Supreme Court Reduces Punitive Damage Award in Exxon Valdez Case and Limits Punitive Damage Awards in Maritime Cases

by Bradley C. Myers

In a major victory for business interests involved in maritime operations and what many commentators say is a harbinger of things to come, the United States Supreme Court recently struck down the $2.5 billion punitive damage award against ExxonMobil in a case involving claims for individual economic damages filed by landowners, native Alaskans and commercial fisherman following the 1989 grounding of the Exxon Valdez. See Exxon Shipping Company, et al v. Grant Baker, et al, 554 U.S. ____(June 25, 2008).  The Court determined that the upper limit for punitive damages in maritime cases was a 1:1 ratio to compensatory damages and sent the case back to the appellate court to reduce the punitive damage award to $507.5 million which was the amount of compensatory damages (those agreed upon in settlement and those awarded following trial) that the trial court determined were relevant for purposes of determining punitive damages.

>> Continue Reading Posted In Admiralty and Maritime , General Litigation
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OSHA Site-Specific Targeting of 3,800 High Hazard Workplaces Recently Announced

by Laura L. Hart

        On May 19, 2008, OSHA Directive Number 08-03 became effective. That directive provides the criteria by which OSHA will conduct the 2008 Site-Specific Targeting (“SST-08”) plan. OSHA’s SST program is the main programmed inspection plan for non-construction workplaces that have 40 or more employees.

       OSHA’s SST-08 plan has three listings of “establishments” that will be targeted. The focus of the agency’s unannounced comprehensive safety inspections under SST-08 are approximately 3,800 high-hazard workplaces contained on OSHA’s Primary List.  The workplaces on the Secondary List and Tertiary List will only be inspected pursuant to SST-08 if all of the workplaces on the Primary List are inspected. 

>> Continue Reading Posted In Business and Corporate , General Litigation , Labor and Employment Law
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Where You May Be Doing Business - The Personal Jurisdiction Snare

by James R. Chastain, Jr.

In New Investment Properties, L.L.C. v. ABC Company, et al, 2007 W.L. 4305464 (4TH Cir. 2007), the Court of Appeals addressed the range of personal jurisdiction. Like that of a shepherd’s crook, the court exercised personal jurisdiction over a non-resident defendant. Plaintiffs, New Investment Properties, L.LC. and Creek Apartments Team, L.L.C. (“Creek Apartments) are both Louisiana corporations and the owners of two apartment complexes in New Orleans. Defendant, R. P. Beckendorf, is a California corporation with its principal place of business in Los Angeles. It is an independent insurance agency which obtained flood and wind policies for an apartment complex. The policies were delivered to the Champion Group, Inc., which is a California corporation with its principal place of business in Los Angeles.   The two managers of the plaintiffs are both residents of California, who are also managers of the Champion Group in California.

>> Continue Reading Posted In Business and Corporate , General Litigation , Hurricane Katrina
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Abandonment Period for Cases Filed Prior to Hurricanes Katrina and Rita Extended to Five Years by Recent Amendment of Louisiana Code of Civil Procedure Article 561

by Laura L. Hart

2007 La. Acts No. 361 amended Louisiana Code of Civil Procedure Article 561 to provide an exception to the abandonment period for cases filed before the landfall of Hurricanes Katrina and Rita. The amendment extends to five (5) years the abandonment period for cases that meet the requirements set forth in La. C.C.P. art. 561(2). Article 561 states, in pertinent part, as follows:

A.       (1) An action, except as provided in Subparagraph (2) of this Paragraph, is abandoned when the parties fail to take any step in its prosecution or defense in the trial court for a period of three years, unless it is a succession proceeding:


            (a) Which has been opened;  

            (b) In which an administrator or executor has been appointed; or


            (c) In which a testament has been probated.

>> Continue Reading Posted In General Litigation
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Single Business Enterprise Theory Continues to Gain Ground

by Dean P. Cazenave

The Louisiana Fourth Circuit Court of Appeal recently held that the single business enterprise theory may apply in a breach of contract case.

The single business enterprise theory, a jurisprudential theory under which one or more entities affiliated with another entity may be held liable for such other entity’s debts or liabilities, was first recognized in Louisiana by the First Circuit Court of Appeal in 1991 in the case of Green v Champion Insurance Co. This theory is somewhat unique to Louisiana and greatly erodes traditional corporate laws which generally shield shareholders and affiliated entities from the debts or liabilities of a corporation or other entity.   Although the Louisiana Supreme Court has not expressly adopted the single business enterprise theory, it has had opportunities to repudiate or criticize such a theory but has not done so; and as a result, other appellate courts in Louisiana have continued to invoke the theory.

>> Continue Reading Posted In Business and Corporate , General Litigation
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Contractors' Faulty Workmanship Not Covered by Insurance Policy

by Todd A. Rossi

According to the Louisiana Supreme Court, a commercial general liability policy unambiguously excluded coverage for a contractor’s faulty workmanship. Supreme Services & Specialty Co. Inc. v. Sonny Greer, 958 So.2d 634 (La. 2007). The homeowner instituted legal action claiming that cracks in the slab were the result of faulty and defective design and construction, alleging causes of action based on breach of contract and breach of warranty. Relying on the "work product" exclusion in the policy, the court recognized that it reflected the insurance company’s intent to "avoid the possibility that coverage under a CGL policy will be used to repair and replace the insured’s defective products and faulty workmanship."

>> Continue Reading Posted In Commercial Litigation , General Litigation , Insurance
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Summary of Louisiana Workers' Compensation Laws

by Amy D. Berret

GENERAL DUTIES OF EMPLOYERS

Louisiana Revised Statutes 23:1306: requires employers to notify the Office of Workers’ Compensation within ten (10) days of actual knowledge of an injury resulting in death or lost time in excess of one week after the injury. This rule applies even if no claim for workers’ compensation benefits has been filed. 

Ø    The form generally used for this purpose is a Form 1007 Employer First Report of Injury/Illness (a copy of which is attached for your ready reference).

Ø    If an employer elects not to use the Form 1007, he must provide, at the minimum, the following information: (1) The name, address, and business of the employer; (2)  The name, Social Security number, street, mailing address, telephone number, and occupation of the employee; (3) he cause and nature of the injury or death; (4) The date, time, and the particular locality where the injury or death occurred; (5) The wages, as defined in R.S. 23:1021(10), the worker was earning at the time of the injury.

Ø    All information and records submitted pursuant to this Section shall be confidential and privileged, shall not be public records, and shall not be subject to subpoena. However, such information or records may be used to compile statistical data wherein the identity of the individual or employer is not disclosed.

>> Continue Reading Posted In Business and Corporate , General Litigation , Labor and Employment Law
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Recent Legislative Change Expands Scope of Louisiana's Work-Product Protection

by Eric Lockridge

Recent legislation significantly expands the scope of Louisiana’s work product privilege to include digital photographs, digital video and audio recordings, and other electronically stored information created by an attorney. Act 140 of the 2007 Regular Legislative Session (H.B. 203) (“the Act”) became effective earlier this month.  Among other provisions, the Act expands the scope of Louisiana’s work product privilege to include “electronically stored information.” (For a general discussion of the Act, click here.

Louisiana’s work product privilege is codified at Article 1424 of the Louisiana Code of Civil Procedure. Article 1424(A) previously protected from discovery a “writing obtained or prepared by the adverse party, his attorney, surety, indemnitor, or agent in anticipation of litigation. . .,” subject to certain conditions. The Louisiana Supreme Court interpreted that language to protect only a “writing,” and to provide no protection to other tangible things, in an attorney’s file, such as audio tapes, video tapes, or photographs. See, e.g., Landis v. Morreau, 2000-1157, p. 9 (La. 2/21/01), 779 So.2d 691, 697.

>> Continue Reading Posted In General Litigation
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Recent Changes to Louisiana's Code of Civil Procedure

by Eric Lockridge

Several provisions in Louisiana’s Code of Civil Procedure were amended in the last legislative session, and those changes are now in effect. One change made by the new law, Act 140 of the 2007 Regular Legislative Session (H.B. 203) (hereinafter, “Act 140”), is that the Code of Civil Procedure now specifically provides for the discovery of electronically stored information (hereinafter, “ESI”). Act 140 modifies Articles 1460-62 of the Code of Civil Procedure to explain how ESI should be requested and produced. The changes are intended to make Louisiana civil procedure more similar to federal procedure with regard to the discovery of ESI.   There are still many differences, however, between federal procedure and the changes made by Act 140. The Act did not copy and paste the recent federal rule changes regarding ESI (discussed here http://www.louisianalawblog.com/general-litigation-electronic-evidence-update-for-inhouse-counsel.html into our state Code of Civil Procedure. 

>> Continue Reading Posted In Business and Corporate , General Litigation
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Vioxx Multidistrict Litigation Court Refuses to Give Deference to FDA's Preemption Preamble

by Glenn M. Farnet

On January 24, 2006, the U.S. Food and Drug Administration (FDA) issued a Final Rule entitled Requirements on Content and Format of Labeling for Human Prescription Drug and Biological Products, 71 Fed. Reg. 3922 (Jan. 24, 2006). In the now-famous preamble to that Final Rule, the FDA stated its view that “… under existing preemption principles, FDA approval of labeling under the act, whether it be in the old or new format, preempts conflicting or contrary State law.”   The preamble contains a detailed explanation of why the FDA believes that allowing certain state tort law claims for failure to warn would conflict with and stand as an obstacle to achievement of the full objectives and purposes of Federal labeling requirements for pharmaceutical and biologic products.   The FDA explains that it makes labeling decisions based on “a comprehensive scientific evaluation of the products’s risks and benefits under the conditions of the use prescribed, recommended, or suggested in the labeling.”   The FDA further explains:

>> Continue Reading Posted In General Litigation , Products Liability
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The Document Retention Policy - An Important Part of Your Business's Operations

by Eric Lockridge

Many businesses have come to realize the value of having a document retention/ destruction policy as part of their regular operations. A policy that is well planned and consistently followed will help a business increase its efficiency, reduce its document storage costs, and protect itself from allegations that particular documents were destroyed because the company did not want them to become public in litigation.

>> Continue Reading Posted In Business and Corporate , General Litigation
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FIRST CIRCUIT ADDRESSES ARBITRATION AGREEMENT

by James R. Chastain, Jr.

On March 23, 2007, the Louisiana First Circuit addressed the validity of an arbitration agreement in Lafleur v. Law Offices of Anthony G. Buzbee, 2007 WL 858859 (La. App. 1st Cir. 2007). The opinion has not been released in permanent law reports and is still subject to revision or withdrawal.

The case arises out of a contract between Mr. Lafleur, a Louisiana resident, and his Texas attorneys, Jeffrey M. Stern and the firm of Stern, Miller, and Higdon. Mr. Lafleur retained the Stern defendants to pursue his maritime claim for personal injuries he sustained while traveling on a vessel in navigable waters off the coast of Louisiana. He executed an agreement with the Stern defendants which stated, "Any and all disputes, controversies, claims or demands arising out of or relating to this Agreement or any provisions hereof, the providing of services by the Stern defendants to Mr. Lafleur, or in any way relating to the relationship between the Stern defendants and Mr. Lafleur, whether in contract, tort or otherwise, at law or in equity, for damages or any other relief, made by or on behalf of Mr. Lafleur shall be resolved by binding arbitration pursuant to the Federal Arbitration Act in accordance with the Commercial Arbitration Rules then in effect with the American Arbitration Association." It also provided "the expense of any arbitration shall be a Case Advance pursuing the claims" and that "Mr. Lafleur understands and acknowledges that Mr. Lafleur is waiving all rights to a trial by jury or a judge."

 

>> Continue Reading Posted In Business and Corporate , Commercial Litigation , General Litigation
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COMMERCIAL LEASES: EXCLUSIVE AND PROHIBITED USE CLAUSES

by Brett N. Brinson

Most commercial leases for multi-tenant properties contain clauses which regulate the tenants' use of the leased premises. Many tenants will require a landlord to grant the tenant the exclusive right to operate a certain business or sell a certain product to avoid competing with other tenants. These provisions are appropriately referred to as exclusive use clauses. For the landlord to satisfy its obligations under an exclusive use clause of one lease, the landlord is required to incorporate provisions in its other leases prohibiting the other tenants from using the leased premises for the restricted purpose. These clauses are commonly referred to as prohibited use clauses. 

>> Continue Reading Posted In Business and Corporate , Commercial Litigation , General Litigation , Real Estate
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New Trace Benzene Study To Be Published

by Erich P. Rapp

During a presentation at the Defense Research Institute’s Toxic Torts and Environmental Law Seminar in New Orleans on Friday March 9, 2007, Dr. Pamela Williams of ChemRisk, Inc. indicated that she was preparing to publish a study on the potential for exposure to benzene from products containing trace (less than 0.1%) levels of benzene. Her study will likely conclude that measured airborne concentrations of benzene during the handling or use of petroleum-derived products in the United States have typically not exceeded workplace standards since at least the early 1980's. The Williams’ study will also likely conclude that indoor air modeling shows that workplace exposures are likely to be minimal during the application of products containing trace levels of benzene. Finally, the Williams study will likely conclude that petroleum-derived products containing trace levels of benzene are not expected to produce 8-hour TWA airborne concentrations that exceed current regulatory standards under typical product use scenarios.

>> Continue Reading Posted In Environmental Litigation and Regulation , General Litigation , Toxic Tort Litigation
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Construction Law Litigation Strategies

by David K. Nelson

Much of the time of a construction lawyer is spent assisting clients in finding solutions to the many problems that befall the typical construction project. These problems range from simple contract preparation and negotiation to the more fact-intensive work of constructive defect litigation, surety claims, liens, and payment issues. Each construction project, no matter how complex or simple, involves the same basic issues:

• What is the scope of work that the parties agreed to?

• What documents or plans define the scope of work?

• How is the contractor to be paid for his work?

• How can the owner be assured that the contractor is doing the work properly?

• What is to be done when there are issues or problems with respect to any of the above?

The job of the construction attorney is to help chart a course through this minefield and ideally resolve issues without judicial intervention.

See the rest of the article here. It is an article of some heft, so give it a few seconds to open.  

Posted In Business and Corporate , Commercial Litigation , Construction Law , General Litigation
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Claims Against Corps of Engineers Set For Trial

by Erich P. Rapp

A case now pending in federal court in New Orleans may have an important impact on potential claims against the federal government for coastal land loss in Louisiana. 

Judge Duval has set the claims of numerous plaintiffs against the Army Corps of Engineers for trial beginning September 8, 2008. Plaintiffs contend the Corps contributed to flooding of their property in St. Bernard Parish and New Orleans during Hurricane Katrina.

>> Continue Reading Posted In Environmental Litigation and Regulation , General Litigation , Hurricane Katrina , Louisiana In General
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Appellate Procedure in Louisiana

Raymond Ward, who blogs at Appellate Law and Practice, an excellent overview of federal appellate decisions, offers free access to the materials he presented at the Louisiana State Bar Association's "Bridging the Gap" seminar offered last week in New Orleans. The materials include a concise and eminently useful outline of appellate procedure here, the amendments to the Uniform Rules of La. Courts of Appeal here, an article on how to write an appellate brief, and an article on calculating the deadline for filing an application for supervisory writs.

Posted In General Litigation
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Abandonment of a "Settled" Case?

by G. Trippe Hawthorne

A recent case out of Louisiana’s Fourth Circuit, Meyers v City of New Orleans, 2005-1142 (La.App. 4 Cir. 5/17/06) 932 So.2d 719, writ den., 2006-1530 (La. 9/29/06) --- So.2d ----, 2006 WL 2820822, found that a “settled” lawsuit had abandoned before the settlement was completed, leaving the plaintiff with no case to settle.

Louisiana civil procedure generally provides that a lawsuit is “abandoned” if no party takes a step in the prosecution or defense of the case for a period of three years. Louisiana Code of Civil Procedure article 561 and Clark v. State Farm Mut. Auto. Ins. Co.,  2000-3010, p. 5-6 (La. 5/15/01); 785 So.2d 779, 784 (La.,2001). Acts in the prosecution or defense of the case sufficient to interrupt abandonment typically require some positive action by a party reflected in the Court’s records and directed toward defending or prosecuting the case on the merits. The abandonment is self-effectuating, meaning that it occurs without any need for action by the Court or a party, but a party is entitled to an Order recognizing the abandonment and dismissing the case.

>> Continue Reading Posted In General Litigation
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New Court of Appeal Rules/E-Discovery

From Naked Ownership (hey, it's a genuine Louisiana legal phrase), a law blog maintained by Al Robert, Jr., Ernest Svenson, Raymond Ward, and Todd Slack, comes this post on changes to the Uniform Rules governing Louisiana Courts of Appeal. A copy of the new rules can be viewed here. 

As e-discovery continues its relentless assault upon stodgy traditions, it would behoove one to consider the Guidelines for State Trial Courts Regarding Discovery of Electronically-Stored Information, prepared by the Conference of Chief Justices (according to its website, their membership includes "the highest judicial officer of the fifty states, the District of Columbia, the Commonwealth of Puerto Rico, the Commonwealth of the Northern Mariana Islands, and the territories of American Samoa, Guam and the Virgin Islands."

Posted In General Litigation
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Louisiana Legislature Sets Time Limits for Rulings on Cases Taken Under Advisement and Applications for New Trials

by Tara E. Montgomery

The Louisiana legislature amended Louisiana Revised Statutes 13:4207 to provide additional time delays in which judges must render a judgment in cases taken under advisement and rule on applications for a new trial, as well restrictions regarding the manner in which the judgment must be rendered. 

>> Continue Reading Posted In General Litigation
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FIFTEEN LOCAL LAWYERS RECOGNIZED AS "BEST IN AMERICA" -- National Peer Review Directory Lists Fifteen Partners at Kean Miller Law Firm

Baton Rouge, LouisianaSeptember 8, 2006– Fifteen partners from Baton Rouge-based Kean Miller Hawthorne D’Armond McCowan & Jarman, LLP (Kean Miller) will be listed in the 2007 edition of The Best Lawyers in America (Woodward White, Inc.). Published biennially since 1983, The Best Lawyers in America is widely regarded as an important referral guide to the legal profession in the United States. The list is compiled through an exhaustive peer-review survey in which thousands of the top lawyers in the U.S. confidentially evaluate their professional peers.  

The referral guide is subscribed to by more than 4,000 of the leading law firms in the U.S. and abroad, and by more than 1,000 of the world’s largest corporations. Because lawyers are not required or allowed to pay a fee to be listed, Best Lawyers is a reliable, unbiased source of legal referrals.  

>> Continue Reading Posted In General Litigation
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Louisiana Legislature Enacts New Rules on the Preparation and Execution of Judgments

by Tara E. Montgomery

Louisiana Code of Civil Procedure Article 1916 no longer applies strictly to jury cases. House Bill No. 414, effective August 15, 2006, amended Article 1916 to apply to judge and jury trials, and to establish time delays for the preparation and execution of judgments, including contradictory motions, exceptions and compromise agreements. (Link to House Bill)

Former Article 1916 made a distinction between jury trials in which a general verdict was reached and those resulting in a special verdict. In the case of a general verdict, the judge was required to sign a judgment within three days of the verdict. For special verdicts, the judge was allowed unspecified time for deliberation, but was required to sign a judgment. 

Amended and reenacted Article 1916 extends the three day rule for judges in jury trials and no longer makes a distinction between general and special verdicts. Regardless of the nature of the verdict rendered, judges must prepare and sign a judgment within ten days of the jury’s verdict. Alternatively, amended Article 1916 gives judges express authority to order counsel for a party to submit a judgment for signature by the court within ten days of the verdict.

>> Continue Reading Posted In General Litigation
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Kean Miller Partner Wins Professionalism Award

Gordon D. Polozola was awarded the Michaelle Pitard Wynne Professionalism Award at the 2006 Annual Meeting of the Louisiana State Bar Association. The award was given to Gordon for his commitment to upholding the quality and integrity of the legal profession and his consideration toward peers and the general public. The award is presented annually to an individual who best exemplifies the courtesy, professionalism, and integrity displayed by the late Federal Magistrate Michaelle Pitard Wynne during her lifetime.

Posted In General Litigation
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Ten Kean Miller Partners Recognized as Leading Louisiana Lawyers by International Legal Researchers

U.K.-based market opinion guide interviews 4500 clients and lawyers for insight into leading United States and Louisiana lawyers.

Baton Rouge, Louisiana – August 8, 2006 – Ten partners from Kean Miller Hawthorne D’Armond McCowan & Jarman, LLP are listed in the 2006 edition of Chambers USA – America’s Leading Lawyers for Business. Chambers USA is widely regarded as the preeminent European referral guide for the U.S. legal profession. Compiled through exhaustive telephone surveys with over 4500 lawyers from Maine to Hawaii, the guide is based solely on market recommendation. Researchers spent one year canvassing clients and lawyers across the U.S. to obtain a consistent market view of which firms and attorneys are considered leaders in their field.

The Kean Miller lawyers listed in the 2006 edition of Chambers USA- America’s Leading Lawyers for Business include: G. William “Bill” Jarman (Litigation); Katherine W. King (Energy & Natural Resources); William R. “Bill” D'Armond (Employment); Ben R. Miller, Jr. (Corporate/M&A); Charles S. McCowan, Jr. (Environment); Melanie M. Hartmann (Employment); G. Blane Clark, Jr. (Corporate/M&A); Leonard L. Kilgore, III (Environment); Maureen N. Harbourt (Environment) and Isaac McPherson Gregorie, Jr. (Real Estate).

With more than 120 lawyers, Kean Miller is the largest law firm in the Capital Region. The firm maintains offices in Baton Rouge, New Orleans, Lake Charles, and Plaquemine, Louisiana. The firm serves clients in numerous industries including energy, petrochemical and chemical, technology and telecommunications, transportation, media and advertising, banking and finance, government and education, health care, admiralty and maritime, manufacturing, real estate, retail, construction and leasing.   The firm combines the talent and expertise of its lawyers into multi-disciplinary client and industry teams. These teams are comprised of seasoned legal professionals from a variety of disciplines who are equipped to identify legal and business needs and to develop superior service strategies that provide unmatched support to the client.

Posted In General Litigation
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Electronic Evidence Update for In-House Counsel:

by J. Eric Lockridge

In-house attorneys and their outside counsel know that the discovery provisions in the current Federal Rules of Civil Procedure are out of touch with modern business practice in the age of electronic documents and data. The United States Supreme Court recently approved amendments to the Rules that will help bring the discovery rules regarding electronic data into the modern era. Absent Congressional action, these amendments will go into effect on December 1, 2006. This blog article summarizes the much-discussed “safe harbor” provision and other changes that should make life a little easier for corporate counsel who must balance the risk of litigation with the realities of modern business.

>> Continue Reading Posted In General Litigation
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District Court Has Power To Replace Chronically-Tardy Juror with Alternate

In Hamilton v. Winder, 2006-0994 (La. 6/16/06), 2006 WL 1669429, the Louisiana Supreme Court held that the district court had the power under LSA-C.C.P. art. 1631(A) to "bump" a consistently tardy juror in the middle of trial and replace him with an alternate. Although Article 1769 states that "Alternate jurors...shall replace jurors who...become unable or disqualified to perform their duties," the Supreme Court held that the trial court did not have to determine that the sluggish juror in question was either "unable" or "disqualified" to perform his duties.

>> Continue Reading Posted In General Litigation
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Ad Hoc Judge Appointed to 18th JDC

by Robert E. Dille and Barrye Panepinto Miyagi

The 18th Judicial District Court in Louisiana (Iberville, West Baton Rouge and Pointe Coupee Parishes) has requested, and received, an ad hoc judge appointment. Judge Thomas W. Tanner has been appointed by the Louisiana Supreme Court to handle all asbestos cases. Ad hoc judges are used occasionally in asbestos cases and have been appointed for virtually all cases in the 19th Judicial District (East Baton Rouge Parish) and 4th Judicial District Court (Ouachita and Morehouse Parishes).

A copy of the order can be accessed here.
Download file

Posted In General Litigation
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Senate Passes Minimum Wage Legislation

by A. Edward Hardin, Jr.

The Louisiana Senate passed SB 700 by a vote of 20-18. SB 700 would set a state-wide minimum wage of $6.15 or $1.00 higher than the existing federal minimum wage. As written, SB 700 has several exceptions. The bill now goes to the House of Representatives for consideration. According to a story in the Baton Rouge daily, The Advocate, if SB 700 passes the House, Louisiana would join eighteen other states that have a minimum wage higher than the federal minimum wage.

Posted In General Litigation
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Class Action Notice, Federal Question Jurisdiction, Protection of Customer Data, Supreme Court Examines Reach of Clean Water Act

In Turner v. Murphy Oil USA, Inc., 2006 WL 286009 (E.D. La. 2006), a mass tort class action arising from a crude oil spill in Chalmette during Hurricane Katrina, Judge Fallon certified a class, and Murphy appealed that ruling. Pending the appeal, having denied a stay, Judge Fallon ordered notice to the class pursuant to Rule 23(c)(2) of the Federal Rules of Civil Procedure. Plaintiffs opposed affording an opt-out provision in the notice, on the basis that the definition of the class could be modified by the Fifth Circuit, thus requiring follow-up notice, but Judge Fallon thought it important to inform potential class members of the consequences of opting out immediately, in view of Murphy's ongoing settlement program.

>> Continue Reading Posted In General Litigation
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Two Recent Decisions of Note on Class Certification, Removal/Remand

In Wyeth, Inc. v. Gottlieb, 2006 WL 335602 (Fla.App. 3 Dist.), Florida's Third District Court of Appeal reversed the trial court's certification of a Prempro (conjugated estrogen and progestin) medical monitoring class. The court of appeal focused upon the "highly individualistic" nature of causation determination, which depended on individual characteristics and risk factors of the claimant, the dosage, the duration of consumption, other medications being taken, and knowledge of risks. The court also found that these considerations required individual customization of any medical monitoring plan. The evolution in what Wyeth knew, and warned about, over a 10-year period also strongly militated against class certification.

>> Continue Reading Posted In General Litigation
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Kean Miller Adds 12 Attorneys in Admiralty & Maritime, Construction, and Energy Practice Groups - New Orleans Office Triples in Size

Kean Miller is pleased to announce that 12 lawyers, formerly in the Admiralty & Maritime, Construction, and Energy practice areas with Lemle & Kelleher, LLP, have joined the firm in the New Orleans office.

"We are very excited to welcome these distinguished attorneys to our law firm. They are an outstanding resource for our clients. Our offices are located in Louisiana's major port cities --- New Orleans, Baton Rouge and Lake Charles -- and this esteemed group brings over 150 years of combined experience in maritime issues, admiralty law, marine insurance, oil & gas, drilling and exploration, pipelines, construction, and energy law to our clients." said Gary A. Bezet, managing partner of the 121-lawyer firm.

>> Continue Reading Posted In Class Action , Commercial Litigation , Environmental Litigation and Regulation , General Litigation , Legacy Oil Field Sites , Louisiana In General , Products Liability , Toxic Tort Litigation
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Potential Katrina Coverage Arguments

by Todd A. Rossi

Insureds have the burden of first establishing insurance coverage. Typically, that involves providing evidence of damage occurring during the policy period resulting from an accident. Hurricane Katrina and its consequences should easily meet these requirements. Once the insured establishes facts that would provide coverage, the insurers must show that a policy exclusion precludes coverage. In some instances, the insurers can rely solely on the policy language, but in other instances, the insurers may have to marshal facts that support one or more exclusionary provisions.

>> Continue Reading Posted In General Litigation , Hurricane Katrina
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Wind Versus Flood Coverage and Hurricane Katrina

By Mark D. Mese

Reproduced with permission from Class Action Action Litigation Report, Vol. 6, No. 21, pp. 795-797 (Nov 11, 2005). Copyright 2005 by The Bureau of National Affairs, Inc. (800-372-1033). http://www.bna.com

The damages caused by Hurricane Katrina in Louisiana, Mississippi, and Alabama constitute the largest natural disaster in U.S. history. Hurricane Katrina's impact on insurers and their policyholders have already set in motion what will probably be one of the largest legal and public policy storms to hit the United States in modern times. Nowhere will the storm be more evident than in disputes involving wind and water damage coverage.

The eye of the coverage storm is already manifesting itself in coastal areas of Louisiana, Mississippi, and Alabama.

>> Continue Reading Posted In Commercial Litigation , Environmental Litigation and Regulation , General Litigation , Hurricane Katrina , Louisiana In General , Real Estate , Toxic Tort Litigation
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Nature's Fury or Human Blunder? The 'Act of God Defense' in Louisiana

By Glenn M. Farnet

Reproduced with permission from Class Action Action Litigation Report, Vol. 6, No. 21, pp. 793-795 (Nov 11, 2005). Copyright 2005 by The Bureau of National Affairs, Inc. (800-372-1033). http://www.bna.com

Katrina has already spawned a hurricane of lawsuits. These suits include: suits by individuals who claim they were injured by hazardous substances that leaked from storage facilities, refineries, or pipeline facilities; suits by individuals who claim that oilfield production and pipeline activities caused wetland damage that exacerbated the effects of hurricane Katrina; and suits by individuals who claim faulty levees caused the widespread flooding that followed in the days after Katrina made landfall. All of these suits have a common thread: each will require the courts to determine whether the damages sued upon resulted from nature's fury or human blunder.

Louisiana, like many other states, recognizes the general principle that an "act of God" can be a complete defense to liability for negligence and strict liability claims. Louisiana courts have generally used a consistent definition of the term "act of God," but the application of that definition in the context of a specific event has not always been consistent or clear, particularly when the issue of contributing human fault is at play.

>> Continue Reading Posted In Class Action , Environmental Litigation and Regulation , General Litigation , Hurricane Katrina , Louisiana In General , Toxic Tort Litigation
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HB90 - Suspension of Prescription - Update

HB90, dealing with Governor Blanco's emergency orders suspending prescription, peremption, and legal deadlines, awaits final Senate passage. The Senate Judiciary A Committee adopted amendments which have not yet been incorporated into the latest version of the bill, but which should ultimately be included.

You can (and should) read the bill in its entirety here, together with the amendments by Senate Judiciary Committee A here.

Noteworthy aspects of the bill follow:

>> Continue Reading Posted In General Litigation
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Insurance Coverage for Defective Workmanship

By G. Trippe Hawthorne

A recent case out of Louisiana could be big news for general contractors, owners, and insurers. Louisiana's Second Circuit Court of Appeals agreed with a lower court's opinion that an upstream contractor was entitled to insurance coverage for the cost of repairing defective work performed by a subcontractor (Broadmoor Anderson v. National Union Fire Insurance of Louisiana).

>> Continue Reading Posted In Commercial Litigation , Construction Law , General Litigation , Louisiana In General
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Proposed Legislation at 2005 First Extraordinary Session

Here are a few of the proposed bills from the House dealing with some of the items on Governor Blanco's call list:

HB32 - providing for the suspension of performance of contracts due to impracticability of performance.


>> Continue Reading Posted In General Litigation
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The Lone Pine Order As a Case Management Tool for Complex Litigation

By Glenn M. Farnet

The past twenty years has seen a dramatic increase in the volume of mass tort and other forms of complex litigation. As the volume of litigation has grown, so too have the burdens on the judiciary and the litigants. To address this growing problem, it is imperative that modern adjudicatory tools be adopted to achieve the goal of securing the just, speedy, and inexpensive determination of every action. One such case management tool that has developed in the context of mass tort litigation - but that can be equally effective in other types of litigation - is the Lone Pine Order.

>> Continue Reading Posted In Class Action , Environmental Litigation and Regulation , General Litigation , Toxic Tort Litigation
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Louisiana Contracts and the Doctrine of Impossibility

By the Kean Miller Business Law Team

Many businesses in Louisiana are now assessing how Hurricane Katrina and Hurricane Rita have affected and will continue to affect their contracts with clients, vendors, partners, and others. This article provides some general guidelines that businesses can use to determine if and how their contracts' terms or Louisiana's commercial law may affect contractual rights and obligations in light of the hurricanes.

>> Continue Reading Posted In Business and Corporate , General Litigation , Hurricane Katrina , Louisiana In General , Real Estate
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Insurance Claims After Hurricane Katrina

By Mark Mese

Hurricane Katrina will undoubtedly go down in history as the worst natural disaster to hit the United States. The current estimated cost to repair damage from Hurricane Katrina caused has reached $50.0 billion, much of which may be covered by insurance. Hurricane Katrina will have enormous impact on policyholders and their insurers in Louisiana, Mississippi, and Alabama. Policyholders will need to act carefully and in some cases promptly to protect their rights under insurance policies providing coverage for environmental claims, business interruption claims, property loss claims, and general liability claims.

>> Continue Reading Posted In Business and Corporate , Commercial Litigation , Construction Law , Environmental Litigation and Regulation , General Litigation , Hurricane Katrina , Louisiana In General
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United States Eastern District Court Closes Until Further Notice

Per its website at http://www.laed.uscourts.gov, the United States District Court for the Eastern District of Louisiana has closed until further notice, and has suspended "all deadlines and delays in matters pending before this court...until ordered otherwise."

Posted In Class Action , Commercial Litigation , Constitutional Law , Environmental Litigation and Regulation , General Litigation , Hurricane Katrina , Labor and Employment Law , Louisiana In General , Products Liability , Toxic Tort Litigation
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Sales Tax Refund for Personal Property Destroyed By Natural Disaster

La. R.S. 47:315.1 permits the owner of personal property destroyed by a natural disaster (i.e., one declared by the President to warrant federal assistance) to obtain a sales tax refund under certain circumstances. According to the Louisiana Department of Revenue (http://www.rev.state.la.us/forms/taxforms/1362I(10_02).pdf), a claim can be made for "taxes paid on movables such as clothing, boats, appliances, furniture, etc.," but not fixed items such as carpeting, cooling systems, etc. You should read the referenced link for more information.

Persons suffering movable property losses must file a claim with the Department using Form 1362 (Natural Disaster Claim for Refund of State Sales Taxes Paid), Form R-1362I (Natural Disaster Claim for Refund - General Information), Form R-1362S (Natural Disaster Claim for Refund - Schedule), and Form R1363 (Refund of State Sales Taxes Paid on Titled Assets). The forms are available from the Department's website at www.rev.state.la.us under "Tax Forms" and the sub-heading "Sales Tax."

The full text of the statute follows:

>> Continue Reading Posted In General Litigation , Hurricane Katrina
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Consider Modification of Indemnity Agreements in Light of Louisiana Supreme Court Case

By Brad Myers

In light of the Louisiana Supreme Court's decision in the Suire case, businesses and industrial concerns may want to consider modification of their indemnity provisions in contracts in order to allow for the litigation of defense and indemnity claims during underlying tort litigation.

>> Continue Reading Posted In Environmental Litigation and Regulation , General Litigation
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Privileged Medical Records and La. R.S. 13:3715.1

From the indispensable newsletter of Professor Frank L. Maraist, sage non pareil at the Paul M. Hebert Law Center, comes a pointer to a recent First Circuit Court of Appeal opinion relating to protected medical records.

Article 510 of the Louisiana Code of Evidence establishes the basic privilege which protects a "confidential communication made for the purpose of advice, diagnosis or treatment" of a patient's "health condition between or among himself or his representative, his health care provider, or their representatives." This privilege belongs to the patient, to exercise or to waive, as he or she sees fit. Section 510(B)(2) lists a number of exceptions to the privilege.

In Moss v. State, 2004-2160 (La. App. 1 Cir. 6/24/05), 2005 WL 1490450, Ms. Smith and Mr. Moss were both killed in a head-on collision between their respective cars. Mr. Moss' survivors sued the Department of Public Transportation for a defective highway. The Department urged the comparative fault of the late Ms. Smith - whose estate was not a party to the lawsuit.

>> Continue Reading Posted In General Litigation
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Ernie the Attorney on E-Discovery

Ernie the Attorney recently posted an excellent article on e-discovery, noting the increase in lawyer/client sanctions and general anguish due to ignorance of the range of material subject to discovery, and then how to find it and organize it. Clearly not just about e-mails anymore, electronic discovery offers a huge opportunity for skillful exploitation by the knowledgeable. Woe betide those who think they can wait to learn about it AFTER they get served with a request for production.

Ernie also recommends Michael Arkfeld's blog Electronic Discovery and Evidence for continuing education on this ever-expanding problem area.

Posted In General Litigation
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