In this edition of Litigation Roundup, Texas touts what could be a first-of-its-kind settlement with an artificial intelligence company accused of misleading customers about the reliability of the product, The Wall Street Journal secures a ruling upholding the strength of its subscription agreements, and the full Fifth Circuit agrees to rehear a case involving a Houston personal injury law firm and a former associate.
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Pillsbury Hires Away Energy and Construction Litigator from Locke Lord
Derrick Carson, who previously chaired Locke Lord’s energy litigation practice and construction law practice groups, has represented clients in complex energy and construction disputes for more than 25 years. Pillsbury announced Monday that Carson joined the firm as a partner in its Houston office.
Paul Hastings Adds to Bankruptcy Practice in Texas
Dallas corporate bankruptcy and restructuring partner Charles Persons has joined Paul Hastings as the corporate law firm continues to beef up its Texas bankruptcy operations.
Led by Jones Day and Porter Hedges, J&J Brings Texas Two-Step to Houston
Johnson & Johnson, hoping the third time’s a charm for solving its multibillion-dollar talc baby powder litigation fiasco, filed for Chapter 11 bankruptcy Friday for its Red River Talc subsidiary in Houston. The case featuring the highly controversial Texas Two-Step procedure has been assigned to Southern District of Texas Bankruptcy Judge Christopher Lopez. Two Texas lawyers expected to play key roles for the debtors in the case are Jones Day partner Gregory Gordon of Dallas and Porter Hedges partner John Higgins of Houston.
Judge Isgur Refers Jackson Walker for Possible Disciplinary Proceedings, Recuses in Bankruptcy Fee Case
In the two-page order, Judge Marvin Isgur also recused himself from all disputes “between the United States Trustee and Jackson Walker that relate to alleged non-disclosure issues by Jackson Walker.” The order was issued in the Chapter 11 bankruptcy case of Altera Infrastructure Project Services, in which former judge David Jones acted as a mediator and Jackson Walker represented a party.
Texas Appeals Ruling Upholding State Fair’s Gun Ban to Fifteenth COA
The Fifteenth Court of Appeals, which opened and began accepting cases Sept. 1, will be tasked with determining whether Dallas County District Judge Emily Tobolowsky got it right when she rejected Texas’ request to halt a ban on guns at the State Fair. Texas has argued it pursued litigation to protect citizens’ gun rights. The defendants argue this case is actually about property rights.
P.S. — North Texas Giving Day, ‘LAWtería’ Game Night, Texas Watch Honors Steve Laird
Lawyers flooded social media this week with announcements that they — and hundreds of their best friends — were named Texas Super Lawyers. But we identified some amazingly good things lawyers did this week for the legal profession and the community.
For example, Legal Aid of Northwest Texas benefited from the annual North Texas Giving Day. Texas Access to Justice Foundation and the State Bar of Texas’s Hispanic Issues Section announced it is hosting its fifth annual virtual game night to raise funds next week. The nonpartisan citizens advocacy group Texas Watch honored Fort Worth trial lawyer Steve Laird with its Champion of Justice Award. And Sheppard Mullin kicked off the Dallas Bar Association’s Equal Access to Justice Campaign, which is being co-chaired by Oncor GC Matt Henry, with a five-figure donation.
Vistra Acquires Remaining Stake in Nuclear and Solar Facilities for $3.25B
Texas lawyers from Latham & Watkins and Sidley Austin advised Vistra on the acquisition of the last 15 percent of Vistra Vision not already owned by Vistra. Vistra Vision owns and operates alternative energy facilities, including four nuclear plants.
PlainsCapital Bank Wants $50M+ Lawsuit Transferred to 15th COA, Guarantors Do Not
A main point of contention in the briefing is whether the dispute centers on a bank loan — which would deprive the Fifteenth Court of Appeals of exclusive jurisdiction over the case under Texas Government Code section 25A.001(14) — or if it centers instead on a guaranty agreement. In the underlying case, parties on both sides of the dispute claim to have been the victims of a Ponzi scheme.
Fired Police Captain Gets $21.35M in Wrongful Termination Trial
A federal jury in Sherman on Thursday awarded $21.35 million in damages to a former Quitman police captain who was fired then arrested for signing an affidavit in 2017 saying he didn’t think a friend could get a fair trial in Wood County because of an improperly close relationship between the county sheriff, the district attorney and the state district judge assigned to Wood County.