Hailyn J. Chen

Experience

Complex Civil Litigation

Ms. Chen has significant experience in preparing complex commercial litigation and class actions for trial, representing companies in various sectors including energy, financial services, entertainment and technology. Ms. Chen’s representative matters include:

• Airbnb in dismissing one lawsuit with prejudice and favorably settling a second one brought by Aimco, a multi-family housing management company, alleging that Airbnb interfered with its anti-sublet lease agreements and aided and abetted trespass at a property in Los Angeles and two properties in Florida. The Los Angeles matter was dismissed under the CDA immunity provision; the Florida matter was settled 20 minutes before trial.
• Lyft as settlement counsel in a Judicial Council Coordination Proceeding (JCCP) mass tort action that coordinates the claims of hundreds of rideshare riders who allege they were sexually assaulted and harassed by their drivers. Ms. Chen has guided Lyft through the successful settlement of a number of these claims with multiple plaintiffs’ firms, and the JCCP litigation is currently stayed to allow the parties to continue their settlement negotiations. The matter is ongoing.
• Tokyo Electric Power Co. (TEPCO) in years-long litigation stemming from the Fukushima nuclear disaster. Ms. Chen was a key member in preserving its victory. The Supreme Court rejected a certiorari petition from U.S. Navy sailors over alleged injuries the sailors suffered from radiation exposure. The district court dismissed a pair of suits in which sailors claimed that they had developed cancer.
• Shea Homes, Inc. in obtaining a denial of class certification in a lawsuit brought by homeowners alleging the company misrepresented the construction quality of its homes in violation of Washington’s Consumer Protection Act.
• Western Asset Management in obtaining a favorable settlement in a lawsuit asserting breach of fiduciary duty in managing a client’s account during the financial crisis.
• LG Display, a manufacturer of TFT-LCD flat panels, in one of the nation’s largest antitrust class actions of indirect purchasers.
• Recorded music labels within, Universal Music Group, EMI and Sony in obtaining a permanent injunction against the notorious pirated music service LimeWire, and the ensuing damages trial that led to a $105 million settlement on behalf of the labels.
• Major museums, including the J. Paul Getty Museum, in collections-related disputes.

Higher Education Law

Ms. Chen has counseled higher education clients in internal and government investigations, crisis management, criminal prosecutions and ongoing compliance issues related to government claims and federal grants. She is a member of the National Association of College and University Attorneys (NACUA) and has developed a broad understanding of the unique management, operational and regulatory challenges universities face.

Ms. Chen’s noteworthy higher education matters include:

• Represented UC Berkeley in an almost year-long investigation into allegations of discrimination against and abusive and bullying conduct toward dozens of student-athletes for more than two decades by longtime Cal Women’s Swimming and Diving program Head Coach Teri McKeever.  The investigation culminated in a publicly disclosed, lengthy investigation report. In January 2023, the university announced parting ways with the coach after the report concluded the coach violated the university’s policies against discrimination and bullying.
• Represented The Regents of the University of California
  • in advising the University of California on the high-profile and highly controversial issue of how to manage partnerships or affiliations between UC Health and certain hospitals such as Dignity Health and Adventist Health, which impose policy-based restrictions on the medical services its personnel can provide.
  • in a class action lawsuit filed on behalf of all students across all ten UC campuses who were disciplined by the University for sexual assault or sexual harassment in the past five years. The lawsuit alleged that the University denied these students due process. The case was dismissed with prejudice at the pleading stage. The Court held there was no reasonable possibility a class could be certified, not even for a facial challenge to the University’s policies and procedures. This was a significant ruling for not just the University of California but also for other colleges and universities across the country facing an increasing number of these lawsuits, which threaten to upend college disciplinary processes.
  • as lead counsel in successfully defending against a lawsuit alleging that UCLA knew or should have known that a private track coach who used facilities at the school was sexually abusing students. The court sustained our client’s demurrer without leave to amend.
  • as lead counsel in a lawsuit alleging the university’s use of SAT and ACT in undergraduate admissions discriminated against students on the basis of race and disability. Ms. Chen led the team that successfully argued for dismissal of the complaint’s intentional discrimination claims. In 2021, following a preliminary injunction to force UC to immediately implement a test-blind policy, she negotiated a settlement to resolve the pending appeal and safeguard certain features of the UC admissions process.
  • in a criminal investigation and dismissing felony charges filed by the Los Angeles County District Attorney arising out of a UCLA chemistry lab accident that resulted in the death of an undergraduate student. We successfully negotiated a non-prosecution agreement with the District Attorney, who in exchange for lab safety enhancements and five years of compliance reporting, agreed to dismiss with prejudice the felony complaint against the university.
• The NCAA in a putative class action brought by a group of student-athletes who allege they experienced sexual harassment, mental abuse and exploitation at the hands of baseball coaches at the University of San Francisco. MTO filed and won a motion to dismiss with prejudice based on the statute of limitations and standing. Plaintiffs initially appealed to the Seventh Circuit but ultimately withdrew their appeal.
• Obtaining an emergency restraining order and preliminary injunction shutting down a multimillion-dollar healthcare fraud scheme perpetrated against the University of California and its UC Student Health Insurance Plan. The fraud scheme posed a significant threat to the financial well-being of the health insurance plan and affected more than 500 students across multiple campuses.
• Numerous internal investigations regarding potential Title IX liability.
• Guidance to the University of California Board of Regents regarding a State Auditor whistleblower investigation of the Office of the President, including recommendations for comprehensive board policy changes.
• Guidance regarding Clery Act compliance and responding to a Department of Education Clery Program Review.
• Internal investigations raising issues related to the use of federal research grant funds and Medicare billing.
• An internal investigation into conflicts of interest and technology transfer issues related to faculty start-ups.
• Advising a university in a Cal-OSHA investigation into a workplace accident, in which our attorneys successfully negotiated a settlement with Cal-OSHA and avoided the most serious penalties.

Sexual Misconduct and Title IX Litigation

Ms. Chen also has extensive experience representing universities in their handling of sexual misconduct matters, including in administrative writ proceedings and Title IX suits for monetary damages. This also includes addressing sexual misconduct by health care providers during the course of patient care. She counsels clients on compliance with Title IX, the Clery Act and FERPA and recommends changes, where appropriate, to policies and procedures for investigating and resolving sexual misconduct allegations. Ms. Chen guides clients through crisis management and helps them develop internal and external communication strategies with respect to these challenging issues.

Internal Investigations and White Collar Defense

Ms. Chen has significant experience in leading internal investigations, representing the company itself in some instances or the independent, special and/or audit committee in others. These investigations have covered a wide range of issues, including alleged financial misconduct, alleged misuse of government grants and university resources, and alleged conflict of interest, nonprofit tax law, and False Claims Act violations. Ms. Chen’s representative matters include:

• The Board of Trustees of the Thacher School, one of the nation’s elite boarding schools, in an independent internal investigation into decades of alleged sexual abuse at the school. The investigation culminated in two lengthy reports. Ms. Chen’s investigation has been recognized by Learning Courage, experts in school sexual abuse, as a model for best practices.
• A cattle ranch in state felony prosecution and federal and state civil investigations for recklessly starting a fire that resulted in one of the largest wildland fires in California history. Obtained dismissal of all criminal counts. Obtained favorable settlement with federal and state governments for pennies on the dollar.
• The Board of Trustees of the J. Paul Getty Trust in an internal investigation related to expenditures of Getty Trust funds, corporate governance issues and the provenance of objects in its antiquities collection. The representation resulted in the successful settlement of claims with the governments of Italy and Greece. A parallel investigation by the California Attorney General was resolved as well.
• Martin Luther King, Jr. Community Hospital in a government investigation into alleged homeless patient dumping. The investigation was resolved with a favorable settlement and without any lawsuit being filed by the government.
• A major motion picture studio in an internal investigation of numerous instances of alleged misconduct, including bullying and harassment, during a major production. The investigation included analysis of who at the studio knew of the misconduct and whether they handled the allegations appropriately.
• A Fortune 100 company in conducting an internal investigation into allegations of sexual harassment by a C-level executive.
• A major private company in conducting an internal investigation into allegations of corruption in vendor contracting by a C-level executive.
• A celebrity entrepreneur accused of criminal tax evasion.
• Officers of a NASDAQ-listed company in an internal investigation of alleged accounting improprieties.
• Universities in internal investigations related to various topics including workplace safety, student conduct, conflicts of interest, research misconduct, and allegations of misconduct by high-ranking, high-profile university officials.

News

Publications

• “Sexual Misconduct Arising out of Student Health, Athletic Medicine, and Academic Medical Centers,” National Association of College and University Attorneys (NACUA), June 2022