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July 29, 2010

Supreme Court Finds Search Of Employees’ Text Messages Was Reasonable

WASHINGTON, D.C. - A police department’s search of the transcripts of its employees’ text messages was reasonable and did not violate the employees’ Fourth Amendment rights, the U.S. Supreme Court ruled June 17, reversing a ruling by the Ninth Circuit U.S. Court of Appeals (City of Ontario, California, et al. v. Jeff Quon, et al., No. 08-1332, U.S. Sup.; 2010 U.S. LEXIS 4972; See May 2010, Page 23).
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Crohn’s Disease, Not Remicade, Caused Girl’s Death, Defendants Say

RICHMOND, Va. - A 17-year-old’s death from cardiac arrest after several infusions with Johnson & Johnson’s Remicade was more likely the result of an electrolyte imbalance due to her severe underlying Crohn’s disease and was not caused by the biologic product, defendants say in a June 10 federal appeal brief (James Mack, et al. v. AmerisourceBergen Drug Corporation, et al., No. 10-1019, 4th Cir.).
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U.S. High Court Won’t Review RICO Fraud Remedies

WASHINGTON, D.C. - The U.S. Supreme Court declined June 28 to review an appellate decision upholding most of the remedies imposed on the tobacco industry by the federal judge who found it liable for a decades-long pattern of fraud and deception (Philip Morris USA, Inc. v. United States, et al., No. 09-976, U.S. Sup.; R.J. Reynolds Tobacco Co., et al. v. United States, et al., No. 09-977; United States v. Philip Morris USA, Inc., et al., No. 09-978; Altria Group, Inc. v. United States, et al., No. 09-979; British American Tobacco Ltd. v. United States, et al., No. 09-980; Tobacco-Free Kids Action, et al. v. United States, et al., No. 09-994; Lorillard Tobacco Co. v. United States, et al., No. 09-1012, U.S. Sup.; See March 2010, Page 11).
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Magistrate Denies Sanctions For Delayed Production Of Digital Information

CHICAGO - A federal magistrate judge in Illinois on July 6 denied a request for sanctions and attorney fees filed by a plaintiff claiming that her former employer violated the Americans with Disabilities Act (ADA), after finding that the defendant did not refuse to produce electronic versions of documents already submitted and the associated metadata (Amber Chapman v. General Board of Pension and Health Benefits of the United Methodist Church, No. 09 C 3474, N.D. Ill.; 2010 U.S. Dist. LEXIS 66618).
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Insurer Asks 7th Circuit To Consider Arbitration Panel Confidentiality Issues

CHICAGO - In an appellant brief submitted to the Seventh Circuit U.S. Court of Appeals on July 8, an insurer argues that a district court judge erred in allowing a reinsurer judicial relief that disrupted an arbitration before it was complete (Trustmark Insurance Company v. John Hancock Life Insurance Company, No. 09-3682, 7th Cir.; See 3/19/10, Page 5).
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Judge Admits Experts Who Say Plane’s Defects Caused Pitcher Lidle’s Crash

NEW YORK - A federal judge in New York on July 6 admitted testimony from five experts who opined that a design defect caused the 2006 plane crash that killed Yankees pitcher Cory Lidle and flight instructor Tyler Stanger (Melanie Lidle, et al. v. Cirrus Design Corp., No. 08 Cv. 1253 [BSJ] [HBP], S.D. N.Y.; 2010 U.S. Dist. LEXIS 67031).
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Illinois High Court Affirms Decision To Reverse Verdict For Injured Commuter

CHICAGO - In a majority decision reached July 15, the Illinois Supreme Court upheld the reversal of a $372,141 personal injury award to a woman injured on a slippery train platform, agreeing that the defendant did not have a duty to remove a natural accumulation of snow and ice from its property (Marianna Krywin v. The Chicago Transit Authority, No. 108888, Ill. Sup.; 2010 Ill. LEXIS 972).
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ICSID Committee Annuls $128.2 Million Arbitration Award For Sempra Energy

WASHINGTON, D.C. - The International Centre for Settlement of Investment Disputes (ICSID) on June 30 released a committee’s decision to annul a $128.2 million arbitration award in favor of an energy company and against the Argentine Republic, finding that the tribunal committed a manifest excess of powers (Sempra Energy International v. Argentine Republic, No. ARB/02/16, ICSID; See August 2009, Page 7).
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High Court: U.S. Lacks Subject-Matter Jurisdiction In Securities Class Action

WASHINGTON, D.C. - Ruling that Section 10(b) of the Securities Exchange Act of 1934 does not provide a cause of action “to foreign plaintiffs suing foreign and American defendants for misconduct in connection with securities traded on foreign exchanges,” the U.S. Supreme Court on June 24 affirmed a federal appellate court’s ruling dismissing the case for lack of subject-matter jurisdiction (Robert Morrison, et al. v. National Australia Bank Ltd., et al., No. 08-1191, U.S. Sup.; 2010 U.S. LEXIS 5257; See January 2010, Page 6). View today’s headlines and listen to the latest podcast at www.lexisnexis.com/legalnews Do you have news to share? Interested in writing a commentary article? Email the Mealey News Desk at Mealeys@LexisNexis.com
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AIG Agrees To Pay $725 Million To Settle Bid-Rigging Securities Class

NEW YORK - American International Group Inc. (AIG) has agreed to pay $725 million to resolve a class action brought against it in a New York federal court by investors who allege that the company engaged in bid rigging and accounting improprieties, Ohio Attorney General Richard Cordray said in a July 16 press release (In Re: American International Group Inc. Securities Litigation, No. 04-8141, S.D. N.Y.).
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