May 2008

 

U.S. Supreme Court Rejects “Scheme Liability”

Long-awaited decision reaffirms reliance as essential for securities fraud claims
The U.S. Supreme Court has dealt a potentially fatal blow to class action plaintiffs’ attempts to use the securities laws as a means of holding secondary actor liability when such defendants do not themselves mislead investors but whose conduct facilitates fraud by the securities issuer.

 

Qualcomm Fined for “Monumental” E-Discovery Violations—Possible Sanctions Against Counsel Remain Pending

Section offers materials to help litigators avoid similar nightmares
In a dramatic ruling that underscores the pitfalls of e-discovery, a federal magistrate ordered Qualcomm, Inc. to pay more than $8.5 million in sanctions and referred six attorneys to the California State Bar for possible disciplinary proceedings after Qualcomm withheld tens of thousands of responsive documents in discovery.

Employees Cannot Expect Privacy in E-Mail Using Employers’ Computers

Privileges can be lost when employees use work computers and the employer has reserved its right to access such e-mail
Employees who believe their email communications with their attorneys are privileged may actually be waiving the attorney-client privilege each time they send or receive email via computers owned by their employer, according to a growing body of law.