/raid1/www/Hosts/bankrupt/CAR

/raid1/www/Hosts/bankrupt/CAR_Public/100225.mbx C L A S S A C T I O N R E P O R T E R Thursday, February 25, 2010, Vol. 12, No. 39 Headlines * Correction re Halliburton Co. Story in Yesterday's Edition AMERICAN HONDA: C.D. Calif. Rejects Civic Hybrid Settlement AMERICAN INT'L: Shareholder, But Not Bondholder, Class Certified ENCORE MARKETING: Accused of Racketeering in New Jersey Suit GAMESTOP INC: Accused of Not Reimbursing Automobile Expenses HERTZ CORP: High Court Says HQ is Where Executives Are Located J.M. HALLOWEEN: Sued for Reneging on $500 Grocery Coupon Deal LOWER MERION: Ordered Not to Activate Student Laptop Web Cams ORSU METALS: Ontario Court Approves Class Action Settlement Pact PACIFIC INVESTMENT: High Court Rejects Class Certification Appeal SEATTLE SUPERSONICS: Preliminary Approval of $1.6 Mil. Settlement THIN CARE: Jillian Michaels' Defamation Suit Now Available TOYOTA MOTOR: Lieff Cabraser Files Sudden Acceleration Lawsuit TOYOTA MOTOR: Automaker's U.S. President Apologizes for Failures WILTON INDUSTRIES: Recalls Bristol & Martha Stewart Tea Pots ZENITH NATIONAL: Being Sold for Inadequate Price, Suit Claims ********* * Correction re Halliburton Co. Story in Yesterday's Edition ------------------------------------------------------------ In the Class Action Reporter's article yesterday entitled "“HALLIBURTON CO: Class Loses Second Bid to Secure Certificatio," we misstated that the firm of Wolf Haldenstein Adler Freeman & Herz were attorneys in the case. Wolf Haldenstein has no involvement in that case. AMERICAN HONDA: C.D. Calif. Rejects Civic Hybrid Settlement ----------------------------------------------------------- Chris Rizo at Legal Newsline reports that an otherwise dreary Monday in the nation's capital turned especially bright earlier this week for noted legal reformer Ted Frank after learning he helped to keep nearly $3 million out of the pockets of trial lawyers -- at least for now -- in True v. American Honda Motor Co., Case No. 07-cv-00287 (C.D. Calif.) (Phillips, J.). Mr. Frank, who runs the Washington-based Center for Class Action Fairness, had objected to a proposed settlement in a lawsuit against American Honda Motors Co. Inc. that alleged the car company defrauded thousands of consumers out of nearly $7,000 when they purchased the Honda Civic Hybrid instead of a conventional Honda Civic. Torrance, Calif.-based American Honda Motors Co. was originally sued in 2007 over mileage claims it made about its Honda Civic Hybrid, model years 2003 through 2008. The proposed settlement had called for $2.95 million to go to the plaintiffs' attorneys, while the 158,000 consumers they represented in the California case would get unlikely-to-be- redeemed coupons that could have been used toward the purchase of a new Honda or Acura. "These kinds of settlements are far too common," Mr. Frank told Legal Newsline on Tuesday, noting that class action settlements are supposed to provide meaningful relief to the class not just a fat check to trial lawyers pursing the case. Under the rejected settlement, to be eligible class members would have had to "follow a contorted procedure to claim their coupons," Frank's motion to the court said. He noted that the settlement would have required coupon recipients to watch a fuel economy video of unknown length, even if they no longer owned a Civic Hybrid. "This settlement recovers a pittance for the class, while plaintiffs' counsel is paid $2.95 million -- in cash, not DVDs or rebates," Mr. Frank quipped in his motion to U.S. District Court Judge Virginia Phillips in the Central District of California, urging her to reject the settlement. In a 66-page tentative order, she did just that. Litigation in the long-running case may now move forward, Mr. Frank said. Class counsel in the case was the Chimicles & Tikellis LLP firm in Haverford, Pa., Blecher and Collins of Los Angeles and the Washington firm of Cuneo Gilber & Laduca LLP. Mr. Frank's nonprofit Center for Class Action Fairness objected to the settlement in December on behalf of class member Robyn Major of Philadelphia, Pa. Under the proposed settlement, also opposed by 25 state attorneys general, the class members would have been able to choose between two rebate coupons. One would allow for a $1,000 rebate on the purchase of certain new Honda or Acura vehicles before Oct. 31, 2011, if the class member trades in their Civic Hybrid; or they could get a coupon that allows a $500 rebate with no trade-in requirement. A third option allowed class members to receive $100, but only if the class member complained about fuel economy to Honda before March of last year. "Class members who are signed into a long-term lease or who simply cannot afford to buy a new car are barred from any benefit whatsoever," Mr. Frank argued in court papers. Objecting to the proposed settlement were the attorneys general from Alabama, Alaska, Arizona, California, Colorado, Florida, Idaho, Illinois, Iowa, Maine, Michigan, Mississippi, Nevada, New Hampshire, New Jersey, New Mexico, Ohio, Oklahoma, Oregon, South Carolina, South Dakota, Tennessee, Texas, Vermont and West Virginia. AMERICAN INT'L: Shareholder, But Not Bondholder, Class Certified ---------------------------------------------------------------- Grant McCool at Reuters reports that a U.S. judge on Monday certified a class action lawsuit for stockholders, but not bondholders, against American International Group Inc. U.S. District Judge Deborah Batts denied a request by three Ohio state public pension funds to certify the class of bondholders against the giant insurer. The lawsuit filed in 2004 against AIG, former chairman and CEO Maurice "Hank" Greenberg, outside auditors PricewaterhouseCoopers LLP and several other corporate and individual defendants contends that false statements were made about the insurance giant's financial assets. Mr. Greenberg and another defendant General Re, already settled the claims. See Class Action Reporter, Feb. 27, 2009. The lawsuit claims AIG made "numerous and repeated material omissions and mistatements, including AIG's quarterly and annual financial statements" from October 28, 1999, to April 1, 2005. "Although we continue to believe that no class should be certified, we are pleased that the court refused to certify any bondholder claims and significantly limited the equityholder claims," AIG said in a statement. It said the firm, which was bailed out by the U.S. government in the wake of the financial meltdown, had already paid $800 million to a U.S. Securities and Exchange Commission fund to compensate investors, including those that are part of the alleged class in this lawsuit. The Plaintiffs in In Re: American International Group Inc Securities Litigation, Case No. 04-cv-08141 (S.D.N.Y.) (Batts, J.), are represented by: Thomas A. Dubbs, Esq. GOODKIND LABATON RUDOFF & SUCHAROW LLP 100 Park Avenue New York, NY 10017 Telephone: 212-907-0700 - and - Louis Gottlieb, Esq. GOLDMAN GRUDER & WOOD 200 Connecticut Avenue Norwalk, CT 06854 Telephone: (212) 907-0872 and the defendants are represented by: Steven Ian Froot, Esq. BOIES, SCHILLER & FLEXNER, LLP 570 Lexington Avenue New York, NY 10022 Telephone: (212)-446-2300 - and - George Abraham Zimmerman, Esq. SKADDDEN, ARPS, SLATE, MEAGHER & FLOM LLP Four Times Square New York, NY 10036 Telephone: (212) 735-2000 ENCORE MARKETING: Accused of Racketeering in New Jersey Suit ------------------------------------------------------------ Courthouse News Service reports that ProFlowers, Encore Marketing International, EasySaver Rewards, and Provide Commerce surreptitiously and fraudulently charge monthly fees to people who order from them, a class action claims in Newark Federal Court. A copy of the Complaint in Herbst v. Encore Marketing International Inc., et al., Case No. 10-cv-_____, docketed as Doc. 7821 in Case No. 33-av-00001 on Feb. 19, 2010 (D. N.J.), is available at: http://www.courthousenews.com/2010/02/22/CCA.pdf The Plaintiff is represented by: Jay J. Rice, Esq. Elliott L. Pell, Esq. NAGEL RICE, LLP 103 Eisenhower Parkway Roseland, NJ 07068 Telephone: 973-618-0400 GAMESTOP INC: Accused of Not Reimbursing Automobile Expenses ------------------------------------------------------------ Anthony Daniel, on behalf of himself and others similarly situated v. GameStop Corp., Case No. BC432231 (Calif. Super. Ct., Los Angeles Cty. Feb. 19, 2010), accuses the retailer of failing to reimburse store managers and assistant managers for their out- of-pocket expenses for the use of their personal vehicles as a requirement of employment, in violation of the California Labor Code. The Plaintiff is represented by: Caleb H. Liang, Esq. George R. Kingsley, Esq. Eric B. Kingsley, Esq. Darren M. Cohen, Esq. KINGSLEY & KINGSLEY, APC 16133 Ventura Blvd., Suite 1200 Encino, CA 91436 Telephone: 818-990-8300 HERTZ CORP: High Court Says HQ is Where Executives Are Located -------------------------------------------------------------- The Associated Press reports that the U.S, Supreme Court ruled Tuesday in Hertz v. Friend, No. 08-1107 (U.S.), that a corporation's principal place of business is where the company's executives work, not where the company's products are sold. The unanimous ruling by the high court likely will make it harder to sue out-of-state corporations in state courts, which are considered friendlier to class-action lawsuits than are federal courts. Hertz Corp. was sued in California state court by employees there seeking unpaid overtime and vacation wages. But the company, which keeps its headquarters in New Jersey, wanted the trial moved to federal court since the plaintiff and defendant would be from two different states. A federal judge sent the case back to state court, saying that because most of Hertz's business was done in California, that was the company's principal place of business, and the class action lawsuit should be heard there. The U.S. Circuit Court of Appeals for the Ninth Circuit in San Francisco agreed in Hertz v. Friend, et al., 297 Fed. Appx. 690, No. 08-80011 (9th Cir.). The Supreme Court overturned that decision, sending the case back to federal court. "We conclude that the phrase 'principal place of business' refers to the place where the corporation's high level officers direct, control and coordinate the corporation's activities," Justice Stephen Breyer wrote. "Lower federal courts have often metaphorically called that place the corporation's 'nerve center.' We believe that the 'nerve center' will typically be found at a corporation's headquarters." Before the High Court, Hertz is represented by: Frank B. Shuster, Esq. CONSTANGY, BROOKS & SMITH, LLP 230 Peachtree St., NW, Suite 2400 Atlanta, GA 30303-1557 Telephone: (404) 525-8622 and the Respondents are represented by: Robert J. Stein III, Esq. ADORNO YOSS ALVARADO & SMITH 1 MacArthur Place, Suite 200 Santa Ana, CA 92707 Telephone: (714) 852-6837 The trial court proceeding is Friend, et al. v. The Hertz Corporation, Case No. 07-cv-05222 (N.D. Calif.) (Chen, J.). J.M. HALLOWEEN: Sued for Reneging on $500 Grocery Coupon Deal ------------------------------------------------------------- Qiana Carswell, individually and on behalf of a class v. J.M. Halloween Sales, Inc., dba Mattress Zone Outlet, Docket No. 2010- CH-07533 (Ill. Cir. Ct. Feb. 22, 2010), asserts breach of contract claims and violations of the Illinois Consumer Fraud Act, 815 ILCS 502/2. Ms. Carswell says that Mattress Zone Outlet advertised in 2009 that she'd receive a $500 grocery coupon if she made a $599 purchase. She made the $599 purchase. She received the $500 coupon. She was then told she'd need to buy more merchandise. She was then told that the coupon was worthless because BBZ Resource Management, Inc., dba ClaimYourGroceries.com went bankrupt. Ms. Carswell is represented by: Daniel A. Edelman, Esq. Cathleen M. Combs, Esq. James O. Latturner, Esq. Zachary A. Jacobs, Esq. EDELMAN, COMBS, LATTURNER & GOODWIN, LLC 120 S. LaSalle St., 18th Floor Chicago, IL 60603 Telephone: (312) 739-4200 LOWER MERION: Ordered Not to Activate Student Laptop Web Cams ------------------------------------------------------------- Jeff Schreiber at Courthouse News Service reports that a federal judge late Monday ordered Lower Merion School District not to activate "any and all Web cams embedded in laptop computers issued to students," nor to take remote screen shots from them; and to preserve evidence; but not to contact any students or parents about the issues raised by a federal class action the families have filed. The class action came after a family claimed that an assistant principal told their son that the school district knew he "was engaged in improper behavior in his home, and cited as evidence a photograph from the Web cam embedded in minor plaintiff's personal laptop issued by the school district," according to the original complaint. U.S. District Judge Jan DuBois late Monday signed off on a Stipulation and Order signed by attorneys for the school district and the putative class. The class claimed in its Feb. 11 federal filing that Lower Merion School District had spied on students and their families through the "indiscriminant use of and ability to remotely activate the webcams incorporated into each laptop issued to students," without the knowledge or consent of students or parents. The school district last year issued 1,800 or more laptop computers to students at its two high schools. Judge DuBois held the Monday hearing on the plaintiffs' motion for an emergency restraining order and permanent injunction. Mark Haltzman, attorney for the lead plaintiffs, Harriton High School sophomore Blake Robbins and his family, filed the proposed restraining order on Friday. Judge DuBois' order covered Mr. Haltzman's major concerns, and some issues raised by counsel for the school district in his filing Monday. The order addressed five points of contention: 1. Lower Merion School District is prohibited from remotely activating any webcams embedded in laptop computers issued to students, or from remotely taking screenshots of the computers. The school district told The Associated Press last week that school officials had turned on students' Web cams 42 times in the past 14 months. The school district said it did so to try to find missing computers, not to spy on students. After Courthouse News broke the story, the school district assured parents that it would stop remotely accessing the students' Web cams, but Mr. Haltzman sought the court order to be sure. 2. While the putative class action is pending, the district and its employees will not contact any students or families of students who have been issued a laptop computer about the issues in the complaint. There are exceptions. The district may contact families about curricular and instructional matters, administrative matters not germane to the controversy, disciplinary matters, guidance counseling and report cards, so long as it is not related to issues connected with the lawsuit. The district's lead counsel Henry Hockheimer Jr. said in court Monday that the school has been bombarded with questions about the case. Mr. Hockheimer said the school has a practice of providing parents and students with district-wide e-mail updates on matters of importance to the administration. The updates, Mr. Hockheimer insisted Monday, are essential to Lower Merion School District's continuing function as a school district. "These are taxpayers," he said, "and the school district wants to keep its constituency informed." But Mr. Haltzman insisted in his motion on Friday and again in court on Monday that the school district is providing misleading information. Mr. Haltzman said that the day after the story broke, "The school principal denied the allegations over the loudspeaker, and this was before any investigation had been done." Judge DuBois ordered that if the school district wishes to provide an update on the pending action, a copy of any statement it issues must be provided with six hours advance notice to plaintiff's counsel, and shall be disseminated only with consent. The school district is free to provide "new software, software updates, or other such releases for the students' laptops ... but only after receiving written consent ... from plaintiffs' counsel, to ensure that such new software, software updates or releases will not alter or destroy evidence that may be needed as part of the litigation." Both parties must assess whether any software updates have that capability; if it is established that no harm can be done, then prior consent will not be needed. Most of the courtroom wrangling on Monday was to address that issue. The school district wanted to retain the ability to update district software and computers without restraint, citing concerns about viruses and other dangers. The class counsel was concerned that updates or other measures could result in spoliation of evidence. "We don't even know for sure what software they are using," Mr. Haltzman said. 3. The school district will preserve all electronic data, images and other media pertinent to the case. 4. The school district may maintain its practice of "taking possession of laptops that are currently possessed by students with appropriate authorization only at the end of the school year or in the events of breakage or other technical failure," but the school district must work with forensic consultants on both sides of the litigation in doing so. The parties must also cooperate with law enforcement authorities, the U.S. Department of Justice, the FBI or the Montgomery County District Attorney's Office with regard to preserving the data on those laptops. 5. Finally, the laptop in Mr. Robbins' possession will be turned over to a third-party forensic consultant, and the hard drive will be imaged via a mutually agreed-upon procedure. That consultant will also retain possession of the device throughout the case. A copy of the Honorable Jan E. DuBois' Feb. 20, 2010, Stipulation and Order in Robbins, et al. v. Lower Merion School District, et al., Case No. 10-cv-00665 (E.D. Pa.), is available at: http://www.courthousenews.com/2010/02/22/Robbins%20Order.pdf Blake J. Robbins, Michael E. Robbins and Holly S. Robbins, the Plaintiffs, are represented by: Mark S. Haltzman, Esq. Stephen Levin, Esq. Frank Schwartz, Esq. LAMM RUBENSTONE LLC 3600 Horizon Blvd., Suite 200 Trevose, PA 19053 Telephone: 215-638-9330 Lower Merion School District, the Board of Directors of Lower Merion School District and Christopher W. McGinley, the Defendants, are represented by: Arthur Makadon, Esq. Henry E. Hockeimer, Jr., Esq. Paul Lantieri III, Esq. William B. Igoe, Esq. BALLARD SPAHR LLP 1735 Market St., 51st Floor Philadelphia, PA 19103-7599 Telephone: 215-665-8500 ORSU METALS: Ontario Court Approves Class Action Settlement Pact ---------------------------------------------------------------- Orsu Metals Corporation, the London-based precious and base metals exploration and development company, disclosed that the settlement of the class action claim filed by Pysznyj against Orsu Metals Corporation (fka European Minerals Corporation), William G. Kennedy and James Cole on 2 June 2008 has been approved by the Ontario Superior Court of Justice. The settlement will become effective on 22 March 2010 after expiry of the 30-day appeal period. Given that no class members objected to the settlement, no appeal is expected. In addition the Company retains the right to cancel the settlement if too many class members opt out during the 60-day opt out period, which will commence no later than 5 April 2010. However, it is not expected that this right will need to be triggered. As reported in the Class Action Reporter on Dec. 2, 2009, Orsu Metals reached an agreement to settle the Claim for C$2.2 million, which is shared equally between the company and its insurer, which was subject only to the approval of the court. In entering into the Agreement, neither the Company nor any of the other defendants have made any admission of liability, wrongdoing or fault in relation to the Claim. The Claim relates to the announcement by EMC on 31 March 2008 that it was reviewing its accounting for derivatives to ensure compliance with certain provisions of the CICA Handbook and that it anticipated that such review would result in a restatement of EMC's interim financial statements for the first three fiscal quarters of 2007. The plaintiff served the Claim against the Company and its former CEO, William G. Kennedy, and CFO, James Cole, claiming general and special damages in the amount of CAD$50,000,000 and punitive damages in the amount of CAD$5,000,000. PACIFIC INVESTMENT: High Court Rejects Class Certification Appeal ----------------------------------------------------------------- Doug Halonen at Pensions & Investments reports that the U.S. Supreme Court Monday rejected without comment Pacific Investment Management Company LLC's appeal of a lower court ruling granting class-action status to a lawsuit claiming the money manager illegally manipulated the futures market for some 10-year Treasury notes. Traders who filed the lawsuit claimed they lost more than $600 million in 2005 because PIMCO artificially raised the price of the notes. The Supreme Court denied PIMCO's petition for a writ of certiorari filed in Pacific Investment Management Company LLC, et al. v. Hershey, et al., No. 09-517 (U.S.), seeking review of a July 2009 decision in Kohen, et al. v. Pacific Investment Management Company LLC, et al., No. 08-1075 (7th Cir.) that affirmed the granting of class-action status in Hershey, et al, v. Pacific Investment Management Company LLC, Case No. 05-cv-04681 (N.D. Ill.) (Guzman, J.). "PIMCO's attempt to derail this suit at the outset is ill-timed, ill-conceived and must fail," Appellate Court Judge Richard Posner wrote in the Seventh Circuit's decision. Granting class-action status in a lawsuit can create a huge potential liability for a defendant, increasing the pressure on the defendant to settle, Mr. Halonen says. Mark Porterfield, PIMCO spokesman, said the money manager had no comment. Before the High Court, PIMCO is represented by: Gregory G. Garre, Esq. LATHAM & WATKINS, LLP 555 11th Street, NW, Suite 1000 Washington, DC 20004 Telephone: (202) 637-2207 and Mr. Hershey is represented by: Christopher Lovell, Esq. LOVELL STEWART & HALEBIAN LLP 61 Broadway, Suite 501 New York, NY 10006 Telephone: (212) 608-1900 At the trial court level, PIMCO is represented by: Miles N. Ruthberg, Esq. Robert W. Perrin, Esq. LATHAM & WATKINS LLP 355 S. Grand Ave. Los Angeles, CA 90071-1560 Telephone: (213) 485-1234 - and - Paul V. Konovalov, Esq. LATHAM & WATKINS LLP 650 Town Center Drive, Suite 2000 Costa Mesa, CA 92626 Telephone: (714) 540-1235 - and - Sean M. Berkowitz, Esq. LATHAM & WATKINS LLP 5800 Sears Tower 233 South Wacker Drive Chicago, IL 60606 Telephone: (312) 876-7700 - and - William D. Marsillo, Esq. Marilyn C. Kunstler, Esq. Philip M. Bowman, Esq. David Boies, Esq. BOIES, SCHILLER & FLEXNER LLP 333 Main Street Armonk, NY 10504 Telephone: (914) 749-8201 - and - Jennifer Tan, Esq. William John Nissen, Esq. Mark R. Johnson, Esq. Eric Henry Grush, Esq. Thomas K. Cauley, Jr., Esq. SIDLEY AUSTIN LLP One South Dearborn Street Chicago, IL 60603 Telephone: (312) 853-7000 - and - Matthew L. Larrabee, Esq. DECHERT LLP One Maritime Plaza, Suite 2300 San Francisco, CA 94111 Telephone: (415) 262-4500 - and - David A. Kotler, Esq. William Gibson, Esq. DECHERT LLP Princeton Pike Corporate Center P.O. Box 5218 Princeton, NJ 08543-5218 Telephone: (609) 620-3294 - and - Blake T. Hannafan, Esq. HANNAFAN & HANNAFAN LTD. One East Wacker Drive, Suite 2800 Chicago, IL 60601 Telephone: (312) 527-0055 - and - Michael T. Hannafan, Esq. MICHAEL T. HANNAFAN & ASSOCIATES, LTD. One East Wacker Drive, Suite 2800 Chicago, IL 60601 Telephone: (312) 527-0055 - and - Nicholas Anthony Pavich, Esq. THE LAW OFFICES OF NICHOLAS A. PAVICH 190 S. LaSalle St., #850 Chicago, IL 60603 Telephone: (312) 233-2189 and the Plaintiffs are represented by: Peggy J. Wedgworth, Esq. MILBERG LLP 1 Penn Plaza, Suite 4800 New York, NY 10119 Telephone: (212) 631-8622 - and - Geoffrey M. Horn, Esq. Vincent Briganti, Esq. LOWEY DANNENBERG COHEN & HART, P.C. One North Lexington Avenue, 11th Floor White Plains, NY 10601 Telephone: (914) 997-0500 - and - Craig Essenmacher, Esq. LOVELL STEWART HALEBIAN, LLP 500 Fifth Avenue New York, NY 10110 Telephone: (212) 608-1900 - and - Matthew E. Van Tine, Esq. MILLER LAW LLC 115 South LaSalle Street, Suite 2910 Chicago, IL 60603 Telephone: (312) 332-3400 SEATTLE SUPERSONICS: Preliminary Approval of $1.6 Mil. Settlement ----------------------------------------------------------------- LawyersAndSettlements.com reports that a preliminary order approving the $1.6 million settlement of a class-action lawsuit between three former Sonics season ticket holders and Clay Bennett's Professional Basketball Club ownership group was issued last week by U.S. District Court Judge Richard Jones. The lawsuit stemmed from allegations that the PBC failed to honor its gaurantee to offer the fanes the same price and priority seats for three years when they renewed tickets prior to the 2006-07 season at KeyArena. See Class Action Reporter, Oct. 25, 2007. A final approval hearing is set for April 29, 2010 THIN CARE: Jillian Michaels' Defamation Suit Now Available ---------------------------------------------------------- As reported in the Feb. 12, 2010, edition of the Class Action Reporter, a plaintiff filed a class action lawsuit in California against Jillian Michaels, Thin Care International and Basic Research, accusing them of false advertising of a weight loss product. And, as reported in the Feb. 23, 2010, edition of the Class Action Reporter, Jillian Michaels, in turn, filed a defamation suit against the plaintiff's lawyer for statements she made to TMZ about the class action lawsuit. A copy of the Complaint in Michaels, et al. v. Harnett, et al., Case No. 100902653 (Utah Dist. Ct., Salt Lake Cty.) (Quinn, J.), is available at http://ResearchArchives.com/t/s?542f Ms. Michaels and ThinCare are represented by: James E. Magleby, Esq. Peggy A. Tomsic, Esq. Eric K. Schnibbe, Esq. MAGLEBY & GREENWOOD, P.C. 170 S. Main Street, Suite 850 Salt Lake City, UT 84101 Telephone: 801-359-9000 TOYOTA MOTOR: Lieff Cabraser Files Sudden Acceleration Lawsuit -------------------------------------------------------------- Robert J. Nelson, Esq., of the national plaintiffs' law firm Lieff Cabraser Heimann & Bernstein, LLP, on behalf of Sandra Livingston of Roosevelt, N.Y., filed a wrongful death lawsuit Monday seeking general and punitive damages against Toyota Motor Corporation for the death of her daughter Tyrene Livingston. On October 26, 2007, Tyrene's 2007 Toyota Yaris suddenly accelerated and crashed while she was driving on U.S. Route 30 in East Pittsburgh, Pennsylvania. Prior to the fatal accident, Tyrene Livingston was a promising 21 year-old graduate student who was pursuing her Master's Degree in Education at the University of Pittsburgh. Tyrene was a confident and inspirational young woman who often helped others and volunteered her time to assist disadvantaged students. "Tyrene was a wonderful and loving daughter who was and is loved by her family and friends. She was a leader, and she was ambitious, confident, encouraging, spiritual, unselfish, focused and respectful," stated her mother Sandra Livingston. "Tyrene would always go that extra mile when it came to helping others. As a student teacher she made her students feel important and special. Her goal was to pursue a career in education, ultimately to become a superintendent and make a difference in the lives of young people." "The complaint charges that Toyota for years was aware that its vehicles were susceptible to sudden unintended acceleration, leading to fatal accidents," stated plaintiffs' counsel Robert J. Nelson, Esq. "Yet, Toyota never made any significant changes to improve the acceleration and electrical systems of its vehicles, in spite of the availability of several safe and inexpensive modifications." "As difficult and painful as it is for me to go through this legal process, I feel it is necessary to do so. I hope that it will prevent another tragic death," Sandra Livingston explained. "Tyrene will not be coming back to us. Her death has been and continues to be most painful to bear, and if Toyota is at fault they should be held accountable and take responsibility for their mistake and make sure that it does not happen again." Allegations Against Toyota The complaint charges that beginning in the late 1990s, Toyota manufactured, distributed and sold vehicles with an electronic throttle control system ("ETC"). Unlike that of traditional throttle control systems, where a physical linkage connects the accelerator pedal to the engine throttle, in the ETC system, the engine throttle is controlled by electronic signals sent from the gas pedal to the engine throttle. A sensor at the accelerator detects how far the gas pedal is depressed and transmits that information to a computer module which controls the engine throttle. When Toyota first introduced the ETC, it continued to include a mechanical linkage between the accelerator and the engine throttle control. Beginning with the 2002 model year, Toyota began manufacturing and selling vehicles without such a mechanical linkage. Further, Toyota's ETC system fails to include a failsafe measure, known as brake-to-idle override, that is in use by other vehicle manufacturers. The brake-to-idle override instructs the ETC system to automatically reduce the engine to idle whenever the brakes are applied without success. "The complaint charges that the lack of these two safety systems -- the mechanical linkage between the accelerator and the engine throttle control, and the brake-to-idle override failsafe -- in millions of Toyota vehicles, including the 2007 Toyota Yaris that was being driven by Tyrene Livingston, played a direct role in preventing Tyrene from being able to bring her car under control, and ultimately led to her death," commented Mr. Nelson. The complaint was filed in federal court in Los Angeles as two of the primary defendants, Toyota Motor North America, Inc. and Toyota Motor Sales, Inc., are both California corporations with their headquarters located in Los Angeles. The complaint seeks general damages as well as punitive damages against Toyota for its failure to recall its vehicles due to a known, significant safety defect and refusal to take any steps to prevent sudden unintended acceleration accidents in order to increase its profits. The members of the legal team representing the Plaintiff in Livingston v. Toyota Motor North America, Inc., et al., Case No. 10-cv-_____ (C.D. Calif.), are: Elizabeth J. Cabraser, Esq. Robert J. Nelson, Esq. Todd A. Walburg, Esq. LIEFF, CABRASER, HEIMANN & BERNSTEIN, LLP 275 Battery Street, 29th Floor San Francisco, CA 94111-3339 Telephone: (415) 956-1000 About Lieff Cabraser Lieff Cabraser Heimann & Bernstein, LLP, is a sixty-plus attorney law firm that has represented plaintiffs nationwide since 1972. With offices in San Francisco, New York, and Nashville, Lieff Cabraser has a comprehensive and diverse practice, which includes representing persons injured and families of loved ones who died in auto accidents. Since 2003, The National Law Journal has selected Lieff Cabraser as one of the top plaintiffs' law firms in the nation. Lieff Cabraser represents persons across America injured in accidents involving Toyota and Lexus vehicles that suddenly accelerated. If you would like to learn more about your legal rights visit: http://www.usautoinjurylaw.com/cases/defects/acceleration/toyota-lexus.htm or call the Firm toll free at 1-800-541-7358 and ask to speak to attorney Todd Walburg. There is no charge or obligation for Lieff Cabraser to review of your case. TOYOTA MOTOR: Automaker's U.S. President Apologizes for Failures ---------------------------------------------------------------- James Lentz, the president of Toyota's U.S. operations, appeared before the House Energy and Commerce Committee Tuesday and apologized for the company's slow response to the sudden acceleration problem. Mr. Lentz also said that there's no with Toyota's electronic throttle control system. Mr. Lentz's testimony before the congressional panel is available at: http://energycommerce.house.gov/Press_111/20100223/Lentz.Testimony.pdf WILTON INDUSTRIES: Recalls Bristol & Martha Stewart Tea Pots ------------------------------------------------------------ The U.S. Consumer Product Safety Commission, in cooperation with Copco, a division of Wilton Industries Inc., of Woodridge, Ill., announced a voluntary recall of about 132,000 Copco and Wild Leaf Tea Co. Bristol model and Martha Stewart Collection(R) Enameled Steel Tea Kettles. Consumers should stop using recalled products immediately unless otherwise instructed. The handle on the tea kettle can come loose, posing a burn hazard to the consumer. The firm has received eight reports of the handle becoming loose or deformed. One minor burn to hands has been reported. This recall involves Copco and Wild Leaf Tea Co. Bristol model and Martha Stewart Collection(R) Enameled Steel Tea Kettles with enamel finishes in white, crŠme, blue, cobalt, sand, red and green. Pictures of the recalled product are available at: http://www.cpsc.gov/cpscpub/prerel/prhtml10/10146.html The recalled teapots were manufactured in Thailand and sold by mail order, online and by retailers nationwide, including Macy's and Linens 'n Things from October 2005 through January 2010 for about $35. Consumers should immediately stop using these tea kettles and contact Copco for a refund. For additional information, contact Copco toll free at (866) 255-9237 between 8:00 a.m. and 4:30 p.m., Central Time, Monday through Thursday, and between 8:00 a.m. and 3:00 p.m., Central Time, Friday, or visit the firm's Web site at http://www.copco.com/ ZENITH NATIONAL: Being Sold for Inadequate Price, Suit Claims ------------------------------------------------------------- Courthouse News Service reports that shareholders claim Zenith National Insurance is selling itself too cheaply, through an unfair process, to Fairfax Financial Holdings, for $38 a share or $1.4 billion, in Los Angeles Superior Court. One of the defendants is former FBI director William S. Sessions, who has served as a Zenith director since 1993. ********* S U B S C R I P T I O N I N F O R M A T I O N Class Action Reporter is a daily newsletter, co-published by Bankruptcy Creditors' Service, Inc., Fairless Hills, Pennsylvania, USA, and Beard Group, Inc., Frederick, Maryland USA. Gracele D. Canilao, Leah Felisilda and Peter A. Chapman, Editors. Copyright 2010. All rights reserved. ISSN 1525-2272. This material is copyrighted and any commercial use, resale or publication in any form (including e-mail forwarding, electronic re-mailing and photocopying) is strictly prohibited without prior written permission of the publishers. Information contained herein is obtained from sources believed to be reliable, but is not guaranteed. The CAR subscription rate is $575 for six months delivered via e-mail. Additional e-mail subscriptions for members of the same firm for the term of the initial subscription or balance thereof are $25 each. For subscription information, contact Christopher Beard at 240/629-3300. * * * End of Transmission * * *