Posts Tagged ‘legal extortion’

Unions exploit California environmental law for leverage

The California Environmental Quality Act (CEQA) and other California laws are notorious for delaying and driving up the cost of building projects. Aside from their uses for neighbors pursuing Not In My Back Yard (NIMBY) goals, the environmental laws are also employed for leverage by labor unions who threaten to invoke them “to stop new construction unless they get a cut of the action. One developer is fighting back.” [Scott Shackford, earlier on CEQA]

California: “Lawyer, wife convicted in extortion plot against businesses”

“A California attorney and his wife were convicted of engaging in a scheme to extort minority, immigrant-owned businesses.” [Associated Press] “[Rogelio] Morales and [Mireya] Arias engaged in a scheme in 2016 to file ‘meritless gender discrimination lawsuits to pressure minority business owners into giving them thousands of dollars in alleged “settlements,”‘ a prosecution trial brief said. Prosecutors said Morales and Arias would obtain services from the small businesses they targeted — salons or dry cleaners — and if they were charged differently for the same service, they would file a lawsuit claiming a violation of a California anti-discrimination law, prosecutors said.” [Richard K. De Atley, Press-Enterprise (Riverside, Calif.)]

July 22 roundup

  • Facebook fought dragnet-with-gag-order subpoena in NY police/fire disability-fraud case [Mike Masnick, TechDirt]
  • Two lawyers charged in alleged plot to extort millions from wealthy sheik [ABA Journal]
  • Judge declares mistrial, plans new trial date in case of allegedly faulty guardrails [Bloomberg, more, background]
  • Last year Overlawyered made the “Hall of Fame” and from now through Aug. 8 you can nominate other sites for the ABA’s annual Blawg 100 honor;
  • Supreme Court, which seldom grants cases raising non-delegation doctrine, agrees to hear Dept. of Transportation v. Assn. of American Railroads [Roger Pilon/Cato, Gerard Magliocca] And Prof. Philip Hamburger, author of bracing new book Is Administrative Law Unlawful (earlier), has just guest-blogged about it for a week at Volokh Conspiracy, and has a related podcast at Law and Liberty;
  • David Henderson writes rave review of new Peter Schuck book Why Government Fails So Often [Regulation, PDF; excerpts also at Econlib and more, earlier on Schuck book]
  • Legal academia stunned, in grief after highly regarded criminal law specialist Dan Markel is murdered in his Tallahassee home [PrawfsBlawg, Dave Hoffman, Marc DeGirolami]

June 26 roundup

  • Court slaps “nightmare” Sacramento litigant Raj Singh with sanctions [KXTV, auto-plays, earlier]
  • Child overprotection: “I don’t think they even drink liquid soap, the gateway drug for sunscreen.” [Lenore Skenazy, Free-Range Kids]
  • Three-fer: personal injury, qui tam lawsuits against guardrail maker coordinated by disappointed patent litigant [Insurance Journal]
  • Donald Trump hit with sanctions in lawsuit for not disclosing insurance policy [South Florida Business Journal, our Trump coverage]
  • On AirBnB and sharing services, it’s lefty economist Dean Baker (con) vs. David Henderson (pro). Go David! [EconLib] London black cabs seek level playing field with Uber. Good idea, let’s deregulate ’em both [Matthew Feeney, Cato]
  • Waffle House chairman claims attorneys committed extortion in ex-housekeeper’s sex lawsuit [Atlanta Journal-Constitution]
  • “Tenth Circuit Says No to ‘Death by Discovery’ in Dispute over Agreement to Arbitrate in Class Action” [Lars Fuller, Class Action Blawg on Howard v. Ferrellgas Partners LP]

California: Lawyer’s nastygram threat is free speech, not extortion

In a menacing letter that included the draft of a complaint, well-known entertainment lawyer Martin Singer informed his target that “I have deliberately left blank spaces in portions of the complaint dealing with your using company resources to arrange sexual liaisons with older men such as ‘Uncle Jerry,’ Judge ——, a/k/a ‘Dad’ (see enclosed photo), and many others. When the complaint is filed with the Los Angeles Superior Court, there will be no blanks in the pleading.” Now California appeals court judge Steven Suzukawa has ruled that the threatened disclosure was appropriately related to the financial dispute at issue and did not constitute extortion as a matter of law. [Hollywood Reporter, earlier]

August 10 roundup

Annals of rape allegations

“A Louisville police detective testified Monday that she was surprised to see television reporters outside the police station when Karen Sypher arrived to file a rape report last year against University of Louisville basketball coach Rick Pitino.” [USA Today, more] A year ago Sypher’s lawyer wrote Pitino a letter demanding $10 million on threat of suit. Sypher is now on trial for alleged extortion and her then lawyer has given testimony for the prosecution. [ABA Journal]

Update: lawyer’s baseless demand letter amounted to extortion

Updating our March 2008 coverage: The New Hampshire Supreme Court ruled last month that an attorney could properly be convicted of extortion for sending a demand letter threatening patently baseless litigation. The lawyer had sent the letter (which included a demand for monetary payment) to a hair salon threatening litigation over its purportedly discriminatory setting of different rates for men’s and women’s haircuts. A crucial element in the decision was that the lawyer did not in fact have a client in hand with a potential complaint as an actual customer of the salon. [Eugene Volokh, Above the Law; State v. Hynes, PDF] “Assistant Attorney General Elizabeth Baker said Hynes sent letters to at least 19 salons in the state.” [Concord Monitor 2008 coverage]