A federal court has jurisdiction over causes of action created by federal law and over cases in which the plaintiff’s right to relief depends on the resolution of a substantial question of federal law. If a federal court lacks subject matter jurisdiction, the case must be remanded to state court,…
The Virginia Business Litigation Blog
Recent ADA Guidelines on How to Treat Applicants and Employees with Cancer or Intellectual Disabilities
While most people know that the Americans with Disabilities Act (ADA) protects employees who have obvious visual, hearing, and physical impairments, how the law relates to employees with cancer and intellectual disabilities can sometimes raise questions. The Equal Employment Opportunity Commission (EEOC), the agency that enforces the employment provisions of…
Removal, Rather Than Procedural Gamesmanship, Is How to Secure Federal Forum
The Fourth Circuit clarified last week that after a case is filed in state court, a defendant desiring a federal forum should seek removal rather than file a separate declaratory judgment action in its federal district court of choice. In VRCompliance v. HomeAway, Inc., the court noted that the federal…
Prior to Derivative Suit, Shareholder Demand Must Clearly Identify Wrong and Demand Action
A shareholder acting on behalf of a corporation may bring a “derivative suit” against corporate directors and management for fraud, mismanagement, self-dealing or dishonesty. Before bringing such a suit, the shareholder must make a written demand that clearly identifies the alleged wrong and demands the corporation take action to redress…
An Unsigned Contract is No Party for Wiz Khalifa
Musical artist Cameron Jibril Thomaz, better known as “Wiz Khalifa,” recently saw his breach of contract case against It’s My Party get dismissed. Mr. Thomaz had hired The Agency Group as his booking agent for a new tour which would have included a concert at The Patriot Center in Northern…
Res Judicata: Double Jeopardy’s Civil-Lawsuit Cousin
When Cecil Addison was passed over for promotion, he sued Volvo Trucks North America and Ivan Mitchell in the Western District of Virginia for breach of contract and discrimination. Volvo Trucks had a contract agreement with the United Auto Workers Union. Addison alleged the defendants changed the contract’s job requirements…
How Much Is Your Emotional Distress Worth?
Federal laws protect whistleblowers from retaliation because the government wants people to report fraud in government contracts. When Weihua Huang, a principal investigator on a National Institutes of Health (NIH) research grant at the University of Virginia, discovered unauthorized changes that diverted grant money to unrelated salaries and expenses, he…
Unserved Forum Defendants Can’t Remove to Federal Court
If a literal reading of 28 U.S.C. 1441 (the forum defendant rule) would lead to an absurd result, then it should not be interpreted that way, according to a recent decision of Judge Morgan of the Norfolk Division of the Eastern District of Virginia. Eddie Campbell sued his former employer,…
Tortious Interference with Business Expectancy Requires More Than Usual Workplace Conflict
Jennifer Taylor worked for Allied Waste Industries. When Allied merged with Republic Services, Inc., Taylor found the new management’s style different and problematic. Her new supervisors were described as “micromanagers,” and Taylor clashed with them over many issues, including her job performance with which her supervisors’ were dissatisfied. Taylor attempted…
The Consequences of Destroying Evidence
Spoliation of evidence can result not only in an adverse inference instruction to the jury, but in an award of attorneys fees and expenses incurred in proving the spoliation. As demonstrated by the contentious trade secret litigation between E.I. DuPont de Nemours and Company and Kolon Industries, Inc., those fees…