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U.S. Circuit Judge Pauline Newman, 97, in an interview with Reuters said she hopes the U.S. Supreme Court will eventually decide her case challenging her suspension from the bench following allegations that she is no longer fit to serve, our colleague Blake Brittain writes. Newman, appointed to the bench in 1984, is the oldest U.S. federal judge not to have taken part-time senior status.
Newman spoke to Brittain the day after a judge in Washington dismissed her lawsuit against her colleagues at the Federal Circuit over the suspension. Newman vowed to appeal. “I think it’s my obligation to stand up for the judiciary, to stand up for independent judges who happen to be disliked by their colleagues,” she said. The Federal Circuit’s chief judge said in orders last year that Newman had shown signs of serious cognitive and physical impairment and accused her of refusing to cooperate with inquiries into her mental health.
Newman said she sees parallels between her situation and that of President Joe Biden, 81, who is facing calls to step out of the presidential race amid concerns about his fitness. “In everything that’s been released by my opponents, their very first sentence states my age,” Newman said. “Even though one isn’t supposed to discriminate because of age, I imagine that that does sort of close the minds of a lot of people.”
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- Democratic U.S. Rep. Alexandria Ocasio-Cortez introduced articles of impeachment against conservative U.S. Supreme Court Justices Clarence Thomas and Samuel Alito, saying in a statement that Thomas and Alito’s “pattern of refusal to recuse from consequential matters before the court in which they hold widely documented financial and personal entanglements constitutes a grave threat to American rule of law.” The effort stands no chance of advancing in the Republican-controlled House of Representatives.
- After the resignation of Alaska U.S. District Judge Joshua Kindred, Representative Hank Johnson, the leading Democrat on the U.S. House of Representatives’ Subcommittee on Courts, said he planned to reintroduce legislation that would provide the federal judiciary’s more than 30,000 employees statutory protections against harassment, discrimination and retaliation. Johnson in a statement said the “troubling and disgusting behavior” outlined in the 9th Circuit Judicial Council’s investigation of Kindred “is unfortunately not new in the judiciary.”
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The 3rd Circuit ruled on Tuesday that the SEC cannot sidestep the stringent, four-part test for obtaining a preliminary injunction when it seeks to freeze the assets of a defendant in an enforcement action. Its decision explicitly rejects 2nd Circuit precedent that requires the SEC only to establish an inference that a defendant violated federal securities laws in order to freeze the target’s assets. Alison Frankel explains why the circuits split — and why the 3rd Circuit decision is the latest example of a court refusing to give special treatment to federal agencies.
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“Right now, the allegations against most defendants show only a failed bank and employees decamping to a better business opportunity.“
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—U.S. Magistrate Judge Laurel Beeler in San Francisco, who dismissed most of First Citizens BancShares’ $1 billion lawsuit accusing HSBC of poaching more than 40 employees of Silicon Valley Bank after its high-profile collapse. Beeler said she lacked the ability to hear some of the claims by First Citizens, which acquired Silicon Valley Bank when it failed last year, because they alleged conduct that occurred outside California. She also tossed claims against several HSBC entities and former Silicon Valley Bank employees who joined HSBC, saying First Citizens had not shown an illegal conspiracy to poach workers and trade secrets.
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- Christy Goldsmith Romero, the Biden administration’s nominee to chair the Federal Deposit Insurance Corporation, will testify before Congress. She is expected to be grilled on how she will overhaul the agency that has been rocked by a sexual harassment scandal, and about how she will handle a handful of high stakes rules curbing Wall Street banks. Romero, a Democratic member of the Commodity Futures Trading Commission, would succeed Martin Gruenberg as chair.
- U.S. District Judge Alvin Hellerstein in Manhattan will hold a status conference in the federal criminal case accusing Frank founder Charlie Javice of defrauding JPMorgan Chase into buying her college financial aid startup for $175 million. Frank’s former chief growth officer Olivier Amar faces related charges. Hellerstein on May 30 denied their efforts to dismiss the indictment. Javice and Amar have pleaded not guilty.
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Court calendars are subject to last-minute docket changes.
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- Honeywell did not violate workplace anti-discrimination laws by firing a white engineer who refused to participate in mandatory diversity, equity and inclusion training after the Black Lives Matter movement began, a 7th Circuit panel ruled. The appeals court found no proof that Honeywell retaliated against the employee after he complained a video he was supposed to watch on preventing unconscious bias in the workplace contained racist content.
- Supporters of a ballot measure that would amend Arizona’s constitution to establish a right to abortion sued Republican lawmakers over language in a pamphlet to be distributed to voters before they go to the polls in November, saying the document’s use of the phrase “unborn human” is not neutral. Arizona for Abortion Access in its lawsuit asked the Maricopa County Superior Court for an order requiring the Arizona Legislative Council to adopt “impartial” language like “fetus.”
- Archegos Capital Management founder Sung Kook “Bill” Hwang was convicted of fraud and other charges by a jury in Manhattan federal court at a criminal trial in which prosecutors accused him of market manipulation ahead of the 2021 collapse of his $36 billion private investment firm. The jury also convicted Archegos deputy Patrick Halligan. U.S. District Judge Alvin Hellerstein set the sentencing for Oct. 28.
- Montana’s top court appeared open to upholding a landmark ruling that found the state violated the rights of young people to a healthy environment by barring regulators from considering how new fossil fuel projects could affect climate change. Several justices on the seven-member Montana Supreme Court seemed skeptical of the Republican-led state’s contention that the 16 young people in the case lacked legal standing to challenge a restriction on the ability of agencies to consider greenhouse gas emissions when issuing permits.
- A 5th Circuit decision wiped out a NLRB ruling that had made it more difficult for employers to discipline workers who engage in profane, harassing or discriminatory conduct during a work-related dispute. The three-judge Republican-appointed panel in its opinion did not address the merits of the rule, but instead scolded the board for using the case to overturn a standard favored by business groups that was adopted in a 2020 case.
- A judge in California gave Tesla more time to build its defenses against a proposed class action accusing it of overcharging for insurance, after an outside lawyer for the electric vehicle maker at Hinshaw & Culbertson pointed to delays in collecting information. Attorney Min Kang also said the departure of a Tesla official was “complicating” the discovery process. The lawsuit was filed last year on behalf of Tesla insurance holders in 11 states.
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