Negligent Misrepresentation

News & Analysis as of

TN COA Tosses Fraud & Securities Claims Over “Crazy” Scam

Tennessee fraudulent misrepresentation claims – and “investment contract” claims under the State’s Blue Sky Law – fail the “reasonable reliance” requirement, where the plaintiff himself asserts it’s a fraud because nobody...more

Federal District Court Slashes Punitive Award In Hip Implant Case

A couple of months ago, I did a post about the post-trial motions in the first trial arising out of alleged defects in Wright Medical Technology’s hip implant device. On April 5, the district court resolved the motions,...more

Maryland Appellate Court Holds Economic Loss Doctrine Bars Contractor’s Tort Claims Against Government’s Design Professional on...

Balfour Beatty Infrastructure, Inc. v. Rummel Klepper & Kahl, LLP, 226 Md. App. 420, 130 A.3d 1024, 2016 Md. App. LEXIS 3 ( Md. Ct. Spec. App. Jan. 28, 2016) The City of Baltimore retained a design professional, Rummel...more

Proceed Wisely, Ninja Contractor, Because Suing Your DOT May Have Limitations

No self-respecting Ninja goes into battle without a plan, right? You need to know your environment, your opponent and the rules of the battle. For you Ninja contractors, it’s a good thing to fully understand your potential...more

None Of Your Business: Eleventh Circuit Enters A Gray Area For Contract Liability Exclusions

Businesses have responsibilities; they buy liability insurance to cover losses that arise if they fail to perform them all. Businesses also “assume” responsibilities under contracts; those responsibilities are typically...more

Real Property & Title Insurance Update: Week Ending April 1, 2016

REAL PROPERTY UPDATE - - Foreclosure: remittitur, rather than reversal of summary judgment, is proper where lender failed to provide sufficient evidence of late charges at summary judgment – Newman v. Ocwen Loan...more

4 takeaways for higher ed from the Alaburda student lawsuit verdict

Last week a California jury rejected a law school graduate’s claim that her alma mater falsified graduate-employment data in the much-anticipated Alaburda v. Thomas Jefferson School of Law trial. The lawsuit was filed on May...more

Design Errors Exception to the Economic Loss Doctrine

A recent Pennsylvania case, Gongloff Contracting, LLC v. L. Robert Kimball & Assocs., Architects and Engineers, Inc., sheds light on circumstances in which design errors can lead to damages in tort as courts recognize...more

Testing 101: Court Dismisses Whole Foods’ Yogurt MDL over Failure to Comply With FDA Testing Requirements

On February 16, 2016, U.S. District Judge Sam Sparks of the Western District of Texas dismissed a multidistrict litigation involving 11 putative class action lawsuits against various Whole Foods corporate entities and...more

Healthcare Claim Administrator’s Authorization of Services While Failing to Disclose Alcohol-Related Exclusion Supports Action for...

In Tenet Healthsystem Desert v. Blue Cross of California (No. D069057, filed 3/17/16), a California Court of Appeal held that a hospital was not limited to simply collecting on its bills, but could state causes of action...more

Can A Contractor Sue A Design Professional Without A Contract? Not In Maryland

In some states, courts allow contractors to sue design professionals for negligence even in the absence of a contract. In others, like Maryland, courts apply a rule known as the Economic Loss Rule (ELR) to bar such claims....more

Ninth Circuit Finds First Amendment Protects Against Right Of Publicity Claim Involving Film “The Hurt Locker”

The Ninth Circuit has confirmed that right of publicity claims purporting to arise from expressive works, like films, are content-based restrictions on speech that are presumptively unconstitutional, and generally should not...more

Cajun TwIqbal Kiss-off

The Twombly and Iqbal requirement that complaints set forth facts making out a plausible case for liability got a nice workout in the recent case of Guidry v. Janssen Pharmaceuticals, Inc., 2016 WL 633673 (E.D. Louisiana Feb....more

Wright Medical Technology Files Brief In Support Of Post-Trial Motions In Hip Implant Case

A couple of months ago, we reported on a $10 million punitive verdict in the first hip implant case to go to trial against Wright Medical Technology. Last week, Wright Medical filed its opening brief in support of its...more

Second Circuit Seeks Guidance from Delaware on Direct Shareholder Lawsuits for Holding Stock Based on Alleged Misstatements

May former stockholders who allege they were damaged by holding stock of a company, because of fraudulent and negligent misrepresentations about the company’s financial status, sue the company directly versus in a derivative...more

Manufacturing Defect, Misrepresentation and Concealment Claims Will Proceed in Mesh Case

In 2004, a Georgia resident was diagnosed with stress urinary incontinence. On July 16, 2004, she was implanted with a Mentor transobturator sling. In December 2010, she began experiencing pain in her thigh and saw an...more

The Year in Review: 2015 FINRA Enforcement Actions

Over the past several years, the Financial Industry Regulatory Authority (“FINRA”), the self-regulatory organization responsible for regulating every brokerage firm and broker doing business with the U.S. public, brought...more

Legal Trends: Employment & Labour

In the past year, the media and governments across Canada have paid greater attention to workplace discrimination and harassment. In Ontario, for example, the government introduced Bill 132, Sexual Violence and Harassment...more

Engineers Beware!! California Courts Have Held Engineers Owe A Duty Of Care And Are Liable to Contractors For Plans And...

In a detailed explanation of an Engineer’s duties and responsibilities, the United States District Court for the Northern District of California held that an engineer that prepares plans and specifications relied upon by...more

U.S. District Court for Northern District of California Holds Engineer May Be Liable to Contractor for Breach of Professional Duty...

Apex Directional Drilling, LLC v. SHN Consulting Eng’rs & Geologists, Inc., 2015 U.S. Dist. LEXIS 105537 (N.D. Cal. Aug. 11, 2015) - The United States District Court for the Northern District of California held that an...more

The 60 Second Construction Journal

You be the judge in this Texas-centric case FACTS: An engineering joint venture contracted with the Dallas Area Rapid Transit (“DART”) to provide design plans and specifications for a light rail line in Dallas, Texas....more

Theratechnologies leave threshold proves too robust for plaintiff shareholder in Securities Class Action

In Mask v. Silvercorp Metals Inc. released on October 22, 2015, the Ontario Superior Court of Justice considered a motion for leave to commence an action for secondary market misrepresentation under section 138.8 of the...more

Supreme Court of Canada Releases Securities Class Actions Trilogy - Clarifies that the Leave Test has Teeth in Common Law...

The Supreme Court of Canada released reasons in its highly-anticipated trilogy of securities class action cases. In Canadian Imperial Bank of Commerce v. Green, a deeply divided Court reached differing conclusions on...more

Manufacturers and Suppliers Win Big in Pennsylvania Economic Loss Doctrine Argument

The economic loss doctrine (ELD) in Pennsylvania "precludes recovery for negligence 'if the plaintiff suffers a loss that is exclusively economic, unaccompanied by an injury to either property or person.'" Elliot-Lewis Corp...more

Preemption 201 – Recent Cases Raising Specialized Issues

In case you haven’t noticed, we like preemption. We’ve even called ourselves “obsessed” with it. And with good reason. Preemption, where it’s available, is the most powerful defense around – capable of wiping out an entire...more

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