NewsWire

Will Deepwater Horizon Hearings Provide New Answers?
Hearings in Houston next week over the Deepwater Horizon explosion should prove enlightening, as managers from BP and Halliburton finally are expected to testify. “Earlier hearings focused on what Transocean employees on the rig knew and the mechanics of the systems being used, or neglected, at the time of the explosion,” says Chip Herd of The Lanier Law Firm, which represents several people and business in claims against the companies. Herd says management likely will be asked about the long history of problems with the well, as well as tests and procedures that were and were not followed for weeks and months preceding the explosion. “Senior management should know more about the ‘bigger picture’ and what budget and safety issues were involved than the guys in the field who were simply following orders,” says Herd. For more information, contact Alan Bentrup at 800-559-4534 or alan@androvett.com.

BP’s Tony Hayward Was Smart to Leave the U.S.
As the Justice Department prepares a grand jury investigation of possible crimes involved in the BP oil spill, ex-CEO Tony Hayward is looking smarter for leaving this country for reasons beyond his lack of popularity, says Houston criminal defense lawyer Dan Cogdell of Cogdell & Ardoin. Multiple indictments are likely to be sought, says Cogdell, and the charges could reach well up the corporate ladder. “But British citizens who are not in this country when indicted might have protection from something called ‘double criminality.’ This prevents extradition unless the same action is a criminal offense in both countries,” Cogdell says. “It’s unclear whether the way U.S. prosecutors will use our laws will also be covered by European Union law.” For more information, contact Mary Flood at 800-559-4534 or mary@androvett.com.

An Indispensable Back-to-School Document
As they prepare their children for the new school year, divorced parents should not forget to provide the school with one key document. "A certified copy of the most current custody order needs to be placed in the file of every child in the family so the school will have an accurate understanding as to who can pick-up or drop-off a child, and who the emergency contacts are," says Elizabeth Durso Branch of the Family Law firm of McCurley Orsinger McCurley Nelson & Downing, L.L.P. Teachers too need to make an extra effort to treat both parents equally. "Decisions should never be made because one parent is easier to work with than the other," she says. "It is imperative that teachers and school counselors know whether one parent or both parents have the right to make educational decisions regarding their child." For more information, contact Rhonda Reddick at 800-559-4534 or rhonda@androvett.com.

Do Cops Need a Warrant to Plant a GPS Tracker on Your Car?
U.S. circuit courts have disagreed over whether it is a violation of the Fourth Amendment for the government to place a GPS tracking device on a citizen’s car without a court-approved warrant such as those required for wiretaps. At issue is whether a technological leap can allow the government to hijack a person’s privacy rights, says Jimmy Ardoin, a Houston-based criminal defense lawyer with Cogdell & Ardoin. “It’s unreasonable for the government to cyber-stalk your every move without obtaining court approval,” Ardoin says. “The U.S. Supreme Court will likely chime in on this issue. But in the meantime, citizens need to be aware that some courts have allowed police dangerous leeway.” For more information, contact Mary Flood at 800-559-4534 or mary@androvett.com.

Storms on the Horizon for Flood Insurance Program
Recent reports of financial trouble in the National Flood Insurance Program are a stark reminder of the insurance troubles faced by home and business owners across the Gulf Coast for the last few years. However, since the NFIP is a government-supported program, it is unlikely the system will actually go bankrupt or stop paying flood claims, says Houston attorney Phillip Sanov, leader of The Lanier Law Firm's Bad Faith Insurance Practice Group. The national program was put in place to help coastal communities that couldn’t get flood coverage. “The program needs a strong revamping, as we have seen major struggles on recent claims when an insurance carrier insures damage for both wind and flood damage.” Typically, says Sanov, the flood insurance pays first and it is often not adequate to cover the loss. For more information, contact Alan Bentrup at 800-559-4534 or alan@androvett.com.

Transparency Law May Create Conflicts for Energy Companies
The recently passed financial reform bill contains a “transparency” provision with disclosure requirements that could place domestic energy companies in a considerable bind. In an effort to reduce the possibility of corruption, the Dodd-Frank Act requires SEC-registered corporations to disclose how much they pay foreign governments for oil, gas and mineral rights. “Many foreign governments mandate that the terms of these agreements be kept confidential, so forcing the disclosure of this information could cause U.S. companies to violate the terms of their contracts,” says Andrew Derman, leader of the International Energy Practice Group at Thompson & Knight. “While some contracts with foreign governments contain exceptions that allow the disclosure of certain confidential information, it’s unclear how the SEC may interpret the limits of that disclosure.” For more information, contact Barry Pound at 800-559-4534 or barry@androvett.com.

Ruling Bolsters Failed Hedge Fund Investors
The Delaware Supreme Court issued an important ruling last week that will help investors in failed hedge funds investigate their losses as a group. Brown Investment Management, L.P., sued Plano, Texas-based Parkcentral Global when the company refused to release its investor list after Brown lost its entire investment in less than 90 days. Parkcentral claimed the list was protected by federal law, but the Delaware high court ruled that investors have the right to know each other’s identities. “This ruling helps those who lost money in poorly-managed funds to find other investors and join together to take legal action,” says Amir H. Alavi with Ahmad, Zavitsanos & Anaipakos, who tried the case for Brown. “These funds can no longer use divide-and-conquer tactics to avoid responsibility for losses.” For more information, contact Mary Flood at 800-559-4534 or mary@androvett.com.

Century 21 Real Estate Franchisees Win Nationwide Class Certification
A New Jersey Superior Court judge has certified a nationwide class of Century 21 real estate franchisees in a lawsuit against their franchisor, Century 21 Real Estate Corp, and parent company, Cendant Corp. The lawsuit, filed by attorneys from New York’s Zwerling, Schachter & Zwerling, LLP, details how Cendant misused franchisee proceeds and resources after purchasing Century 21 in 1995. “When Cendant purchased Century 21, they were the unquestioned leader of the real estate industry, but by 2002 that ranking dropped to sixth in the country,” says Dan Drachler of Zwerling, Schachter & Zwerling. “As a result of Cendant’s actions, Century 21 franchisees have suffered damages that may total in the hundreds of millions of dollars,” adds Robert S. Schachter. The class includes current and former Century 21 franchisees during the period from August 1995 to April 2002. For more information, contact Rhonda Reddick at 800-559-4534 or rhonda@androvett.com.

Dallas’s Dick Sayles Named TEX-ABOTA `Trial Lawyer of the Year’
Acclaimed Dallas courtroom lawyer Dick Sayles has been named “Trial Lawyer of the Year” by TEX-ABOTA, the Texas Chapters of the American Board of Trial Advocates. ABOTA is one of the most respected trial lawyer groups in the nation and is devoted to preserving and promoting the 7^th Amendment right to a civil jury trial. Sayles earned the award based on his longstanding devotion to the legal profession and his work in the courtroom, including a $1.67 billion award that was last year’s top U.S. verdict and the largest intellectual property verdict in history. “ABOTA performs extremely important work protecting our rights to a jury trial,” says Sayles. “I’m proud to be a member and am honored by this recognition.” For more information, contact Bruce Vincent at 800-559-4594 or bruce@androvett.com.