Eversheds Sutherland 11th Circuit Business Blog
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Body Shops Can Proceed with Antitrust Claims Against Auto Insurers

A divided panel of the Eleventh Circuit has reversed the dismissal of antitrust and state law claims asserted by auto body shops against automobile insurers. Quality Auto Painting Ctr. of Roselle, Inc. v. State Farm Indem. Co., 2017 WL 3910750 (11th Cir. Sept. 7, 2017).  Senior Judge Lanier Anderson’s lengthy dissent and partial concurrence would have affirmed the dismissal of all of...

NO ERISA CLAIMS FOR MULTI-EMPLOYER PENSION FUND CONTRIBUTOR

Responding to a pension fund’s dire financial condition, its board passed an amendment requiring employers withdrawing from the fund to pay a portion of the fund’s deficiency. One contributing employer, WestRock, then sought a declaratory judgment that the amendment violated ERISA, arguing on appeal that it had a claim under 29 U.S.C. §§ 1132(a)(10) or 1451(a). Whether these provisions...

When Confirming Diversity of Citizenship, Trust—but Verify

In Purchasing Power, LLC v. Bluestem Brands, Inc., 2017 WL 1046103 (11th Cir. Mar. 20, 2017), the Eleventh Circuit reminded litigants and their counsel that it is critical to confirm the citizenship of all relevant corporate entities in determining the existence of diversity jurisdiction, but reversed the district judge’s order imposing “inherent power” sanctions on a party which had...

Statutory Non-Waiver Provision Does Not Prevent Severance of Unlawful Terms and Arbitration Enforcement

Where an arbitration provision includes substantive limitations on the relief otherwise available to a party under a federal statute, there are three possible judicial responses: sever the offending provisions and enforce the agreement; enforce the agreement and leave any invalidity questions to the arbitrator, as in PacifiCare Health Systems, Inc. v. Book, 538 U.S. 401 (2003); or...