Pilot Flying J to Pay Government $92M

Today, it was reported that Jimmy Haslam's company, Pilot Flying J, will pay approximately $92 million in fines to the government. Haslam is also the owner of the NFL's Browns and brother to the governor of Tennessee. Under the terms of the deal, it is unlikely that the US Attorney's Office will prosecute Mr. Haslam for the allegations that his company engaged in an elaborate rebate scam in which thousands of trucking companies were defrauded.

The scam is alleged to have occurred from 2007 up until the corporate offices were raided by the F.B.I. in April 2013. A large class action was filed against Pilot Flying J, but most of the claimants have settled their claims. There are still claims pending against the corporation in various courts. See my previous blog posts for more background on this story.

For more on the deal Mr. Haslam got with the government, click the link below:

http://espn.go.com/nfl/story/_/id/11214330/jimmy-haslam-company-pilot-flying-j-pay-92m-fine

NFL Concussion Settlement Approved

This week, U.S. District Judge Brody, issued a ruling and granted preliminary approval of a settlement in the high-profile former NFL players lawsuit over concussions. An agreement had been reached nearly seven months ago, but Judge Brody would not approve it based on concerns that the agreement may not be sufficiently funded. That settlement was estimated to total $765 Million. This agreement is non-capped, as the previous agreement was capped. 

A fairness hearing on the terms of the agreement will be heard by Judge Brody on November 19th. Seven former players have already filed objections to the settlement agreement. 

MDL Judge Denies Blue Cross Blue Shield Motion To Dismiss

In what may be a landmark case for the health insurance industry, Judge Proctor of the U.S. District Court for the Northern District of Alabama, issued an Order denying Blue Cross/Blue Shield's Motion to Dismiss in early June. The cases, which have been consolidated into an MDL under Judge Proctor, were brought by providers and subscribers claiming Sherman Act anti-trust violations by Blue Cross/Blue Shield. 

Although this case is a long way from any final decision from Judge Proctor (not to mention anticipated appeals by either or both sides), his ruling stymied the Defendants' attempts to have the case thrown out before any real litigation took place. Now that the ruling has come out, discovery can proceed, which will surely by expansive and contested. 

To read Judge Proctor's Memorandum Order, click HERE.

For an article posted on AL.com which covers the story, click on the link below: 

http://www.al.com/news/index.ssf/2014/07/blue_cross_lawsuit_could_have.html#incart_river

For a more in depth discussion of the legal defenses and the Order, click on the link below:

http://www.lexology.com/library/detail.aspx?g=711a75a2-b8c5-401a-a64c-b339523de9a1