Gibbons Law Alert

Gibbons Law Alert

Author: Gibbons P.C.

Third Circuit Finds Waiver of Right to Arbitrate After Ten Months of Litigation

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Posted in Appellate

On February 7, 2013

In its recent opinion in In re: Pharmacy Benefit Managers Antitrust Litigation, the Third Circuit held that a defendant waived its right to arbitration after “actively” and “aggressively” litigating an antitrust dispute for ten months, even though no discovery had taken place. Emphasizing that no one factor is determinative, the Third Circuit’s holding is somewhat of a departure from prior cases finding waiver, which “uniformly featured significant discovery activity in the District Court.”

Magistrate Judge Orders Production of Social Media Discovery But Fashions Novel Protocol Designed to Protect Privacy Concerns

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Posted in E-Discovery: Legal Decisions and Court Rules

On February 7, 2013

Where the requesting party makes a threshold showing of relevance, courts now routinely grant discovery of social media notwithstanding so-called “privacy objections.” Indeed, as one court recently noted, there is “no principled reason to articulate different standards for the discoverability of communications through email, text message, or social media platforms.” But on November 7, 2012, in EEOC v. Original Honeybaked Ham Co., Magistrate Judge Michael E. Hegarty of the United States District Court for the District of Colorado ordered all class members to produce social media discovery to the defendant subject to what the EEOC ultimately called a “somewhat unusual procedure.”

Federal Appellate Court Deems NLRB Appointments Unconstitutional

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Posted in Labor

On January 31, 2013

In a groundbreaking opinion, the District of Columbia Court of Appeals has ruled that three appointments of officers to the National Labor Relations Board (the “Board” or the “NLRB”) by President Barrack Obama were unconstitutional because they lacked the “Advice and Consent” of the Senate and were not authorized by the Constitution’s so-called Recess Appointments Clause. As a result, the Court vacated the underlying Board decision that gave rise to the appeal, concluding that the NLRB had no authority to issue the decision because only two of its five members were validly appointed. Thus the Board lacked the quorum necessary for it to take action. The ruling has widespread implications for the NLRB as well as the President’s overall “recess appointment” powers.

New York State Courts Look to Adopt Rules Requiring Parties to Discuss E-Discovery at the Outset of Litigation

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Posted in E-Discovery: Legal Decisions and Court Rules

On January 31, 2013

The E-Discovery Working Group has recommended changes to the New York State Court rules concerning e-discovery that would significantly expand litigants’ obligations to confer concerning anticipated e-discovery issues. Currently, only the rules that govern cases pending before the Commercial Division require that parties confer about expected e-discovery issues at the outset of a litigation. (See Section 202.70 Rule 8 of the Uniform Rules). The E-Discovery Working Group has not only recommended that this rule be expanded to include all New York State Courts, but also to provide specific guidance concerning what e-discovery issues ought to be discussed by the parties. These issues include identifying potentially relevant categories of data and relevant computer servers, implementing measures to preserve relevant information, agreeing to procedures for parties to recall any privileged information that they provide by accident and discussing the likely cost and allocation of e-discovery between the parties.

Brand New Philadelphia Zoning Code Amended After Only 5 Months

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Posted in Development/Redevelopment

On January 31, 2013

Well that didn’t take long. Last August, following a four year process, the City of Philadelphia’s comprehensive new zoning code became law. Because of the law’s broad scope and sweeping changes, it was agreed that the Code would be revisited one year after its enactment to determine its effectiveness and to consider making any necessary changes. Yet, on January 24, 2013, a mere 5 months later ,the Philadelphia City Council, overriding a veto by Mayor Michael Nutter, passed Bill No. 120889 by a vote of 13-3 and amended the new Code, significantly complicating pre-hearing interaction between neighbors and developers which the Code was intended to streamline. While Council has enacted some minor “clean-up” amendments to the Code since August, this amendment could have substantial consequences.

Discovery of Source Code in Patent Litigation

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Posted in Patent

On January 30, 2013

Discovery of computer source code–either through production, inspection, or deposition–is one of the more contentious aspects of patent litigation. Indeed, “few tasks excite a defendant less . . . . Engineers and management howl at the notion of providing strangers, and especially a fierce competitor, access to the crown jewels. Counsel struggle to understand even exactly what code exists and exactly how it can be made available for reasonable inspection. All sorts of questions are immediately posed. . . . Put simply, source code production is disruptive, expensive, and fraught with monumental opportunities to screw up.” Apple Inc. v. Samsung Elecs. Co., No. 11-1846, 2012 U.S. Dist. LEXIS 62971, *10-11 (N.D. Cal. May 4, 2012) (ECF No. 898).

Developer Alert: Philadelphia Looking to Establish Land Bank Under New State Legislation

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Posted in Development/Redevelopment / Tax Abatement

On January 29, 2013

The redevelopment of vacant and blighted parcels has been a cumbersome, frustrating and, in many cases unsuccessful, process for municipalities and developers alike. Pennsylvania’s new land bank legislation could change all that. Philadelphia, with its own land bank legislation is poised to take advantage of the state legislation.

New Jersey Court Finds Violation of Computer Related Offenses Act and Other Unlawful Conduct, Ordering Disgorgement of Profits, Attorneys’ Fees and Punitive Damages

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Posted in Reductions in Force

On January 28, 2013

In B&H Securities, Inc. v. Duane Pinkey et al., the New Jersey Superior Court found that former employees taking computer files from – and using the files to unfairly compete with – their employer violated the Computer Related Offenses Act, N.J.S.A. 2A:38A-1 et seq. (“CROA”), and breached other common law and contractual obligations. The Court awarded actual damages, based on plaintiff B&H’s lost profits of $737,087.00, as well as punitive damages of $100,000 and attorneys’ fees under the CROA.

The Trademark Rush Continues: HARBOWL and KAEPERNICK ….

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Posted in Trademarks

On January 25, 2013

The upcoming Super Bowl, pitting San Francisco 49ers Head Coach Jim Harbaugh against his older brother, Baltimore Ravens Head Coach John Harbaugh, has been dubbed “Harbowl” by some. An individual in Rockville, Maryland is attempting to take this name to a new level, by filing a federal trademark application for use of the mark “HarBowl” on athletic apparel.

Employers are Required to Use New Form to Comply with the Fair Credit Reporting Act

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Posted in Policies and Handbooks

On January 25, 2013

Employers must use an updated form in order to comply with the Fair Credit Reporting Act (“FCRA”), which covers background checks for job applicants and existing employees. The new form is for use effective January 1, 2013. No other provisions of the FCRA have changed. The FCRA Regulates the Use of Consumer Information – The FCRA regulates the use of consumer information. Consumer Reporting Agencies (“CRAs”) compile consumer information into detailed “consumer reports,” which may be used by employers for hiring and retention decisions. Employers also may conduct their own investigative consumer reports, which are covered by the Act as well. The FCRA provides notice and authorization requirements for the use of consumer reports and investigative consumer reports.

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