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Ohio judge says Ford must pay dealers $2B
Court Issues | 2011/06/11 06:54
Ford Motor Co. must pay nearly $2 billion in damages to thousands of dealerships in a 2002 class-action lawsuit that said the automaker violated dealer agreements, an Ohio judge ruled Friday.

Cuyahoga County Common Pleas Judge Peter Corrigan in Cleveland issued the ruling based on a Feb. 11 jury determination that the company overcharged dealers for commercial trucks over an 11-year period.

The $2 billion award covers more than 3,000 dealerships and about 474,000 trucks. It includes a judgment of about $781 million and about $1.2 billion in interest.

"In awarding the dealers the amount of money they overpaid for trucks, the jury verdict places ... the dealers in the financial position contemplated by the terms of the contract," said James Lowe, a Cleveland attorney for Westgate Ford Truck Sales Inc., a dealership in Youngstown that represents the class.

Ford's annual report, filed on Feb. 28, says the class action included all dealers who purchased a 600?series or higher truck from Ford from 1987 to 1997. It says the lawsuit accused the automaker of failing to reveal that price concessions were given to some dealers.


Toyota class action suit to start with Utah case
Law Firm News | 2011/06/11 06:54
The first lawsuit to go to trial in a massive class action against Toyota Motor Corp. over acceleration problems that led the company to recall 14 million cars will involve a crash that killed two people in western Utah, a federal judge said Friday.

U.S. District Judge James Selna told attorneys the case of 38-year-old Charlene Jones Lloyd and 66-year-old Paul Van Alfen, whose Toyota Camry slammed into a wall in Utah in 2010, is scheduled to go to trial in February 2013.

The case — Van Alfen v. Toyota Motor Sales, U.S.A., Inc. — will be the first of several bellwether lawsuits, intended to determine how the rest of the litigation will proceed.

Selna wrote in a tentative order that he hoped the selection would "markedly advance these proceedings."

"The Court believes that selection of a personal injury/wrongful death case is most likely the type of case to meet that goal," Selna said.

Toyota said it welcomes the Utah case as the first suit to reach court.

"We are pleased that the initial bellwether will address plaintiffs' central allegation of an unnamed, unproven defect in Toyota vehicles, as every claim in the multi-district litigation rests upon this pivotal technical issue," the company said in a statement.

Toyota has previously argued the plaintiffs have been unable to prove that a design defect in its electronic throttle control system is responsible for vehicles surging unexpectedly. It has instead blamed driver error, faulty floor mats and sticky accelerator pedals.


US appeals court overturns release of detainee
Court Issues | 2011/06/11 06:54
A Yemeni detainee ordered to be freed from Guantanamo Bay has to stay now that a U.S. appeals court has overturned his release.

The U.S Court of Appeals in Washington says circumstantial evidence of terrorist ties can be enough to keep a prisoner like Hussain Salem Mohammad Almerfedi at the U.S. naval prison in Cuba.

Almerfedi was captured in Iran after the Sept. 11, 2001 attacks and eventually transferred to U.S. authorities through Afghanistan. Government attorneys argue he was staying at an al-Qaida-affiliated guesthouse, based on the testimony of another Guantanamo detainee. Almerfedi denied it, and a lower court judge found the testimony against him unreliable and ordered him released.

But the appeals court said the judge erred in finding the testimony unreliable and found it was likely Almerfedi was part of al-Qaida.


Pa. appeals court upholds $188M Wal-Mart verdict
Legal Network | 2011/06/11 06:53
A $188 million class-action verdict against Wal-Mart Stores Inc. and Sam's Club over payment to employees for rest breaks and off-the-clock work was upheld Friday by a Pennsylvania appeals court.

A three-judge Superior Court panel said there was sufficient evidence at trial to conclude there had been a breach of contract, unjust enrichment and violations of state labor laws.

The judges also ruled in a 211-page opinion that the presiding Philadelphia judge erred in determining some of the plaintiffs' legal fees, and sent that part of the case back for recalculation.

The 2006 trial, which lasted 32 days, resulted in a finding that Wal-Mart did not pay employees for all the work they performed and did not let them take their paid, mandatory rest breaks, the judges wrote. The court awarded $46 million in attorneys' fees.

Wal-Mart spokesman Greg Rossiter said the retail giant believes the court decision was wrong in a number of respects and looks forward to additional review in the courts.


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