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Aerospace & Defense
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July 26, 2024
RTX Earmarks $1.2B For Anticipated Deals With DOJ, SEC
RTX Corp., formerly known as Raytheon, said it has set aside more than $1.2 billion for anticipated deferred prosecution agreements and other deals with U.S. regulators stemming from investigations that include allegations of improper payments tied to contracts in the Middle East.
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July 26, 2024
Two Admit Trying To Bribe IRS Official On China's Behalf
Two people admitted to secretly acting on behalf of the Chinese government and bribing an undercover agent in connection with a scheme to revoke the tax-exempt status of U.S. participants in a spiritual practice banned in China, according to New York federal court filings.
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July 26, 2024
Boeing Sued In Del. For Docs On Safety, Quality Failures
Two Boeing Co. pension fund stockholders sued in Delaware's Court of Chancery late on Thursday seeking access to company documents on safety and quality issues involving the 737 MAX, 777 and 787 commercial passenger jets, alleging a "slow rolling" of responses by the industry giant.
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July 26, 2024
Helicopter Co., Ex-Worker End Remote Work Termination Suit
A helicopter manufacturer and its former material supply management worker who accused it of failing to accommodate her anxiety and terminating her when she asked to work remotely have agreed to permanently drop the former employee's suit, according to a stipulation filed Friday in Pennsylvania federal court.
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July 26, 2024
Tyco Inks Deal With Insurer Over Foam MDL Coverage
Firefighting foam maker Tyco Fire Products LP told a South Carolina federal judge Friday that it reached a tentative settlement with one of several of its insurers to resolve its fight to score coverage in sprawling multidistrict litigation over pollution from so-called forever chemicals.
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July 25, 2024
Boeing's 737 Max Plea Deal: Monitorship, Gov't Contracts
Boeing will be branded with a felony criminal conviction after pleading guilty to conspiring to defraud U.S. regulators over the 737 Max 8's development, an ignominious distinction with fresh complications for the embattled American aerospace titan as it overhauls its corporate culture under a compliance monitorship.
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July 25, 2024
NY Jury Convicts Int'l Bank Safe Deposit Box Scammer
Following a seven-day trial, a New York federal jury in Brooklyn found a member of an alleged organized crime group guilty of stealing millions in cash and goods from European banks.
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July 25, 2024
Feds Unseal Indictment Against Fla. IT Worker in Spying Case
The U.S. Department of Justice has unsealed an indictment charging a Chinese-born American citizen with conspiring to act as an agent of the People's Republic of China, saying the PRC used the Florida information technology worker as a "cooperative contact" to support its intelligence goals.
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July 25, 2024
Watchdog Says $30.2M IT Contract Holder Didn't Overedit Bid
The U.S. Government Accountability Office upheld the U.S. Space Force's $30.2 million IT deal, rejecting claims that the eventual award-holder had revised too much of its bid after being allowed to alter parts of its proposal.
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July 25, 2024
Texas Judge Again Orders Transfer Of SpaceX NLRB Suit
A Texas federal judge again denied SpaceX's request that he reconsider an earlier decision transferring to California the company's challenge to the constitutionality of the National Labor Relations Board, reaffirming a May decision holding the company did not provide good reason to rethink the transfer.
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July 25, 2024
Watchdog Backs $77.8M DOD Deal Over Ethics Concern
The U.S. Government Accountability Office tossed claims that the U.S. Department of Defense's $77.8 million audit services order was tainted by an official's prior work for the awardee, Deloitte & Touche LLP, saying the DOD correctly dismissed the conflict claims after a thorough investigation.
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July 25, 2024
Judge Won't Ax Afghan Pair's Kidnapping Suit Against Marine
A Virginia federal court has refused to toss an Afghan couple's claims that a U.S. Marine schemed to abduct an orphaned cousin, saying the federal courts' rule against hearing domestic disputes doesn't bar the couple's $15 million fraud case.
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July 25, 2024
11th Circ. Sets Briefing Schedule In Mar-A-Lago Docs Appeal
Briefing in special counsel Jack Smith's appeal of the dismissal of the classified documents criminal case against former President Donald Trump will run through mid-October, according to a scheduling notice from the Eleventh Circuit on Thursday.
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July 24, 2024
Boeing, DOJ Finalize 737 Max Plea Deal
The Boeing Co. has finalized its agreement to plead guilty to conspiring to defraud safety regulators about the 737 Max 8's development, avoiding a criminal trial over a pair of deadly crashes in 2018 and 2019, according to a U.S. Department of Justice court filing Wednesday evening.
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July 24, 2024
Canadian Woman Gets 2 Years For Russian Export Scheme
A New York federal judge on Wednesday sentenced a Canadian woman to two years in prison for laundering funds in connection to the export of sensitive technology to Russia in violation of U.S. sanctions, and she accused the defendant of lying about her culpability during her sentencing hearing.
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July 24, 2024
Co. Wants Gov't Sanctioned For Late Docs In Contract Dispute
A contractor for the U.S. Air Force has urged the Court of Federal Claims to sanction the government after allegedly providing documents late and destroying other documents related to the company's suit alleging the Air Force wrongly terminated a support contract.
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July 24, 2024
Naval Engineers Urge 4th Circ. To Revive No-Poach Suit
A pair of former naval engineers have urged the Fourth Circuit to revive their proposed class action accusing military shipbuilding contractors and related firms of using secret "no-poach" agreements, saying their suit was wrongly ruled untimely amid a cover-up of the alleged scheme.
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July 24, 2024
Ex-US Army Worker Gets 15 Years For $109M Fraud Scheme
A former U.S. Army civilian employee will spend 15 years in prison for stealing nearly $109 million from a grant program meant for military dependents and their families to buy a fleet of luxury vehicles, jewelry and houses, federal prosecutors announced.
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July 24, 2024
Aerospace Co. Says Engine Buybacks Aren't Anticompetitive
RTX Corp.'s subsidiary Pratt & Whitney urged a Pennsylvania federal court to toss a $450 million antitrust lawsuit from a "middleman" for used aircraft engine parts, arguing that Pratt & Whitney's decision to deal directly with numerous shops that break down old engines did not harm consumers or freeze the plaintiff out of the market.
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July 24, 2024
Watchdog Clears DOJ In 'Unusual' Roger Stone Sentencing
The Justice Department did not bow to political pressure to push for a more lenient sentence for former President Donald Trump's longtime adviser Roger Stone, but the way in which the department handled the sentencing was "highly unusual" and the result of a U.S. attorney's poor leadership, according to a watchdog report released Wednesday.
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July 24, 2024
Digital Info Not Covered By Smuggling Law, Ky. Court Holds
A Kentucky federal judge has ruled that digital information isn't covered by the federal smuggling statute and dismissed a charge against a magnetics manufacturer and two executives accused of emailing magnet schematics to Chinese companies.
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July 24, 2024
CFIUS Reviews Slumped In 2023, Penalties Increased
The Committee on Foreign Investment in the United States experienced a significant drop in the number of cases it reviewed in 2023, but levied a record number of penalties last year, according to an annual report to Congress.
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July 24, 2024
Newman Facing 2nd Suspension For 'Continuing Misconduct'
A panel of Federal Circuit judges on Wednesday recommended U.S. Circuit Judge Pauline Newman remain suspended for another year based on her ongoing refusal to cooperate with an investigation into her health, or even acknowledge the court's concerns.
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July 24, 2024
ICE Contractor Hit With Class Action Over Family Separations
A father and son who were separated for six years under the Trump administration's policy of "zero tolerance" for unlawful border crossings have brought a proposed class action against the private contractor responsible for transporting children, seeking to make it pay for the emotional trauma families have endured.
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July 24, 2024
Ex-Boeing VP Joins Perkins Coie As Litigation Partner
Perkins Coie LLP has hired a corporate executive from The Boeing Co. as a partner in its Seattle office to focus on critical litigation and arbitration, the firm announced Tuesday.
Expert Analysis
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Using A Children's Book Approach In Firm Marketing Content
From “The Giving Tree” to “Where the Wild Things Are,” most children’s books are easy to remember because they use simple words and numbers to tell stories with a human impact — a formula law firms should emulate in their marketing content to stay front of mind for potential clients, says Seema Desai Maglio at The Found Word.
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Proposed Semiconductor Buy Ban May Rattle Supply Chains
The Federal Acquisition Regulatory Council's recent proposed rulemaking clarifies plans to ban government purchases of semiconductors from certain Chinese companies, creating uncertainty around how contractors will be able to adjust supply chains that are already burdened and contracted to capacity, say attorneys at Morgan Lewis.
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Patent Lessons From 4 Federal Circuit Reversals In April
Four Federal Circuit decisions in April that reversed or vacated underlying rulings provide a number of takeaways, including that obviousness analysis requires a flexible approach, that an invalidity issue of an expired patent can be moot, and more, say Denise De Mory and Li Guo at Bunsow De Mory.
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Series
Being An EMT Makes Me A Better Lawyer
While some of my experiences as an emergency medical technician have been unusually painful and searing, the skills I’ve learned — such as triage, empathy and preparedness — are just as useful in my work as a restructuring lawyer, says Marshall Huebner at Davis Polk.
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Can Chatbot Interactions Lead To Enforceable Contracts?
The recent ruling in Moffatt v. Air Canada that found the airline liable for the representations of its chatbot underscores the question of whether generative artificial intelligence chatbots making and accepting offers can result in creation of binding agreements, say attorneys at McDermott.
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Contract Disputes Recap: Saying What Needs To Be Said
Edward Arnold and Bret Marfut at Seyfarth Shaw examine three recent decisions that delve into the meaning and effect of contractual releases, and demonstrate the importance of ensuring that releases, as written, do what the parties intend.
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4 Takeaways From Biden's Crypto Mining Divestment Order
A May 13 executive order prohibiting the acquisition of real estate by a foreign investor on national security grounds — an enforcement first — shows the importance of understanding how the Committee on Foreign Investment in the United States might profile cross-border transactions, even those that are non-notified, say attorneys at Kirkland.
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3 Employer Lessons From NLRB's Complaint Against SpaceX
Severance agreements traditionally have included nondisparagement and nondisclosure provisions as a matter of course — but a recent National Labor Relations Board complaint against SpaceX underscores the ongoing efforts to narrow severance agreements at the state and federal levels, say attorneys at Williams & Connolly.
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Insurer Quota-Sharing Lessons From $112M Bad Faith Verdict
In Indiana GRQ v. American Guarantee and Liability Insurance, an Indiana federal jury recently issued a landmark $112 million bad faith verdict, illustrating why insurers must understand the interplay between bad faith law and quota-sharing before entering into these relatively new arrangements, say Jason Reichlyn and Christopher Sakauye at Dykema.
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Exploring An Alternative Model Of Litigation Finance
A new model of litigation finance, most aptly described as insurance-backed litigation funding, differs from traditional funding in two key ways, and the process of securing it involves three primary steps, say Bob Koneck, Christopher Le Neve Foster and Richard Butters at Atlantic Global Risk LLC.
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Bid Protest Spotlight: Unwitting Disclosure, Agency Deference
Roke Iko at MoFo examines two U.S. Court of Federal Claims decisions highlighting factors to consider before filing a protest alleging Procurement Integrity Act violations, and a decision from the U.S. Government Accountability Office about the capacity of an agency to interpret its own solicitation terms.
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Global Bribery Probes Are Complicating FCPA Compliance
The recent rise in collaboration between the U.S. Department of Justice and foreign authorities in bribery enforcement can not only affect companies' legal exposure as resolution approaches vary by country, but also the decision of when and whether to disclose Foreign Corrupt Practices Act violations to the DOJ, say Samantha Badlam and Catherine Conroy at Ropes & Gray.
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Series
Teaching Yoga Makes Me A Better Lawyer
Being a yoga instructor has helped me develop my confidence and authenticity, as well as stress management and people skills — all of which have crossed over into my career as an attorney, says Laura Gongaware at Clyde & Co.
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A Vision For Economic Clerkships In The Legal System
As courts handle increasingly complex damages analyses involving vast amounts of data, an economic clerkship program — integrating early-career economists into the judicial system — could improve legal outcomes and provide essential training to clerks, say Mona Birjandi at Data for Decisions and Matt Farber at Secretariat.
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Action Steps To Address New Restrictions On Outbound Data
Companies should immediately assess all their data-based operations so they can consider strategies to effectively mitigate new compliance risks brought on by recently implemented transaction restrictions, including a Justice Department proposal and landmark data legislation, say attorneys at Wiley.