Court allows lawsuits over 'light' cigarettes

Headline Legal News 2008/12/15 09:16   Bookmark and Share
The Supreme Court on Monday handed a surprising defeat to tobacco companies counting on it to put an end to lawsuits alleging deceptive marketing of "light" cigarettes.

In a 5-4 split won by the court's liberals, it ruled that smokers may use state consumer protection laws to sue cigarette makers for the way they promote "light" and "low tar" brands.

The decision was at odds with recent anti-consumer rulings that limited state regulation of business in favor of federal power.

Altria Group Inc. argued on behalf of its Philip Morris USA subsidiary that the lawsuits are barred by the federal cigarette labeling law, which forbids states from regulating any aspect of cigarette advertising that involves smoking and health.

Justice John Paul Stevens, however, said in his majority opinion that the labeling law does not shield the companies from state laws against deceptive practices. The decision forces tobacco companies to defend dozens of suits filed by smokers in Maine, where the case originated, and across the country.

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List of potential victims grows in NY fraud case

Headline Legal News 2008/12/14 09:01   Bookmark and Share
Investors who put their fortunes in the hands of arrested New York money manager Bernard Madoff are waiting to hear how much of their stake is left.

The roster of potential victims in what prosecutors said was a $50 billion Ponzi scheme has grown exponentially longer in the past few days.

Madoff, 70, said in regulatory filings that he only had around 25 clients, but it has become apparent that the list of people who lost money may number in the hundreds or even thousands.

Among those who have acknowledged potential losses so far: Former Philadelphia Eagles owner Norman Braman, New York Mets owner Fred Wilpon and J. Ezra Merkin, the chairman of GMAC Financial Services.

A charity in Massachusetts that supports Jewish programs, the Robert I. Lappin Charitable Foundation, said it had invested its entire $8 million endowment with Madoff. The organization's executive director said she doesn't expect it to survive.

Other institutions that believed they had lost millions included The North Shore-Long Island Jewish Health System and the Texas-based Julian J. Levitt Foundation.

Hedge funds and other investment groups looked like big losers too. The Fairfield Greenwich Group said it had some $7.5 billion in investments linked to Madoff. A private Swiss bank, Banque Benedict Hentsch Fairfield Partners SA, said it had $47.5 million worth of client assets at risk.

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Insurer's asbestos-related lawsuits at high court

Headline Legal News 2008/12/13 09:14   Bookmark and Share
The Supreme Court agreed Friday to consider reinstating a roughly $500 million settlement of asbestos-related lawsuits against the Travelers Companies Inc.

The settlement would also block any new lawsuits against Travelers arising out of the insurance company's long relationship with Johns Manville Corp., once the world's largest producer of asbestos.

Travelers has been named in dozens of lawsuits claiming that it tried to hide the dangerous health effects of asbestos. Asbestos is a mineral that was commonly used until the mid-1970s in insulation and fireproofing material. Exposure can increase the risk of lung cancer, mesothelioma and other ailments, according to federal health agencies.

The company has argued that asbestos-related claims should be paid out of a trust created by Johns Manville in the 1980s and approved by a federal bankruptcy judge. Money for the fund came largely from insurers.

Travelers agreed to settle with several groups of plaintiffs provided that federal courts make clear that it would not have to face any new similar lawsuits.

The 2nd U.S Circuit Court of Appeals in New York overturned lower-court approval of the settlement, saying a bankruptcy judge lacks the authority to act so broadly. The justices, at arguments in March, will consider the question of the bankruptcy court's power.

The consolidated cases are The Travelers Indemnity Co. v. Bailey, 08-295, and Common Law Settlement Counsel v. Bailey, 08-307.

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Victim's kin file suit in Wal-Mart stampede death

Headline Legal News 2008/12/03 18:52   Bookmark and Share
The family of a New York man who was trampled to death the day after Thanksgiving by a stampede of bargain hunting Wal-Mart shoppers has filed a wrongful death lawsuit.

The family also filed notice that Nassau County, on Long Island, and its police department will be sued.

The lawsuit against Wal-Mart and the Long Island mall where it is located was filed Wednesday in state Supreme Court in the Bronx on behalf of Elsie Damour Phillipe. Phillipe is the sister of victim Jdimytai Damour (DHMEE'-tree Di-MOHR'), and is the court-appointed administrator of his estate.

Damour, a temporary worker hired for the holiday season, was crushed to death when some 2,000 customers stormed into the Valley Stream store.

None of the defendants in the lawsuit immediately responded to requests for comment.

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Colo. man charged with libel over Craigslist posts

Headline Legal News 2008/12/02 18:49   Bookmark and Share
A man accused of making unflattering online comments about his former lover and her attorney on Craigslist has been charged with two counts of criminal libel.

"It's not a charge you see a lot of," Larimer County District Attorney Larry Abrahamson said of the 1800s-era state law that can put people in jail for the content of their speech or writing.

Abrahamson charged J.P. Weichel, 40, of Loveland, in October over posts he allegedly made on Craigslist's "Rants and Rave" section.

The case began when a woman told Loveland police in December 2007 about postings made about her between November and December 2007. Court records show posts that suggested she traded sexual acts for legal services from her attorney and mentioned a visit from child services because of an injury to her child.

Police obtained search warrants for records from Web sites including Craigslist before identifying Weichel as the suspect. Weichel shares a child with the woman.

Weichel, confronted by detectives at his workplace in August, said he was "just venting," according to court records.

No phone listing could be found for Weichel, and his attorney, Michael Liggett of Fort Collins, didn't immediately return a message left Monday by The Associated Press.

Libel is commonly seen as a civil case. Denver attorney Steve Zansberg, who specializes in First Amendment law, said prosecutors seeking criminal libel cases could have a "chilling" effect on free speech in Colorado, particularly over the Internet.

Abrahamson wasn't so sure. He said it is up to police departments to pursue cases.

Zansberg contends the law is outdated, is unclear about stating opinions and is written in such a way that dead people could be victims of criminal libel.

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US court: Parents cannot sue to enforce 'No Child'

Headline Legal News 2008/12/01 18:50   Bookmark and Share
A federal appeals court says parents cannot sue school districts to force them to comply with the No Child Left Behind Act.

The ruling Thursday comes in a case filed against the low-performing Newark Public Schools in New Jersey.

Parents say the district failed to notify them of the right to transfer out of failing schools and of other provisions required under the law.

The 3rd U.S. Circuit Court of Appeals says enforcement of the act is up to state educational agencies.

ACLU attorney Scott Michelman says the decision is not in the best interests of parents or children. A school district lawyer did not return calls.

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