A party negotiating an agreement may employ leverage or “arm-twisting” to consummate a transaction. At some point, however, tough business tactics may result in a claim of duress, jeopardizing the validity of the agreement. In Cableview Communications of Jacksonville, Inc. v. Time Warner Cable Southeast, LLC, the Eleventh Circuit considered such a claim, ultimately finding…
Court Declares Ratepayers’ Challenge to Jefferson County Bankruptcy Plan Equitably Moot
In Bennett v. Jefferson County, Alabama, 2018 WL 3892979 (11th Cir. Aug. 16, 2018), the Eleventh Circuit held that the doctrine of equitable mootness barred a challenge by ratepayers to Jefferson County’s bankruptcy plan, representing the first time the court has applied the doctrine to a Chapter 9 municipal bankruptcy. Jefferson County declared bankruptcy in…
Spirited Court Widens Circuit Split Over Who Decides Class Arbitrability
In Spirit Airlines, Inc. v. Maizes, 2018 WL 3866335 (11th Cir. Aug. 15, 2018), the Eleventh Circuit concluded that an arbitration agreement providing that the rules of the American Arbitration Association (“AAA”) will cover all disputes constitutes clear and unmistakable evidence that the parties intended for an arbitrator to decide whether class arbitration is available….
Eleventh Circuit Rejects Constitutional Challenge to Brookhaven Ordinance Regulating “Sexually Oriented Businesses”
In 2013, the City of Brookhaven enacted its code to “regulate sexually oriented businesses in order to promote the health, safety, and general welfare of the citizens of the City, and to establish reasonable and uniform regulations to prevent the deleterious secondary effects of sexually oriented businesses within the City.” The new code did not…
Defendant Sails to Victory in Trade Secret Case
In Yellowfin Yachts, Inc. v. Barker Boatworks, LLC, 2018 WL 3734344 (11th Cir. Aug. 7, 2018), the Eleventh Circuit upheld the dismissal of trade-secret claims related to the manufacture and sale of fishing boats. Yellowfin Yachts is a manufacturer of high-end fishing boats, allegedly known in the marketplace for the “swept sheer line” of their…
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…
A Default in Proceeding with Arbitration Does Not Necessarily Authorize a Default Judgment in Federal Court
In Hernandez v. Acosta Tractors Inc., 2018 WL 3761126 (11th Cir. Aug. 8, 2018), the Eleventh Circuit held that a party’s default in proceeding with arbitration after requesting it did not necessarily warrant entry of default judgment against that party in federal court. Julio Hernandez sued his former employer, Acosta Tractors, and two of its…
Foreign Companies Can Acquire U.S. Trademark Rights without Direct Sales to Consumers
Direct Niche, LLC v. Via Varejo S/A, 2018 WL 3687868 (11th Cir. Aug. 3, 2018), emphasizes that foreign companies can acquire trademark and service mark rights in the United States even without selling products directly to consumers domestically. Instead, contracts with third parties and publication of the mark are sufficient to confer rights. The Eleventh…
Failure to Comply with Rule 9(b)’s Particularity Requirement Dooms Claims under the False Claims Act
Payments by the AIDS Healthcare Foundation to an employee responsible for referring HIV-positive patients to healthcare services offered by the Foundation fall within the employee exemption to the Anti-Kickback Statute, 42 U.S.C. § 1320a-7b(b)(3)(B), according to the Eleventh Circuit’s decision in Carrel v. AIDS Healthcare Foundation, Inc., 2018 WL 3734278 (11th Cir. Aug. 7, 2018). …
Keep the Change: Eleventh Circuit Rejects Cab Companies’ Constitutional Challenge to Rideshare Ordinance
The Eleventh Circuit has affirmed the dismissal of taxi companies’ claims that a Miami-Dade County ordinance permitting rideshare services to participate in the for-hire transportation market constituted a taking of the cab companies’ property and/or a denial to them of equal protection. Checker Cab Operators, Inc. v. Miami-Dade County, 2018 WL 3721227 (11th Cir. Aug….