GMAC Bank is suing mortgage company HTFC for selling improperly secured loans, which lead to the hilariously blue and aggressive deposition from HTFC CEO Aron Wider. Wider dropped the f-bomb 73 times, frustrating the opposing counsel’s attempts to get him to answer difficult questions like “Where are you currently employed?” Some of the more colorful and creative expletives from the testimony of Mr. Wider, who, according to his company website, serves as company Coprorate Information [sic], CEO / Senior Underwriter, and Radio Engineer, inside…
lawsuits
RIAA Pockets Filesharing Settlement Money, Doesn't Pay Artists Whose Copyrights Were Infringed
By 3.17.08
None of the estimated $400 million that the RIAA received in settlements with Napster, KaZaA, and Bolt over allegations of copyright infringement has gone to the artists whose copyrights were allegedly infringed. Now the artists are considering suing the RIAA.
Woman Sues American Airlines Over Masturbating Passenger
By 3.17.08
A woman has filed a $200,000 lawsuit against American Airlines alleging the flight crew failed to protect her from a passenger who moved into the seat next to hers while she was sleeping, then “masturbated to her” and—well, you’ve seen “There’s Something About Mary”? Yeah, that.
11 Drug Companies Agree To Pay $125 Million For Fixing Prices
By 3.13.08
The Prescription Access Litigation (PAL) coalition filed suit against 11 drug companies in 2002 for artificially inflating the average wholesale price, or AWP, of certain drugs, including ones used to treat serious illnesses such as cancer and HIV. This week, PAL announced that the companies have agreed to pay $125 million to settle—82.5% of the amount will be used to compensate third-party payor’s claims, and the remaining 17.5% will be used for consumer claims. Here’s a list of the drugs involved, and after the jump is a quick guide to see whether you’ll qualify for a claim, pending the judge’s approval of the settlement.
Walmart Hated "Vista Home Basic" And Thought It Should Not Exist
By 3.5.08
Computerworld has posted some excerpts from internal Microsoft emails that seem to imply that Walmart was not happy with “Vista Home Basic.”
Plastic Surgery Company Sues Consumer Site For Negative Customer Reviews
By 3.4.08
Lifestyle Lift claims it’s a “minor one-hour procedure with major results,” but a lot of customers who have paid for the procedure have been left unhappy, and they’ve consequently posted reviews about it on a plastic surgery review blog called RealSelf. Lifestyle Lift has sued RealSelf, claiming trademark infringement, and now RealSelf has countersued, claiming Lifestyle Lift padded RealSelf’s site with shill reviews.
Claim Benefits In Airborne Class Action Lawsuit
By 3.3.08
The Airborne dietary supplement, which claims to help ward off the cold and flu, has reached a tentative settlement in a class action lawsuit that the company misrepresented its product. You can file online or by mail here. Boxes of Airborne used to cite a study by “GNG Pharmaceutical Services Inc” that said it tested 120 people and 47% showed little or no cold flu symptoms, versus 23% of a placebo. However, an ABC news investigation revealed that GNG was a two-man operation started up just to make the Airborne study, and had no clinic, scientists or doctors. Following the negative publicity, Knight-McDowell Labs removed references to the GNG study from its packages. Maybe people just weren’t reading the box carefully and failed to apply directly to the forehead.
Motivational Company Waterboarded Employees?
By 2.29.08
Motivational coaching company Prosper is the subject of an unusual lawsuit: “A supervisor…is accused of waterboarding an employee in front of his sales team to demonstrate that they should work as hard on sales as the employee had worked to breathe.” C’mon team, let’s Gitmo sales! [Salt Lake Tribuine]
Reader Sues Best Buy In Small Claims Court And Wins
By 2.29.08
Should it take several months and a small claims lawsuit to get Best Buy to take back their defective washing machine? No, but that’s what it did take for reader Keith.
By 2.28.08
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The Humane Society of America has sued the USDA in an attempt to close a loophole that allows downer cows who aren’t otherwise ill into the food supply. They claim the loophole increases the risk of introducing mad cow disease to humans, and leads to abuse against the cattle—like with, oh, say, a forklift. [Wall Street Journal]
Network Solutions Sued For Front-Running Domain Names
By 2.28.08
Earlier this year we noted that Network Solutions is “front running” domain names—that is, automatically purchasing domain names that customers search for and holding them for four days before releasing them again. During that period, the only way customers can buy the domain names is through Network Solutions for 3 to 5 times more than what you can pay elsewhere. Now “search engine expert” Chris McElroy has filed suit against them, named ICANN as a defendant, and is seeking class action status.
"Tiny Details" Owner Sends Miniature Threats To Former Customer
By 2.28.08
Tiny Details is a work-at-home company that pays hobbyists to make little dollhousey things. You buy the materials from Tiny Details for $55, make the assigned object(s), and Tiny Details buys them back. Unfortunately, many customers have complained about problems getting payments or refunds from the company over the years—here’s their less-than-stellar BBB entry. Yesterday Kristopher Buchan, the owner of Tiny Details, emailed one former customer/client to tell him his complaints amounted to libel. Buchan demanded the customer remove them from teh interweb, and threatened him repeatedly with a lawsuit. And now we’re posting about it on The Consumerist! See how that works, Tiny Details?
Scammy Computer Seller BlueHippo Settles With FTC For $5 Million
By 2.26.08
BlueHippo, the scammy “no credit check” computer seller accused in several states of taking money from customers without providing the computers and other electronics it supposedly sells, has settled with the FTC for $5 million. They did not admit wrongdoing.
Enzyte's Steve Warshak (And His Mom) Found Guilty!
By 2.23.08
Hooray! Steve Warshak, the snake oil salesman responsible for Enzyte (and consequently for those awful “Smiling Bob” ads) was found guilty today of conspiracy to commit mail fraud, bank fraud, and money laundering. So was his mom.
Librarian Takes Sprint Nextel & Wells-Fargo To Small Claims Court And Wins
By 2.22.08
Last December, Theodore Karantsalis received a letter from Sprint, where he was a customer, telling him that someone who banks with Wells-Fargo—where he’s not a customer—was presented with his invoice and personal data when they logged into their Wells-Fargo Checkfree account. The customer contacted Sprint, and Sprint contacted Karantsalis. Karantsalis decided that he’d deal with the issue on his own instead of bringing a lawyer into it or throwing his hands up in frustration, so he took both companies to small claims court.
Home Depot, Lord & Taylor, Walmart Hire Law Firms To Harass, Bully Alleged Shoplifters
By 2.20.08
The Wall Street Journal has an interesting article about retailers who hire law firms to engage in something called “civil recovery,” in which alleged shoplifters are harassed into paying thousands of dollars… even if the case against them has been dropped, or the retailer never intended to sue at all.
Sharper Image Files Chapter 11, Will Close Half Of Their Stores
By 2.20.08
Hey want to buy an “ionic air filter”? You don’t? Is it because of that annoying class action lawsuit? Hey guess what? You’re not the only one! After losing a class action lawsuit Sharper Image ” said in court papers it fell victim to “negative publicity” as it fought lawsuits over its Ionic Breeze air purifiers.”
