Anthem to pay record $115 million to settle U.S. lawsuits over data breach

The office building of health insurer Anthem is seen in Los Angeles, California February 5, 2015. REUTERS/Gus Ruelas

By Brendan Pierson

(Reuters) – Anthem Inc <ANTM.N>, the largest U.S. health insurance company, has agreed to settle litigation over hacking in 2015 that compromised about 79 million people’s personal information for $115 million, which lawyers said would be the largest settlement ever for a data breach.

The deal, announced Friday by lawyers for people whose information was compromised, must still be approved by U.S. District Judge Lucy Koh in San Jose, California, who is presiding over the case.

The money will be used to pay for two years of credit monitoring for people affected by the hack, the lawyers said. Victims are believed to include current and former customers of Anthem and of other insurers affiliated with Anthem through the national Blue Cross Blue Shield Association.

People who are already enrolled in credit monitoring may choose to receive cash instead, which may be up to $50 per person, according to a motion filed in California federal court Friday.

“We are very satisfied that the settlement is a great result for those affected and look forward to working through the settlement approval process,” Andrew Friedman, a lawyer for the victims, said in a statement.

The credit monitoring in the settlement is in addition to the two years of credit monitoring Anthem offered victims when it announced the breach in February 2015, according to Anthem spokeswoman Jill Becher, who said the company was pleased to be resolving the litigation.

The Indianapolis-based company did not admit wrongdoing, and there was no evidence any compromised information was sold or used to commit fraud, Becher said.

Anthem said in February 2015 that an unknown hacker had accessed a database containing personal information, including names, birthdays, social security numbers, addresses, email addresses and employment and income information. The attack did not compromise credit card information or medical information, the company said.

More than 100 lawsuits filed against Anthem over the breach were consolidated before Judge Koh.

The breach is one of a series of high-profile data breaches that resulted in losses of hundreds of millions of dollars to U.S. companies in recent years, including Target Corp <TGT.N>, which agreed to pay $18.5 million to settle claims by 47 states in May, and Home Depot Inc <HD.N>, which agreed to pay at least $19.5 million to consumers last year.

(Reporting by Brendan Pierson in New York; Editing by Lisa Shumaker)

Three arrested at Trump inauguration sue DC over ‘police abuse’

File Photo - Protesters demonstrating against U.S. President Donald Trump take cover as they are hit by pepper spray by police on the sidelines of the inauguration in Washington, DC, U.S. on January 20, 2017. REUTERS/Adrees Latif/File Photo

(Reuters) – The American Civil Liberties Union sued police in the nation’s capital on Wednesday on behalf of three people detained during the U.S. presidential inauguration, claiming they were subjected to unconstitutional arrests, excessive force and police abuse.

More than 200 people were arrested in Washington in January after some black-clad activists among those protesting Donald Trump’s swearing-in clashed with police a few blocks from the White House, in an outburst of violence rare for an inauguration.

The lawsuit against the Metropolitan Police Department, the District of Columbia and individual officers claims the plaintiffs broke no laws at the protests and endured abuses including being pepper-sprayed and denied food and water for hours.

The plaintiffs include two individuals who came to the District of Columbia to express their views concerning the inauguration and a photojournalist who covered the demonstrations.

“The MPD’s extreme tactics against members of the public, including journalists, demonstrators, and observers, were unjustifiable and unconstitutional,” Scott Michelman, senior staff attorney for the ACLU-DC, said in a statement.

Since Trump’s election win, a number of demonstrations in U.S. cities have highlighted strong discontent over his comments and policy positions toward a wide range of groups, including Mexican immigrants, Muslims, the disabled and environmentalists.

Washington’s police department said in a statement “all instances of use of force by officers and allegations of misconduct at the inauguration will be fully investigated,” and that it will support the legal process.

It added officers worked diligently to protect the rights of thousands who came to the inauguration to peacefully express their views.

“Unfortunately, there was another group of individuals who chose to engage in criminal acts, destroying property and hurling projectiles, injuring at least six officers. These individuals were ultimately arrested for their criminal actions,” it said.

The lawsuit says photojournalist Shay Horse was pepper-sprayed while taking photographs and subjected to unjustified, invasive body probes.

It also said demonstrator Elizabeth Lagesse was peacefully protesting when she was arrested and handcuffed so tightly that her wrists bled.

(This story corrects number of people suing Washington D.C. in headline and paragraphs 1 and 4.)

(Reporting by Jon Herskovitz in Austin, Texas; Editing by Colleen Jenkins and Matthew Lewis)

Black Lives Matter sues for court oversight of Chicago police reforms

FILE PHOTO: Chicago Police Superintendent Eddie Johnson arrives at a news conference in Chicago, Illinois, U.S., on September 21, 2016. REUTERS/Jim Young/File Photo

By Chris Kenning

CHICAGO (Reuters) – Members of Black Lives Matter and other groups sued the city of Chicago on Wednesday, seeking to force federal court oversight of reforms to the police department, which has been accused of using excessive force against minorities.

The lawsuit, filed by civil rights attorneys in the U.S. District Court of Northern Illinois, came after Mayor Rahm Emanuel backed off a pledge to let a federal judge oversee reforms.

The lawsuit asks the court to ensure reforms will halt what it described as the ongoing use of excessive force, physical harassment and targeting of minority youth and a reliance on overly aggressive tactics by Chicago police.

“Chicago has proven time and time again that it is incapable of ending its own regime of terror, brutality and discriminatory policing,” the lawsuit said. “Absent federal court supervision, nothing will improve.”

In January, a federal investigation found Chicago police routinely violated the civil rights of people, citing excessive force and racially discriminatory conduct.

That followed protests sparked by the fall 2015 release of video showing a white police officer fatally shooting black teen Laquan McDonald a year earlier.

After the probe’s findings were released, Emanuel committed to a consent decree, a court-ordered reform agreement.

Earlier this month, he said Chicago was discussing an agreement with the Justice Department that would include an independent monitor instead of court oversight.

In an interview with Reuters, Emanuel said a consent decree with the Justice Department is not an option because Attorney General Jeff Sessions does not favor them to impose reform.

Chicago has pushed ahead with reforms including enacting new rules on use of force, provided two-thirds of the Chicago police force with body cameras and is hiring 1,000 new officers, Emanuel said.

Emanuel indicated he still has questions about the role of any outside monitor. “If you have an outside monitor, what are their authorities and their abilities?” he asked.

Edward Siskel, the city’s top lawyer, said on Wednesday that the larger need for reform was npt in question.

But the shift away from using court oversight drew criticism from Illinois Attorney General Lisa Madigan and activist groups. A plaintiffs’ attorney in Wednesday’s lawsuit said the city could enter a court-decree with the plaintiffs.

Plaintiffs include six individuals along with groups including Black Lives Matter Chicago and Blocks Together.

Kevin Graham, president of Chicago’s police union, in a statement objected to the lawsuit’s characterization of the department and said his offers are doing a phenomenal job in extremely dangerous circumstances.

(Additional reporting by David Greising; Editing by Matthew Lewis and Lisa Shumaker)

‘Trial of a lifetime’ plays out in tiny South Dakota town

The welcome sign is seen for the town of Elk Point, South Dakota, U.S. June 3, 2017. REUTERS/Ryan Henriksen

By Timothy Mclaughlin

ELK POINT, S.D. (Reuters) – In this rural outpost of just over 1,900 residents, a local college student has become a courtroom sketch artist, trailers on Main Street are ersatz offices for a major law firm and members of an agricultural youth club are puzzled by a new metal detector at the local courthouse.

The changes are part of Elk Point’s selection as site of a multibillion-dollar defamation case pitting ABC News against South Dakota-meat processor, Beef Products Inc. The company contends that ABC and reporter Jim Avila defamed it by referring to its signature product as “pink slime” in 2012 broadcasts.

BPI calls its product lean finely textured beef (LFTB).

The trial, scheduled to run eight weeks, opened on Monday. ABC is a unit of Walt Disney Co.

While BPI could face an uphill battle to show ABC intended to harm the company or knew its reporting was false, as required to prove a defamation claim, several Elk Point residents interviewed by Reuters this week were sympathetic to BPI and its founder, Eldon Roth.

“I used his products and they were good products,” said one longtime resident, Jim Cody, referring to Roth. “I couldn’t believe that people were saying this crap about them.”

Mark Turner, who owns LandMark Antiques & More, sells his own beef out of a small refrigerator in the shop. BPI is an industrialized meat processor with which he has little in common, Turner said. Even so, he felt ABC unfairly depicted LFTB.

Others, like Bobbye Wendt, who was hoping the trial would bring a boost in business for her coffee shop, were torn. ABC “could have just been reporting,” she said.

During jury selection last week a handful of potential jurors were dismissed because of criticisms of LFTB, BPI or the company founders, the Sioux City Journal reported. The company’s headquarters are not in Elk Point but some 20 miles (32 km) away.

Dane Butswinkas, an attorney for ABC, acknowledged the broadcasting company has no local ties during Monday’s opening statements, but asked that jurors look beyond this and examine the facts. ABC maintains its reporting was fair and accurate.

“No one that I will put on the stand is from here,” he said. “We’re all outsiders,”

BPI has claimed up to $1.9 billion of damages, which could be tripled to $5.7 billion. The local newspaper, the Southern Union County Leader-Courier, has dubbed it “the trial of a lifetime.”

BPI has moved four modular offices into town and purchased another building. ABC is renting Cody’s Homestead, Jim Cody’s shuttered, sun-faded steakhouse, the Leader-Courier reported. ABC declined to comment on the property.

While the trial has not caused a traffic jam on Main Street as some had predicted, the Union County Courthouse was unusually busy this week.

A parade of public relations staff, company officials and lawyers wheeled dozens of boxes of files under the court’s mounted elk head after making the 30-minute drive from hotels in Sioux City, Iowa. Elk Point has only one hotel.

On Tuesday, children sheepishly asked a security guard at the courthouse if they needed to walk through the new metal detector to drop off their farm club paperwork. They did not, he said.

(Editing by David Greising and Matthew Lewis)

U.S. sues Los Angeles over inadequate housing for disabled

A view of downtown Los Angeles, California, U.S. February 23, 2017. REUTERS/Mike Blake

By Jonathan Stempel

(Reuters) – The United States has joined a lawsuit accusing Los Angeles of failing to develop affordable housing for disabled people, despite accepting millions of dollars of federal funds for that purpose, the Department of Justice said on Wednesday.

The decision to intervene adds legal firepower to a whistleblower case brought by Los Angeles wheelchair user Mei Ling, and signals the government’s belief it has a greater chance of success than typical of False Claims Act lawsuits.

It also follows Los Angeles’ agreement last August to settle litigation by several advocacy groups by spending at least $200 million over a decade to provide 4,000 affordable apartments for people with disabilities.

A year earlier, the second most populous U.S. city committed to spending $1.3 billion over 30 years to fix broken sidewalks that critics called nightmares for wheelchair users.

A spokesman for Democratic City Attorney Mike Feuer, Rob Wilcox, in a statement said Los Angeles would “vigorously fight” the lawsuit, which threatens to “divert tens of millions more from L.A. taxpayers to the federal treasury – without housing a single person. This abuse of power cannot stand.”

The lawsuit accused Los Angeles of falsely certifying its compliance with the Fair Housing Act and other laws protecting the disabled, such as by setting aside 7 percent of multifamily units for people with impaired mobility, sight or hearing.

Such compliance was a condition for the city of 4 million to receive U.S. Department of Housing and Urban Development funds.

But the lawsuit said none of the HUD-funded multifamily housing in Los Angeles supported by CRA/LA, a city agency once called the Community Redevelopment Agency, had enough accessible units.

“Denying people with disabilities equal access to public housing deprives one of the most disadvantaged groups in society of fair housing opportunities,” said Acting Assistant Attorney General Chad Readler of the Justice Department’s civil division.

The CRA/LA did not respond to requests for comment.

Ling’s lawyer, Scott Moore, said his client once spent three years in a homeless shelter because she could not find accessible housing, and even now cannot use her bathtub normally.

“This is monumental for my client,” Moore said in an interview. “If cities think they can take the money, and only then try to make amends, then the False Claims Act has no meaning.”

False Claims Act lawsuits let private whistleblowers sue on the government’s behalf, and share in recoveries.

The nonprofit Fair Housing Council of San Fernando Valley also sued on Ling’s behalf.

The case is U.S. ex rel Ling et al v City of Los Angeles et al, U.S. District Court, Central District of California, No. 11-00974.

(Reporting by Jonathan Stempel in New York; Editing by David Gregorio, Bernard Orr and Jonathan Oatis)

Woman pepper-sprayed at UC Berkeley protest sues university, police

A worker surveys the damage to a vandalized Starbucks after a student protest turned violent at UC Berkeley during a demonstration over right-wing speaker Milo Yiannopoulos, who was forced to cancel his talk, in Berkeley, California.

By Gina Cherelus

(Reuters) – A woman who says she was pepper-sprayed by protesters demonstrating against a planned appearance by a right-wing speaker in February has sued the University of California at Berkeley for infringing on her First Amendment free speech rights.

Kiara Robles of Oakland, California is suing 18 individuals and organizations including officials at the University of California, UC Berkeley’s police department, Berkeley Mayor Jesse Arreguin, the Berkeley Police Department, U.S. Representative Nancy Pelosi and investor George Soros.

“Robles was attacked with extremely painful pepper spray and bear mace by masked assailants amongst the protesters because she chose to exercise her right to freedom of speech and show support for the planned speaker, Milo Yiannopoulous,” according to the lawsuit.

The suit was filed on Monday in the U.S. District Court for the Northern District of California by Larry Klayman, a conservative activist and one of Robles’ attorneys.

In an emailed statement on Tuesday, Dan Mogulof, a spokesman for the University of California at Berkeley, defended the actions of campus administrators and police, and said the university would vigorously fight the suit.

A spokesman for the Berkeley mayor’s office, Stefan Elgstrand, said the office has no comment on pending litigation.

According to the lawsuit, Robles went to UC Berkeley to hear Yiannopoulous’ speech. But violence erupted after more than 1,500 protesters gathered on the campus, forcing the former Breitbart News editor to cancel his appearance at the liberal-leaning institution.

According to the lawsuit, the University of California, Berkeley unconstitutionally limited the First Amendment rights of its students and invitees at the event “who do not subscribe to the radical, left-wing philosophies sanctioned by defendants.”

Representative for the University of California’s office of the president and the city of Berkeley Police Department did not immediately respond to requests for comment.

A statement from Pelosi was not immediately available, according to a spokeswoman from her office, Caroline Behringer.

George Soros could not immediately be reached.

Robles is demanding a trial by jury and is seeking more than $20,000,000 in damages and other relief, the lawsuit said.

(Reporting by Gina Cherelus in New York; Editing by Daniel Wallis and Dan Grebler)

‘Pink slime’ defamation case against ABC under way in South Dakota

Lean, finely textured beef (LFTB) is produced at the Beef Products Inc (BPI) facility in South Sioux City, Nebrask

By Timothy Mclaughlin and P.J. Huffstutter

ELK POINT, S.D./CHICAGO (Reuters) – A South Dakota meat processor’s $5.7 billion defamation lawsuit against American Broadcasting Company opened on Monday, pitting big agriculture against big media, in the first major court challenge against a media company since accusations of “fake news” by U.S. President Donald Trump and his supporters have become part of the American vernacular.

In the closely watched case, Beef Products Inc (BPI) claims ABC, a unit of Walt Disney Co, and its reporter Jim Avila, defamed the company by calling its ground-beef product “pink slime” and making errors and omissions in its reporting.

The 2012 news reports almost put privately held meat processor BPI out of business, a lawyer for the company said in opening arguments on Monday.

“That success took about 30 years to succeed and it took ABC less than 30 days to severely damage the company,” the attorney, Dan Webb, said in court.

In the aftermath of ABC’s reports, BPI closed three of its four processing plants and said its revenue dropped 80 percent, to $130 million.

ABC has countered that its coverage was accurate and deserved protection under the U.S. Constitution’s First Amendment which guarantees freedom of religion, speech and the right to a free press.

ABC denies any wrongdoing and is confident its reporting will be “fully vindicated,” a lawyer for ABC and Avila, Kevin Baine of Williams &amp; Connolly, has said.

Nick Roth (L), Jennifer Letch (C) and Craig Letch pose for a photograph at Beef Products Inc company headquarters in Dakota Dunes, South Dakota N

FILE PHOTO: Nick Roth (L), Jennifer Letch (C) and Craig Letch pose for a photograph at Beef Products Inc company headquarters in Dakota Dunes, South Dakota November 19, 2012. REUTERS/Lane Hickenbottom/File Photo

The trial is being held in Elk Point, South Dakota, about 20 miles (32 km) north of BPI’s headquarters, which employs 110 people. Roughly 6 percent of the area labor force is involved in agriculture and related industries, according to the local chamber of commerce.

Election records show 67 percent of the U.S. presidential vote in Union County, where Elk Point sits, was won by Trump, who uses the term “fake news” to argue that some mainstream media outlets cannot be trusted.

Lawyers for BPI have declined to say if they plan to focus on “fake news” as a tactic at trial. But during a January court hearing, a BPI lawyer, Erik Connolly, said ABC broadcasts and online reports about “lean finely textured beef” (LFTB) used unreliable sources and set out to foment public outrage. The ABC reports amounted to “fake news,” Connolly told the judge.

BPI’s signature product, commonly mixed into ground beef, is made from beef chunks, including trimmings, and exposed to bursts of ammonium hydroxide to kill E. coli and other contaminants.

Webb said in court on Monday that between March 7 and April 3 of 2012, ABC used the term “pink slime” more than 350 times across six different media platforms including TV and online.

Reporter Avila, wearing a gray suit and striped tie, was in the courtroom on Monday as were BPI’s founders, Eldon and Regina Roth.

To win its case, BPI must show the network intended to harm the company or knew what it reported was false when it referred to BPI’s LFTB product as “pink slime.” BPI also claims ABC made other errors and omissions that unfairly cast its product in a bad light.

Not since talk show host Oprah Winfrey in 1998 took on cattle producers in Amarillo, Texas, have big media and big agriculture squared off in such a high-profile way on the industry’s home turf.

The Texas jury in 2000 rejected claims Winfrey defamed cattle ranchers during a “dangerous food” episode of her eponymous show, when she expressed concerns about eating beef at the height of the panic in Britain over “mad cow” disease.

As in the Winfrey case, the lawsuit against ABC is upending a quiet, rural town. To make room for overflow crowds in the town of 2,000, the county commission earmarked $175,000 to turn the Union County Courthouse basement into an enlarged courtroom and move records into a specially constructed separate building.

BPI moved modular offices into town to accommodate its legal team, the company said.

(Additional reporting by Mark Weinraub in Chicago; Editing by David Greising, James Dalgleish and Matthew Lewis)

Trump travel ban fight heads toward Supreme Court showdown

A picture of the travel advisory page of Qatar Airways advising passengers bound for the United States from seven newly banned majority Muslim countries that they need to have either a U.S. green card or diplomatic visa, January 28, 2017 in London, Britain. Picture taken January 28, 2017. REUTERS/Russell Boyce

By Lawrence Hurley

WASHINGTON (Reuters) – The fate of President Donald Trump’s order to ban travelers from six predominantly Muslim nations, blocked by federal courts, may soon be in the hands of the conservative-majority Supreme Court, where his appointee Neil Gorsuch could help settle the matter.

After the Richmond-based 4th U.S. Circuit Court of Appeals declined on Thursday to lift a Maryland federal judge’s injunction halting the temporary ban ordered by Trump on March 6, Attorney General Jeff Sessions said the administration would appeal to the Supreme Court.

A second regional federal appeals court heard arguments on May 15 in Seattle in the administration’s appeal of a decision by a federal judge in Hawaii also to block the ban. A ruling by the 9th U.S. Circuit Court of Appeals is pending.

The Justice Department has not made clear when the administration would make its formal appeal or whether it would wait for the 9th Circuit ruling before appealing.

If they take it up, the justices would be called upon to decide whether courts should always defer to the president over allowing certain people to enter the country, especially when national security is the stated reason for an action as in this case. They also would have to decide if Trump’s order violated the U.S. Constitution’s bar against the government favoring one religion over another, as the ban’s challengers assert.

Gorsuch’s April confirmation by the Republican-led Senate over Democratic opposition restored the court’s 5-4 majority, which means that if all the conservative justices side with the administration the ban would be restored regardless of how the four liberal justices vote.

During his Senate confirmation hearing, Gorsuch was questioned about Trump’s criticism of judges who ruled against the ban. Gorsuch avoided commenting on the legal issue, saying only that he would not be “rubber stamp” for any president.

While the justices could decide in the coming weeks whether to hear the case, they likely would not hold oral arguments until late in the year, with a ruling sometime after that. A final resolution may not come until perhaps a year after Trump issued the executive order.

The justices are not required to hear any case, but this one meets important criteria cited by experts, including that it would be the federal government filing the appeal and that it involves a nationwide injunction.

The administration could file an emergency application seeking to put the order into effect while the litigation on its legality continues. At least five justices must agree for any such request to be granted.

While the court could split 5-4 along ideological lines, it also is possible some conservative justices could join the liberals in overturning the travel ban, libertarian law professor Ilya Somin of George Mason University said.

“Conservatives in other contexts often take a hard line against any kind of government discrimination (based) on race or religion or the like, even if the motivation may be benign. Also conservatives have concerns about government infringements on religion,” Somin said.

The 4th Circuit said the ban’s challengers, including refugee groups, in the case argued by the American Civil Liberties Union were likely to succeed on their claim that the order violated the Constitution’s prohibition on the government favoring or disfavoring any religion. In the 10-3 ruling, three Republican-appointed judges dissented.

The Republican president’s March 6 order, replacing an earlier Jan. 27 one also blocked by the courts, called for barring people from Iran, Libya, Somalia, Sudan, Syria and Yemen for 90 days while the government implements stricter visa screening. It also called for suspending all refugee admissions for 120 days.

KENNEDY’S REASONING

The travel ban’s challengers may take some comfort from the appeals court ruling’s reliance on a concurring opinion in a 2015 Supreme Court immigration case by Justice Anthony Kennedy, a conservative who sometimes sides with the court’s liberals in big cases.

In the 2015 case, Kennedy wrote that in the immigration context, the government’s actions can be questioned if there is evidence of bad faith.

“As with any opinion by Justice Kennedy, I think the million-dollar question is just what he meant in his concurrence, and this may be a perfect case to find out,” University of Texas School of Law professor Stephen Vladeck said.

In Thursday’s ruling, 4th Circuit Chief Judge Roger Gregory wrote that the plaintiffs had shown there was “ample evidence” of bad faith, which gave the green light to probe whether there were reasons for the order other than the administration’s stated national security rationale.

The administration has argued the temporary travel ban was needed to guard against terrorist attacks. Gregory wrote that the order uses “vague words of national security, but in context drips with religious intolerance, animus, and discrimination.” Trump during the presidential campaign called for a “total and complete shutdown of Muslims entering the United States.”

(Reporting by Lawrence Hurley; Additional reporting by Andrew Chung in New York; Editing by Will Dunham)

Wikipedia can pursue NSA surveillance lawsuit: U.S. appeals court

A man is silhouetted near logos of the U.S. National Security Agency (NSA) and Wikipedia in this photo illustration taken in Sarajevo March 11, 2015. REUTERS/Dado Ruvic/File Photo

By Jonathan Stempel

(Reuters) – A federal appeals court on Tuesday revived a Wikipedia lawsuit that challenges a U.S. National Security Agency (NSA) program of mass online surveillance, and claims that the government unconstitutionally invades people’s privacy rights.

By a 3-0 vote, the 4th U.S. Circuit Court of Appeals in Richmond, Virginia, said the Wikimedia Foundation, which hosts the Wikipedia online encyclopedia, had a legal right to challenge the government’s Upstream surveillance program.

The decision could make it easier for people to learn whether authorities have spied on them through Upstream, which involves bulk searches of international communications within the internet’s backbone of cables, switches and routers.

Upstream’s existence was revealed in leaks by former NSA contractor Edward Snowden in 2013.

Lawyers for the Wikipedia publisher and eight other plaintiffs including Amnesty International USA and Human Rights Watch, with more than 1 trillion international communications annually, argued that the surveillance violated their rights to privacy, free expression and association.

The U.S. Department of Justice countered that the Foreign Intelligence Surveillance Act had authorized Upstream’s review of communications between Americans and foreign “targets.”

In October 2015, U.S. District Judge T.S. Ellis III in Baltimore dismissed the lawsuit, finding a lack of evidence that the NSA, headquartered in Maryland, was conducting surveillance “at full throttle.”

Writing for the appeals court panel, however, Circuit Judge Albert Diaz found “nothing speculative” about the Wikimedia Foundation’s claims.

Diaz said the NSA interception and copying of communications showed “an invasion of a legally protected interest – the Fourth Amendment right to be free from unreasonable searches and seizures.”

The foundation could also pursue its First Amendment claim because it had “self-censored” some communications in response to the Upstream surveillance, Diaz said.

By a 2-1 vote, the same panel also ruled the plaintiffs lacked standing to challenge the NSA’s alleged “dragnet” to intercept “substantially all” text-based communications to and from the United States while conducting Upstream surveillance.

Justice Department spokesman Mark Abueg declined to comment.

Patrick Toomey, an American Civil Liberties Union lawyer representing the plaintiffs, said the ruling means Upstream “will finally face badly needed scrutiny” in the courts.

“This is an important victory for the rule of law,” he said in a statement. “Our government shouldn’t be searching the private communications of innocent people in bulk.”

Some Democratic and Republican lawmakers are working on legislation to curtail parts of Upstream. A section of FISA that authorizes the program expires at year end.

The case is Wikimedia Foundation et al v National Security Agency et al, 4th U.S. Circuit Court of Appeals, No. 15-2560.

(Reporting by Jonathan Stempel in New York; Additional reporting by Dustin Volz in Washington; editing by Jeffrey Benkoe and Phil Berlowitz)

Workers say Wal-Mart discriminated against thousands of pregnant women

A logo of Walmart is seen in one of the stores in Monterrey, Mexico

By Daniel Wiessner

(Reuters) – Two former Wal-Mart Stores Inc employees have filed a lawsuit accusing the retailer of treating thousands of pregnant workers as “second-class citizens” by rejecting their requests to limit heavy lifting, climbing on ladders and other potentially dangerous tasks.

The proposed class action lawsuit was filed in federal court in Illinois on Friday by Talisa Borders and Otisha Woolbright, who say that until 2014, Arkansas-based Wal-Mart had a company-wide policy that denied pregnant women the same accommodations as workers with other disabilities.

The class could include at least 20,000 women and possibly up to 50,000 who worked at Wal-Mart while pregnant before the policy change, according to the lawsuit.

The company in a statement provided by spokesman Randy Hargrove denied the women’s claims and said Wal-Mart’s pregnancy policies “have always fully met or exceeded both state and federal law.” The company said a separate anti-discrimination policy it maintains has long listed pregnancy as a protected status.

“Walmart is a great place for women to work,” the company said.

Borders and Woolbright say that Wal-Mart’s old policy violated a federal law requiring employers to treat pregnancy as a temporary disability and provide work accommodations to pregnant women. The U.S. Supreme Court, in a 2015 case involving United Parcel Service, said employers cannot treat pregnant workers differently from those with other disabilities or medical conditions.

Wal-Mart, the largest private U.S. employer, changed its policy in 2014 to treat pregnancy as a disability. But lawyers for the plaintiffs in the lawsuit say the changes did not go far enough, and they were planning a separate lawsuit involving the new policy.

Woolbright says her manager at a Florida Wal-Mart told her pregnancy was “no excuse” for not doing heavy lifting. She says she was fired from her job in the deli department after injuring herself lifting trays that weighed up to 50 pounds and inquiring further about the company’s pregnancy policies.

Borders, who worked at an Illinois Wal-Mart, says she was reprimanded for asking coworkers to climb ladders and lift heavy boxes while she was pregnant, and forced to go on unpaid leave. When she returned, she says, she was paid $2.00 less per hour.

The case is Borders v. Wal-Mart Stores Inc, U.S. District Court for the Southern District of Illinois, No. 3:17-cv-00506.

(Reporting by Daniel Wiessner in Albany, New York, Editing by Alexia Garamfalvi, Dan Grebler and Jonathan Oatis)