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Company's principal place of business is its 'nerve center,' Supreme Court says



Title: Trial News

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Trial News

March 18, 2010

AAJ
Top Story
 

The justices held unanimously that a company’s principal place of business under the federal diversity jurisdiction statute is “the place where a corporation's officers direct, control, and coordinate the corporation's activities"—usually its headquarters. Plaintiff attorneys say the decision will mean most lawsuits against businesses will end up in federal court.

OTHER NEWS

Veterans seek compensation for illnesses linked to hazardous
‘burn pits’

An investigation launched last month by the Institute of Medicine is probing the health effects of the military’s use of open-air “burn pits,” which have been linked to high rates of respiratory and other illnesses among veterans and contractor employees returning from Iraq and Afghanistan. Private pit operators are now facing lawsuits.

Seventh Circuit finds no federal preemption in Paxil case
The court rejected SmithKline Beecham’s preemption argument in a failure-to-warn case, applying the "clear evidence" standard that the Supreme Court set out in Wyeth v. Levine last year.

February sees spate of anti-arbitration rulings
Appeals courts delivered a three-punch blow to mandatory arbitration clauses last month, striking down provisions in a nursing home contract in Montana, an auto sales contract in South Carolina, and a computer sales agreement in California.

VERDICTS & SETTLEMENTS

Employment
Anesthesiologist wrongfully suspended for purported drug irregularities

Government liability
Tree falls on, injures motorist

Negligence
Personal watercraft strikes snorkeler

Premises liability
Hotel patron contracts Legionnaire's disease

Security guard shoots, paralyzes nightclub patron

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Michael Jeffcoat and Bradd Bunce

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