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Compliance
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January 30, 2025
PayPal Beats Investor Suit Over Inflated User Metrics Claims
A New Jersey federal court has dismissed a proposed class action that accused PayPal of misleading investors with user metrics inflated by a scam that took advantage of a PayPal promotion that paid people to set up new accounts, saying the investors did not show PayPal knew of the alleged scam when certain statements were made.
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January 30, 2025
Ex-Rabobank Exec Asks Justices To Hear 9th Circ. OCC Fight
A former Rabobank compliance chief who wants to clear her name after a now-abandoned Office of the Comptroller of the Currency enforcement action has asked the U.S. Supreme Court to take up her case following the Ninth Circuit's dismissal of her appeal for lack of standing.
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January 30, 2025
Hotel Guests Get Backing For Algorithmic Pricing Suit
Hotel guests accusing a group of Atlantic City properties of using shared software to fix room rates are getting a helping hand in their Third Circuit fight to revive their suit from antimonopoly interest groups, who filed in separate amicus briefs in support of their effort this week.
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January 30, 2025
Retired Atty Says Schwab, Others Flubbed His Contributions
A retired attorney said companies that managed his individual retirement plan, including Charles Schwab and Barnes & Thornburg LLP, hampered his tax savings by incorrectly classifying his pretax retirement contributions as posttax contributions, according to a lawsuit filed in an Indiana district court.
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January 30, 2025
Card Co. Netspend Inks $1.1M NY AG Deal Over Fees, Freezes
The New York Attorney General's Office said Thursday that Netspend, a fintech debit and prepaid card provider, will pay nearly $1.1 million to settle claims that it charged New Yorkers illegal fees and allowed debt collectors to seize protected funds.
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January 30, 2025
Peruvians Tell High Court Smelter Lawsuit Should Proceed
Peruvian nationals suing U.S. billionaire Ira Rennert's The Renco Group Inc. for allegedly poisoning them with toxic chemicals from a smelting and refining complex in a rural part of the country are asking the U.S. Supreme Court to let their litigation move forward.
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January 30, 2025
1st Circ. Restores Endangered Whale's Cape Cod Protections
The First Circuit on Thursday upheld the National Marine Fisheries Service's decision to seasonally ban some lobster and crab fishing equipment near Cape Cod in order to protect endangered North Atlantic right whales.
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January 30, 2025
Energy Co. Takes Aim At FERC Enforcement Powers
A North Carolina-based energy efficiency aggregator is challenging the constitutionality of the Federal Energy Regulatory Commission's authority to investigate it and order it to explain why it should not face nearly $1 billion in penalties for disputed market manipulation and tariff violation allegations.
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January 30, 2025
DOJ Calls UnitedHealth Dismissal Bid A Discovery 'End Run'
The U.S. Department of Justice assailed UnitedHealth Group on Wednesday for "masquerading" a "premature" discovery bid as a motion to dismiss the government's Maryland federal court lawsuit challenging the $3.3 billion purchase of home health and hospice giant Amedisys Inc.
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January 30, 2025
Amex GBT Calls Judge's Sept. DOJ Trial 'Manifest Injustice'
American Express Global Business Travel Inc. asked a New York federal judge Wednesday to reconsider waiting until September to hear the U.S. Department of Justice challenge to its planned $570 million purchase of CWT Holdings LLC, arguing it needs an answer much sooner.
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January 30, 2025
6th Circ. Wonders If Trump NLRB Shake-Up Moots Memo Suit
Sixth Circuit judges wrestled Thursday with what to do with a legal challenge to a memo penned by the National Labor Relations Board's former general counsel given her recent firing and expected shifts in the agency's policy direction under President Donald Trump.
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January 30, 2025
M&A Shot To $3.7T In 2024 As IT/Tech, Finance Shined
Mergers and acquisitions deal values and volumes rebounded significantly in 2024 after a slow 2023, with the IT/tech and financial services sectors leading the way, according to a Thursday report from data firm PitchBook.
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January 30, 2025
NC Biz Court Bulletin: Sanctions Miss, Philip Morris Refund
In the second half of January, the North Carolina Business Court tussled with sanctions against a biogas company, heard claims an insurer tried to deliberately embarrass Cadwalader Wickersham & Taft LLP and ordered an $11 million tax refund for Philip Morris.
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January 30, 2025
Rumors Fly As Trump Seeks Deal To Keep TikTok Alive
President Donald Trump seems to be getting exactly the "bidding war" he wanted as multiple entities fight for a role in keeping TikTok available in the U.S. Here, Law360 provides a rundown of the latest rumors and developments in the TikTok saga, along with other notable rumors from the past week.
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January 30, 2025
Gov't Urges High Court To OK 2nd 'Buffalo Billion' Trial
The federal government asked the U.S. Supreme Court to clear the way for a second trial in a public corruption case tied to former New York Gov. Andrew Cuomo's "Buffalo Billion" development initiative, saying prosecutors should be allowed to pursue charges under a different theory after the justices undid the original convictions.
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January 30, 2025
DOJ Challenges HPE's $14B Deal For Juniper Networks
The U.S. Department of Justice sued Thursday to block Hewlett Packard Enterprise's planned $14 billion purchase of Juniper Networks Inc. over concerns about competition for local wireless networking technology.
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January 29, 2025
Trump Orders Target Protests, 'Indoctrination' In K-12 Schools
President Donald Trump on Wednesday issued a trio of executive orders related to education, including an order that prohibits "radical indoctrination" of children by teaching "anti-American ideologies" in K-12 schools, one that targets protests and "campus antisemitism," and another that calls for a federally funded school choice initiative.
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January 29, 2025
'DO NOT RESPOND': CFPB Union Calls Buyout Email A Trap
The Consumer Financial Protection Bureau's union has urged staff at the agency to refrain from responding to the Trump administration's buyout offer for federal employees, describing it as a potential trap and suggesting they consider marking it as spam instead.
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January 29, 2025
SEC Says PE Firm Defrauded Investors In $1B Fund
The U.S. Securities and Exchange Commission sued a private equity firm in Florida federal court Wednesday, alleging that it defrauded investors in a $1 billion fund by, among other things, falsely promising to segregate their assets and by transferring tens of millions of dollars into bank accounts held by the fund's leading executives.
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January 29, 2025
Apple Will Appeal Denial Of Bid To Defend Google Search Deal
Apple said Wednesday that it will appeal an order refusing to let it intervene in the government's search monopolization case against Google to defend a multibillion-dollar revenue-sharing deal that makes Google the default search engine for the Safari browser.
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January 29, 2025
SEC Wins $11.3M In Texas Oil Investment Fraud Case
A Texas federal judge ruled in favor of the U.S. Securities Exchange Commission in an 11-year-old case accusing brokers of soliciting more than 340 "partners" to invest in drilling projects that were actually unregistered investment vehicles, granting the request for over $11 million in disgorgement, interest and a civil penalty from one of the brokers and his companies.
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January 29, 2025
Calif. Privacy Agency Keeps Up Pressure On Data Brokers
The California Privacy Protection Agency continued to build on its scrutiny of data brokers Wednesday, announcing a settlement with a Connecticut-based company that allegedly failed to comply with the registration requirements of a groundbreaking state data deletion law.
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January 29, 2025
Roomba Maker Escapes Suit Over Scuttled Amazon Merger
A Massachusetts federal judge has permanently thrown out a shareholder class action accusing iRobot Corp. of misleading investors about expected regulatory opposition that ultimately led to the abandonment of a proposed $1.7 billion merger with Amazon, saying "the pleading process ought not be used as a trial balloon, with repeated bites at the apple."
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January 29, 2025
Ga. Judge Won't Free Wildlife Rehab From Animal Care Suit
A Georgia federal judge on Tuesday refused to free Noah's Ark Animal Rehabilitation Center and Sanctuary or the chair of its board of directors from an Ohio-based nonprofit's suit alleging the center failed to properly care for its wildlife.
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January 29, 2025
Allstate Says Houston Referral Site Ran Kickback Scheme
Allstate Insurance told a Texas federal court that a group of clinics ran a kickback scheme with a medical referral website, saying in a Wednesday complaint the website funneled car crash victims to clinics that overcharged in exchange for payouts.
Expert Analysis
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How White Collar Defense Attys Can Use Summary Witnesses
Few criminal defense attorneys have successfully utilized summary witnesses in the past, but several recent success stories show that it can be a worthwhile trial tactic to help juries understand the complex decision-making at issue, says Jonathan Porter at Husch Blackwell.
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Cos. Must Brace For New PFAS Regulations And Litigation
The U.S. Environmental Protection Agency recently proposed adding over 100 per- and polyfluoroalkyl substances to the Toxic Release Inventory — and with increasing scrutiny of PFAS from the states and the plaintiffs bar as well, companies should take steps to reduce risks in this area, say attorneys at Dechert.
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Tips For Employers Facing Looming Immigration Changes
As Trump's second term heralds a challenging period for immigration policy, employers should look to lessons from his first administration as they implement strategies for their global talent programs and communications protocols, says Eileen Lohmann at BAL.
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Opinion
6 Changes I Would Make If I Ran A Law School
Reuben Guttman at Guttman Buschner identifies several key issues plaguing law schools and discusses potential solutions, such as opting out of the rankings game and mandating courses in basic writing skills.
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How Landlords Can Navigate Cannabis-Related Leases
As the cannabis industry continues to rapidly grow, landlords should consider a variety of lease terms and operational details that may help mitigate uncertainty involving federal laws, zoning restrictions and tax implications, says Kyla Baker at Holland & Knight.
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Using Data To Inform Corporate Disclosure Decisions
With today’s market volatility and regulatory factors requiring public companies to confront competing transparency and protection demands, incorporating stock price reaction analysis of company-specific news into the controller's role could be beneficial for disclosure determinations, say Liz Dunshee at Fredrikson & Byron and Nessim Mezrahi at SAR.
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How White Collar Attys Can Use Mythic Archetypes At Trial
A careful reading of a classic screenwriting guide shows that fairy tales and white collar trials actually have a lot in common, and defense attorneys would do well to tell a hero’s journey at trial, relying on universal character archetypes to connect with the jury, says Jack Sharman at Lightfoot Franklin.
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How CFPB Rule Would Affect Data Brokers And Beyond
The Consumer Financial Protection Bureau recently proposed a rule that would not only expand data broker oversight by classifying many as consumer reporting agencies, but would also impose new limitations on companies seeking to obtain information from them, potentially requiring such entities to alter their business models, say attorneys at Orrick.
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Firms Still Have The Edge In Lateral Hiring, But Buyer Beware
Partner mobility data suggests that the third quarter of this year continued to be a buyer’s market, with the average candidate demanding less compensation for a larger book of business — but moving into the fourth quarter, firms should slow down their hiring process to minimize risks, say officers at Decipher Investigative Intelligence.
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Reviewing 2024's State Consumer Privacy Law Enforcement
While we are still in the infancy of state consumer privacy laws, a review of enforcement activity this year suggests substantial overlaps in regulatory priorities across the most active states and gives insight into the likely paths of future enforcement, says Thomas Nolan at Quinn Emanuel.
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5th Circ. Crypto Ruling Shows Limits On OFAC Authority
The Fifth Circuit's recent decision that immutable smart contracts on the Tornado Cash crypto-transaction software protocol are not "property" subject to Office of Foreign Assets Control jurisdiction may signal that courts can construe OFAC's authority more restrictively after Loper Bright, say attorneys at Morgan Lewis.
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Preparing For The New Restrictions On Investment Into China
In light of a new regulatory program governing U.S. investments in China-related technology companies of national security concern, investors should keep several considerations in mind, including the rules' effect on existing and new investments, compliance hurdles, and penalties for noncompliance ahead of the rules' January implementation, say attorneys at Gunderson Dettmer.
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Opinion
Congress Should Expand Investment Options For 403(b)s
Lawmakers should pass pending legislation to give 403(b) plan participants access to collective investment trusts, leveling the playing field for public sector retirement investors by giving them an investment option their private sector counterparts have had for decades, says Jason Levy at Great Gray Trust Company.
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AV Compliance Is Still A State-By-State Slog — For Now
While the incoming Trump administration has hinted at new federal regulations governing autonomous vehicles, for now, AV manufacturers must take a state-by-state approach to compliance with safety requirements — paying particular attention to states that require express authorization for AV operation, say attorneys at Frost Brown.
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Opinion
Antitrust Posturing Against Algorithmic AI Should End
President-elect Donald Trump needs to rein in the federal government's antitrust crusade against algorithmic AI, sending the message that antitrust enforcement must be grounded in evidence and real harm, says attorney David Balto, a former Federal Trade Commission assistant director of policy and evaluation.