A company providing check authorization services became the most recent target of data theft. An apparently "rogue and dishonest employee" recently stole personal and confidential information about approximately 2.3 million customers and then sold this data to various direct marketing companies leaving behind millions of possible identity theft victims. Although, other than for marketing...
In early May, I wrote about an example of a likely frivolous lawsuit. If you recall, the drycleaning business in that case lost a pair of pants and the Plaintiff originally demanded compensation totalling $65,000,000 even after the business compensated him for the lost pants. In my earlier posting, I suggested that our system of justice has legitimate safeguards to prevent frivolous litigation...
In an unfortunate series of events, recently two law firms and an insurance company client involved in coverage litigation concerning the aftermath of the 9/11 tragedy have been sanctioned a total sum of $1.25 million dollars. The judge sanctioned these parties for failing to disclose various key documents concerning applicability of insurance coverage and other discovery abuses which...
I received a few responses to my recent posting about the California Medical Injury Compensation Reform Act (MICRA) which present different perspectives on an emotionally charged tort reform debate. Thank you to those who commented. Although we do not necessarily share the same opinions, I appreciate your willingness to post your thoughts and believe that we can respectfully disagree on some...
This past week, the Arizona legislature passed a bill criminalizing mortgage fraud. Specifically, the bill criminalizes so-called cash-back financing in which a prospective buyer pays an artificially inflated price for a home, receives a loan for the high sales price, and pockets the difference between the loan amount and the actual residential home value. According to the Arizona Republic,...
GlaxoSmithKline operates as the world's second largest pharmaceutical company behind Pfizer. It markets a vast assortment of medication to treat patients with health problems and, according to its annual report for 2006, the diabetes medication Avandia is one of the top six pharmaceutical products it markets throughout the world, At 30th September 2006, GSK held second position in the world...
Ironically, Arizona Senator Jon Kyl recently invoked a tool to secretly object and withhold from consideration in the United States Senate a bill modifying the Freedom of Information Act. In contrast to Senator Kyl's initially secret actions, the legislation known as the Open Government Act had been drafted to make government activity less secret and more open to public scrutiny. Senator Kyl...
A few months ago, I shared a concern that, despite warnings about unnecessary risks of exposing social security numbers and other personal information to identity theft, the Maricopa County Recorder's Office continued to allow unfettered access to private confidential information on its web site. Thankfully, it appears that the County has been working toward a resolution of this problem. ...
Based upon increasing public pressure, yesterday lobbyist Michael Baroody removed his name from consideration to head the Consumer Product Safety Commission (CPSC). In another post, I questioned whether a lobbyist for the National Association of Manufacturers (NAM) should head an organization which has conflicting objectives. The National Association of Manufacturers lobbies on behalf of many...
If you believe that you have been defamed by a public official, should you have the right to file a defamation lawsuit? The Arizona Attorney General's office has asked the Arizona Supreme Court to decide this issue. In January, 2007, the Arizona Court of Appeals allowed a developer to sue Attorney General Terry Goddard for defamation when he informed the media that the developer:committed...
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