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Proskauer Targeted in Class Action Over Handling of Stanford Financial

The National Law Journal

A group of investor clients of Stanford Financial Group has filed a class action against Proskauer Rose and partner Thomas V. Sjoblom. The lawsuit, filed in the U.S. District Court for the Northern District of Texas in Dallas, alleges that the law firm and Sjoblom aided and abetted Stanford Financial's alleged fraud and that it conspired with Stanford Financial. The class action claims that under Texas law Proskauer Rose is liable for the $7 billion in total fraud losses.

Mass. Case May Be Key in Taking Gay Marriage Fight to Supreme Court

The National Law Journal

While the high-profile legal fight against California's Prop 8 captures headlines, a carefully planned case quietly under way in Massachusetts federal court could be the gay marriage test with the greatest national impact. The challenge is one of four lawsuits around the country that ask federal courts to strike down the 1996 federal Defense of Marriage Act. The suits, and the Massachusetts case in particular, according to advocates and scholars, are just the opening shots in a struggle destined for the U.S. Supreme Court.

3rd Circuit Revives Gay Man's Title VII Suit

The Legal Intelligencer

Although federal workplace discrimination laws don't cover sexual orientation discrimination, a federal appeals court has ruled that an effeminate gay man must be allowed to pursue a Title VII claim alleging that he was targeted for harassment because he failed to conform to "gender stereotypes." The 3rd Circuit found that a lower court erred when it declared that plaintiff Brian Prowel's sex discrimination claim was nothing more than "an artfully pleaded claim of sexual orientation discrimination."

D.C. Circuit Tosses FCC Rule Capping Cable Subscribers

The National Law Journal

The D.C. Circuit on Friday took a shot at the FCC when it tossed a rule that barred any single cable television operator from serving more than 30 percent of all subscribers. Cable operators, including Comcast, had argued that the restriction blocked their ability to make efficient acquisitions. In the closely watched case, the circuit held that the FCC had not shown that allowing a cable operator to serve more than 30 percent of subscribers risked reducing "either competition or diversity in programming."

EEOC Delivers Lawsuit Over UPS Medical Leave Policy

The National Law Journal

In what the Equal Employment Opportunity Commission is calling a "major class lawsuit," United Parcel Service has been sued in federal court in Chicago for allegedly denying sufficient medical leave to disabled employees. The suit claims UPS sets arbitrary deadlines for returning to work after medical treatment -- in one case firing an employee who would have exceeded its 12-month leave policy by mere weeks -- in violation of federal law. A UPS spokeswoman said she was baffled by the EEOC allegations.

Christian Groups Found to Lack Standing to Challenge Plan B Pill Decision

New York Law Journal

Five months after ordering the Food and Drug Administration to allow the marketing of the emergency contraceptive Plan B to 17-year-olds without a prescription, a Brooklyn federal judge has refused to allow three Christian lobbying groups who oppose abortion to challenge the ruling. The judge held that the groups lacked standing due to a failure to show harm, calling one of their arguments a "stretch." The judge also ruled that the groups failed to make a timely motion to challenge his earlier decision.

Computer Hacker to Plead Guilty in Major ID Theft Case

The National Law Journal

A sophisticated computer hacker who allegedly participated in a conspiracy that netted more than 40 million credit and debit card accounts from at least nine corporations has agreed to plead guilty to wire fraud and conspiracy charges, capping one of the largest-ever identity theft prosecutions. The prosecution of Albert Gonzalez has been closely watched due to the sheer size of the cases, the involvement of Fortune 500 companies and the extraordinary measures the government has taken to control its evidence.

Baker Botts Hits $100 Million Mark in Asarco Bankruptcy

The American Lawyer

As Arizona-based mining company Asarco nears the end of its four-year bankruptcy odyssey, lead debtors counsel Baker Botts submitted its 12th application for fees on Friday. The filing put the firm past the $100 million mark in billable hours since Asarco filed for bankruptcy in 2005 after getting hit with a series of asbestos and environmental pollution suits. And Baker Botts may have more work ahead.

Countrywide, Former Employees Settle Class Action Over Retirement Losses

The National Law Journal

A federal judge in Los Angeles has preliminarily approved a $55 million settlement between Countrywide Financial and its former employees, who were seeking compensation for losses to their retirement plans. It was the first ERISA action to settle with a mortgage lender since the recession began, according to Lynn Sarko, lead plaintiffs attorney in the case. The settlement includes attorney fees totaling up to 27.5 percent of the settlement fund.

7th Circuit Upholds Dismissal of False Claims Act Case for 'Flagrant' Attorney Misconduct

The American Lawyer

When is attorney misconduct so egregious that it warrants dismissal of the client's case? That was the question for the 7th Circuit in determining whether to uphold the dismissal of a False Claims Act case against Sallie Mae and other defendants that was thrown out for what Chicago federal district court Judge Milton Shadur described as a "virtually unbroken pattern of dilatory and irresponsible conduct" by plaintiffs lawyer Jorge Sanchez.

Howrey Can Use 'Ethical Wall' Over Client's Objections

The National Law Journal

A Delaware federal judge has OK'd Howrey's use of an "ethical wall" between the firm's U.S. lawyers opposing Wyeth in a patent case and its European attorneys working with the pharmaceutical company in an unrelated matter. The ruling allows Howrey to represent Wyeth opponent Boston Scientific Corp. over Wyeth's opposition. The judge approved the arrangement even though Wyeth's objections mean the firm is technically violating local court rules and the American Bar Association's Model Rules of Professional Conduct.

5th Circuit Rules U.S. District Judges Need Not Always Abide by MDL Court Orders

Texas Lawyer

When a federal multidistrict litigation court makes a pretrial ruling in a suit, there usually is little -- if anything -- a U.S. district judge can do except abide by that decision; to do otherwise would frustrate the goals of multidistrict litigation. But in In Re: Ford Motor Co. and Bridgestone/Firestone North American Tire, a case of first impression, the 5th U.S. Circuit Court of Appeals ruled that U.S. district judges do not need to abide by MDL court orders in some circumstances.

Calif. Bar May OK Victim Statements for Discipline Cases

The Recorder

For more than two years, the California State Bar has ticked off discipline-defense lawyers by endorsing tougher and more aggressive prosecutorial tactics. Some attorneys thought that might change after former State Bar Chief Trial Counsel Scott Drexel was let go in June. But a lingering Drexel-era proposal that would let State Bar Court judges consider unsworn victim statements as evidence for increasing punishment has the discipline-defense bar up in arms again.

Hotel's Rape Defense Met With Serious Reservations

The Connecticut Law Tribune

Marriott International suffered a PR nightmare this month related to a lawsuit filed by a woman who said she had been raped in the parking garage of a Marriot Hotel & Spa in Connecticut. Lawyers for Marriot's insurance company suggested the woman was partially responsible for the attack because she was careless and negligent for being in the garage. Was the initial legal strategy so outrageous? For a negligence case? No. For a negligence case involving the rape of a woman in front of her two children? Probably.

Federal Judge Dismisses Ye Gon Case With Prejudice

The National Law Journal

A federal judge dismissed with prejudice on Friday a closely watched criminal case against international pharmaceuticals businessman Zhenli Ye Gon, who had been accused of participating in an international drug trafficking conspiracy. Judge Emmet Sullivan of the U.S. District Court for the District of Columbia agreed to dismiss the case based on a motion by the DOJ, which said that the U.S. did not plan to pursue its case against Ye Gon because he faces prosecution in Mexico.

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Review: Nuance PDF Converter 6

Special to Law.com

Each category of software has one application that becomes the standard for comparison: Microsoft Outlook for e-mail, Word for documents and Adobe Acrobat for PDFs. But there are plenty of reasons to use alternatives, says consultant Brett Burney as he reviews Nuance PDF Converter 6.

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King & Spalding Resets Associate Salaries to 2008 Levels

Fulton County Daily Report

After watching its competitors slash salaries all summer, King & Spalding has announced it will cut pay for associates, other salaried attorneys and consultants, effective Sept. 1. The firm announced the pay cut to its personnel late Thursday in a memo. Partner-track associates will have their base salaries reduced to last year's levels, and those in Atlanta and Charlotte, N.C., will take an additional $10,000 hit. The memo notes salaries for counsel, staff attorneys and consultants will be cut by 5 percent.

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Older but Wiser: Finding the Hidden Job Market

Special to Law.com

Information about the vast majority of job openings passes by word of mouth rather than through recruiters or advertisements. Consultants Valerie Fontaine and Roberta Kass provide tips on tapping into this "hidden" job market. One step is to reach out to everyone, including contacts who aren't lawyers. It may be daunting to contact people you haven't spoken to in years, especially if you've been laid off, but take heart in knowing that the stigma of being laid off and actively in the job market has diminished.

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