July 2022

Plaintiffs’ attorney says 3M’s $1B fund to resolve earplug litigation inadequate

3M plans to resolve an epic legal battle over its military earplugs through bankruptcy court, but the company will face fierce opposition from plaintiffs.

In one of the largest U.S. mass tort cases ever, about 230,000 U.S. military members and veterans allege that Combat Arms earplugs — made by 3M subsidiary Aearo Technologies — were faulty, damaging their hearing.

Plaintiffs have already scored several victories in cases that have gone to trial, netting almost $300 million from jury verdicts. 3M announced Tuesday that it put its Aearo subsidiary into Chapter 11 bankruptcy protection and will set up a $1 billion trust fund to pay all claims.

“It’s really about us — 3M — stepping up to do right by veterans,” 3M CEO Mike Roman told stock analysts in a conference call Tuesday. “We believe litigating cases individually can take years if not decades.”

3M’s move was blasted by plaintiffs’ attorneys, who said 3M’s $1 billion settlement plan is “woefully” underfunded.

“3M’s bankruptcy maneuver is further proof that they value their profits and stock price more than the well-being of veterans who fought and served our country,” lead counsel Bryan Aylstock said in a statement. “We will challenge this bankruptcy filing

… Read the rest
July 29, 2022 by ATTORNEY

Your job and education could be determining your car insurance rate

I went online last week to get a car insurance quote from Mercury Insurance. I went through the process twice, once listing my occupation as engineer.

All the rest of the information was the same — my age, address, driving record, car make — but as an engineer, I was given a lower monthly rate: $247.88 instead of $262.88 and a potential yearly savings of $179.89.

My price comparison experiment was inspired by a petition filed July 18 by Consumer Watchdog, a taxpayer and consumer advocacy group, protesting Mercury Insurance Co.’s request to the California Department of Insurance to bump up its auto rates.

Mercury Insurance, a major car insurance provider in California, is asking to raise its rates on customers by 6.9%, or $131 million.

But a major factor that underlies Consumer Watchdog’s demand for a public hearing on the proposal is its claim that Mercury’s rates are not only “excessive” but “unfairly discriminatory.”

“It’s an issue that we have been fighting for many years to rectify in California where insurance companies have been illegally surcharging folks based on arbitrary job categories,” Consumer Watchdog Executive Director Carmen Balber told me.

In 1988, Californians passed Proposition 103,

… Read the rest
July 29, 2022 by INSURANCE

Chris Pettit spent $250K in the 40 days after filing bankruptcy

Ex-San Antonio attorney Christopher “Chris” Pettit, accused of stealing his clients’ money, spent more than $250,000 in the 40 days after he filed for bankruptcy.

The spending is detailed in court exhibits that are part of the Chapter 11 trustee’s motion seeking an order directing Pettit to show why he should not be held in contempt for withdrawing $125,000 from his retirement account after filing for bankruptcy June 1.

Pettit, 55, transferred the retirement money into checking and savings accounts at Martha’s Vineyard Bank in Massachusetts. The court exhibits show he spent just shy of $252,000 from those accounts from June 2 through July 11.

“It may be consistent with his pre-bankruptcy lifestyle,” said San Antonio attorney Martin Seidler, who represents creditors in the case.

Pettit listed $27.8 million in assets and $115.2 million in debts in his personal bankruptcy, one of the largest ever filed in San Antonio. His law firm also filed.

On ExpressNews.com: ‘A big no-no’: Ex-San Antonio attorney Chris Pettit allegedly took $125,000 from retirement account

The trustee — the court-appointed private attorney overseeing the assets — has said the retirement money should not be touched until the court rules it’s exempt from the bankruptcy estate.

… Read the rest
July 28, 2022 by ATTORNEY

Retiree health insurance to end for new administrators in Buffalo schools | Education

Lifetime health insurance is about to become a thing of the past for administrators in the Buffalo Public Schools.

Administrators hired after July 2023 will not be eligible for health insurance paid for by the district after they retire, under the terms of a new contract approved this week by the School Board. 

“It is significant. It’s something the district had pursued for at least the last two collective bargaining agreements,” said Robert Boreanaz, the attorney for the Buffalo Council of Supervisors and Administrators.

Over the years, Boreanaz said, Buffalo had become one of the few districts in New York State still providing retirees with health insurance.

Administrators hired prior to July 2023 will remain eligible for retiree health insurance.

People are also reading…

Those hired after July 2023 will have the option of selling back to the district up to 120 unused sick days to be used toward the cost of their health insurance premiums after they retire.

Teachers in Buffalo still receive retiree health insurance. The Buffalo Teachers Federation is currently in negotiations with the district for a new contract. Union President Phil Rumore said the district is hoping to negotiate an end to retiree health insurance for

… Read the rest
July 28, 2022 by INSURANCE

Ex-Trump DOJ lawyer Jeffrey Clark hit with legal ethics charges over post-election role

Jeffrey Clark, a former Justice Department attorney at the center of former President Trump’s attempt to overturn the 2020 election results, was hit Friday with ethics charges alleging that his role in the post-election effort amounted to a breach of legal ethics.

The charges, filed by the District of Columbia Bar Office of Disciplinary Counsel, sets in motion disciplinary proceedings over allegations that Clark engaged in dishonest conduct and sought to interfere with the administration of justice and will culminate in findings that could affect Clark’s D.C. law license.

Clark, who specialized in environmental law at the Justice Department, clark-draft-letter.html”attempted to send a letter to Georgia officials pushing the state to suspend certification of its 2020 election results until the Justice Department investigated fraud claims, despite agency leaders saying such claims were without merit.

After former Attorney General William Barr resigned in December 2020, Clark pushed Trump to nominate him to lead the Justice Department and pursue the president’s false election claims.

Clark said that if selected as acting attorney general he would send the letter to state legislatures, despite warnings from fellow Justice Department lawyers about incorrect information.

… Read the rest
July 28, 2022 by LAW