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On The Case Headlines

Ex-clients of Jacoby & Meyers, Finkelstein claim fraud, seek class certification

Former clients of the personal injury law firms Jacoby & Meyers and Finkelstein & Partners filed a motion this week in federal court in Newark, New Jersey, requesting certification of a class to pursue allegations that the law firms used an alter-ego litigation support company, Total Trial Services, to extract fees for services that, according to plaintiffs, should have been covered by clients’ contingency fees.

Ex-Debevoise client, facing SEC accusations of evidence tampering, blames law firm

By his own account in a new complaint against his former lawyers at Debevoise & Plimpton, Mykalai Kontilai is in a world of trouble. In 2007, Kontilai founded a company called Collectors Café, which was to be an online auction and social media site for collectibles, with insurers backing the authenticity of its offerings. Kontilai raised more than $20 million from investors. In 2019, the Securities and Exchange Commission sued Kontilai for securities fraud, accusing him not just of l

Will SCOTUS look at delegation and AAA rules in latest arbitration case at high court?

I’m going to let you in on a little secret: It’s not easy to write headlines about the fine points of threshold arbitrability disputes. The word “arbitrability” is not exactly clickbait. In the midst of Senate confirmation hearings for U.S. Supreme Court nominee Amy Coney Barrett, with landmark cases such as Roe v. Wade and Brown v. Board of Education in the news, there’s not much space in the public imagination for Henry Schein v. Archer and White Sales, which presents the complex q

Small claims court as escape hatch for mass arb defendants? Not so fast, says L.A. judge

In a case that has important implications for companies facing mass arbitration demands from their customers, Los Angeles Superior Court Judge Terry Green ruled last week that Intuit must arbitrate claims by nearly 10,000 customers who allege the financial software company steered them into paying for tax preparation services after they attempted to use a free version of Turbo Tax. Intuit, invoking an American Arbitration Association rule that allows either side to push claims out of

Two Trump-appointed circuit judges don’t think much of shareholder class actions

Last week, a three-judge panel of the 9th U.S. Circuit Court of Appeals issued a significant decision (2020 WL 5951150) in a shareholder class action against BofI, a bank holding company. The appeals court, in an opinion by Judge Paul Watford, revived a class action alleging, among other things, that the bank’s share price plunged in response to disclosures in a whistleblower lawsuit. The 9th Circuit joined the 6th Circuit to conclude that a whistleblower complaint containing allegat

Why Netflix and Hulu really, really want this Texas class action to be dismissed

A couple of months ago, when I saw the names of the plaintiffs' firms that signed a class action complaint (2020 WL 4669712) by Texas municipalities that claim they’re owed 5% of the revenue that Netflix and Hulu receive from streaming video to their residents, I had a feeling this case had implications beyond the Texarkana federal courthouse where it was filed. The class action plaintiffs' firms Nix Patterson and DiCello Levitt Gutzler have nationwide footprints. The Texas case, I s

Supreme Court debates if challenger to Dela. judicial appointment system has right to sue

The U.S. Supreme Court was not particularly interested during oral arguments Monday morning in Delaware’s own glowing assessment of its state judiciary. Michael McConnell of Wilson Sonsini Goodrich & Rosati, who argued on behalf of Delaware Governor John Carney, told the justices that Delaware’s “jewel” of a judiciary is the result of the state’s unique, bipartisan judicial appointment process. David Finger of Finger & Slanina, who represents a Delaware lawyer challenging the system,

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