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Justices turn away GM appeal over ignition switches
Court Watch |
2017/05/12 06:04
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The Supreme Court on Monday turned away an appeal from General Motors Co. seeking to block dozens of lawsuits over faulty ignition switches that could expose the company to billions of dollars in additional claims.
The justices without comment left in place a lower court ruling that said the automaker's 2009 bankruptcy did not shield it from liability in the cases.
A federal appeals court ruled last year that GM remains responsible for ignition-switch injuries and deaths that occurred pre-bankruptcy because the company knew about the problem for more than a decade but kept it secret from the bankruptcy court.
The company had argued that well-established bankruptcy law allowed the newly reorganized GM to obtain the old company's assets "free and clear" of liabilities.
GM recalled 2.6 million small cars worldwide in 2014 to replace defective switches that played a role in at least 124 deaths and 275 injuries, according to a victims' fund set up by GM and administered by attorney Kenneth Feinberg.
The automaker has paid nearly $875 million to settle death and injury claims related to the switches. That includes $600 million from Feinberg's fund and $275 million to settle 1,385 separate claims. It also has paid $300 million to settle shareholder lawsuits. But many others are pursuing their claims in court.
After it emerged from the government-funded bankruptcy, the company referred to as New GM was indemnified against most claims made against the pre-bankruptcy company, known as Old GM. A bankruptcy court sided with the company in 2015, ruling that most claims against Old GM could not be pursued.
But the appeals court in Manhattan overturned most of that decision and said hundreds of pre-bankruptcy claims could go forward.
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Volunteers accompany US immigrants to court to allay fears
Court Line |
2017/05/11 06:03
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When Salvadoran immigrant Joselin Marroquin-Torres became flustered in front of a federal immigration judge in New York and forgot to give her asylum application, a woman she had just met stood up to provide it.
"Thank you," the judge said. "What is your relation to Joselin?"
"I am a friend," responded retired chemist Marisa Lohse, who has accompanied dozens of immigrants to such hearings.
Lohse is among hundreds of volunteers, including preachers, law students and retirees, who've stepped up to accompany people in the U.S. illegally to court hearings and meetings with immigration officials, guiding them through an often intimidating process.
Some of them say the accompaniment is more important than ever since Republican President Donald Trump expanded the definition of deportable offenses to include all immigrants living in the country illegally, giving rise to immigrants being apprehended during routine check-ins with Immigration and Customs Enforcement.
"We want to increase the accompaniment because the crisis is more severe. The pain, the fear, is bigger," said Guillermo Torres, from Clergy & Laity United for Economic Justice in Los Angeles.
The group escorts mostly women and children to immigration court hearings, where judges decide who can stay in the U.S. and who must leave. Volunteers also accompany immigrants who are required to periodically check in with federal agents because they have pending cases or have been ordered deported.
ICE said it didn't have national statistics on how often immigrants have been arrested during those check-ins. Immigration lawyers and advocacy groups said they believe such arrests are increasing. Trump has said the arrests and deportations are necessary to keep the country safe.
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Supreme Court says cities can sue banks under anti-bias law
Legal Focuses |
2017/05/09 06:04
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The Supreme Court ruled Monday that cities may sue banks under the federal anti-discrimination in housing law, but said those lawsuits must tie claims about predatory lending practices among minority customers directly to declines in property taxes.
The justices' 5-3 ruling partly validated a novel approach by Miami and other cities to try to hold banks accountable under the federal Fair Housing Act for the wave of foreclosures during the housing crisis a decade ago.
But the court still threw out an appellate ruling in Miami's favor and ordered a lower court to re-examine the city's lawsuit against Wells Fargo and Bank of America to be sure that there is a direct connection between the lending practices and the city's losses.
Miami claimed that Wells Fargo and Bank of America, as well as Citigroup, pursued a decade-long pattern of targeting African-American and Hispanic borrowers for costlier and riskier loans than those offered to white customers. The loans to minority homeowners went into default more quickly as well, the city said.
Wells Fargo and Bank of America appealed the ruling by the 11th U.S. Circuit Court of Appeals to the Supreme Court, arguing that cities can't use the Fair Housing Act to sue over reductions in tax revenues. The banks said the connection between a loan and the tax consequences is too tenuous. Citigroup did not appeal, though its lawsuit also would be affected by what the appeals court does in response to Monday's ruling.
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Indiana high court rejects appeal in malnourished teen case
Court Line |
2017/05/05 23:24
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The Indiana Supreme Court has declined to hear the appeal of a central Indiana woman who pleaded guilty to neglecting her 15-year-old granddaughter, who was found covered in feces and weighing only 52 pounds.
The court ruled unanimously last week not to accept transfer of the 56-year-old woman's appeal of a state Court of Appeals decision that upheld her 24-year sentence for pleading guilty to neglect and battery charges.
The Herald Bulletin reports her attorney, Rick Walker, says she can still seek post-conviction relief.
Firefighters called to the woman's Anderson home in December 2014 found her granddaughter malnourished, covered in feces and suffering from a skull fracture.
Her husband and her adult daughter also were convicted of neglect and other charges in the case and are serving prison sentences.
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Joaquin 'El Chapo' Guzman returns to court in drug case
Attorney News |
2017/05/05 23:23
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Mexican drug lord Joaquin "El Chapo" Guzman is returning to a Brooklyn courtroom Friday, a day after a judge rejected his request to be allowed in the general inmate population.
The 59-year-old defendant famous for twice escaping from prison in Mexico lost his bid Thursday to relax the terms of his confinement at a lower Manhattan lockup when U.S. District Judge Brian Cogan concluded that solitary confinement was appropriate.
Cogan said the U.S. government had good justifications for applying tough jail conditions on a man who escaped twice, including once through a mile-long tunnel stretching from the shower in his cell. But Cogan relaxed the restrictions known as Special Administrative Measures enough for Guzman to communicate with his wife through written questions and answers.
His lawyers said in a statement that it was "devastating" for Guzman and his wife that they will not be allowed jail visits.
Guzman was brought to the U.S. in January to face charges that he oversaw a multi-billion dollar international drug trafficking operation responsible for murders and kidnappings. He has pleaded not guilty.
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