Westlaw Journals

Salix Pharmaceuticals misled investors about inventory levels, suit says

By Phyllis L. Skupien, Esq. Managing Editor, Westlaw Journals

From Westlaw Journal Securities Litigation & Regulation: A Salix Pharmaceuticals shareholder has filed a proposed class action alleging the company inflated its stock price by misrepresenting the wholesale inventory levels of its premier drug, Xifaxan.

The suit, filed by the Woburn Retirement System in the U.S. District Court for the Southern District of New York, says misleading information about inventory affects investors’ ability to determine the accuracy of projected revenues.

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‘Social media in the workplace: Around the world 3.0,’ by Daniel Ornstein, Esq.



For a one-minute audio intro to the commentary, click here.

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Daniel Ornstein

Daniel Ornstein

N.Y.C. property owner asks Supreme Court to revive suit over 9/11 contamination

By Ken Bradley, Senior Legal Writer, Westlaw Journals

From Westlaw Journal Asbestos: The U.S. Supreme Court should review a 2nd Circuit decision that found the owners and lessees of the World Trade Center were immune from an environmental cleanup lawsuit stemming from the Sept. 11 attacks, according to a developer that spent $26 million to remove asbestos and other “WTC dust” from its nearby property.

In a reply brief filed with the high court Nov. 7, Cedar & Washington Associates, which owns a property at 130 Cedar St. in New York, says the appeals court’s decision “threatens to have wide-ranging and profound impacts on issues of national significance ranging from the balance of war power between the executive branch and Congress, to the stability of the insurance and commercial real estate markets.”

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No coverage owed by insurer in teacher abuse case

From Westlaw Journal Insurance Coverage: An insurance company has no duty to defend or indemnify a special education teacher accused of committing multiple “shocking and offensive acts” against one of her students, the 11th U.S. Circuit Court of Appeals has ruled.

The three-judge panel said an “intentional acts” exclusion in National Casualty Co.’s policy relieves the insurer of any liability in connection with the underlying suit filed by Repheka Persadi and her parents.

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11th Circuit revives some of hospital company exec’s FCA claims

From Westlaw Journal Health Care Fraud: A former health care executive who alleged his ex-employer paid kickbacks and violated a federal law governing physician referrals can proceed with some allegations in his False Claims Act suit against the hospital operator, a federal appeals court has ruled.

The 11th U.S. Circuit Court of Appeals said J. Michael Mastej offered enough support for his claims that Health Management Associates Inc. paid kickbacks and violated the Stark Law during the time he was worked there.

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Estate can sue Royal Caribbean for negligent shipboard medical care, 11th Circuit says

From Westlaw Journal Medical Malpractice:  Royal Caribbean Cruises could be vicariously liable for the alleged negligence of on-board medical staff in treating a cruise ship passenger who suffered a head injury and died, the 11th U.S. Circuit Court of Appeals has ruled in an issue of first impression.

A three-judge panel struck down the long-standing rule set forth in Barbetta v. S/S Bermuda Star, 848 F.2d 1364 (5th Cir. 1988), that immunized ship owners from vicarious liability for negligent medical care provided to passengers by employees or agents.

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9th Circuit says Target need not supply in-store defibrillators

From Westlaw Journal Medical Devices: A federal appeals court has ruled that Target Corp. has no duty to equip its stores with automatic external defibrillators, upholding a ruling against the family of a shopper who went into cardiac arrest at a Target store in 2008.

The 9th U.S. Circuit Court of Appeals decision comes four months after a California Supreme Court opinion announcing that state law “does not include an obligation to acquire and make available an AED for the use of its patrons in a medical emergency.” Verdugo et al. v. Target Corp., No. S207313, 59 Cal. 4th 312 (Cal. June 23, 2014) see Westlaw Journal Medical Devices, Vol. 21, Iss. 9).

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California man pleads guilty in $115 million scheme that ran business into bankruptcy

From Westlaw Journal Bankruptcy: A co-founder of a defunct real estate investment firm has pleaded guilty to mail fraud in connection with an alleged scheme that ended with the firm’s bankruptcy and the loss of $115 million by banks and investors.

John J. Packard, 64, of Long Beach, Calif., faces sentencing next May.  Co-defendant Michael J. Stewart of Phoenix, is scheduled for trial in April, the U.S. attorney for the Central District of California said in a statement.

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Consultant stole trade secrets for competing software, suit says

From Westlaw Journal Computer & Internet: A Madison, Wis., software developer is seeking discovery just a week after filing a federal  lawsuit against an international consulting firm that allegedly stole trade secrets about the company’s proprietary software and Web portal for hospitals.

Even before defendant Tata Consultancy Services Ltd. entered an appearance in the case, Epic Systems Corp. filed a motion with the U.S. District Court for the Western District of Wisconsin for permission to begin collecting evidence immediately.

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Hockey dad assaults commissioner for closing skating rink

Joseph Membrino reportedly sustained a traumatic brain injury, headaches, bruises and abrasions of the upper extremities, a left thigh bruise, and emotional distress after defendant Edward Humel allegedly threatened to kill him, physically assaulted him, and struck him in the back with a metal pipe.

The plaintiff claimed the defendant was intoxicated and/or under the influence of drugs and/or alcohol at the time of the assault, and was careless and negligent for trespassing on the plaintiff’s property. (more…)