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AAJ News Brief for Haytham Faraj | Friday, April 2, 2010 |
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Leading the News
Obama touts healthcare law in upbeat address before friendly Maine crowd.
President Obama traveled to the left-leaning city of Portland, Maine, where he
received 77 percent of the vote in 2008, to deliver a
speech promoting his healthcare reform law and urging Americans to hold
off on judging the measure. Many reports note the President's joking criticism
of the media for expecting immediate results. Reports also speculate on the
selection of Maine -- a state with no senatorial election this year, where Obama
took 58 percent of the vote two years ago -- for the event, with the general
consensus being that the President is hoping to win support from the state's
moderate Republican senators, Susan Collins and Olympia Snowe, on his agenda
going forward. Some stories also comment on the President's energetic and
upbeat tone, with the Boston Globe saying Obama "displayed a public energy and
sureness rarely seen" since his
election.
The AP
(4/2, Pace) reports the President, "facing a public still wary" of the
healthcare law, "urged Americans not to judge the nearly $1 trillion legislation
he signed into law last week until the reforms take hold." During the
"enthusiastic, campaign-style appearance in Maine's largest city, Obama mocked
the pundits and pollsters who say he isn't getting a boost from his yearlong
campaign to pass the sweeping reform." The President said, "Every single day
since I signed the reform law, there's been another poll or headline that said,
'Nation still divided on healthcare reform. Polls haven't changed yet.' Well,
yes. It just happened last week. Can you imagine if some of these reporters
were working on a farm and you planted some seeds, and they came out the next
day and they looked and -- 'Nothing's happened. There's no crop. We're going
to starve. Oh, no! It's a disaster!' It's been a week,
folks."
Democratic lawmakers face criticism at home over healthcare law.
The
Hill (4/2, Miller) reports, "Some politically vulnerable Democrats are
getting an earful from constituents about their yes votes on healthcare reform.
The criticism from constituents is not as fervent as the feedback members of
Congress received at last summer's town halls," although "some voters have let
legislators know they were not pleased with the passage of healthcare reform."
Meanwhile, "concerned about the highly publicized threats and the optics of a
repeat of the media coverage of the 2009 town hall gatherings, some lawmakers
are being more selective in their public appearances back home." The lawmakers
include Reps. Paul Kanjorski, Harry Mitchell, and Mark
Schauer.
Democratic AGs facing increased pressure to challenge health reform law.
The Politico
(4/2, Catanese) reports, "Until recently, the Democratic attorneys general have
largely sat on the sidelines as more than a dozen of their GOP counterparts
banded together to pursue a lawsuit against [health reform], the centerpiece of
President Barack Obama's domestic policy agenda. Like many in their party, they
dismissed the suit as a naked political play without any legal grounding -- an
opinion based on the fact that many of the Republicans advancing the cause are
seeking higher office." Now, however, "some of the Democratic AGs have become
reluctant combatants, dragged into the fray by GOP governors and legislators who
insist that their reluctance to join the case is a clear attempt to protect
their national party's interests." Notably, the Democratic AGs "facing the most
pressure tend to hail from Republican-leaning
states."
From the American Association for
Justice |
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visit Sections. |
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Civil Justice System
New Jersey SC ruling expands "invited error" doctrine.
The New
Jersey Law Journal (3/31, Booth) reports, "A trial lawyer's failure to
object to admission of evidence adverse to his client in a child-abuse case bars
review on appeal, the state Supreme Court ruled Wednesday in an opinion that
expands the 'invited error' doctrine. Reversing the Appellate Division, which
found admitting the evidence was prejudicial enough to amount to plain error,
the justices found the lawyer's actions deprived the state of the opportunity to
overcome any objections to the evidence and made it unnecessary for the trial
court to rule on admissibility. The decision, in Division of Youth and Family
Services v. M.C. III, A-96/97-08, is significant because the Court usually has
applied the invited-error doctrine when the appealing party actively induced the
result later claimed to be
error."
Justice Department opposes woman's attempt to recover $27M judgment from Cuban air charter companies.
The AP
(4/1) reported, "Declaring U.S.-to-Cuba charter flights a vital national
interest, the Justice Department is opposing a Cuban-American woman's attempt to
make air charter companies pay a $27 million judgment she won against Cuba's
communist government. The woman, Ana Margarita Martinez, was awarded the money
in 2001 after claiming in a lawsuit that she was tricked into marrying a Cuban
spy so he could infiltrate Miami's large exile community. In an attempt to
satisfy the judgment, her lawyers sought earlier this year to collect fees that
eight air charter companies pay to Cuban tour companies for permission to land
there."
Boy Scouts exec says parents at fault in abuses.
The AP
(4/1) reported, "The president of the Boy Scouts council for the Portland metro
area has testified he believes the parents of some Scouts were negligent and
even criminal for allowing sleepovers that led to sex abuse. Eugene Grant told a
jury in a $29 million sex abuse lawsuit against the Boy Scouts of America and
its Cascade Pacific Council that parents should not have allowed boys to stay
overnight with a single man at his apartment. The man, Timur Dykes, has admitted
molesting the victim who filed the lawsuit and has been convicted of other sex
abuse dating back to the early 1980s, when Dykes was an assistant
Scoutmaster."
Black farmers still awaiting settlement funds.
USA
Today (4/1, Welch) reported, "Nearly two months since the
administration announced a $1.2 billion agreement to settle decades-old racial
discrimination claims against the Department of Agriculture, the nation's black
farmers are still looking for the money." A March 31 deadline "in the federal
court agreement passed without Congress providing the money that is to be paid
to thousands of farmers," entitling the farmers "to reopen the class action
lawsuit." John Boyd, president of the National Black Farmers Association, "said
farmers were trying to be patient but many face spring planting costs and are
looking for government payments in the case to help keep their operations
afloat. Boyd said black farmers were keeping open the "option of walking away
from the settlement at any time during the next 60 days" if there is no progress
in Congress." Reuters
(4/1) also covered the
story.
Whistleblower lawsuit filed against Illinois water agency.
The Chicago
Tribune (4/1, Smith) reported that Anthony Sacco, the former supervisor
of the he Broadview-Westchester Joint Water Agency in Illinois, "has filed a
lawsuit, claiming he was unjustly fired after alerting environmental authorities
that the agency had fabricated water testing reports for years." Sacco "said he
found the agency's log books had been altered to show testing had been done
although it had not, and several testing sites the agency claimed to have used
did not exist, according to the complaint." Sacco "is asking for more than $2
million in damages and attorneys fees from the
agency."
Drug Safety
Pfizer agrees to pay approximately $400,000 to settle Neurontin lawsuit.
Bloomberg
News (4/2, Feeley) reports that "Pfizer Inc. agreed to pay about
$400,000 to settle a lawsuit mid-trial that blamed its Neurontin [gabapentin]
epilepsy medicine for helping cause a Massachusetts man's suicide, two people
familiar with the accord said." The man's "family contends his doctor wasn't
aware of Neurontin's suicide risk when he suggested the drug." This "settlement
comes a week after another Boston jury ordered Pfizer to pay more than $140
million in damages to an insurer over the
drug."
FDA says Stalevo may be linked to increased prostate cancer risk.
Bloomberg
News (4/1, Doherty) reported, "Novartis AG and Orion Oyj's Stalevo
treatment for Parkinson's disease may be linked to an increased risk of prostate
cancer, US health regulators said." In a statement on its website, the FDA said
its "review of Stalevo is ongoing, and no new conclusions or recommendations
about the use of this drug have been made." The agency "is reviewing a clinical
trial that showed that prostate cancer was more common among patients taking
Stalevo than in those taking only a combination of carbidopa and
levodopa."
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Employment/Workplace Safety
OSHA issues "willful" citations to California bakery.
In the "L.A. Now" blog at the Los
Angeles Times (4/1), Jessica Garrison wrote, "The California Division
of Occupational Safety and Health on Thursday fined Bimbo Bakeries $230,000,
including more than $120,000 in rarely issued 'willful' citations given to
companies that intentionally disregard safety regulations. The action comes
after a Times investigation last fall highlighted cases at Bimbo Bakeries in
which five employees lost fingers or parts of fingers, and one lost an arm, in
separate bakery accidents." The action "comes as Cal/OSHA and the appeals board
that reviews the citations it issues are under pressure from lawmakers and
federal officials," on issue being that the board "has repeatedly reduced fines
or dismissed cases over the objections of Cal/OSHA
investigators."
Product Safety
Florida retirement community to pay for Chinese drywall remediation.
The Lakeland
(FL) Ledger (4/1, Kennedy) reported, "Lake Ashton is cleaning up its
Chinese drywall problem. Homeowners in the East Polk retirement community say
they met with management and were told their homes will be completely stripped
of the tainted material and fixed within months. Lake Ashton officials will not
charge for the remediation and will provide funds for temporary housing and
other costs during the repairs, according to three homeowners interviewed by The
Ledger."
Families of Mississippi girls killed in ATV accident sue Yamaha.
The AP
(4/1) reported, "The families of two north Mississippi girls killed in a 2008
accident have filed a wrongful death lawsuit against the maker of an all-terrain
vehicle. Melissa and Richard Lee Bates of Southaven and Aundria and Thomas
Dilworth of Olive Branch filed the suit Wednesday in Gwinnett County, Ga.,
against Yamaha Motor Corp. and Yamaha Motor Manufacturing Corp. of America."
The lawsuit, which "does not seek a specific dollar amount," claims "multiple
design and engineering flaws contributed to the deaths of the two 11-year-old
girls."
Legislation seeks to expand California's pesticide safety program.
The AP
(4/2, Hindery) reports that "California's 700,000 farmworkers may soon receive
greater protection under a proposed expansion of the state's nationally renowned
pesticide safety program." Legislation "moving through the state Assembly would
require laboratories that test for pesticide poisoning to report their data to
the California Department of Pesticide Regulation. Currently, labs only report
test results to patients' physicians, not to any state agency." The legislation
"would allow health officials in the nation's largest agricultural state to more
accurately track pesticide exposure and implement safety precautions, said
Assemblyman Pedro Nava (D-Santa Barbara) who wrote the
bill."
Securities
ARS lawsuit against Merrill Lynch dismissed.
Bloomberg
News (4/2, Weidlich) reports, "Merrill Lynch won dismissal of an
investors' class-action lawsuit over auction-rate securities, at least the
seventh such victory since the market collapsed in February 2008. U.S. District
Judge Loretta A. Preska in New York found that Merrill Lynch, a unit of Bank of
America Corp., couldn't have manipulated the market by propping up the auctions
with its own bids, because it disclosed that it participated in the bidding."
Preska wrote, "The fact that Merrill Lynch could prevent failed auctions through
the placement of support bids was disclosed in numerous publicly available
documents."
Also in the News
Daimler units plead guilty to FCPA charges.
Bloomberg
News (4/2, Salant, Harris) reports, "Two Daimler AG units pleaded
guilty to violations of the U.S. Foreign Corrupt Practices Act, as part of an
agreement with prosecutors to resolve allegations the German carmaker paid
bribes to foreign officials." Attorneys for the units, "DaimlerChrysler
Automotive Russia SAO and Daimler Export and Trade Finance GmbH entered the
pleas Thursday "before U.S. District Judge Richard Leon in Washington. Both
subsidiaries, based in Russia and Germany respectively, pleaded guilty to
conspiring to violate the FCPA, and to violating its anti-bribery
provisions."
The National
Law Journal (4/2, Scarcella) reports, "Justice Department prosecutors
said in an information, filed last month, that Daimler 'engaged in a
long-standing practice' of paying bribes to foreign officials through corporate
ledger accounts, offshore bank accounts and deceptive pricing arrangements,
among other mechanisms, in violation of the Foreign Corrupt Practices Act.
Prosecutors, led by Deputy Chief Mark Mendelsohn of the Criminal Division's
Fraud Section and Assistant Chief John Darden, said Daimler made hundreds of
improper payments worth tens of millions of dollars in at least 22 countries --
including China, Iraq, Russia, Thailand, Turkey and
Vietnam."
CNN (4/2,
Frieden) reports that Judge Leon "ordered Daimler to pay $93.6 million in
criminal fines, and $91.4 million in civil penalties. The civil fines represent
the restitution of profits made in the illegal deals. The deferred prosecution
agreement resolves all charges stemming from Daimler's worldwide sales
practices, the Justice Department said
Thursday."
The Detroit
News (4/2, Tierney) reports, "The investigations against Daimler were
triggered in 2004 by an auditor at its Chrysler division, which the German
automaker acquired in 1998 and sold in 2007. The auditor, David Bazzetta, tipped
off the U.S. Labor Department that paying bribes was a common practice at the
company, which lacked internal
controls."
Websites appearing to be affiliated with Veterans Affairs hospitals actually operated by plaintiffs' law firms.
In a column in Fortune
(4/1), Roger Parloff wrote, "Until about noon on Wednesday, dozens of websites
were identifying themselves with a Red Cross-ish logo and names like "VA Medical
Center Palo Alto," or "VA Hospital San Francisco," or "VA Medical Center
Gainesville" though they had no affiliation with the U.S. Department of Veterans
Affairs. They were actually operated by plaintiffs' law firms that were
searching for clients with asbestos-related diseases." Competitor "asbestos
plaintiffs lawyers, those disdaining to stoop to such methods...are hurt most
directly."
Liu submits additional information to Senate Judiciary Committee.
The National
Law Journal (4/2, Ingram) reports, "Goodwin Liu has sent the Senate
Judiciary Committee additional background materials, including past writings and
public remarks, amid criticism from conservatives that the appellate court
nominee was not complete in his initial answers to the committee." Liu's
nomination to the 9th U.S. Circuit Court of Appeals "nomination is shaping up as
an ideological battle, in large part because of Liu's membership in liberal
legal organizations and his academic writing." Conservative bloggers,
"including National Review's Ed Whelan, have questioned how Liu could have
missed the materials, especially given that, according to one answer on the
questionnaire, he was preparing at least as far back as February 2009 for a
possible
nomination."
Government, Rothstein firm trustee battle over assets.
The Daily
Business Review (4/2, Mishory) reports, "The bankruptcy trustee for
defunct law firm Rothstein Rosenfeldt Adler contends the government has once
again overstepped its bounds by trying to control additional assets that
belonged to convicted fraudster Scott Rothstein. On Monday, the U.S. Attorney's
Office filed a motion seeking a protective order be entered to preserve new
assets, including four Rothstein Rosenfeldt Adler bank accounts at TD Bank
containing almost $120,000 and 'all property, other than "funds"' voluntarily
turned over to the government since news broke in late October that Rothstein
was running a settlement scheme out of his law firm. But trustee Herbert Stettin
argued that the government could not lay claim to assets that don't belong to
Rothstein and were not included for forfeiture in the original information,
calling the motion 'particularly
egregious.'"
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