U.S. District Judge Mitchell S. Goldberg ruled on August 28, 2017 that a class of 24 to 25 direct purchasers did not satisfy the “numerosity” requirement of Rule 23(a)(1) for class certification. Florence Drug Co. of Florence, Inc. v. Cephalon, Inc., No. 06-c-1797, ECF 1072 (E.D. Pa. Aug. 28, 2017), on remand from In

imageThe Third Circuit’s decision in In re Avandia Marketing, Sales Practices & Product Liability Litigation, No. 14-1948 (3d Cir. Oct. 26, 2015), accepts a path-breaking fraud-on-the-intermediary theory under the Racketeer Influenced and Corrupt Organizations Act of 1970 (RICO), which allows you to recover three times your actual damages plus reasonable attorneys’ fees. Expect more cases like this.
Continue Reading Rewards of RICO

HackedUnfair methods and data breaches

The Third Circuit has ruled that exposing credit card information to hackers can count as an “unfair method[] of competition” under the Federal Trade Commission Act. Federal Trade Comm’n v. Wyndham Worldwide Corp., No. 14-3514 (3d Cir. Aug. 24, 2015).

The decision opens the way for the FTC to seek injunctive and disgorgement remedies from companies whose cyber security measures fall short. It also has the collateral effect of bolstering consumer lawsuits for damages under the “Little FTC Acts” of California and 27 other states.

Any business that uses an online computer to store customer information should take notice.
Continue Reading What the FTC Win on Data Breaches Means

Goldman SachsMurky bylaws

May a Delaware firm whose bylaws promise to pay the legal bills of a group of people — all of its "officers" — avoid paying on the ground that it failed to make clear who belonged in the group?

Shouldn't the rule that governs in contracts cases — that a court will construe an ambiguity against

The patent assignment says the assignor — the Inventor — will receive a share of any "recovery of damages" from litigation of the heart-stent patent that he assigned.

The assignee — let's call it Scimed — sues an infringer — which we'll call Cordis. Cordis in turn brings an action against Scimed, accusing it of

CharonDell argued that it could keep robo-calling a woman's mobile phone with robo-messages about her Dell debt until Hell Froze Over.

The fact that she'd withdrawn her consent (from a Happier Time, no doubt – one that involved getting boxes full of neat computer stuff) didn't matter to the Dellsters.

"Hell hasn't frozen over yet", their