Allstate Insurance Company changed the classification of its auto field adjusters from salaried employees to hourly employees in response to litigation challenging their misclassification as employees exempt from protection of overtime wage laws. After the change, Allstate presumed that an adjuster’s workday begins with the first appointment as set by the Work Force Management System. Plaintiff […]
Class Action Fairness Act Case Properly Removed.
In 2011, 137 named plaintiffs brought an action against 25 financial institutions in state court for deceptive mortgage lending, asserting various causes of action, including violation of the Class Action Fairness Act of 2005 [CAFA; Pub.L. No. 109-2, 119 Stat.4 (2005)]. Relying on the Class Action Fairness Act and 28 U.S.C. § 1332 (d)(11)(B)(i), one of the defendants […]
No Showing Thief Ever Read Private Medical Information.
The chief security officer at UCLA’s school of medicine advised certain patients that an encrypted external hard drive containing some of their personally identifiable medical information, as well as the computer password, had been stolen in a home invasion robbery. A class action seeking damages pursuant to the Confidentiality of Medical Information Act [Civil Code section […]
Court May Defer Sending Fire Claim For An Appraisal.
In a class action brought by victims of fire losses, plaintiffs contend the insurance company followed illegal adjusting practices contrary to Insurance Code section 2051, subsection (b), which permits “reasonable deduction for physical depreciation based upon its condition at the time of injury.” As examples, they submitted claims for a 10-year-old set of lead crystal longchamp […]
“The Trouble With Law Is Lawyers”—Clarence Darrow.
A lawyer filed a class action lawsuit against Toshiba on behalf of a class of purchasers of laptops which had an electrostatic discharge problem. The trial court awarded $165,000 in sanctions against the lawyer and awarded her no attorney fees, even though she requested $24 million. The appellate court described in detail “the arduous procedural […]
Arbitration For One Part Of An Action, But Not The Other.
In a class action against both DirecTV and Best Buy, plaintiffs allege a scheme to deceive, involving the apparent sale of equipment that was actually only leased to customers. The district court ordered the matter into arbitration. The Ninth Circuit found that DirecTV’s arbitration agreement is enforceable under the holding in AT&T Mobility v. Concepcion (2011) 131 […]
Zip Codes At Gas Pumps.
Plaintiffs filed a class action for violation of the Song-Beverly Credit Card Act of 1971 [Civil Code section 1747.08], alleging Chevron violates the Act by sometimes requiring customers to provide their ZIP codes when buying gasoline with credit cards. The trial court granted summary judgment to Chevron and the appellate court affirmed, stating: “The undisputed facts […]
BMW/Mini Arbitration Contract Permeated By Unconscionability.
A retail sales installment contract used to purchase an automobile that was one page, 8.5” wide and 26” long. There were numerous and extensive provisions on both sides. Plaintiffs were asked to sign, or initial, 12 places on the front side, but, no places on the back side. An arbitration clause was on the back side […]
U.S. Supreme Court holding on preemption of class action waivers does not apply to representative actions under Private Attorney General Act.
In AT&T Mobility LLC v. Concepcion (2011) 131 S.Ct. 1740, [179 L.Ed.2d 742], the U.S. ff.). In Brown v. Ralphs Grocery Company (Cal. App. Second Dist., Div. 4; July 12, 2011) (As Mod. July 20, 2011) 197 Cal.App.4th 489, [2011 DJDAR 10523], plaintiff sued for alleged violations of the Labor Code, asserting both a class action cause of action […]
How Much Are Those Coupons Really Worth?
The federal district court approved a class action settlement in which class members were to receive coupons, and their lawyers were to receive cash. The Ninth Circuit reversed and remanded the matter to the district court, stating: “When a settlement provides for coupon relief, either in whole or in part, any attorney’s fee ‘that is attributable […]