C L A S S A C T I O N R E P O R T E R
Friday, October 19, 2007, Vol. 9, No. 207
Headlines
ATLAS COLD: Securities Suit Certification Hearing Set January
BEAR STEARNS: Cal. Court Okays McKesson Merger Suit Settlement
BEST BUY: Former Worker Files Suit in Pa. Over Unpaid Work Time
CBOCS DIST: Recalls Art Sets for Lead Paint Standard Breach
DOMINO'S PIZZA: Settles Calif. Ex-Employee's Lawsuits for $5M
DOMINO'S PIZZA: Settles Ex-General Manager's Suit for $500T
FREMONT GENERAL: Cal. Court Consolidates ERISA Violations Suit
HAMILTON HEALTH: Settles Lawsuit Over Tompkins Metroplasty
HOME DEPOT: Faces Fraud Suit Over Hot Water Installation Permits
KERRY INC: September 2008 Trial Set for “Kassa” Lawsuit in Minn.
KFC CORP: To Seek Dismissal of FACTA Violations Lawsuit in N.J.
KIPP BROTHERS: Recalls Bendable Dinosaur Toys for Excessive Lead
MEDICAL SOCIETIES: Faces Lawsuit in Cal. Over ‘Egg Sharing’
NAVTEQ CORP: Faces Ill. Lawsuit Over $8.1B Sale to Nokia Corp.
NEW YORK: City Seeks Settlement Talks for 9/11 Health Litigation
OCCAM NETWORKS: Faces Consolidated Securities Lawsuit in Calif.
POSSIS MEDICAL: Plaintiffs Still Appealing Minn. Suit's Nixing
PROCYCLE GROUP: Recalls Bicycles with Head Tube that can Detach
SOUTH & ASSOC: Faces Suit in Mo. Over Alleged Fraud, Overcharges
SOUTHLAND TITLE: Cal. Suit Alleges Illegal “Email, Notary Fees”
TACO BELL: Faces Calif. Suit Alleging Violations of Labor Laws
TACO BELL: Nov. 2008 Hearing Set in Cal. ADA Violations Suit
TACO BELL: To Seek Dismissal of FACTA Violations Suit in Ill.
T-MOBILE: Cal. High Court Allows “Termination Fees” Lawsuit
TWENTIETH CENTURY: Settles Suit Over Santa Barbara Music for $1M
WEGMANS FOOD: Recalls Wheat Rolls Containing Undeclared Milk
Asbestos Alerts
ASBESTOS LITIGATION: Dewalt’s Appeal to Remand Order Dismissed
ASBESTOS LITIGATION: CSK Auto Corp. Has Product Liability Claims
ASBESTOS LITIGATION: Congoleum Has $8.56M Liabilities at June 30
ASBESTOS LITIGATION: Rulings on Congoleum Claims Issued in July
ASBESTOS LITIGATION: Congoleum Coverage Case Decided Last May 18
ASBESTOS LITIGATION: American Biltrite Records $10.54M Liability
ASBESTOS LITIGATION: American Biltrite Has 1,415 Claims at June
ASBESTOS LITIGATION: Senior Citizen Sues 48 Firms in Tex. Court
ASBESTOS LITIGATION: Laborer’s Daughter Sues 42 Firms in W.Va.
ASBESTOS LITIGATION: Asbestos Found in 2 EU Parliament Buildings
ASBESTOS LITIGATION: Inquest Links Pensioner’s Death to Asbestos
ASBESTOS LITIGATION: Bribery Ruling Upheld in D.C. Appeals Court
ASBESTOS LITIGATION: Creditors Object to Dana Corp.’s Statement
ASBESTOS LITIGATION: W.Va. Cleanup Head Pleads Guilty to Bribes
ASBESTOS LITIGATION: Defendants Will Get Appeal, Ohio Court Says
ASBESTOS LITIGATION: Pittsburgh Dept. Sees $1M Cost for Cleanup
ASBESTOS LITIGATION: Calif. Court Reverses Motion in Sparks Case
ASBESTOS LITIGATION: Ruling Reversed in Favor of Safety National
ASBESTOS LITIGATION: Cleanup at U.K. Leisure Center Costs GBP66T
ASBESTOS LITIGATION: Union Seeks Disclosure on Vessel’s Asbestos
ASBESTOS LITIGATION: Ill. Court Denies $29M Compensation Award
ASBESTOS LITIGATION: Teacher’s Widow Seeks Help in Payout Action
ASBESTOS LITIGATION: Over GBP30M Paid to H&W Employees Since ‘01
ASBESTOS LITIGATION: Asbestos Probe in U.K. Leisure Center Urged
ASBESTOS LITIGATION: N.Y. Court Orders Joint Trial for 2 Claims
ASBESTOS LITIGATION: Hazard Still Present at Australian Schools
ASBESTOS LITIGATION: Sheet Metal Worker’s Death Linked to Hazard
ASBESTOS LITIGATION: High Hazard Level Found at Calif. City Hall
ASBESTOS LITIGATION: Experts Called in to Assess Risk at School
ASBESTOS LITIGATION: Allstate Has $1.388B for Claims at Sept 30
ASBESTOS LITIGATION: Cayuga County Sued for Wrongful Termination
ASBESTOS LITIGATION: Pleural Plaque Sufferers Lose Payout Battle
ASBESTOS LITIGATION: Lorry Driver Finds Asbestos at Public Tip
ASBESTOS LITIGATION: Fly-tippers Dump Hazard Near Primary School
ASBESTOS LITIGATION: Hazard in Canada Health Unit Poses Low Risk
ASBESTOS LITIGATION: Atlantic Express Mulls Cleanup Liabilities
*********
ATLAS COLD: Securities Suit Certification Hearing Set January
-------------------------------------------------------------
A certification hearing for a suit over alleged breaches of the Securities
Act against Atlas Cold Storage Holdings Inc. is set to begin Jan. 14, 2008
in Toronto.
The law firms of Groia & Company, Koskie Minsky LLP and Sutts, Strosberg LLP
are counsel in a class action against Atlas Cold, certain directors and
officers of Atlas Holdings, certain trustees of Atlas Cold Storage Income
Trust, Ernst & Young LLP and BMO Nesbitt Burns Inc.
The claim is on behalf of all persons who purchased or acquired units of
Atlas between March 1, 2002 and August 29, 2003, and held them at the close
of trading on the TSX on August 29, 2003 excluding the defendants, members
of the immediate family of each of the individual defendants, any officers
or directors of Atlas Holdings, any subsidiary or affiliate of Atlas or
Atlas Holdings, any entity in respect of which any excluded person has a
controlling interest, and the legal representatives, heirs, successors and
assigns of any excluded person.
The amended fresh statement of claim alleges that Atlas' net income for the
fiscal years ended 2001 and 2002 was overstated and thereby causing the
units of Atlas to trade at artificially high prices. The amended fresh
statement of claim also alleges that some of the defendants breached section
130 of the Securities Act and that the defendants were negligent.
The Honourable Madam Justice Hoy has been assigned as the class action case
management judge.
On August 16, 17 and 18, 2006, Madam Justice Hoy heard preliminary motions.
The plaintiffs' motion was granted. Certain claims against the defendant,
Michael H. Wilson, were struck. The remaining motions brought by the
defendants were dismissed. The motion for certification is scheduled for
five days beginning on January 14, 2008 in Toronto.
For more information, contact:
Sutts, Strosberg LLP
Web site: http://www.atlasclassaction.com/
Toll Free Line: 800.229.5323, ext. 8296
BEAR STEARNS: Cal. Court Okays McKesson Merger Suit Settlement
--------------------------------------------------------------
The U.S. District Court for the Northern District of California granted
preliminary approval to a proposed settlement of the purported class
action, “In Re McKesson HBOC, Inc. Securities Litigation, Case No. 99-CV-
20743.”
Previously, The Bear Stearns Cos., Inc. appealed the final order approving a
proposed settlement in the matter.
The suit arises out of a merger between McKesson Corp. and HBO & Co.
resulting in an entity called McKesson HBOC, Inc.
Beginning on June 29, 1999, 53 purported class actions were commenced in the
U.S. District Court for the Northern District of California. These actions
were subsequently consolidated, and the plaintiffs proceeded to file a
series of amended complaints.
On Feb. 15, 2002, plaintiffs filed a third amended consolidated complaint,
which alleges that Bear Stearns violated Sections 10(b) and 14(a) of the
U.S. Exchange Act in connection with allegedly false and misleading
disclosures contained in a joint proxy statement/prospectus that was issued
with respect to the McKesson/HBOC merger.
Plaintiffs purport to represent a class consisting of all persons who
either:
-- acquired publicly traded securities of HBOC between
Jan. 20, 1997 and Jan. 12, 1999; or
-- acquired publicly traded securities of McKesson or
McKesson HBOC between Oct. 18, 1998 and April 27, 1999,
and who held McKesson securities on Nov. 27, 1998 and
Jan. 22, 1999.
Named defendants include McKesson HBOC, certain present and former directors
and/or officers of McKesson HBOC, McKesson and/or HBOC, Bear Stearns and
Arthur Andersen LLP. Compensatory damages in an unspecified amount are
sought.
On Jan. 6, 2003, the court granted Bear Stearns' motion to dismiss the
Section 10(b) claim asserted in the third amended complaint, and denied Bear
Stearns' motion to dismiss the Section 14(a) claim.
On March 7, 2003, Bear Stearns filed an answer to the third amended
complaint denying all allegations of wrongdoing and asserting affirmative
defenses to the claims in the complaint.
On Jan. 12, 2005, McKesson HBOC announced that it had reached a settlement
with the plaintiff class, which settlement required court approval. Bear
Stearns' engagement letter with McKesson in connection with the merger of
McKesson and HBOC provides that McKesson cannot settle any litigation
without Bear Stearns' written consent unless McKesson obtains an
unconditional written release for Bear Stearns and, under certain
circumstances, is required to provide indemnification to Bear Stearns.
By Order dated May 23, 2005, the court denied preliminary approval of the
proposed settlement between McKesson HBOC and the plaintiff class.
On July 12, 2005, the plaintiff and McKesson HBOC submitted a revised
proposed settlement, purporting to address the issues identified by the
court in its order denying preliminary approval, to which Bear Stearns
objected.
The revised proposed settlement provides, among other things, that Bear
Stearns' rights under its engagement letter are preserved for future
resolution. McKesson HBOC's claims in connection with the letter are also
preserved.
On Feb. 24, 2006, the district court granted final approval of the revised
proposed settlement.
Bear Stearns has appealed the final approval order to the U.S. Circuit Court
of Appeals for the 9th Circuit, seeking to reverse the final approval of the
settlement on the ground that consummation of the settlement may deprive
Bear Stearns of certain rights and remedies provided for in its engagement
letter.
On Sept. 24, 2007, the parties in the Federal Class Action entered into a
stipulation of settlement. The stipulation of settlement provides that,
subject to final approval by the District Court, the claims asserted on
behalf of the settlement class against Bear Stearns will be dismissed with
prejudice and that Bear Stearns denies any wrongdoing in connection with the
claims asserted against it in the Federal Class Action.
Under the stipulation of settlement, promptly following preliminary approval
of the settlement by the District Court, Bear Stearns will withdraw its
appeal of the District Court's approval of McKesson's settlement of the
Federal Class Action.
The District Court granted preliminary approval on Sept. 28, 2007, according
to The Bear Stearns Cos., Inc.'s Oct. 10, 2007 Form 10-Q filing with the
U.S. Securities and Exchange Commission for the quarterly period ended Aug.
31, 2007.
Settlement Terms
The defendants in the McKesson settlement have agreed to pay a total of $960
million, plus interest, to the class. Arthur Anderson LLP has agreed to pay
a total of $72.5 million, plus interest, and the Bear Stearns settlement
creates a settlement fund of $10 million, plus interest, for a total
settlement amount of $1,042,500,000.
The suit is "In Re McKesson HBOC, Inc. Securities Litigation, Case No. 99-CV-
20743," filed in the U.S. District Court for the Northern District of
California under Judge Ronald M. Whyte.
A January 4, 2008 fairness hearing has been set.
The settlement on the Net: http://www.mckessonhbocsettlement.com/status.html
Representing the plaintiffs are:
Barrack, Rodos & Bacine
170 E. 61st Street, Second Floor
New York, NY, 10021
Phone: 212.688.0782
Fax: 212.688.0783
E-mail: info@barrack.com
- and -
Bernstein Litowitz Berger & Grossmann LLP
12544 High Bluff Drive, Suite 150
San Diego, CA 92130
Phone: 858.793.0070
Fax: 858.793.0323
E-mail: blbg@blbglaw.com
Representing the company are:
James E. Lyons, Esq.
Jonathan J. Lerner, Esq.
Skadden Arps Slate Meagher & Flom
Four Embarcadero Ctr., Ste. 3800
San Francisco, CA 94111
Phone: (415) 984-6400
BEST BUY: Former Worker Files Suit in Pa. Over Unpaid Work Time
---------------------------------------------------------------
Best Buy Co., Inc. faces a purported class action in Pennsylvania over its
alleged failure to pay employees for thousands of hours they spent
undergoing security searches and working through breaks, The Associated
Press reports.
The suit was specifically filed in Philadelphia Common Pleas Court, alleging
violations of Pennsylvania state labor laws. It is seeking class-action
status to cover anyone who worked at 25 Best Buy stores in Pennsylvania
since October 2003.
Attorney Gerald Lawrence filed the purported class action on behalf of
plaintiff Jason Hall, who worked at a Best Buy store in North Wales in July
and August 2006.
In general, the suit charges that workers sometimes wait 15 minutes or more
to be searched after each shift, time that can add up to an hour or more
each week per person.
Additionally, the suit also accuses Best Buy of forcing employees to work
through meal and rest breaks without pay.
For more details, contact:
Gerald Lawrence, Esq.
Lowey Dannenberg Bemporad & Selinger, P.C.
Four Tower Bridge, 200 Bar Harbor Drive, Suite 400
West Conshohocken, Pennsylvania 19428
Phone: 610-941-2760
Fax: 610-862-9777
Web Site: http://www.lowey.com
CBOCS DIST: Recalls Art Sets for Lead Paint Standard Breach
-----------------------------------------------------------
CBOCS Distribution, Inc., of Lebanon, Tennessee, in cooperation with the
U.S. Consumer Product Safety Commission, is recalling about 7,800 Princess
Magnetic travel art set lap desks.
The company said the surface paint on the zipper pull of the lap desk
contains lead in excess of the federal lead paint standard. No injuries
have been reported.
The recalled Travel Art Set Lap Desk is a zippered case that opens into a
lap desk with markers, crayons, and magnetic pieces. The lap desk is 10 3/4-
inches wide and is pink colored. “Made in China” and item number 266822 are
printed on a sticker located on the product’s packaging.
These recalled travel art sets were manufactured in China and are being sold
at Cracker Barrel Old Country Store locations nationwide from April 2007
through August 2007 for about $20.
Pictures of recalled travel art sets:
http://www.cpsc.gov/cpscpub/prerel/prhtml08/08021.jpg
Consumers are advised to stop using these art sets immediately, and contact
the firm or return the product to any Cracker Barrel location for a full
refund.
For additional information, contact Cracker Barrel toll-free at (888) 296-
2721 between 9 a.m. and 5 p.m. ET Monday through Friday, or visit the firm’s
Web site: http://www.crackerbarrel.com
DOMINO'S PIZZA: Settles Calif. Ex-Employee's Lawsuits for $5M
-------------------------------------------------------------
A $5,000,000 settlement was reached for two purported class actions against
Domino's Pizza, LLC that were coordinated in Orange County Superior Court.
The suits are related to employment practices and wage and hour complaints
brought by former employees.
On June 10, 2003, a suit, "Vega v. Domino's Pizza LLC," was filed, in Orange
County Superior Court, alleging that the company failed to provide meal and
rest breaks to the company's employees.
On Aug. 2, 2006, "Roselio v. Domino's Pizza LLC," was filed, in Los Angeles
County Superior Court, alleging similar claims as set out in the Vega
lawsuit.
On Feb. 14, 2007, the two actions were coordinated in Orange County Superior
Court. No determination with respect to class certification has been made.
Settlement
On Sept. 11, 2007, the parties reached an out-of-court settlement, subject
to the court’s approval, in which all claims in both “Vega v. Domino’s Pizza
LLC,” and “Rosello v. Domino’s Pizza LLC” will be dismissed.
As part of the conditional settlement, the company agreed to pay $5.0
million to plaintiffs and their attorneys to resolve the disputes.
Domino's Pizza, LLC -- http://www.dominos.com/-- is a pizza delivery
company in the U.S. The Company operates through a network of 8,366 Company-
owned and franchise stores, located in all 50 states and in more than 50
countries.
DOMINO'S PIZZA: Settles Ex-General Manager's Suit for $500T
-----------------------------------------------------------
Domino's Pizza LLC reached a $500,000 settlement for a lawsuit filed in the
U.S. District Court for the Central District of California by a former
general manager.
Filed on Aug. 19, 2004 in Orange County Superior Court, the suit, "Jimenez
v. Domino's Pizza LLC," is alleging that the company misclassified the
position of general manager.
The suit also alleges that the company did not provide meal/rest periods and
overtime pay as required by state law for hourly employees.
It was removed to the U.S. District Court for the Central District of
California on Sept. 17, 2004 and the motion for class certification was
heard on June 5, 2006.
On Sept. 26, 2006, the court denied the plaintiff's motion for class
certification.
On Oct. 4, 2007, the Company reached an out-of-court settlement with Jimenez
and the ten other individual plaintiffs in which all claims will be
dismissed.
As part of the settlement, the Company agreed to pay $500,000 to the
plaintiffs and their attorneys to resolve the disputes, without admitting
any liability.
The suit is "Wilber Jimenez v. Dominos Pizza, LLC, et al., Case No. 8:04-cv-
01107-JVS-RC," filed in the U.S. District Court for the Central District of
California under Judge James V. Selna with referral to Judge Rosalyn M.
Chapman.
Representing the plaintiffs are:
Matthew Roland Bainer, Esq.
Scott Edward Cole, Esq.
Scott Cole and Associates
World Savings Tower, 1970 Broadway, Suite 950
Oakland, CA 94612
Phone: 510-891-9800
E-mail: mrbainer@scalaw.com
scole@scalaw.com
- and -
Timothy D. Cohelan, Esq.
Isam C. Khoury, Esq.
Kimberly Dawn Neilson, Esq.
Michael D. Singer, Esq.
Coheland and Khoury
605 C. Street, Suite 200
San Diego, CA 92101
Phone: 619-595-3001
Fax: 619-595-3000
E-mail: kneilson@ck-lawfirm.com
msinger@californiaclassactions.com
Representing the defendants are:
Timothy M. Freudenberger, Esq.
Ursula R. Kubal, Esq.
Jehan N. Jayakumar, Esq.
Carlton DiSante and Freudenberger
2600 Michelson Dr., Suite 800
Irvine, CA 92612
Phone: 949-622-1661
Fax: 949-622-1669
- and -
Jennifer White-Sperling, Esq.
Morgan Lewis and Bockius
300 South Grand Ave., 22nd Floor
Los Angeles, CA 90071
Phone: 213-612-7205
E-mail: jwhite-sperling@morganlewis.com
FREMONT GENERAL: Cal. Court Consolidates ERISA Violations Suit
--------------------------------------------------------------
The U.S. District Court for the Central District of California granted on
Aug. 17, 2007 plaintiff's motion to consolidate a lawsuit filed on behalf of
all persons who were participants in or beneficiaries of the Fremont General
Corp. and Affiliated Cos. Investment Incentive Plan and/or the Fremont
General ESOP, between January 1, 2005 and the present and whose accounts
included investments in Fremont General common stock.
Plaintiffs allege that during the Class Period, the Defendants breached
their fiduciary duties to Plaintiffs and the Class members by:
* failing to prudently and loyally manage the Plans’
assets;
* failing to monitor fiduciaries;
* failing to provide complete and accurate information to
the Class; and
* co-fiduciary liability.
The suits consolidated are:
-- "Johannesson, et al. v. Fremont General Corp. et al. No.
SACV07-00531 FMC" filed May 9, 2007;
-- "McCoy v. Plan Committee et al. No. CV07-02693 FFMx,”
filed April 24, 2007;
-- "Anderson v. Fremont General Corp. et al., No. SACV07-
00554 FFMx," filed May 15, 2007;
-- "Sullivan et al. v. Fremont General Corp. et al., No.
SACV07-0622 FMCx” filed May 30, 2007;
-- "Salas v. Plan Administrator, et al. No. SAVV073449
FFMx,” filed May 25, 2007; and
-- "Hopkins et al. v. Fremont General Corp. et al. No.
CV07-04233 JFW (MANx)” filed June 27, 2007.
Interim Lead Plaintiffs are: Marcy Johannesson, Wendy Horvat, Robert
Anderson, Linda Sullivan, Armando Salas and James K. Hopkins. Keller
Rohrback LLP was appointed Interim Lead Counsel. Braund Law Group PC is
appointed Interim Liaison Counsel.
The suit is now docketed as "In re Fremont General Corp. Litigation, Master
File No. CV07-02693 FMM" filed before Judge Florence-Marie Cooper.
For more information, contact:
Lynn Lincoln Sarko, Esq.
Derek W. Loeser, Esq.
Cari campen Laufenberg, Esq.
David Y. Chen, Esq.
KELLER ROHRBACK LLP
1201 Third Avenue, Suite 3200
Seattle, WA 98101-3052
Phone: (206) 623-1900
Fax: (206) 623-3384
E-mail: lsarko@kellerrohrback.com
dloeser@kellerrohrback.com
claufenberg@kellerrohrback.com
dchen@kellerrohrback.com
HAMILTON HEALTH: Settles Lawsuit Over Tompkins Metroplasty
----------------------------------------------------------
A Nov. 27, 2007 settlement hearing is set in a class action that claims Dr.
Salim Daya and Hamilton Health Sciences Corporation were negligent in their
care and treatment of women who underwent a surgical procedure known as a
Tompkins metroplasty between January 1, 1990 and March 31, 2004. The suit
claims that women who underwent the outdated Tompkins metroplasty procedure
in that time frame are entitled to damages.
The parties to the action participated in a mediation in Toronto on three
occasions in an attempt to resolve the action. As a result of the mediation,
the parties have entered into a proposed settlement which will only take
effect if it receives court approval. The court will consider whether to
approve the settlement at a hearing to be held on Tuesday, November 27, 2007
at the Courthouse, 361 University Avenue, Toronto, ON.
The plaintiffs and their counsel believe that the proposed settlement is
fair, reasonable and adequate and will ask the court to approve it. If the
proposed settlement is not approved, the class action will continue.
For more information, contact:
Harvey T. Strosberg , Q.C.
Sutts, Strosberg LLP
Phone: 519.561.6231
800.229.5323 ext. 231
Fax: 519.561.6203
866.316.5308
E-mail: dayaclassaction@strosbergco.com
HOME DEPOT: Faces Fraud Suit Over Hot Water Installation Permits
----------------------------------------------------------------
Home Depot USA, Inc. is facing a class-action complaint filed in the
Superior Court of the State of California for the County of San Diego
alleging it charges customers for “required” municipal permits to install
the hot water heaters it sells, but never files for the permits, the
CourtHouse News Service reports.
Lead plaintiff Richard Stanford claims Home Depot defrauds its customers,
breaches contract and engages in deceptive trade to unjustly enrich itself.
This is a class action for damages, equitable and/or injunctive relief on
behalf of a class of all California residents who paid defendant monies for
a bundles package of goods and services, including but not limited to
a "permit fee", that was supposed to include both the purchase, delivery and
installation of a hot water heater, and any and all "required" municipal
permits relating to the installation of the hot water heater in the class
members' residences, but actually did not include the municipal permit.
Allegedly, as a result of this conduct, Home Depot has been and continues to
be unjustly enriched at the expense of plaintiff, and others similarly
situated. Specifically, defendant has received and retained a substantial
excess profits earned from charging the class members for a service that was
never provided: the acquiring and filing of any and all "required" municipal
permits relating to the installation of a hot water heater in the class
members' residences.
Plaintiff brings this action pursuant to the Code of Civil Procedure Section
382 and the Civil Code Sections 1781(b) and (c)(1) on behalf of all persons
in California who purchased hot water heaters from defendant for delivery
and installation and paid a municipal permit fee from Oct. 15, 2003 to the
date of trial.
He wants the court to rule on:
(a) whether defendant misrepresented that the class members
were required to obtain municipal permits relating to
the installation of the hot water heater in the class
members' purchase for their residences;
(b) whether defendant misrepresented that the class members
would receive any and all "required" municipal permits
relating to the installation of the hot water heater in
the class members' residences when they paid a "permit
fee";
(c) whether defendant failed to obtain, acquire, prepare,
file, apply for, or otherwise caused to record with the
applicable municipal governments in California all
"required" municipal permits relating to the
installation of the hot water heater in class members'
residences when they paid a "permit fee";
(d) whether defendant's conduct was deceptive in violation
of the Civil Code Section 1750 et seq.; and
(e) whether defendant's conduct was unlawful, fraudulent
and/or unfair constitution violations of the Business &
Professions Code Section 17200 et seq.
Plaintiff requests the court for the following relief:
-- that this action be certified as a class action on
behalf of the proposed plaintiff class and plaintiff be
appointed as the representative of the class;
-- injunctive relief in the form of an order requiring
defendants to disgorge all ill-gotten gains and awarding
plaintiff and the class full restitution of all monies
wrongfully acquired by the defendants by means of such
unlawful, fraudulent and unfair conduct, plus interest
and attorneys' fees pursuant to, inter alia, Code of
Civil Procedure Section 1021.5;
-- injunctive relief in the form of an order requiring
defendants to adopt procedures to:
(1) identify and refund all fees paid by plaintiffs for
obtaining municipal permits that were not required
or never actually obtained;
(2) stop the business practice of charging an additional
fee to obtain municipal permits that are not
required or never actually obtained;
(3) create a policy to timely refine all additional
charges for municipal permits that are not acquired
or never obtained, when they do occur;
(4) publicize corrective notice of these wrongful
practices and the corrective action taken to stop
these wrongful practices to all of defendant's
customers, at defendant's expense;
(5) remit the charges or fees collected from plaintiffs
to the municipal governments that are responsible
for issuing the "required" municipal permits, and
otherwise take all necessary steps to ensure that
plaintiff and others similarly situated actually
receive the "required" municipal permits relating to
the installation of a hot water heater in the
plaintiff's residences; and
(6) cease from engaging, or, within a reasonable time,
agree to cease to engage, in the illegal, unlawful,
fraudulent and unfair methods, act, or practices as
set forth in the complaint;
-- damages as provided by statute;
-- general damages according to proof;
-- special damages according to proof;
-- compensatory damages according to proof;
-- consequential damages accroding to proof;
-- pre-judgment and post-judgment interests as provided by
statute;
-- attorneys' fees, expenses and costs of this action
pursuant to statute; and
-- such further relief as the court deems necessary, just
and proper.
The suit is "Richard Stanford et al. v. Home Depot USA, Inc., Case No. 37-
2007-00077691-CU-BC-CTL," filed in the Superior Court of the State of
California for the County of San Diego.
Representing plaintiffs are:
Patrick N. Keegan, Esq.
Brent Jex, Esq.
Keegan & Baker, LLP
4370 La Jolla Village Drive, Suite 640
San Diego, California 92122
Phone: (858) 552-6750
Fax: (858) 552-6749
KERRY INC: September 2008 Trial Set for “Kassa” Lawsuit in Minn.
----------------------------------------------------------------
A September 2008 trial is scheduled for the purported class action, “Kassa
et al. v. Kerry Inc.,” which was filed in the U.S. District Court for the
District of Minnesota, Sarah Light of The Albert Lea Tribune reports.
The suit was filed by 25 former Albert Lea Kerry Specialty Ingredients
workers back in Feb. 28, 2006, for alleged unpaid time on the job.
It specifically alleges that Kerry did not pay its workers for time spent
putting on and taking off —- also known as “donning and doffing” —-
protective gear before and after shifts.
Bill Gengler of Lockridge Grindal Nauen, is one of the workers’ attorneys.
He explains that the lawsuit began with two employees from the Albert Lea
plant and has since expanded to include employees in Minnesota, Iowa,
Wisconsin and Ohio. Up to 800 workers could be covered the case, says Mr.
Gengler.
Though Kerry Specialty Ingredients no longer exists in Albert Lea, in 2005
it employed 85 employees. Another company, Merricks, Inc., bought out Kerry
in July of 2006.
Under a court order, authorized notices were recently mailed to Kerry
employees who worked in production, maintenance or sanitation jobs any time
on or after Feb. 1, 2003 in:
-- Albert Lea, Minn.;
-- Covington, Ohio;
-- Fredericksburg, Iowa; and
-- Beloit, Jackson, Owen, and Vesper, Wis.
The notices require the workers to fill out and return a consent form by
Oct. 29, 2007 to join the lawsuit as plaintiffs.
The case is scheduled to go to trial in September of 2008.
The suit is “Kassa et al. v. Kerry Inc., Case No. 0:06-cv-00904-PJS-JJG,”
filed in the U.S. District Court for the District of Minnesota under Judge
Patrick J. Schiltz with referral to Judge Jeanne J. Graham.
Representing the plaintiffs are:
William A. Gengler, Esq.
Lockridge Grindal Nauen PLLP
100 Washington Ave S Ste 2200
Minneapolis, MN 55401-2179
Phone: 612-339-6900
Fax: 612-339-0981
E-mail: wagengler@locklaw.com
- and -
Clayton D. Halunen, Esq.
Halunen & Associates
220 South 6th Street Ste 2000
Minneapolis, MN 55402
Phone: (612) 605-4098
Fax: (612) 605-4099
E-mail: halunen@halunenlaw.com
Representing the defendant are:
Robert H. Brown, Esq
Laner, Muchin, Dombrow, Becker, Levin & Tominberg, Ltd
515 N State St Ste 2800
Chicago, IL 60610
Phone: 312-494-5327
Fax: 312-467-9479
E-mail: rbrown@lanermuchin.com
- and -
Bradley J. Lindeman, Esq.
Meagher & Geer, PLLP
33 S 6th St Ste 4400
Minneapolis, MN 55402
Phone: 612-338-0661
Fax: 612-877-3030
E-mail: blindeman@meagher.com
KFC CORP: To Seek Dismissal of FACTA Violations Lawsuit in N.J.
---------------------------------------------------------------
KFC Corp., a division of YUM! Brands, Inc., will seek for the dismissal of a
purported class action filed against it in the U.S. District Court for the
District of New Jersey, alleging violations under the new federal Fair and
Accurate Credit Transaction Act.
On July 11, 2007, a lawsuit styled, “Melissa Peraria v. KFC Corp., et al.,”
was filed in the U.S. District Court for the District of New Jersey.
It is a proposed class action and alleges that KFC failed to protect the
private information of its customers under FACTA.
Since the complaint alleges a violation of FACTA based on a transaction
involving a franchised restaurant, the Company intends to seek dismissal
from the action, according to YUM! Brands, Inc.'s Oct. 16, 2007 Form 10-Q
Filing with the U.S. Securities and Exchange Commission for the quarterly
period ended Oct. 15, 2007.
The suit is “Peraria v. KFC Corp. et al., Case No. 1:07-cv-03190-RMB-AMD,”
filed in the U.S. District Court for the District of New Jersey under Judge
Renee Marie Bumb with referral to Judge Ann Marie Donio.
Representing the plaintiffs are:
Edward W. Ciolko
Schiffrin Barroway Topaz & Kessler
280 King of Prussia Road
Radnor, PA 19087
Phone: 610-667-7706
E-mail: eciolko@sbtklaw.com
- and -
Evan J. Smith, Esq.
Brodsky & Smith, LLC
1040 Kings Highway, North Suite 601
Cherry Hill, NJ 08034
Phone: (856) 795-7250
E-mail: esmith@brodsky-smith.com
Representing the defendant is:
Todd Lawrence Schleifstein
Greenberg Traurig, LLP
200 Park Avenue
Florham Park, NJ 07932-5400
Phone: (973) 360-7918
Fax: (973) 301-8410
E-mail: schleifsteint@gtlaw.com
KIPP BROTHERS: Recalls Bendable Dinosaur Toys for Excessive Lead
----------------------------------------------------------------
Kipp Brothers, of Carmel, Indiana, in cooperation with the U.S. Consumer
Product Safety Commission, is recalling about 10,000 bendable dinosaur toys.
The company said the recalled toys pose a risk of lead exposure to young
children. No injuries have been reported.
The bendable dinosaur toys are about three inches long and come in brown,
green or orange/green colors. While the toys were sold in boxes of 36,
consumers may have received these products as a giveaway or promotional item
from schools, libraries, churches, community groups, etc.
These recalled bendable dinos were manufactured in China and are being sold
in The Kipp Brothers’ showroom, catalog and Web site from October 2006
through August 2007 for about $10 per box of 36.
Pictures of the recalled bendable dinos:
http://www.cpsc.gov/cpscpub/prerel/prhtml08/08020a.jpg
http://www.cpsc.gov/cpscpub/prerel/prhtml08/08020b.jpg
Consumers are advised to take the recalled toys away from children
immediately. Consumers can return the toy to the place of receipt for a free
replacement toy.
For additional information, contact Kipp Brothers at (800) 428-1153 between
8:30 a.m. and 5 p.m. ET Monday through Friday, or visit the Web site:
http://www.kipptoys.com
MEDICAL SOCIETIES: Faces Lawsuit in Cal. Over ‘Egg Sharing’
-----------------------------------------------------------
The American Society for Reproductive Medicine and the Society for Assisted
Reproductive Technology is accused of fraud, conversion and tortious
interference for distributing the ova of registered members to unknown and
unauthorized women without consent, CourtHouse News Service reports.
The suit was filed by the Options National Fertility Registry as a purported
class action on Oct. 12, in the U.S. District Court for the Northern
District of California. It alleged the abuse is “an industry-wide
practice...known as ‘egg sharing.’” Both defendants are headquartered in
Birmingham, Ala., and do business in California.
Plaintiffs claim the defendants cannot account for missing ova, and their
records are suspiciously inconsistent.
Plaintiffs pray for relief from each defendant as follows:
-- for an award of special damages, including lost income
and medical costs and other costs, according to proof;
-- an award of general damages for pain and suffering and
loss of reputation
-- an award of punitive damages against each defendant
-- injunctive relief banning unauthorized and unconsented-
to egg sharing by defendants
-- an award of reasonable attorney fees incurred in
bringing this action and
-- an award of costs of suit.
The suit is "Options National Fertility et al. v. The American Society for
Reproductive Medicine, et al., Case No. C07 05238," filed in the U.S.
District Court for the Northern District of California.
Representing plaintiffs is:
Stanley G. Hilton
Law Offices of Stanley G. Hilton
580 California Street, Suite 500
Phone: (415) 439-4893 or (415) 786-4821
Fax: (415) 439-4963
E-mail: 4561414@gmail.com
NAVTEQ CORP: Faces Ill. Lawsuit Over $8.1B Sale to Nokia Corp.
--------------------------------------------------------------
Navteq Corp. faces a purported shareholder class action in Illinois that
seeks to block the Chicago-based digital mapmaker’s $8.1-billion sale to
Nokia Corp., Brandon Glenn of The Crain's Chicago Business reports.
The suit, which seeks class-action status, was filed by Karen Rosenberg, a
New Jersey shareholder of Navteq Corp., in Cook County Circuit Court on Oct.
9, 2007.
It generally alleges that Navteq executives breached their fiduciary duties
by selling the company for an “unfair and grossly inadequate” price.
In addition, the suit contends that the $250 million termination fee for the
deal is “excessive” and a deterrent to other potential bidders. Plaintiffs
claim that the deal “deprives Navteq’s shareholders of maximum value to
which they are entitled.”
Several Navteq executives were named as defendants in the case, including
chief executive Judson Green and Chairman Christopher Galvin, former chief
executive of Motorola Inc.
The suit accuses them and other executives of putting their personal
interests ahead of the interests of Navteq shareholders.
Ms. Rosenberg is represented in the matter by two law firms, Krislov
Associates Ltd. of Chicago, and Faruqi & Faruqi LLP of New York.
According to a joint statement, it was announced that the deal was recently
approved by Navteq and Nokia’s boards of directors and is subject to Navteq
shareholders’ approval.
For more details, contact:
Krislov & Associates, Ltd.
20 North Wacker Drive, Suite 1350
Chicago, Illinois 60606
Phone: 312-606-0500
Fax: 312-606-0207
E-mail: mail@krislovlaw.com
Web site: http://www.krislovlaw.com/
- and -
Faruqi & Faruqi LLP
369 Lexington Avenue, 10th Floor
New York, NY 10017-6531
Phone: (212) 983-9330 or (877) 247-4292
Fax: (212) 983-9331
Web site: http://www.faruqilaw.com/
NEW YORK: City Seeks Settlement Talks for 9/11 Health Litigation
----------------------------------------------------------------
The City of New York wants to see if a settlement is possible in the
purported class action, "In Re: World Trade Center Disaster Site
Litigation," which is claiming that city's negligence caused Ground Zero
workers to breathe toxic air at the World Trade Center site.
The suit generally alleges that the defendants violated certain laws by not
providing adequate safety equipment to those involved in the rescue and
clean-up efforts following the collapse of the World Trade Center on Sept.
11, 2001.
It alleges that that because of such violations the plaintiffs suffered
respiratory injuries brought on by toxic fumes and dust from the collapsed
towers
According to a report by The Associated Press, an attorney for the ailing
workers recently sent his clients a letter asking to authorize talks with
the city regarding the matter.
However, Mayor Michael Bloomberg was quick to point out that holding talks
doesn't mean a settlement offer will be made. The mayor told The Associated
Press, "I can only tell you this: Every time you get sued, you always take a
look and see" whether there is a way "to come to a settlement which would be
in everybody's interest."
The mayor adds, "There's no reason to think that we can come to a settlement
or reason to think that we can't come to a settlement. Plain and simple,
we're just going to talk and explore."
The complaint is available free of charge at:
http://researcharchives.com/t/s?1150
The suit is "In Re: World Trade Center Disaster Site Litigation,
Case No. 1:21-mc-00100-AKH-THK," filed in the U.S. District
Court for the Southern District of New York under Judge Alvin K. Hellerstein
with referral to Judge Theodore H. Katz.
Representing the plaintiffs are:
Marc Jay Bern, Esq.
Paul Joseph Napoli, Esq.
Napoli Bern Ripka, LLP
115 Broadway, 12th Floor
New York, NY 10006
Phone: (212) 267-3700
Fax: (212)-513-7320 and (212) 587-0031
E-mail: mjbern@napolibern.com
PNapoli@napolibern.com
Web site: http://www.877wtchero.com/updates.jsp
- and -
Rita F. Aronov, Esq.
Shestack & Young, LLP
233 Broadway, 50th Floor
New York, NY 10279
Phone: (212) 766-1200
Fax: (212) 349-4911
E-mail: raronov@yahoo.com
Representing the defendants are:
Kenneth A. Becker, Esq.
Corporation Counsel of the City of New York
Assistant Corporation Counsel
100 Church Street--Rm. 4-214
New York, NY 10007
Phone: (212) 788-051
- and -
Judith Pearl Falk, Esq.
Flemming Zulack Williamson Zauderer, LLP
One Liberty Plaza
New York, NY 10006
Phone: (212) 412-9554
Fax: (212) 964-9200
E-mail: jfalk@fzw.com
OCCAM NETWORKS: Faces Consolidated Securities Lawsuit in Calif.
---------------------------------------------------------------
Occam Networks, Inc. faces a consolidated securities fraud class action in
the U.S. District Court for the Central District of California, according to
its Oct. 16, 2007 Form 10-K Filing with the U.S. Securities and Exchange
Commission for the fiscal year ended Dec. 31, 2006.
On April 26, 2007 and May 16, 2007, two putative class action complaints
were filed in the U.S. District Court for the Central District of California
against the company and certain of its officers.
The complaints allege that the defendants violated sections 10(b) and 20(a)
of the U.S. Securities Exchange Act of 1934, or the Exchange Act, and SEC
Rule 10b-5 by making false and misleading statements and omissions relating
to the Company's financial statements and internal controls with respect
revenue recognition.
The complaints seek, on behalf of persons who purchased our common stock
during the period from May 2, 2006 and April 17, 2007, damages of an
unspecified amount.
On July 30, 2007, Judge Christina A. Snyder consolidated these actions into
a single action, appointed NECA-IBEW Pension Fund (The Decatur Plan) as lead
plaintiff, and approved its selection of lead counsel. The lead plaintiff
must file a consolidated complaint no later than Nov. 16, 2007.
The suit is “Lauri S. Batwin, et al. v. Occam Networks, Inc., et al., Case
No. 07-CV-02750,” filed in the U.S. District Court for the Central District
of California under Judge Christina A. Snyder.
Representing the plaintiffs are:
Kaplan Fox & Kilsheimer, LLP
805 Third Avenue, 22nd Floor
New York, NY, 10022
Phone: 212.687.1980
Fax: 212.687.7714
E-mail: info@kaplanfox.com
POSSIS MEDICAL: Plaintiffs Still Appealing Minn. Suit's Nixing
--------------------------------------------------------------
Plaintiffs in a securities fraud class action against Possis Medical, Inc.,
and two of its executive officers continue to appeal the dismissal of the
matter.
The company was served with a shareholder lawsuit filed in the U.S. District
Court for the District of Minnesota on June 3, 2005, alleging that Possis
Medical, Inc. and named individual officers violated federal securities
laws.
The suit seeks class-action status and unspecified damages. It was
dismissed with prejudice by order of the Court on Feb. 1, 2007. Plaintiffs
have filed an appeal from the Court's order and the appeal is still pending.
The company reported no development in the matter in its Oct. 15, 2007 Form
10-K Filing with the U.S. Securities and Exchange Commission for the fiscal
year ended July 31, 2007.
The suit is "In re Possis Medical, Inc., Securities Litigation, Case No.
0:05-cv-01084-JMR-FLN," filed in the U.S. District Court for the District of
Minnesota under Judge James M. Rosenbaum with referral to Judge Franklin L.
Noel.
Representing the plaintiffs are:
Garrett D. Blanchfield, Jr., Esq.
Reinhardt Wendorf & Blanchfield
332 Minnesota St., Ste. E-1250
St. Paul, MN 55101
Phone: 651-287-2100
E-mail: g.blanchfield@rwblawfirm.com
Nancy A. Kulesa, Esq.
Schatz & Nobel, PC
20 Church St., Ste. 1700
Hartford, CT 06103
Phone: 860-241-6116
E-mail: nkulesa@snlaw.net
- and -
Andrei V. Rado, Esq.
Milberg Weiss Bershad & Schulman, LLP
One Pennsylvania Plaza, 49th Floor
New York, NY 10119-0165
Phone: 212-946-4474
E-mail: arado@milbergweiss.com
Representing the defendants are:
Michelle S. Grant, Esq.
Bryan C. Keane, Esq.
James K. Langdon, Esq.
Roger J. Magnuson, Esq.
Dorsey & Whitney, LLP
50 S. 6th St., Ste. 1500
Minneapolis, MN 55402-1498
Phone: 612-340-5671 and 612-340-2600
Fax: 612-340-2807 and 612-340-8800
E-mail: grant.michelle@dorsey.com
keane.bryan@dorsey.com
langdon.jim@dorsey.com
magnuson.roger@dorsey.com
PROCYCLE GROUP: Recalls Bicycles with Head Tube that can Detach
---------------------------------------------------------------
Procycle Group Inc., of Quebec, Canada is recalling about 45 Rocky Mountain-
Solo Bicycles.
The company said the head tube can detach from the rest of the frame, posing
a fall hazard to consumers.
Procycle Group Inc. has received two reports of head tubes detaching from
the frames, resulting in shoulder and facial injuries.
This recall involves the Rocky Mountain Bicycles brand of Solo bicycles. The
models included in this recall are: 2006 SOLO CR50, 2006 SOLO CR70, and 2007
SOLO CR LTD. The bicycles have a full carbon Columbus frame. ?Rocky
Mountain? and ?Solo? are printed on the head tube.
The recalled Rocky Mountain-Solo Bicycles were manufactured in Taiwan and
are being sold by independent bicycle dealers nationwide from August 2006
through July 2007 for between $2,000 and $5,850.
Pictures of recalled Rocky Mountain-Solo Bicycles:
http://www.cpsc.gov/cpscpub/prerel/prhtml08/08506.jpg
Consumers are advised to stop using the bicycle immediately and return the
frame to the bicycle store where purchased to receive a free replacement
frame, a full refund, or credit.
For additional information, please contact Procycle Group Inc. at (800) 663-
2512 between 8 a.m. and 4:30 p.m. PT Monday through Friday, or visit the
firm’s Web site: http://www.bikes.com
SOUTH & ASSOC: Faces Suit in Mo. Over Alleged Fraud, Overcharges
----------------------------------------------------------------
South & Associates is facing a class-action complaint filed Oct. 16 in the
U.S. District Court for the Eastern District of Missouri alleging it
systematically overstates attorney’s fees and borrowers’ debts, Joe Harris
of the Courthouse News Service reports.
Named plaintiff Randal Howland says South violates the Fair Debt Collection
Practices Act by sending letters to borrowers containing the amount owed on
their mortgage when it has no records to support such charges, the suit
states. Mr. Howland says South also overcharges for other services, such as
certified mail, at prices well above those he incurs.
Plaintiff seeks individual and class action relief for Debt Collectors'
violations of the Fair Debt Collection Practices Act (FDCPA), 15 U.S.C.
Section 1692, et. seq.
This action is brought by Mr. Howland to recover for the class for
violations of the FDCPA. He contends that South violates the FDCPA by
failing to state the amount of the debt as required by 15 U.S.C. Section
1692g(a)(1), by giving a false impression of the character, amount and legal
status of the debt in violation 15 U.S.C. Section 1692e(2)(A), by engaging
in unfair and unconscionable collection methods in violation of 15 U.S.C.
Section 1692f, and by using false and deceptive collection methods in
violation of 15 U.S.C. Section 1692e(10).
Mr. Howland proposed to represent a plaintiffs' class consisting of all
persons within the State of Missouri who, during the year prior to the
filing of this lawsuit, were sent a letter by South in a form materially
identical or substantially similar to the letter sent to Mr. Howland, for
attempting to collect a debt and soliciting borrowers to pay off or
reinstate the underlying mortgage and demanding fees and costs that it had
not yet earned or expended by South and which was not returned by the postal
service as undelivered.
He wants the court to rule on:
(a) whether South sent a letter attempting to collect a
debt and soliciting borrowers to pay off or reinstate
the underlying mortgage and demanding fees and costs
that it had not yet earned or expended;
(b) whether South acted as a debt collector when it
solicited members of the plaintiff class to pay off or
reinstate the underlying mortgages;
(c) whether the practice of South lumping unaccrued with
accrued fees and costs constitutes a "false, deceptive,
or misleading representation or means in connection
with the collection of a debt" in violation of the
FDCPA;
(d) whether this action is maintainable as a plaintiffs'
class action;
(e) whether the members of the plaintiffs' class are
entitled to relief available under the FDCPA, 15 U.S.C.
Section 1692k; and
(f) whether South entitled to defenses provide under the
FDCPA, 15 U.S.C. Section 1692k(c).
Plaintiff prays that the court grant the following relief:
-- enter an order certifying this action as a plaintiffs'
class action, and appointing the plaintiff as the
representative of the plaintiff's class;
-- enter an order appointing Green Jacobson & Butsch, P.C.
as counsel for the plaintiffs' class;
-- enter judgment in favor of plaintiff and the members of
the plaintiffs' class and against defendant award actual
and statutory damages to each member of the plaintiffs'
class and attorney's fees, litigation expenses and costs
as provided under the FDCPA, 15 U.S.C. Section 1692k(3);
-- enter judgment awarding class counsel reasonable
attorneys' fees and all expenses of this action to be
paid by defendant and to require defendant to pay the
costs and expenses of class notice and claim
administration; and
-- award plaintiffs prejudgment interest, post-judgment
interest, and any further and additional relief as to
which they may be entitled.
Representing plaintiffs are:
Jonathan F. Andres
David T. Butsch
Matthew R. Fields
7733 Forsyth Blvd., Ste. 700
Clayton, MO 63105-2015
Phone: 314.862.6800
Fax: 314.862.1606
E-mail: andres@stlouislaw.com or butsch@stlouislaw.com
or fields@stlouislaw.com
SOUTHLAND TITLE: Cal. Suit Alleges Illegal “Email, Notary Fees”
---------------------------------------------------------------
Southland Title Corp. and LandAmerica Financial Group are facing a class-
action complaint filed Oct. 16 in the U.S. District Court for the Central
District of California alleging both companies charge illegal “email fees”
of $200 and “notary fees” of up to $700 in nationwide violations of real
estate law.
This is a class action by consumers seeking relief from the predatory
practices of a title company and title insurer which violate the Real Estate
Settlement Procedures Act (RESPA) of 1974, as amended, 12 U.S.C. Section
2601, et seq. and the California Business & Professional Code Section 17200,
et seq.
The "email fees" and "notary fees" are nothing more than a means for
defendants to generate unearned fees from consumers at the time of the real
estate settlement and closing. Southland's excessive and bogus fees and
charges have thus injured all members of the proposed plaintiff classes in
precisely the same way: by increasing its own profits and denying consumers
critical information about the costs passed along to them, in a way
calculated - to quote Congress' words from 1974 - "to increase unnecessarily
the costs" of settlement services.
By hyper-inflating the charges imposed consumers, and requiring consumers to
pay junk "email fees" and "notary fees," Southland has engaged in unfair,
unlawful and fraudulent business practices, in violation of California's
Business and Professions Code Sections 17200, et seq. (Unfair Competition
Law).
Plaintiffs want the court to rule on:
(a) whether defendants charged an "email fee;"
(b) how defendants calculated the amount it charges for the
"email fee," including what services defendants or any
third party purportedly provided in connection with
said fee;
(c) whether defendants or any third party actually
performed the services that were purportedly connected
to the "email fee;"
(d) whether defendants charged a "notary fee;"
(e) how defendants calculated the amount it charges for the
"notary fee," including what services defendants or any
third party purportedly provided in connection with
said fee;
(f) whether the various state laws limit the charge for
"notary fees;"
(g) whether the services and costs purportedly connected to
the "email fee" were duplicative of other services and
costs;
(h) whether the services and costs purportedly connected to
the "notary fee" were duplicative of other services and
costs;
(i) whether the costs connected to the "email fee" were
nominal;
(j) whether the costs connected to the "notary fee" were
nominal;
(k) whether defendants violated RESPA;
(l) whether defendants violated California Business and
Professions Code Section 17203; and
(m) whether plaintiffs and the other class members have
been damaged as a result.
Plaintiffs pray for judgment as follows:
-- for an order finding and declaring this action to be a
proper class action and certifying plaintiffs as
representatives of the class under Rule 23 of the
Federal Rules of Civil Procedure;
-- for injunctive relief ordering defendants to cease and
desist from charging its consumers any real estate
settlement and closing fee where no, nominal, or
duplicative work is done in connection with said fee;
-- for an order of restitution in an amount to be
determined at trial to restore to all affected class
members all money acquired by defendants or its
successors in interest by means of its unlawful
practices described and all interest and profit earned
thereon;
-- for actual damages;
-- for treble damages under RESPA, 12 USC Section 2601, et
seq.;
-- for compensatory damages;
-- for reasonable attorneys' and experts' fees, and other
expenses incurred in prosecuting this action, pursuant
to 12 USC Section 2607(d)(5);
-- for pre-judgment interest; and
-- for such other and further relief as the court may deem
just and proper.
The suit is "Peter Fernandes et al. v. Southland Title Corp., Case No. CV07-
06690DSF," filed in the U.S. District Court for the Central District of
California.
Representing plaintiffs are:
Jonathan Weiss
Law Office of Jonathan Weiss
10576 Troon Avenue
Los Angeles, CA 90064-4436
Phone: (310) 558-0404
Fax: (310) 558-0100
E-mail: jw@lojw.com
Richard S. Gordon
Cory L. Zajdel
Quinn, Gordon, & Wolf, CHTD
102 West Pennsylvania Ave., Suite 402
Towson, MD 21204
Phone: (410) 825-2300
Fax: (410) 825-0066
E-mail: rgordon@quinnlaw.com or czdjel@quinnlaw.com
- and -
Philip S. Friedman
Law Office of Philip S. Friedman, PLLC
2401 Pennsylvania Ave., N.W. Suite 410
Washington DC 20037
Phone: (202) 293-4175
Fax: (202) 318-0395
E-mail: psf@consumerlawhelp.com
TACO BELL: Faces Calif. Suit Alleging Violations of Labor Laws
--------------------------------------------------------------
Taco Bell Corp., Yum! Brands, Inc. and other related entities face a
purported class action in the U.S. District Court for the Eastern District
California that was filed on behalf of all hourly employees who have worked
for the defendants within the last four years.
The suit, “Sandrika Medlock v. Taco Bell Corp.,” was filed on Sept. 10,
2007. It alleges numerous violations of California labor laws including
unpaid overtime, failure to pay wages on termination, denial of meal and
rest breaks, improper wage statements, unpaid business expenses and unfair
or unlawful business practices in violation of California Business &
Professions Code Section 17200.
The suit is “Medlock v. Taco Bell Corp., et al., Case No. 1:07-cv-01314-OWW-
DLB,” filed in the U.S. District Court for the Eastern District of
California under Judge Oliver W. Wanger with referral to Judge Dennis L.
Beck.
Representing the plaintiff is:
Joseph Cho, Esq.
Initiative Legal Group LLP
1800 Century Park East, Second Floor
Los Angeles, CA 90067
Phone: (310) 556-5637
Fax: (310) 861-9051
E-mail: josephcho@initiativelegal.com
Representing the defendants are:
Heather Mactavish Freelin, Esq.
Irell and Manella
840 Newport Center Drive, Suite 400
Newport Beach, CA 92660
Phone: 949-760-0991
Fax: 949-760-5200
E-mail: hfreelin@irell.com
TACO BELL: Nov. 2008 Hearing Set in Cal. ADA Violations Suit
------------------------------------------------------------
A Nov. 10, 2008 trial is slated for the matter, “Moeller, et al. v. Taco
Bell Corp.,” which remains pending in the U.S. District Court for the
Northern District of California.
On Dec. 17, 2002, Taco Bell Corp. was named as the defendant in a class
action, "Moeller, et al. v. Taco Bell Corp.," filed in the U.S. District
Court for the Northern District of California.
On Aug. 4, 2003, plaintiffs filed an amended complaint that alleges, among
other things, that the company discriminated against the class of people who
use wheelchairs or scooters for mobility by failing to make its
approximately 220 company-owned restaurants in California accessible to the
class.
Plaintiffs contend that queue rails and other architectural and structural
elements of the Taco Bell restaurants relating to the path of travel and use
of the facilities by persons with mobility-related disabilities –- including
parking spaces, ramps, counters, restroom facilities and seating -- do not
comply with the U.S. Americans with Disabilities Act, the Unruh Civil Rights
Act, and the California Disabled Persons Act.
Plaintiffs have requested:
-- an injunction from the District Court ordering Taco
Bell to comply with the ADA and its implementing
regulations;
-- that the District Court declare Taco Bell in violation
of the ADA, the Unruh Act, and the CDPA; and
-- monetary relief under the Unruh Act or CDPA.
Plaintiffs, on behalf of the class, are seeking the minimum statutory
damages per offense of either $4,000 under the Unruh Act or $1,000 under the
CDPA for each aggrieved member of the class. They contend that there may be
in excess of 100,000 individuals in the class.
For themselves, the four named plaintiffs have claimed aggregate minimum
statutory damages of no less than $16,000, but are expected to claim greater
amounts based on the number of company outlets they visited at which they
claim to have suffered discrimination.
On Feb. 23, 2004, the district court granted plaintiffs' motion for class
certification. The district court certified a Rule 23(b)(2) mandatory
injunctive relief class of all individuals with disabilities who use
wheelchairs or electric scooters for mobility who, at any time on or after
Dec. 17, 2001, were denied, or are currently being denied, on the basis of
disability, the full and equal enjoyment of the California Restaurants. The
class includes claims for injunctive relief and minimum statutory damages.
Pursuant to the parties' agreement, on or about Aug. 31, 2004, the district
court ordered that the trial of this action be bifurcated so that stage one
will resolve plaintiffs' claims for equitable relief and stage two will
resolve plaintiffs' claims for damages.
Parties are currently proceeding with the equitable relief stage of this
action. During this stage, the company filed a motion to partially
decertify the class to exclude from the Rule 23(b)(2) class claims for
monetary damages.
The district court denied the motion. Plaintiffs filed their own motion for
partial summary judgment as to liability relating to a subset of the
California Restaurants. The district court denied that motion as well.
On May 17, 2007, a hearing was held on Plaintiffs’ Motion for Partial
Summary Judgment seeking judicial declaration that Taco Bell was in
violation of accessibility laws as to three specific issues: indoor seating,
queue rails and door opening force.
On Aug. 8, 2007, the court granted Plaintiffs’ motion in part with regard to
dining room seating. In addition, the court granted Plaintiffs’ motion in
part with regard to door opening force at some restaurants (but not all) and
denied the motion with regard to queue lines.
At a status conference on Sept. 27, 2007, the court set a trial date of Nov.
10, 2008 with respect to not more than 20 restaurants to determine the issue
of liability and common issues.
The suit is "Moeller, et al. v. Taco Bell Corp., Case No. 3:02-cv-05849,"
filed in the U.S. District Court for the Northern District of California
under Judge Martin J. Jenkins.
Representing the plaintiffs are:
Timothy P. Fox, Esq.
Fox & Robertson, P.C.
910-16th Street, Suite 610
Denver, CO 80202
Phone: 303-595-9700
Fax: 303-595-9705
E-mail: tfox@foxrob.com
- and -
Brad Seligman, Esq.
The Impact Fund, 125 University Ave.
Berkeley, CA 94710
Phone: 510-845-3473 ext. 304
Fax: 510-845-3654
E-mail: bs@impactfund.org
Representing the defendant are:
Gregory A. Eurich, Esq.
Jimmy Goh, Esq.
Holland & Hart, LLP
555 17th Street, Suite 3200
Denver, CO 80202
Phone: 303-295-8000
E-mail: geurich@hollandhart.com
jgoh@hollandhart.com
- and -
Gregory F. Hurley, Esq.
Greenberg Traurig, LLP
650 Town Center Drive, Suite 1700
Costa Mesa, CA 92626
Phone: 714-708-6564
Fax: 714 708-6501
E-mail: sautters@gtlaw.com
TACO BELL: To Seek Dismissal of FACTA Violations Suit in Ill.
-------------------------------------------------------------
Taco Bell Corp., a division of YUM! Brands, Inc., will seek for the
dismissal of a purported class action filed against it in the U.S. District
Court for the Northern District of Illinois, alleging violations under the
new federal Fair and Accurate Credit Transaction Act.
The suit, “Doran Phillips v. Taco Bell Corp., et al.,” was filed on July 5,
2007. It was delivered to Taco Bell’s agent for service of process in
Illinois.
It is a proposed class action and alleges that Taco Bell failed to protect
the private information of its customers under FACTA.
The complaint alleges a violation of FACTA based on a transaction involving
a licensed restaurant.
Since the complaint alleges a violation of FACTA based on a transaction
involving a licensed restaurant, the Company intends to seek dismissal from
the action, according to YUM! Brands, Inc.'s Oct. 16, 2007 Form 10-Q Filing
with the U.S. Securities and Exchange Commission for the quarterly period
ended Oct. 15, 2007.
The suit is “Phillips v. Taco Bell Corp. et al., Case No. 1:07-cv-03620,”
filed in the U.S. District Court for Northern District of Illinois under
Judge Mark Filip.
Representing the plaintiffs is:
Thomas A. Zimmerman, Jr., Esq.
Zimmerman and Associates
100 West Monroe, Suite 1300
Chicago, IL 60603
Phone: (312) 440-0020
E-mail: tom@attorneyzim.com
T-MOBILE: Cal. High Court Allows “Termination Fees” Lawsuit
-----------------------------------------------------------
The California Supreme Court blocked T-Mobile's bid to have a lawsuit that
challenged the company's early termination fees and "locking" practice
dismissed, reports say.
Alameda County Superior Court Judge Ronald Sabraw had ruled at the trial-
court level that the case could go ahead, and a San Francisco-based
appellate court affirmed that decision in June. T-Mobile appealed, arguing
that its terms of service agreement required customers to go through
arbitration with a neutral mediator before going to court.
The plaintiffs countered that their cases were not arbitrable under the
Unfair Competition Law and the state's Consumer Legal Remedies Act. T-Mobile
lost the motion to compel arbitration because the trial court felt that the
request for injunctive relief was for the benefit of the public, and also
that the clause to arbitrate the unlocking claim was unconscionable.
T-Mobile appealed to the California Supreme Court. Last week, the state
Supreme Court agreed that the case should be heard. Without comment, the
high court's seven justices declined to review the lower-court decisions.
The case could ultimately revamp the relationship between mobile-phone
carriers and their customers.
The plaintiffs in the suit are T-Mobile customers Bruce Gatton and Christina
Nguyen. They are seeking an injunction that would prevent T-Mobile from
collecting an early termination fee of about $200 from subscribers.
Additionally, they are seeking an order that would require T-Mobile to allow
its subscribers to unlock their cell phones if they choose to take them to
another carrier.
The case is “Gatton v. T-Mobile, S154947.”
TWENTIETH CENTURY: Settles Suit Over Santa Barbara Music for $1M
----------------------------------------------------------------
A settlement worth $1,164,000 was reached in the purported class
action, “Nathan East, et al., v. Twentieth Century Fox Film Corp., et al.,
Case No. CV 04-4920 GAF (Shx),” which is pending in the U.S. District Court
for the Central District of California.
The suit was brought on behalf of composers and others in connection with
music allegedly used without permission in the television program Santa
Barbara, according to a report by http://www.filmmusicmag.com.
Plaintiffs Nathan East, Stanley M. Clarke, and The Music Force LLC commenced
legal action on July 6, 2004, alleging they are owners of musical
compositions or sound recordings that were used without authorization in the
television series Santa Barbara and thereafter reproduced and distributed in
episodes internationally.
Named as defendants in the matter are:
-- Twentieth Century Fox Film Corporation,
-- Twentieth Century Fox Film International Television,
Inc.,
-- New World Television Productions, Inc., and
-- New World Entertainment, Ltd.
Plaintiffs asserted claims for copyright infringement for themselves
individually and on behalf of classes of owners of thousands of musical
compositions and sound recordings, or portions thereof, that were embodied
in Santa Barbara.
The suit is “Nathan East, et al., v. Twentieth Century Fox Film Corporation,
et al., Case No. CV 04-4920 GAF (Shx),” filed in the U.S. District Court for
the Central District of California under Judge Gary A. Feess.
Representing the plaintiffs are:
Jeffrey L. Graubart, Esq.
Law Offices of Jeffrey L. Graubart
350 West Colorado Boulevard, Suite 200
Pasadena, CA 91105-1855
Phone: (626) 304-2800
Fax: (626) 304-2807
- and -
Maxwell M. Blecher, Esq.
Blecher & Collins, P.C.
515 South Figueroa Street, Suite 1700
Los Angeles, California 90071
Phone: (213) 622-4222
Fax: (232) 689-1944
Web site: http://www.blechercollins.com
Representing the defendant is:
Xanath Owens
Kirkland & Ellis LLP
777 South Figueroa Street
Los Angeles, CA 90017-5800
Phone: (213) 680-8537
Fax: (213) 680-8500
E-mail: xowens@kirkland.com
Web site: http://www.kirkland.com
WEGMANS FOOD: Recalls Wheat Rolls Containing Undeclared Milk
------------------------------------------------------------
Wegmans Food Markets, Inc. is initiating a voluntary recall of 18 oz.
Wegmans Food You Feel Good About Country Wheat Rolls with best-if-used-by
date of October 10. This product is being recalled because the package may
actually contain potato rolls, which contain a milk allergen not declared on
the label. The bread was produced on Monday, October 1, and would have been
available in Wegmans stores between Tuesday, October 2 and Wednesday,
October 3. Product with the affected code date is no longer on store shelves.
No illnesses have been reported to date. The recall of this product is of
concern only to those individuals who have allergies to milk. Consumption
may cause a serious or life-threatening reaction in persons with allergies
to milk. Concerned customers should return the product to Wegmans for a full
refund. Customers who have consumed the product and feel they are
experiencing symptoms should contact their physician.
18 oz Wegmans Food You Feel Good About Country Wheat Rolls are sold
exclusively at Wegmans Food Markets located in New York, Pennsylvania, New
Jersey, Virginia, and Maryland. Wegmans’ customers who have questions or
concerns about this recall should contact the consumer affairs department at
1-800-WEGMANS, ext. 4760.
Asbestos Alerts
ASBESTOS LITIGATION: Dewalt’s Appeal to Remand Order Dismissed
----------------------------------------------------------------
The Court of Appeals of North Carolina dismissed Alfred Thomas Daywalt’s
appeal of the North Carolina Industrial Commission’s Sept. 19, 2006 ruling,
which remanded his asbestos case to a deputy commissioner for a full
evidentiary hearing.
The Appeals Court dismissed this appeal as interlocutory.
Judges Calbria, Martin, and Jackson entered judgment of Case No. COA06-1598
on Oct. 2, 2007. The matter was heard in the Court of Appeals on Sept. 17,
2007.
In July 2001, Mr. Daywalt filed a workers' compensation claim against his
employer Norandal USA Inc., seeking benefits for the occupational disease of
asbestosis and pleural. Norandal and CIGNA/ACE USA ESIS (CIGNA)
(collectively "defendants") denied liability.
On March 1, 2004 and March 2, 2004, Deputy Commissioner George T. Glenn II,
held a hearing on Mr. Daywalt’s claim. Later that month, Mr. Daywalt filed
a "Motion for Post-Hearing Submission of Evidence and Motion for Sanctions"
on the ground that defendants failed to disclose relevant information
provided by defendants' consulting company, S & ME.
Deputy Commissioner Glenn heard the motions on April 21, 2004. On June 21,
2004, Deputy Commissioner Glenn ordered S & ME's report to become part of
the record and struck defendants' defenses to the compensability of Mr.
Daywalt’s claim.
On March 8, 2005, Deputy Commissioner Glenn entered an Opinion and Award in
favor of Mr. Daywalt. Defendants appealed this decision to the Full
Commission. The Full Commission heard defendants' appeal in February 2006.
On Sept. 19, 2006, the Full Commission entered an "Interlocutory Order"
finding that "the Deputy Commissioner improvidently allowed the submission
of the S & ME report, which was not discoverable per N.C. Gen.Stat. s 1A-1,
Rule 26" and "improvidently sanctioned the defendants for their withholding
of non-discoverable material, and prejudiced the defendants by striking
their defenses as to the plaintiff's exposure to asbestos."
The Full Commission vacated the deputy commissioner's order and remanded the
matter. Mr. Daywalt appealed.
The Appeals Court dismissed Mr. Daywalt’s appeal.
Wallace and Graham, P.A., by Edward L. Pauley, represented Alfred Thomas
Daywalt.
Hedrick, Eatman, Gardner & Kincheloe, L.L.P., by Harmony Whalen Taylor,
represented Norandal USA and CIGNA/ACE USA/ESIS.
ASBESTOS LITIGATION: CSK Auto Corp. Has Product Liability Claims
----------------------------------------------------------------
CSK Auto Corp. is involved in litigation incidental to the conduct of its
business, including but not limited to asbestos and similar product
liability claims, according to the Company’s quarterly report filed with the
U.S. Securities and Exchange Commission on Oct. 12, 2007.
The Company, currently and from time to time, also faces slip and fall and
other general liability claims, discrimination and employment claims, vendor
disputes, and miscellaneous environmental and real estate claims.
The damages claimed in some of this litigation are substantial.
Phoenix-based CSK Auto Corp., through it unit CSK Auto Inc., is a specialty
retailer of automotive aftermarket parts and accessories. At Aug. 5, 2007,
the Company operated 1,334 stores in 22 states, with its principal
concentration of stores in the Western U.S.
ASBESTOS LITIGATION: Congoleum Has $8.56M Liabilities at June 30
----------------------------------------------------------------
Congoleum Corp.’s current asbestos-related liabilities totaled US$8,560,000
at June 30, 2007, compared with US$13,950,000 at Dec. 31, 2006, according to
the Company’s quarterly report filed with the U.S. Securities and Exchange
Commission on Oct. 11, 2007.
The Company’s current asbestos-related liabilities, as of
March 31, 2007, amounted to US$10,372,000. (Class Action Reporter, May 25,
2007)
The Company’s asbestos reserves, at June 30, 2007, amounted to US$2,255,000,
compared with US$7,800,000 at Dec. 31, 2006.
Mercerville, N.J.-based Congoleum Corp. makes flooring products for
residential and commercial use. Its products include resilient sheet
flooring (linoleum or vinyl flooring), do-it-yourself vinyl tile, and
commercial flooring. The Company markets its products through a network of
about a dozen distributors in more than 70 North American locations, as well
as directly to large market retailers. American Biltrite Inc. owns about 66
percent of the Company.
ASBESTOS LITIGATION: Rulings on Congoleum Claims Issued in July
----------------------------------------------------------------
The U.S. Bankruptcy Court, on July 27, 2007, issued two decisions on the
legal status of Congoleum Corp.’s settled asbestos-related claims, according
to the Company’s quarterly report filed with the U.S. Securities and
Exchange Commission on Oct. 11, 2007.
In 2003, the Company was one of many defendants in about 22,000 pending
lawsuits (including workers' compensation cases) involving about 106,000
individuals, alleging personal injury or death from exposure to asbestos or
asbestos-containing products.
Claims involving about 80,000 were settled under the Claimant Agreement and
litigation related to unsettled or new claims is presently stayed by the
Bankruptcy Code.
In December 2005, the Company commenced Avoidance Actions seeking to void
the security interest granted to the Collateral Trust and such settlements.
In March 2006, the Company filed a motion for summary judgment in the
Avoidance Actions seeking to avoid the Claimant Agreement settlements and
liens under various bankruptcy theories, which motion was denied in June
2006.
In April 2007, the Company filed a new motion for summary judgment in the
Avoidance Actions, seeking to avoid the security interests in insurance
allegedly securing the Claimant Agreement settlements. On June 7, 2007, the
Company filed the Omnibus Objection in the Bankruptcy Court requesting that
the Settled Claims be disallowed and expunged.
The Bankruptcy Court heard arguments on the Omnibus Objection on July 9,
2007.
One decision held that the relief requested in the Omnibus Objection should
be heard in the context of an adversary proceeding (a formal lawsuit) in
order to insure that the Bankruptcy Court has jurisdiction over all the
affected claimants and that their due process rights are otherwise protected.
In its other decision, the Bankruptcy Court ruled that the security
interests in insurance collateral that were conveyed to the settled
claimants pre-bankruptcy were ineffective and unenforceable against the
Company’s insurance policies or the proceeds of those policies because the
attempts to create security interests were outside the scope of Article 9 of
the Uniform Commercial Code; nor could such security interest be considered
to be a common law pledge.
The Bankruptcy Court therefore granted summary judgment in the Company’s
favor on Counts V and VI of the Avoidance Actions, which counts sought to
void the security interests and liens securing the pre-petition settlements
of asbestos claims.
Mercerville, N.J.-based Congoleum Corp. makes flooring products for
residential and commercial use. Its products include resilient sheet
flooring (linoleum or vinyl flooring), do-it-yourself vinyl tile, and
commercial flooring. The Company markets its products through a network of
about a dozen distributors in more than 70 North American locations, as well
as directly to large market retailers. American Biltrite Inc. owns about 66
percent of the Company.
ASBESTOS LITIGATION: Congoleum Coverage Case Decided Last May 18
----------------------------------------------------------------
The New Jersey State Court, on May 18, 2007, ruled that the defendant
insurers have no coverage obligations for the Claimant Agreement under New
Jersey law, in an asbestos-related coverage action involving Congoleum
Corp., according to the Company’s quarterly report filed with the U.S.
Securities and Exchange Commission on Oct. 11, 2007.
During the period that the Company produced asbestos-containing products,
until claims for asbestos were excluded under insurance policies, the
Company purchased primary and excess insurance policies providing in excess
of US$1 billion of coverage for general and product liability claims.
Through August 2002, substantially all asbestos-related claims and defense
costs were paid through primary insurance coverage. In August 2002, the
Company received notice that its primary insurance limits had been paid in
full.
The first phase of the trial began in August 2005. Phase 1 was limited to
deciding whether the insurers are obligated to provide coverage under the
policies at issue in this litigation for the asbestos claims settled under
the terms of the global Claimant Agreement.
Three months into the trial, in October 2005, a federal appeals court ruled
that the law firm of Gilbert Heintz & Randolph, which had been acting as the
Company's insurance co-counsel in the Coverage Action, had other
representations which were in conflict with its representation of the
Company.
As a result of this ruling, with Bankruptcy Court approval, Congoleum
retained the firm of Covington & Burling to represent it as co-counsel with
Dughi & Hewit in the insurance coverage litigation and insurance settlement
matters previously handled by GHR.
In the middle of the Company presenting its case, in or about November 2005,
and in December 2005, certain insurers filed motions for summary judgment on
the grounds that the decision of the U.S. Court of Appeals for the 3rd
Circuit reversing the Bankruptcy Court's order approving the retention of
GHR in In re Congoleum, 426 F.3d 675 (3d Cir. 2005), and/or Congoleum's
filing of the Avoidance Actions in the Bankruptcy Court, entitled them to
judgment as a matter of law on the Phase 1 issues. Congoleum opposed the
motions. The motions were argued in January 2006, and in March 2006 the
State Court denied the motions for summary judgment.
Congoleum completed the presentation of its case in April 2006. Certain
insurers moved for a directed verdict in their favor during the first week
of May 2006. Hearings of arguments on the directed verdict motion took place
in June 2006. In July 2006 the State Court denied the motion for a directed
verdict. The trial resumed in September 2006.
Defendant insurers presented their case, for the most part, through
documents and deposition designations. Post trial briefs were submitted by
the parties in November 2006.
The second phase of the trial will address all coverage issues, including
but not limited to whether certain other trial listed settlements were fair,
reasonable and negotiated in good faith and covered by insurance as well as
trigger and allocation of asbestos losses to insurance policies. Any
additional discovery, and scheduling of pre-trial motions and trial dates
for Phase 2 will be addressed by the State Court at an appropriate time.
The third and final phase of the trial will address bad faith punitive
damages, if appropriate.
Mercerville, N.J.-based Congoleum Corp. makes flooring products for
residential and commercial use. Its products include resilient sheet
flooring (linoleum or vinyl flooring), do-it-yourself vinyl tile, and
commercial flooring. The Company markets its products through a network of
about a dozen distributors in more than 70 North American locations, as well
as directly to large market retailers. American Biltrite Inc. owns about 66
percent of the Company.
ASBESTOS LITIGATION: American Biltrite Records $10.54M Liability
----------------------------------------------------------------
American Biltrite Inc.’s long-term asbestos-related liabilities amounted to
US$10,540,000 as of June 30, 2007, compared with US$10,300,000 as of Dec.
31, 2006, according to the Company’s quarterly report filed with the U.S.
Securities and Exchange Commission on Oct. 11, 2007.
The Company’s insurance for asbestos-related liabilities amounted to
US$9,320,000 as of the periods ended June 30, 2007 and Dec. 31, 2006.
Wellesley Hills, Mass.-based American Biltrite Inc. produces Congoleum-brand
vinyl tile flooring and sheet-vinyl floors, and it distributes fashion
jewelry through its K&M Associates supplier. The Company also makes
industrial products like adhesive-coated, pressure-sensitive tapes used to
protect materials during handling and for varied applications. The Company
owns 66 percent of Congoleum Corp.
ASBESTOS LITIGATION: American Biltrite Has 1,415 Claims at June
----------------------------------------------------------------
American Biltrite Inc. is a co-defendant in about 1,415 pending asbestos
claims involving about 2,001 individuals as of June 30, 2007, compared with
1,332 claims as of Dec. 31, 2006, according to the Company’s quarterly
report filed with the U.S. Securities and Exchange Commission on Oct. 11,
2007.
The Company, as of March 31, 2007, faced about 1,381 pending asbestos-
related claims involving about 1,967 individuals. (Class Action Reporter,
May 25, 2007)
The claimants allege personal injury or death from exposure to asbestos or
asbestos-containing products.
For the six months ended June 30, 2007, the Company recorded 281 new claims,
8 settlements, and 190 dismissals. For the year ended Dec. 31, 2006, the
Company recorded 625 new claims, 30 settlements, and 966 dismissals.
The Company has primary and multiple excess layers of insurance coverage for
asbestos claims. The total indemnity costs incurred to settle claims during
the six months ended June 30, 2007 were US$500,000 (US$3.1 million during
the 12 months ended Dec. 31, 2006), all of which were paid by the Company’s
insurance carriers under a February 1996 coverage-in-place agreement with
the Company’s applicable primary layer insurance carriers, as were the
related defense costs.
The Company will seek reimbursement for asbestos claims under its excess
layer coverage upon exhaustion of its primary insurance coverage. The amount
of indemnity coverage limits remaining at June 30, 2007 under the Company’s
primary insurance coverage relating to policies underwritten from 1961 to
1985 (Primary Layer) was about US$1.9 million to US$3 million, depending on
the interpretation of the terms of the above-referenced coverage-in-place
agreement.
The Company is negotiating with the three insurance carriers currently
providing coverage under the Primary Layer (the "Carrier Group") to
determine the amount of coverage remaining under that coverage-in-place
agreement.
In 2006, the Company utilized an actuarial study to assist it in developing
estimates of the Company's potential liability for resolving present and
possible future asbestos claims.
At Dec. 31, 2006, the estimated range of liability for settlement of current
claims pending and claims anticipated to be filed through 2012 was US$10.3
million to US$35.3 million.
At June 30, 2007, the Company has recorded US$10.5 million for the estimated
minimum liability. The Company also believes that, based on this minimum
liability estimate, the corresponding amount of insurance probable of
recovery is US$9.3 million at June 30, 2007 and Dec. 31, 2006, which has
been included in other assets.
Wellesley Hills, Mass.-based American Biltrite Inc. produces Congoleum-brand
vinyl tile flooring and sheet-vinyl floors, and it distributes fashion
jewelry through its K&M Associates supplier. The Company also makes
industrial products like adhesive-coated, pressure-sensitive tapes used to
protect materials during handling and for varied applications. The Company
owns 66 percent of Congoleum Corp.
ASBESTOS LITIGATION: Senior Citizen Sues 48 Firms in Tex. Court
----------------------------------------------------------------
Senior Citizen Buster Flanigan, on Oct. 9, 2007, filed an asbestos-related
lawsuit against A.O. Smith Corp. and 47 other corporations in Jefferson
County District Court in Texas, the Southeast Texas Record reports.
Although Mr. Flanigan had a 100-plus pack-year smoking history, Trinity
Clinic physician Dr. Richard Kronenberg says Mr. Flanigan's lung cancer was
caused by asbestos exposure. Trinity Clinic was paid by Provost Umphrey
attorney Bryan Blevins to review Mr. Flanigan's medical history.
Mr. Flanigan has already sued and received a settlement for his asbestos-
related disease, but is now suing for a "different malignant asbestos-
related injury."
Mr. Flanigan's lawsuit claims the defendants knowingly and maliciously
manufactured and distributed asbestos-containing products throughout
Jefferson County.
Mr. Flanigan’s original petition says the 48 defendants entangled in his
lawsuit were negligent for failing to adequately test their asbestos-laced
products before flooding the market with dangerous goods and warn the
consumer of the dangers of asbestos exposure.
After reviewing Mr. Flanigan's medical history, Dr. Kronenberg wrote, "The
records indicate Mr. Flanigan had a significant occupational exposure to
asbestos. Specifically, he worked as a longshoreman in cargo holds at
refineries and chemical plants from 1960 to 1962. From 1964 to 1967, he was
on active duty with the U. S. Navy. From 1969 to 1974, he worked aboard
tugboats and was exposed extensively to asbestos insulation.”
Some of the defendants listed in the suit include aerospace giant Lockheed
Martin Corp., Viacom Inc., and iron supplier Zurn Industries Inc.
In addition, the petition faults Minnesota Mining and Manufacturing Corp.
(3M Corp.) and American Optical Corp. for producing defective masks that
failed to "provide respiratory protection."
Although Mr. Flanigan has already sued and received a claim, the suit
says, "Plaintiff now seeks damages against defendants not released in the
previous actions pursuant to Pustejovsky v. Rapid-American Corp."
Mr. Flanigan is suing for exemplary damages, plus physical pain and
suffering in the past and future, mental anguish in the past and future,
lost wages, loss of earning capacity, disfigurement in the past and future,
physical impairment in the past and future, and past and future medical
expenses.
Judge Bob Wortham, 58th District Court, has been assigned to the Case No.
A180-492.
ASBESTOS LITIGATION: Laborer’s Daughter Sues 42 Firms in W.Va.
----------------------------------------------------------------
Iona J. Cole, of Wood County, W.Va., filed an asbestos-related lawsuit on
her behalf of her father, William G. Cole, against 42 companies in Kanawha
Circuit Court on Sept. 28, 2007, The West Virginia Record reports.
According to the suit, Mr. Cole died of mesothelioma on July 12, 2007. He
worked 37 years at Kaiser Aluminum & Chemical Corp., Alcan Rolled Products,
Pechiney, and Century Aluminum Co. at the Ravenswood, W.Va. facility. He was
a furnace operator and laborer.
As part of his job, Mr. Cole was exposed to various asbestos-containing
materials. Due to the asbestos fibers and dust, he developed mesothelioma.
According to the suit, after Mr. Cole contracted mesothelioma he suffered
from associated pulmonary pathologies, which caused severe and disabling
effects upon his body. He also suffered shock and nervous and emotional
disorders.
Ms. Cole claims her father incurred medical expenses for treatment,
medication and great pain, embarrassment and inconvenience.
After her father's death, Ms. Cole claims she incurred a funeral bill of
US$5,000. In the 11-count suit, she seeks compensatory and punitive damages
on behalf of her father.
Kanawha Circuit Court Case No. 07-C-2089 will be assigned to a visiting
judge.
ASBESTOS LITIGATION: Asbestos Found in 2 EU Parliament Buildings
----------------------------------------------------------------
High levels of asbestos have been detected in two European Union Parliament
buildings, the legislature said on Oct. 12, 2007, International Herald
Tribune reports.
The mineral has been found in larger quantities "in a limited number of
technical facility rooms" in two parliament buildings at the legislature's
seat in Strasbourg, France, which the assembly recently bought for EUR143
million (US$203 million) instead of continuing to rent them.
A study presented to the European Parliament before it purchased the
buildings showed there was asbestos in some rooms.
However, it was later found out the levels were higher than originally
estimated, the assembly said. It said the previous owner was responsible for
removing it, but did not specify the cost.
The European Commission headquarters in Brussels was closed for 13 years
after dangerous levels of asbestos were found there in 1991.
Asbestos was banned in 1999, and EU member states had until 2005 to remove
from the market all white asbestos, otherwise known as chrysotile, which is
still in use in pipes and roofing, brake and clutch linings for heavy
vehicles and various specialist uses.
ASBESTOS LITIGATION: Inquest Links Pensioner’s Death to Asbestos
----------------------------------------------------------------
A Preston Coroner’s Court inquest heard that the death of 85-year-old
pensioner Edward Robinson was related to asbestos, Lancashire Evening Post
reports.
The Coroner’s Court heard that Mr. Robinson was a Heavy Goods Vehicle driver
most of his working life and often transported asbestos.
Mr. Robinson, of Bamber Bridge, U.K., suffered chest problems and diabetes
and was taken to Chorley Hospital on May 19, 2007, where he was diagnosed
with a chest infection. He died on June 12, 2007.
Pathologist Dr. Caroline Nicholson told the hearing Mr. Robinson's work with
asbestos may have caused fibrosis in his lungs.
Mr. Robinson's wife Jean said her husband often worked with asbestos before
their marriage in 1948, and also delivered cement.
Coroner Nicola Mundy recorded a narrative verdict, saying, “Edward Robinson
died following exposure to asbestos during his employment. He developed
pneumonia and suffered a fall in hospital. This, together with diabetes,
contributed to his death.”
ASBESTOS LITIGATION: Bribery Ruling Upheld in D.C. Appeals Court
----------------------------------------------------------------
The U.S. Court of Appeals, District of Columbia Circuit, upheld the U.S.