Federal judge strikes down Wis. markup gas law

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Posted on 13th February 2009 by Gordon Johnson in Uncategorized

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Date: 2/13/2009

By TODD RICHMOND
Associated Press Writer

MADISON, Wis. (AP) — A federal judge has declared Wisconsin’s 70-year-old minimum markup on gas unconstitutional, saying it illegally restricts trade.

Rudolph T. Randa, chief judge of the Eastern District of Wisconsin, made the decision Wednesday in a lawsuit filed in 2008 by Flying J, a Utah company that runs pit stops in Black River Falls and Oak Creek.

A state law passed in 1939 prohibited retailers from selling products for less than they paid. Part of that law required gas stations to mark up gas either 6 percent over what they paid or 9 percent over the average wholesale price, whichever is higher.

The measure was meant to keep larger companies from selling gas for less than smaller competitors’ prices and driving them out of business. Violators faced stiff fines and lawsuits from competitors.

At least 10 states have laws that prevent gas stations from selling below cost, according to the National Conference of State Legislatures. At least two states, Wisconsin and Minnesota, require a certain percentage increase.

Lotus Business Group, based in Kenosha, sued Flying J in 2007, saying the company did not mark up gas as required. A federal magistrate judge ruled the markup unconstitutional in October 2007, but state regulators continued to enforce it.

Flying J then filed a lawsuit against the state Justice and Agriculture, Trade and Consumer Protection departments in January 2008 to stop enforcement.

Randa on Wednesday found the Wisconsin law violated the Sherman Act, a federal statute that limits cartels and monopolies. The restrictions on monopolies wouldn’t apply to the state if it had a clear policy and a program to monitor gas prices, but it doesn’t, the judge said.

Spokesmen for the state departments said their attorneys were reviewing the decision.

State Justice Department spokesman Bill Cosh said the agency wouldn’t bring any enforcement actions while Randa’s order stands.

Matt Hauser, president of the Wisconsin Petroleum Marketers and Convenience Store Association, said he was disappointed with the ruling because it threatened more than 1,400 gas stations with independent owners in the state.

If those businesses go under, competition will be reduced and prices could climb, he said.

“We’re hoping for an immediate appeal … to make sure consumers are protected from a less competitive marketplace,” Hauser said.

But Flying J company attorney Jonathan Dibble said the ruling should increase competition and drive down gas prices.

“The citizens of Wisconsin have paid hundreds of millions of dollars more than they should have over the years,” he said. Randa had estimated the state’s markup law cost drivers about 30 cents on every gallon during the past two years, when gas prices rose to nearly $4 per gallon.

Gov. Jim Doyle also said the ruling would benefit customers.

Linda Casey, a spokeswoman for Speedway SuperAmerica that has 75 stores in Wisconsin, said other factors affect gas prices and that Randa’s decision wouldn’t necessarily mean lower prices at the pump.

But she said the ruling “encourages competition.”

“That’s a good thing,” she said.

Copyright 2009 The Associated Press.

Wis. religious leader: No contest in corpse case

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Posted on 5th February 2009 by Gordon Johnson in Uncategorized

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Date: 2/5/2009

MAUSTON, Wis. (AP) — A religious leader pleaded no contest Thursday to charges that he stashed a rotting corpse for two months in a follower’s bathroom.

Alan Bushey was charged last year with hiding a corpse, causing mental harm to a child and theft. Investigators said the body of a 90-year-old member of his religious group was concealed at another group member’s home in a scheme to collect the dead woman’s Social Security checks.

Juneau County District Attorney Scott Southworth agreed to drop the mental harm and theft counts in exchange for Bushey’s plea, according to online court records.

Bushey, 58, of Necedah, faces up to 10 years in prison and $25,000 in fines. His sentencing is set for May 5.

His attorney, Thomas Steinman, didn’t immediately return a telephone message left at his office Thursday. Southworth’s office declined to comment.

Prosecutors accused Bushey and follower Tammy Lewis of leaving 90-year-old Magdeline Middlesworth’s body on a toilet in Lewis’ home after she died there in March.

A criminal complaint said Bushey led the Order of the Divine Will sect and told Lewis that God would revive Middlesworth. The decaying body was found in May after Middlesworth’s family expressed concern.

Lewis pleaded no contest in November to obstructing a police officer and was fined $350.

Copyright 2009 The Associated Press.

Cheerleading is a contact sport, Wis. court rules

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Posted on 2nd February 2009 by Gordon Johnson in Uncategorized

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Date: 1/27/2009

By RYAN J. FOLEY
Associated Press Writer

MADISON, Wis. (AP) — High school cheerleading is a contact sport and therefore its participants cannot be sued for accidentally causing injuries, the Wisconsin Supreme Court ruled Tuesday in a case being closely watched in the cheerleading world.

The court ruled that a former high school cheerleader cannot sue a teammate who failed to stop her fall while she was practicing a stunt. The court also said the injured cheerleader cannot sue her school district.

The National Cheer Safety Foundation said the decision is the first of its kind in the nation.

At issue in the case was whether cheerleaders qualify for immunity under a Wisconsin law that prevents participants in contact sports from suing each other for unintentional injuries.

It does not spell out which sports are contact sports. The District 4 Court of Appeals ruled last year cheerleading doesn’t qualify because there’s no contact between opposing teams.

But all seven members of the Supreme Court agreed on Tuesday to overturn that decision. In the opinion, Justice Annette Ziegler said cheerleading involves “a significant amount of physical contact between the cheerleaders.” As an example, she cited stunts in which cheerleaders are tossed in the air.

The lawsuit was brought by Brittany Noffke, who was a varsity cheerleader at Holmen High School in western Wisconsin. Practicing a stunt in 2004, Noffke fell backward off the shoulders of another cheerleader and suffered a serious head injury.

She sued a 16-year-old male teammate who was supposed to be her spotter but failed to catch her; the school district; and the district’s insurer.

Ziegler rejected Noffke’s argument that “contact sports” should mean only aggressive sports such as football and hockey. She wrote they should include any sport that that includes “physical contact between persons.”

The decision means cheerleaders can be sued only for acting recklessly. The court said Noffke’s teammate only made a mistake or showed a lack of skill. As for the school district, Ziegler said it cannot be sued for the coach’s behavior under a Wisconsin law that shields government agencies from lawsuits for the actions of employees.

Many observers had warned that families of cheerleaders would be forced to take out big insurance policies if the lower court decision stood.

Because of the increasingly difficult stunts, injuries among high school cheerleaders are a problem. Researchers at the University of North Carolina have found that two-thirds of the roughly 100 cases of “catastrophic” sports injuries among high school girls since 1982 have involved cheerleading.

Copyright 2009 The Associated Press.

Winfrey’s mom countersues store for its $156K bill

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Posted on 2nd October 2008 by Gordon Johnson in Uncategorized

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Date: 9/30/2008 10:56 PM

Winfrey’s mom countersues store for its $156K bill

MILWAUKEE (AP) _ Oprah Winfrey’s mother says she shouldn’t have to pay a nearly $156,000 debt to a high-end fashion store because store officials shouldn’t have extended credit to her.

Valentina Inc. alleges that Vernita Lee of Milwaukee racked up $155,547 in purchases and interest as of July 1. The company sued, saying Lee fell behind in minimum monthly payments of $2,000.

Lee filed a counterclaim Friday contending that Valentina took advantage of her “lack of knowledge, ability, and-or capacity” when creating her credit account.

Court papers say Lee resolved a 2002 case with the company over a $175,000 bill. The resolution prohibited Valentina from extending further credit to her.

A message left for Valentina co-owner Tony Chirchirillo was not returned Tuesday.

Copyright 2008 The Associated Press.