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Massive LA County court layoffs to begin Friday
Law Firm Legal News | 2012/06/15 11:12
Squeezed by state budgets cutbacks, the Los Angeles County court system is launching massive job layoffs, pay cuts and transfers, court officials said Thursday.

Cutbacks that will be implemented Friday will affect 431 court employees and 56 courtrooms throughout the nation's largest superior court system.

Presiding Judge Lee Smalley Edmon bemoaned the loss of longtime employees as well as the impact on public services.

We are laying off people who are committed to serving the public, she said. It is a terrible loss both to these dedicated employees and to the public.

The union representing state and municipal employees called Friday's action a freeze on justice in Los Angeles and warned that the county would experience an end to timely justice with cases being delayed for years, particularly in civil courts.

The American Federation of State, County and Municipal Employees — AFSCME — planned to have representatives on hand to assist employees who will not know they are losing their jobs until they are informed individually Friday.

A spokeswoman for the California Judicial Council said other courts in the state will also be impacted by the budget cuts but will handle them individually. Los Angeles' court system, as the largest, will be the most heavily affected.

Edmon said the drastic actions are the result of a state mandate to reduce annual spending by $30 million. She noted that earlier reductions already saved $70 million, but more cuts in state support for trial courts are scheduled for the next fiscal year.


Appeals court rejects waste storage at nuke plants
Law Firm Legal News | 2012/06/09 10:58
A federal appeals court on Friday threw out a rule that allows nuclear power plants to store radioactive waste at reactor sites for up to 60 years after a plant shuts down.

In a unanimous ruling, a three-judge panel of the U.S. Court of Appeals for the District of Columbia said the Nuclear Regulatory Commission did not fully evaluate the risks associated with long-term storage of nuclear waste. The court said on-site storage has been optimistically labeled as temporary, but has stretched on for decades.

The decision puts the Obama administration in a bind, since the White House directed the Energy Department to rescind its application to build a final resting place for the nation's nuclear waste at Nevada's Yucca Mountain and cut off funding two years ago. An alternative site has not yet been identified.


2nd campaign aide to DC mayor pleads guilty
Law Firm Legal News | 2012/05/26 16:05
For the second time in three days, a former campaign staffer to District of Columbia Mayor Vincent Gray has pleaded guilty to a federal offense arising from Gray's 2010 mayoral bid.

Howard Brooks pleaded guilty Thursday to lying to the FBI about payments he made to another mayoral candidate using Gray campaign funds. On Tuesday, former Gray aide Thomas Gore pleaded guilty to making some of the same payments and shredding records of them.

Authorities said the cases makes clear that the Gray campaign engaged in dirty politics.

Today's guilty plea further reveals the underhanded dealings that tainted the integrity of the 2010 mayoral campaign, U.S. Attorney Ronald Machen said in a statement.

What remains unclear is whether Gray participated in or even knew about the criminal activity. While Gray has suffered politically from the scandal, he has not been implicated in any crimes. He has insisted previously during a long-running federal probe that he knew nothing about the potential misdeeds committed by staffers.

The most serious offenses that arose from the cases against Gore and Brooks occurred after Gray took office and involved attempts to conceal the Gray campaign's schemes. Gore pleaded guilty to shredding records of payments made with Gray campaign funds to Sulaimon Brown, a minor mayoral candidate. And Brooks admitted lying to the FBI about his involvement in giving Brown the money.


Court: Families cannot sue over loan discount fee
Law Firm Legal News | 2012/05/24 16:04
The Supreme Court ruled unanimously Thursday that three families cannot sue a mortgage company for allegedly charging them a loan discount fee without giving them a lower interest rate.

The high court's decision tosses out lawsuits filed in 2008 against Quicken Loans, Inc., in Louisiana by three families who claimed they paid the fees without receiving anything in return. The Freeman family paid $980 and the Bennett family $1,100 in loan discount fees but allegedly did not get lower interest rates in return. The Smith family allegations focus partly on a loan origination fee of $5,100, which they claim was a mislabeled loan discount fee.

A federal judge threw the lawsuit out, saying the Real Estate Settlement Procedures Act made the lawsuit improper. That decision, which was upheld by the 5th U.S. Circuit Court of Appeals in New Orleans, was appealed to the Supreme Court.

The law says no person shall give and no person shall accept any portion, split, or percentage of any charge made or received for the rendering of a real estate settlement service in connection with a transaction involving a federally related mortgage loan other than for services actually performed.

The argument is over whether that law prohibits the collection of an unearned charge by a single settlement provider, or whether it covers only transactions in which a provider shares part of a settlement-service charge with one or more other persons who did nothing to earn it, said Justice Antonia Scalia, who wrote the opinion.


Texas high court orders state to pay ex-inmate $2M
Law Firm Legal News | 2012/05/18 22:32
The Texas Supreme Court ordered the state Friday to pay about $2 million to an ex-inmate who spent 26 years in prison for murder before his conviction was overturned, a decision legal experts said could set a new standard for when ex-prisoners should be compensated.

Texas has paid nearly $50 million to former inmates who have been cleared. But state Comptroller Susan Combs had resisted paying Billy Frederick Allen, arguing that his conviction was overturned because he had ineffective lawyers, not because he had proven his innocence.

The state Supreme Court, in a unanimous opinion written by Justice Dale Wainwright, disagreed, saying the state's criminal courts had shown Allen had a legitimate innocence claim and he should be paid.

Jeff Blackburn, chief counsel of the Innocence Project of Texas, which works to free wrongfully convicted inmates, said Friday's ruling could open the door for more compensation claims from ex-prisoners.

The floodgates are not opening, but what this will do is give a fair shake to people who are innocent, Blackburn said. This is a major step forward in terms of opening up and broadening the law of exoneration in general.

Texas' compensation law is the most generous in the U.S., according to the national Innocence Project. Freed inmates who are declared innocent by a judge, prosecutors or a governor's pardon can collect $80,000 for every year of imprisonment, along with an annuity.


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