Mealey Publications™


Judge Tosses Most Of SEC Complaint Over Cyberattack For Failure To Show Falsity

NEW YORK — A federal judge in New York on July 18 largely dismissed a first-of-its-kind suit brought by the Securities and Exchange Commission against a software company and its head of information security accusing them of issuing false statements about the company’s software that was the target of alleged state-sponsored cyberattacks from Russia, finding that many of the SEC’s claims “impermissibly rely on hindsight and speculation.”

Ruling Affirmed On Bad Faith, Unfair Trade Practices Claims Against Auto Insurer

SEATTLE — The Ninth Circuit U.S. Court of Appeals in a July 18 unpublished opinion affirmed a district court’s ruling in favor of an auto insurer, agreeing with the lower court’s determination that claims alleging violations of Montana’s Unfair Trade Practices Act (UTPA) and bad faith cannot proceed because the insurer did not violate the UTPA or act in bad faith by enclosing an optional release when it tendered its insured’s bodily injury limits to claimants following a motorcycle accident for which its insured was liable.

California Supreme Court Says UCL Suit Against Insurer Not Time-Barred

SAN FRANCISCO — The California Supreme Court on July 18 reversed an appellate panel’s affirmance of the dismissal as time-barred of an insured’s lawsuit against her property insurer for failure to properly investigate a claim, finding that the panel should have applied the four-year statute of limitations under California’s unfair competition law (UCL) to her UCL claim for injunctive relief.

Questions Of Fact Remain In Asbestos Bodily Injury Coverage Suit, Judge Says

pleadings in a suit seeking a declaration that coverage is owed for an underlying asbestos bodily injury suit after determining that questions of fact exist regarding whether asbestos exclusions apply as a bar to coverage and whether the underlying plaintiff’s injuries were caused by asbestos in the insured’s talc products.

5th Circuit Orders Limited Remand In Challenge To ESG Investing Rule

NEW ORLEANS — Citing a recent U.S. Supreme Court decision that overturned a deference doctrine on which the lower court relied, a Fifth Circuit U.S. Court of Appeals panel on July 18 vacated and remanded a decision upholding a 2022 U.S. Department of Labor (DOL) investment rule concerning environmental, social and governance (ESG) factors.

Panel Affirms Court’s Rulings In Coverage Suit Arising From Global Product Recall

NEW YORK — A New York appeals court held that a lower court properly determined that coverage for an insured’s losses arising from a global product recall was excluded under the prior notice exclusion in the insured’s year one policy, further finding that the lower court properly determined that fact issues preclude summary judgment as to coverage under the insured’s year two policy.

9th Circuit: Buddhist Temple Apprentice Falls Under Ministerial Exception

PASADENA, Calif. — A former work practice apprentice (WPA) at a California Buddhist temple, San Francisco Zen Center Inc., who received room and board and a small stipend in exchange for performing work duties as well as participating in meditations and performing ceremonial tasks fell with the First Amendment to the U.S. Constitution’s ministerial exception as he “had a ‘role in . . . carrying out [the Center’s] mission,’” a Ninth Circuit U.S. Court of Appeals panel ruled July 17, affirming a summary judgment ruling for the center in the man’s disability discrimination case.

Panel Remands For Discovery Cost Calculations In Dispute Between Gamer And Twitch

SAN FRANCISCO — A California appellate court on July 17 reversed a lower court’s order denying an online gamer’s motion to tax or strike Twitch Interactive’s electronic discovery costs in the gamer’s breach of contract suit against Twitch for suspending his Twitch account, finding that remand is required for a correct determination of Twitch’s discovery costs.

1st Circuit Upholds Finding Advisory Firm, President Violated Securities Laws

BOSTON — A First Circuit U.S. Court of Appeals panel upheld a Massachusetts federal judge’s decision to enter summary judgment against a man and his financial advisory company, along with a host of other orders from the judge, finding that the Securities and Exchange Commission adequately showed that the man and the firm recklessly and repeatedly issued misrepresentations about an investment strategy employed by the firm.

Monsanto Files Official Notice Of Appeal In Pennsylvania Glyphosate Cancer Case

PHILADELPHIA — Monsanto Co. has filed a notice in the Pennsylvania Superior Court officially appealing the verdict against the company in a glyphosate cancer lawsuit in which a state court judge reduced an initial $2.25 billion damages award to $404,308,904.11.  Monsanto listed the issues on appeal but did not provide the reasoning behind its challenge to the verdict.

Split 5th Circuit Panel Says Publisher Can Copy Legal Codes Copyrighted In Canada

NEW ORLEANS — A split panel of the Fifth Circuit U.S. Court of Appeals reversed a Texas federal judge’s grant of summary judgment against a publishing company accused by a Canadian developer of legal standards and codes of copying and republishing complete versions of the codes, saying that the codes are effectively “law” in Canada and that law is copyable.


Judge Rejects Preemption, Strict Liability Arguments After $8M Asbestos Verdict
Bad Faith Claims Related To Initial Denial Of Hurricane Claim Cannot Proceed
California Anti-SLAPP Statute Dooms RICO Asbestos Action, Law Firm Defendants Say
EPA Has No Duty To Enforce Right-To-Repair Rule Against Nonroad Vehicle Makers
Judge Tosses Most Of SEC Complaint Over Cyberattack For Failure To Show Falsity
Federal Judge Won’t Dismiss SEC Claims Against Salesman In Drilling Case
Ruling Affirmed On Bad Faith, Unfair Trade Practices Claims Against Auto Insurer
Judge Delays Case Against Asbestos Trust Citing Pending Motion To Stay
Judge: Expert Testimony That Injuries Related To Crash Unsupported By Evidence
Humana, Insureds Debate Jurisdiction In AI Claims Processing Case
Judgment Granted For Broker In Coverage, Fraud Dispute With Insurance Agent
California Supreme Court Says UCL Suit Against Insurer Not Time-Barred
Insureds File Contempt Motion In Hurricane Coverage Row With Guaranty Association
Panel: Insurer Entitled To Judgment Under Premises Liability Of Louisiana Civil Code
9th Circuit Sends ‘Plant- Based’ Baby Wipes Class Suit Back To District Court
Judge Allows Competing Medical, Use Of Force Experts In Case Filed By Inmate
Questions Of Fact Remain In Asbestos Bodily Injury Coverage Suit, Judge Says
Receiver’s Determination Proposal In Reinsurer’s Liquidation Draws Feedback
Claim For Breach Of Contractual Duty Of Good Faith To Proceed Against Auto Insurer
Insurer Disputes D&O Coverage For Fraudulent Inducement Lawsuit
Vermont: Schools’ PCB Case Should Be Stayed To Avoid ‘Piecemeal Litigation’
Lockheed Martin Denies Claims In Wrongful Death Case Related To Toxic Exposure
Retailer Settles EEOC Suit Over Employee’s COVID-19 Vaccine Religious Beliefs
5th Circuit Orders Limited Remand In Challenge To ESG Investing Rule
Talc MDL Special Master Denies Litigation Funding Discovery Request
Judge: AI Defamation Case Jurisdiction Uncertainty Didn’t Warrant Attorney Fees
Federal Trade Commission Shutters AI App Claiming To Identify STDs
Nebraska Company Opposes $927K Award To French Entity In Shipping Dispute
In Dispute Over Memory Chip Patents, Calif. Federal Judge Dismisses Counterclaims
Discovery Deadline Unchanged In SEC Suit Against Owner Of Insurers In Receivership