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Archive for August, 2010

How to Teach Lawyers Not to Steal

Tuesday, August 31st, 2010

By Maryland Injury Lawyer Blog, Maryland Injury Lawyer Blog.

An Ohio lawyer has been suspended for two year years suspension for submitting “false and fraudulent” time sheets. Theoretically possible for the workaholic? Sure. But three of her bills reflecting more than 24 hours of work in one day, once billing 90.3 hours of work during a 96 hour period. In another, she billed 139.5 hours of work during a 144 hour period.

Although the number of lawyers who pad their bills is probably on the downside in 2010 as more companies are looking for more ways to trim legal budget fat, lawyers who bill by the hour have been padding their bills since Emperor Claudius lifted the ban on lawyers billing more than 2,000 years ago. Little known fact: Abraham Lincoln was a notorious bill padder, sometimes charging clients five times the number of hours taken to complete the task. There was scores of client complaints about Lincoln about his billing. (Before you pass this information along, consider the possibility that I'm completely making this up.)

Anyway, while most lawyers don't, the fact that one lawyer was caught ridiculously padding her bills in not actually a Page 1 story. But I found the defense to the crime particularly interesting: it was the the law school's failure to teach law firm management.

The first reason why this is so ridiculous is obvious. As Carolyn Elefant points out, if you can't figure out that you are not allowed to bill more than 24 hours in a day, a law school class is not going to set you straight.

But, in my opinion, the whole idea of Law Firm Management as a course is an exercise in futility. You have make believe lawyers pretend to run a make believe law firm with make believe problems. Students just are not going to really digest the problem. It is like suggesting the guy that won your fantasy football league three years in a row would make a great general manager.

Originally posted at Maryland Injury Lawyer Blog. Please visit http://www.marylandinjurylawyerblog.com/.

Facebook post gets Detroit-area juror in hot water

Tuesday, August 31st, 2010

By Breaking Legal News, Breaking Legal News.

A judge removed a juror from a trial in suburban Detroit after the young woman wrote on Facebook that the defendant was guilty. The problem? The trial wasn't over. Hadley Jons, of Warren just north of Detroit, could be found in contempt when she returns to the Macomb County circuit court Thursday.

Jons, 20, was a juror in a case of resisting arrest. On Aug. 11, a day off from the trial and before the prosecution finished its case, she wrote on Facebook that it was "gonna be fun to tell the defendant they're guilty."

The post was discovered by defense lawyer Saleema Sheikh's son.

Circuit Judge Diane Druzinski confronted Jons the next day and replaced her with an alternate.

"You don't know how disturbing this is," Druzinski said, according to The Macomb Daily.

A message seeking comment was left for Jons on Monday.

"I would like to see her get some jail time, nothing major, a few hours or overnight," Sheikh said. "This is the jury system. People need to know how important it is."

Sheikh's son, Jaxon Goodman, discovered the comment while checking jurors' names on the Internet. He works in his mother's law office.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Deere sells wind energy business for $900M

Tuesday, August 31st, 2010

By Breaking Legal News, Breaking Legal News.

Deere & Co. will sell its wind energy business to a subsidiary of Exelon for $900 million, the company said Tuesday, potentially signaling an active merger and acquisition period ahead for the power industry.

With energy prices persistently low due to a grinding economic recovery, stakes in the power industry have begun to shift.

Earlier this month, Blackstone Group paid $542.7 million to take Houston's Dynegy Inc. private. In a three-way deal, Dynegy also sold four power plants to NRG Energy Inc. for $1.36 billion in cash.

Deere said in February it was reviewing options for John Deere Renewables. It saw the wind business as an extention of its agricultural work, with projects located in rural areas.

Deere was involved in project management and financing, buying much of the hardware used in the wind projects from India's Suzlon Energy, one of the biggest suppliers in the world. Deere invested $1 billion over the past five years in the financing, development and ownership of wind energy projects.

On Tuesday, Deere said the sale will allow it to get back to what it does best, which is manufacturing farm equipment.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Wal-Mart appeals class action in top court

Tuesday, August 31st, 2010

By Breaking Legal News, Breaking Legal News.

Wal-Mart has petitioned the US Supreme Court to reconsider a decision by the US Court of Appeals for the Ninth Circuit affirming class action certification in a gender discrimination case, notes a Jurist report.

The company has asked the court to examine whether the Appeals Court's April ruling was proper under Title VII of the Civil Rights Act of 1964, the Due Process Clause, the Seventh Amendment and Federal Rule of Civil Procedure 23 (FRCP). Wal-Mart's position is that the class is overbroad and that the Ninth Circuit's decision is inconsistent with certification standards in multiple circuits.

Wal-Mart also contends that claims for monetary relief cannot be certified under FRCP 23, which it says only applies to claims to injunctive relief. The report states that the case was filed in 2001 by female Wal-Mart employees who contend that Wal-Mart's nationwide policies result in lower pay for women than men in comparable positions and longer waits for management promotions than men.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Banks post $21.6 billion profit in 2nd quarter

Tuesday, August 31st, 2010

By Breaking Legal News, Breaking Legal News.

A mixed picture of U.S. banks emerged Tuesday as the industry posted its highest quarterly earnings in nearly three years while the number of troubled institutions grew by more than 50.

Banks overall made $21.6 billion in net income in the April-to-June quarter, the Federal Deposit Insurance Corp. said. It was the highest quarterly level since 2007 and was led by the largest institutions. The industry lost $4.4 billion in the second quarter of 2009.

But the number of banks on the FDIC's confidential "problem" list increased by 54 in the quarter -- growing to 829 from 775 in the first quarter. Most of the banks that have failed this year have been smaller or regional banks.

The decline in bank lending stemming from the financial crisis showed signs of leveling off, the data show. Total lending declined by $107.5 billion, or 1.4 percent from the first quarter. It posted the steepest drop since World War II -- 7.5 percent -- in 2009 from the year before.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Indian Tribes Head To Court To Stop Cigarette Tax

Tuesday, August 31st, 2010

By Breaking Legal News, Breaking Legal News.

Lawyers for Indian tribes are in federal court today to make a last-ditch effort to stop legislation taxing reservation cigarette sales to non-Indian customers.

This comes after a state judge yesterday refused to block New York State from enforcing a $4.35 per pack tax starting tomorrow.

Seneca Indian Nation officials had argued that the state circumvented procedures by adopting the regulations on an emergency basis.

The tax is expected to generate an estimated $200 million a year in revenues for the state.

Tribes argue the plan infringes on their sovereignty and could damage their economies.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Facebook Says Guilty

Monday, August 30th, 2010

By Maryland Injury Lawyer Blog, Maryland Injury Lawyer Blog.

What do the players in the World Series of Poker have in common with jurors? Poker faces. Unless you really (really, really) have a jury, they usually don't give that many tells.

Of course, now we have a cheat sheet with Facebook. Apparently, a Michigan juror pronounced a criminal defendant guilty while the trial was still, ah, ongoing. Everyone is so enamored with social media and its intersection with how it impacts jurors and lawsuits, so these stories make big news. But just how many times has this happened where it never leaked out? I'm pretty sure I could confess to a felony on Facebook and no one would really be paying that much attention.

While we are talking about Facebook, please join our Miller & Zois fan page.

Originally posted at Maryland Injury Lawyer Blog. Please visit http://www.marylandinjurylawyerblog.com/.

Thousands sign on for $10 billion BP suit

Monday, August 30th, 2010

By Breaking Legal News, Breaking Legal News.

The revelation that BP's Texas City refinery emitted toxic benzene for more than a month has ignited a furor in the port community that has suffered its share of deadly industrial accidents and toxic spills.

Thousands of residents who fear they may have been exposed to the known carcinogen released at the oil refinery from April 6 to May 16 have been flooding parking lots and conference halls where local trial attorneys hosted information sessions and sought clients for class-action lawsuits against the oil giant.

BP faces the new challenge just as it is reaching a key milestone in another crisis — plugging the Gulf of Mexico well that blew out in an oil spill disaster that is costing the company billions of dollars.

On Wednesday, more than 3,400 people lined the hallways and sidewalks around the Nessler Center to sign on to a $10 billion class-action lawsuit filed Tuesday in Galveston federal court by Friendswood attorney Anthony Buzbee.

The lawsuit alleges the release of 500,000 pounds of chemicals - including 17,000 pounds of benzene - has jeopardized the health and property values of people who live and work in the area. At the nearby College of the Mainland, a separate town hall meeting drew a crowd of 600.

"I've never seen anything like this," Buzbee said, looking at the lines waiting to enter a large room at the civic center where lawyers helped people fill out paperwork. "I can't believe this is mass hysteria and that everybody here is a faker," Buzbee said.

Webster-based lawyer Chad Pinkerton said he's met with about 8,000 residents over the past week. "I believe this is probably the largest prolonged release in Texas history and many, many people are sick," he said.

Word of the lawsuits spread this week, propelled in part by rumors that BP was cutting checks to head off the benzene claims from the $20 billion fund established to pay claims related to the oil spill.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Facebook sued in California over teen endorsements

Monday, August 30th, 2010

By Breaking Legal News, Breaking Legal News.

Two Los Angeles County teenagers are suing Facebook, claiming the social network effectively sold their names and images to advertisers without parental permission.

The lawsuit filed Thursday in Los Angeles challenges a Facebook feature that allows members to note that they like an advertised service or product. Facebook broadcasts those endorsements to the user's friends.

The lawsuit also claims minors unwittingly endorse Facebook when people typing their names in a search engine are steered to a Facebook sign-up page.

The plaintiffs say Palo Alto-based Facebook is violating a California law that requires parental consent for children to make commercial endorsements. The teens seek unspecified damages.

Facebook spokesman Andrew Noyes says the lawsuit is meritless. He notes Facebook doesn't allow users under 18 to let their profiles appear on public search engines.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.

Appeals court OKs warrantless GPS tracking by feds

Monday, August 30th, 2010

By Breaking Legal News, Breaking Legal News.

The U.S. Court of Appeals for the Ninth Circuit earlier this month declined to schedule an en banc hearing, or a hearing before all judges in the ninth circuit, as requested by the defendant in a drug-related case. The defendant was seeking to suppress evidence gathered against him by federal agents who attached a GPS device to his vehicle without first obtaining a warrant.

The defendant, Juan Pineda-Moreno of Oregon, claims that U.S. Drug Enforcement Agency agents violated his Fourth Amendment rights against unreasonable search by planting, without a warrant, a tracking device on a vehicle parked in his driveway in 2007. The agents were tracking Pineda-Moreno on suspicion that he belonged to a marijuana growing operation.

A three-judge panel of the appellate court in January rejected Pineda-Moreno's claims and ruled that his constitutional rights were not violated. The court this month rejected a petition by Pineda-Moreno for a rehearing of his case by the full Ninth Circuit panel of judges.

The appellate court's ruling essentially gives law enforcement agencies in the nine Western states under the Ninth Circuit's jurisdiction the legal authority to surreptitiously enter personal property and attach a GPS tracking device on vehicles parked there without first obtaining a warrant.

Originally posted at Breaking Legal News. Please visit http://www.breakinglegalnews.com/.