When we talked about arbitration this week, one of the issues we looked at was the ability of corporations to use arbitration agreements and class-action waivers to essentially eliminate class action lawsuits. Class actions can be essential for customers who have been cheated out of small amounts of money: in cases like Conception v AT&T, where there was an allegedly fraudulent $30 fee, what lawyer would take a case for a $30 judgment? Only by joining together the thousands of AT&T customers who were charged the fee and sharing the legal expenses, would a lawsuit make economic sense. Following AT&T’s lead, Sony has changed the terms of service for its Playstation network to prevent its customers from filing class action lawsuits, such as the ones filed after last year’s massive data breach.

Class actions don’t always benefit customers, however. One class-action lawsuit against VW proposed giving $8 million in repairs to some customers and paying the attorneys $23 million–all while requiring many class members to give up their right to sue VW in exchange for . . . nothing. The settlement is currently being appealed.

For class members, there is another option: to opt out of litigation. Heather Peters purchased a 2006 Honda Civic Hybrid that Honda claimed got 50mpg. In actual use, it never even came close to that, and after a software update, got around 30mpg. A class action lawsuit was filed, and the proposed settlement would pay Honda owners about $100 each in damages and pay the attorneys $8.5 million. Ms. Peters opted out of the class action and sued Honda in small claims court instead. This week, a judge in that case awarded her $9,687. Ms. Peters has a website where she encourages others to opt out of the class action and provides copies of all the documents she filed in her case. The full 25-page court opinion ruling in favor of Ms. Peters is also available. Results will vary from state to state: in California, the maximum award available in small claims court was recently raised to $10,000; here in Alabama the limit is $3,000.

From Annette Cook and the SOAR Institute:

Student success is making sure that the “whole” person is healthy and able to function well. Student Success Seminar topics are listed below. All seminars will be conducted in Room 2454 on the Martin Campus. Hope to see you there.

Study Tips and Note Taking Strategies

  • Tuesday, February 7, 2012 – 5:15 p.m.– 5:50 p.m.
  • Wednesday, February 8, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, February 10, 2012 – 10:00 a.m.–11:00 a.m.

Student Survival Kit

  • Tuesday, February 14, 2012 – 5:15 p.m.– 5:50 p.m.
  • Wednesday, February 15, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, February 17, 2012 – 10:00 a.m.–11:00 a.m.

What can you do with your program of study?

  • Tuesday, February 21, 2012 – 5:15 p.m.– 5:50 p.m.
  • Wednesday, February 22, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, February 24, 2012 – 10:00 a.m.–11:00 a.m.

Test Anxiety

  • Tuesday, February 28, 2012 – 5:15 p.m.– 5:50 p.m.
  • Wednesday, February 29, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, March 2, 2012 – 10:00 a.m.–11:00 a.m.

Time Management

  • Tuesday, March 6, 2012 – 5:15 p.m.– 5:50 p.m.
  • Wednesday, March 7, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, March 9, 2012 – 10:00 a.m.–11:00 a.m.

Are you Résumé Ready?

  • Tuesday, March 20, 2012 – 5:15 p.m. – 5:50 p.m.
  • Wednesday, March 21, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, March 23, 2012 – 10:00 a.m.–11:00 a.m.

Understanding and Avoiding Plagiarism

  • Tuesday, March 27, 2012 – 5:15 p.m. – 5:50 p.m.
  • Wednesday, March 28, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, March 30, 2012 – 10:00 a.m.–11:00 a.m.

Do’s and Don’ts of Communication with College Faculty and Staff

  • Tuesday, April 3, 2012 – 5:15 p.m. – 5:50 p.m.
  • Wednesday, April 4, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, April 6, 2012 – 10:00 a.m.–11:00 a.m.

Understanding and Conquering Procrastination

  • Tuesday, April 10, 2012 – 5:15 p.m. – 5:50 p.m.
  • Wednesday, April 11, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, April 13, 2012 – 10:00 a.m.–11:00 a.m.

Are you prepared for your interview?

  • Tuesday, April 17, 2012 – 5:15 p.m. – 5:50 p.m.
  • Wednesday, April 18, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, April 20, 2012 – 10:00 a.m.–11:00 a.m.

Stress Management

  • Tuesday, April 24, 2012 – 5:15 p.m. – 5:50 p.m.
  • Wednesday, April 25, 2012 – 1:00 p.m.–2:00 p.m.
  • Friday, April 27, 2012 – 10:00 a.m.–11:00 a.m.

Slides from today’s lecture

Judicial procedure

Here’s the scene from My Cousin Vinnie the I mentioned, which does a pretty good job of illustrating what it takes to qualify as an expert witness:

Our representative to Congress, Terri Sewell, has

I’ve posted the syllabus for BUS 263-01 (Legal & Social Environment of Business, Tues & Thurs 11:30am) the the class page (linked in the header above).

Classes started today, and my section of BUS 263-01 has its first meeting tomorrow at 11:30am. I’ll have a syllabus posted here tomorrow. See you then.

Patents like this are a logical consequence of the extension of patentable matter to software and business methods but extending patents to software and business methods has created huge legal costs without any increase in innovation.

Most importantly, patents can reduce innovation and are especially likely to do so in fields where innovations build on innovations. In fields of cumulative innovation, previous patents owners become veto players who can threaten to holdup the new innovation unless they are granted a share of the proceeds. In theory, bargaining can result in an efficient outcome. In practice, it means lawsuits, delay, waste and reduced innovation.

Alex Tabarrok points out the negative externalities of patents: increased costs and reduced innovation. Do we issue too many patents?

Some of you may be wondering how you’re doing in the course and what you’ll need to make on the last test and the Learning Reflection to earn the grade you’d like in this class. Here is a spreadsheet with the final grade calculation formula that you can use to plug in you grades so far to see how you’re doing. Just click the ‘Click to Edit’ button and fill in the grades you’ve earned so far and then estimate your remaining grades.  The ‘Team Assignments’ grade is the average of your in-class assignments, and the ‘Teamwork’ grade assesses your contributions to your team’s success. I’ll assign this grade based on your own self-evaluation, your team-mates’ evaluations, and my observations of your in-class work. The Learning Reflection is worth 5 points, so estimate what you think you’ll earn, up to 5 points.

Some of you may be wondering how you’re doing in the course and what you’ll need to make on the last test and the Learning Reflection to earn the grade you’d like in this class. Here is a spreadsheet with the final grade calculation formula that you can use to plug in you grades so far to see how you’re doing. Just click the ‘Click to Edit’ button and fill in the grades you’ve earned so far and then estimate your remaining grades. The “Team Assignments” grade is the average of your in-class assignments, and the “Teamwork” grade assesses your contributions to your team’s success. I’ll assign this grade based on your own self-evaluation, your team-mates’ evaluations, and my observations of your in-class work. The Learning Reflection is worth 5 points, so estimate what you think you’ll earn, up to 5 points.