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Employment Law360 Publishes Partner Barbara Hoey's Article on SOX Case Defining Protected Activity
Employment Law360 published Partner Barbara Hoey's article titled "Defining 'Protected Activity' Under SOX." In the article, Ms. Hoey analyzes what should be seen as a significant step forward for employers, the U.S. Department of Labor, OSHA Administrative Review Board's decision in Welch v. Cardinal Bankshares Corp. The decision provides a clearer, more definitive definition of what constitutes "protected activity," under the whistleblower provisions of the Sarbanes-Oxley Act (SOX). This case, along with other federal court and Department of Labor decisions, has clarified the law such that every employee who "blows the whistle" on what they perceive to be corporate wrongdoing, violations of internal policies or minor accounting errors should not be able to successfully claim SOX whistleblower status. Ms. Hoey explains why Welch and cases that follow it could remove a substantial group of potential plaintiffs from the umbrella of SOX protection.

09-24-2007

Katten Successfully Represents California Surgeon in Precedent-Setting Court Decision
Katten Muchin Rosenman LLP is pleased to announce that it has won a precedent-setting court decision on behalf of California surgeon Daniel A. Capen, M.D. The case revolved around his legal right to wholly own and operate a Southern California surgical clinic at which non-owner physicians also practice, without obtaining a license from the California Department of Health Services (DHS). The ruling, handed down by the California Court of Appeal’s Third Appellate District, impacts countless unlicensed group medical practices state-wide by clarifying an ambiguous provision of the California Health and Safety Code governing which medical clinics must be licensed by DHS. Under the interpretation adopted by DHS, many of these practices would have been deemed to be operating illegally.

“A ruling in favor of DHS in this matter would have had dire consequences for numerous California group medical practices since it would have technically barred thousands of currently operating group practices from employing other physicians or nurses without first obtaining a license from DHS,” said Laurence G. Solov, counsel for Dr. Capen and a partner with Katten in Los Angeles who concentrates his practice in health care litigation.

Dr. Capen had been engaged in litigation with DHS since 2002, when he sued the regulatory agency after being informed that a license would be required for his clinic, despite language in the California Health and Safety Code that excludes from the definition of a “surgical clinic” requiring licensure by DHS, any clinic owned and operated by one or more physicians in individual or group practice. It also exempts from the licensing requirement any establishment owned and operated by one or more health care practitioners within the scope of their license. Nonetheless, DHS stated that since Dr. Capen’s clinic would also be used by physicians who do not share in its ownership and operation, a license was required. Dr. Capen filed suit, claiming that DHS’s interpretation of the statutes constituted an underground regulation that was void because DHS had failed to comply with the formal rulemaking requirements of the California Administrative Procedures Act (APA).

In April 2004, the Sacramento Superior Court granted summary judgment and issued a judgment in Dr. Capen’s favor, holding that the statutes were ambiguous and voiding DHS’s interpretation of them for its failure to comply with the APA. DHS appealed the ruling, and on February 8, 2007, the Court of Appeal’s Third Appellate District reversed part of the trial court’s decision, determiningthat all physicians who practice at an unlicensed clinic must have an interest in that clinic’s safe operation, and therefore, a clinic must be licensed by DHS unless all physicians practicing there have a share in its ownership. Dr. Capen petitioned the Court for rehearing and with the help of an amicus brief filed by the California Medical Association (CMA), the request was granted. On September 19, 2007, the Court reversed its prior decision, affirming the trial court’s original ruling in favor of Dr. Capen in full.

“We are gratified that the appellate court saw it appropriate to grant rehearing and affirm the trial court’s original ruling,” added Solov.

In issuing its decision, the Court ruled that physician owned and operated surgical clinics are to be regulated by a division of the California Medical Board when general anesthesia is used, and surgical clinics owned and operated by non-physicians are to be regulated by DHS. Accordingly, the Court concluded that Dr. Capen’s clinic is not subject to licensing and regulation by DHS.

09-24-2007

Christine M. Sellitti, Tax & Estates Attorney, Joins Fox Rothschild's Roseland Office
Fox Rothschild has announced that Christine M. Sellitti has joined the firm's Tax & Estates Practice as an associate, resident in the Roseland, New Jersey office.

"Christine has an excellent reputation in the trusts and estates area," said Steven C. Levitt, co-chair of the firm's Tax & Estates Department. "She has a comprehensive understanding of the highly sophisticated aspects of estate and succession planning. She is an excellent match for our expanding practice, and we are pleased to welcome her to our Roseland office."

Sellitti focuses her practice in estate planning and estate administration. She has experience in the set-up and implementation of comprehensive and sophisticated estate, business and wealth succession plans; complex wills, living wills, powers of attorney, and a variety of trusts; various partnership, limited liability company, corporate and related agreements, and organizational documents for private foundations.

"Fox Rothschild offers me a wonderful opportunity to grow professionally, and to provide my clients with a broader range of services," said Sellitti. "I am delighted to join one of the strongest national estate planning groups in the region."

Active in the legal community, Sellitti is a member of the American Bar Association and the New Jersey Bar Association.

Sellitti graduated from Montclair State University (B.S. magna cum laude, 1995) and Rutgers University School of Law, Newark (J.D. 1998). She is currently a candidate for her LL.M. in Taxation (with a concentration in estate planning) from NYU in December, 2007. She is admitted to practice in New Jersey and the U.S. District Court, District of New Jersey.

09-24-2007

William Maruca Quoted in National Law Journal
Fox's William Maruca was recently quoted in "New Medicare Rule May Fuel Litigation," by Tresa Baldas. The article appeared in the September 24, 2007 edition of the National Law Journal.

The article discusses a new Medicare policy that goes into effect in October 2008. Under the new policy, the government will not pay for preventable hospital injuries. Maruca discusses his view of the policy and his expectation that it will provide a "boost" for plaintiff's lawyers in medical malpractice cases.

09-24-2007

Epstein Becker & Green Adds 12 Lawyers to Washington, DC Office
Epstein Becker & Green announced today the addition of 12 lawyers to the firm’s Washington, DC office. Eleven attorneys have been added to the Health Care and Life Sciences Practice and one attorney has joined the Government Contracts Practice Group.

In addition to incoming first-year associates (Emily Bajcsi, Bryant Godfrey, Sarah Morabito, Tina Rao, Joel Rush, Nisha Shah and Amy Siegel), EBG has added to its Health Care and Life Sciences Practice mid-level associate Kate Tarallo, who transferred from the firm's Chicago office; senior associate Benjamin Martin, who joined EBG from Arnold & Porter’s Washington, DC office; senior counsel Robert Penezic, who joined from Broad and Cassel’s Fort Lauderdale, Fla., office; and partner Steven Skwara, who joined from Blue Cross and Blue Shield of Massachusetts, where he served as Associate General Counsel and as Director, Fraud Investigation and Prevention.

These additions strengthen the firm’s pharmaceutical and medical device practice groups as well as the firm’s health care white-collar crime, fraud, and litigation practice groups. In particular, Tarallo advises and counsels on FDA matters; Martin focuses on pharmaceutical pricing regulatory matters; and Skwara brings significant investigation and litigation experience to the Health Care and Life Sciences Practice. Penezic provides additional capacity in the growing areas of health care white-collar crime, health care fraud, and litigation, having been an assistant statewide prosecutor and head of a special task force addressing prescription drug diversion affecting Florida.

The new attorneys bring the number of Health Care and Life Sciences lawyers in EBG’s Washington, DC office to 64. Among the firm’s more than 380 attorneys, over 100 attorneys practice health law full-time, ranking EBG’s Health Care and Life Sciences Practice as one of the nation’s largest, according to a survey by Modern Healthcare.

The firm’s Government Contracts Practice Group in Washington, DC has also expanded, with the addition of first-year associate Amy Kingston.

“As Epstein Becker & Green continues to grow and prosper, we expect the Washington, DC office to be a large component of that growth,” said Steven B. Epstein, a founder of the firm and head of the Washington, DC office. “With these additions, we add strength to our national leadership in the firm’s founding practice, Health Care and Life Sciences, as well as to our longstanding focus in Washington, DC on government contracts law.”

09-24-2007

JEFF SMITH TO SPEAK AT ELI CONFERENCE ON CLIMATE CHANGE'S IMPACT ON SECURITIES DISCLOSURES
Cravath partner Jeffrey A. Smith will speak at "Climate's Impact on Securities Disclosures", a New York City conference presented by the Environmental Law Institute as part of its Climate Change Series. Conference panelists will discuss issues facing companies and their legal counsel when considering the ramifications of climate change for disclosure, including how companies should address climate issues in their securities filings and in voluntary reports to their stakeholders.

09-24-2007

4 Clausen Miller Attorneys Honored As New York Super Lawyers
4 Clausen Miller attorneys have been named 2007 Super Lawyers. Only 5% of New York attorneys receive this honor. The attorneys were nominated by their peers, then went through a rigorous panel review for final selection. Please congratulate the following attorneys on their latest achievement.

09-24-2007

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