DateArticle/Citation
June 2011

Title: Theft of Company Documents Upheld as Privileged Activity in New Jersey

Link: PDF

Synopsis:It is one thing to be sued by a former employee who is otherwise "out of sight/ out of mind". It is quite another thing to be sued by a current employee whose every day appearance in the work place can create quite a bit of unease for other employees and supervisors and can cause frequent headaches for anyone in upper management trying to maintain the status quo while the litigation is pending. But is maintaining the status quo possible when the employee violates company rules and steals confidential documents to help her case? Can the employee be fired or would that be retaliation? In a decision rendered on December 2, 2010, the New Jersey Supreme Court held that an employee who takes confidential documents from her employer, copies them and gives them to her attorney for use in prosecuting a pending discrimination case is privileged to do so and cannot be terminated because that amounts to retaliation which is prohibited by the New Jersey Law Against Discrimination (LAD).

May 2011

Title: Employer Liable for Discriminatory Motive of Supervisor

Link: PDF

Synopsis:In its March 1, 2011 opinion in Staub v. Proctor Hospital, 562 U.S. ___1315.Ct.1186, 2011 U.S. LEXIS 1900 (U.S. Mar. 1, 2011), the United States Supreme Court considered the circumstances under which an employer can be held liable for employment discrimination based on the discriminatory animus of a supervisor who influenced, but did not make, the ultimate employment decision. This theory of liability is known as "Cat's Paw" liability.1 In a Cat's Paw case, an employer is held liable for the discriminatory animus of a supervisor who was not charged with making the ultimate employment decision. In other words, the decision maker did not have a discriminatory motive in making the employment decision but unwittingly relied on information from someone who did, thereby rendering a decision tainted by discriminatory intent.

April 2011

Title: Storm Damage to Swimming Pool Not Covered by CGL Policy

Link: PDF

Synopsis:In a case of first impression, the New Jersey Superior Court Appellate Division interpreted the Commercial General Liability Exclusion j(5) to deny coverage to a swimming pool contractor for storm damage to the pool on which he was performing repair operations. Ohio Casualty Insurance Company v. Island Pool and Spa, Inc., --A.3d--, 2011 WL 408182 (N.J. Super A.D.).

February 2011

Title: Electronics and the Right to Privacy in the Workplace

Link: PDF

Synopsis: The issue as to whether employers may review and/or monitor private emails, web histories and other electronic communications of employees on company issued computers, cell phones, pagers and the like has been the subject of much debate. This article will review several aspects of this issue and explore the responsibility of management to prevent misuse of company resources; the privacy concerns of employees whose communications may be monitored; and what relevance it all has to the day-to-day operations of a business and compliance with state and federal laws.

April 2010

Title:Philadelphia Jury Awards $88.7 Million in Products Liability Case

Link: PDF

Synopsis: On April 6, 2010, in the matter of Pridgen v. Avco Corp., a Philadelphia jury awarded close to $89 million in compensatory and punitive damages in a products liability case involving a 1999 plane crash where four people died and another suffered serious injuries.

January 2010

Title:Social-Networking Websites: A Private School’s Guide to Social Media Policy

Link: PDF

Synopsis: The increased use of student blogs and social networking websites, such as Twitter, My-Space, FaceBook and You-Tube, has allowed students to express their opinions on a wide range of issues, whether factually correct or not.

January 2010

Title:Pennsylvania Supreme Court Clarifies Plaintiff’s Burden of Proof in the Malfunction Theory Case of Barnish v. KWI Building Co.

Link: PDF

Synopsis: The Pennsylvania Supreme Court unanimously ruled in Barnish v. KWI Building Co., 980 A.2d 535 (Pa. 2009), that a plaintiff may be precluded from relying on the malfunction theory where the product has functioned properly in the past.

January 2010

Title:Navigating the Medicare Secondary Payer Mandatory Reporting Requirements

Link: PDF

Synopsis: As we enter a new decade, it is incumbent upon employers and insurers to be familiar with their new obligations under the Medicare Secondary Payer Statute.

February 2009

Title: U.S. District Court Rules Phthalates Ban Applies to Children's Products in Inventory

Link: PDF

Synopsis: On February 5, 2009, United States District Judge Paul G. Gardephe issued a decision that will significantly affect manufacturers and retailers of children's toys and/or child care articles on February 10, 2009.

January 2009

Title: Independent Schools – Accommodating Students with Disabilities In Compliance With the ADA Amendments Act of 2008

Link: PDF

Synopsis: Angered at the way the U.S. Supreme Court has “narrowed the broad scope of protection intended to be afforded by the ADA”, Congress enacted the ADA Amendments Act of 2008 (ADAAA), which was signed into law by President Bush and became effective January 1, 2009. Not only was Congress expressly critical of the Court’s interpretations of the Americans with Disabilities Act of 1990 over the last 10 years, it specifically rejected the reasoning, requirements and standards enunciated in Sutton v. United Air Lines, Inc. and Toyota Motor Manufacturing, Kentucky, Inc. v. Williams. In attempting to undo the damage done by the U.S. Supreme Court, the ADAAA reiterates the purpose and intent of the ADA.

October 2008

Title: Emotional Distress Damages Awarded to Physically Unharmed Plaintiffs in Products Liability Action

Link: PDF

Synopsis: On August 19, 2004, members of the Coraopolis Volunteer Fire Department were operating a fire truck on the way to the scene of a reported alarm when the truck’s fire hose and nozzle came loose from the side of the truck and lodged itself under the tire of a parked car. Not realizing the hose line had become lodged under the parked car the truck continued on causing the hose line and nozzle to break free from the truck under tremendous pressure. The hose and nozzle then flew through the air with enough force to sheer a concrete bird feeder in half before hitting two young girls, killing one, Erin Schmidt, and seriously injuring the other, Joeylynne Jeffress.

October 2008

Title: Federal Judge in New Jersey Orders Award of 100% of Reasonable Attorneys’ Fees Despite Achievement of Only 50% of Relief

Link: PDF

Synopsis: District Judge Katharine S. Hayden of the District of New Jersey, applying New Jersey state law, awarded full attorneys’ fees to Plaintiff in its action seeking coverage under a National Union Directors and Officers liability insurance policy, even though it was held that National Union owed coverage for only two of the four counts in the underlying lawsuit. In Foodtown, Inc. v. National Union Fire Insurance Company of Pittsburgh, PA, Civ. Action No. 05-3627, 2008 WL 3887617, Foodtown sought coverage under its National Union D & O policy for claims asserted against it in a lawsuit filed by a corporate shareholder, Food King, Inc. After examining each of the four counts asserted in the underlying case against the language of the D & O policy, the District Court held that National Union owed indemnity coverage to Foodtown for only two of the four counts.

October 2008

Title: PA Federal Judge Disallows Third-Party Complaint In Complex Insurance Coverage Dispute

Link: PDF

Synopsis: District Judge Rufe has ruled in the Pennsylvania Eastern District that a 15 month delay is sufficient to deny the filing of a third-party complaint in an insurance coverage dispute potentially involving 10 different primary and excess insurers. In the case of Continental Casualty Co. v. Peerless Indus., Civil No. 06-4621, 2008 WL 4058698, Continental filed suit against Peerless, TIG Insurance Company, Century Indemnity Company and Fireman’s Fund Insurance Company seeking a declaration that it had satisfied its obligations to Peerless, and seeking contribution and indemnification from Century, TIG and Fireman’s Funds, for claims arising out of 40,000 underlying asbestos cases.

October 2008

Title: Reporting Suspected Child Abuse - Requirements for Public and Private Schools

Link: PDF

Synopsis: In April, Governor Rendell released Pennsylvania’s 2007 Annual Child Abuse Report. In spite of continuing efforts by the legislature, advocates, courts and professionals, nearly 4,000 children in Pennsylvania are victims of child abuse each year.i Last year 46 children died in Pennsylvania as a result of abuse.ii The number of children victimized each year demonstrates a continued need for vigilance by everyone who educates, cares for, and works with children. Child abuse is a problem that permeates our society at all levels. It is not a problem that exists only in economically depressed areas. The victims live in all 67 counties in the Commonwealth and one third of the 3,982 victims in 2007 lived in two parent families.

October 2008

Title: New Jersey Employer May Be Liable For Alleged Sexual Harassment by Co-Worker

Link: PDF

Synopsis: In a case of first impression, the Superior Court of New Jersey – Appellate Division allowed a female employee to proceed with her claim directly against the employer for alleged sexual harassment by a male co-worker despite the existence of a written anti-harassment policy. In Cerdeira v. Martindale-Hubbell, ---A.2d---, 2008 WL 4239213 (N.J.Super.A.D.), the Court found that the mere existence of a written policy is not sufficient to shield an employer from direct liability for sexual harassment by a co-worker.

September 2008

Title: Are Policyholders At Risk As Insurance Giant, AIG, Struggles To Stay Afloat?

Link: PDF

Synopsis: On September 15, 2008, in an effort to help shore up “the country’s largest commercial and industrial insurance company,” Gov. David A. Paterson announced that the state of New York would allow American International Group to borrow $20 billion from AIG subsidiaries, which are major insurance companies in the U.S. and internationally. State insurance regulations generally prevent this type of deal because the insurance companies need to have sufficient liquid assets to pay claims. If an insurance company does not have sufficient resources to pay claims, it cannot fulfill its obligations to policyholders, and it is the policyholders and taxpayers who ultimately pay the price. The announcement Monday took a bite out of the regulatory protection for AIG policyholders.

September 2008

Title: Organized Retail Crime Legislation Introduced in Congress

Link: PDF

Synopsis: In an effort to combat the ever growing problem of organized retail crime, three pieces of legislation have been introduced in Congress according to the database of federal legislation at GovTrack.us.

September 2008

Title: Illegal Questions Posed To Students According To ACLU Survey

Link: PDF

Synopsis: The Star-Ledger reported that the American Civil Liberties Union of New Jersey (ACLU) conducted a statewide survey and discovered that at least one-fifth of New Jersey public school districts ask students information concerning their immigration status as the students register for school. Specifically, the ACLU surveyed 516 of New Jersey’s 635 public school districts and found that 139 requested Social Security or immigration information of student-applicants and another 48 school districts “suggested” applicants provide this information as a prerequisite to enrollment.

August 2008 Title: Congress Approves – President Signs – The Consumer Product Safety Act of 2008

Link: PDF

Synopsis: On August 8, 2008, President Bush signed into law The Consumer Product Safety Act of 2008 thereby giving the Consumer Product Safety Commission (CPSC) the most comprehensive make-over it has seen since its creation in 1972. The Act is intended to give the CPSC more muscle by providing greater funding for capital improvements and for the hiring of more employees for product analysis and enforcement activities.
August 2008 Title: E-mail Communications: A Primer for Educators

Link: PDF

Synopsis: Misguided use of e-mail communication can be damaging to all members of the school community and can subject the school, teachers and administrators to unintended liability and costly litigation. It is important for all teachers and administrators to take care in sending e-mails related to students and issues affecting students. This update provides recommendations to help schools, administrators and teachers ensure that their professionalism and character will be reflected in their e-mail communications, while simultaneously promoting the health of their student/parent relationships and minimizing potential exposure for teachers, administrators and the school.
July 2008 Title: The Pennsylvania Supreme Court Set to Revisit Malfunction Theory in September 2008: Barnish v. KWI Building Co.

Link: PDF

Synopsis: The Pennsylvania Supreme Court will hear oral argument in September to address the effect of the continued successful use of a product on a plaintiff’s ability to withstand summary judgment under the malfunction theory of strict product liability. This will be the first time since the adoption of the malfunction theory evidentiary approach in Rogers v. Johnson & Johnson Products, Inc. that the Court considers this issue. The Supreme Court’s decision will have a significant effect on the defense of product defect claims and a manufacturer’s ability to obtain summary judgment in cases which would otherwise have been destined to go to the jury.
July 2008 Title: A Cautionary Tale: Affirmative Steps Can Avoid the Imposition of Sanctions When Complying with Electronic Discovery Obligations

Link: PDF

Synopsis: This update focuses on some crucial measures to protect against discovery violations and the imposition of sanctions when complying with electronic discovery obligations. One of the primary steps toward compliance is devising and implementing a record retention policy for electronic documents. Second, and equally as crucial, is implementing a “litigation hold” when an entity learns that litigation has been filed or reasonably anticipates litigation. Lastly, there must be compliance with the hold and all relevant information retained.
July 2008 Title: Pennsylvania’s Bad Faith Statute 42 Pa.C.S.A. § 8371 – After 17 Years Some Questions Answered

Link: PDF

Synopsis: Two decisions from the Pennsylvania Supreme Court issued in 2007 have put to rest at least two of the myriad questions that have intrigued insurance coverage practitioners for 17 years. In Ash v. Continental Ins. Co., the Court held that the two-year statute of limitations under 42 Pa.C.S.A. § 5524 applies to § 8371 bad faith claims. The Court, in deciding Toy v. Metropolitan Life Ins. Co., made it clear that 42 Pa.C.S.A. § 8371 provides a remedy both for first-party claims and third-party claims, an issue that has been the subject of some debate among practitioners.