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September 12, 2007

Exxon Valdez Award May Test Punitive Limits

Jury Finds for Former Officers in Whistleblower Case

BP Plant Manager Says He Was Committed to Safety

Appellate Court Revives Case Against Underwriters

Office Depot to Pay Penalties for Overcharging

FTC Warns Lenders of Deceptive Advertising

ID Chip Implants Linked to Cancer

Rush to Fix Foreign Toys Misses Big Picture, Advocates Say

More Studies Support Avandia Risks

 

 

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Announcements

 

 

Laws/Cases

 

Exxon Valdez Award May Test Punitive Limits

A case stemming from a dire environmental incident 20 years ago may test the current Supreme Court’s position on punitive award limits. Exxon Mobile is challenging a $2.5 billion award to a class of approximately 33,000 Alaskan commercial fishermen, cannery workers, landowners, natives and others for damages caused by the crash of the Exxon Valdez. Attorneys for the oil company are asking the high court to review the case through the lens of maritime law. The 9th Circuit Court of Appeals has already reduced the original award from $5 billion.  Marcia Coyle, Law.com  09/12/2007

Read Article: Law.com    

 

Jury Finds for Former Officers in Whistleblower Case

A jury awarded $6.5 million to two Detroit police officers Tuesday in lawsuit that accused the city of retaliation after the pair raised questions about alleged wrongdoing within the mayor’s security unit. Following a 15-day trial, a circuit court jury found that the city had violated the state’s Whistleblower Protection Act by removing or demoting the officers. Detroit’s mayor said he was surprised and disappointed by the verdict.  Jeff Karoub, Yahoo News  09/11/2007

Read Article: Yahoo News    

 

BP Plant Manager Says He Was Committed to Safety

The former manager of a BP refinery plant testified Tuesday that he was committed to safety and was working to institute reforms to fix the plant’s infrastructure at the time of a deadly 2005 explosion. The plaintiff’s attorney questioned the former manager about safety concerns at the plant, citing company memos that seemed to reiterate potential dangers of the equipment involved in the blast. Other internal BP reports indicate that there was a culture at the Texas City plant that seemed to ignore safety guidelines.  Juan A. Lozano, Houston Chronicle  09/12/2007

Read Article: Houston Chronicle    

 

Appellate Court Revives Case Against Underwriters

A class action antitrust lawsuit received new life Tuesday after a federal appeals court ordered a lower court to reconsider whether the plaintiffs were qualified to represent the class. The lawsuit accuses 32 investment banks of fixing fees on initial public offerings. Plaintiffs in the case claim the alleged fee fixing resulted in damages of $1.2 billion, which could be tripled under antitrust law.  Bloomberg News, The New York Times  09/12/2007

Read Article: The New York Times    

 

Office Depot to Pay Penalties for Overcharging

Office Depot Inc. has settled a civil dispute with California officials over claims that customers were overcharged because of faulty readings on checkout scanners. As part of the settlement, the office supply retailer agreed to pay $2.3 million in refunds and other penalties and to participate in programs to ensure that customers are charged correctly. The company was not required to admit any wrongdoing in the settlement.  Marisa Lagos, San Francisco Chronicle  09/12/2007

Read Article: San Francisco Chronicle    

 

Issues

 

FTC Warns Lenders of Deceptive Advertising

In a move against questionable lending practices, the Federal Trade Commission has warned more than 200 companies about advertisements that could mislead borrowers about the cost of home loans. Agency officials said Tuesday the some mortgage advertisements may violate federal law by making deceptive claims about low interest rates. FTC officials declined to release a list of the warned companies.  Alan Zibel, The Washington Post  09/12/2007

Read Article: The Washington Post    

 

Products

 

ID Chip Implants Linked to Cancer

An implanted microchip used to identify people and pets has been linked to cancer in dogs and rodents. According to research by the Associated Press, federal regulators and the chip’s manufacturer, VeriChip, seemed to have ignored reports that suggest the process of implanting the chip or the device itself may cause cancer. Both VeriChip and health officials have rejected suggestions that the device poses any significant threat to humans or pets.  Barnaby Feder, The New York Times  09/11/2007

Read Article: The New York Times    

 

Rush to Fix Foreign Toys Misses Big Picture, Advocates Say

Increased scrutiny about the safety of toys produced abroad may be obscuring a larger safety question closer to home, academics and consumer advocates say. A recent university study found that design flaws, which originate in the United States, account for far more recalls than foreign lead paint. Consumer advocates note that, while testing in the global supply chain is a safety improvement, it does not provide sufficient regulation to help catch design flaws.  Annys Shin and Renae Merle, The Washington Post  09/12/2007

Read Article: The Washington Post    

 

Study

 

More Studies Support Avandia Risks

Two studies published recently in the Journal of the American Medical Association seem to confirm increased dangers of the once popular diabetes drug Avandia versus those of its competitors. The authors of one study reiterated calls that Avandia should be pulled from the market. Researchers from a second study found Avandia competitor Actos to pose fewer risks of heart problems. A Food and Drug Administration panel in June voted unanimously to keep Avandia on the market.  Gardiner Harris, The New YorkTimes  09/12/2007

Read Article: The New York Times    


 

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