Successes
2008-2009 | Earlier Years
Lieff Cabraser Heimann & Bernstein, LLP is a sixty-plus attorney law firm with offices in San Francisco,
New York and Nashville. Our lawyers represent plaintiffs in individual lawsuits
and class actions across America in cases involving dangerous or defective
products; consumer, securities and investment fraud; employment discrimination;
overtime pay and ERISA violations; environmental damage and toxic exposures;
antitrust violations; aviation disasters; and the abuse of civil and human
rights.
For the past seven years, The National Law Journal has selected Lieff Cabraser
as one of the top plaintiffs' law firms in the nation. The National Law
Journal examined recent verdicts and settlements in class actions and individual lawsuits.
The editors also contacted plaintiff and defense counsel, as well as dozens
of corporate general counsel, asking them for the names of plaintiffs' litigation
firms that they would use and recommend.
The following is a summary of the outcomes of recent Lieff Cabraser cases.
For a comprehensive listing of our prominent cases, please see our firm
resume.
2009
In re Broadcom Corporation Derivative Litigation
On August 27, 2009, plaintiffs entered into a $118 million settlement with nominal defendant Broadcom Corporation, Broadcom's Special Litigation Committee and certain current and former officers and directors of Broadcom. This partial settlement of the action constitutes the second largest settlement ever of a stockholders' derivative action arising out of the stock option back dating scandal.
Plaintiffs continue to litigate against the non-settling defendants. The suit alleges defendants intentionally manipulated their stock option grant dates between 1998 and 2003 at the expense of Broadcom and Broadcom shareholders. By making it seem as if stock option grants occurred on dates when Broadcom stock was trading at a comparatively low per share price, stock option grant recipients were able to exercise their stock option grants at exercise prices that were lower than the fair market value of Broadcom stock on the day the options were actually granted. Richard M. Heimann is serving as court-appointed Lead Counsel in the action, and assisted by Lieff Cabraser attorney Joy A. Kruse.
Cruz v. U.S., Estados Unidos Mexicanos, Wells Fargo Bank, et al.
In 2001, Mexican farm and railroad contract workers known as "Braceros," Spanish for "strong arms," filed a class action lawsuit on behalf of themselves and others who came from Mexico to the United States pursuant to bilateral agreements from 1942 through 1946 to aid American farms and industries hurt by employee shortages. The agreements provided that ten percent of the Braceros' wages would be withheld from them and transferred via United States and Mexican banks to savings accounts for each Bracero. Plaintiffs claim they were never reimbursed for the portion of their wages placed in the forced savings accounts.
In February 2009, U.S. District Court Judge Charles Breyer granted final approval to a settlement of the case. Under the settlement, the Mexican government will provide a payment to Braceros, or their surviving spouses or children, in the amount of approximately $3,500 (USD).
In re John Muir Uninsured Healthcare Cases, Cincotta v. California Emergency Physicians Medical Group
The John Muir and California Emergency Physicians Medical Group cases were part of a series of successful class action lawsuits that stopped the exorbitant and unconscionable pricing of medical care for uninsured Californians. Lieff Cabraser attorney Kelly M. Dermody oversaw this litigation.
In John Muir, Ms. Dermody represented nearly 53,000 uninsured patients who received care at John Muir hospitals and outpatient centers and were charged inflated prices and then subject to overly aggressive collection practices when they failed to pay. In California Emergency Physicians Medical Group, Ms. Dermody served as class counsel for nearly 100,000 uninsured patients that alleged they were charged excessive and unfair rates for emergency room service across 55 hospitals throughout California.
The cases alleged that defendants charged excessive fees for medical care, charged uninsureds more than other patients for the same services, and engaged in price gouging against uninsured patients.
In John Muir, one of the cross-complainants in the litigation was John Redding who was taken to an emergency room at John Muir Health in 2004. Mr. Redding was uninsured. Following a brief examination and administration of pain relief injections, Mr. Redding was admitted for four days of further observation and a CT scan. After discharging Mr. Redding without any specific diagnosis or instructions for further medical care, John Muir Health billed Mr. Redding for $44,678.58. Two months later, John Muir Health’s outside collections agent sued Mr. Redding.
On November 19, 2008, the Court approved a final settlement of the John Muir litigation. John Muir agreed to provide refunds or bill adjustments of 40-50% to uninsured patients that received medical care at John Muir over a six year period, bringing their charges to the level of patients with private insurance, at a value of $115 million. No claims were required, so every class member received a refund or bill adjustment.
Furthermore, John Muir was required to:
- maintain charity care policies to give substantial discounts – up to 100% – to low income, uninsured patients who meet certain income requirements;
- maintain an Uninsured Patient Discount Policy to give discounts to all uninsured patients, regardless of income, so that they pay rates no greater than those paid by patients with private insurance;
- enhance communications to uninsured patients so they are better advised about John Muir's pricing discounts, financial assistance, and financial counseling services; and
- limit the practices for collecting payments from uninsured patients.
The Court approved the settlement in California Emergency Physicians Medical Group on October 31, 2008. The settlement provided complete debt elimination, 100% cancellation of the bill, to uninsured patients treated by California Emergency Physicians Medical Group during the 4-year class period. These benefits were valued at $27 million. No claims were required, so all of these bills were cancelled.
In addition, the settlement required California Emergency Physicians Medical Group prospectively to:
- maintain certain discount policies for all charity care patients;
- inform patients of the available discounts by enhanced communications; and
- limit significantly the type of collections practices available for collecting from charity care patients.
Both settlements are final and no appeals were taken.
Barnett v. Wal-Mart
On July 21, 2009, the Court gave final approval to a settlement valued at up to $35 million on behalf of workers in Washington State who alleged they were deprived of meal and rest breaks and forced to work off-the-clock at Wal-Mart stores and Sam's Clubs. In addition to monetary relief, the settlement provided injunctive relief benefiting all employees. Wal-Mart was required to undertake measures to prevent wage and hour violations at its 50 stores and clubs in Washington, measures that included the use of new technologies and compliance tools.
This lawsuit and similar actions filed against Wal-Mart across America served to reform the pay procedures and employment practices for Wal-Mart's 1.4 million employees nationwide. In a press release announcing the Court's approval of the settlement, Wal-Mart spokesperson Daphne Moore stated, "This lawsuit was filed years ago and the allegations are not representative of the company we are today."
Lieff Cabraser served as court-appointed Co-Lead Class Counsel.
2008
In re Bextra/Celebrex Marketing Sales Practices and Products Liability Litigation
Lieff Cabraser served as Plaintiffs' Liaison Counsel and Elizabeth J. Cabraser chaired the Plaintiffs' Steering Committee (PSC) charged with overseeing all personal injury and consumer litigation in Federal courts nationwide arising out of the sale and marketing of the COX-2 inhibitors Bextra and Celebrex, manufactured by Pfizer, Inc and its predecessor companies Pharmacia Corporation and G.D. Searle, Inc.
The litigation presented unique challenges, including two drugs with different regulatory histories and different liability issues, and the risk of dismissal on preemption grounds. Discovery was extensive, involving tens of millions of documents and over a hundred multi-day depositions. Under the global resolution of the multidistrict tort and consumer litigation announced in October 2008, Pfizer is paying at least $850 million, including over $750 million to resolve death and injury claims.
In a report adopted by the Court on common benefit work performed by the PSC, the Special Master stated:
[L]eading counsel form both sides, and the attorneys from the PSC who actively participated in this litigation, demonstrated the utmost skill and professionalism in dealing with numerous complex legal and factual issues. The briefing presented to the Special Master, and also to the Court, and the development of evidence by both sides was exemplary. The Special Master particularly wishes to recognize that leading counsel for both sides worked extremely hard to minimize disputes, and when they arose, to make sure that they were raised with a minimum of rancor and a maximum of candor before the Special Master and Court.
White v. Experian Information Solutions
Lieff Cabraser serves as Co-Lead Counsel in a nationwide class action lawsuit against the nation's three major repositories of consumer credit information, Experian Information Solutions, Inc., Trans Union, LLC, and Equifax Information Services, LLC. Plaintiffs charge that defendants violated the Fair Credit Reporting Act by recklessly failing to follow reasonable procedures in the reporting, and reinvestigation of reporting, of debts discharged in Chapter 7 bankruptcy proceedings.
In August 2008, the Court granted final approval to an historic settlement for injunctive relief requiring detailed procedures for the retroactive correction and updating of consumers' credit file information concerning discharged debts as well as new procedures to ensure that debts subject to future discharge orders will be similarly treated.
Amochaev, et al. v. Citigroup Global Markets, Inc., d/b/a Smith Barney
In August 2008, the Court granted final approval to a settlement of the gender discrimination case against Smith Barney. Lieff Cabraser represented Female Financial Advisors who charged that Smith Barney, the retail brokerage unit of Citigroup, discriminated against them in account distributions, business leads, referral business, partnership opportunities, and other terms of employment. The Court approved a four-year settlement agreement that provides for comprehensive injunctive relief and significant monetary relief of $33 million for the 2,411 members of the Settlement Class. The comprehensive injunctive relief provided under the settlement is designed to increase business opportunities and promote equality in compensation for female brokers.
R.M. Galicia v. Franklin; Franklin v. Scripps Health
Lieff Cabraser serves as Lead Class Counsel in a certified class action lawsuit on behalf of 60,750 uninsured patients who alleged that the Scripps Health hospital system imposed excessive fees and charges for medical treatment. The class action originated in July 2006, when uninsured patient Phillip Franklin filed a class action cross-complaint against Scripps Health after Scripps sued Mr. Franklin through a collection agency. Mr. Franklin alleged that he, like all other uninsured patients of Scripps Health, was charged unreasonable and unconscionable rates for his medical treatment.
In June 2008, the Court granted final approval to a settlement of the action which includes refunds or discounts of 35% off of medical bills, collectively worth $73 million.
Sullivan v. DB Investments
Lieff Cabraser attorneys William Bernstein, Joseph R. Saveri, and Eric B. Fastiff served as class counsel for consumers in antitrust class action litigation against the De Beers group of companies for conspiring to monopolize the sale of rough diamonds.
For sixty years, De Beers flaunted antitrust laws, and harmed American buyers of diamonds, by conspiring to artificially inflate the prices of rough diamonds sold in the United States. Despite the tremendous resources available to the U.S. Department of Justice and state attorney generals, it was only through the determination of plaintiffs' counsel that De Beers was finally brought to justice and the rights of consumers were vindicated.
In May 2008, the Court granted final approval to a nationwide settlement. In addition to De Beers' agreement to return $295 million of its ill-gotten gains to the classes, the historic settlement contains an injunction barring De Beers from continuing its illegal business practices and requiring De Beers to submit to the ongoing jurisdiction of the Court for enforcement of the injunction.
Grays Harbor Adventist Christian School v. Carrier Corp.
In April 2008, the Court approved a settlement worth $300 million for a class of consumers who had purchased certain Carrier furnaces. The plaintiffs alleged that the furnaces were made with inferior materials that caused them to fail prematurely. Under the settlement, consumers received an enhanced warranty and cash reimbursement for furnace repairs or replacements.
In re Guidant Implantable Defibrillators Products Liability Litigation
Lieff Cabraser attorneys Elizabeth J. Cabraser and Wendy R. Fleishman serve on the Plaintiffs' Lead Counsel Committee in litigation in federal court arising out of the recall of Guidant cardiac defibrillators implanted in patients because of potential malfunctions in the devices.
At the time of the recall, Guidant admitted it was aware of 43 reports of device failures, and two patient deaths. Guidant subsequently acknowledged that the actual rate of failure may be higher than the reported rate and that the number of associated deaths may be underreported, since implantable cardio-defibrillators are not routinely evaluated after death. In January 2008, the parties reached a global settlement of the action valued at $240 million.
Ricci v. Ameriquest Mortgage Company
Lieff Cabraser served as Plaintiffs' Lead Counsel for a certified class of Minnesota property owners who obtained mortgage loans from Ameriquest Mortgage Company. The Court approved a class action settlement involving allegations of predatory lending against Ameriquest Mortgage Company.
The lawsuit, brought by four Minnesota homeowners on behalf of over 8,700 Minnesota homeowners, asserted that over a nine-year period Ameriquest preyed on low-income consumers by charging them higher-than-promised interest rates, improper discount points, and undisclosed prepayment penalties when it sold mortgage loans to borrowers in Minnesota.
Guillot v. DaimlerChrysler
A Louisiana state jury found DaimlerChrysler liable for the death of infant Collin Guillot and injuries to his parents Juli and August Guillot and their then 3 year old daughter Madison. The jury returned a unanimous verdict of $5,080,000 in compensatory damages. The jury found that a defect in the Jeep Grand Cherokee's transmission, called a park-to-reverse defect, led to the death of the infant and injuries the family suffered. Lieff Cabraser served as co-counsel in the trial.
About Lieff Cabraser
Lieff Cabraser Heimann & Bernstein, LLP is a sixty-plus attorney law firm that has represented plaintiffs nationwide since 1972. We have offices in San Francisco, New York and Nashville. We represent plaintiffs in class and group actions and in individual lawsuits in cases involving substantial losses. For the last seven years, the National Law Journal has selected Lieff Cabraser as one of the top plaintiffs' law firms in the nation.
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