/raid1/www/Hosts/bankrupt/CAR_Public/110429.mbx
C L A S S A C T I O N R E P O R T E R
Friday, April 29, 2011, Vol. 13, No. 84
Headlines
AMERICAN SUPERCONDUCTOR: Girard Gibbs Files Class Action
APPLE INC: Faces 2nd Suit Over Sale of "Game Currency" to Minors
BANKATLANTIC BANCORP: Wins Shareholder Class Action
BRONCO DRILLING: Faces Lawsuits Over Merger With Chesapeake-Nomac
CYBERSOURCE CORP: April 29 Class Action Settlement Hearing Set
DUCDUC LLC: Recalls 330 Fixed-Side Cribs
FRANSKTON, AUSTRALIA: May Face Class Action Over Smoking Ban
HEARTLAND AMERICA: Recalls 5,850 Wooden Stool
HOME DEPOT: Removes "Petersen" Song-Beverly Lawsuit to N.D. Calif.
JIAYUAN.COM INT'L: Fraud Class Action May Hamper U.S. IPO
MAJESTIC CAPITAL: Awaits OK of NY Self-Insured Group Settlement
MAJESTIC CAPITAL: Discovery and Motions in "FS Kids" Suit Stayed
MAJESTIC CAPITAL: Discovery and Motions in "Armstrong" Suit Stayed
MAJESTIC CAPITAL: Discovery and Motions in "Arlen" Suit Stayed
MAJESTIC CAPITAL: Discovery, Motions in "70 Sheldon" Suit Stayed
MAJESTIC CAPITAL: Faces Lawsuit Filed by "Three Brothers" in NY
MAJESTIC CAPITAL: Awaits Ruling on "Munter" Suit Dismissal Plea
MEAD JOHNSON: Settles Enfamil False Advertising Class Action
MIAMI, FL: 3-Year Suspension Imposed on Miami Lawyer
MRP REALTY: Faces Class Action Over Washington Harbour Flooding
NATIONAL WESTERN: Settles Annuities Class Action for $17MM
NIVS INTELLIMEDIA: May 31 Lead Plaintiff Deadline Set
SHENGDATECH INC: Holzer Holzer & Fistel Files Class Action
TORO COMPANY: Recalls 23,000 Toro Power Clear Snowblower
UNITED AIR: Judge Junks Blind Passengers' Class Action
UNITED STATES: Federal Circuit Won't Review VA Claims Guide
VERIZON COMMUNICATIONS: Accused of Breach of Contract
WASHINGTON POST: Iron Workers Fund Is Lead Plaintiff in Class Suit
ZST DIGITAL: Rosen Law Firm Files Securities Class Action
Asbestos Litigation
ASBESTOS UPDATE: Ladish Co. Involved in 12 Lawsuits in 3 States
ASBESTOS UPDATE: Navistar Int'l. Still Subject to Exposure Cases
ASBESTOS UPDATE: Thomas Records $1.3MM for Abatement at Dec. 31
ASBESTOS UPDATE: Hercules Offshore Still Has Aaron Case in Miss.
ASBESTOS UPDATE: Hauck Manufacturing Dragged in Exposure Suit
ASBESTOS UPDATE: EMC Insurance Posts $5.82MM Reserves at Dec. 31
ASBESTOS UPDATE: Sears Holdings Still Subject to Exposure Claims
ASBESTOS UPDATE: Target Still Subject to EPA's Inquiry on NESHAP
ASBESTOS UPDATE: Harbinger Still Involved in Miss., La. Lawsuits
ASBESTOS UPDATE: CenterPoint Resources Still Has Exposure Claims
ASBESTOS UPDATE: EnPro Records $23.3MM Expenses at Dec. 31
ASBESTOS UPDATE: EnPro Has $167.2MM Insurance Coverage at Dec. 31
ASBESTOS UPDATE: Reunion Industries Facing Lawsuits in 7 States
ASBESTOS UPDATE: Bondex, SPHC Subject to Bodily Injury Lawsuits
ASBESTOS UPDATE: 139 Claims Ongoing v. GenCorp Inc. at Feb. 28
ASBESTOS UPDATE: Tedeschi Penalized $30,100 for Safety Breaches
ASBESTOS UPDATE: Stewart Case v. 48 Firms Filed March 2 in W.Va.
ASBESTOS UPDATE: Withrow Lawsuit v. 136 Companies Filed March 28
ASBESTOS UPDATE: Lange Case v. 184 Firms Filed March 30 in W.Va.
ASBESTOS UPDATE: Spurlock Case v. 87 Firms Filed in Kanawha Co.
ASBESTOS UPDATE: Comeaux Action v. 17 Filed April 1 in Jefferson
ASBESTOS UPDATE: Judge Lawrence Rules v. Honeywell in Hoogerwerf
ASBESTOS UPDATE: Eagle Recycling to Pay $500T for Cleanup Breach
ASBESTOS UPDATE: Scottish Court Upholds "Pleural Plaques" Ruling
ASBESTOS UPDATE: Cleanup at Antique Alley in Iowa Costs $11,868
ASBESTOS UPDATE: Newlincs Penalized GBP5T for Safety Violations
ASBESTOS UPDATE: Middleboro to Get $140T for Asbestos Abatement
ASBESTOS UPDATE: Abatement at Quail Ridge Site Estimated at $88T
ASBESTOS UPDATE: Western Refining Has $5.48MM Dec. 31 Liability
ASBESTOS UPDATE: IntriCon Corp. Still Subject to Exposure Claims
ASBESTOS UPDATE: Chase Corp. Still Subject to Scott Case in Ohio
ASBESTOS UPDATE: Jansen Suit v. Chase Still in Discovery Stages
ASBESTOS UPDATE: M&F, Pneumo Abex et al. Ink Final Release Accord
ASBESTOS UPDATE: TOP Ships Subject to Potential Exposure Actions
ASBESTOS UPDATE: Behringer Harvard Posts $9.3MM AROs at Dec. 31
ASBESTOS UPDATE: MYR Group Subject to Asbestos-Related Lawsuits
ASBESTOS UPDATE: Dynegy Inc. Records $120MM Dec. 31 Obligations
ASBESTOS UPDATE: 1,540 Open Actions v. Standard Motor at Dec. 31
ASBESTOS UPDATE: Park-Ohio Facing 260 Injury Actions at Dec. 31
ASBESTOS UPDATE: Ore. Firm Fined $1,350 for Abatement Violations
ASBESTOS UPDATE: Hambicki Case Settled April 13 in Madison Court
ASBESTOS UPDATE: Trial in CSX Lawsuit v. Peirce Law Firm Ongoing
ASBESTOS UPDATE: Vera Action v. Chevron Filed April 11 in Texas
ASBESTOS UPDATE: Westborough Seeks $250T for Abatement Project
ASBESTOS UPDATE: London Police Seeks Extra C$1MM for Abatement
*********
AMERICAN SUPERCONDUCTOR: Girard Gibbs Files Class Action
--------------------------------------------------------
The law firm of Girard Gibbs LLP has filed a class action lawsuit
on behalf of investors of American Superconductor Corp. who
purchased American Superconductor common stock between Nov. 2,
2010, and April 5, 2011. The complaint charges American
Superconductor with violations of federal securities laws for
issuing false and misleading statements about the company's
business, operations, and prospects. Specifically, it is alleged
that the company was improperly recognizing revenue on certain
contracted shipments to its largest customer, Sinovel Wind Group,
and overstating revenues as a result.
American Superconductor Corporation is a power technologies
company providing wind turbine designs and electrical control
systems primarily in North America, Europe, and the Asia-Pacific.
The lawsuit, captioned Griffin v. American Superconductor Corp. et
al., 1:11-cv-10707, is pending in the United States District Court
for the District of Massachusetts.
The complaint alleges that defendants violated the Securities
Exchange Act of 1934 by issuing a series of misrepresentations and
omissions that actively concealed and failed to disclose that: (1)
American Superconductor was providing Sinovel with contracted
shipments in excess of its needs; (2) Sinovel was not paying
American Superconductor for certain contracted shipments; (3) The
company was continuing to provide Sinovel with contracted
shipments despite the fact that Sinovel had not been paying for
certain prior shipments. As a result, American Superconductor was
improperly recognizing revenue on certain contracted shipments to
Sinovel.
On April 5, 2011, American Superconductor announced that on the
last day of its fiscal year, Sinoval "refused to accept" shipments
of wind turbine components and spare parts that the company had
expected to deliver. In addition, that Sinoval had been refusing
to pay for certain contracted shipments made earlier in fiscal
year 2010, and that American Superconductor believed Sinovel
"intends to reduce its level of inventory before accepting further
shipments." The company announced that, as a result, its 2010
full year revenues would be less than $355 million, compared to
its previous forecast of $430 to $440 million, and full year
profits would be well below previous estimates. On the next
trading day, AMSC stock plunged nearly 42%, closing at $14.47 down
$10.41 from the previous day's close of $24.88.
Plaintiff seeks to recover damages on behalf of the class and is
represented by Girard Gibbs LLP. If you wish to discuss this
action or have any questions concerning your rights as an investor
in American Superconductor Corp., please contact Girard Gibbs LLP
(http://www.girardgibbs.com/american-superconductor.asp)or call
toll-free at (866) 981-4800. Any member of the putative class may
move the Court to serve as lead plaintiff through counsel of his
or her choice, or may choose to do nothing and remain an absent
class member. If you would like to serve as lead plaintiff in this
action, you must move the Court no later than June 6, 2011. A
copy of the complaint is available from the Court, or can be
viewed on Girard Gibbs LLP's Web site at
http://www.girardgibbs.com/american-superconductor.asp
Girard Gibbs LLP -- http://www.girardgibbs.com/-- represents
individual and institutional investors in securities fraud class
actions and litigation to correct abusive corporate governance
practices, breaches of fiduciary duty and proxy violations.
Contacts: Jonathan K. Levine, Esq.
Girard Gibbs LLP
Telephone: 415-981-4800
E-mail: jkl@girardgibbs.com
APPLE INC: Faces 2nd Suit Over Sale of "Game Currency" to Minors
----------------------------------------------------------------
Lauren Scott, et al., individually and on behalf of others
similarly situated v. Apple, Inc., Case No. 11-cv-01989 (N.D.
Calif. April 22, 2011), accuses Apple of selling "Game Currency"
to minors, without entering a password, and without the
authorization of their parents, whose credit cards or PayPal
accounts are automatically charged for the purchases, in breach of
California's contract laws, and in violation of the Consumer Legal
Remedies Act and Cal. Bus. & Prof. Code Sections 17200 et seq.
Business and Professions Code Sections 17200 et seq.
Apple is a market leader in the manufacture and sale of computers
and computing devices. It is also the leading seller of "Apps,"
i.e., software applications that users download on their mobile
computing devices. Among the many thousands of Apps that Apple
offers for sale are gaming Apps targeted at children. Although
numerous gaming Apps are offered for free, many such games are
designed to induce purchases of what Apple refers to as "In-App
Purchases" or "In-App Content," i.e., virtual supplies,
ammunition, fruits and vegetables, cash and other fake "currency,"
etc., within the game in order to play the game as it was designed
to be played.
Plaintiff Lauren Scott resides in Granbury, Texas with her husband
and their 3 1/2-year-old son. Ms. Scott permitted her son to
download onto her iPhone the "free" gaming App "Tap Zoo." Because
it said it was "free," Ms. Scott says she entered her password in
her iPhone, and handed the iPhone to her son. Within 60 seconds,
her account was charged $99.99 plus tax ($8.25) for such Game
Currency as a "Trunk of Coins."
The Plaintiff is represented by:
Jonathan Shub, Esq.
SEEGERWEISSLLP
1515 Market Street, Suite 1380
Philadelphia, PA 19102
Telephone: (215) 564-2300
E-mail: jshub@seegerweiss.com
- and -
Michael J. Boni, Esq.
Joshua D. Snyder, Esq.
BONI & ZACK LLC
15 St. Asaphs Road
Bala Cynwyd, PA 19004
Telephone: (610) 822-0200
E-mail: MBoni@bonizack.com
JSnyder@bonizack.com
- and -
Simon Bahne Paris, Esq.
Patrick Howard, Esq.
SALTZ, MONGELUZZI, BARRETT & BENDESKY, P.C.
One Liberty Place, 52nd Floor
1650 Market Street
Philadelphia, PA 19103
Telephone: (215) 575-3986
E-mail: sparis@smbb.com
phoward@smbb.com
- and -
Benjamin G. Edelman, Esq.
LAW OFFICES OF BENJAMIN EDELMAN
27A Linnaean Street
Cambridge, MA 02138
Telephone: (617) 359-3360
BANKATLANTIC BANCORP: Wins Shareholder Class Action
---------------------------------------------------
Doreen Hemlock, writing for Sun Sentinel, reports that a U.S.
District Court judge has rejected a jury verdict and ruled in
favor of Fort Lauderdale-based BankAtlantic Bancorp. in a class-
action suit brought on behalf of shareholders.
The decision will be appealed, said lawyers for the shareholders
on April 26. Their suit alleged the company misled investors.
The judge reversed a jury verdict that was made in November.
BankAtlantic Bancorp. will seek to recover millions of dollars in
legal fees plus other damages from the class-action group,
charging that its "frivolous" suit hurt the company and its stock
price, said the company's attorney, Eugene Stearns of Stearns
Weaver Miller in Miami.
"Honestly, this case is the poster child of securities law abuse.
It never should have been brought and never should have been
prosecuted," Mr. Stearns said on April 26. "The main message here
is hopefully, companies and people defending against these kinds
of suits will have a bit more guts to defend them," rather than
settling out of court to avoid legal costs or damage to their
reputation and share price.
At issue in the case are public statements that executives of
BankAtlantic Bancorp. made about the riskiness of loans from its
banking unit, BankAtlantic, as the Florida real estate market
crashed in 2007.
The New York law firm Labaton Sucharow, representing a group of
shareholders, filed a class action suit alleging 19 statements
were false and inflated the stock price.
The jury in Miami on Nov. 18 found some statements misleading and
awarded damages to affected investors in the amount of $2.41 a
share.
The company asked the court to review the jury verdict, insisting
the company's disclosures were truthful and the jury decision
would have a chilling effect on the ability of corporate
executives to speak on conference calls with analysts. Judge
Ursula Ungaro on April 25 overturned the jury decision.
"We are extremely surprised by the Judge's ruling and respectfully
disagree with it," attorneys for the shareholder group wrote by
email. The judge "upheld the jury's finding that BankAtlantic
made materially false and misleading statements . . . However, it
vacated the jury's verdict on a technical matter relating to
expert testimony, which, again, we respectfully disagree with,"
they wrote on April 26.
BankAtlantic Bancorp. Chairman Alan Levan said he was "very
pleased" with the judge's decision. "BankAtlantic lost money and
Bancorp's stock price declined largely because of the collapse of
the Florida real estate market, a risk that was fully disclosed,"
he said.
Shares in BankAtlantic Bancorp. closed flat on April 26 at 89
cents a share on the New York Stock exchange.
BRONCO DRILLING: Faces Lawsuits Over Merger With Chesapeake-Nomac
-----------------------------------------------------------------
Bronco Drilling Company, Inc., is facing class action lawsuits in
connection with its merger with Chesapeake Energy Corporation and
Nomac Acquisition, Inc., according to the Company's April 22,
2011, Form 8-K filing with the U.S. Securities and Exchange
Commission.
On April 14, 2011, Bronco Drilling Company, Inc., a Delaware
corporation, entered into an Agreement and Plan of Merger with
Chesapeake Energy Corporation, an Oklahoma corporation, and Nomac
Acquisition, Inc., a Delaware corporation and an indirect wholly
owned subsidiary of Chesapeake (Merger Sub), pursuant to which (i)
Merger Sub has agreed to commence a cash tender offer to purchase
all of the issued and outstanding shares of common stock of the
Company; and (ii) following the consummation of the Offer, (a) if
Merger Sub, Chesapeake or any of their subsidiaries hold, in the
aggregate, at least 90% of the total outstanding shares of common
stock, par value $0.01 per share, of the Company, the parties will
cause the merger of Merger Sub with and into the Company to become
effective without a meeting of the stockholders of the Company in
accordance with Section 253 of the General Corporation Law of the
State of Delaware or (b) if stockholder adoption of the Merger
Agreement is required under Delaware law, the Company will hold a
meeting of its stockholders for the purpose of adopting the Merger
Agreement and the parties will cause the merger of Merger Sub with
and into the Company following such adoption. After the Merger,
the Company will continue to exist as a wholly owned subsidiary of
Chesapeake. Consummation of the Offer and the Merger is subject
to the satisfaction or waiver of a number of customary closing
conditions including, among others, the absence of injunctions or
orders permanently restraining, enjoining or otherwise prohibiting
the Offer or the Merger.
On each of April 18, 2011, and April 19, 2011, the Company was
served with a purported class action lawsuit filed in the District
Court of Oklahoma County, Oklahoma against the Company, current
members of the Company's Board of Directors, including its Chief
Executive Officer, and Chesapeake. On April 20, 2011, the Company
was served with a purported class action lawsuit filed in the
Court of Chancery of the State of Delaware against the Company,
the Individual Defendants, Chesapeake and Merger Sub. The Class
Actions, each brought by a purported stockholder of the Company,
seek certification of a class of all of holders of the Company's
common stock and allege, among other things, (1) the Individual
Defendants have breached and continue to breach their fiduciary
duties to the plaintiff and the other stockholders of the Company,
(2) the Offer and the Merger are unfair to the public stockholders
of the Company as the proposed transactions underestimate the
value of the Company, (3) the Individual Defendants are pursuing a
course of conduct that does not maximize the value of the Company,
and (4) Chesapeake and Merger Sub aided and abetted the breaches
of duties by the Individual Defendants. The Class Actions seek,
among other things, an injunction prohibiting consummation of the
Offer and the Merger, attorneys' fees and expenses, and rescission
or damages in the event the proposed transactions are consummated.
The Company believes the Class Actions are entirely without merit
and intends to defend against them vigorously.
If additional similar lawsuits are filed or the filed pleadings
are amended, the Company says it does not intend to announce the
filing of any similar suits or amendments unless they contain
allegations that are substantially distinct from those made in the
pending actions.
CYBERSOURCE CORP: April 29 Class Action Settlement Hearing Set
--------------------------------------------------------------
Amelia Flood, writing for The Madison St. Clair Record, reports
that Madison County Circuit Judge William Mudge is set to hear
arguments on April 29 in favor of the settlement of a nine year-
old class action against CyberSource Corporation.
Lead plaintiff Brian Wilgus and CyberSource moved for the approval
of their settlement, worth $575,000.
The hearing is set for 9:00 a.m.
The class includes 69 former employees of PaylinX Corporation who
had stock option rights under a 2000 stock option plan at the time
CyberSource acquired Paylin X.
The class alleges that CyberSource breached the terms of the 2000
Paylin X plan and prevented the class members from asserting their
rights to purchase additional stock shares and to establish timely
E-Trade accounts after the merger.
The class was certified in 2004.
While CyberSource had won summary judgment in the case in January
2008, the Fifth District Appellate Court reversed former Madison
County Circuit Judge Daniel Stack's decision in August 2009.
The parties then reached the current settlement in March of this
year.
According to the proposed settlement agreement, the defendant will
pay a total of $575,000 plus interest earned while the funds are
held in escrow.
The settlement will be allocated, minus attorney's fees and the
incentive fee to Mr. Wilgus, based upon each class members' share
of the total potential damages.
That share will be calculated by finding the difference between
the $10.75 value of CyberSource's stock on Sept. 18, 2000 and the
class member's outstanding options and then dividing it by the
total sum of all the class members' potential damages. That sum
will then be multiplied by the net settlement proceeds to
determine what each class member gets.
The settlement does not spell out what amounts Wilgus or the class
counsel, Korein Tillery LLC, will receive.
CyberSource does not admit fault under the settlement.
The settlement suggests that the defendant will not object if the
court finds that class counsel's fees total up to 29 percent of
the aggregate settlement fund.
Two class members have opted out of the class.
John Libra, of Korein Tillery's Chicago office, is lead counsel
for the class and Mr. Wilgus. Howard Becker, the plaintiff's
former attorney, withdrew March 22.
Alan Goldstein represents the defense.
The case is Madison case number 02-L-995.
DUCDUC LLC: Recalls 330 Fixed-Side Cribs
----------------------------------------
The U.S. Consumer Product Safety Commission, in cooperation with
ducduc llc, of New York, N.Y., announced a voluntary recall of
about 330 fixed-side cribs. Consumers should stop using recalled
products immediately unless otherwise instructed.
The bottom rails on the crib sides can separate from the sides
when the mattress is in the lowest position, causing the spindles
to separate and the mattress to drop. This poses fall and
entrapment hazards for young children.
The manufacturer has received five reports of separated rails. No
injuries were reported.
This recall includes ducduc fixed-side cribs with the model names
and item codes ending in 2009, 2010 and 2011 listed below. The
name "ducduc" and the item code can be found on a label located on
the mattress panel.
AJ Austin Cabana Campaign Parker
-- ------ ------ -------- ------
AJ.C100.X. A.C100.X. CA.C100.X. C.C100.X. P.C100.X.
2009 2009 2009 2009 2009
AJ.C100.X. A.C100.X. CA.C100.X. C.C100.X. P.C100.X.
2010 2010 2010 2010 2010
AJ.C100.X. A.C100.X. CA.C100.X. C.C100.X. P.C100.X.
2011 2011 2011 2011 2011
"X" is the month of manufacture (1 through 12)
Pictures of the recalled products are available at:
http://www.cpsc.gov/cpscpub/prerel/prhtml11/11737.html
The recalled products were manufactured in United States and sold
at ducduc New York showroom, online at http://www.ducducnyc.com/,
at specialty stores and through interior designers nationwide from
January 2009 through February 2011 for between $1,500 and $1,800.
Consumers should stop using these cribs immediately if the
mattress is in the lowest position. Consumers should contact
ducduc, if the company has not already contacted them, for a free
repair kit which includes new crib sides. Ducduc is contacting
each customer directly. In the meantime, parents are urged to
find an alternate, safe sleeping environment for their child, such
as a play yard, bassinet or toddler bed, depending on the child's
age.
For additional information, contact ducduc at (212) 226-1868
between 9:00 a.m. and 5:00 p.m., Eastern Time, or visit the firm's
Web site at http://www.ducducnyc.com/
FRANSKTON, AUSTRALIA: May Face Class Action Over Smoking Ban
------------------------------------------------------------
Mike Morris, writing for Frankston Weekly, reports that a
Frankston trader is urging other angry shop owners to join him in
a legal class action against Frankston Council over its smoking
ban -- which has become permanent in the trial zone and may be
greatly extended.
Glen Cooper, of Cooper's Patisserie in Shannon Street Mall, told
the Weekly that he and neighboring coffee shop and juice bar
proprietors have suffered substantial loss of trade since the
council introduced its smoke-free outdoor area trial in designated
areas in November.
He says the legal action will claim that traders whose businesses
fall within the ban zone have been discriminated against and
restricted in their trading.
"I think [legal firm] Slater & Gordon would be most interested in
taking this case. If it had been a blanket ban across the
shopping centre I would have copped it sweet. But customers are
going to where they can smoke."
Making a submission at last Monday week's council meeting,
Mr. Cooper said traders around Shannon Street Mall had put off at
least 20 staff since the bans came into effect. He had let go
five staff since he bought the shop, formerly L'Opera coffee shop,
in October last year.
He said if he knew the bans were coming into effect in November,
he would not have proceeded with the deal.
Mr. Cooper told councilors his income had dropped by $1500 a week.
"You've restricted our trade. You've allowed smoking to continue
in [nearby] Wells Street," he said.
That night the council was considering a report on the
controversial six month trial to ban smoking in designated areas
in the central activities district -- Shannon Street Mall, Station
Street Mall, the western side of Young Street between Wells and
Station streets, Stiebel Place and Gallery Lane.
The report stated that the trial had seen a dramatic reduction in
the levels of smoking in the zones, on-line feedback indicating 38
people were in support of the trial and 16 opposed.
Those who supported the bans wanted them expanded, ranging from a
blanket ban to car parks, within 10 meters of shop entries, at the
Young Street taxi rank, in Wells Street and on the foreshore.
HEARTLAND AMERICA: Recalls 5,850 Wooden Stool
---------------------------------------------
The U.S. Consumer Product Safety Commission, in cooperation with
Heartland America, of Chaska, Minn., announced a voluntary recall
of about 5,850 Wooden Stool. Consumers should stop using recalled
products immediately unless otherwise instructed.
The legs and seat of the stool can crack and break, causing the
consumer to fall.
Heartland has received 11 reports of incidents, including seven
reports of injuries. Injuries include one person with a head
laceration.
The stool is a an adjustable-height solid wood, 3-legged stool
sold unassembled. The seat is 11 3/4-inch diameter. The stool
height adjusts from 17 inches to 25 inches. A "Made in China"
sticker is on the underside of the seat.
Pictures of the recalled products are available at:
http://www.cpsc.gov/cpscpub/prerel/prhtml11/11736.html
The recalled products were manufactured in China and sold through
Heartland America catalog and Web site for about $30 from June
2010 through February 2011.
Consumers should immediately stop using the stool and return it to
Heartland of America for a full refund. Heartland America is
contacting its customers directly. For more information, contact
Heartland America at (800) 398-8163 Monday through Friday between
8:00 a.m. and 5:00 p.m., Central Time, or visit the firm's Web
site at http://www.heartlandamerica.com/stoolrecall
HOME DEPOT: Removes "Petersen" Song-Beverly Lawsuit to N.D. Calif.
------------------------------------------------------------------
Martin Petersen, on behalf of himself and others similarly
situated v. Home Depot U.S.A., Inc., et al., Case No.
CGC-11-509125 (Calif. Super. Ct., San Francisco Cty.), was filed
on March 11, 2011. The plaintiff accuses the Home Depot of
requesting and recording personal identification information,
including zip codes, from customers using credit cards to purchase
items from Home Depot's retail establishments in California, a
practice that is prohibited under California Civil Code Section
1747.08(a), or the Song-Beverly Credit Card Act.
On the basis of diversity jurisdiction, Home Depot U.S.A, on
April 21, 2011, removed the lawsuit to the Northern District of
California, and the Clerk assigned Case No. 11-cv-01938 to the
proceeding.
The Defendant is represented by:
Kendra L. Orr, Esq.
Megan R. Nishikawa, Esq.
KING & SPALDING LLP
101 Second Street, Suite 2300
San Francisco, CA 94105
Telephone: (415) 318-1200
E-mail: korr@kslaw.com
mnishikawa@kslaw.com
- and -
S. Steward Haskins, Esq.
Zachary A. McEntyre, Esq.
KING & SPALDING LLP
1180 Peachtree Street, N.E.
Atlanta, GA 30309
Telephone: (404) 572-4600
E-mail: shaskins@kslaw.com
zmcentyre@kslaw.com
JIAYUAN.COM INT'L: Fraud Class Action May Hamper U.S. IPO
---------------------------------------------------------
Jin Zhang, writing for Business China, reports that Jiayuan.com
International Ltd., operator of China's largest online dating Web
site, is facing a class action lawsuit that could hamper its
initial public offering in the U.S., the Economic Information
Daily reported on April 26.
The company applied to the U.S. Securities and Exchange Commission
last week to list on the Nasdaq Global Market.
Those plans might be halted after Liu Qing, a user of the
company's premium service, posted "Open Letter for Nasdaq,
Jiayuan.com, Haiyan Gong and JP Gan" on the internet, accusing the
company of aiding fraudulent activity on its services, the paper
said.
In the letter, Mr. Liu said he was "swindled" by other users of
Jiayuan.com because of false information on the Web site,
according to the report. Mr. Liu said the Web site operator
ignored his complaints for a year, and has called on other victims
to join him in the class action lawsuit, the report said.
The SEC makes its final decision 15-30 days after a company files
for an IPO.
According to the report, the Web site's attorney, Zhou Mi, and Lei
Ming, a manager from iResearch, said that if the company faces a
lawsuit the SEC might halt its IPO approval until the matter is
resoled.
After the open letter was published, a number of netizens began to
report suffering from similar experiences because of false
information posted on the Web site, the paper said.
One user going by the name of "jancywwj" said in a posting the on
the Tianya BBS forum that they had been cheated of RMB 88,000 by
fraudsters using Jiayuan.com, according to the report. No more
details of the allegations were given. The post received 240
messages of support from other victims, according to the report.
MAJESTIC CAPITAL: Awaits OK of NY Self-Insured Group Settlement
---------------------------------------------------------------
Majestic Capital, Ltd., is awaiting approval of its proposed
settlement of a litigation involving New York self-insured groups,
according to the Company's April 22, 2011, Form 10-K filing with
the U.S. Securities and Exchange Commission for the year ended
December 31, 2010.
On September 30, 2010, the Company and the New York State Office
of Attorney General and the New York State Workers' Compensation
Board entered into a memorandum of understanding outlining a
proposed settlement with the State of New York on these terms and
conditions:
-- the Company will pay $4.6 million in cash to the State of
New York;
-- the Company's errors and omissions insurance carrier will
pay $2.5 million to the State of New York;
-- the Company will turn over to the State of New York $4.1
million the Company has not yet paid under severance
agreements with its former co-chief executive officers;
-- certain of the Company's current directors and current and
formers officers will assign to the State of New York the
proceeds received on the sale of an aggregate of 1.2
million pre-reverse split common shares of the Company
owned by such persons;
-- the Company will commute, on an undiscounted basis, its
loss reserves currently held on excess insurance policies
it issued to four of the self-insured groups previously
managed by CRM Holdings Ltd., now known as Majestic Capital
Ltd.;
-- the Company will forego its rights to disclaim coverage
and/or impose penalties for late notice for certain claims
arising under certain excess insurance policies it issued
to the self-insured groups previously managed by CRM; and
-- the Company will adjust the attachment points and increase
policy limits on certain aggregate insurance policies it
issued to certain self-insured groups previously managed by
CRM.
The completion of the settlement is subject to these conditions:
-- approval of the Conservation and Liquidation Office of the
California Department of Insurance (CA DOI) and the Bermuda
Monetary Authority (BMA);
-- negotiation and execution of an assurance of
discontinuation and a definitive settlement agreement;
-- releases granted in favor of the Company and its
subsidiaries and affiliates by the State of New York, the
self-insured groups previously managed by CRM, all members
of the self-insured groups previously managed by CRM and
any party related to any of foregoing; and
-- other customary conditions.
If completed, the proposed settlement would resolve the claims by
the State of New York and these lawsuits:
* New York State Office of the Attorney General Investigation;
* New York State Workers Compensation Board v. Compensation
Risk Managers, LLC et al.;
* FS Kids LLC, et al. v. Compensation Risk Managers, LLC;
* Armstrong Brands, Inc., et al. v. Compensation Risk
Managers, LLC;
* Arlen Senior Contracting of Central Islip, LLC, et al. v.
Compensation Risk Managers, LLC.;
* 70 Sheldon Inc., et al. v. Compensation Risk Managers, LLC.;
* Healthcare Industry Trust of New York, et al. v.
Compensation Risk Managers, LLC, et al.; and
* Three Brothers Electric, Inc., et. al. v. Compensation Risk
Managers, LLC.
In the interim, all discovery proceedings and pending motions in
the lawsuits, which include class action lawsuits, are presently
stayed.
MAJESTIC CAPITAL: Discovery and Motions in "FS Kids" Suit Stayed
----------------------------------------------------------------
All discovery proceedings and pending motions in the case
captioned FS Kids LLC, et al. v. Compensation Risk Managers, LLC,
are presently stayed, according to Majestic Capital, Ltd.,
formerly known as CRM Holdings, Ltd.'s April 22, 2011, Form 10-K
filing with the U.S. Securities and Exchange Commission for the
year ended December 31, 2010.
On November 24, 2008, FS Kids, LLC, Mask Foods, Inc., Valu Home
Centers, Inc., KBLM Foods, Inc., KDJB Foods, Inc., Gaige & Son
Grocery, Inc., TJ?s Market, Inc., BB&T Supermarkets Inc., BNR-
Larson, LLC, and Gift Express of New York, Inc., all of which were
former members of the Wholesale Retail Workers' Compensation Trust
of New York (WRWCTNY), on their own behalf and on behalf of all
others similarly situated, sued CRM in New York Supreme Court,
Erie County. On August 26, 2009, the plaintiffs filed an amended
complaint seeking class action certification and alleging that
CRM: (1) breached its contract with WRWCTNY; (2) breached its duty
of good faith and fair dealing owed to WRWCTNY; (3) breached its
fiduciary duties owed to WRWCTNY; (4) was negligent in
administering WRWCTNY; (5) engaged in deceptive business
practices; (6) was unjustly enriched; and (7) should indemnify the
plaintiffs for any assessments that they may incur. The
plaintiffs are seeking damages arising from (a) the plaintiffs'
joint and several liability for the deficit of WRWCTNY and (b) any
unpaid claims of the plaintiffs' injured employees.
In September 2009, CRM filed a motion to dismiss the plaintiffs'
amended complaint. CRM's motion to dismiss was denied by the
court on March 11, 2010. Following the court's decision, in
April 2010, CRM submitted an application to the Panel seeking to
coordinate pretrial proceedings and on February 23, 2011, the
Panel issued an order that this action would be one of the
Coordinated Lawsuits. An initial conference was held on April 18,
2011. Pursuant to that conference, an order will be circulated
whereby within 30 days of the order, the plaintiff in the case
captioned Healthcare Industry Trust of New York, et al. v.
Compensation Risk Managers, LLC, et al., will circulate its
proposed third amended complaint and the parties will then either
consent to the service of same or require motion practice which
will be scheduled at a later date. In the interim, all discovery
proceedings and pending motions are presently stayed.
MAJESTIC CAPITAL: Discovery and Motions in "Armstrong" Suit Stayed
------------------------------------------------------------------
All discovery proceedings and pending motions in the case
captioned Armstrong Brands, Inc., et al. v. Compensation Risk
Managers, LLC, are presently stayed, according to Majestic
Capital, Ltd., formerly known as CRM Holdings, Ltd.'s April 22,
2011, Form 10-K filing with the U.S. Securities and Exchange
Commission for the year ended December 31, 2010.
On March 6, 2009, Armstrong Brands, Inc., Metal Cladding, Inc.,
TREK, Inc., Petri Baking Products, Inc., Time Cap Laboratories,
Inc., Custom Coatings, Inc., GPM Associates, LLC, d/b/a Forbes
Products, PJR Industries, Inc., d/b/a Southside Precast Products,
Lakeshore Metals, Inc. Duro-Shed, Inc., Tooling Enterprises, Inc.
Northeast Concrete Products, Inc., d/b/a Concrete Building Supply
and Superior Steel Studs, Inc., all of which were former members
of Trade Industry Trust Workers' Compensation Trust for
Manufacturers (the Trade Trust), on their own behalf and on behalf
of all others similarly situated, sued CRM in New York State
Supreme Court, Erie County. The lawsuit seeks class action
certification and alleges that CRM: (1) breached its contract with
the Trade Trust; (2) breached its duty of good faith and fair
dealing owed to the Trade Trust; (3) breached its fiduciary duties
owed to Trade Trust; (4) was negligent in administering the Trade
Trust; (5) engaged in deceptive business practices; (6) was
unjustly enriched; and (7) should indemnify the plaintiffs for any
assessments that they may incur. The plaintiffs are seeking
damages (a) arising from the plaintiffs' joint and several
liability for the deficit of the Trade Trust, (b) from any unpaid
claims of the plaintiffs' injured employees, (c) from potentially
being liable for the costs of liquidation charged or to be charged
by the WCB, and (d) from fees paid by the plaintiffs and the Trade
Trust to CRM pursuant the service agreement between CRM and the
Trade Trust. On August 17, 2009, CRM filed a motion to dismiss
the plaintiffs' complaint, and in response to CRM's motion, on
November 10, 2009, the plaintiffs filed an amended complaint
alleging substantially the same claims and damages as contained in
their original complaint. In April 2010, CRM submitted an
application to the Panel seeking to coordinate pretrial
proceedings and on February 23, 2011, the Panel issued an order
that this action would be one of the Coordinated Lawsuits. An
initial conference was held on April 18, 2011. Pursuant to that
conference, an order will be circulated whereby within 30 days of
the order, the plaintiff in the case captioned Healthcare Industry
Trust of New York, et al. v.
Compensation Risk Managers, LLC, et al., will circulate its
proposed third amended complaint and the parties will then either
consent to the service of same or require motion practice which
will be scheduled at a later date. In the interim, all discovery
proceedings and pending motions are presently stayed.
MAJESTIC CAPITAL: Discovery and Motions in "Arlen" Suit Stayed
---------------------------------------------------------------
All discovery proceedings and pending motions in the case
captioned Arlen Senior Contracting of Central Islip, LLC, et al.
v. Compensation Risk Managers, LLC, are presently stayed,
according to Majestic Capital, Ltd., formerly known as CRM
Holdings, Ltd.'s April 22, 2011, Form 10-K filing with the U.S.
Securities and Exchange Commission for the year ended December 31,
2010.
On August 18, 2009, Arlen Senior Contracting of Central Islip LLC,
Anchor Building Maintenance Corp., Conifer Realty, LLC, Constanza
Enterprises, Inc., Court Plaza Senior Apartments, L.P., John
Wesley Village II, Midland Management, LLC, Niagara River World,
Inc., Plattsburgh Airbase Redevelopment Corp., and Wen Management
Corp., all of which were former members of the Real Estate
Management Trust of New York (the Real Estate Trust), on their own
behalf and on behalf of all others similarly situated, sued CRM in
New York State Supreme Court, Erie County. The lawsuit seeks
class action certification and alleges that CRM: (1) breached its
contract with the Real Estate Trust; (2) breached its duty of good
faith and fair dealing owed to the Real Estate Trust; (3) breached
its fiduciary duties owed to the Real Estate Trust; (4) was
negligent in administering the Real Estate Trust; (5) engaged in
deceptive business practices; (6) was unjustly enriched; and (7)
should indemnify the plaintiffs for any assessments that they may
incur. The plaintiffs are seeking damages (a) arising from the
plaintiffs' joint and several liability for the deficit of the
Real Estate Trust, (b) from any unpaid claims of the plaintiffs'
injured employees, (c) from potentially being liable for the costs
of liquidation charged or to be charged by the WCB, and (d) from
fees paid by the plaintiffs and the Real Estate Trust to CRM
pursuant the service agreement between CRM and the Real Estate
Trust. On October 20, 2009, CRM filed a motion to dismiss the
plaintiffs' complaint. In April 2010, CRM submitted an
application to the Panel seeking to coordinate pretrial
proceedings and on February 23, 2011, the Panel issued an order
that this action would be one of the Coordinated Lawsuits. An
initial conference was held on April 18, 2011. Pursuant to that
conference, an order will be circulated whereby within 30 days of
the order, the plaintiff in the case captioned Healthcare Industry
Trust of New York, et al. v. Compensation Risk Managers, LLC, et
al., will circulate its proposed third amended complaint and the
parties will then either consent to the service of same or require
motion practice which will be scheduled at a later date. In the
interim, all discovery proceedings and pending motions are
presently stayed.
MAJESTIC CAPITAL: Discovery, Motions in "70 Sheldon" Suit Stayed
----------------------------------------------------------------
All discovery proceedings and pending motions in the case
captioned 70 Sheldon Inc., et al. v. Compensation Risk Managers,
LLC, are presently stayed, according to Majestic Capital, Ltd.,
formerly known as CRM Holdings, Ltd.'s April 22, 2011, Form 10-K
filing with the U.S. Securities and Exchange Commission for the
year ended December 31, 2010.
On August 20, 2009, 70 Sheldon, Inc., Advance Relocation Storage,
Inc., All County Bus, LLC, Alpha Services of Westchester, Inc., A.
T. & A. Trucking Corp., B. Pariso Transport, Inc., Carmen M.
Pariso, Inc., Covered Wagon Train, Inc., Exclusive Ambulette
Service, Inc. Ficel Transport, Inc., North Shore Ambulance and
Oxygen Service, Inc., Rivlab Transportation Corp., Woodland
Leasing Co., Inc., all of which were former members of the
Transportation Industry Workers' Compensation Trust (the
Transportation Trust), on their own behalf and on behalf of all
others similarly situated, sued CRM in New York State Supreme
Court, Erie County. The lawsuit seeks class action certification
and alleges that CRM: (1) breached its contract with the
Transportation Trust; (2) breached its duty of good faith and fair
dealing owed to the Transportation Trust; (3) breached its
fiduciary duties owed to the Transportation Trust; (4) was
negligent in administering the Transportation Trust; (5) engaged
in deceptive business practices; (6) was unjustly enriched; and
(7) should indemnify the plaintiffs for any assessments that they
may incur. The plaintiffs are seeking damages (a) arising from
the plaintiffs' joint and several liability for the deficit of the
Transportation Trust, (b) from any unpaid claims of the
plaintiffs' injured employees, (c) from potentially being liable
for the costs of liquidation charged or to be charged by the WCB,
and (d) from fees paid by the plaintiffs and the Transportation
Trust to CRM pursuant the service agreement between CRM and the
Transportation Trust. On October 20, 2009, CRM filed a motion to
dismiss the plaintiffs' complaint. In April 2010, CRM submitted
an application to the Panel seeking to coordinate pretrial
proceedings and on February 23, 2011, the Panel issued an order
that this action would be one of the Coordinated Lawsuits. An
initial conference was held on April 18, 2011. Pursuant to that
conference, an order will be circulated whereby within 30 days of
the order, the plaintiff in the case captioned Healthcare Industry
Trust of New York, et al. v. Compensation Risk Managers, LLC, et
al., will circulate its proposed third amended complaint and the
parties will then either consent to the service of same or require
motion practice which will be scheduled at a later date. In the
interim, all discovery proceedings and pending motions are
presently stayed.
MAJESTIC CAPITAL: Faces Lawsuit Filed by "Three Brothers" in NY
---------------------------------------------------------------
Majestic Capital, Ltd., formerly known as CRM Holdings, Ltd. is
facing a class action lawsuit filed by Three Brothers Electric,
Inc., according to the Company's April 22, 2011, Form 10-K filing
with the U.S. Securities and Exchange Commission for the year
ended December 31, 2010.
On February 23, 2011, Three Brothers Electric, Inc., Action
Residential Insulation, Inc., Brothers & Company, Inc., Calvin
Maintenance, Inc., Carrea & Sons, Inc., Conroy & Conroy
Contractors, Inc., Delia Heating Ventilating & Air Conditioning,
Inc., JPR Plumbing & Heating Co., Inc., Linaire Sheet Metal Corp.,
Mandon Building Systems, Inc., MLP Plumbing & Mechanical, Inc.,
Northern Mechanicals, Inc., OMC, Inc., Precision Carpentry of
Westchester, Inc., Rochester Custom Exteriors Inc., Sid Beebe &
Sons Builders, In., Tim Gray Masonery Construction, Inc., Torino
Industrial, Inc., Village Dock, Inc. and Wilkstone, LLC, all of
which were former members of Elite Contractors Trust of New York,
on their own behalf and on behalf of all others similarly
situated, sued Compensation Risk Managers, LLC in New York Supreme
Court, Erie County.
The complaint seeks class action certification and alleges that
CRM: (1) breached its contract with the Elite Contractors Trust;
(2) breached its duty of good faith and fair dealing owed to the
Elite Contractors Trust; (3) breached its fiduciary duties owed to
Elite Contractors Trust; (4) was negligent in administering the
Elite Contractors Trust; (5) engaged in deceptive business
practices; (6) was unjustly enriched; and (7) should indemnify the
plaintiffs for any assessments that they may incur. The
plaintiffs are seeking damages (a) arising from the plaintiffs'
joint and several liability for the deficit of the Elite
Contractors Trust which, as of December 15, 2010, was estimated by
the New York State Workers' Compensation Board to be in excess of
$82 million, (b) from any unpaid claims of the plaintiffs' injured
employees in an amount presently undetermined, (c) from
potentially being liable for the costs of liquidation charged or
to be charged by the WCB, and (d) from fees paid by the plaintiffs
and the Elite Contractors Trust to CRM pursuant to the service
agreement between CRM and the Elite Contractors Trust.
This subsequently filed related action will also be coordinated
with the other pending actions against CRM. Accordingly, CRM has
not yet responded to the complaint pursuant to the Litigation
Coordination Panel's February 23, 2011 Order.
MAJESTIC CAPITAL: Awaits Ruling on "Munter" Suit Dismissal Plea
---------------------------------------------------------------
Majestic Capital, Ltd., is awaiting a decision on its motion to
dismiss a putative class action lawsuit filed by Beverly L. Munter
alleging violations of federal securities laws, according to the
Company's April 22, 2011, Form 10-K filing with the U.S.
Securities and Exchange Commission for the year ended December 31,
2010.
On February 5, 2010, a putative class action lawsuit was filed in
the United States District Court for the Southern District of New
York on behalf of a class consisting of all persons or entities
who purchased the securities of CRM Holdings between December 21,
2005, and November 5, 2008. The complaint was filed by Beverly L.
Munter, individually and on behalf of all others similarly
situated, and charges CRM Holdings and certain of its executive
officers and directors with violations of federal securities laws.
The complaint alleges that throughout the class period the
defendants knew or recklessly disregarded that their public
statements concerning CRM Holdings' financial performance and
prospects were materially false and misleading. Specifically, the
defendants are alleged to have made false and/or misleading
statements and/or failed to disclose: (1) that the defendants and
their affiliates engaged in a fraudulent scheme and course of
business to grow membership in eight group self-insured trusts
previously administered by CRM, by charging premiums below
commercial rates; (2) that the membership growth inflated gross
trust revenues while reducing net paid premium income to the level
that the assets of the group self-insured trusts would become
insufficient to cover liabilities; (3) that, accordingly, the
group self-insured trusts would fall below "fully funded" status;
(4) that, as part of their fraudulent scheme and course of
business to cover up the difference between assets and
liabilities, the defendants and their affiliates disguised the
true financial conditions of the group self-insured trusts by
engaging in certain improprieties designed to result in minimal
projected claims liability, including under-reserving individual
claims and utilizing improper actuarial/accounting methods; (5)
that the defendants and their affiliates provided the New York
State Workers' Compensation Board with materially false and/or
misleading financial and actuarial reports for the group self-
insured trusts which reflected artificially reduced liabilities;
(6) that, as a result of the above, the Company was exposed to
hundreds of millions of dollars in liabilities relating to the
under-funding of the group self-insured trusts; (7) that the
Company lacked adequate internal and financial controls; and (8)
that, as a result of the above, the Company's financial statements
were materially false and misleading. The plaintiff seeks to
recover damages on behalf of class members.
On May 21, 2010, the court granted plaintiffs' motion appointing
Brett Brandes and Beverly L. Munter as lead plaintiffs in the
action, Glancy Binkow & Goldberg LLP as lead counsel for the
class, and consolidation of any subsequently filed lawsuits with
the action under the caption In re: CRM Holdings, Ltd. Securities
Litigation.
On September 10, 2010, the plaintiffs' filed and served an amended
complaint. The amended complaint's allegations and claims are
substantially the same as those in the original complaint, except
that the plaintiffs have added claims against certain of the
Company's current and former executive officers and directors for
insider trading violations under Section 10(b) of the Exchange Act
and Rule 10b-5 promulgated thereunder. Those directors named in
the suit have entered into a Stipulation and Tolling Agreement,
dated September 10, 2010, which provides that the applicable
statute of limitations will be tolled for a period of two years
and that such directors will participate in discovery as if they
were named defendants. On January 7, 2011, the Company filed a
motion to dismiss which is currently pending before the court.
The Company says it intends to vigorously defend this litigation,
which is in a preliminary stage, and the Company cannot estimate
what impact, if any, the litigation may have on its business
reputation, results of operations, financial condition or cash
flows. If, however, this matter is decided adversely to the
Company, it may result in a material adverse effect on its
business, results of operations, financial conditions and cash
flows.
MEAD JOHNSON: Settles Enfamil False Advertising Class Action
------------------------------------------------------------
United Press International reports that the manufacturer of the
baby formula Enfamil says it has agreed to pay $12 million to
settle a class-action lawsuit claiming false advertising.
An estimated 8 million Enfamil LIPIL buyers nationwide will be
eligible to claim a share of the settlement, up to $12, either in
cash or in Enfamil formula, the Broward Bulldog reported online
from Florida on April 26.
The class-action suit alleged Mead Johnson, maker of Enfamil,
falsely claimed the formula contained nutrients not available in
other products.
Mead Johnson denied any wrongdoing but said it decided to settle a
suit filed in Broward County, along with seven others, to avoid
costly court expenses.
U.S. District Judge James I. Cohn in Fort Lauderdale issued
preliminary approval of the nationwide settlement in March and
will hold a final approval hearing Sept. 26.
In addition to the settlement, Mead Johnson has stopped using the
language in its advertising that prompted the lawsuits.
"The specific claims that were challenged in the lawsuits are not
used in any materials today," company spokesman Chris Perille
said.
MIAMI, FL: 3-Year Suspension Imposed on Miami Lawyer
----------------------------------------------------
A seven-member panel of the Supreme Court of Florida entered an
order suspending Henry Nissim Adorno, Esq. from the practice of
law for three years effective as of October 28, 2010.
Mr. Adorno was admitted to The Florida Bar in 1973. A
disciplinary action arose against him in relation to a class
action on improper emergency medical assessment fees imposed by
the City of Miami on property owners. Mr. Adorno is alleged to
have violated Florida Bar rules when he settled the class suit for
$7 million on behalf of seven class plaintiffs, even if those
plaintiffs had damages of only $84,000, and abandoned his
obligations to the thousands of individuals who would have been
part of the class. The class settlement resulted in a $2 million
fee to Mr. Adorno's law firm.
A judge acting as referee to the Adorno malpractice case
recommended that Mr. Adorno (i) be found guilty of violating the
Florida Bar rules on conflict of interest and excessive or
prohibited fee, and (ii) receive a public reprimand. The Florida
Bar petitioned the Florida Supreme Court for review of the
recommended sanction, Florida Bar v. Adorno, Case No. SC09-1012
(Fla. Sup. Ct.).
The Supreme Court approves the referee's findings of fact,
recommendations of guilt and award of costs, but disapproves of
the recommendation of a public reprimand.
"After considering the factual findings, the totality of the
misconduct, the rules violated, the Standards, and case law, we
conclude that a three-year suspension is the appropriate
sanction," the Supreme Court stated.
A copy of the Supreme Court's April 21, 2011, decision is
available at http://is.gd/gSItfeat Leagle.com.
The decision is concurred by Justices Charles T. Canady, Barbara
J. Pariente, R. Fred Lewis, Peggy A. Quince, Ricky Polston, Jorge
Labarga, and James E.C. Perry.
MRP REALTY: Faces Class Action Over Washington Harbour Flooding
---------------------------------------------------------------
Courthouse News Service reports that a federal class action claims
MRP Realty failed to raise the movable flood walls at its
Washington Harbour complex in Georgetown on April 18, despite
adequate warning, swamping basement and ground-level businesses in
10 feet of water, costing the businesses $20,000 to $40,000 in
lost sales per day.
A copy of the Complaint in Holcomb v. MRP Realty, Case No.
11-cv-00779 (D.D.C.), is available at:
http://www.courthousenews.com/2011/04/26/DCFlood.pdf
The Plaintiff is represented by:
Gary E. Mason, Esq.
Nicholas A. Migliaccio, Esq.
MASON LLP
1625 Massachusetts Ave., NW, Suite 605
Washington, DC 20036
Telephone: (202) 429-2290
E-mail: gmason@masonlawdc.com
nmigliaccio@masonlawdc.com
NATIONAL WESTERN: Settles Annuities Class Action for $17MM
----------------------------------------------------------
Melissa Wiese, writing for the Sacramento Business Journal,
reports that senior citizens who purchased National Western
annuities may have money coming to them following a recent class
action settlement.
California Insurance Commissioner Dave Jones announced in a
statement on April 22 that more than $17 million will be
distributed to 3,274 who purchased annuities from Austin-based
National Western Life Insurance Co.
The Department of Insurance got involved in 2005, alleging that a
former life insurance agent, Ezra Chapman, sold an annuity to a
83-year-old widow, telling her she would never lose money under
the contract, according to the statement.
Instead, the lawsuit alleged, the agent didn't disclose that
National Western would apply surrender penalties if she withdrew
money or died within a 15-year period. Because she died during
that time, 25% was deducted from her annuity, depriving her
beneficiary of that amount.
"This case demonstrates why I have taken steps to issue
regulations aimed at stopping the sale of unsuitable annuities to
unsuspecting seniors," Mr. Jones said in statement.
The insurance agent, Mr. Chapman, had his insurance agent revoked.
As part of the settlement, National Western has agreed to change
its business practices, according to the California Department of
Insurance.
NIVS INTELLIMEDIA: May 31 Lead Plaintiff Deadline Set
-----------------------------------------------------
Law Offices of Howard G. Smith, representing investors of NIVS
Intellimedia Technology Group, Inc., disclosed that a May 31, 2011
deadline has been set to move to be a lead plaintiff in the class
action lawsuit filed in the United States District Court for the
Central District of California on behalf of all purchasers of the
securities of NIVS Intellimedia Technology Group, Inc. between
March 24, 2010 and March 25, 2011, inclusive.
NIVS is an integrated consumer electronics company that designs,
manufactures, markets and sells intelligent audio and video
products and mobile phones in China, Greater Asia, Europe and
North America. The Complaint alleges that throughout the Class
Period the defendants made false and/or misleading statements
and/or failed to disclose that: (1) the Company had inaccurately
recorded certain transactions; (2) there were discrepancies in the
Company's accounts receivables; (3) the Company was engaged in
improper acts involving the Company's accounting records and bank
statements; (4) as a result, the Company's financial results were
not prepared in accordance with Generally Accepted Accounting
Principles; (5) the Company lacked adequate internal controls; and
(6), as a result of the foregoing, the Company's financial results
were false and misleading at all relevant times.
No class has yet been certified in the above action. Until a
class is certified, you are not represented by counsel unless you
retain one. If you purchased NIVS securities between March 24,
2010 and March 25, 2011, you have certain rights and have until
May 31, 2011, to move for lead plaintiff status. To be a member
of the class you need not take any action at this time, and you
may retain counsel of your choice. If you wish to discuss this
action or have any questions concerning this Notice or your rights
or interests with respect to these matters, please contact:
Howard G. Smith, Esq.
LAW OFFICES OF HOWARD G. SMITH
3070 Bristol Pike, Suite 112
Bensalem, PA 19020
Telephone: (215)638-4847
Toll-Free at (888)638-4847
E-mail: howardsmith@howardsmithlaw.com
Web site: http://www.howardsmithlaw.com/
SHENGDATECH INC: Holzer Holzer & Fistel Files Class Action
----------------------------------------------------------
Holzer Holzer & Fistel, LLC disclosed that it has filed a class
action lawsuit in the United States District Court for the
Southern District of New York on behalf of purchasers of
ShengdaTech, Inc. common stock who purchased shares between
March 15, 2010 and March 15, 2011, inclusive. The lawsuit alleges
that a series of statements regarding ShengdaTech's business, its
prospects and its operations were materially false and misleading
at the time they were made.
Specifically, the complaint alleges, among other things, that
ShengdaTech violated the federal securities laws because they
misrepresented or failed to disclose that: (i) ShengdaTech was
operating with material deficiencies in its internal controls;
(ii) ShengdaTech's financial statements, during at least 2010,
were not fairly presented in conformity with GAAP; and (iii) based
onthe foregoing, defendants lacked a reasonable basis for their
positive statements about ShengdaTech's revenues, expenses,
income, margins, markets, growth, average selling prices and
customers.
If you purchased shares of ShengdaTech common stock during the
Class Period, you have the legal right to petition the Court to be
appointed a "lead plaintiff." A lead plaintiff is a
representative party that acts on behalf of other class members in
directing the litigation. Any such request must satisfy certain
criteria and be made no later than May 17, 2011. Any member of
the purported class may move the Court to serve as lead plaintiff
through counsel of their choice, or may choose to do nothing and
remain an absent class member. If you are a ShengdaTech investor
and would like to discuss a potential lead plaintiff appointment,
or your rights and interests with respect to the lawsuit, you may
contact Michael I. Fistel, Jr., Esq., or Marshall P. Dees, Esq.
via email at mfistel@holzerlaw.com or mdees@holzerlaw.com or via
toll-free telephone at (888) 508-6832.
Holzer Holzer & Fistel, LLC -- http://www.holzerlaw.com/-- is an
Atlanta, Georgia law firm that dedicates its practice to vigorous
representation of shareholders and investors in litigation
nationwide, including shareholder class action and derivative
litigation.
TORO COMPANY: Recalls 23,000 Toro Power Clear Snowblower
--------------------------------------------------------
The U.S. Consumer Product Safety Commission, in cooperation with
The Toro Company, of Bloomington, Minn., announced a voluntary
recall of about 18,000 Toro Power Clear Snowblower in the United
States and 5,000 in Canada. The company also announced a recall
of 6,000 Toro 20" Recycler Mower in the United States and 200 in
Canada. Consumers should stop using recalled products immediately
unless otherwise instructed.
The carburetors on both products develop fuel leaks and can ignite
when exposed to an ignition source, posing a fire or burn hazard.
There have been about 500 reports of carburetor leaks. There were
no reports of fire or injury.
The recall involves
Toro PC-421Q Snowblowers: The model/serial numbers are found on a
decal on the underside of the rear of the unit. Model and serial
numbers are:
Model Number Serial Number
------------ -------------
38588 310000001 to 310999999 and 311000001 to 311003576
38589 310000001 to 310999999 and 311000001 to 311999999
Toro 20" Recycler Mower: The model and serial numbers are found on
a decal on the left rear of the mower.
Model Serial number
----- -------------
20323 310000001 to 310999999
The Mower was manufactured in Mexico; and the Snowblower in the
United States. The products were sold through Toro Dealers in the
United States and Canada from September 2009-March 2011.
Consumers should immediately stop using the products and contact a
Toro Service Dealer for a free repair. For additional
information, including the name of a dealer near you, contact Toro
toll free at 877-738-4440 Monday through Friday from 8:00 a.m. to
4:30 p.m., Central Time, or visit Toro's Web site
http://www.toro.com/
UNITED AIR: Judge Junks Blind Passengers' Class Action
------------------------------------------------------
Erin Coe, writing for Law360, reports that a California federal
judge on April 25 dismissed a proposed class action brought by the
National Federation of the Blind alleging United Air Lines Inc.
violated state law by failing to make its airport ticketing kiosks
accessible to blind passengers.
U.S. District Judge William Alsup granted United's motion to
dismiss, finding the suit preempted by both the Air Carrier Access
Act and the Airline Deregulation Act.
"Because the findings of preemption render amendment futile, the
complaint is dismissed without leave to amend," the judge wrote in
his ruling.
UNITED STATES: Federal Circuit Won't Review VA Claims Guide
-----------------------------------------------------------
Circuit Judge William Curtis Bryson dismissed a petition for
judicial review of a 1978 Veterans' Administration publication on
a guide for veterans processing claims related to diseases
developed due to exposure to defoliants during their service in
Vietnam.
The 1978 document became known as the Agent Orange Program Guide.
The U.S. Court of Appeals for the Federal Circuit held that review
of the publication is not within its jurisdiction. The decision,
penned by Judge Bryson, is concurred by Circuit Judges Alan David
Lourie and Sharon Prost.
The petition for review, filed in January 2010, is captioned
Winthrop J. Block, Patrick M. Burns, Brenda Iwasyk, David M.
Jacobs and Verborie W. Shaw, petitioners v. Secretary of Veterans
Affairs, respondent, Case No. 2010-7045 (Fed. Cir.)
The question on the Agent Orange Program Guide stemmed from a 1979
class complaint initiated in the U.S. District Court for the
District of Columbia by Mr. Burns, along with other veterans,
contending that the Guide was a substantive rule that was issued
in violation of the Administrative Procedure Act. In 2005, upon
formal Court request, petitioners Block, Iwasyk, Jacobs, and Shaw
were added to the case. The new named plaintiffs were veterans or
survivors of veterans who had service connection claims for a non-
chloracne disability based on exposure to defoliants denied
between 1978 and 1985.
A copy of the Appellate Court's April 14, 2011 decision is
available at http://is.gd/VUhsokat Leagle.com.
VERIZON COMMUNICATIONS: Accused of Breach of Contract
-----------------------------------------------------
Gregory M. Egleston, on behalf of himself and others similarly
situated v. Verizon Communications, Inc., Case No. 104784/2011
(N.Y. Sup. Ct., New York Cty. April 12, 2011), accuses Verizon of
generated fees in excess of the jurisdictional limit of the New
York Supreme Court in charging its customers an "Installation
Charge" when its customers change phone plans within the Company,
in breach of the plaintiff's contract with the defendant, and in
violation of New York General Business Law Sections 349 and 350.
Plaintiff Gregory M. Egleston was, at all relevant times, a
resident of New York County. Plaintiff changed phone plans on his
telephone service with the Company and was charged an Installation
Charge of $10.55.
Defendant Verizon is a holding company, which, acting through its
subsidiaries is one of the world's leading providers of
communications services. Formerly known as Bell Atlantic
Corporation, Verizon was incorporated in 1983 under the laws of
the State of Delaware. The Company began doing business as
Verizon on June 30, 2000m following its merger with GTE
Corporation. The Company's principal executive offices are
located at 140 West Street, New York.
Around January 2011, Plaintiff relates that he ordered a new phone
plan for his existing Verizon phone service. The package features
and calling services plaintiff added became available on
January 6, 2011. On January 16, 2011, plaintiff received a Quick
Bill Summary for a total amount of $402.82, which plaintiff paid
by check on February 7, 2011. On February 9, 2011, plaintiff
contacted a billing representative at the Company to inquire about
the "Installation Charge" on the Quick Bill Summary in the amount
of $10.55. The billing representative admitted that the Company
automatically charges its customers this "Installation Charge"
when switching plans and that it is a "glitch" in its system.
The Plaintiff is represented by:
Thomas J. McKenna, Esq.
GAINEY & McKENNA
295 Madison Avenue, 4th Floor
New York, NY 10017
Telephone: (212) 983-1300
E-mail: tjmckenna@gaineyandmckenna.com
tjmlaw2001@yahoo.com
WASHINGTON POST: Iron Workers Fund Is Lead Plaintiff in Class Suit
------------------------------------------------------------------
Judge Paul L. Friedman of the U.S. District Court for the District
of Columbia has designated Iron Workers Local No. 25 Pension Funds
as lead plaintiff in the purported securities class action,
Plumbers Local #200 Pension Fund, individually and on behalf of
all others similarly situated v. The Washington Post Company, et
al., Civil Action No. 10-1835(PLF)(D. D.C.)
The Washington Post is a diversified education and media company.
The class action was filed by Plumbers Local against Washington
Post and two of the company's executives in October 2010, on
behalf of all persons who acquired Washington Post common stock
between July 31, 2009 and August 13, 2010. Plumbers Local alleges
that during the Class Period, the defendants issued materially
false and misleading statements about the Washington Post's
business and financial results.
Iron Workers averred that it has the largest financial interest in
the case, having purchased 2,060 shares of Washington Post common
stock during the class period.
Judge Friedman concluded that Iron Workers is the class member
that is "most capable of adequately representing the interests of
the class members."
Judge Friedman also approved the selection of Robbins Gellar as
lead counsel.
A copy of the District Court's April 21, 2011 Memorandum Opinion
is available at http://is.gd/ZSSCXIfrom Leagle.com.
ZST DIGITAL: Rosen Law Firm Files Securities Class Action
---------------------------------------------------------
The Rosen Law Firm, P.A. on April 25 disclosed that it has filed a
class action lawsuit on behalf of investors who purchased the
securities of ZST Digital Networks, Inc. in the period from
October 20, 2009 to April 21, 2011, to recover damages for ZST
Digital shareholders from violations of the federal securities
laws.
To join the ZST Digital class action, visit the firm's Web site at
http://rosenlegal.com,or call Phillip Kim, Esq. or Jonathan
Horne, Esq., toll-free, at 866-767-3653; you may also email
pkim@rosenlegal.com or jhorne@rosenlegal.com for information on
the class action. The case filed by the Rosen Law Firm is pending
in the U.S. District Court for the Central District of California.
NO CLASS HAS YET BEEN CERTIFIED IN THE ABOVE ACTION. UNTIL A
CLASS IS CERTIFIED, YOU ARE NOT REPRESENTED BY COUNSEL UNLESS YOU
RETAIN ONE. YOU MAY CHOOSE TO DO NOTHING AT THIS POINT AND REMAIN
AN ABSENT CLASS MEMBER.
The Complaint asserts violations of the federal securities laws
against ZST Digital and its officers, directors, and underwriters
for issuing materially false and misleading information in the
Company's offering documents and in SEC filings. On April 21,
2011 a news report was published by a market analyst revealing a
number of red flags of potential fraud at ZST Digital. Namely, in
connection with the Company's fiscal 2009 and 2008 financial
results, the report states that "SEC filings report revenues
hundreds of times of what is reported" to the Chinese regulators
and the filings show that the Company "paid zero tax in China, but
reported substantial amounts to the SEC." The report also
identifies a number of other allegations indicating that the
Company may have misled investors about its customers. When this
adverse information entered the market, the price of the Company's
securities fell, damaging investors.
If you wish to serve as lead plaintiff, you must move the Court no
later than 60 days from today's date. A lead plaintiff is a
representative party acting on behalf of other class members in
directing the litigation. If you wish to join the litigation, or
to discuss your rights or interests regarding this class action,
please contact Phillip Kim, Esq. or Jonathan Horne, Esq. of The
Rosen Law Firm, toll-free, at 866-767-3653, or via e-mail at
pkim@rosenlegal.com or jhorne@rosenlegal.com
You may also visit the firm's Web site at http://rosenlegal.com/
The Rosen Law Firm represents investors throughout the globe,
concentrating its practice in securities class actions and
shareholder derivative litigation.
Asbestos Litigation
ASBESTOS UPDATE: Ladish Co. Involved in 12 Lawsuits in 3 States
---------------------------------------------------------------
Ladish Co., Inc., as of Dec. 31, 2010, is facing nine asbestos
claims in Mississippi, two claims in Illinois and one claim in
Wisconsin.
The Company has been named as a defendant in a number of asbestos
cases in Mississippi, Illinois, Wisconsin and California.
As of Dec. 31, 2010, the Company has been dismissed from the case
in California. The Company has never manufactured or processed
asbestos.
The Company's only exposure to asbestos involves products the
Company purchased from third parties. The Company has notified
its insurance carriers of these claims.
Ladish Co., Inc. engineers, produces and markets high-strength,
high-technology forged and cast metal components for a wide
variety of load-bearing and fatigue-resisting applications in the
jet engine, aerospace and industrial markets. The Company is
headquartered in Cudahy, Wis.
ASBESTOS UPDATE: Navistar Int'l. Still Subject to Exposure Cases
----------------------------------------------------------------
Along with other vehicle manufacturers, Navistar International
Corporation has been subject to an increase in the number of
asbestos-related claims in recent years.
In general, these claims relate to illnesses alleged to have
resulted from asbestos exposure from component parts found in
older vehicles, although some cases relate to the alleged presence
of asbestos in the Company's facilities.
In these claims, the Company is not the sole defendant, and the
claims name as defendants numerous manufacturers and suppliers of
a wide variety of products allegedly containing asbestos.
Navistar International Corporation is a holding company whose
principal operating subsidiaries are Navistar, Inc. and Navistar
Financial Corporation. The Company operates in four principal
industry segments: Truck, Engine, Parts, and Financial Services.
The Company is headquartered in Warrenville, Ill.
ASBESTOS UPDATE: Thomas Records $1.3MM for Abatement at Dec. 31
---------------------------------------------------------------
Thomas Properties Group, Inc., as of Dec. 31, 2010, has accrued
US$1.3 million for estimated future costs of asbestos removal or
abatement at its City National Plaza and Brookhollow Central
properties.
With respect to asbestos-containing materials present at the City
National Plaza and Brookhollow Central properties, these materials
have been removed or abated from certain tenant and common areas
of the building structures.
The Company continues to remove or abate asbestos-containing
materials from various areas of the building structures.
Thomas Properties Group, Inc. is a full-service real estate
company that owns, acquires, develops and manages primarily
office, as well as mixed-use and residential properties on a
nationwide basis. The Company is headquartered in Los Angeles.
ASBESTOS UPDATE: Hercules Offshore Still Has Aaron Case in Miss.
----------------------------------------------------------------
Hercules Offshore, Inc. continues to face an asbestos lawsuit
styled Robert E. Aaron et al. vs. Phillips 66 Company et al. in
Circuit Court, Second Judicial District, Jones County, Miss.
This is the case name used to refer to several cases that have
been filed in the Circuit Courts of the State of Mississippi
involving 768 persons that allege personal injury or whose heirs
claim their deaths arose out of asbestos exposure in the course of
their employment by the defendants between 1965 and 2002.
The complaints name as defendants certain of TODCO's subsidiaries
and certain subsidiaries of TODCO's former parent to whom TODCO
may owe indemnity and other unaffiliated defendant companies,
including companies that allegedly made drilling- related products
containing asbestos that are the subject of the complaints.
The number of unaffiliated defendant companies involved in each
complaint ranges from about 20 to 70. The complaints allege that
the defendant drilling contractors used asbestos-containing
products in offshore drilling operations, land based drilling
operations and in drilling structures, drilling rigs, vessels and
other equipment and assert claims based on negligence and strict
liability, and claims authorized under the Jones Act.
The plaintiffs seek awards of unspecified compensatory and
punitive damages. All of these cases were assigned to a special
master who has approved a form of questionnaire to be completed by
plaintiffs so that claims made would be properly served against
specific defendants.
About 700 questionnaires were returned and the remaining
plaintiffs, who did not submit a questionnaire reply, have had
their suits dismissed without prejudice. Of the respondents,
about 100 shared periods of employment by TODCO and its former
parent which could lead to claims against either company, even
though many of these plaintiffs did not state in their
questionnaire answers that the employment actually involved
exposure to asbestos.
After providing the questionnaire, each plaintiff was further
required to file a separate and individual amended complaint
naming only those defendants against whom they had a direct claim
as identified in the questionnaire answers. Defendants not
identified in the amended complaints were dismissed from the
plaintiffs' litigation.
To date, three plaintiffs named TODCO as a defendant in their
amended complaints.
Hercules Offshore, Inc. provides shallow-water drilling and marine
services to the oil and natural gas exploration and production
industry globally. As of Feb. 16, 2011, the Company owned a fleet
of 30 jackup rigs, 17 barge rigs, three submersible rigs, one
platform rig, a fleet of marine support vessels and 60 liftboat
vessels. The Company is headquartered in Houston.
ASBESTOS UPDATE: Hauck Manufacturing Dragged in Exposure Suit
-------------------------------------------------------------
Elster Group SE's subsidiary, Hauck Manufacturing Company Inc.,
was named as an additional defendant in an asbestos case in 2010.
The Company's former Ipsen Group furnace business has been subject
to a number of claims relating to alleged asbestos exposure.
Under the agreement under which it sold the Ipsen Group furnace
business, the Company is required to indemnify the purchaser
against present or future asbestos claims noticed to the Company
by Aug. 15, 2015, up to a maximum out-of-pocket amount for the
Company of EUR15 million.
The agreement under which the Company sold the Ipsen Group furnace
business further provides that the amount of the indemnity be
reduced by payments made to the purchaser under the Ipsen Group's
current or pre-existing insurance policies. The Company has
covered the contingent liability arising out of this out-of-pocket
maximum with an indemnity from its former owner, E.ON Ruhrgas AG,
in an equal amount.
In addition, according to the Company's due diligence conducted at
the time of the disposition, Ipsen's current and pre-existing
insurance coverage is in excess of the EUR15 million amount. At
the time of the disposition, 14 cases were open, and 83 new claims
have been subsequently notified.
Of the 97 total claims notified, 47 have been dismissed.
Additionally, there are currently three asbestos cases (filed in
1999, 2002 and 2003 by individual plaintiffs) in which Elster
American Meter Company has been named as an additional defendant.
All three cases have been included in the New York County Asbestos
Litigation, or NYCAL, program and are currently classified as
inactive. While on the inactive docket, all discovery in these
matters has been stayed until further notice.
Elster Group SE supplies gas, electricity, and water meters mainly
to utility customers. Its products include both manual-read and
smart meters equipped with software and network communications
technology used to monitor and measure consumption and energy
efficiency. The Company is headquartered in Essen, Germany.
ASBESTOS UPDATE: EMC Insurance Posts $5.82MM Reserves at Dec. 31
----------------------------------------------------------------
EMC Insurance Group Inc.'s asbestos loss and settlement expense
reserves were US$5,816,000 during the year ended Dec. 31, 2010,
compared with US$4,495,000 during the year ended Dec. 31, 2009.
Asbestos losses and settlement expenses incurred were US$2,809,000
during the year ended Dec. 31, 2010, compared with US$796,000
during the year ended Dec. 31, 2009.
The Company has exposure to asbestos and environmental-related
claims associated with the insurance business written by the
parties to the pooling agreement and the reinsurance business
assumed from Employers Mutual by the reinsurance subsidiary. With
regard to the assumed reinsurance business, however, all asbestos
and environmental exposures related to 1980 and prior accident
years are retained by Employers Mutual.
At present, pool participants are defending about 1,050 asbestos
bodily injury lawsuits, some of which involve multiple plaintiffs.
Seven former policyholders and one current policyholder dominate
the pool participants' asbestos claims.
Most of the lawsuits are subject to express reservation of rights
based upon the lack of an injury within the applicable policy
periods, because many asbestos lawsuits do not specifically allege
dates of asbestos exposure or dates of injury.
During 2003, the pool participants were presented with several
hundred plaintiff lawsuits (primarily multi-plaintiff lawsuits)
filed against three former policyholders representing about 66,500
claimants related to exposure to asbestos or products containing
asbestos. These claims are based upon nonspecific asbestos
exposure and nonspecific injuries.
As a result, management did not establish a significant amount of
case loss reserves for these claims. During the period 2006
through 2010, several of the multi-plaintiff lawsuits (including
the vast majority of those associated with one former
policyholder) were dismissed.
As of Dec. 31, 2010, about 2,750 of the claims remain open.
During 2006, the pool participants received notice that another
former policyholder was a named defendant in about 33,000 claims
nationwide.
As of Dec. 31, 2010, about 4,710 of these claims remain open.
EMC Insurance Group Inc. conducts operations in property and
casualty insurance and reinsurance through its subsidiaries. The
Company primarily focuses on the sale of commercial lines of
property and casualty insurance to small and medium-sized
businesses. The Company is based in Des Moines, Iowa.
ASBESTOS UPDATE: Sears Holdings Still Subject to Exposure Claims
----------------------------------------------------------------
Sears Holdings Corporation is subject to various legal and
governmental proceedings including environmental and asbestos
exposure allegations, according to the Company's annual report
filed with the Securities and Exchange Commission on March 3,
2011.
Sears Holdings is the parent company of Kmart Holding Corporation
and Sears, Roebuck and Co. The Company is a broadline retailer
with 2,201 full-line and 1,354 specialty retail stores in the
United States operating through Kmart and Sears and 483 full-line
and specialty retail stores in Canada operating through Sears
Canada Inc. The Company is based in Hoffman Estates, Ill.
ASBESTOS UPDATE: Target Still Subject to EPA's Inquiry on NESHAP
----------------------------------------------------------------
Target Corporation is the subject of an ongoing U.S. Environmental
Protection Agency investigation for alleged violations of the
Clean Air Act.
In March 2009, the EPA issued a Finding of Violation related to
alleged violations of the CAA, specifically the National Emission
Standards for Hazardous Air Pollutants (NESHAP) promulgated by the
EPA for asbestos.
The FOV pertains to the remodeling of 36 Target stores that
occurred between Jan. 1, 2003 and Oct. 28, 2007.
The EPA FOV process is ongoing and no specific relief has been
sought to date by the EPA.
Target Corporation operates as two reportable segments: Retail and
Credit Card. The Retail Segment includes all of the Company's
merchandising operations, including its fully integrated online
business. The Company's Credit Card Segment offers credit to
qualified guests through its branded proprietary credit cards, the
Target Visa and the Target Card. The Company is headquartered in
Minneapolis.
ASBESTOS UPDATE: Harbinger Still Involved in Miss., La. Lawsuits
----------------------------------------------------------------
Harbinger Group Inc. continues to be involved in multiple
complaints in Mississippi and Louisiana state courts and in a
federal multi-district litigation alleging injury from exposure to
asbestos on offshore drilling rigs and shipping vessels formerly
owned or operated by the Company's offshore drilling and bulk-
shipping affiliates.
No further asbestos-related matters were disclosed in the
Company's annual report filed with the Securities and Exchange
Commission on March 11, 2011.
Harbinger Group Inc. is focused on obtaining controlling equity
stakes in subsidiaries that operate across a diversified set of
industries. The Company has identified the following six sectors
in which it intends to pursue investment opportunities: consumer
products, insurance and financial products, telecommunications,
agriculture, power generation and water and natural resources.
The Company is based in New York.
ASBESTOS UPDATE: CenterPoint Resources Still Has Exposure Claims
----------------------------------------------------------------
CenterPoint Energy Resources Corp. or its predecessor companies
have been named, along with numerous others, as a defendant in
lawsuits filed by certain individuals who claim injury due to
exposure to asbestos during work at such formerly owned
facilities.
Some facilities formerly owned by the Company's predecessors have
contained asbestos insulation and other asbestos-containing
materials. The Company anticipates that additional claims like
those received may be asserted in the future.
CenterPoint Energy Resources Corp. owns and operates natural gas
distribution systems in six states. The Company's reportable
business segments are Natural Gas Distribution, Competitive
Natural Gas Sales and Services, Interstate Pipelines, Field
Services and Other Operations. The Company is based in Houston.
ASBESTOS UPDATE: EnPro Records $23.3MM Expenses at Dec. 31
----------------------------------------------------------
EnPro Industries, Inc. recorded asbestos-related expenses of
US$23.3 million during the year ended Dec. 31, 2010, compared with
US$135.5 million during the year ended Dec. 31, 2009.
The Company's affiliate, GST LLC, recorded an asbestos insurance
receivable of US$158 million as of Dec. 31, 2010.
EnPro Industries, Inc. designs, develops, manufactures, and
markets proprietary engineered industrial products. The Company
has 48 primary manufacturing facilities located in the United
States and nine other countries. The Company is based in
Charlotte, N.C.
ASBESTOS UPDATE: EnPro Has $167.2MM Insurance Coverage at Dec. 31
-----------------------------------------------------------------
EnPro Industries, Inc., at Dec. 31, 2010, had US$167.2 million of
insurance coverage that the Company believes is available to cover
current and future asbestos claims against GST LLC and certain
expense payments.
GST has collected insurance payments totaling US$23.3 million
since the Petition Date. In addition, at the Petition Date, the
Company had classified US$4.2 million of otherwise available
insurance as insolvent.
Of the US$167.2 million of collectible insurance coverage and
trust assets, the Company considers US$163.8 million (98%) to be
of high quality because the insurance policies are written or
guaranteed by U.S.-based carriers whose credit rating by S&P is
investment grade (BBB) or better, and whose AM Best rating is
excellent (A-) or better.
The Company considers US$3.4 million (2%) to be of moderate
quality because the insurance policies are written with various
London market carriers.
Of the US$167.2 million, about US$131.2 million is allocated to
claims that have been paid by GST LLC and submitted to insurance
companies for reimbursement and the remainder is allocated to
pending and estimated future claims.
EnPro Industries, Inc. designs, develops, manufactures, and
markets proprietary engineered industrial products. The Company
has 48 primary manufacturing facilities located in the United
States and nine other countries. The Company is based in
Charlotte, N.C.
ASBESTOS UPDATE: Reunion Industries Facing Lawsuits in 7 States
---------------------------------------------------------------
Reunion Industries, Inc. has been named in thousands of separate
asbestos suits filed since January 2001 by various plaintiffs' law
firms in Michigan, Pennsylvania, W. Virginia, Ohio, Illinois,
Maryland and Alabama, according to a Company report, on Form 8-K,
filed with the Securities and Exchange Commission on April 6,
2011.
The claims are primarily directed against over 100 defendants,
including the Company, and allege that cranes from the Company's
former crane manufacturing division, located in Alliance, Ohio,
contained asbestos to which plaintiffs were exposed over an
extended period.
The Company denies that it manufactured any products containing
asbestos or otherwise knew or should have known that any component
part other manufacturers provided contained any dangerous or toxic
materials.
Counsel for the Company has filed an answer to each complaint
denying liability by the Company and asserting all alternative
defenses permitted under the various Courts' Case Management
Orders. Although all such law suits were stayed during the
Company's bankruptcy proceeding, the liability issues with respect
to these suits were not resolved.
Upon the Company's exit from its Chapter 11 proceeding, the
previously stayed law suits have become active again and, in
addition, the Company has been served with new complaints.
The Company's insurance carriers cover the significant majority of
the legal fees, expenses and settlements involved with these
claims.
Reunion Industries, Inc.'s current operations include (i) an
industrial manufacturing operation in the United States that
designs and manufactures hydraulic and pneumatic cylinders, (ii) a
65% owned joint venture operation in China that manufactures metal
bar grating and (iii) a subsidiary that was formerly active in the
oil and gas industry and continues to operates one gas well in
Oklahoma. The Company is based in Pittsburgh.
ASBESTOS UPDATE: Bondex, SPHC Subject to Bodily Injury Lawsuits
---------------------------------------------------------------
RPM International Inc.'s, Bondex and Specialty Products Holdings
Corp., are defendants in various asbestos-related bodily injury
lawsuits filed in various state courts, according to the Company's
quarterly report filed with the Securities and Exchange Commission
on April 7, 2011.
On May 31, 2010, Bondex and its parent, SPHC, filed voluntary
petitions for relief under Chapter 11 of the Bankruptcy Code in
the U.S. Bankruptcy Court for the District of Delaware. SPHC is
the parent company of Bondex and is also the parent company for
various operating companies that are not part of the
reorganization filing, including Chemical Specialties
Manufacturing Corp., Day-Glo Color Corp., Dryvit Holdings, Inc.,
Guardian Protection Products Inc., Kop-Coat Inc., TCI, Inc. and
RPM Wood Finishes Group, Inc.
SPHC and Bondex (filing entities) took this action to permanently
and comprehensively resolve all pending and future asbestos-
related liability claims associated with Bondex and SPHC-related
products. As a result of the filing, all Bondex and SPHC asbestos
personal injury lawsuits have been stayed due to the imposition of
an automatic stay applicable in bankruptcy cases.
In addition, at the request of SPHC and Bondex, the bankruptcy
court has entered orders staying all claims against the Company
and its affiliates that are derivative of the asbestos claims
against SPHC and Bondex.
Prior to the bankruptcy filing, the filing entities had engaged in
a strategy of litigating asbestos-related products liability
claims brought against them. Claims paid during the year ended
May 31, 2010, prior to the bankruptcy filing, were US$92.6
million, which included defense-related payments during the year
of US$42.6 million.
No claims have been paid since the bankruptcy filing and it is not
contemplated that any claims will be paid until a plan of
reorganization is confirmed and an asbestos trust is established
and operating.
RPM International Inc. operates businesses and product lines that
manufacture and sell a variety of specialty paints, protective
coatings and roofing systems, sealants and adhesives. The Company
manages its portfolio by organizing its businesses and product
lines into two reportable segments: the industrial reportable
segment and the consumer reportable segment. The Company is based
in Medina, Ohio.
ASBESTOS UPDATE: 139 Claims Ongoing v. GenCorp Inc. at Feb. 28
--------------------------------------------------------------
GenCorp Inc. faced 139 pending asbestos-related claims as of
Feb. 28, 2011, compared with 141 pending claims as of Nov. 30,
2010, according to the Company's quarterly report filed on
April 8, 2011 with the Securities and Exchange Commission.
The Company has been, and continues to be, named as a defendant in
lawsuits alleging personal injury or death due to exposure to
asbestos in building materials, products, or in manufacturing
operations. The majority of cases are pending in Texas and
Pennsylvania.
As of Feb. 28, 2011, the Company recorded four claims filed and
six claims dismissed. Legal and administrative fees for the
asbestos cases for the first quarter of fiscal 2011 were
US$100,000.
GenCorp Inc. manufactures aerospace and defense products and
systems with a real estate segment that includes activities
related to the re-zoning, entitlement, sale, and leasing of the
Company's excess real estate assets. The Company is headquartered
in Rancho Cordova, Calif.
ASBESTOS UPDATE: Tedeschi Penalized $30,100 for Safety Breaches
---------------------------------------------------------------
The Massachusetts Department of Environmental Protection has
assessed a US$30,100 penalty to Rockland, Mass.-based Tedeschi
Food Shops, Inc. for violations of state asbestos regulations that
occurred during renovation work conducted at its convenience store
located at 766 Central Street in Leominster, according to a
MassDEP press release dated April 12, 2011.
MassDEP investigators observed the violations during an inspection
in August 2010. The inspectors discovered pieces of asbestos-
containing floor tiles that had been improperly removed, handled
and stored on the premises by a general contractor conducting
renovation work for Tedeschi at the site.
Upon discovery of the violations, MassDEP required Tedeschi to
retain the services of a Massachusetts Division of Occupational
Safety-licensed asbestos contractor to properly remove, package
and dispose of all the asbestos waste, and to cleanup and
decontaminate all affected areas of the store.
The Company was cited for failing to notify MassDEP about a
demolition/renovation operation involving asbestos-containing
materials, improper removal and handling of asbestos-containing
materials, and for improper handling, packaging and storage of
asbestos-containing waste materials at the site.
Under the terms of a consent order, MassDEP suspended US$7,100 of
the assessed penalty provided that the company has no further
violations for one year. Additionally, Tedeschi has revised its
store-wide renovation protocol to ensure all areas to be renovated
are surveyed for the presence of asbestos, and to ensure that
licensed asbestos contractors are retained to remove any asbestos-
containing materials identified in the survey prior to commencing
work.
Lee Dillard Adams, deputy director of MassDEP's Central Regional
Office in Worcester said, "Corporations in Massachusetts must be
fully aware of their responsibilities under the regulations to
thoroughly inspect areas of their facilities for the presence of
asbestos-containing materials prior to commencing renovation or
demolition work.
"Failure to identify and remove asbestos materials prior to
commencing such operations is an extremely serious, and ultimately
a costly oversight that potentially exposes workers and the
general public to a known carcinogen."
MassDEP is pursuing a separate enforcement action against the
project contractor, John P. Lataille, and the JPL Construction
Corp. of Pascoag, R.I.
Property owners or contractors with questions about asbestos-
containing materials, proper removal, handling, packaging, storage
and disposal procedures, or the asbestos regulations are
encouraged to contact the appropriate MassDEP Regional Office for
assistance.
ASBESTOS UPDATE: Stewart Case v. 48 Firms Filed March 2 in W.Va.
----------------------------------------------------------------
Nancy Stewart, on behalf of her late husband David L. Grove, on
March 2, 2011, filed an asbestos lawsuit against 48 defendant
corporations in Kanawha Circuit Court, W.Va., The West Virginia
Record reports.
According to the complaint, Mr. Grove was diagnosed with lung
cancer on Oct. 9, 2009 and died March 11, 2010. Ms. Stewart
claims her husband was employed by Armco Steel in Ashland, Ky.,
from 1964 until 1990.
Ms. Stewart seeks a jury trial to resolve all issued involved.
She is being represented by John Sutter, Esq.
Kanawha Circuit Court Case No. 11-C-355 has been assigned to a
visiting judge.
ASBESTOS UPDATE: Withrow Lawsuit v. 136 Companies Filed March 28
----------------------------------------------------------------
An asbestos lawsuit styled Ronald Eugene Withrow vs. 3M Company;
A.C.F. Industries, Inc.; A.K. Steel Corporation; et al was filed
on March 28, 2011 in Kanawha Circuit Court, W.Va., The West
Virginia Record reports.
Mr. Withrow, of Ashland, Ky., was diagnosed with asbestosis on
March 28, 2010. He claims the 136 defendant corporations are
responsible for the diagnosis.
Mr. Withrow seeks a jury trial to resolve all issues involved.
Bronwyn I. Rinehard, Esq., represents Mr. Withrow.
Case No. 11-C-504 has been assigned to a visiting judge.
ASBESTOS UPDATE: Lange Case v. 184 Firms Filed March 30 in W.Va.
----------------------------------------------------------------
An asbestos lawsuit styled Karl H. Lange and Dorothy E. Lange, his
wife vs. 20th Century Glove Corporation; 4520 Corp, Inc.; Acme
Brick Company; et al was filed on March 30, 2011 in Kanawha
Circuit Court, W.Va., The West Virginia Record reports.
Karl Lange was diagnosed with asbestosis and mesothelioma. He and
his wife claims the 184 defendants are responsible for the
diagnosis. They seek compensatory and punitive damages and are
being represented by David P. Chervenick, Esq., Bruce E. Mattock,
Esq., Lief J. Ocheltree, Esq., and Scott S. Segal, Esq.
Case No. 11-C-519 has been assigned to a visiting judge.
ASBESTOS UPDATE: Spurlock Case v. 87 Firms Filed in Kanawha Co.
---------------------------------------------------------------
William Basil Spurlock and wife Betty J. Spurlock, on March 14,
2011, filed an asbestos lawsuit against 87 defendant corporations
in Kanawha Circuit Court, W.Va., The West Virginia Record reports.
According to the case, Mr. Spurlock was employed by Union Carbide
Corporation from 1948 until 1980. He claims he was unaware of the
dangers from exposure to asbestos and was unaware that he had
medical conditions related to his exposure to asbestos until he
was diagnosed with mesothelioma.
The Spurlocks seek compensatory and punitive damages. They are
being represented by William K. Schwartz, Esq.
Kanawha Circuit Court Case No. 11-C-415 has been assigned to a
visiting judge.
ASBESTOS UPDATE: Comeaux Action v. 17 Filed April 1 in Jefferson
----------------------------------------------------------------
Cecilia Ann Comeaux, on April 1, 2011, filed an asbestos lawsuit
on behalf of Charles Lee Comeaux against 17 defendant corporations
in Jefferson County District Court, Tex., The Southeast Texas
Record reports.
Before his death, Mr. Comeaux filed an asbestos suit, but Ms.
Comeaux brings her complaint on allegations that Mr. Comeaux died
from a different, malignant asbestos-related disease than was
named in his previous lawsuit.
Ms. Comeaux alleges the defendant companies caused Mr. Comeaux's
disease because they failed to adequately test their products and
failed to warn of the dangers of asbestos exposure.
Some defendant companies, like 3M Company and American Optical
Corporation, failed to provide Mr. Comeaux with adequate masks to
protect him from the asbestos, while other businesses forced him
to work in close proximity to asbestos, the suit states.
Ms. Comeaux seeks actual and exemplary damages, plus costs, pre-
and post-judgment interest and other relief to which she may be
entitled. Bryan O. Blevins Jr., Esq., of Provost and Umphrey Law
Firm in Beaumont, Tex., represents Ms. Comeaux.
Case No. B189-707 has been assigned to Judge Gary Sanderson, 60th
District Court.
ASBESTOS UPDATE: Judge Lawrence Rules v. Honeywell in Hoogerwerf
----------------------------------------------------------------
McLean County Circuit Judge Paul Lawrence, on April 7, 2011,
directed a verdict for Vickie Hoogerwerf in an asbestos case filed
against Honeywell International Inc., The Madison/St. Clair Record
reports.
Jurors ruled on April 8, 2011 that Honeywell owed Mrs. Hoogerwerf
US$2,950,000 for the wrongful death of husband John Hoogerwerf,
US$1,070,000 for his expenses, and US$300,000 for her losses.
Honeywell lost the trial before it began by informing Judge
Lawrence that consultant Joel Charm would not testify.
On April 4, 2011, first day of trial, Honeywell lawyer Gary
Zimmerman, Esq., of Chicago told Judge Lawrence he asked Mr. Charm
to testify but couldn't make him.
Mr. Charm, a former Allied Signal hygienist, has testified at 22
trials in Bloomington. Though he works for Honeywell, his
testimony has helped plaintiff lawyers James Wylder, Esq., and
Lisa Corwin, Esq., advance their conspiracy theory.
Mr. Wylder and Ms. Corwin brand Honeywell as a conspirator for
buying Allied Signal, which bought brake maker Bendix, which
allegedly conspired to hide the hazards of asbestos.
Local judges order Honeywell to produce witnesses for testimony
about events that happened prior to Honeywell's ownership and
events 60 years before that.
Honeywell has tried for years to keep Mr. Charm and other
employees away from McLean County jurors, with scant success.
A quick trial on damages followed, with Mr. Wylder asking for
about US$7 million and jurors awarding US$4,320,000.
ASBESTOS UPDATE: Eagle Recycling to Pay $500T for Cleanup Breach
----------------------------------------------------------------
Authorities said, on April 11, 2011, Eagle Recycling of North
Bergen, N.J. pleaded guilty in federal court to dumping 8,100 tons
of pulverized construction and demolition debris -- including
asbestos -- in New York and then attempting to destroy documents
to conceal it, The Jersey Journal reports.
As part of the plea agreement, Eagle Recycling has agreed to pay a
criminal fine of US$500,000, implement an environmental compliance
plan at its North Bergen facility, and pay restitution, which
potentially includes cleanup costs.
It may be determined at the Sept. 9, 2011 sentencing how much
Eagle Recycling will pay for the cleanup, which officials could
run into the millions.
Earlier in 2011, Eagle Recycling was fined US$71,600 for workplace
safety and health hazards by the Occupational Safety and Health
Administration.
Authorities said the illegal dumping was performed at a farmer's
property in Frankfort, N.Y., a small town upstate between Albany
and Syracuse, between July and October 2006.
ASBESTOS UPDATE: Scottish Court Upholds "Pleural Plaques" Ruling
----------------------------------------------------------------
Scotland's Court of Session upheld the 2009 passing of the
Scottish parliament's Damages (Asbestos-related Conditions)
(Scotland) Act, which allows sufferers of pleural plaques to make
compensation claims, BBC News reports.
Insurers argued the law was "flawed." Some of the biggest names
in the insurance industry like AXA, opposed the Damages Act,
passed at Holyrood in March 2009.
The law had already overturned a landmark House of Lords ruling
that people with pleural plaques, a symptomless thickening of lung
membranes, cannot claim compensation.
Pleural plaques can be caused by past exposure to asbestos but
have no ill-effects and are not considered a disease in their own
right.
Supporters of the law, like Clydeside Action On Asbestos, argued
that the benign scarring on lungs proves past exposure to asbestos
and increases the risk of fatal disease.
Insurers warned that MSPs ignored medical opinion and had opened
the "floodgates" for claims. The industry argued that the law
breaks European Convention on Human Rights provisions on property
rights and constitutes unreasonable legal interference.
During scrutiny of the legislation, the Scottish government
estimated that costs were likely to peak between GBP7 million and
GBP19 million in the next decade. However, the insurance industry
claimed the costs over the next 20 years would average between
GBP76 million and GBP607 million.
The Court of Session's judgment was welcomed by Grahame Smith,
general secretary of the Scottish Trades Union Congress (STUC).
ASBESTOS UPDATE: Cleanup at Antique Alley in Iowa Costs $11,868
---------------------------------------------------------------
The City Council of Clear Lake, Iowa, awarded a US$11,868 asbestos
removal contract to Ames-based Pro Environmental Abatement Inc.
for the former Antique Alley site located at 19 S. Third St.,
globegazette.com reports.
The City plans to demolish the building, which is located behind
the Clear Lake Veterans of Foreign Wars Saratoga Post 4868, and
use the space as parking.
According to City Administrator Scott Flory, asbestos was found in
the roofing materials, window glazing, tiles and floor. He said
Pro Environmental is scheduled to have the asbestos removal
completed by April 20, 2011.
VFW officials approached the city in December 2010 about helping
to build the parking lot. The VFW purchased the building for
US$250,000 in 2010.
Under an agreement with the VFW, the City is responsible for all
costs up to US$250,000 associated with the building demolition,
utility abandonment, environmental work, site preparation and
parking lot construction.
Any costs above that amount will be shared equally between the
City and the VFW.
ASBESTOS UPDATE: Newlincs Penalized GBP5T for Safety Violations
---------------------------------------------------------------
Huddersfield Magistrates' Court has ordered Grimsby, England-based
Newlincs Services to pay a GBP5,000 fine after three workers in an
asbestos decontamination unit suffered carbon monoxide poisoning,
BBC News reports.
The men, from Sheffield, were working in an asbestos enclosure on
a demolition site in Huddersfield in November 2009. A poorly-
maintained gas boiler in the unit pumped out fumes that safety
experts said could have proved fatal.
Newlincs must also pay GBP3,580 in costs after admitting breaching
health and safety laws.
The Court heard that after working in the asbestos enclosure for
90 minutes the men had to go through a three-stage decontamination
process. They began at the "dirty end," disposing of overalls,
before entering a second stage where they showered and washed
their respiratory equipment.
In the final "clean" section they changed into normal clothes.
However, the Health and Safety Executive (HSE), prosecuting, told
the court tests on the gas boiler used to provide hot water for
the shower showed poor maintenance meant it was pumping out high
levels of carbon monoxide.
Moreover, a door seal and lock between the boiler compartment and
"clean" sections of the unit were damaged, leading to poisonous
gases being drawn into the clean end.
The three men, Richard McKearnen, 59, Tony Deakin, 50, and Paul
Wainwright, 49, were "almost overcome" with dizziness and nausea,
the HSE said.
They were treated with high-flow oxygen therapy at Huddersfield
Royal Infirmary and released later the same day.
ASBESTOS UPDATE: Middleboro to Get $140T for Asbestos Abatement
---------------------------------------------------------------
Massachusetts Senator Marc R. Pacheco said the Middleboro Housing
Authority will receive nearly US$140,000 for improvements at its
Nemasket Apartments development, Enterprise News reports.
The money comes through the Department of Housing & Community
Development's Public Housing Compliance Reserve and will pay for
an asbestos-abatement project.
Senator Pacheco said, "This funding will help the Middleboro
Housing Authority complete an asbestos abatement project that is
much needed to improve overall safety at the authority.
"I'm pleased to see the Patrick/Murray Administration putting
these funds to good use as they are necessary for the Middleboro
Housing Authority to ensure they comply with the law."
ASBESTOS UPDATE: Abatement at Quail Ridge Site Estimated at $88T
----------------------------------------------------------------
New Mexico Senator Howie Morales, D-Silver City, on April 7, 2011,
said that he has secured US$88,000 in state funds to help with the
cleanup in the wake of the Quail Ridge Fire and the possible
danger of asbestos left behind in the debris, Silver City Sun-News
reports.
On March 7, 2011, the Quail Ridge Fire broke out and destroyed 13
homes. Some of those sites have tested positive for asbestos,
said Alan Berg, of Azurite Consulting and Management.
On March 24, 2011, the state Environment Department initially
ruled that it would not be able to assist the fire victims.
However, an email sent from the agency to Morales states that
Environment Secretary Dave Martin would sign a conditional
emergency order, which would allow the state to help those who
need it.
C.J. Law, manager of the Southwest Solid Waste Authority, said at
a meeting of the Grant County Quail Ridge Long-term Recovery Team
that he had concerns victims might try to clean up asbestos-
contaminated material without proper protection.
Mr Law said because of state and federal regulations and red tape,
using a commercial business to clean the asbestos would be cost
prohibitive. Law has said that contaminated materials can not be
taken to the local landfill.
The team is considering taking some of the money that has been
donated by the community to assist fire victims to purchase
hazardous materials gear that victims might be able to borrow.
Senator Morales, who also was at the team meeting, said he would
like to see a meeting with those who have lost their homes to find
out exactly what their needs are and the best way to meet those
needs.
ASBESTOS UPDATE: Western Refining Has $5.48MM Dec. 31 Liability
---------------------------------------------------------------
Western Refining Inc. recorded an asset retirement obligation
liability of US$5,485,000 for the year ended Dec. 31, 2010,
compared with US$5,326,000 during the year ended Dec. 31, 2009.
The Company identified certain refinery piping and heaters as a
conditional ARO since it has the legal obligation to properly
remove or dispose of materials that contain asbestos that surround
certain refinery piping and heaters.
Western Refining, Inc. is an independent crude oil refiner and
marketer of refined products and also operates service stations
and convenience stores. The Company is based in El Paso, Tex.
ASBESTOS UPDATE: IntriCon Corp. Still Subject to Exposure Claims
----------------------------------------------------------------
IntriCon Corporation continues to be a defendant along with a
number of other parties in lawsuits alleging that plaintiffs have
or may have contracted asbestos-related diseases as a result of
exposure to asbestos products or equipment containing asbestos
sold by one or more named defendants.
These lawsuits relate to the discontinued heat technologies
segment, which was sold in March 2005. Due to the non-informative
nature of the complaints, the Company does not know whether any of
the complaints state valid claims against the Company.
Certain insurance carriers have informed the Company that the
primary policies for the period Aug. 1, 1970-1973, have been
exhausted and that the carriers will no longer provide a defense
under those policies. The Company has requested that the carriers
substantiate this situation.
The Company said it believes it has additional policies available
for other years which have been ignored by the carriers. Because
settlement payments are applied to all years a litigant was deemed
to have been exposed to asbestos, the Company said it believes
when settlement payments are applied to these additional policies,
the Company will have availability under the years deemed
exhausted.
IntriCon Corporation is an international firm engaged in
designing, developing, engineering and manufacturing body-worn
devices. The Company is based in Arden Hills, Mich.
ASBESTOS UPDATE: Chase Corp. Still Subject to Scott Case in Ohio
----------------------------------------------------------------
Chase Corporation continues to be one of over 100 defendants in a
lawsuit, filed on behalf of James T. Scott and pending in Ohio,
and alleges personal injury from exposure to asbestos contained in
certain Chase products.
The case is captioned Marie Lou Scott, Executrix of the Estate of
James T. Scott v. A-Best Products, et al., No. 312901 in the Court
of Common Pleas for Cuyahoga County, Ohio.
The plaintiff in the case issued discovery requests to the Company
in August 2005, to which the Company timely responded in September
2005. The trial had initially been scheduled to begin on
April 30, 2007.
However, that date had been postponed and no new trial date has
been set. As of February 2011, there have been no new
developments as this Ohio lawsuit has been inactive with respect
to the Company.
Chase Corporation makes laminates, sealants, and coatings for
pipeline, construction, electronics, as well as printing markets.
Chase pipe coating tapes, Tapecoat and Royston, are sold to oil
companies and gas utilities. The Company is headquartered in
Bridgewater, Mass.
ASBESTOS UPDATE: Jansen Suit v. Chase Still in Discovery Stages
---------------------------------------------------------------
Chase Corporation says that parties in an asbestos lawsuit styled
Lois Jansen, Individually and as Special Administrator of the
Estate of Thomas Jansen v. Beazer East, Inc., et al., No: 09-CV-
6248 are currently engaged in discovery.
The Company was named as one of the defendants in the Jansen
complaint filed on June 25, 2009 in the Milwaukee County
(Wisconsin) Circuit Court.
The plaintiff alleges that her husband suffered and died from
malignant mesothelioma resulting from exposure to asbestos in his
workplace. The plaintiff has sued seven alleged manufacturers or
distributors of asbestos-containing products, including Royston
Laboratories -- formerly an independent company and now a division
of the Company.
The Company has filed an answer to the claim denying the material
allegations in the complaint.
Chase Corporation makes laminates, sealants, and coatings for
pipeline, construction, electronics, as well as printing markets.
Chase pipe coating tapes, Tapecoat and Royston, are sold to oil
companies and gas utilities. The Company is headquartered in
Bridgewater, Mass.
ASBESTOS UPDATE: M&F, Pneumo Abex et al. Ink Final Release Accord
-----------------------------------------------------------------
On Feb. 1, 2011, M & F Worldwide Corp., Pneumo Abex LLC, PCT
International Holdings Inc., Mafco Worldwide Corporation, an MCG
International Holdings Inc. affiliate, Cooper Industries LLC and
various affiliates of Cooper LLC entered into a Full and Final
Release, Settlement and Indemnity Agreement.
The agreement was entered into under which:
-- PCT and Cooper will establish a trust under Delaware law
intended to qualify as a qualified settlement fund under
Treasury Regulations promulgated pursuant to Internal Revenue
Code Sec. 468B that will indemnify Pneumo Abex for asbestos-
related personal injury claims that are subject to
indemnification under the Asset Purchase Agreement dated as
of Nov. 21, 1994 by and between Old Pneumo Abex and Wagner
Electric Corporation;
-- Cooper LLC, whose predecessor in interest, Cooper Industries,
Inc., was a party to the Mutual Guaranty Agreement dated as
of Dec. 30, 1994, will be relieved of its obligation as
successor to Cooper Inc. to guaranty the good and faithful
performance of Wagner's indemnification obligation;
-- PCT, the owner of the entire membership interest in Pneumo
Abex, will contribute such interest to the Trust;
-- PCT will also contribute US$7.5 million to Pneumo Abex and
US$5 million to the Trust; and
-- The Flavors Company will contribute US$7.5 million to the
Pneumo Abex and the Flavors Indemnity will be terminated.
M & F Worldwide Corp. has organized its business and corporate
structure along the following four business segments: Harland
Clarke, Harland Financial Solutions, Scantron and Licorice
Products. The Company is headquartered in New York.
ASBESTOS UPDATE: TOP Ships Subject to Potential Exposure Actions
----------------------------------------------------------------
TOP Ships Inc. may be, from time to time, involved in various
litigation matters, which include asbestos and other toxic tort
claims.
No significant asbestos-related matters were discussed in the
Company's annual report, on Form 20-F, filed with the Securities
and Exchange Commission on April 12, 2011.
TOP Ships Inc., which operates a fleet of about a dozen double-
hull tankers and Handymax vessels, transports refined petroleum
products and crude oil on long- and short-term charters for oil
companies and oil traders. The Company is headquartered in
Maroussi, Greece.
ASBESTOS UPDATE: Behringer Harvard Posts $9.3MM AROs at Dec. 31
---------------------------------------------------------------
The balance of Behringer Harvard REIT I, Inc.'s asset retirement
obligations was about US$9.3 million as of both Dec. 31, 2010 and
Dec. 31, 2009 and is included in other liabilities.
The Company records the fair value of any conditional asset
retirement obligations if they can be reasonably estimated. As
part of the anticipated renovation of acquired properties, the
Company will incur costs for the abatement of regulated materials,
primarily asbestos-containing materials, as required under
environmental regulations.
The Company's estimate of the fair value of the liabilities is
based on future anticipated costs to be incurred for the legal
removal or remediation of the regulated materials.
Behringer Harvard REIT I Inc. operates institutional quality real
estate. As of Dec. 31, 2010, the Company owned interests in 66
properties located in 22 states and the District of Columbia. The
Company is based in Addison, Tex.
ASBESTOS UPDATE: MYR Group Subject to Asbestos-Related Lawsuits
---------------------------------------------------------------
MYR Group Inc. is routinely subject to asbestos-related claims
concerning historic operations of a predecessor affiliate,
according to the Company's annual report filed with the Securities
and Exchange Commission on March 8, 2011.
The Company said it believes that it has strong defenses to these
claims as well as adequate insurance coverage in the event any
asbestos-related claim is not resolved in its favor.
MYR Group Inc. provides utility and electrical construction
services with a network of local offices located throughout the
continental United States. The Company provides services that
include design, engineering, procurement, construction, upgrade,
maintenance and repair services with a particular focus on
construction, maintenance and repair. The Company is
headquartered in Rolling Meadows, Ill.
ASBESTOS UPDATE: Dynegy Inc. Records $120MM Dec. 31 Obligations
---------------------------------------------------------------
Dynegy Inc.'s asset retirement obligations amounted to US$120
million during both the years ended Dec. 31, 2010 and Dec. 31,
2009, according to the Company's annual report filed with the
Securities and Exchange Commission on March 8, 2011.
The Company records the present value of its legal obligations to
retire tangible, long-lived assets on its balance sheets as
liabilities when the liability is incurred.
The Company's AROs relate to activities like ash pond and landfill
capping, dismantlement of power generation facilities, future
removal of asbestos containing material from certain power
generation facilities, closure and post-closure costs,
environmental testing, remediation, monitoring and land and
equipment lease obligations.
Dynegy Inc.'s primary business is the production and sale of
electric energy, capacity and ancillary services from its fleet of
17 operating power plants in six states totaling about 11,800 MW
of generating capacity. The Company is based in Houston.
ASBESTOS UPDATE: 1,540 Open Actions v. Standard Motor at Dec. 31
----------------------------------------------------------------
About 1,540 asbestos cases were outstanding at Dec. 31, 2010, for
which Standard Motor Products, Inc. may be held responsible for
any related liabilities, according to the Company's annual report
filed on March 9, 2011 with the Securities and Exchange
Commission.
In 1986, the Company acquired a brake business, which it
subsequently sold in March 1998 and which is accounted for as a
discontinued operation. When it originally acquired this brake
business, the Company assumed future liabilities relating to any
alleged exposure to asbestos-containing products manufactured by
the seller of the acquired brake business.
In accordance with the related purchase agreement, the Company
agreed to assume the liabilities for all new claims filed on or
after Sept. 1, 2001. The Company's ultimate exposure will depend
upon the number of claims filed against it on or after Sept. 1,
2001 and the amounts paid for indemnity and defense thereof.
Since inception in September 2001 through Dec. 31, 2010, the
amounts paid for settled claims are about US$11.6 million.
In September 2007, the Company entered into an agreement with an
insurance carrier to provide it with limited insurance coverage
for the defense and indemnity costs associated with certain
asbestos-related claims.
The Company has submitted various asbestos-related claims for
coverage under this agreement, and received about US$2.7 million
in reimbursement for settlement claims and defense costs.
In addition, in May 2010, the Company entered into an agreement
with an excess insurance carrier to provide it with limited
insurance coverage for defense and indemnity costs associated with
asbestos-related claims.
The Company has submitted claims to this carrier since it has
exhausted its coverage under the agreement with the primary
insurance carrier discussed above and has received US$800,000 in
reimbursement for settlement claims and defense costs.
Standard Motor Products, Inc. manufactures and distributes
replacement parts for motor vehicles in the automotive aftermarket
industry, with an increasing focus on the original equipment
service market. The Company is based in Long Island City, N.Y.
ASBESTOS UPDATE: Park-Ohio Facing 260 Injury Actions at Dec. 31
---------------------------------------------------------------
Park-Ohio Holdings Corp., at Dec. 31, 2010, was a co-defendant in
about 260 cases asserting claims on behalf of about 1,230
plaintiffs alleging personal injury as a result of exposure to
asbestos.
These asbestos cases generally relate to production and sale of
asbestos-containing products and allege various theories of
liability, including negligence, gross negligence and strict
liability and seek compensatory and, in some cases, punitive
damages.
In substantially all of the asbestos cases, the plaintiffs either
claim damages in excess of a specified amount, typically a minimum
amount sufficient to establish jurisdiction of the court in which
the case was filed -- jurisdictional minimums generally range from
US$25,000 to US$75,000 -- or do not specify the monetary damages
sought.
There are five asbestos cases involving 25 plaintiffs that plead
specified damages. In each of the five cases, the plaintiff seeks
compensatory and punitive damages based on a variety of
potentially alternative causes of action.
In three cases, the plaintiff has alleged compensatory damages in
the amount of US$3 million for four separate causes of action and
US$1 million for another cause of action and punitive damages in
the amount of US$10 million.
In the fourth case, the plaintiff has alleged against each named
defendant, compensatory and punitive damages, each in the amount
of US$10 million for seven separate causes of action.
In the fifth case, the plaintiff has alleged compensatory damages
in the amount of US$20 million for three separate causes of action
and US$5 million for another cause of action and punitive damages
in the amount of US$20 million.
Park-Ohio Holdings Corp. is an industrial supply chain logistics
and diversified manufacturing business operating in three
segments: Supply Technologies, Aluminum Products and Manufactured
Products. The Company is headquartered in Cleveland, Ohio.
ASBESTOS UPDATE: Ore. Firm Fined $1,350 for Abatement Violations
----------------------------------------------------------------
The Oregon Department of Environmental Quality has issued a
US$1,350 penalty to Asbestos Control Group Inc. and Douglas Scott
Winslow, doing business as Asbestos Control Group, Tualatin, Ore.,
for conducting an emergency asbestos abatement project at a Lake
Oswego home without proper prior notification to DEQ, according to
an Oregon DEQ press release dated April 13, 2011.
On Jan. 11, 2011, the penalized parties removed about 400 square
feet of asbestos-containing vinyl floor tiling from a home at 3103
SW Wembley Park Road in Lake Oswego.
According to state law, DEQ is to be notified of any such project
within three days after the project begins. DEQ did not receive
notification of the project and an accompanying notification fee
until more than a week after the project took place, on Jan. 19,
2011.
Douglas Scott Winslow and Asbestos Control Group Inc. did not
appeal the penalty by their April 11, 2011 deadline, and the full
penalty amount is now due.
ASBESTOS UPDATE: Hambicki Case Settled April 13 in Madison Court
----------------------------------------------------------------
An asbestos lawsuit filed by Mack Hambicki, in which the cases is
now headed by Stephanie Jones as administrator of the Hambicki
estate, was settled last April 13, 2011 in Madison County Circuit
Court, Ill., The Madison/St. Clair Record reports.
Hyster, forklift manufacturer, became the last defendant to settle
the suit brought by Ms. Jones.
Mr. Hambicki sued Hyster and companies like Arvinmeritor Inc.,
A.W. Chesterton Inc., Baldor Electric Co. Ford Motor Company, and
Volvo Trucks alleging that exposure to asbestos caused him to
develop mesothelioma. The 2009 suit alleged that from the 1960s
onward, Mr. Hambicki worked as a mechanic in Michigan, and later
in Arizona.
During his employment, Mr. Hambicki contended that he inhaled
asbestos from products made by the defendants. He was diagnosed
with mesothelioma in January 2009. His suit sought damages in
excess of US$50,000.
Several defendants were still standing in the case at the start of
the week. Some, including Ford, Daimler Trucks North America LLC,
Dana Companies LLC, and Saint-Gobain Abrasives Inc., submitted
filings asking for the application of foreign law as late as April
12, 2011.
Attorneys for the remaining parties spent much of their time in
negotiations. Those negotiations pushed off pre-trial motion
hearings set for 10 a.m. on April 13, 2011, before Hyster became
the last defendant to settle.
Randy Gori, Esq., represents Ms. Jones. Madison County Circuit
Judge Barbara Crowder presides over Case No. 09-L-877.
ASBESTOS UPDATE: Trial in CSX Lawsuit v. Peirce Law Firm Ongoing
----------------------------------------------------------------
CSX Transportation Inc.'s lawsuit regarding fraud and racket
claims against the Peirce Law Firm is ongoing.
Pittsburgh asbestos lawyer Robert Peirce, Esq., does not want the
railroad contacting his former clients. On April 6, his lawyer,
Walter DeForest, Esq., of Pittsburgh, asked U.S. Judge Frederick
Stamp to prohibit further contacts and obtain a list of those CSX
contacted.
Mr. DeForest also represents Louis Raimond, Esq., and Mark
Coulter, Esq., both of Mr. Peirce's firm.
Judge Stamp closed the case in 2009, but reopened it this year at
the direction of Fourth Circuit appeals judges in Richmond, Va.
He stayed discovery in March 2011, after Mr. Peirce expressed his
intention to seek Supreme Court review of the Fourth Circuit
decision.
CSX sued the lawyers and radiologist Ray Harron of Bridgeport in
2005, claiming they fabricated asbestos suits. CSX specified nine
allegedly phony suits, and later sought to amend its complaint and
add 11 more.
Judge Stamp set trial, but called it off three weeks before it
would have started. He found that a statute of limitations had
run on eight of nine claims in the complaint and in all 11 that
CSX wanted to add to the complaint.
Judge Stamp granted summary judgment on the only remaining case,
involving Earl Baylor of Tennessee, finding no evidence that his
lawyers knew he did not have asbestosis. If fraud occurred, Judge
Stamp ruled, it did not harm CSX.
CSX appealed, and Fourth Circuit judges in Richmond held last
December 2010 that Judge Stamp improperly started the statute of
limitations at the filing of each suit.
After the case returned to Stamp, CSX claim handler Greg Howard
contacted Donald Wiley, who filed one of the suits CSX planned to
add to the complaint. Mr. Wiley told Mr. Howard that Mr. Peirce
still represented him, and the conversation ended.
For CSX, Marc Williams, Esq., of Huntington wrote that Mr. Wiley's
claim and about 1,400 other Peirce claims were dismissed with
prejudice last June. He wrote that counsel told him the firm
continues to represent certain claimants in asbestos claims
against other entities.
At a conference on March 7, 2011, CSX lawyer Samuel Tarry, Esq.,
of Richmond told Judge Stamp he asked for a list of individuals
with an attorney client relationship.
Robert Lockhart, Esq., of Charleston also represents Peirce,
Raimond and Coulter.
ASBESTOS UPDATE: Vera Action v. Chevron Filed April 11 in Texas
---------------------------------------------------------------
An asbestos action was filed by Gaynell Vera and her children on
behalf of Romeo Vera last April 11, 2011 in Jefferson County
District Court, Tex., The Southeast Texas Record reports.
The Vera family sued Chevron U.S.A., blaming the Company for Mr.
Vera's asbestos exposure and death.
According to the petition, Mr. Vera was employed by Gulf Oil
Corp., now owned by Chevron, at its Port Arthur, Tex., refinery,
where he was exposed to asbestos dust and fibers. The suit
stated, "As a result of such exposure, Romeo Vera developed an
asbestos-related lung disease, for which he died a painful and
terrible death on Oct. 26, 2009."
The plaintiffs are suing for exemplary and punitive damages.
Provost Umphrey attorney Keith Hyde, Esq., of Beaumont represents
them.
Judge Bob Wortham, 58th District Court, has been assigned to Case
No. A189-754.
ASBESTOS UPDATE: Westborough Seeks $250T for Abatement Project
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A warrant article for Town Meeting asks for US$250,000 to replace
pipes and remove asbestos from the Hastings Elementary School in
Westborough, Mass., The MetroWest Daily News reports.
Town Manager Jim Malloy said during the April 12, 2011 selectmen
meeting that the school's heating and air conditioning system is
corroded. Many of the pipes began leaking in 2011, and to fix
them and the asbestos in the ceiling tiles, some pipes must be
removed.
Selectmen asked if it would be possible to wait until fall Town
Meeting, but Mr. Malloy said the School Department prefers to do
repairs this summer while students are on vacation.
Selectman Lydia Goldblatt asked Mr. Malloy to speak with the
company that installed newer pipes, which have contributed to the
corrosion, about paying for part of the project.
Mr. Malloy said he would speak with the company and invite school
district representatives to explain the situation at the April 26
selectmen meeting. The board will then vote whether to support
the article.
ASBESTOS UPDATE: London Police Seeks Extra C$1MM for Abatement
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In a report to a council's finance committee on April 13, 2011,
police in London, Ontario, Canada seek nearly C$1 million over two
years -- C$399,000 in 2011 and C$592,000 in 2012 -- to remove all
remaining asbestos from sections of the Dundas St. headquarters
building untouched by a renovation, the London Free Press reports.
Despite shelling out C$34 million to revamp London police
headquarters four years ago, it appears the city is not finished
paying yet.
The asbestos removal was not included in the initial renovation
price tag because there was not enough money for it, said Deputy
Chief Ian Peer. He added the remaining asbestos is above ceiling
tiles, serving as a fire retardant.
Leaving the existing asbestos intact is an option, though it could
end up costing more down the road, Mr. Peer said.
Ward 13 Councilor Judy Bryant, who sits on the finance committee,
expects the request to go through both committee and council.
Renovations to the station, built in the 1970s, started in 2007.
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