Employer Must Pay Attorney for Secret SettlementLos Angeles, CA Former motel employee William Hang filed a wage and hour lawsuit against his employer, but when Hang’s attorney sought the employer’s payment and obtained a default judgment of $255,000, he discovered that the employer had coerced Hang into a substantially less settlement: $20,000 cash.
California Wildfire Bad Faith Insurance Denial Lawsuits Get New LifeSan Francisco, CA In May 2020, the California Court of Appeal for the First Appellate District reversed the trial court’s grant of summary judgment to State Farm Insurance Co. Leonard and Patricia Fadeeff challenged the insurer’s denial of their claim for damage to their home in the 2015 Valley Fire.
Fadeeff v. State Farm continues to be a seminal case in California bad faith insurance denial lawsuits.
Ninth Circuit Sends "High-Tech Debt Trap" Lawsuit to ArbitrationLos Angeles, CA On February 19, the Ninth Circuit held that a borrower, who found herself in what she described as a “high-tech debt trap,” must arbitrate her claims against the lender, having waived her right to sue. Marggieh DeCarlo was trying to build credit but instead found herself entangled instead in a ruinous web of loan charges, membership fees and bank overdraft fees.
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