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Consumer Protection
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October 30, 2024
Crypto Platform Founder Pleads Guilty To Illegal Wash Trading
The founder of cryptocurrency market-making platform MyTrade pled guilty in Massachusetts federal court Wednesday to orchestrating millions of dollars worth of daily wash trades to illegally inflate the prices of digital tokens.
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October 30, 2024
3M Says Excess Insurers Must Cover PFAS Claims
Manufacturing giant 3M said its excess insurers must cover claims alleging injury and damage because of exposure to so-called forever chemicals in the company's products, telling a Delaware state court that the claims fall squarely within the scope of coverage promised in the policies.
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October 30, 2024
3rd Circ. Asks If Dodge Charger Suit Is Ripe For Revival
A Third Circuit panel on Wednesday asked owners of Dodge Charger Hellcats whether now is the right time to revive allegations that Fiat Chrysler Automobiles US LLC sold them muscle cars that fell short of advertised high-performance standards.
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October 30, 2024
Under Armour Hit With False Ad Suit Alleging Fake Discounts
Under Armour was slapped with a potential false advertising class action Tuesday in New York federal court accusing it of promising customers huge savings on athletic apparel sold online and at its brick-and-mortar stores by including bogus, higher reference prices on products that are virtually never sold at those prices.
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October 30, 2024
CTIA Asks To Expand Hot Spot Program Directly To Devices
School districts and libraries should be able to use their E-rate funds to provide commercially available mobile broadband service to students instead of just hotspots, a wireless industry trade group has told the Federal Communication Commission.
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October 30, 2024
Keurig Dr Pepper Sued Over 'Naturally Flavored' Ginger Ale
Keurig Dr Pepper faces a proposed class action filed in California federal court accusing it of mislabeling its Schweppes and Canada Dry brands of ginger ale beverages as only containing "natural flavors" while they actually contain a synthetic chemical to mimic the taste of ginger.
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October 30, 2024
Maryland Says Electricity Greenwashing Law Is Constitutional
Renewable energy company Green Mountain Energy Co. and a national advocacy organization cannot block a Maryland law aimed at cracking down on electricity suppliers' "greenwashing" claims, Maryland Attorney General Anthony G. Brown argued in federal court.
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October 30, 2024
Class Members Can't Change Opt-Out Rules In Chevy EV Deal
A Michigan federal judge won't grant a bid by individual class members to change the opt-out procedure in a $150 million settlement to resolve claims that General Motors sold Chevrolet Bolt electric vehicles with defective batteries, calling the motion an improper late objection to the settlement's preliminary approval.
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October 30, 2024
FTX Witness Who Saw Bankman-Fried's 'Evil' Avoids Prison
A Manhattan federal judge allowed FTX's former chief engineer to avoid prison Wednesday, crediting his trial testimony against the crypto exchange's founder Sam Bankman-Fried, his ongoing cooperation and his relatively small role in the $11.2 billion fraud.
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October 30, 2024
Hershey's Candy Wrappers Contain PFAS, Spooky Suit Says
A chocolate lover has sued The Hershey Co. in Pennsylvania federal court just days before Halloween alleging the packaging of its milk chocolate bars and Kisses, Reese's Peanut Butter Cups, Reece's Pieces and KitKat Bars contain dangerous "forever chemicals."
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October 30, 2024
Connecticut Water Users Amend Utility PFAS Class Action
A proposed class of Connecticut consumers filed an amended complaint for a suit alleging a water utility knowingly sold water containing unhealthy levels of "forever chemicals" without installing treatment equipment that could have prevented the contamination from reaching people.
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October 30, 2024
Gulfstream Arbitration Notice To Worker Adequate, Court Says
Jet manufacturer Gulfstream Aerospace's use of a hyperlink to the terms of its arbitration requirement for employee disputes was adequate notice to a worker who later tried to sue, an intermediate Massachusetts appellate court said Wednesday.
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October 29, 2024
Monsanto PCBs 'Pervasive' At School, Scientist Tells Jury
Monsanto-made PCBs were "pervasive" at a Washington school, an industrial hygienist testified Tuesday in the latest trial over illnesses there before being grilled by defense counsel about the integrity of his material samples.
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October 29, 2024
NY Judge Tosses $14B Decongestant MDL
A New York federal judge threw out a streamlined complaint in a multidistrict litigation accusing companies such as Target and Bayer of making and selling ineffective over-the-counter decongestants, finding Tuesday the state claims are expressly preempted, and the proposed class lacks standing on a federal racketeering claim as indirect purchasers.
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October 29, 2024
NY Health Provider To Boost Data Security To End AG's Probe
An Albany-based healthcare provider has agreed to pay $2.75 million in penalties and data security enhancements to resolve the New York attorney general's claims it failed to protect private medical data that was exposed in a pair of 2023 cyberattacks, the regulator said Tuesday.
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October 29, 2024
DOJ Will Restrict Data Swapping With 'Countries Of Concern'
The U.S. Department of Justice has proposed new rules that will make it the regulator of any type of transaction that would put certain kinds of sensitive privacy data in the hands of any "covered persons" or "country of concern."
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October 29, 2024
Wells Fargo Fights To Ax Suit Over Identify Fraud Accounts
Wells Fargo urged a California federal judge Tuesday to toss a proposed class action accusing the bank of violating the Fair Credit Report Act by accessing consumers' credit reports after fraudsters applied to open accounts with stolen information, saying Wells Fargo followed industry standards and the alleged damages are "conclusory."
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October 29, 2024
BofA Faces Scrutiny Of AML Program, Zelle Payment Handling
Bank of America Corp. disclosed Tuesday that its anti-money laundering program is a focus of ongoing "discussions" with federal regulators and said it is mulling litigation with the Consumer Financial Protection Bureau over a potential enforcement action related to digital payment network Zelle.
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October 29, 2024
Retired Fed. Circ. Judge Backs Invisalign In Monopoly Cases
Retired Federal Circuit Judge Paul R. Michel warned the Ninth Circuit on Tuesday that reversing a lower court's decision to toss a pair of class actions accusing Invisalign of monopolizing the clear braces and teeth scanners market by illegally refusing to deal with a rival would increase patent owners' legal uncertainties.
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October 29, 2024
Judge Extends Block On Florida's Threats Over Abortion Ad
A Florida federal judge on Tuesday extended a temporary order blocking the state from threatening television stations with criminal prosecution if they did not pull a campaign ad promoting an abortion rights ballot initiative.
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October 29, 2024
Canadian Co. Owes $7.5M Default Judgment In Toxic Mud Suit
A Georgia federal judge has awarded a nationwide class of customers more than $7.5 million in damages in litigation alleging Canadian company BlackOxygen sold them mud-based nutritional supplements containing harmful levels of toxic heavy metals after the company failed to respond to their claims.
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October 29, 2024
NY Judge Says Law Sealing Illicit Pot Shops Unconstitutional
A New York state judge ruled Tuesday that a newly enacted New York City law empowering municipal officials to shut down stores selling unlicensed marijuana products is unconstitutional.
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October 29, 2024
FCC, Calif. Agency To Team Up To Protect Privacy
The Federal Communications Commission is going to be teaming up with one of California's consumer protection agencies to enforce privacy rights in the Golden State, the pair announced Tuesday.
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October 29, 2024
Rumble Pushes To Join Google Ad Tech MDL
Video-sharing site Rumble has told the U.S. Judicial Panel on Multidistrict Litigation that its case accusing Google of monopolizing key digital advertising technology should be included in the consolidated litigation pending against the tech giant in New York.
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October 29, 2024
Merger Guides In Fashion As Court Pauses Handbag Deal
The Federal Trade Commission scored a major win last week with a court order pausing the planned $8.5 billion merger between the owners of Coach and Michael Kors, but the ruling stopped short of fully embracing enforcers' recent attempts to influence merger law.
Expert Analysis
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Deadline Extension Highlights PFAS Reporting Complexities
The U.S. Environmental Protection Agency's recent extension of reporting and recordkeeping timelines for per- and polyfluoroalkyl substances under the Toxic Substances Control Act offers relief to the regulated community, but the unprecedented volume of data required means that businesses must remain diligent in their data collection efforts, say attorneys at Alston & Bird.
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6th Circ. Preemption Ruling Adds Uncertainty For Car Cos.
Automakers and their suppliers need uniformity under the law to create sufficient scale and viable markets — but the Sixth Circuit's recent decision in Fenner v. General Motors creates more uncertainty around the question of when state law consumer claims related to violations of federal vehicle emissions and fuel economy standards are preempted, say attorneys at Sidley.
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State Of The States' AI Legal Ethics Landscape
Over the past year, several state bar associations, as well as the American Bar Association, have released guidance on the ethical use of artificial intelligence in legal practice, all of which share overarching themes and some nuanced differences, say Eric Pacifici and Kevin Henderson at SMB Law Group.
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How Biden Admin Has Used Antitrust Tools, And What's Next
The last four years have been marked by an aggressive whole-of-government approach to antitrust enforcement using a broad range of tools, and may result in lasting change regardless of the upcoming presidential election result, say attorneys at Norton Rose.
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Cos. Face Increasing Risk From Environmental Citizen Suits
Environmental citizen suits stepping in to fill the regulatory vacuum concerning consumer goods waste may soon become more common, and the evolving procedural landscape and changes to environmental law may contribute to companies' increased exposure, say J. Michael Showalter and Bradley Rochlen at ArentFox Schiff.
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How BIS' Rule Seeks To Encourage More Voluntary Disclosure
Updated incentives, penalties and enforcement resources in the Bureau of Industry and Security's recently published final rule revising the Export Administration Regulations should help companies decide how to implement export control compliance programs and whether to disclose possible violations, say attorneys at Freshfields.
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8 Childhood Lessons That Can Help You Be A Better Attorney
A new school year is underway, marking a fitting time for attorneys to reflect on some fundamental life lessons from early childhood that offer a framework for problems that no legal textbook can solve, say Chris Gismondi and Chris Campbell at DLA Piper.
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Navigating Complex Regulatory Terrain Amid State AG Races
This year's 10 attorney general elections could usher in a wave of new enforcement priorities and regulatory uncertainty, but companies can stay ahead of the shifts by building strong relationships with AG offices, participating in industry coalitions and more, say Ketan Bhirud and Dustin McDaniel at Cozen O’Connor.
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Challenge To Ill. Card Fee Law Explores Compliance Hurdles
A recent federal lawsuit challenging an Illinois law that will soon forbid electronic payment networks from charging fees for processing the tax and tip portions of card transactions, fleshes out the glaring compliance challenges and exposure risks financial institutions must be ready to face next summer, says Martin Kiernan at Amundsen Davis.
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Recent Securities Cases Highlight Risks In AI Disclosures
Increasing public disclosure about the use and risks of artificial intelligence, and related litigation asserting that such disclosures are false or misleading, suggest that issuers need to exercise great care with respect to how they describe the benefits of AI, say Richard Zelichov and Danny Tobey at DLA Piper.
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Harris Unlikely To Shelve Biden Admin's Food Antitrust Stance
A look at Vice President Kamala Harris' past record, including her actions as California attorney general, shows why practitioners should prepare for continued aggressive antitrust enforcement, particularly in the food and grocery industries, if Harris wins the presidential election, says Steve Vieux at Bartko.
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Opinion
This Election, We Need To Talk About Court Process
In recent decades, the U.S. Supreme Court has markedly transformed judicial processes — from summary judgment standards to notice pleadings — which has, in turn, affected individuals’ substantive rights, and we need to consider how the upcoming presidential election may continue this pattern, says Reuben Guttman at Guttman Buschner.
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Series
Playing Diplomacy Makes Us Better Lawyers
Similar to the practice of law, the rules of Diplomacy — a strategic board game set in pre-World War I Europe — are neither concise nor without ambiguity, and weekly gameplay with our colleagues has revealed the game's practical applications to our work as attorneys, say Jason Osborn and Ben Bevilacqua at Winston & Strawn.
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Proposed Mortgage Assistance Rule: Tips For Servicers
The Consumer Financial Protection Bureau's recent proposal to alter Regulation X mortgage servicing procedures to broadly construe requests for assistance, and stay foreclosure proceedings during loss mitigation review, will, if finalized, require mortgage servicers to make notable procedural changes to comply, says Louis Manetti at Locke Lord.
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A Look At 5 States' New Data Privacy Laws
With new data privacy laws in Utah, Florida, Texas, Oregon and Montana recently in effect or coming into force this year, state-level enforcement of data privacy creates significant challenges and risks for how businesses interact with employees and consumers, and for companies that provide and use technologies in multiple jurisdictions, say attorneys at Jenner & Block.