Blog] Bessen-Meurer have another study of patent trolls out, this one suggests their direct costs to economy $29 billion a year [Joe Mullin, Ars Technica]
  • London Olympics games: you may link to our site only if not in a “derogatory or otherwise objectionable manner” [Popehat]
  • “Fan Fiction vs. Copyright – Q&A with Rebecca Tushnet” [Reason.tv]
  • Are the logos similar? Apparel maker Under Armour sues maker of “Body Armor” sports drink [Baltimore Sun]
  • “U.S. Patent System is Broken, Declares Judge in Android v. Apple Cases” [Posner; DailyTech] Posner “on Why he thinks There Are Too Many Patents in America” [Atlantic]
  • Startups: “Why do investors want founders to spend money and time on bogus patents?” [Cory Doctorow]

July 17 roundup

  • Prediction: Homeland Security to emerge as major regulatory agency prescribing security rules to private sector [Stewart Baker] Regulators fret: air travel’s gotten so safe it’s hard for us to justify new authority [Taranto via Instapundit] “Romney’s regulatory plan” [Penn RegBlog]
  • Claim: frequent expert witness in Dallas court proceedings is “imposter” [PoliceMisconduct.net]
  • “‘Temporary’ Takings That Cause Permanent Damage Still Require Just Compensation” [Ilya Shapiro, Cato]
  • On the ObamaCare decision’s wild card, the ruling on “coercive” conditions on Medicaid grants under the Spending Clause [Mike McConnell, Ilya Somin] Ramesh Ponnuru argues that ruling is no victory for supporters of limited government [Bloomberg]
  • D.C.’s historic Shaw neighborhood near Cato Institute narrowly escaped planners’ bulldozer [Greater Greater Washington, WaPo]
  • Michelle Obama on the right track with an idea on occupational licensure but should take it farther [Mark Perry]
  • Everyone’s a judicial critic: Auto-Correct proposes replacing “Posner” with “Poisoner.”