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Compliance
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April 15, 2025
Meta Accused Of Turning Smart Devices Into Useless 'Bricks'
Consumers hit Meta Platforms Inc. with a proposed class action in California federal court Monday, accusing the social media giant of a deceptive "bait-and-switch" scheme by advertising Meta's Portal video-calling smart devices with wide-ranging features only to later discontinue key software functionality rendering its hardware "largely obsolete," useless "bricks."
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April 15, 2025
Judge Vacates CFPB's Credit Card Late Fee Rule
A Texas federal judge on Tuesday vacated the Consumer Financial Protection Bureau's $8 credit card late fee rule after the agency reached a deal with the U.S. Chamber of Commerce and other trade groups to settle their litigation over the agency's Biden-era rule.
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April 15, 2025
Entergy Can't Fight FERC Market Rule Change, DC Circ. Says
The D.C. Circuit on Tuesday said Entergy lacks standing to challenge the Federal Energy Regulatory Commission's rejection of a regional grid operator's change to its capacity market rules after the agency concluded the change would give Entergy too much market power.
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April 15, 2025
Holland & Knight Litigator Heads To Florida Boutique
Florida-based litigation and appellate boutique Lawson Huck Gonzalez PLLC has added a former Holland & Knight LLP partner to its Miami-area office, bringing on an attorney who has handled high-stakes litigation and appellate matters for clients in private practice.
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April 15, 2025
Law Students Say EEOC Overreached With DEI Info Demands
A trio of law students sued the U.S. Equal Employment Opportunity Commission in D.C. federal court Tuesday, claiming the agency "grossly overstepped" by demanding workplace diversity information, including personal details about applicants and workers, from prominent law firms.
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April 15, 2025
Chancery Tosses 'Unripe' AES Advance Notice Bylaw Suit
A Delaware vice chancellor tossed a suit against the global utility and power company AES Corp. and its top brass that challenged the company's advance notice bylaw, finding there is no "ripe" controversy or dispute for the court to review.
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April 15, 2025
DOL Blocked From Forcing Contractors To Swear Off DEI
The U.S. Department of Labor cannot force federal funding recipients to certify that they don't operate programs that violate recent executive orders targeting diversity, equity and inclusion initiatives, an Illinois federal judge held, saying President Donald Trump's directive likely violates the First Amendment.
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April 15, 2025
DC Circ. Zaps FERC Fight Over Grain Belt Express Line
A D.C. Circuit panel on Monday said Illinois landowners, farmers and residents fighting the $7 billion Grain Belt Express high-voltage transmission project lack standing to challenge a Federal Energy Regulatory Commission order that amended its negotiated rate authority.
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April 15, 2025
McDonald's, Dunkin' Franchisees Resolve Child Labor Claims
The owners of Dunkin' and McDonald's franchises in Massachusetts have reached settlements over allegations they violated the state's child labor laws, while a Subway franchise operator has been fined, according to a Tuesday press release.
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April 15, 2025
Wynn Faces Class Action Over Casino Win/Loss Statements
Wynn Resorts is violating a Massachusetts law requiring it to send monthly win/loss statements or adequate notice about how to access them online to gamblers at its Encore Boston Harbor Casino, a proposed class action filed in state court alleges.
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April 15, 2025
Pharma Tech Firm Hit With Class Claims Over Data Breach
Pharmacy technology company CPS Solutions LLC allegedly failed to implement "basic data security practices" like encrypting patient information before a cybercriminal got into its email system in December, according to a new proposed class action filed in Ohio federal court.
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April 14, 2025
Ransomware Payouts, Forensic Costs Falling, Law Firm Says
The measures that companies are putting in place to guard against ransomware attacks are starting to pay off, with the amount that's being doled out to contain the impact of these incidents and the cost of forensic investigations dropping last year, according to a new BakerHostetler report.
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April 14, 2025
Justice Dept. Lands 1st Wage-Fixing Jury Trial Conviction
A Nevada federal jury on Monday convicted a nursing executive on wage-fixing charges, the first antitrust charge to succeed before a jury in a string of U.S. Department of Justice prosecutions targeting antitrust violations in labor markets.
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April 14, 2025
SEC Won't Revisit WhatsApp Settlements With 16 Firms
A divided U.S. Securities and Exchange Commission refused Monday to redo settlements it inked with 16 financial firms over their failure to keep records of so-called off-channel communications, finding the "settlor's remorse" the firms are suffering because others received better terms is not reason enough to modify their deals.
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April 14, 2025
Coinbase Wants 3rd Circ. To Look At Share Traceability Ruling
Coinbase has asked a New Jersey federal judge to let the Third Circuit immediately review the court's decision to allow an investor class action to proceed, saying it runs contrary to Fifth and Ninth circuit rulings concerning the traceability of share purchases, particularly in companies like Coinbase that went public via a so-called direct listing.
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April 14, 2025
Linking Friends No Longer Meta's Focus, Zuckerberg Says
Meta Platforms CEO Mark Zuckerberg testified Monday that the social media giant is no longer solely focused on connecting friends and family, arguing on the first day of the Federal Trade Commission's monopolization trial that the company has broader focus and faces more competition than the FTC claims.
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April 14, 2025
SEC Clears Green Impact Exchange To Enter Market In 2026
The U.S. Securities and Exchange Commission on Monday cleared a proposal by Green Impact Exchange to launch the first sustainability focused national securities exchange, scheduled to begin operating in 2026.
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April 14, 2025
Chinese Fintech Says Investors' IPO Suit Still Misses The Mark
Chinese fintech 9F Inc. pushed back on the third version of a complaint filed by its investors, saying the shareholders still fail to address their lack of standing for its claims that 9F violated securities laws by not disclosing an "illegal arrangement" it allegedly had with an insurance firm.
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April 14, 2025
BofA Ordered To Pay FDIC $540M For Underpaid Premiums
A Washington, D.C., federal court has ruled that Bank of America must pay the Federal Deposit Insurance Corp. more than $540 million plus interest for underpaying its deposit insurance premiums, ending an eight-year-long case whose resolution was delayed in light of the U.S. Supreme Court's Loper Bright decision overturning federal agency rulemaking deference.
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April 14, 2025
Chervon Moves Explosive Battery Suit To Ill. Federal Court
Tool company Chervon North America Inc. and retailer Lowe's Home Centers LLC were hit with a proposed class action accusing them of selling lithium-ion batteries that overheated and, in some cases, caught fire, according to a complaint removed to Illinois federal court on Friday.
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April 14, 2025
Ill. Senator Knew Ethics Surrounding Bribery, Jury Hears
An Illinois senator on trial for allegedly agreeing to help a red-light camera company for a $5,000 payment and a do-nothing job for his intern was previously trained on how to recognize and avoid such situations as an elected official, jurors heard Monday.
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April 14, 2025
Crypto Firm DCG Can't Dodge NY AG Suit Over Genesis Woes
Crypto venture capital firm Digital Currency Group must face the bulk of the New York attorney general's claims it defrauded investors by hiding the dire financial condition of its bankrupt lending subsidiary Genesis Global, a New York state judge has ruled.
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April 14, 2025
Calif. Board Says SpaceX Suit Should Be Grounded For Good
The California Coastal Commission moved Friday for another dismissal of SpaceX's suit alleging the commission wrongly tried to block its plan to increase rocket launches from Vandenberg Space Force Base in California, saying because the commission's opposition was overridden by the U.S. Air Force, no harm was caused.
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April 14, 2025
X Corp. Says Media Matters Must Hand Over Employee Names
X Corp. asked a Texas federal judge to make left-leaning media watchdog Media Matters turn over the names of its employees as the latest salvo in a fight over allegedly defamatory articles it wrote, saying Monday that Media Matters was giving "boilerplate objections."
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April 14, 2025
NY AG Accuses MoneyLion, DailyPay Of Predatory Lending
New York Attorney General Letitia James on Monday sued MoneyLion Inc. and DailyPay Inc. for fraud and usury, alleging that their so-called earned wage access services are actually payday loans in disguise that target vulnerable New Yorkers with predatory interest rates.
Expert Analysis
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Navigating The Uncertain Future Of The Superfund PFAS Rule
The D.C. Circuit's recent grant of a pause in litigation while the U.S. Environmental Protection Agency reviews the Biden-era designation of two per- and polyfluoroalkyl substances as "hazardous" under the Superfund law creates new uncertainty for companies — but more lawsuits are likely as long as the rule remains in effect, say attorneys at Alston & Bird.
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Opinion
SEC Defense Bar Should Pursue Sanctions Flexibility Now
The U.S. Securities and Exchange Commission defense bar has an opening under the new administration to propose flexible, tailored sanctions that can substantially remediate misconduct and prevent future wrongdoing instead of onerous penalties, which could set sanctions precedent for years to come, says Josh Hess at BCLP.
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What To Know About Insurance Coverage For Greenwashing
As the number of public and private lawsuits relating to greenwashing dramatically grows, risk managers of companies making environmental claims should look to several types of insurance for coverage in the event of a suit, say attorneys at Hunton.
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7 Tips For Associates To Thrive In Hybrid Work Environments
Excerpt from Practical Guidance
As the vast majority of law firms have embraced some type of hybrid work policy, associates should consider a few strategies to get the most out of both their in-person and remote workdays, says James Argionis at Cozen O’Connor.
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Series
Playing Beach Volleyball Makes Me A Better Lawyer
My commitment to beach volleyball has become integral to my performance as an attorney, with the sport continually reminding me that teamwork, perseverance, professionalism and stress management are essential to both undertakings, says Amy Drushal at Trenam.
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Considering The Future Of AI Regulation On Health Sector
As Texas looks to become the next state to pass a comprehensive law regulating artificial intelligence, the healthcare industry should consider how AI regulation will continue to evolve in the U.S. and how industry members can keep up with compliance considerations, say attorneys at Kirkland & Ellis.
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30 Years Later: How PSLRA Has Improved Securities Litigation
In the 30 years since the Private Securities Litigation Reform Act's passage, the statute has achieved its purpose of shifting securities class actions to investors most capable of monitoring the litigation, selecting competent counsel at competitive rates and maximizing recoveries for the investor classes they represent, say attorneys at Bernstein Litowitz.
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How Banks Can Prepare For NYDFS Overdraft Overhaul
The New York State Department of Financial Services' recent proposal to amend overdraft rules for financial institutions underscores states' potential to create consumer protection mechanisms in the absence of meaningful federal action, say attorneys at Steptoe.
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Terraform Case May Be Bellwether For Crypto Enforcement
The prosecution of crypto company Terraform Labs and its CEO, Do Kwon, offers a unique test of the line between lawful and unlawful conduct in digital transactions, and the Trump administration’s posture toward the case will provide clues about its cryptocurrency enforcement agenda in the years to come, say attorneys at Brooks Pierce.
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Contractor Liability When Directing Subcontractor Workforce
A recent Virginia Court of Appeals decision that rejected a subcontractor employee’s tortious interference claim should prompt prime contractors to consider how to mitigate liability risk associated with directing a subcontractor to remove its employee from a federal project, say attorneys at Venable.
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What's Next For Russia Sanctions After Task Force Disbanded
Attorney General Pam Bondi’s recent disbanding of Task Force KleptoCapture, which was initially aimed at seizing Russian oligarchs’ funds and assets, is unlikely to mean the end of Russia sanctions enforcement and other economic countermeasures, as the architecture for criminal enforcement remains in place, say attorneys at BakerHostetler.
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Texas Banking Dept. Memo Demystifies Crypto Classifications
A recent memorandum from the Texas Department of Banking provides clarity with respect to the classification of both stablecoins and nonstablecoin virtual currencies under the state's Money Services Modernization Act, flagging for firms that stablecoins may be scrutinized more closely as money transmission, say attorneys at Lowenstein Sandler.
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How Law Firms Can Counteract The Loneliness Epidemic
The legal industry is facing an urgent epidemic of loneliness, affecting lawyer well-being, productivity, retention and profitability, and law firm leaders should take concrete steps to encourage the development of genuine workplace connections, says Michelle Gomez at Littler and Gwen Mellor Romans at Herald Talent.
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What Remedies Under New Admin's SEC Could Look Like
The U.S. Securities and Exchange Commission is likely to substantially narrow the remedies it pursues over the next few years, driven by the mounting challenges it faces in court, as well as the views of its incoming chair and fellow Republican commissioners on injunctions, penalties and disgorgement, say attorneys at Milbank.
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Handbook Hot Topics: Back To Basics After Admin Change
Having an up-to-date employee handbook is more critical now than ever, given the recent change in administration, and employers should understand their benefits and risks, including how they can limit employers’ liability and help retain employers’ rights, say Kasey Cappellano and Meaghan Gandy at Kutak Rock.