Section Fourteen-NO!-Seven

Their Honors have had a productive week, issuing orders in all but a handful of the proceedings that last proceeded in Portland.  And one particular word is common to most of those orders, a word other than the usual suspects (e.g., “re”, “Heyburn”, “litigation”, “schedule”, “centralization”, “isosceles”*).  That word is “denied.”  Their Honors have slugged 11 out of 14 proceedings off their dockets this week, for a Ruthian .786 slugging average.

Much to the delight of the defendants on its dozens of complaints, the sluggees include the movant in MDL 2462, Brandywine Communications, whom defendants accused of appalling procedural misconduct in their Panel submissions.  imPaneled is most pleased that Their Honors noted that in denying the motion, and that they rewarded the defense attorney who informed them at the hearing that “the term of art [for Brandywine] is ‘patent troll.’” Practice note: Name-calling is an effective tool when arguing before the Panel, so long as said names are terms of art.

imPaneled is less pleased with the Panel’s denial of defendants’ motion in MDL 2463, In re Fresh Dairy Products Antitrust Litigation (No. II), in which plaintiffs’ counsel voluntarily dismissed an earlier action after its § 1404 transfer to defendants’ preferred court, only to refile with new plaintiffs in yet another court.  Defendants’ scorched-earth attack on that and other procedural maneuvers perhaps incorporated excessive substantive argument, which induced Their Honors to reach far into the past: “‘[[T]]he framers of Section 1407 did not contemplate that the Panel would decide the merits of the actions before it and neither the statute nor the implementing Rules of the Panel are drafted to allow for such determinations.’ In re Kauffman Mut. Fund Actions, 337 F. Supp. 1337, 1339-40 (J.P.M.L. 1972).”

The Panel did not rely on that reasoning in denying the non-settling plaintiffs’ motion in MDL 2468, In re Pilot Flying J Fuel Rebate Contract Litigation.** But it was clearly lurking in the background, as Their Honors held that the parties and various presiding judges should resolve issues arising from the pending settlement before the Panel weighs in.

imPaneled is most distressed with the Panel’s denial of plaintiffs’ motion in MDL 2453, In re Adderall XR Marketing, Sales Practices and Antitrust Litigation–but not for reasons that have anything to do with nonsense like convenience, justice and efficiency.  MDL 2453 was the first proceeding in which imPaneled speculated publicly as to the result based on the hearing–and we got it wrong.  Perhaps we should have been less taken with Judge Barbadoro’s skewering of defense counsel, and more taken with the fact that plaintiffs in the various actions all assert indirect claims based on the statutes of different states.  Their Honors were more taken with the latter.  Finally, we kind of got one right, when we lauded Judge Barbadoro for chiding plaintiffs’ counsel in MDL 2454, In re Franck’s Lab, Inc., Products Liability Litigation.  Their Honors granted defendants’ motion to centralize those cases in the E.D. La.

More Portland Panel postmortem to come after the last few orders hit the dockets.  Then perhaps imPaneled can turn back to some good lead counsel fights.  In the meantime, if you’re not aware of any such fights, feel free to start one.

* – Not really.  imPaneled just wanted to make sure you were reading carefully.

** – Background as to that ugliness is here.

If they want to settle the case, don’t hassle ’em!

In keeping with the football theme of the ongoing Portland Panel Preview, imPaneled shines the spotlight today on MDL 2468, In re Pilot Flying J Fuel Rebate Contract Litigation.  imPaneled’s many readers in Cleveland and Tennessee are likely aware of the underlying claims, as Pilot Flying J is the family business of Cleveland Browns owner (and PFJ CEO) Jimmy Haslam and his brother, Tennessee governor Bill Haslam.  In those parts of the country, press coverage of the allegations has been so intense that controversy surrounding Thursday’s Panel hearing in the case was actually covered in a mainstream newspaper.

But laypeople, try as they may, can’t convey the Panel-centric nuances of the proceeding like imPaneled can.  It began like so many before it, with the public disclosure of a federal investigation, followed by a flood of class actions and a Panel motion.  That in turn was followed by a slew of responses, with most plaintiffs favoring centralization in the S.D. Miss. and PFJ touting its home turf in the E.D. Tenn.

The proceeding became interesting less than a week ago when some (but not all) of the plaintiffs filed in the E.D. Ark.–a district to which no one seeks transfer–a motion seeking the preliminary approval of a class-wide settlement they had reached with PFJ the previous day.  Judge James M. Moody preliminarily approved the settlement the day the motion was filed.  Two days later, the settling parties (including PFJ) asked to stay the Panel proceeding.  The non-settling plaintiffs predictably resisted (and predictably questioned the terms of the settlement) the following day.  And after no doubt spending the weekend engrossed in internal debate, the Panel today entered the minute order imPaneled was hoping to see: “Oral Argument will proceed in this docket as planned.”  Oral Argument indeed.  Settling plaintiffs’ counsel include Lieff Cabraser, the Becnel Law Firm and Zimmerman Reed.  Non-settling plaintiffs’ counsel include Heins Mills and Goldman Scarlato Karon & Penny.

Meanwhile, imPaneled was disappointed to be reminded that when the N.D. Cal. publicly solicited lead counsel applications in the Wells Fargo force-placed insurance cases pending there (see imPaneled’s previous coverage here), it required that they be filed by hand under seal–which means that we will learn nothing about them for the time being.  But there will be wide-ranging lead counsel drama forthcoming in that and vaguely related proceedings nevertheless, which will come to a head before the Panel on Thursday.

The N.D. Cal. Wells Fargo cases are but some of several that comprise MDL 2466, In re Wells Fargo Bank, N.A., Mortgage Corporation Force-Placed Hazard Insurance Litigation.  The plaintiffs’ counsel who forced the public solicitation in the N.D. Cal.–Berger & Montague and Nichols Kaster–have joined forces with Kessler Topaz and Lowey Dannenberg before the Panel, seeking centralization in either the N.D. Cal. or the S.D. Ill.  The Arkansas plaintiffs who were effectively deposed in the N.D. Cal. are resisting centralization anywhere, and aligned with Kozyak Tropin and Podhurst Orseck.

And that is worthy of imPaneled’s attention because . . . .?  Because substantially the same groups of counsel are bickering over venue in three other force-placed insurance proceedings that will be before the Panel on Thursday: MDLs 2464 (v. HSBC), 2465 (v. JPMorgan Chase) and 2467 (v. Bank of America).  The possibilities that would spell victory for one group and defeat for the other are limitless.  The arguments will proceed seriatim immediately after everyone enjoys a lobster lunch.  The plaintiffs’ counsel involved may get eight (rather than the usual two) minutes to speak to the Panel as a result–which is well worth a July trip to beautiful Maine from any district in the nation.

  • About the blogmaster

    Bart Cohen is the principal of the Law Office of Bart D. Cohen, where he represents his clients in class actions and other complex litigation, and Winning Briefs, where he polishes, edits and drafts written work product for overextended lawyers.

    His unnatural appetites for rules and research of all kinds have made him an expert on proceedings before the Judicial Panel on Multidistrict Litigation. He feeds those appetites and chronicles the battles to land lead counsel appointments that are fought in part before the Panel on imPaneled.

    You can contact Bart here or connect with him here.

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