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AAJ News Brief for Haytham Faraj | Friday, March 26, 2010 |
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Leading the News
Toyota, plaintiffs' attorneys seek consolidation.
Bloomberg
News (3/26, Fisk, Callahan) reports that Toyota and lawyers for
plaintiffs suing ht firm for "consumer and personal injury" complaints have
"asked a panel of judges to consolidate all federal claims in one court.
Toyota's attorney agreed with many of the 23 plaintiffs' lawyers speaking at the
hearing today that the lawsuits should be combined in a multidistrict
litigation, or MDL." The panel was asked to send the cases to California, to be
near Toyota's "US sales headquarters in Torrance, California. A judge overseeing
the litigation would decide issues such as evidence-gathering and allowable
legal
arguments."
The AP
(3/26, Anderson) reports that "Toyota's lead lawyer, Cari Dawson of Atlanta,
told the U.S. Judicial Panel on Multidistrict Litigation that the company favors
combining all personal injury and wrongful death cases before the California
court" citing the "significant overlap" from case to case. Plaintiffs' attorneys
noted that many documents and witnesses will be based in
Torrance.
The Wall
Street Journal (3/26, Searcey) reports on the individual requests by
various lawyers, noting that many, in two-minute appeals before the panel,
sought to have the cases heard in their home
areas.
The National
Law Journal (3/26, Bronstad) reports, "In all, 24 lawyers made brief
statements before a panel, arguing for courts and judges in California,
Louisiana, Kentucky, Ohio, Minnesota, Florida, South Carolina, West Virginia and
New Jersey." Meanwhile, "Lieff Cabraser now has 20 personal injury claims
pending against Toyota, more than any other firm in the
nation."
Reuters
(3/26) also reports this story, and in a separate piece Reuters
(3/26) runs a feature on various waypoints in the investigation that led to
Toyota's accelerator
recalls.
Toyota exec named to safety panel.
Bloomberg
News (3/26, Ohnsman) reports that Toyota has named Steve St. Angelo,
its executive VP for North American manufacturing, to be its "first
vehicle-quality chief for the region." He will serve on "a global panel
President Akio Toyoda is assembling, the company said in a statement today.
Toyoda, who said last month he will lead the group, is to discuss the quality
team in Japan on March 30." Bloomberg notes that the panel is part of Toyota's
efforts to revitalize its image in the wake of its recall crisis. "St. Angelo,
54, said in the statement that 'in keeping with Akio Toyoda's mandate, North
America will have greater autonomy and play a critical role in decision-making
on recalls and other safety
issues.'"
NHTSA records, police reports put deaths linked to Toyota sudden acceleration
over
100.
The Los
Angeles Times (3/26, Pfeifer) reports that according to data from NHTSA
and, various lawsuits, and police reports, "more than 100 deaths have now been
blamed on sudden acceleration of Toyota Motor Corp. vehicles, nearly twice the
number that had been reported two months ago." The piece cites a "recent surge"
in NHTSA reports. "'It is normal to see an increase in complaints following the
kind of publicity that this issue has taken on,' Toyota spokesman John Hanson
said Thursday. 'We are diligently going to investigate all of these claims. We
are doing it with more people and we are doing it as quickly as we
can."
NHTSA data shows Toyota has highest percentage of speed control complaints.
USA
Today (3/26, Healey, Debarros) reports that according to its analysis
of NHTSA data, since 2004, "speed control problems are a higher proportion of
Toyota's driver complaint filings than they are for other big automakers. ...
The analysis showed 11.7% of the vehicle components named in driver complaints
to NHTSA about Toyota-made vehicles in that period were in the safety agency's
'vehicle speed control' category. ... The five others among the top six
automakers in the US market ranged from General Motors' 2.2% to Ford's 4.8% over
the
decade."
NHTSA faulted for not keeping up with burgeoning automotive electronic systems.
Bloomberg
News (3/26, Green, Keane) reports that recalls of cars over electronic
faults have tripled in the past 30 years, while according to lawmakers and
safety advocates, NHTSA "has failed to keep pace with the technology. At least
27 individual lawsuits assert that electronics systems are responsible for
deaths or injuries in crashes of Toyota vehicles. 'The proliferation of features
in cars has really passed NHTSA by and caught them somewhat unprepared,' said
David Champion, director of testing at Consumer Reports magazine." Bloomberg
notes that Secretary LaHood said last month that at NHTSA, "two engineers out of
125 specialize in electronics." Moreover, "The agency lacks regulations for auto
electronics, and rules governing accelerators were written in 1973 and last
updated in 1995. The agency may hire one more electronics specialist and can tap
outside help if it needs additional expertise, LaHood said at a US congressional
hearing on Toyota's global recalls of more than 8 million vehicles. That doesn't
satisfy congressional
critics."
Columnist blames trial lawyers for surge in reports of sudden acceleration.
In a Wall
Street Journal (3/26) column, Holman W. Jenkins, Jr., writes that many
other makes besides Toyotas are involved in crashes after cases of unintended
acceleration in which the drivers admit to having pressed the wrong pedal. He
suggests that more Toyotas are involved in reports of vehicle faults because
trial lawyers are promoting
it.
Calls for accelerator override continue.
The Chicago
Tribune (3/26, Puzzanghera, Bensinger) reports, "Momentum is building
for a rule requiring automakers to install brake-override systems so drivers can
stop their cars during incidents of sudden acceleration," noting that West
Virginia Jay Rockefeller and Secretary LaHood discussed the issue at a recent
Senate Commerce Committee hearing. However, "Shinichi Sasaki, Toyota Motor
Corp.'s executive vice president in charge of quality assurance and customer
service, suggested that sudden acceleration was caused by driver error, such as
improperly placed floor
mats."
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AAJ in the News
University of Wisconsin Law School wins National Student Trial Advocacy Competition.
The Madison
(WI) Cap Times (3/24, Finkelmeyer) reported, "The University of
Wisconsin Law School's mock trial team defeated Georgetown Sunday to win the
championship at the National Student Trial Advocacy Competition, which was held
in New Orleans." Team members "each earned a $2,500 scholarship from the
American Association for Justice, which sponsored the championship. The AAJ also
is sending the team to Vancouver, British Columbia, July 10-14 for that
organization's annual national convention." WTAQ-FM
Glenmore, WI (3/24) on its website also covered the story, noting AAJ's
sponsorship.
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Center For Constitutional Litigation
KBR withdraws appeal asking SCOTUS to block rape lawsuit.
In continuing coverage at the BLT:
Blog of Legal Times (3/23), Tony Mauro wrote, "The high-profile case of
Jamie Leigh Jones, a Halliburton/KBR employee who claims she was raped by
co-workers in a barracks in Iraq in 2005, won't be considered by the Supreme
Court -- at least for now. Lawyers for KBR, who had sought to force her
complaint into arbitration as called for by her employment contract rather than
being resolved in federal court, withdrew the company's petition for high court
review on March 11." But John Vail, "lawyer for Jones, said today, 'There is
not a settlement,' and he expects some of her claims to go to trial in federal
court May 2011." Vail, the vice president and senior litigation counsel at the
Center for Constitutional Litigation in DC, "said he believes the case was
withdrawn because of the so-called Franken
Amendment."
Civil Justice System
Florida Senate approves bills restricting lawsuits for slip-and-fall injuries, inherent risks.
The AP
(3/25) reported that two measures passed by the Florida Senate "would make it
harder to win lawsuits against businesses for 'slip-and-fall' accidents and for
injuries children suffer in risky activities such as theme park or carnival
rides, go-cart racing, bungee jumping and horseback riding. Both measures that
cleared the Senate on Thursday would undo Florida Supreme Court rulings." The
Senate "also unanimously passed a bill that would increase the size of liability
verdicts or settlements the state and local governments can pay without getting
the Legislature's
approval."
Protestors may sue former Miami police chief, judge rules.
The Daily
Business Review (3/26, Pacenti) reports, "A federal appellate court has
ruled peaceful protesters at the 2003 Free Trade Area of the Americas conference
in Miami can proceed with their First Amendment claims against former Miami
Police Chief John Timoney. The 11th U.S. Circuit Court of Appeals in Atlanta
upheld a ruling by U.S. District Judge Jose Martinez that Timoney cannot claim
he is protected by qualified immunity for his actions as a public servant. Judge
Charles R. Wilson, writing for the three-judge panel, ruled this month that
Timoney and two of his top chiefs must face allegations they violated the
protesters' rights "by directing and failing to stop subordinate officers to use
less-than-lethal weapons to disperse a
crowd.""
Congress
As GOP threatens to seek healthcare repeal, Obama urges them to "go for it."
President Obama's trip to Iowa City received extensive -- and largely positive
-- media reviews, including stories on all three broadcast network newscasts
that portrayed him as buoyant and poking fun at his Republican opponents. Most
print reports on the President's remarks
highlighted his "go for it" dare to Republicans threatening to campaign on
repealing his recently passed healthcare plan. That Obama statement, which the
Los
Angeles Times (3/26, Nicholas) terms "a gust of election-year bravado,"
is featured in the headlines of a number of newspaper accounts of Obama's trip.
Out of the three networks, however, only NBC Nightly News (3/25, lead
story, 2:40, Williams) ran footage of his words, "They're actually going to run
on a platform of repeal in November. You've been hearing that. And my attitude
is: Go for it." NBC referred to Obama's appearance as "something of a victory
lap speech in Iowa, where it all started for him on the road to the White
House," and NBC's Savannah Guthrie noted that Iowa City was where "candidate
Obama first unveiled his healthcare plan." NBC's Mike Viquiera added that
though Obama faced "a largely receptive crowd...still one man in the crowd kept
shouting incessantly, 'What about the public option?'" Obama: "That's not in
it." Unidentified speaker: "Why not?" Obama: "Because we couldn't get it
through Congress. That's why. Let's -- there is no need to shout, young
man."
Republicans make case for repeal.
Several Republicans wrote op-eds calling for repeal of the bill, many appearing
in the Wall Street Journal. As an example, in a New
York Times (3/26, A27) op-ed, Rep. Paul Ryan (R-WI) writes, "A serious
fix for what ails health care in America will entail far more than merely
tweaking the new law of the land; we will need to repeal the entire faulty
architecture of the government behemoth and replace it with real reform. ... It
is not sufficient for those of us in the opposition to await a reversal of
political fortune months or years from now before we advance action on health
care reform. Costs will continue their ascent as the debt burden squeezes life
out of our economy. We are unapologetic advocates for the repeal of this costly
misstep." Healthcare experts "across the political spectrum acknowledge that a
fundamental driver of health inflation is the regressive tax preference for
employer-based health
insurance."
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Drug Safety
Pfizer must pay $142 million in Neurontin racketeering case.
The AP
(3/26) reports that "a federal jury has found that Pfizer Inc. violated
anti-racketeering laws in promoting its epilepsy drug Neurontin [gabapentin] for
unapproved uses and must pay at least $142 million in damages." The case stems
from a claim from Kaiser Foundation Health Plan Inc. that "it was misled into
believing Neurontin was effective for off-label treatment of migraines, bipolar
disorder and other conditions. Pfizer argued that Kaiser physicians still
recommend the drug for those
uses."
Bloomberg
News (3/26, Voris, Lawrence) adds that "during the trial, Pfizer argued
that Kaiser doctors continued to prescribe the drug even after the health
insurer sued Pfizer in 2005. The insurer's website also still lists Neurontin as
a drug for neuropathic pain, Pfizer lawyers said in closing argument." After
their deliberation, "several jurors said they were strongly influenced by the
testimony of former FDA Commissioner David Kessler and Kay Dickerson, a Johns
Hopkins epidemiologist whose article casting doubt on clinical studies of
Neurontin appeared in the New England Journal of Medicine last
year."
The Wall
Street Journal (3/26, Kamp) notes that Pfizer spokesman Christopher
Loder said, "We are disappointed with the verdict and will pursue post-trial
motions and an
appeal."
"The verdict and the judge's rulings are not consistent with the facts and the
law," he added, according to Reuters
(3/26,
Berkrot).
Two charged with importing counterfeit weight-loss drugs.
The Wall
Street Journal (3/26, Favole) reports that the Justice Department has
charged two people with importing counterfeit weight-loss drugs from China.
"The two have been charged with a number of crimes, including the introduction
and delivery into interstate commerce of unapproved new drugs," the AP
(3/26) notes. One man who had taken the counterfeit weight-loss drugs sold by
the men "began to have heart palpitations, numbness in his left arm, severe
anxiety, headaches and profuse sweating and chills. The man thought he was
having a heart attack and feared for his life." Spokesman for the US District
Attorney, Jeff Dorschner said, "If people feel, or they have reason to believe
that they are taking this counterfeit diet pill and that it's made them ill, I'd
encourage them to contact the
FDA."
Employment/Workplace Safety
Three more women join discrimination lawsuit against Bloomberg LP.
The New
York Times (3/26, A23, Chen) reports, "Three more women have been
permitted to join a class-action lawsuit that accuses Bloomberg L.P., the
financial services and media company founded by Mayor Michael R. Bloomberg, of
discriminating against pregnant employees, a federal judge said Thursday. The
three, who only came forward in the past couple of weeks, bring to 79 the number
of plaintiffs in the case. But Judge Loretta A. Preska of Federal District Court
in Manhattan, clearly eager to pick up the pace of the long-running case,
declared that they would be the last
three."
Product Safety
Parkland, FL, property values falling because of Chinese drywall.
The South
Florida Sun-Sentinel (3/25, Sivasankaran) reports, "Chinese drywall
problems in Parkland could soon lead to even lower property values for homes in
the city. The Broward Property Appraiser's Office has received applications for
property value reduction from 115 homeowners in Parkland dealing with Chinese
drywall. If all the homeowners get the reduction they are looking for - 89 have
already had their building value reduced 50 percent - the total value of the
homes will go down more than $30
million."
Louisiana bills target drywall-related insurance cancellations.
In continuing coverage, the AP
(3/25) reported, "Property insurance companies would not be allowed to cancel
policies or raise rates on homeowners who make damage claims stemming from
corrosive Chinese drywall, under two proposed state laws." AP noted the laws
"would provide a degree of protection to Louisiana homeowners who are among
about 3,000 nationwide complaining of damage from the drywall. Both bills also
would prohibit rate increases or cancellations of coverage if a house is found
by an insurer to have Chinese drywall – regardless of whether a claim is
filed or not." One of the bills, introduced by state Sen. Julie Quinn, "goes a
step further by offering the same protection to commercial property
owners."
FDA panel agrees on increased restrictions on tanning bed use for people under 18.
ABC World News (3/25, story 9, 1:20 Muir) reported, "Tonight, there is
late word from federal safety officials who are poised to crack down on indoor
tanning beds. Twenty-eight million Americans tan indoors every year, and now a
panel of experts is so alarmed by the dangers of skin cancer, it's making some
pretty bold warnings." ABC senior medical editor Richard Besser, MD, explained
that "a panel of experts put together by the Food and Drug
Administration...reached broad agreement that there need to be increased
restrictions on the use of these tanning beds for everyone under
18."
The CBS Evening News (3/25, story 7, 0:15, Rodriguez) reported that
panel's proposed new restrictions range "from requiring parental consent forms
to banning the machines
outright."
But, because tanning beds themselves are not medical devices, the agency can
only put restrictions on the lamps the beds use, the Wall
Street Journal (3/26, Dooren) reports. In order to do that, the FDA
could reclassify the lamps. That would force tanning bed manufacturers to get
agency marketing approval of the
beds.
According to the AP
(3/26, Perrone), "The FDA has regulated sunlamps for more than 20 years, but a
recent report by the World Health Organization tied the devices to skin cancer,
prompting a call for tougher rules." In fact, "the WHO analysis showed that"
melanoma, "the deadliest form of skin cancer increases 75 percent in people who
use tanning beds in their teens and
20s."
Reynolds asked to provide FDA with data on their dissolvable tobacco products.
Amid declining cigarette sales and the controversy surrounding regulating oral
forms of tobacco, the Wall
Street Journal (3/26, Kesmodel) reports on one manufacturer's effort to
stay afloat. Reynolds American Inc. is working on developing and marketing a
variety of smokeless products, which critics say are vastly appealing to
children because they are easy to conceal and packaged in bright colors. Such
criticism prompted the FDA to ask the company for data on the dissolvable
products, information that would also reveal how they are perceived by those
younger than
25.
Evenflo recalls 150K baby gates.
The AP
(3/25) reported, "Evenflo is recalling 150,000 wooden gates that block
stairways from young children. The Consumer Product Safety Commission says the
slats on Evenflo Top-of-Stair Plus gates can break or detach, allowing children
to access the stairs. The company has received 142 reports of broken or detached
slats, including three reports of children who breached the gate and gained
access to the
stairs."
Maine House rejects "watered-down" bill on cell phone cancer warnings.
The AP
(3/26) reports, "The Maine House of Representatives has rejected a watered-down
version of a bill to require cancer warnings on cell phones." Initially, the
measure would have "required warnings on mobile phones and their packaging that
electromagnetic radiation from the devices can cause brain cancer, especially in
children." In a move to placate industry and Gov. John Baldacci, the "bill was
scaled back to direct state health officials to add links on their Website to
existing federal cell phone advisories," while calling for more research and
"consumer
education."
Also in the News
White House quietly preparing for SCOTUS vacancy.
The New
York Times (3/26, Baker) reports that the "widely anticipated
retirement of Justice John Paul Stevens in coming weeks has the White House,
Senate and lobbying groups bracing for an election-year confrontation over the
future of the Supreme Court." Although Justice Stevens "has not disclosed his
intentions, he has suggested he may announce as soon as next month plans to step
down after 35 years on the bench, providing President Obama his second
opportunity to shape the nation's highest court." The Times notes that the
White house while wary "of appearing presumptuous," has "long dossiers on a host
of candidates after last year's nomination of Sonia Sotomayor." Democrats
"close to the White House said, the leading contenders will be three runners-up
from last year: Elena Kagan, the solicitor general; Diane P. Wood, an appeals
court judge in Chicago; and Merrick B. Garland, an appeals court judge in
Washington."
Fifth Circuit rebukes judge for delaying judgment for over six years in civil case.
The AP
(3/26) reports, "A federal appeals court has scolded Chief U.S. District Judge
Henry Wingate for taking more than six years to enter a final judgment in a
civil case. The Clarion-Ledger reports that a three-judge panel of the 5th U.S.
Circuit Court of Appeals commented about Wingate in its decision affirming the
2002 jury award of more than $1.3 million to Jimmy Ford of Brandon, Miss., in a
lawsuit filed against his then-employer, Diversified Technology Inc. In a
footnote to its decision released earlier this month, the panel said, 'the
district court sat on the verdict for six and one half years before it entered a
judgment. It is truly regrettable that the plaintiff has been denied his just
recovery for these several years by the lack of judicial diligence.'" Wingate
apologized, but commented that he was unaware the judgment had not been
previously
entered.
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