Corporate Misconduct

Royal Caribbean - Stock Fraud?A third class action lawsuit has been filed against Royal Caribbean Cruises seeking class action certification for what is alleged to be fraudulent conduct by the cruise line and executives Richard  Fain, Brian Rice, and Henry Pujol.

The law suit was filed by the law firm of Kessler Topaz Meltzer & Check in Pennsylvania. 

We reported on the first two

The Juneau Empire published an interesting article this morning about how the cruise industry routinely ignores a U.S. law requiring the use of U.S. longshore workers to perform certain duties, such as operating tender boats and handling cargo and luggage.   

The newspaper reports that the International Longshore and Warehouse Union (ILWU) plans to picket today over the practice of the cruise lines which refuse to utilize

Hurricane Irene has been the big story this week as the cruise lines juggled itineraries to keep their cruise ships out of Irene’s path.

The Right Way, and Wrong Way, to Abandon Families in a Foreign Port as a Monster Storm Approaches

Carnival and Royal Caribbean received a lot of press for leaving hundreds of passengers in

Cruise Line International Association CLIA Lobby CongressBusiness Week reports that the Cruise Lines International Association ("CLIA") spent $453,444 lobbying the federal government in the second quarter this year.

CLIA is the cruise industry’s trade organization which promotes the interests of the cruise industry. 

It lobbied Congress, the Department of Homeland Security, the State Department, and the U.S. Coast Guard on issues such as vessel

Two stock fraud lawsuits recently filed against Royal Caribbean Cruises have placed the cruise line’s corporate ethics under the microscope.

In the case of Todd Roth v. Royal Caribbean Cruises, Ltd, Richard D. Fain, Brian J. Rice, and Henry L. Pujol, United States District Court, Southern District of Florida, Case No. 22783 – MSC, a stockholder alleges that

Things are suppose to slow down in the summer, but there are no signs of that yet.

Royal Caribbean recenty tried to muzzle a Miami lawyer who issued a press release about a cruise line case scheduled for trial in November.  Gagging lawyers from talking to the pubic requires introducing substantial evidence establishing that the parties will not receive a

Forbes is reporting that the Cruise Lines International Association ("CLIA"), the trade trade group which promotes the interests of the cruise industry, spent $490,650 in the first quarter this year, lobbying the U.S. government. 

The cruise industry lobbied Congress, the U.S. Coast Guard, U.S. Customs & Board Protection, State Department, Homeland Security Department, Transportation Department, Justice Department on

Panama Flag of ConvenienceA reader of Cruise Law News (CLN) brought an excellent opinion piece from the New York Times regarding the shipping industry’s use of "flags of convenience" to my attention.  Entitled "Flying the Flag, Fleeing the State" and written by Rose George, the article explains how unscrupulous ship owners evade responsibility for environmental damage, exploitative labor and unsafe work conditions, and criminal

One of the little know facts about the cruise industry is that it pays virtually no U.S. taxes.

The cruise lines take advantage of an obscure provision in the U.S. tax code which permits shipping companies to evade taxes by incorporating overseas and flying the flags of foreign countries.  That’s why Carnival is incorporated in 

In 2008, a scandal broke out in the Miami legal community.  Royal Caribbean Cruises discovered that one of its employees in its risk management department had been bribed by a local law firm  – the Wingate Law Firm – to divulge the settlement authority authorized by the cruise line’ s underwriters to settle crew member cases.

The bribery allegations involved a

Today the Senate will debate amending the Death On The High Seas Act (DOHSA) to permit the families of the oil workers killed in the BP Deepwater Horizon explosion to recover compensation for their emotional damages for losing their husbands and fathers.  The House of Representatives previously voted to amend DOHSA.

We have discussed the inequities in this archaic law which has been

Cruise Line International Association - CLIA - Lobbying Today Business Week published an article "Cruise Trade Group Spends $400K on 4Q Lobbying" which is re-printed, unedited, as follows:

"Cruise Lines International Association spent almost $400,000 in the fourth quarter to lobby on security and environmental issues along with other matters, according to a recent disclosure report.

The trade group that represents

The so-called "Alaska Cruise Association" (more properly called the Miami Cruise Association) has been caught exaggerating the effects of Alaska’s $50 per person "head tax." 

The Juneau Empire reports in an article by Pat Forgey entitled "Attack On A Tax" that the cruise industry is misleading the public.  Cruise lines claim that cruise prices have dropped as low as $300, and the $50 tax is driving passengers away