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Federal court sides with lobster fishers in whale protection case
Blog Updates | 2023/06/15 12:47
A federal appeals court has sided with commercial fishermen who say proposed restrictions aimed at saving a vanishing species of whale could put them out of business.

The fishermen harvest lobsters and crabs off New England and oppose tough new restrictions on the way they fish that are intended to protect the North Atlantic right whale. The whale numbers only about 340 in the world and it’s vulnerable to lethal entanglement in fishing gear.

The fishermen and the state of Maine appealed their case to the U.S. Court of Appeals for the District of Columbia Circuit after losing in a lower court. The appeals court said Friday it disagreed with the lower court’s ruling.

The appeals court ruling could mean that the federal government must take another stab at crafting new rules to protect the whales. The restrictions would limit where lobster fishers can fish and what kind of gear they can use to try to prevent the whales from becoming entangled in fishing ropes.

The changes would represent a potential worst-case scenario for the lobster fishing industry, wrote Douglas H. Ginsburg, the senior judge of the appeals court, in Friday’s ruling.

“The result may be great physical and human capital destroyed, and thousands of jobs lost, with all the degradation that attends such dislocations,” Ginsburg wrote.

The fishers sued the National Marine Fisheries Service, an arm of the federal government. The service declined to comment on the lawsuit.


Austrian court restarts US extradition proceedings for Ukrainian
Headline Topics | 2023/06/12 11:41
An Austrian court said Friday that it has ruled in favor of Ukrainian businessman Dymitro Firtash in a years-long legal saga over a U.S. bid to have him extradited to face corruption charges, sending the extradition case back to square one.

Firtash faces a U.S. indictment accusing him of a conspiracy to pay bribes in India to mine titanium, which is used in jet engines. He denies any wrongdoing.

He was arrested in Austria in 2014 and then freed on 125 million euros ($136 million) bail, kicking off a still-unresolved legal saga. A Vienna court initially ruled against extradition on the grounds that the indictment was politically motivated.

A higher court in February 2017 rejected that reasoning as “insufficiently substantiated” and ruled that Firtash could be extradited. Austria’s Supreme Court of Justice upheld that ruling in 2019.

The country’s justice minister at the time approved the extradition, but a Vienna court judge ruled it could only take place after a decision on a defense call to reopen the case. Firtash backed that June 2019 motion with “numerous documents, including written witness statements,” Vienna’s upper state court said.

In March 2022, a Vienna court ruled against reopening the case. But the upper state court said Friday that it has now ruled in favor of Firtash and decided to allow reopening extradition proceedings, overturning the 2017 ruling. It pointed to new evidence.

Judges in Vienna will now have to consider anew whether Firtash can be sent to the United States.

In June 2019, a Chicago federal judge rejected a motion to dismiss the indictment against Firtash, who has argued that the U.S. has no jurisdiction over crimes in India. However, the judge ruled that it does, because any scheme would have impacted a Chicago-based company.

American aviation company Boeing, based in Chicago, has said it considered business with Firtash but never followed through. It is not accused of any wrongdoing.


Assange loses latest bid to stop extradition to the U.S. on spying charges
Legal Business | 2023/06/09 15:49
A British judge has rejected the latest attempt by WikiLeaks founder Julian Assange to fight extradition to the United States to face spying charges.

High Court justice Jonathan Swift said a new appeal would simply “re-run” arguments that Assange’s lawyers had already made and lost.

Assange has battled in British courts for years to avoid being sent to the U.S., where he faces 17 charges of espionage and one charge of computer misuse over WikiLeaks’ publication of classified diplomatic and military documents more than a decade ago.

In 2021, a British district judge ruled that Assange should not be extradited because he was likely to kill himself if held under harsh U.S. prison conditions. U.S. authorities later provided assurances that the Australia-born Assange wouldn’t face the severe treatment that his lawyers said would put his physical and mental health at risk.

Those assurances led Britain’s High Court and Supreme Court to overturn the lower court’s ruling, and the British government authorized extradition in June 2022.

Assange is seeking to halt extradition by obtaining a new court hearing on parts of his case that were dismissed by the first judge.

But in a ruling made public on Friday, Swift said all eight parts of Assange’s potential appeal were not “arguable” and should not be heard.

“The proposed appeal comes to no more than an attempt to re-run the extensive arguments made to and rejected by the district judge,” he said.

Assange’s wife, Stella Assange, said the WikiLeaks founder would make a new appeal attempt at a High Court hearing on Tuesday. He has almost exhausted his avenues of appeal in the U.K. but could still try to take his case to the European Court of Human Rights.


Court upholds judge’s finding that Tesla acquisition of Solar City was fair
Headline Topics | 2023/06/06 10:02
Delaware’s Supreme Court has upheld a judge’s decision in favor of Tesla CEO Elon Musk in a lawsuit challenging the electric car maker’s $2.4 billion acquisition of a solar panel company founded by two of his cousins.

The court on Tuesday rejected arguments from a group of Tesla shareholders that a Chancery Court judge erred in finding that Tesla’s deal to acquire SolarCity in 2016 was “entirely fair.” The judge made that determination even while finding that the process by which Tesla’s board of directors negotiated and recommended the deal to shareholders was “far from perfect.”

While noting errors in the trial court’s fair price analysis, and agreeing that the deal process was not “pitch perfect,” the justices said the record is replete with factual findings and credibility determinations indicating that the acquisition was “entirely fair.”

“We are convinced, after a thorough review of the extensive trial record, that the trial court’s decision is supported by the evidence and that the court committed no reversible error in applying the entire fairness test,” Justice Karen Valihura wrote in the court’s 106-page opinion.

Typically, under Delaware’s “business judgment” rule, courts give deference to a corporate board’s decision-making unless there is evidence that directors had conflicts or acted in bad faith. If a plaintiff can overcome the business judgment rule’s presumption because the deal involved a controlling shareholder or because directors might have been conflicted, the board’s action is subject to an “entire fairness” analysis. That shifts the burden to the corporation to show that the deal involved both fair dealing and fair price.

At the time of the acquisition, Musk owned about 22% of Tesla’s common stock and was the largest stockholder of SolarCity, as well as chairman of its board of directors.

The justices concluded that the findings by former Vice Chancellor Joseph Slights III, which were not challenged by the shareholders, support the conclusion that the overall deal process was the product of fair dealing. The Supreme Court also said that, while Slights failed to explain why and how he relied on Solar City’s stock price on the day the deal was announced, rather than the lower price on the day the deal closed, his fair price analysis did not amount to reversible error.

“The Court of Chancery, after examining all of the expert testimony and fair price evidence, found that the fair price case was not even close,” Valihiura noted.

An attorney for the shareholders argued in March that the Chancery Court judge put too much emphasis on the price Tesla paid for SolarCity, and not enough on the deal process, which the plaintiffs contend was tainted by the failure to appoint an independent committee to negotiate the deal. He also argued that the judge’s analysis of the deal price was flawed and that shareholders who voted to approve the deal were not properly informed, even though the vote was not required under Delaware law.


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