2022 Pending Lawsuits
The COVID-19 pandemic has led to a backlog of trials, some initially scheduled to be heard over two years ago. This year there is anticipated resolution of long-awaited civil and criminal cases. Below are some of the highlights of some of these lawsuits.
Ongoing Oracle and HP Suit
Oracle sued HPE as far back as 2016 for its involvement with Terix, an IT service management company illegally selling third-party support services to Oracle customers. After successfully winning its suit against Terix for $58 million, Oracle claimed that HP knew of Terix's scheme, making them complicit in indirect copyright infringement, intentional interference, and unfair competition laws. Oracle initially lost this suit, but the judgment was later reversed after the Ninth Circuit determined the lower court's reasoning deficiencies. The case will be reviewed again in an upcoming district court trial and will likely explore software fair use and copyright liability in the tech industry.
Theranos Trials Come to a Close
Theranos Inc. entered the health technology market in 2003 under the leadership of Elizabeth Holmes, its founder and later CEO and chairwoman. The company's claim to fame was its development of automated blood testing that required only a finger prick of blood. This quantity was said to produce up to 30 tests in a few hours. This technology was revolutionary in blood testing, an otherwise lengthy and frequent type of testing. However, in 2015, this illusion was shattered after The Wall Street Journal published an expose on Theranos's falsified lab results and nonexistent technology. After a nearly two-year-long investigation by the United States Securities and Exchange Commission (SEC), CEO Holmes and former president and COO Ramesh Balwani were charged with two counts of conspiracy to commit wire fraud and nine counts of wire fraud. Holmes's trial began in August 2021 and concluded on January 3, 2022. After testimonies from over 30 witnesses, three months of proceedings, and over fifty hours of jury deliberations, Holmes was found guilty on one count of conspiracy to commit wire fraud and three counts of wire fraud. She faces up to twenty years in prison and a fine of $250,000 with restitution for each count. U.S. District Court Judge Edward Davila will sentence Holmes at a later date. In light of an Omnicron surge, Balwani's trial is tentatively delayed from February to mid-March despite his lawyer's objections. Though Balwani and Holmes face the exact charges, they are being tried separately. This is due to a significant part of Holmes's defense relying on the alleged emotional and sexual abuse she experienced from Balwani during their romantic relationship. While these allegations were discussed at large in Holmes's testimony, they are unlikely to come up in Balwani's trial as it's not directly related to the charges at hand.
Bellwether Trials & 3M Ear Plugs
Bellwether trials are sample or test trials that involve thousands of plaintiffs with similar claims. Due to the overwhelming number of plaintiffs, only a handful are selected to speak and represent the claims. Bellwether trials tend to be product liability cases were an immense number of people are experiencing a widespread issue. These sample trials are a tool for all parties to evaluate where they stand in a potential binding court case and what possible settlements they could reach. Aearo Technologies designed the Combat Arm Ear Plugs, earplugs targeted for military use. After a whistleblower complaint in 2016, over 272,000 military veterans have since filed suits against 3M, claiming that the earplugs are defective and led them to develop hearing loss or tinnitus. While it is unlikely that these ongoing suits will threaten 3M's solvency, the claims are copious and negatively impact the brand's reputation. As of January, there have been nine Bellwether verdicts, with six out of nine plaintiffs winning claims against 3M. The average compensation for each plaintiff is around $3.3 million, with the largest payout being $22.5 million. Simultaneous trials with multiple plaintiffs are scheduled throughout the rest of January.
Trump Organization vs. Tax Evasion
Allen Weisselberg, the Chief Financial Officer of the Trump Organization, is nearing his hearing in late August or early September 2022. After concluding an investigation on Michael Cohen, former President Trump's attorney, the Manhattan District Attorney Office opened a subsequent investigation on Weisselberg. During Cohen's investigation, the New York County District Attorney examined countless financial records that suggested Weisselberg was involved in crimes related to campaign finance, the misvaluing of assets, and tax evasion. Weisselberg and the Trump Organization were indicted on 15 felony counts for an alleged fifteen yearlong tax fraud scheme. Both parties pled not guilty in June 2021. While Weisselberg and the Trump Organization have yet to be tried, the charges reflect poorly on the Trump name and impact an anticipated presidential campaign.
George Floyd and the Three Other Officers
Beginning as early as March 2022, the three remaining officers at the scene of George Floyd's murder will go on trial for state charges. Former Minneapolis police offer Thao, Kueng, and Lane were charged in June 2020 for aiding and abetting second-degree murder and manslaughter. Chauvin and the three complicit officers were fired shortly after the video of George Floyd's murder was released. Chauvin was found guilty by the state of second-and third-degree murder in April 2021. In addition to state charges, Thao, Keung, and Lane are currently undergoing their federal trial. The trio is charged with violating George Floyd's constitutional rights by failing to provide medical aid and cease unreasonable force. While Chauvin pled guilty to these charges, the other officers have not. In a report to NPR, Mark Osler, a law professor at the University of St. Thomas, shared that these trials are "unique and important because it does present the question of the duty of officers on what they didn't do, as opposed to reviewing actions themselves."
For more information and background on these upcoming trials, check out Law360's article on "2022 Trials To Watch: Opioids, Oracle and Theranos Redux." To follow litigation updates for all the cases referenced in this article, refer to Reuters Legal and Jurist for free access to world comprehensive legal news.
