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US appeals court upholds roadless rule in forests
Law Firm News | 2011/10/25 10:13
A federal appeals court on Friday upheld a rule prohibiting roads on nearly 50 million acres of land in national forests across the United States, a ruling hailed by environmentalists as one of the most significant in decades.

Mining and energy companies, however, say it could limit development of natural resources such as coal, oil and natural gas.

The 10th U.S. Circuit Court of Appeals backed the 2001 Roadless Area Conservation Rule after lawyers for the state of Wyoming and the Colorado Mining Association contended it was a violation of the law.

Supporters of the roadless rule say the court's decision preserves areas where outdoor enthusiasts like to hunt, fish, hike and camp. It also protects water quality and wildlife habitat for grizzly bears, lynx and Pacific salmon, supporters say.

Without the roadless rule, protection of these national forests would be left to a patchwork management system that in the past resulted in millions of acres lost to logging, drilling and other industrial development, said Jane Danowitz, director of the Pew Environment Group's U.S. public lands program.


Indiana, Planned Parenthood in court over funding
Law Firm News | 2011/10/22 09:15
Planned Parenthood of Indiana can end a dispute over a law that would cut some of its public funding if it became two separate entities, with one offering abortion services and the other offering general health services, an attorney for the state told a federal appeals court Thursday.

Solicitor General Thomas Fisher said during oral arguments before the 7th Circuit Court of Appeals in Chicago that Indiana's new law is aimed at keeping taxpayer dollars from indirectly subsidizing abortions.

He told the appeals court that Planned Parenthood of Indiana could ensure that wouldn't happen by separating its operations into two entities.

Only by separating the two can we be sure that there's no cross-subsidy, Fisher said.

Planned Parenthood's attorney, Ken Falk of the American Civil Liberties Union, told the appeals court during the 45-minute hearing that Indiana's own Medicaid agency warned state lawmakers while they were weighing the legislation that it would violate Medicaid recipients' freedom of choice by targeting the abortion provider.


Artists sue auction houses over royalties law
Law Firm News | 2011/10/21 09:15
Famed New York painter Chuck Close and other artists are suing Sotheby's, Christie's and eBay, contending the auctioneers willfully violated a California law requiring royalty payments on sales of their works.

The three federal suits filed Tuesday seek class-action status to represent many other artists and demand unspecified royalties and damages — which could total hundreds of thousands of dollars given current art prices.

The suits were filed on behalf of Close — best known for his enormous photorealistic paintings — along with Los Angeles artist Laddie John Dill, and the estate of late sculptor Robert Graham. Graham's works include the ceremonial gate for the Los Angeles Memorial Coliseum that was commissioned for the 1984 Olympics and features nude statues modeled on some of the athletes.

A foundation of late California painter Sam Francis also is named as a plaintiff in the suits against Christie's and eBay Inc.


Arpaio to testify about failed investigations
Law Firm News | 2011/10/18 10:32
The self-proclaimed toughest sheriff in America will appear in court Tuesday to testify about his failed corruption investigations against three public officials who claim the cases were trumped up.

Maricopa County Sheriff Joe Arpaio will testify at an ally's attorney discipline hearing at a time when a federal grand jury is investigating abuse-of-power allegations against him and the U.S. Justice Department is conducting a civil rights investigation of his immigration patrols.

The politically powerful sheriff, who is being courted by four Republican presidential hopefuls for his endorsement, will testify at former Maricopa County Attorney Andrew Thomas' attorney discipline hearing.

Arpaio wouldn't face any punishment if Thomas is found to have violated ethical rules, but the hearing could provide the first official comment from the state's legal establishment on whether the investigations were valid.

Lawyers pressing the discipline case said that the officials, judges and attorneys who crossed Arpaio and Thomas in political disputes were often targeted for investigations and, in some cases, were criminally charged.


Minn. appeals court upholds $1M U verdict
Law Firm News | 2011/10/18 10:31
The Minnesota Court of Appeals has upheld a $1 million civil verdict against the University of Minnesota and men's basketball coach Tubby Smith, denying their request for a new trial.

The ruling Monday says the school must pay $1 million to Jimmy Williams, a former Oklahoma State assistant coach who quit in 2007 because he believed Smith had offered him an assistant coaching job. The offer was apparently withdrawn after the university's athletic director discovered Williams had NCAA recruiting violations in his past.

Last year, a Hennepin County jury found Smith misrepresented his authority by offering Williams the post. A district court judge later reduced the jury's award to Williams from $1.25 million to $1 million. The state Appeals Court also denied Williams' request to reinstate the initial jury award.


SEC backs ban on banks trading for own profit
Law Firm News | 2011/10/14 09:26
The Securities and Exchange Commission Wednesday backed a proposal to bar banks from trading for their own profit instead of their clients.

The SEC voted 4-0 to send the ban on so-called proprietary trading out for public comment. The rule was required under the financial regulatory overhaul.

Critics on the left have dismissed the effort as weak and marred by loopholes. Banks argued it would hurt the economy.

The SEC is the third federal regulator to support the proposal, called the Volcker Rule after former Federal Reserve Chairman Paul Volcker. On Tuesday, the Federal Deposit Insurance Corp. and the Federal Reserve both backed it.

For years, banks bet on risky investments with their own money. But when those bets go bad and banks fail, taxpayers may have to bail them out. That happened during the 2008 financial crisis.

Under the proposal, banks must hold investments for more than 60 days and bank managers must make sure employees comply with restrictions.

The public has until Jan. 13 to comment on the rule, which is expected to take effect by July after a final vote by all the regulators. Banks would have until July 2014 to comply.

Critics on the left contend that the rule as written is too vague and its effect on risk-taking will be limited. Banks have a history of working around rules and exploiting loopholes. In this case, banks can make most trades simply by arguing that the trade offsets another risk that the bank bet on.


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