In the News Today - March 21, 2017

March 21, 2017

Arrest Warrant Issued for Litigation Financiers Involved in Cigna Case: U.S. District Judge Paul Diamond issued a bench warrant for the arrest of Martin Kenney and Garrett Kelleher after both failed to appear to determine their liability to insurer Cigna. In 2016, Judge Diamond ruled that Kenney and Kelleher had “repeatedly thumbed their noses at the courts of the United States” and were liable to Cigna for “orchestrating” continued action against the company. Both men argued that Judge Diamond does not have jurisdiction over them as they are not U.S. citizens, but “the takeaway is that foreign litigation funders should be mindful that they are subject to orders of U.S. courts.” (Reuters)

Why We Need Class Action Reform: “Class action and multidistrict cases are in real trouble,” writes Alexander Dahl, a shareholder in the law firm Brownstein Hyatt. It was necessary to implement class action reform in 1966 with the revision of Rule 23 and again in 1968 when Congress created the Judicial Panel on Multidistrict litigation. “Now these mechanisms are exceeding their limits and should be reined in” with the Fairness in Class Action Litigation Act (FICALA), which passed the House earlier this month. (Law360)

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