Federal trial court certified a class involving problems with Honda’s brake system. The Ninth Circuit reversed because the class includes cars in different jurisdictions and California’s consumer protection statutes could not be applied nationwide. Mazza v. American Honda Motor Co. (Ninth Cir.; January 12, 2012) 666 F.3d 581.
California Supreme Court Limits Liability Of Manufacturers.
Defendant manufactured pumps and valves, and was sued for wrongful death caused by asbestos manufactured by third parties and added to the pumps after defendant sold them. The California Supreme Court held that “a product manufacturer may not be held liable in strict liability or negligence for harm caused by another manufacturer’s product unless the […]
Dispute Against Credit Card Company Promising To Help Rebuild Credit Has To Be Arbitrated.
Credit card was marketed to be used to “rebuild poor credit.” The company was sued in a class action for misrepresentation. Credit card users signed arbitration agreement in the application. But the Credit Repair Organizations Act [CROA; 15 U.S.C. §1679c(a)] states: “You have a right to sue a credit repair organization that violates the [Act].” […]
Class Action And Damages Allegations Out; Equitable Allegations In.
Plaintiffs claimed wireless telephone companies made material misrepresentations regarding the number of usable minutes in subscriber plans. The trial court sustained defendants’ demurrer to the class action allegations, but overruled it with regard to the causes of action seeking injunctive relief under the UCL [Business and Professions Code §17200 et seq.]. The court stated: “Regardless […]
Statute Of Limitations Bars Suit Against Accounting Firm.
The president of a company forced to cease operation due to its liability for unpaid payroll taxes sued its accounting firm for professional negligence. The accounting firm asserted the action was barred by the two-year statute of limitations in Code of Civil Procedure §339, and the trial court sustained its demurrer without leave to amend. […]
Court Dismisses Appeal When Corporate Party Filed A Certificate Of Dissolution Of Corporation.
One week after being served with appellant’s opening brief, a corporation filed a certificate of dissolution with the California Secretary of State, indicating the corporation “has been completely wound up.” The appellate court noted a dissolved corporation continues to exist for the purpose of winding up its affairs, but that “the continued pursuit of this […]
Debt Collection Violation In Mailing Collection Notice To Debtors’ Place Of Employment “In Care Of” Employer.
The Ninth Circuit found class certification should have been granted in favor of plaintiffs when defendant debt collector violated the Fair Debt Collection Practice Act’s [15 U.S.C. §1692c(b)] prohibition on communication with third parties by mailing debt collection notices in care of debtors’ employer. Evon v. Law Offices of Sidney Mickell (Ninth Circuit; August 1, […]
Summary Judgment Against Charlotte Russe In Favor Of Travelers Insurance Company Reversed.
Charlotte Russe stores contracted to become the exclusive sales outlet for “premium, high end” clothing called People’s Liberation, a brand owned by a company called Versatile. Charlotte Russe allegedly offered the clothing at severely discounted “fire-sale” prices. Versatile brought an action against Charlotte for breach of contract and other causes of action, requesting damages for […]
Improper Joinder Of Claims In Sexual Assault By A Doctor Of Two Patients, But Proper Joinder Of The Doctor’s Employers.
Two patients brought an action against their doctor and the doctor’s employers for sexual assault. The trial court sustained defendants’ demurrer without leave to amend because the plaintiffs alleged separate and distinct assaults during separate and distinct periods, and defendants were improperly joined under CCP § 378. The appellate court affirmed the ruling with regard […]
Attorney Fees Awarded After Summary Judgment Filed And A Dismissal Of Trade Secrets Case Is Filed Instead Of Opposition.
Three individuals left plaintiff’s company and joined defendant’s company. Plaintiff brought a trade secret misappropriation claim against defendant. Defendant filed a motion for summary judgment containing evidence the purported trade secret was actually an off-the-shelf computer program. Plaintiff asked for several continuances to conduct discovery, but never opposed the motion and filed a dismissal instead. […]
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