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Legal news from Wednesday, November 10, 2004




Princess Diana charity settles souvenir-related suit with Franklin Mint
Thomas Bird on November 10, 2004 9:22 PM ET

[JURIST] The Diana, Princess of Wales Memorial Fund and the Pennsylvania-based souvenir firm the Franklin Mint settled a $25 million malicious prosecution suit out of court Wednesday. The Mint had sued the Diana Fund for $25 million in November 2002 claiming that the Fund had tried to stop it from producing souvenirs memorializing Diana after her death in a Paris car-crash. While the details of the settlement will not be released, the Diana Fund and the Franklin Mint issued a joint statement [DOC] stating that their goals are to apply the resources that would have been used in the lawsuit to charitable causes. The Diana Fund had frozen its charitable donations pending the outcome of the lawsuit. The Diana Fund has issued a press release of its own available here. BBC News has more.






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Environmental brief ~ DC council votes down ban on hazmat train loads
Tom Henry on November 10, 2004 6:39 PM ET

[JURIST] In Wednesday's environmental law news, the Washington DC City Council yesterday rejected a bill that would have barred railroads from transporting hazardous materials on the district's rail lines. While many hazmat loads have been routed around DC since September 11, 2001, a complete ban by the city officials may have prompted a Constitutional challenge for unilaterally restricting interstate commerce. The Washington Post has more.

In other news, the National Marine Fisheries Service seeks comments on a proposed rule that would implement new management practices and seasonal netting restrictions for fisheries on the mid-Atlantic coast in order to reduce the incidental taking of bottlenose dolphins. The rule would also help protect sea turtles through a variety of additional fishing restrictions. The rule is proposed in accordance to the Marine Mammal Protection Act. Comments can be made until February 8, 2005 here.... The EPA seeks comments on a final rule that sets tolerance limits for the pesticide hexythiazox and its metabolites on field corn grain, fodder and stover. The levels are set in accordance to the Federal Food, Drug, and Cosmetic Act (FFDCA), and will expire on December 31, 2007. Objections and hearing requests on the rule, which becomes effective immediately, can be made until January 10, 2005 here.... The EPA also seeks comments on a final rule that sets tolerance limits for the herbicide glyphosate and various glyphosate salts on ginned cotton products and undelinted cotton seed. The tolerance levels take effect immediately. Objections and hearing requests can be made until January 10, 2005 here.






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Bush confirms Gonzales nomination as Attorney General
Bernard Hibbitts on November 10, 2004 4:00 PM ET

[JURIST] In an announcement in the Roosevelt Room of the White House Wednesday afternoon President Bush confirmed that he has nominated White House Counsel Alberto Gonzales to succeed John Ashcroft as US Attorney General. Initial word of the nomination came from White House sources talking to Associated Press this morning (see this previous report in JURIST's Paper Chase). AP has more on this afternoon's formal announcement.

4:40 PM ET - A transcript of President Bush's remarks at the nomination announcement is now online from the White House. The President said:

Serving as Attorney General is one of the most challenging duties in our government. As the nation's chief law enforcement officer, Al will continue our administration's great progress in fighting crime, in strengthening the FBI, in improving our domestic efforts in the war on terror. As a steward of civil rights laws, he will ensure that Americans are protected from discrimination so that each person has the opportunity to live the American Dream, as Al himself has done.
In his own responding remarks, Gonzales declared:
As a former judge, I know well that some government positions require a special level of trust and integrity. The American people expect and deserve a Department of Justice guided by the rule of law, and there should be no question regarding the Department's commitment to justice for every American. On this principle, there can be no compromise.
Read the full text of both statements here.





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Judge: Islamic charities liable in shooting death of American teen
Brandon Smith on November 10, 2004 2:47 PM ET

[JURIST] Magistrate Judge Arlander Keys of the Northern District of Illinois found two US-based Islamic charities liable for damages Wednesday in the 1996 shooting death in Israel of an American teenager, David Boim. Keys held Texas-based Holy Land Foundation and the Islamic Association for Palestine liable for knowingly aiding Hamas, not requiring a showing that money sent by the defendants directly paid for the shooting, only that the defendants realized they aided Hamas and understood Hamas was involved in violence. Another man, Chicagoan Mohammed Salah, was also held liable for an alleged Hamas fund-raising conspiracy. A jury trial is set for December 1st to determine the amount of damages in the $300 million lawsuit. The case marked the first time a case was brought against US-based institutions for allegedly supporting terrorism. AP has more. For background on the Holy Land Foundation and its connections to Hamas, click here.

7:55 PM ET - The ruling is now online from FindLaw here [PDF].






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Ashcroft cites successes, Psalms in farewell letter to Americans
Brandon Smith on November 10, 2004 2:10 PM ET

[JURIST] The US Department of Justice Wednesday posted on its website a public letter from outgoing Attorney General John Ashcroft entitled "Farewell to the American People". In the letter, Ashcroft says he accomplished what he set out to accomplish during his tenure, leaving what he described as a "safer and stronger America than the one I found". The letter ends:

For the past three years, my every working day has begun with a report – a catalog of the murderous acts being plotted against Americans. That we have passed these three years in safety and security is a credit to the men and women with whom I serve. But it would be the height of arrogance to assume we achieved this alone. The Psalms remind us: “Unless the Lord watches over the city, the watchman stands guard in vain.”

My fellow Americans, for four years we have stood watch together. We have endured many things and we have accomplished many more. It has been the honor of my lifetime to stand beside you. And as I take my leave of this privileged post, I know that our efforts have not been in vain. The Builder of our city and the Author of our freedom has stood beside us. He stands beside us still.
A document linked from the bottom of the letter cites what are presented as the Justice Department's leading accomplishments over the past four years:
  • There have been no terrorist attacks on American soil since September 11th, 2001;
  • Federal gun crime prosecutions are up 76% over the past four years and Americans are safer;
  • Violent crime has dropped to a 30-year low;
  • Major drug trafficking organizations are being targeted and dismantled, and drug use among youth is declining;
  • Integrity is being restored in the marketplace under the leadership of President Bush’s Corporate Fraud Task Force;
  • Civil rights laws are being vigorously enforced, preserving the freedoms of all Americans;
  • Americans are being protected from civil fraud through aggressive prosecution and enforcement of the law;
  • Environmental laws are being strongly enforced, resulting in a cleaner environment and tough penalties for polluters.
The full text of Ashcroft's letter can be found here, and the list of the DOJ's accomplishments since 2000 is here.





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BREAKING NEWS ~ Judge dismisses foreman from Peterson jury
Matt Lubniewski on November 10, 2004 1:53 PM ET

[JURIST] Juror No.5, the foreman, has been dismissed from the jury in the Scott Peterson case. This is the second juror to be dismissed in the past two days. The Modesto Bee recently reported that the foreman, who is both a doctor and an attorney, looked "distraught, his face flushed and hair disheveled" in the courtroom on Tuesday.

2:03 PM ET - An AP story on the dismissal of the jury foreman is now available.






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Islamic judge rules Arafat must stay on life support
Matt Lubniewski on November 10, 2004 1:36 PM ET

[JURIST] A senior Islamic judge ruled on Wednesday that Palestinian leader Yassir Arafat's life support system must not be switched off. Arafat is currently clinging to life in a Paris hospital. Burial preparations have already begun. Sheikh Taysir Tamimi, chief Palestinian religious judge, arrived in Paris to rule on the treatment of Arafat. Sheikh Tamimi said that turning off Arafat's life support system is "forbidden under Islamic law." The Financial Times has more. Paper Chase has more on Arafat's political successor.






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WTO rules US online gaming ban is illegal
Matt Lubniewski on November 10, 2004 1:22 PM ET

[JURIST] The WTO sided with the island nation of Antigua and Barbuda, ruling that US legislation that criminalizes online gambling is in violation of global trade law. In a 287-page report released Wednesday, the WTO concluded that the US inconsistently applied gaming law so as to prejudice foreign countries, in violation of the General Agreement on Trade in Services (GATS). The Las Vegas Sun has more.






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Corporations & securities brief ~ Martha Stewart asks company to reimburse legal bills
Amit Patel on November 10, 2004 1:14 PM ET

[JURIST] In Wednesday's corporations and securities law news, Martha Stewart Omnimedia Inc. announced Martha Stewart has asked the company to reimburse her for $3.7 million in legal bills. Stewart, who is currently appealing her conviction for lying to investigators about a stock sale, is serving five-month prison sentence in West Virginia. Paper Chase has continuing coverage of the Martha Stewart trial. AP has more.

In other news, jurors indicated the Nigerian barge deal cost Enron and its shareholders $13.7 million which could raise the prison terms of the five men convicted last week in the first Enron criminal trial. Paper Chase has continuing coverage of the Enron trials. The Houston Chronicle has more and continuing coverage of the barge trial.... Bristol-Myers Squibb Co. announced the SEC has began an informal inquiry into some of the pharmaceutical company's German units. The inquiry, which may encompass matters under investigation by a prosecutor in Munich, concerns violations of the Foreign Corrupt Practices Act and/or German law. Bristol announced the investigation in its SEC filing. AP has more.... A class-action suit has been filed against Bank of America Corp. (BofA) over FleetBoston Financial Corp.'s cash retirement plan. BofA bought FleetBoston last year. The suit alleges FleetBoston violated the Employee Retirement Income Security Act and reduced the rate of benefit accruals based on age without informing participants of the correct amount of their pensions. Triangle Business Journal has more.... SunTrust Banks Inc. announced the firing of its chief credit officer and two other executives after finding numerous errors in determining how much to set aside for bad loans in the first half of this year. Read the SunTrust press release here. Bloomberg has more.... Northrop Grumman and Boeing Co. announced the companies are teaming up to design a replacement for the space shuttle fleet. Read the Northrop Grumman press release here. Florida Today has more.... Casino operator MGM Mirage announced plans for a $4 billion casino and condominium development on the Las Vegas Strip. The development would be one of the largest private real estate projects in America. Read the MGM Mirage press release here. Reuters has more.

  • click for previous corporations and securities law news





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    Judge dismisses juror in Peterson case
    Matt Lubniewski on November 10, 2004 12:25 PM ET

    [JURIST] Judge Alfred Delucchi dismissed a juror in the Scott Peterson double-murder trial on Tuesday night over signs of misconduct. Frances Gorman, 58, was dismissed amid reports that she had conducted an independent investigation of the case. The jury, which had been deliberating since November 3, will now have to start over with an alternate juror replacing Ms. Gorman. The Modesto Bee has more. In June, juror Justin Falconer was removed after a TV camera captured him having improper discussions with Laci Peterson's brother.






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    BREAKING NEWS ~ Bush to select White House counsel Alberto Gonzales for AG post
    Chris Buell on November 10, 2004 11:44 AM ET

    [JURIST] AP is reporting that White House sources have said that President Bush will select White House counsel Alberto Gonzales to succeed John Ashcroft as US attorney general. Read the official biography on Gonzales. JURIST's Paper Chase has more coverage on Gonzales.

    11:53 AM ET - The Washington Post has this profile on Gonzales.

    12:00 PM ET - An AP story is now available online.






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    Bosnian Serb officials offer first apology for Srebrenica massacre
    Chris Buell on November 10, 2004 11:28 AM ET

    [JURIST] The Bosnian Serb government apologized for the first time Wednesday to family members and friends of the roughly 8,000 Muslims killed in the Srebrenica massacre in 1995. The government issued a statement in which it said it "sympathizes with the pain of relatives of the Srebrenica victims and expresses sincere regrets and apologies over the tragedy which has happened to them." A Serb commission report filed with the government and released Monday concluded that the massacre had been planned, the first time such a statement was officially made. Two top Bosnian Serb leaders during the massacre, Radovan Karadzic and Ratko Mladic, have been indicted for war crimes by the International Criminal Tribunal for the former Yugoslavia, but both remain at large. BBC News has a timeline of the events in Srebrenica. AFP has more.






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    Scotland bans smoking in public places
    Chris Buell on November 10, 2004 10:44 AM ET

    [JURIST] The Scottish Executive Wednesday unanimously approved a ban on smoking in enclosed public places. Anti-tobacco and medical groups had urged the ban, claiming that voluntary measures currently in place were ineffective. Similar to those already adopted in Ireland, Norway and parts of the US, the ban will be enforced by environmental health officers, and violations will carry fines of up to 2,500 pounds for establishments and 1,000 pounds for individuals. The British Medical Association released a report on smoking this month, while the Tobacco Manufacturers' Association argued that the ban was not supported by public opinion. Read a Scottish Executive press release. BBC News has more.






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    Chesapeake Bay group files suit against EPA to stop nitrogen pollution
    Chris Buell on November 10, 2004 10:15 AM ET

    [JURIST] The Chesapeake Bay Foundation filed a lawsuit Wednesday against the Environmental Protection Agency seeking to force the agency to take action on nitrogen entering the bay and harming animals. According to the environmental group, nitrogen entering the watershed from a variety of sources, such as manure runoff from farms and sewage plants, creates huge algae blooms that choke out other forms of life like fish and crabs. The group has been seeking a permit program on nitrogen releases by sewage plants since last December, but EPA has yet to take action. Read the complaint [PDF] and a press release. Read more about EPA's Chesapeake Bay Program. The Washington Post has more.






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    Ashcroft resignation triggers praise, criticism
    Chris Buell on November 10, 2004 9:51 AM ET

    [JURIST] The late Tuesday announcement of Attorney General John Ashcroft's resignation (previously reported in JURIST's Paper Chase) prompted differing responses Tuesday and Wednesday from interest groups and lawmakers around the country, reflecting a sometimes divisive reign as the country's top law enforcement official. The conservative American Center for Law and Justice praised Ashcroft for providing "exceptional guidance" during his tenure, while the ACLU called on President Bush to appoint a more moderate attorney general willing to roll back parts of the Patriot Act. AP has more reactions to the announcement. CNN has more.






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    International brief ~ Sudanese police raid camp one day after peace accords
    D. Wes Rist on November 10, 2004 9:50 AM ET

    [JURIST] Sudanese police raided the El-Geer refugee camp near Nyala Wednesday morning, just one day after the signing of a peace accord between the government and rebel forces. The assault took place in front of African Union officials present to monitor the humanitarian conditions of the camp and only hours before official UN inspectors arrived to survey the camp. The Sudanese government has begun harassing and attacking the camps composed of internally displaced persons (IDPs), individuals that are protected under international law from forcible movement, and has resorted to rubber bullets and tear gas to disperse the camps and the international humanitarian workers that offer medical aid and shelter there. Sudanese Humanitarian Minister Ibrahim Mahmoud Hamid said Tuesday that over 270,000 IDPs had 'voluntarily' returned to their homes, while Manuel Aranda da Silva, the UN's humanitarian coordinator for Sudan, stated that the UN had found evidence of movement only in the low thousands. JURIST's Paper Chase has background on Sudan. BBC News has more on Wednesday's attack. The Sudan Tribune has more on Hamid's statement.... The Russian Federation Council, the upper house of the Russian Parliament, announced Tuesday that it intends to offer amendments to Russian President Vladimir Putin's proposal for direct appointment of regional governors. The current bill, approved by the Duma (official site in Russian), the lower house of the Russian Parliament, plans for direct appointment of the regional governor subject to approval by the regional assembly. However, if the assembly refuses the president's selection twice, they may be dissolved at the president's discretion. The Council amendments include limiting that option to require more discussion between the office of the President and the regional assembly before a dissolution would occur. Other amendments include a proposal to allow regional assemblies to make suggestions to the president prior to his selection of a candidate. JURIST's Paper Chase has background on the proposed legislation. Itar-Tass has more.... Manuel Fajardo, the lawyer for Shining Path leader Abimael Guzman, claimed Wednesday that he was denied access to his client by Peruvian officials. The trial began hearings last week, but these were suspended until Friday when Guzman and several other individuals began shouting and chanting in court. Recent speculation suggested Judge Dante Terrel would step down following the debacle at last week's hearing, but Terrel announced Wednesday that he will remain on the case. JURIST's Paper Chase has background on the case. The Washington Times has more on Fajardo's claims. El Comercio has more on Terrel (article in Spanish).... The Zimbabwian Parliament passed the Access to Information and Protection of Privacy Amendment Bill on Tuesday, following weeks of tense debate and controversy. The bill tightens the country's already strict press laws and imposes a two-year sentence, fine, or both on journalists operating without a state-issued license. The bill also prevents foreign journalists from operating in Zimbabwe. Zimbabwean Information Minister Jonathan Moyo said the amendments are intended to "protect the state from attacks by enemies of the country." Africa's News 24 has more.






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    UN, French begin evacuations from Ivory Coast
    Chris Buell on November 10, 2004 9:27 AM ET

    [JURIST] The UN and France Wednesday began evacuations of personnel on peacekeeping missions in the Ivory Coast after a week of violence left at least 27 dead and more than 900 injured. The UN and France have at least 10,000 peacekeepers in the West African nation to maintain a year-old cease-fire agreement between government and rebel factions that was broken last week. France alone is expected to evacuate between 4,000 and 8,000 of its nationals. As fighting and rioting have spread, many Ivorian civilians have taken shelter in UN compounds. As evacuations began, South African President Thabo Mbeki arrived in the country in an attempt to broker a new peace deal, while UN Secretary General Kofi Annan called on the parties to negotiate. The UN Operation in the Ivory Coast has more on UN activities in the country. The French Defense Ministry is posting updates on the situation of its forces in Ivory Coast here. AP has more.






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    Parliament speaker will succeed Arafat, Palestinian authorities confirm
    Chris Buell on November 10, 2004 9:03 AM ET

    [JURIST] The speaker of the Palestinian parliament, Rauhi Fattouh, will temporarily fill the post of president of the Palestinian Authority should Yasser Arafat die, Palestinian leaders confirmed Wednesday. Current Palestinian law (Article 54(2) of the Palestinian Basic Law) calls for the speaker to hold the position until elections can be held, but some officials were reportedly seeking to change it, arguing that Fattouh should not hold the position. However, Fatah and PLO officials decided against a change. Arafat remained in a coma Wednesday after suffering a brain hemorrhage, with aides beginning burial arrangements. AP has more.






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    Legal agenda and live webcasts ~ Wednesday, Nov. 10
    Chris Buell on November 10, 2004 7:00 AM ET

    [JURIST] Here's a run-down of law-related events, expected developments and live webcasts on JURIST's docket for Wednesday, November 10.

    The US Supreme Court hears 10 AM ET arguments in two cases today. In the first, Illinois v. Caballes (case summary from Duke Law School), the Court will determine whether the Fourth Amendment requires a reasonable, articulabe suspicion to warrant using a drug dog during a traffic stop. The ABA has merit briefs filed in the case. In the second case, Brown v. Payton (case summary from Duke Law School), the Court considers whether a "catch-all" mitigation instruction in California capital cases can be constitutionally applied to post-crime evidence. The ABA provides merit briefs for the case.

    The US House and Senate are in recess until Tuesday, Nov. 16.

    VT Gov. James Douglas will announce his selection for chief justice of the Vermont Supreme Court, subject to Senate confirmation.

    The Council for Excellence in Government is hosting a panel discussion on the presidential appointment process. A live webcast is available beginning at 8:45 AM ET (via C-SPAN 3).

    The Cato Institute is hosting a book forum titled, "Shakedown: How Corporations, Government, and Trial Lawyers Abuse the Judicial Process," at 12 noon. Live audio from the event is available.

    At the UN today, a 1 PM ET press conference will be held on three energy reports issues today. A live webcast is available via UNTV Channel 2.

    At the International Criminal Tribunal for the former Yugoslavia, the Slobodan Milosevic trial continues today. A live webcast will begin at 3:30 AM ET (9:30 AM local time). Also today, the Momcilo Krajisnik trial continues, with a live webcast at 11:45 AM ET, the Enver Hadzihasanovic and Amir Kubura trial continues, and a status conference in the Miroslav Kvocka trial is set for 4:30 AM ET.






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