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Court to consider when second mortgage can be void
Legal News Digest |
2014/11/17 15:57
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The Supreme Court will decide whether homeowners who declare bankruptcy can void a second mortgage if the home's market value has dropped below the amount they owe on their first mortgage.
The justices said Monday they will consider two appeals from Bank of America Corp., which asserts that bankrupt homeowners should not be able to "strip off" a second loan even if they are underwater on primary loans.
In both appeals, bankruptcy courts allowed Florida homeowners to nullify second loans held by Bank of America. The Atlanta-based 11th U.S. Circuit Court of Appeals affirmed, but Bank of America says the rulings conflict with other appeals courts and Supreme Court precedent.
Hundreds of homeowners have moved to void underwater second mortgages since the 11th Circuit endorsed the practice two years ago. |
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Court seems to favor fired whistleblower
Legal News Digest |
2014/11/07 12:47
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The Supreme Court on Tuesday seemed inclined to rule in favor of a former federal air marshal who wants whistleblower protection for leaking information about aviation security plans.
Several of the justices indicated during oral argument that Robert MacLean did not violate the law when he revealed to a reporter government plans to cut back on overnight trips for undercover air marshals despite a potential terror threat.
MacLean said he leaked the information to an MSNBC reporter after supervisors ignored his safety concerns. His revelations in 2003 triggered outrage in Congress and the Department of Homeland Security quickly decided not to make the cutbacks, acknowledging it was a mistake.
But MacLean was fired from the Transportation Security Administration three years later, after the government discovered he was the leaker.
A federal appeals court ruled last year that MacLean should be allowed to present a defense under federal whistleblower laws. The Obama administration argues that whistleblower laws contain a major exception — they do not protect employees who reveal information "prohibited by law."
Deputy Solicitor General Ian Gershengorn told the justices that TSA regulations specifically prohibit disclosure of "sensitive security information," including any information relating to air marshal deployments.
But several of the justices pointed out that the Whistleblower Protection Act refers only to other laws, not agency regulations.
"So it is prohibited by regulations, let's not play games," Justice Antonin Scalia told Gershengorn.
Justice Stephen Breyer suggested that since no law seemed to ban the kind of information MacLean leaked, the president could simply issue an executive order to keep TSA workers from disclosing that kind of information. |
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Court won't hear dispute over abortion clinic law
Legal News Digest |
2014/11/04 15:29
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The Supreme Court won't hear an appeal challenging the constitutionality of a Colorado law that prohibits people from obstructing entry to abortion clinics.
The justices on Monday left in place a lower court ruling that said the law does not restrict free speech or otherwise violate the rights of abortion protesters.
Protester Jo Ann Scott was convicted of violating the law after a jury found that she made physical contact with a woman trying to enter a Planned Parenthood clinic in Denver. An appeals court affirmed.
Scott argued that the law contains vague and overly broad terms that give police too much discretion to enforce it. |
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Supreme Court justices: Court needs diversity
Legal News Digest |
2014/10/28 14:16
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U.S. Supreme Court Justices Clarence Thomas and Sonia Sotomayor expressed concern Saturday about the lack of diverse legal and life experience among those who sit on the country's highest court.
Both are Yale University alumni and Thomas noted that all nine Supreme Court justices attended either Yale or Harvard University. He said everyone should be concerned that the nation's highest court has "such a strong Northeastern orientation."
Thomas, Sotomayor and Justice Samuel Alito, also a Yale alumnus, shared the stage Saturday when they were honored at the Connecticut school's alumni weekend. They were awarded the Yale Law School Association Award of Merit at the event. The six other Supreme Court justices all attended Harvard's law school.
"I do think we should be concerned that virtually all of us are from two law schools," Thomas said to an audience of Yale alumni and students. "I'm sure Harvard and Yale are happy, but I think we should be concerned about that. I think we should also be concerned that we have such a strong Northeastern orientation ... But I couldn't say that somebody who's a colleague of mine shouldn't be there." |
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Court justice suspended over role in porn scandal
Legal News Digest |
2014/10/22 14:42
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The Pennsylvania Supreme Court on Monday suspended one of its members over his participation in a state government pornographic email scandal that involved employees of the attorney general's office.
The court justices issued an order saying Justice Seamus McCaffery may not perform any judicial or administrative duties while the matter is reviewed by the Judicial Conduct Board, which investigates allegations of judicial misconduct.
The main order also noted allegations about McCaffery's actions related to a traffic citation received by his wife, who is a lawyer, and referral fees she obtained while working for him as an administrative assistant. It also noted he "may have attempted to exert influence over a judicial assignment" in Philadelphia.
The Judicial Conduct Board was given a month to determine whether there is probable cause to file a misconduct charge against McCaffery, a Philadelphia Democrat elected to the seven-member bench in 2007.
McCaffery's lawyer, Dion Rassias, said they were confident he will be cleared and will soon return to the bench.
The court's action followed disclosures last week by Chief Justice Ronald Castille, a Republican, that McCaffery had sent or received 234 emails with sexually explicit content or pornography from late 2008 to May 2012. McCaffery apologized, calling it a lapse in judgment, but blasted Castille for "a vindictive pattern of attacks" against him.
A third justice, Michael Eakin, also a Republican, on Friday went public with a claim McCaffery had threatened to leak "inappropriate" emails Eakin had received if he didn't side with McCaffery against Castille.
McCaffery denied threatening Eakin, who reported the matter to the Judicial Conduct Board. Neither Eakin nor McCaffery participated in the court's decision.
Castille was among the four justices voting to suspend McCaffery with pay, along with Max Baer, Corry Stevens and Thomas Saylor. Justice Debra Todd dissented, saying she would have referred the matter, including the question of suspension, to the Judicial Conduct Board. |
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