Fleming v. Bayou Steel: Parent, Holding Company, Private Equity Liability under the WARN Act.

A recent Fifth Circuit case highlights an employer’s obligation to give employees notice of mass layoff or plant closure under the Worker Adjustment and Retraining Notification Act. Fleming v. Bayou Steel BD Holdings, 83 F.4th 278 (5th Cir. 2023). The case also sets forth the test used to determine if a parent company may be
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EEOC Sues United Healthcare Services for Religious Discrimination Against Remote Worker for Refusing COVID Vaccine

The Equal Employment Opportunity Commission (“EEOC’) has filed a lawsuit against United Healthcare Services (“United Healthcare”) alleging that the company violated federal law by refusing to grant religious accommodations to a remote worker. EEOC v. United Healthcare Services, Inc., Case No.2:23-cv-03010-MHW-KAJ. This lawsuit is interesting, in part, because it will apply the heightened burden standard
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Piercing the corporate veil is an exceptional remedy

Virginia has a strong policy in favor of recognizing the corporate entity as separate and distinct from its members. The corporate form protects the owners of a corporation from liability in a lawsuit against the corporation. “Piercing the corporate veil” is a phrase that describes a situation in which the corporation’s limited liability protections are
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Ask General Counsel: Take caution when competing against former employer

Published by Ask General Counsel on InsideNova, 8/24/2023 Image from Inside Nova In this edition of Ask General Counsel, the business and litigation attorneys of General Counsel P.C. discuss a recent court decision involving defendants who used information obtained from their former employer to compete on federal contracts against that former employer. In Adnet Inc. v.
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Virginia Circuit Court Clarifies Pleading Requirements for Tortious Interference

The Prince George’s Circuit Court recently reviewed a demurrer in the case of Joint Logistics Managers, Inc. v. Slater, et al. to decide whether the Defendants’ counterclaims could move forward. Joint Logistics Managers Inc., (“JMIL”) is a Virginia corporation that provides management and administrative support services to government contractors. JMIL hired one of the Defendants,
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Liberty Mutual v. Copart of Connecticut: Understanding the Difference Between Duty to Defend and Duty to Indemnify.

A recent Fifth Circuit decision highlights the difference between an insurer’s duty to defend and a duty to indemnify and emphasizes that business owners should fully understand their insurance policies to ensure they will receive the benefits they expect under such policies. Duty to Defend vs. Duty to Indemnify  An insurer’s duty to defend means
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Airing on the Side of Preservation: An Employer’s Duty to Preserve Text Messages, Even on Employees’ Personal Cell Phones

It’s common for employees to use their personal cell phones for business-related purposes, including emails, phone calls, and even text messages. However, such use calls into question whether an employer has a duty to preserve these communications in anticipation of litigation. In Miramontes v. Peraton, Inc., a Texas judge ruled yes, an employer has a
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General Counsel, P.C. Celebrates Trial Win!

General Counsel, P.C. is proud to announce that its litigation team won a recent case after securing a directed verdict in favor of its client, a large government contracting organization in the DMV area. Our client was sued in Fairfax County Circuit Court by one of its subcontractors for breach of contract and wrongful termination.
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Fourth Circuit Clarifies What is Necessary to Sustain a Jury Trial for Breach of Duty of Loyalty and Tortious Interference with Contractual Relations

When a former employee uses inside information to undercut their employer, it may provide the basis for a lawsuit. In a recent decision, the Fourth Circuit evaluated when and in what manner it is appropriate under Virginia law for an employee to compete against their employer. In Adnet, Inc. v. Soni et al., the court
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Ask General Counsel: Should I join? What is a class action or mass tort?

Ask General Counsel: Should I join? What is a class action or mass tort?
Published by Ask General Counsel on InsideNova, 10/25/2022 Image from Inside Nova In this edition of Ask General Counsel,  the General Counsel, P.C. litigation team discusses what class actions and how they compare to a mass torts. Almost every day on television there is a commercial for a new class action lawsuit, talc in baby powder,
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Grounds for Discovery Sanctions for Destruction of Digital Evidence

In a recent case, the Eastern District of Virginia decided that sanctions were warranted against a party that destroyed evidence prior to the start of litigation. Here, the court held that documents deleted from a computer were lost and irreplaceable, and that the individual demonstrated an intent to deprive the other party of use of
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Who Breached First? Virginia Court Offers Guidance on Breach of Contract Claims

Who Breached First? Virginia Court Offers Guidance on Breach of Contract Claims
In a recent case, the Western District of Virginia provided guidance on breach of contract claims. Here, the court made clear that if one party to a contract materially breaches the contract, subsequent breaches by the other party cannot be the basis for a breach of contract claim. Under the first material breach doctrine, if
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Enforcement of Foreign Arbitration Awards

In a recent case, the Fourth Circuit was faced with a question about the enforcement of a Singapore arbitration award under the Convention on the Recognition and Enforcement of Foreign Arbitral Awards. In Reddy v. Buttar, the court held that an arbitration award from a Singapore arbitration proceeding could be enforced in the Fourth Circuit,
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Ask General Counsel: What does the likely abortion decision mean for Virginians?

Published by Ask General Counsel on InsideNova, 5/10/2022 Image from Inside Nova In this edition of Ask General Counsel, the attorneys of General Counsel P.C. discuss the recently leaked Supreme Court decision on abortion, and what Virginians need to know. In case you missed it, it appears that the U.S. Supreme Court is gearing up to overturn Roe v.
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Fourth Circuit Overturns “Exceptionally Large” Damages Award in Defamation Case

In a recent case, a jury awarded a plaintiff over $22 million in damages, but the defendant appealed. The court determined that the award was too large and not supported by the evidence. Although the Fourth Circuit upheld the decision finding that defamation existed, it determined that a new trial on damages was required, since
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Western District of Virginia Dismisses Case After Plaintiff Destroys Evidence

In a recent case, the Western District of Virginia dismissed a case after the plaintiff destroyed evidence, resulting in a significant disadvantage to the defendant and hindering fair adjudication. This case should be a cautionary tale, warning of the serious consequences that can result from destroying or not properly preserving evidence. If you are in
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Protecting Your Reputation Digital and Legal Strategies 2021

Dealing with online defamation in the modern age
Merritt Green of General Counsel, PC, and John Schultz of NetStrategies provide great insights into the problems affecting businesses with regard to defamation online. Anyone with a mobile phone and internet access can write or post something damaging about a person, business, or group on social media or any number of publishing websites. And what
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Virginia Court Orders Defendant to Pay Fees After Deleting Evidence

Defendant loses court case
In a recent case, the Fairfax County Circuit Court ordered the defendant to pay over $140,000 in costs and attorneys’ fees after deleting evidence. There, a dentist sued a fellow dentist for defamation and the defendant deleted digital data related to the defamation. The court held that the defendant engaged in “reckless” spoilation of evidence
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Investors’ Claims against LLC Founders Fail for Lack of Standing and Improperly Identifying Parties

fraud, statutory business conspiracy
Johnson v. Bella Gravida, LLC Jason Wilson and Christa Evans (“Defendants”) cofounded a clothing company, Bella Gravida, LLC, of which Evans was also the CEO and manager. Bella Gravida was marketed as a monthly subscription service for maternity clothing. In 2015, Stephen and Ann Johnson (“Plaintiffs”) signed a Membership Unit Purchase Agreement (“Agreement”), exchanging $30,000
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Should Your Business Consider A Business Interruption Lawsuit Against Your Insurance Company

Closed Store
A recent decision in the Western District of Missouri may have set the stage for “business interruption” coverage for businesses for losses resulting from COVID-19. Business interruption insurance replaces lost income when a business has to temporarily close. The policies generally apply when there’s “direct physical loss or damage.” “Direct physical loss or damage” typically
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