The Eagle Eats First
Experienced employment lawyers know that getting both sides to say "yes" to settlement is a complicated task. The 1996 amendments to the tax code eliminating the previous exclusion of emotional harm damages from taxable income complicated the already difficult question of how to maximize the value of limited dollars to encourage settlement. With fewer options to maximize the value of limited settlement dollars, ultimately the tax consequence of the settlement becomes everyone's problem.
'The Enemy of 40 is 30, Not 50'
The United States Supreme Court recently ruled that reverse age discrimination claims are not cognizable under the Age Discrimination in Employment Act, 29 U.S.C. ' 621 <i>et seq.</i> (ADEA) in <i>General Dynamics Land Systems Inc. v. Cline</i>, 124 S. Ct. 1236 (2/24/04). Writing for a 6-3 majority, Justice Souter concluded that "the enemy of 40 is 30, not 50." <i>Id.</i> at 1243. What does this mean for employers and employees?
Amendments to Local Rules Take Effect
The Local Civil Rules for the Southern and Eastern Districts of New York regarding motions for Reconsideration or Re-argument, and Statements of Material Facts on Motions for Summary Judgment, have been amended effective March 26, 2004.
Courts Expand on Meaning of 'Employee'
Are welfare recipients who participate in mandatory Work Experience Programs (WEP) protected by statutes such as Title VII and the FLSA? In an expansive reading of the definition of employees, two federal courts recently ruled that such "workers" are "employees" within the meaning of the federal statutory scheme and, therefore, may seek relief for discrimination at the workplace or for compensation for excess work.
When One Patent Application Begets 10
In last month's newsletter, we discussed the financial burdens pharmaceutical and biotech firms face due to the Patent and Trademark Office's (PTO) policy of restriction practice -- the restriction of a patent application to prosecution of a single claimed invention per filing fee. Now we look at ways potential patentees can economically work with these restrictions.
HHS Creates Task Force to Study Drug Importation
Health and Human Services Secretary Tommy G. Thompson announced on Feb. 26 that a task force had been created to advise and assist HHS in determining whether and how drug importation into the United States could be conducted safely. The Medicare Prescription Drug, Improvement and Modernization Act of 2003 (MMA) directed the HHS to lead a comprehensive study to be completed by December 2004, gauging both the positive and negative effects that can be expected on the health of American patients, on medical costs and on the development of new medicines if pharmaceutical products are imported into the United States from countries with lower drug prices.
Fraudulent Joinder
As most pharmaceutical and medical device products liability cases are based on state law claims, diversity jurisdiction may be the only way to obtain a federal forum. Plaintiffs often join non-diverse defendants, such as local doctors, hospitals, pharmacies, employees and/or sales representatives, in an attempt to defeat diversity jurisdiction and prevent removal of cases to federal court. Defendants -- who generally prefer to proceed in federal court -- may be able to remove such cases for fraudulent joinder using some of the following arguments.
Supreme Court Will Decide Whether Fair Use Defense Survives a Showing of Likely Confusion
On Jan. 9, 2003, the U.S. Supreme Court granted certiorari to decide whether a fair use defense to trademark infringement can trump a finding of likely confusion. <i>KP Permanent Make-Up, Inc. v. Lasting Impression I, Inc.</i>, 328 F.3d 1061 (9th Cir. 2003), <i>cert. granted</i>, 124 S. Ct. 981 (2004). The decision to grant certiorari in this case is especially interesting in light of other recent cases also from the Ninth Circuit in which certiorari was denied.
