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REUTERS/Aly Song/File Photo
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The lawyers who successfully sued to void Tesla CEO Elon Musk’s $56 billion pay package are seeking a record $6 billion in fees, and the judge who will decide the amount got some unsolicited new guidance from the state’s top court: Do not give windfalls.
In affirming a $267 million fee in a separate case, the justices cautioned that sometimes those types of paydays can “turn into a windfall.” Legal experts told our colleague Tom Hals the justices likely had in mind the Musk case overseen by Chancellor Kathaleen McCormick.
“They are making it clear, to McCormick and anyone else, that certainly an extremely high fee, an eye-popping fee, a ‘wow’ fee, is appropriate, but there is a line where it’s simply past what is necessary to incentivize high-risk cases,” said Ann Lipton, a professor at Tulane Law School.
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- Morgan & Morgan said an Arkansas lawyer is barred under federal law and state ethics rules from suing the national plaintiffs’ law firm in U.S. court and asked a judge to toss the case. The lawyer accused the firm of unfair and deceptive advertising practices that harm his own business.
- Oregon bar officials violated a conservative lawyer’s constitutional rights by publishing a statement critical of then-President Donald Trump in a magazine funded by members’ mandatory dues, an appeals court ruled.
- A U.S. judge in Virginia was asked not to sanction a lawyer who said he incorrectly cited cases and quotes based on a “good-faith reliance” on artificial intelligence tools.
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That’s the national average score on the multiple-choice part of the Multistate Bar Exam for July, up 1.3 points from July 2023, the National Conference of Bar Examiners said. That’s the highest average MBE score since 2013, with the exception of 2020 when the attorney licensing exam was modified due to the COVID-19 pandemic. First-time bar examinees on average have higher pass rates than repeaters.
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“He’s incredibly remorseful.“
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—Defense lawyer Matthew Binninger in California, speaking about his client, Dr. Mark Chavez, who was one of two doctors charged in the ketamine overdose of “Friends” star Matthew Perry. Chavez, charged with conspiracy to distribute the drug, was allowed last week to remain free after telling prosecutors he will plead guilty. Chavez as part of his bond conditions was ordered not to practice medicine.
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- Today, medical laser manufacturer Cynosure is slated to take rival Reveal Lasers to trial in federal court in Boston in a lawsuit accusing the startup of carrying out a “brazen” corporate raid of its sales and marketing staff. Cynosure is seeking millions in damages.
- On Wednesday, it’s “science day” for the U.S. District Judge Karen Marston and lawyers in multidistrict litigation in Philadelphia over the alleged side effects from diabetes and weight-loss drugs — including Ozempic, Wegovy and Mounjaro. The judge wants to hear about medical and scientific issues.
- On Thursday, U.S. District Judge Claudia Wilken in Oakland, California, will weigh preliminarily approving the NCAA’s historic $2.7 billion accord to compensate thousands of current and former student athletes. The accord faces opposition.
- Also on Thursday, U.S. District Judge Tanya Chutkan will hold the first hearing in the election interference case against Donald Trump since the government narrowed its case after the U.S. Supreme Court ruled former presidents have broad immunity from criminal prosecution.
- On Friday, the 2nd Circuit will hear Donald Trump’s appeal of the $83.3 million defamation verdict in favor of writer E. Jean Carroll, in a case that arose from his branding her a liar after she accused him of raping her decades ago.
- Also on Friday, U.S. District Judge Amit Mehta in D.C. will hold a hearing about the next steps in the DOJ’s Google search antitrust case. The judge ruled Google was an illegal monopoly, and will now weigh imposing remedies.
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Court calendars are subject to last-minute docket changes.
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- The two former Georgia election workers who won a $148 million judgment against Rudolph Giuliani filed a civil lawsuit accusing him of trying to use Florida law to shield a condo from the judgment.
- The three largest U.S. drug distributors agreed to pay $300 million to resolve claims by health insurers and benefit plans that they helped fuel the deadly U.S. opioid epidemic. The companies previously said they will pay $21 billion to settle claims by state and local governments.
- 3M, Corteva and Chemours are facing a new proposed class action over PFAS in carpeting, including claims they knew about — but covered up — the health effects of the so-called “forever chemicals.”
- Delaware’s highest court will hear an appeal by GSK and other drugmakers seeking to end more than 70,000 lawsuits claiming discontinued heartburn drug Zantac caused cancer.
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Tristan Axelrod of Brown Rudnick explains how HBO’s “Mildred Pierce” miniseries and other popular shows demonstrate the history of the U.S. Bankruptcy Code and the development of creditors’ committees. Read today’s Attorney Analysis.
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