Commercial Courtwatch | Week of 7/15/24

Chronicling business litigation from the Federal Courts of Appeals and Delaware

Antitrust | Plaintiff must plead/prove that antitrust exemption for union activity not apply. Second Circuit.

Arbitration | District court lacked power to compel Samsung to arbitrate consumers’ privacy claims after Samsung’s refusal to pay AAA’s fees. Seventh Circuit. 

Arbitration | Forum non conveniens not defense to enforcement of foreign arbitral award in US district court. Third Circuit. 

Class Actions | Class representative had standing to represent absent class members even if unclear whether class representative’s harms were analogous to those of other circuit splits. Fifth Circuit. 

Contract | Force majeure clause that impacted gas delivery during Winter Storm Uri didn’t require legal impossibility, but did require attempting to mitigate effect on performance. Fifth Circuit. 

Contract | Letter from public health department requiring shutting down of public gathering (not Covid-19 pandemic itself) was basis force maejure-based termination. Sixth Circuit. 

Copyright | No copyright protection for model building codes that were ultimately incorporated into law in Canada. Fifth Circuit. 

Copyright | No damages for copyright infringement based on foreign sales and damages need to be reduced by valued added to infringing products by infringer. Seventh Circuit. 

Debt | Whether foreign notes are valid hinges on law of issuer’s jurisdiction despite NY choice-of-law clause. Second Circuit. 

ERISA | Insurer permissibly denied life insurance benefits to survivors of mountaineer whose dead body was never recovered because unclear if death was “caused solely by an accident.” Eleventh Circuit. 

Ethics | Dismissal order vacated under 28 U.S.C. § 455 because judge’s wife owned stock in defendant corporation at inception of suit, but not at time of dismissal order. Second Circuit.  

Insurance | Only right of possession remains as insurable interest post-foreclosure proceeding. Seventh Circuit. 

Patent | Dismissal reversed because drug label + public statements sufficient to survive MTD because induced infringement because how statements are perceived is a factual question. Federal Circuit.  

Patent | Gaming patents found invalid under Alice. Federal Circuit.

Personal Jurisdiction | Website subject to personal jurisdiction in state where it sent marketing messages to ISP’s customers. Tenth Circuit. 

Securities | Breach of fiduciary duty was close common law analogous to Exchange Act’s “short-swing” profit provision, so no Art. III standing problem. Second Circuit.  

Trade Secret | Preliminary injunction vacated because trade secret imprecisely defined and injunction scope suffered from similar lack of imprecision. Federal Circuit.