Fourth Circuit Affirms Bailey Glasser’s $828K Default Judgment Win, Sanctioning Defendants Who “Sandbagged” Discovery

The U.S. Fourth Circuit Court of Appeals has affirmed Bailey & Glasser, LLP’s $828,000 default judgment win as sanctions against a group of telemarketing defendants who concealed their joint enterprise from discovery and disobeyed orders of a lower court compelling full disclosures. The BG team led by partner Sharon Iskra requested the sanction against the companies for persistently “sandbagging” discovery necessary to their client’s case.

Over several years of litigation, Bailey Glasser’s team uncovered that Defendants evaded discovery and actively concealed over 15 shared companies. The district court judge found that Defendants acted in bad faith, warranting one of the most severe sanctions to deter future misconduct: granting Bailey Glasser’s request for default judgment for the full amount of statutory penalties available under telemarketing laws pled in her Complaint.

On appeal, the Fourth Circuit affirmed this decision in its entirety. In the scathing 39-page precedential opinion, the court noted the “[a]ppellants’ relentless sandbagging and failure to disclose discoverable materials, including the existence of business entities founded during the course of this case, demonstrate a continued pattern of discovery abuse.” Bailey Glasser lawyer Ben Hogan wrote the winning appellate brief and skillfully argued before the Fourth Circuit.

“Severe discovery abuses warrant severe sanctions. We are glad to see the Federal Rules of Civil Procedure still have teeth and that the district judges’ decisions to enforce them are upheld,” said Sharon Iskra. “We are especially pleased to have a published opinion that resonates to curtail future discovery abuses that cause delays and prejudice to litigants everywhere.”

Learn more and read the opinion here.

“Improvidently Granted”: Supremes Decline to Wade Into Attorney-Client Privilege Dispute

Katherine E. Charonko and Elizabeth L. Stryker

This past January 11, we wrote a blog post about the Supreme Court entertaining arguments on the scope of the attorney-client privilege in the context of dual-purpose communications paraphrasing a question from Justice Kagan during the argument to Petitioner’s counsel to comment on the adage, “If it ain’t broke, don’t fix it.”

Well, turns out the Supreme Court did not want to wade into that potential quagmire, and instead turned around and entirely dismissed the writ of certiorari granted in In re Grand Jury as “improvidently filed.” Accordingly, the Ninth Circuit’s opinion which had been appealed to the Supreme Court that had held the “primary purpose” test controls when assessing attorney-client privilege for dual-purpose communications remains in full effect. In re Grand Jury, 23 F.4th 1088 (9th Cir. 2021).This opinion is important reading for reasons other than the adoption of this test because the Ninth Circuit also discussed the disparate purposes of the attorney-client privilege and the work product protection doctrine and declined to adopt but did not fully reject the “a primary purpose” test. Continue reading ““Improvidently Granted”: Supremes Decline to Wade Into Attorney-Client Privilege Dispute”

Federal Appeals Court Rejects J&J Texas Two-Step Maneuver In Huge Victory For Plaintiffs Harmed By J&J Baby Powder


Washington, D.C.: In a huge victory for individuals grievously harmed by Johnson & Johnson baby powder, the Circuit Court of Appeals for the Third Circuit roundly rejected Johnson & Johnson’s attempt to shovel all 38,000 cases into a brand-new subsidiary which then, within hours of creation, declared bankruptcy. In strong language, the federal appeals court found that the JNJ/LTL petition “has no valid bankruptcy purpose” and dismissed the bankruptcy in its entirety, reversing a ruling by a lower bankruptcy court.

The dismissal of the LTL bankruptcy now allows plaintiffs harmed by J&J’s consumer products to continue pursuing justice before a jury trial of their peers, a right afforded them by the United States Constitution.

Brian A. Glasser, founding partner of the national law firm Bailey & Glasser, LLP, was co-lead counsel to the trial team vindicated by the appeals court. Mr. Glasser states today: “J&J has no special right to put talc victims in a bankruptcy box. It now has to face these claims in front of juries around the nation.”

Specifically, Mr. Glasser argued at trial that Johnson & Johnson’s choice of bankruptcy as means to control its liabilities costs was invalid because “LTL was never in financial distress during its brief existence” because the phantom subsidiary was “eminently solvent” as it enjoyed access to more than $60 billion in Johnson & Johnson funds.

The Third Circuit agreed with Mr. Glasser in its opinion, finding that “we cannot agree LTL was in financial distress when it filed its Chapter 11 petition. The value and quality of its assets, which include a roughly $61.5 billion payment against J&J and New Consumer, makes this holding untenable.” Continue Reading

“Enough Is Enough”: Female Athletes Secure Settlement Agreement Ensuring Michigan State University’s Title IX Compliance for Years to Come

“Enough is enough” – a two-year battle ended with Michigan State University agreeing to undergo a comprehensive Gender Equity Review and create a Gender Equity Plan to bring it into full Title IX compliance by the 2026-27 academic year. This settlement will positively shape MSU’s athletics program for years to come. Bailey Glasser partners Lori Bullock and Joshua Hammack fought tenaciously to get justice for the MSU female student-athletes and were ready to go to trial in February before MSU decided to settle.

“If It Ain’t Broke, Don’t Fix It” – SCOTUS Examines Expanding the Attorney-Client Privilege for Dual Purpose Communications

Katherine E. Charonko and Elizabeth L. Stryker

The Supreme Court is currently considering a case that could expand the scope of the attorney-client privilege in the context of dual-purpose communications – such as, in this case, communications made to a law firm that also prepares tax returns. The question before the Court is: what is the appropriate test to determine whether a communication involving both legal and non-legal advice is protected by the attorney-client privilege? This case, In re Grand Jury, concerns documents that the Petitioner, a law firm specializing in tax law, claims are privileged. Petitioner asserts that these allegedly privileged materials concern tax law issues that arise upon expatriation from the United States and include legal advice regarding determining ownership of cryptocurrency assets, appropriate methods for asset valuation, and tax filing strategies. The Petitioner law firm also prepared filings for the client, an early promoter of bitcoin, including a certification of compliance with expatriation tax requirements. Continue reading ““If It Ain’t Broke, Don’t Fix It” – SCOTUS Examines Expanding the Attorney-Client Privilege for Dual Purpose Communications”

U.S. Supreme Court Rejects Michigan State University’s Appeal, Allowing Title IX Discrimination Case to Proceed


In a Title IX victory for women student-athletes, BG partners Lori Bullock and Josh Hammack successfully defeated cert in the U.S. Supreme Court after the high court rejected Michigan State University’s petition to review the Sixth Circuit’s ruling. This denial from the U.S. Supreme Court paves the way for the Title IX discrimination suit to proceed for the female swimmers and divers who allege MSU violated Title IX by not providing enough opportunities for women athletes to participate in sports.

Fifth Circuit Overturns District Court Ruling in Wrongful Death & Civil Rights Private Prison Death Case

“Justice is what love looks like in public.” (Cornel West).

When Erie Moore Jr. was beaten to death by prison guards in a camera-free hallway at a private Louisiana prison, a team of lawyers including Bailey Glasser partner Leslie Brueckner, then a Senior Attorney at Public Justice, fought for justice on his on behalf of his children by pursuing a forceful and passionate appeal of a federal district court ruling that dismissed civil rights claims and a wrongful death lawsuit against the actors who caused his unnecessary death. Last Friday, the U.S. Court of Appeals for the Fifth Circuit overturned the district court’s ruling, finding that evidence exists that reflects Mr. Moore’s death was caused by the guards’ use of deadly force, including videotapes and testimony that reflected guards wanted to “beat him [to] death” and “finish him” and then withheld medical treatment. This decision ensures that Mr. Moore’s family will have the opportunity to present their case to a jury and hold the defendants accountable for the loss of their father.

Read on . . .

Leslie A. Brueckner Joins Appellate & Supreme Court Practice Group

Leslie Brueckner

April 6, 2022 – Leslie A. Brueckner, a seasoned and successful litigator who has won legal victories in the nation’s highest courts, has joined national law firm Bailey & Glasser, LLP as a partner, where she will co-lead the firm’s Appellate and Supreme Court Practice Group with firm co-founder Benjamin A. Bailey.

“We are elated to have Leslie join our appellate team,” said Benjamin L. Bailey, one of the firm’s founding partners. “Her renown as a successful appellate litigator, including before the U.S. Supreme Court, adds an invaluable new resource to our clients with matters before state and federal courts across the country. Her singular talent, combined with her passion for her work and clients, is an exciting new addition to our litigation work.”

Continue reading “Leslie A. Brueckner Joins Appellate & Supreme Court Practice Group”

Bailey Glasser Fights for 38,000 Talc Plaintiffs in JNJ/LTL “Texas Two Step” Bankruptcy Proceeding

Bailey Glasser was selected by the Official Committee of Talc Plaintiffs to co-lead the challenge to Johnson & Johnson’s “Texas Two Step” that denied 38,000 victims of its cancer-causing talcum powder to a jury trial. Johnson & Johnson – one of the world’s wealthiest companies, worth more than half a trillion dollars – created a subsidiary business for the express purpose of claiming bankruptcy in order to deny justice to 38,000 victims of J&J’s cancer-causing talcum powder products. The case is now underway in U.S. Bankruptcy Court in the District of New Jersey, and an appeal to the Motion to Dismiss is pending before the United States Circuit Court for the Third Circuit.

For a larger roundup of news articles about this important matter, please visit here.

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