Lockheed Martin, a long-time defense contractor, was accused by the federal government of misrepresenting the cost of tools used to build the F-22 and F-35 fighter jets. Allegedly, Lockheed subcontracted out some of the work and that subcontractor inflated the price of tools, a number that Lockheed passed on to the government despite knowing of its inaccuracy. Last Friday, Lockheed agreed to pay the government $16 million to settle the suit. The company denies any wrongdoing, claiming that they settled the suit “in an effort to close the matter in a timely manner.” Continue reading
Author Archives: Lawyer Team
Renters Win $500,000 Settlement Against Landlord’s Scam
A landlord in Baltimore made quite a profit by faking property damage and suing his former renters for restitution. That is, until Hong Park, a nonprofit legal aide looking into the matter for one of the renters, found the landlord’s claims to be a little fishy. The landlord had provided supposed invoices from contractors detailing repairs to the property. Park noted some suspicions about the invoices though — namely, that they didn’t have any company logos and that they were dated when collections began, not when the renter moved out. The lawyer called up some of the referenced contractors and, lo and behold, all of the invoices were forged by the landlord. Park sent the info on to the Maryland Attorney General’s office, and some subpoenas and a class-action lawsuit later, the owner of Ager Road Station Apartments will pay a $500,000 settlement to the former renters he swindled. For anyone who’s dealt with a less-than-honorable landlord in the past, this settlement is a welcome victory.
Keep reading for tips on how to protect yourself from this kind of scam
Former Bear Sterns Employees Share $10 Million Settlement
Employees of Bear Sterns, the financial giant that was among the first failures of the subprime mortgage crisis in 2008, claimed in a lawsuit that the bank mishandled its investments (duh), causing them to lose money in an employee stock ownership plan that was part of a retirement package. Today, the Southern District Court of New York approved a $10 million settlement to be shared among thousands of employees. The number may seem big, but it’s really more of a drop in a dingy bucket, accounting for between 10-28% of their total losses in the stock. According to Reuters, more than 8,400 employees lost about $215 million in the collapse. The settlement means that the former Bear Stearns (now owned by JPMorgan, who shilled out the settlement money) will never have to answer as to whether they knew their investment plan was unsustainable and risky. If it went to court, in light of the recent $25 billion federal mortgage settlement, I’d like to think they’d have little to say in response.
For some laughs, here’s Mad Money’s Jim Cramer promising that Bear Stearns was not in trouble mere days before its complete failure and sale.
Texas Educators Ordered to Apologize Post-Settlement
Apparently civility is the kind of thing that needs to be enforced by a court. A few weeks after a settlement banning school administrators in Texas from promoting religious displays, U.S. District Judge Fred Biery issued an order forcing certain school employees to apologize to the plaintiffs in the settled case. The settlement included a term forbidding administrators and employees from “disparaging” the plaintiff’s family, some agnostics who had objected the the promotion of prayer in a San Antonio graduation ceremony. The superintendent of the school district then nearly immediately disparaged the plaintiff’s family in a televised interview, not deigning to wait even a few hours after the settlement was reached. Later, the director of the high school marching band accused the plaintiffs of “lies and false accusations” on Facebook, a statement that could be construed as slander, should the plaintiff be able to prove that she is not a liar.
Judge Biery then issued a “Non-Kumbaya” order, essentially claiming that the defendants in the case need not be perfect friends with the plaintiffs, holding hands and singing “Kumbaya” together and whatnot, but that they must at least be publicly amicable and civil. The order required two signed documents within ten days: one noting that the defendants have apologized for their outbursts, and one noting that the plaintiffs have accepted the apology. In his order, Judge Biery stressed that “silence is golden”, and that some people, such as Richard Nixon and Bill Clinton, have paid a price for “talking too much”.
It’s a sad state of affairs when a judge has to step in to force someone to be graceful and reverent by order of the court. Makes it hard to believe that Coach Taylor could train such stand up players in an environment full of sore losers.
Settlement News in the Entertainment Business
The entertainment world has recently reached a few settlements, and brought some old ones back up for new litigation.
- A settlement has finally been reached in the Michael Jackson secret recording case. In 2003, as Michael Jackson flew to Santa Barbara, California to turn himself in on child molestation charges, the jet company he hired conspired to record the pop singer and his lawyers. Shortly thereafter, Jeffrey Borer of XtraJet attempted to sell the video to media outlets in the ensuing media frenzy of that particular trial. Not exactly the machinations of a smooth criminal, here. Now, nearly a decade later, Jackson’s attorneys have reached a $750,000 settlement with the now-defunct company, meaning Borer will never have to go to trial for invasion of privacy.