Carol Tims filed a putative class action against LGE Community Credit Union, claiming that the bank breached its contract with her, and violated the federal Electronic Fund Transfer Act (“EFTA”), when it charged overdraft fees based on Tims’s “available balance”—which took into account pending debits—rather than her “ledger balance,” which did not. The district court…
Author: Valerie Sanders
Judge Tjoflat to Take Senior Status
Judge Gerald B. Tjoflat, the longest-serving federal judge in active service, has announced his intention to take senior status. Judge Tjoflat was appointed to the federal bench by President Nixon and to the then-Fifth Circuit by President Ford. In 1995, the Duke Law Journal published this tribute to Judge Tjoflat by Chief Justice Rehnquist, among…
“Once-Upon-A-Time” Injury Insufficient to Establish Article III Standing to Seek Declaratory and Injunctive Relief
The Eleventh Circuit has dismissed for lack of standing a trucking company’s suit for declaratory and injunctive relief against the Federal Motor Carrier Safety Administration (“FMCSA”). Flat Creek Trans., LLC v. Federal Motor Carrier Safety Admin., 2019 WL 2049770 (May 9, 2019). Flat Creek Transportation claimed that FMCSA had unfairly targeted the company for compliance…
SCOTUS Business Cases This Term (Part 2 – Arbitration)
The Court has several arbitration-related cases before it this term. Lamps Plus, Inc. v. Varela concerns whether the FAA permits a state-law interpretation of an arbitration agreement that finds a contractual basis for class arbitration without class arbitration’s being specifically mentioned. New Prime, Inc. v. Oliveira involves the FAA’s exception for “contracts of employment of seamen, railroad…
SCOTUS Business Cases This Term (Part 1 – Class Actions)
The Supreme Court’s October term is underway, and the Court has before it several class-action cases. Frank v. Gaos concerns the permissibility of cy pres relief in class action settlements; Home Depot v. Jackson the ability of a defendant in the original action to remove the action under CAFA; and Nutraceutical Corp. v. Lambert the availability of equitable exceptions to…
Federal Law Does Not Prevent Foreclosure Against Surviving Spouse of “Reverse-Mortgage” Borrower If Contractually-Authorized
The federal statute that prevents HUD from insuring a reverse mortgage that permits foreclosure while the borrower’s surviving spouse lives in the mortgaged property does not similarly prohibit the lender from foreclosing after the borrower’s death, as long as the foreclosure is otherwise permitted by the loan documents. Estate of Jones v. Live Well Fin.,…
Eleventh Circuit Reverses Sanctions Award Against FLSA Plaintiff
In Silva v. Pro Transp., Inc., __ F.3d __, 2018 WL 3801663 (11th Cir. Aug. 10, 2018) (per curiam), the Eleventh Circuit applied its prior decision in Slater v. U.S. Steel Corp., 871 F.3d 1174 (11th Cir. 2017 ) (en banc) (see our blog post here) to reverse a sanctions award against a FLSA plaintiff…
The Federal Medical Device Amendments Do Not Preempt All State-Law Claims
The Eleventh Circuit applied Florida law and the preemption provisions of the federal Medical Device Amendments of 1976, 21 U.S.C. § 360c et seq., to reverse the district court’s dismissal of some, but not all, of a plaintiff’s claims against the manufacturer of a hip-replacement device. Mink v. Smith & Nephew, Inc., 2017 WL 2723913…
Preclusive Effect of Engle Findings Against Tobacco Cases Does Not Violate Due Process
In a 7-3 decision, the Eleventh Circuit sitting en banc declined to overrule Walker v. R.J. Reynolds Tobacco Co., 734 F.3d 1278 (11th Cir. 2013), and held (again) that a jury’s negligence and strict liability findings in the Engle class action against tobacco companies may be given preclusive effect in follow-on individual cases without violating…
When Choosing a Policy with a “Prior Acts” Exclusion, Buyer Beware
Bank directors ended up with no insurance coverage in Zucker v. U.S. Specialty Insurance Co., 2017 WL 2115414 (11th Cir. May 16, 2017). The Eleventh Circuit, applying Florida law, applied a “prior acts” exclusion from D&O coverage to allegedly fraudulent transfers which were made after the policy’s inception date but which arose out of bank…