Pleadings

News & Analysis as of

Sixth Circuit Adopts New Corporate Scienter Test in Securities Cases

The Sixth U.S. Circuit Court of Appeals recently issued a significant decision clarifying the pleading standards in securities litigation, clarifying what must be alleged to impute a corporation with knowledge of alleged...more

Sixth Circuit Narrows Collective-Knowledge For PSLRA Scienter

The US Sixth Circuit last week narrowed its standard for adequately pleading scienter in PSLRA cases using a collective-knowledge theory to impute knowledge to a corporate defendant from among various employees. In Omnicare,...more

Don't Throw The Kitchen Sink Of Defenses Into Your Answer

Say you are filing an Answer to a Complaint. NC Rule of Civil Procedure 8(c) lists a host of affirmative defenses you might raise. They are: accord and satisfaction, arbitration and award, assumption of risk,...more

A Pleading Malfunction Dooms Malfunction Theory

White v. Mazda Motor of Am., Inc., 313 Conn. 610 (2014) - This case illustrates the importance of sufficiently pleading claims and defenses, and moving for leave to amend the pleadings if there is some question or...more

Joinder of insurers – Belcastro v Gabriel Nakhl

The potential savings in legal costs often warrant resisting the direct joinder of an insurer, notwithstanding the relatively low bar set by the authorities. In Belcastro v Gabriel Nakhl & Ors [2014] NSWSC 1305 the insurers...more

Second, Third Circuits Tighten FLSA Pleading Standards, Challenge "Barebones" Complaints

Apologies to John Steinbeck, but in some ways, both 2013 and 2014 have been the winters of FLSA plaintiffs’ discontent on the East Coast. Last summer, the Second Circuit (which covers New York, Connecticut, and Vermont)...more

State Court Lawsuit Removable if Plaintiff-Employee’s Pleadings “Fully Incorporate” EEOC Charge

“You have been sued.” Upon reading these first few words of a state court citation, most Texas employers—indeed, most employers—make it their first order of business to remove the case to federal court if at all possible....more

Minnesota Supreme Court Rejects Twombly/Iqbal Pleading Standard

On August 6, the Minnesota Supreme Court held in a foreclosure-related case that the plausibility standard announced in Twombly and Iqbal does not apply to civil pleadings in Minnesota state court. Walsh v. U.S. Bank, N.A.,...more

Form 18 of the Federal Rules of Civil Procedure Rejected as an “Off-Ramp” to Twombly

Merus B.V. moved for dismissal, arguing the Federal Circuit created an “off-ramp” for patent cases by holding in K-Tech Telecomms., Inc. v. Time Warner Cable, Inc., 714 F.3d 1277 (Fed. Cir. 2013), that when the principles set...more

Lack of Antitrust Standing Requires Dismissal of Complaint Against Alleged Chinese Magnesite Cartel

Last Thursday, Judge Kevin McNulty in the District of New Jersey issued a 69-page opinion explaining his sua sponte dismissal of the putative class action complaint in Animal Science Products, Inc. v. China Minmetals Corp.,...more

Ninth Circuit Holds Plaintiffs Not Required To Plead Tender Or Ability To Tender To Support TILA Rescission Claim

On July 16, the U.S. Court of Appeals for the Ninth Circuit held that an allegation of tender or ability to tender is not required to support a TILA rescission claim. Merritt v. Countrywide Fin. Corp., No. 17678, 2014 WL...more

Supreme Court Rejects “Presumption of Prudence,” Adopts New Pleading Standards in Fifth Third Bancorp v. Dudenhoeffer

The Supreme Court of the United States has issued its highly anticipated decision in Fifth Third Bancorp v. Dudenhoeffer, No. 12-751. In an opinion written by Justice Breyer for a unanimous court, the Supreme Court held...more

Third Circuit Adopts Relaxed Pleading Standard for False Claims Act Cases

The United States Court of Appeals for the Third Circuit recently rejected the strict approach taken by many federal circuit courts to Federal Rule of Civil Procedure 9(b) that requires a qui tam relator bringing a False...more

Single Spaced Footnotes Are a (Correctable) Error

In Eastman Kodak Company v. RR DONNELLEY & SONS COMPANY, IPR2014-00788, Paper 3, IPR2014-00789, Paper 3, IPR2014-00790, Paper 3, IPR2014-00791, Paper 3,(June 3, 2014)the Board reminded petitioners that footnotes, like the...more

Texas’ Fair-Notice Pleadings Standard May Be In Trouble

In Texas, the lax “fair-notice” pleading requirement has resulted in the widespread practice of plaintiffs’ attorneys simply cutting and pasting from a previous pleading when filing suit. However, the recent enactment of...more

Federal Court Report - Fourth Circuit Clarifies Pleading Standards and (Again) Rejects Affidavits that Contradict a Party’s...

In Stevenson v. City of Seat Pleasant, Maryland, No. 12-2047 (4th Cir. Feb. 21, 2014), the Fourth Circuit spent some time cleaning up a rather messy case involving the alleged use of excessive force by members of a police...more

Delaware Court of Chancery Underscores Heightened Pleading Standard Necessary to Support a Claim for Breach of Fiduciary Duty In...

In Houseman v. Sagerman, C.A. No. 8898-VCG, 2014 WL 1478511 (Del. Ch. Apr. 16, 2014), the Delaware Court of Chancery (Glasscock, V.C.) granted, in part, a motion to dismiss filed by certain directors and the financial advisor...more

Mining Tumblr to Meet Twombly – Under Armour’s Well-Pleaded Complaint

This week, Under Armour, the Baltimore-based athletic apparel behemoth gave us a new take on the well-pleaded complaint. Under Armour sued Florida-based I A Nutrition, Inc., for trademark infringement in the U.S. District...more

Court Dismisses TCPA Action Because Plaintiff Refused to Plead Her Telephone Number

On April 17, Judge Robert Bell of the Western District of Michigan found that a plaintiff does not state a claim under the TCPA if she does not plead the telephone number at which she allegedly had been called. See Strand v....more

How To Shorten Your Documents

At least in the initial drafts, efforts to keep a document concise may stifle the flow of written words. If this is true, then let the words come freely and deal with wordiness later. Once the desired content is captured, a...more

Sixth Circuit Affirms Dismissal of Securities Class Action for Failure to Properly Plead Scienter

On March 28, the US Court of Appeals for the Sixth Circuit affirmed a lower court’s dismissal of a shareholder class action against BioMimetic Therapeutics Inc., finding that plaintiffs had failed to sufficiently allege that...more

Supreme Court To Decide CAFA Pleading Standard

On April 7th, the Supreme Court granted certiorari in Dart Cherokee Basin Operating Company, LLC v. Owens, a case originating from the Tenth Circuit. In that case, the Court will resolve a circuit split over the pleading...more

Dart Cherokee: SCOTUS to Hear Case on CAFA Pleading Requirements

The Supreme Court will now decide whether a 2006 Seventh Circuit decision on Class Action Fairness Act pleading requirements was correct. The Court granted certiorari today in a case that will resolve whether defendants...more

California’s RULLCA Impossible Pleading Requirement For Derivative Suits

California’s Revised Uniform Limited Liability Company Act requires a member of a domestic or foreign LLC to include two specific allegations in any complaint brought in the right of the company. Failure to include these two...more

The Other Shoe Drops

Case Number: 1:11-cv-04530 (Dkt. 121) - Judge Forest found a design patent covering fuzzy slippers to be anticipated and not infringed at summary judgment. The court had previously found the claims obvious, but the...more

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