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Business Torts Updates

Read Business Torts updates, news, and legal commentary from leading lawyers and law firms:
Ward and Smith, P.A.

The Economic Loss Doctrine: A Valuable Shield for Lenders

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Sometimes, they may even accuse you of causing them harm through negligence, breach of contract, or even breach of fiduciary duty. While the typical borrower-lender relationship doesn't create a fiduciary duty, certain...more

Akin Gump Strauss Hauer & Feld LLP

Atkins-led SEC Recognizes that Conflicts of Interest must be “Material” in Complaint alleging Fraud and Breaches of Fiduciary...

SEC v. Nagler is the second enforcement action charging an investment adviser with undisclosed conflicts of interest since Chair Paul Atkins began his tenure on April 21, 2025. The Securities and Exchange Commission (SEC)...more

Loeb & Loeb LLP

Enos v. The Walt Disney Company

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District court grants Disney’s motion for summary judgment, holding it did not infringe plaintiffs’ copyright in blue-eyed ukulele-playing turtle character, but rather independently created its own musical turtle character,...more

Lathrop GPM

California Federal Court Denies Franchise CEO’s Motion to Dismiss Franchise Disclosure Claims

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A federal court in California recently declined to dismiss a former franchisee’s suit against Nadia Gruzd, the CEO and COO of AllMed Search, a healthcare recruitment franchise system. Pasture Gate Holdings, Inc. v. Gruzd,...more

Wiley Rein LLP

Supreme Court Blocks Mexico’s Gun Lawsuit: PLCAA Shields U.S. Firearm Makers from Litigation

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On June 5, 2025, the U.S. Supreme Court held unanimously, in Smith & Wesson Brands, Inc. v. Estados Unidos Mexicanos, that the gun-manufacturer and gun-distributor defendants sued by Mexico for negligence and related torts...more

DLA Piper

Supreme Court Declines to Decide Key Class Certification Issue

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On June 5, 2025, the US Supreme Court dismissed as improvidently granted a closely watched case that could have clarified whether federal courts may certify damages class actions under Rule 23 when the class includes both...more

Lathrop GPM

Arizona Federal Court Dismisses Franchisee’s Defamation Counterclaims Against Franchisor

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A federal court in Arizona recently dismissed a franchisee’s counterclaims for breach of contract, defamation, and injunctive relief against its former franchisor. LeTip World Franchise LLC v. Long Island Soc. Media Grp. LLC,...more

Lathrop GPM

California Federal Court Enforces Hotel Franchisor’s Arbitration Provision and Compels Arbitration

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A federal court in California recently granted a franchisor’s motion to compel arbitration and stay the lawsuit in a dispute alleging breach of contract, breach of the implied covenant of good faith and fair dealing, and...more

Perkins Coie

Notable Ruling Roundup - June 2025

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Our notable ruling roundup aims to keep our readers up to date on recent rulings in the food & consumer packaged goods space....more

Seward & Kissel LLP

Employment Litigation Roundup: May 2025

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Fifth Circuit holds six-month delay in ADA accommodation request was unreasonable - The Fifth Circuit Court of Appeals in Strife v. Aldine Independent School District partially reversed the lower court’s dismissal of an...more

Benesch

Update: Insulet Corp.’s Trade Secrets Jury Award Reduced From $452 Million to $59.4 Million to Avoid Double Recovery

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Following a recent trend to reduce large damages awards in trade secret misappropriation cases, a federal judge in Massachusetts cut Insulet Corp.’s damages award from $452 million to $59.4 million to avoid impermissible...more

Venable LLP

Paid Partnership Problems: Uptick in Influencer Class Actions and NAD Scrutiny

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As influencer marketing continues to dominate social media, the legal risks are catching up. In two recent class action lawsuits, companies and their social media influencers are facing allegations of deceptive advertising....more

Patterson Belknap Webb & Tyler LLP

Barton Strikes Again: Nominal “Individual” Claims Don’t Excuse Non-Compliance

Joshua Jordan was the CEO of Prehired LLC (“Prehired”), a “members-only workforce accelerator.” In December 2023, Jordan logged into Prehired’s Wells Fargo bank account online. He transferred $74,000 to the account of another...more

Shook, Hardy & Bacon L.L.P.

American Law Institute Endorses Novel Vicarious Liability Tort for Employee Sexual Assaults

In a controversial decision, the American Law Institute (ALI) approved a novel “Special Rule on Vicarious Liability for Sexual Assault” that endorses a new strict liability tort claim against employers for certain sexual...more

Steptoe & Johnson PLLC

Understanding the Impact on Employers of West Virginia’s Formal Recognition of Negligent Supervision Claims

In a recent important decision, the Supreme Court of Appeals of West Virginia formally recognized that a third party can sue an employer for negligent supervision of an employee, even if the employee’s intentional or reckless...more

Freiberger Haber LLP

Fraud and the Assignment of Lottery Winnings

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A claim for fraud requires “a material misrepresentation of a fact, knowledge of its falsity, an intent to induce reliance, justifiable reliance by the plaintiff and damages.” In First Trinity Life Ins. Co. v. Advance Funding...more

Epstein Becker & Green

Lamborghini Accused of Driving Away With Former Partner’s Trade Secrets

Prema Engineering S.r.l. (“Prema Engineering”) has accused automaker Automobili Lamborghini S.p.A. and Automobili Lamborghini America, LLC (collectively, “Lamborghini”) of stealing Prema Engineering’s intellectual property...more

Kelley Drye & Warren LLP

Two New Lawsuits Target Influencer Campaigns

Over the past few months, two firms have filed a series of class action lawsuits against a number of companies – including Celsius, Shein, and Revolve – over their influencer campaigns. Leveraging the same template, the firms...more

Fox Rothschild LLP

Wolfspeed, Durham-Based Semiconductor Producer, Fighting Financial Peril in the Market and Employee Exits in the Courts

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Wolfspeed, a Durham-based silicon carbide semiconductor business, has plenty on its plate these days amid media reports of an impending bankruptcy reorganization. While such a filing would be aimed at a short(ish) judicial...more

Ballard Spahr LLP

FTC enters into stipulated order to permanently ban Global Circulation, and its owner, from debt collection industry

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Alleging that Global Circulation, Inc. (GCI) threatened consumers with jail time, lawsuits, and wage garnishments to pressure them into paying debts they did not owe, the FTC entered into a stipulated order with GCI and its...more

Loeb & Loeb LLP

Walters v. OpenAI, L.L.C.

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Georgia state court grants summary judgment dismissing defamation claim targeting ChatGPT output accusing radio host of embezzlement, in light of disclaimers notifying users that ChatGPT sometimes generates inaccurate...more

Kohrman Jackson & Krantz LLP

Ohio Court Holds Non-Disclosure of Sewer Assessment Fraudulent in Real Estate Sale

A recent Eleventh District Ohio Court of Appeals decision (Bockelman v. Griffin) reminds us that: 1) fraudulent concealment/non-disclosure is an exception to the general real estate principle of “Caveat Emptor” (Let the Buyer...more

Offit Kurman

Workplace Violence: Why Employers Can’t Afford to Ignore the Warning Signs

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When employers think about workplace safety, the conversation often begins and ends with OSHA inspections or slip-and-fall prevention. But in today’s world, the most urgent threat to your workforce isn’t on the floor. It’s in...more

Ballard Spahr LLP

DE Chancery Court Curbs Inspection to Investigate Alleged Fraud

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In Scaramellino v. Arencibia Holdco, LLC, Delaware’s Chancery Court recently approved a limited liability company’s narrow production in response to a broad books and records inspection demand, despite the petitioner’s...more

Keating Muething & Klekamp PLL

Benefits Monthly Minute - May 2025

The May Monthly Minute brings you up-to-date on mental health parity enforcement relief, as well as smoker surcharge and prohibited transaction litigation. Nonenforcement of 2024 Mental Health Parity Regulations - Earlier...more

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