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Court sides with NJ judges in pension dispute
Court News | 2012/07/27 11:58
New Jersey's Supreme Court dealt a partial defeat to one of Gov. Chris Christie's signature legislative accomplishments Tuesday when it ruled that the state's judges don't have to contribute more to their pensions and health benefits. A leading state lawmaker immediately said the battle over the matter would continue.

The narrow 3-2 decision sided with a legal challenge filed last year by a state Superior Court judge in Hudson County who argued that the law imposing the pension and health care benefits changes violated a part of the state constitution that set judges' salaries and said they cannot be reduced.

The justices noted in their ruling that without a corresponding salary increase, the increased contributions would eventually cost judges at least $17,000 annually in take-home pay, amounting to a pay cut of more than 10 percent.

Christie, a Republican, had worked with the Democratic-controlled Legislature to pass the law last year. It affects hundreds of thousands of government workers around the state in addition to between 400 and 500 sitting judges and justices.


Court rejects Florida prison privatization appeal
Court Watch | 2012/07/25 14:58
An appellate court on Tuesday tossed out Attorney General Pam Bondi's request for a decision to uphold the proposed privatization of 29 South Florida prison facilities.

A three-judge panel of the 1st District Court of Appeal rejected her plea to reverse a lower court's ruling against privatization, saying Bondi couldn't appeal on her own after her client, the Department of Corrections, declined to do so. The panel unanimously dismissed the case because Bondi was not a party.

"A party who suffers an adverse judgment in Circuit Court has the right to appeal, but nonparties whose rights have not been adjudicated have no right of appeal," Chief District Judge Robert Benton wrote for the court.

Leaders of the Republican-controlled Legislature had urged Bondi to appeal after Gov. Rick Scott decided the department, which is part of his administration, would not.

One of Bondi's assistants acknowledged during oral argument last month that it was too late to carry out the privatization due to the expiration of a budget provision authorizing the plan. Nevertheless, Assistant Attorney General Jonathan Glogau asked the appellate court to issue a ruling upholding the privatization provision that would set a precedent for future budgets.








Pa. high court denies Orie Melvin request
Court Watch | 2012/07/20 12:07
A Pennsylvania state Supreme Court justice who is fighting political corruption charges has lost a request for her fellow justices to intervene in her criminal court case and require that an out-of-county judge preside over it.

The state Supreme Court issued the one-page order denying the request from suspended Justice Joan Orie Melvin on Tuesday. Melvin had sought to keep Allegheny County judges from hearing her case, complaining that one Allegheny County judge is married to a key prosecution witness, Lisa Sasinoski.

Melvin also had objected to a local district judge presiding over her preliminary hearing, saying the case may be too complex. Melvin asked her colleagues on the state Supreme Court to intervene after an Allegheny County judge denied her initial request.


Goldman agrees to settle mortgage debt class action
Legal Business | 2012/07/18 16:07
Goldman Sachs Group Inc has agreed to settle a class-action lawsuit with investors who claimed losses on $698 million of securities backed by risky mortgage loans issued by defunct subprime lender New Century Financial Corp.

Lawyers for the investors said in a letter filed in U.S. District Court in Manhattan on Tuesday that a proposed settlement had been reached. Terms were not immediately disclosed, though they are expected to be included in court papers filed by July 31.

Goldman is one of many banks accused by U.S. legislators and regulators of fueling the nation's housing and financial crisis by misleading investors about the quality of mortgage debt they sold.

A federal judge in February ordered Goldman to face the class-action lawsuit that accuses it of defrauding investors in GSAMP Trust 2006-S2, a $698 million offering of certificates backed by second-lien home loans.

The loans were made by New Century, a subprime mortgage specialist that went bankrupt in 2007.

The investors, led by the Public Employees' Retirement System of Mississippi, contend the offering documents contained materially untrue statements about the underwriting and appraisal standards used by California-based New Century, the mortgage originator. Goldman securitized and issued the certificates.


Japan whistleblower sidelined despite court ruling
Legal Business | 2012/07/11 15:39
An employee at Japanese medical equipment maker Olympus said Wednesdaythat his humiliating treatment has not changed despite a Supreme Courtruling that his demotion for whistleblowing was illegal.Masaharu Hamada said he is still isolated in the office and after lastmonth's court judgment is not given any work. His was the firstwhistleblower case to reach Japan's highest court.His lawyer Koichi Kozen said Hamada may have to file another lawsuit,complaining of human rights violations. Japan remains behind Westerncountries in penalizing companies that fail to abide by court rulings,and some fines are so small companies would rather pay up than abide,Kozen said."We would hope the company would respond quickly, but there has beenno response," Kozen said. "We want Mr. Hamada to get a new assignment,where he can be happy."Hamada, 51, an Olympus salesman with experience in the United States,first sued in 2008, alleging punishment for relaying a supplier'scomplaint.He is considered a whistleblower in Japan because he raised questionsabout colleagues' professional behavior and was subjected to bizarreand humiliating punishment, such as taking rudimentary tests.


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