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Consumer Protection
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October 10, 2024
FTC's Final Merger Filings Overhaul Drops Labor Market Look
The Federal Trade Commission on Thursday finalized its long-awaited overhaul to U.S. merger filing rules, dropping initial proposed requirements to submit preliminary deal drafts and labor market details, while also reinstating the "early termination" of reviews of benign tie-ups.
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October 10, 2024
Social Media Apps Don't Need User Warnings, MDL Judge Told
A lawyer for TikTok urged a California state judge on Thursday to cut failure-to-warn claims from multidistrict litigation over social media's alleged effects on youth mental health, saying this theory is akin to suing newspapers for "not including a warning that reading the news could put you in a bad mood."
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October 10, 2024
Citadel Credit Union Reaches $6.5M Redlining Deal With DOJ
The U.S. Attorney for the Eastern District of Pennsylvania announced Thursday it reached a deal with Citadel Federal Credit Union to settle allegations it engaged in lending discrimination in Black and Latino neighborhoods, with the credit union agreeing to invest $6.5 million in neighborhoods of color in Philadelphia.
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October 10, 2024
SEC Sues Crypto Arm Of Proprietary Trading Firm DRW
The U.S. Securities and Exchange Commission accused the crypto-focused subsidiary of proprietary trading firm DRW Holdings of operating as an unregistered securities dealer by effecting more than $2 billion in crypto transactions, according to a complaint filed Thursday in Illinois federal court.
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October 10, 2024
Trade Group, Enviros Clash Over EPA Methylene Chloride Rule
American Chemistry Council and the Sierra Club are taking aim at the U.S. Environmental Protection Agency's methylene chloride rule, with the industry group telling the Fifth Circuit the agency overstepped when it outright banned most applications of the chemical for no valid reason and the conservation organization arguing it didn't go far enough.
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October 10, 2024
FCC Says Disabled Need More Access To Emergency Services
The Federal Communications Commission still has work to do to make sure telecom services are accessible to people with disabilities, particularly those who are visually and hearing impaired, the agency revealed in a new report.
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October 10, 2024
Ejudicate Ran 'Bogus' Student Loan Arbitrations, CFPB Says
The Consumer Financial Protection Bureau announced Thursday that it has banned private dispute resolution platform Ejudicate from arbitrating disputes about consumer financial products, saying the company misled student borrowers about its neutrality and initiated "bogus" arbitration proceedings.
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October 10, 2024
OpenAI Calls Musk's Fraud, RICO Suit A Harassing Biz Move
OpenAI asked a California federal judge to toss Elon Musk's claims that the artificial intelligence venture and its top brass engaged in fraud by deciding to make OpenAI a for-profit company, claiming Musk "has been trying to leverage the judicial system for an edge" since launching a competing AI company.
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October 10, 2024
Oregon Gas Customers Sue Over 'Greenwashing' Program
Northwest Natural Gas Co. has been accused by customers of engaging in "greenwashing" by advertising its Smart Energy program as a way for them to offset their natural gas emissions, while directing the program's funds to methane-generating industrial dairy farms.
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October 10, 2024
Yale Hospital Says Pension Liens Breach $435M Sale Deal
A hospital operator's purported $4 million pension liability has saddled its properties with liens that breach a $435 million sale contract, Yale New Haven Health told a Connecticut state judge Wednesday in a letter suggesting it may add claims to litigation over its deal with Prospect Medical Holdings Inc.
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October 10, 2024
Homebuyers Tell 8th Circ. Broker Deal Gives Them Nothing
Homebuyers are urging the Eighth Circuit to undo the approval of $208.5 million in settlements struck by real estate brokerages in the sprawling litigation over industry rules covering broker fees, saying the deals only provide money for sellers.
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October 10, 2024
Tobacco Cos. Push To Move Dozens Of Cases Out Of Boston
Several tobacco companies asked a Massachusetts judge Thursday to send more than 30 pending liability cases to other venues in the state, arguing that the plaintiffs have no ties to Suffolk County and that the volume of cases is burdening judges in the Boston courthouse.
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October 10, 2024
GOP Rep. Pushes FCC To Act On 12 GHz Broadband Access
An Oklahoma lawmaker has joined a chorus that has been calling for the Federal Communications Commission to open the lower 12 gigahertz spectrum band to two-way broadband fixed wireless access.
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October 10, 2024
Eli Lilly Tells Mich. Justices It's 'Wrong Time' For Insulin Case
A lawyer for pharmaceutical company Eli Lilly has urged the Michigan Supreme Court to reject a call to shake up the state's consumer protection precedent, saying during oral arguments Thursday that the attorney general is asking the court to do "by fiat" what Michigan lawmakers could soon accomplish with a bill package that got a hearing earlier this week.
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October 10, 2024
Animal Medication Co. Sued Over Dog Arthritis Treatment Risks
New Jersey-based animal medication company Zoetis Inc. was hit with a proposed class action Wednesday alleging that a drug used to treat osteoarthritis in dogs has harmful effects such as seizures, inability to walk, organ damage and even death, which the company has failed to warn about.
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October 10, 2024
Faulty New Balance Shoes Killed Olympian's Career, Suit Says
An athlete, who previously competed in two Summer Olympics, claims she missed this year's Paris Games after suffering a "career-ending injury" due to defective running shoes provided by her sponsor, New Balance, according to a lawsuit filed in Rhode Island federal court.
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October 10, 2024
Feds Ask 18 Months For 'Razzlekhan's' Role In Crypto Hack
The wife of a hacker who admitted to stealing what is now billions of dollars worth of bitcoin from the crypto exchange Bitfinex deserves 18 months in prison for her role in the heist, federal prosecutors say in a recommendation that takes her cooperation into account.
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October 10, 2024
3M, Other Cos. Hit With PFAS Contamination Class Action
Nantucket, Massachusetts, residents seek to hold the 3M Co., The Chemours Co. and other companies liable for perfluoroalkyl and polyfluoroalkyl substances that allegedly contaminated their properties, their drinking water and the residents themselves.
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October 10, 2024
Cigna Says NJ Plastic Surgeons Fraudulently Billed $8.5M
Two Cigna units said a New Jersey-based plastic and reconstructive surgery group billed excessively high fees and then waived patient cost-shares, fraudulently obtaining just over $8.5 million from the insurer in a scheme that dates back nearly a decade.
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October 10, 2024
Shield Satellite Radio From Interference, FCC Told
Sirius XM told the Federal Communications Commission that continued attempts to open the 6 gigahertz band for low-power wireless devices could pose a threat to the satellite radio service's signals if strong protections are not put in place.
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October 10, 2024
SEC Says Adviser's $4M Scheme Included 'AI-Washing'
The U.S. Securities and Exchange Commission on Thursday fined a California-based investment adviser that it said raised nearly $4 million through a series of false promises, including deceptive statements about artificial intelligence capabilities.
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October 10, 2024
Ga. Container Co. Hit With Data Breach Lawsuit
A Georgia-based manufacturer and global supplier of blow-molded plastic containers has been hit with a proposed class action in federal court over a December 2023 data breach that allegedly exposed the personal information of more than 30,000 people who were not notified about the hack until this month.
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October 10, 2024
FCC Chair Slams Trump's Demands To Pull CBS' License
The head of the Federal Communications Commission on Thursday once again blasted Donald Trump for demanding the agency yank broadcast stations' licenses for political reasons, saying the former president's "familiar" attacks on free speech "should not be ignored."
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October 10, 2024
Feds Say Ex-Atty Stole $570K From Disabled Client's Trust
A former attorney in Washington is accused of embezzling more than $570,000 from a client's insurance settlement after she was severely injured in a motorcycle accident, according to a federal indictment that said the victim was forced to sell her home after her trust account was drained.
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October 10, 2024
Target Made Inflated Claims About Gas Pills, Shoppers Allege
Target customers hit the retailer with a putative class action lawsuit in New York federal court Wednesday alleging its line of Up & Up gas relief pills is not "maximum strength" as the label contends, and other similar medications have higher concentrations of key ingredients.
Expert Analysis
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Unpacking Jurisdiction Issues In 3rd Circ. Arbitration Ruling
The Third Circuit's recent ruling in George v. Rushmore Service Center could be interpreted to establish three principles regarding district courts' jurisdiction to enter arbitration-related orders under the Federal Arbitration Act, two of which may lead to confusion, says David Cinotti at Pashman Stein.
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Why Attorneys Should Consider Community Leadership Roles
Volunteering and nonprofit board service are complementary to, but distinct from, traditional pro bono work, and taking on these community leadership roles can produce dividends for lawyers, their firms and the nonprofit causes they support, says Katie Beacham at Kilpatrick.
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'Pig Butchering': The Scam That Exploits Crypto Confusion
Certain red flags can tip off banks to possible "pig-butchering," and with the scam's increasing popularity, financial institutions need to take action to monitor entry points into the crypto space, detect suspicious activity and provide a necessary backstop to protect customers, say Brandon Essig and Mary Parrish McCracken at Lightfoot Franklin.
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Opinion
Agencies Should Reward Corporate Cyber Victim Cooperation
The increased regulatory scrutiny on corporate victims of cyberattacks — exemplified by the U.S. Securities and Exchange Commission's case against SolarWinds — should be replaced with a new model that provides adequate incentives for companies to come forward proactively and collaborate with law enforcement, say attorneys at McDermott.
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How Transaction Lookbacks Can Guide Fintech Companies
As transaction lookbacks continue to be a key focus of enforcement actions, newer financial institutions like fintech companies should know they can benefit from proactively investigating their potential failure to identify suspicious activity, creating a compliance road map and building trust with regulators in the process, say attorneys at Jenner & Block.
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Firms Must Offer A Trifecta Of Services In Post-Chevron World
After the U.S. Supreme Court’s Loper Bright Enterprises v. Raimondo decision overturning Chevron deference, law firms will need to integrate litigation, lobbying and communications functions to keep up with the ramifications of the ruling and provide adequate counsel quickly, says Neil Hare at Dentons.
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Opinion
CFPB's AI Stance Backslides On Innovation Issues
The Consumer Financial Protection Bureau's recent response to a Treasury Department's request for information about artificial intelligence in the financial services sector uses alarmist rhetoric about the technology's risks, ceding an opportunity to help shape this important discussion, says Mike Silver at Husch Blackwell.
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How Ripple Final Judgment Fits In Broader Crypto Landscape
The Southern District of New York's recent $125 million civil penalty levied in U.S. Securities and Exchange Commission v. Ripple will have a broad impact on the crypto industry as it was the first to hold that blind sales of digital assets are not securities, even if deemed securities in other circumstances, say attorneys at BakerHostetler.
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5 Tips To Succeed In A Master Of Laws Program And Beyond
As lawyers and recent law school graduates begin their Master of Laws coursework across the country, they should keep a few pointers in mind to get the most out of their programs and kick-start successful careers in their practice areas, says Kelley Miller at Reed Smith.
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The Bank Preemption Ripple Effects After Cantero, Flagstar
The importance of federal preemption for financial institutions will only increase as technology-driven innovations evolve, which is why the U.S. Supreme Court's recent decision in Cantero v. Bank of America and vacatur of Kivett v. Flagstar Bank have real modern-day significance for national banks, say attorneys at WilmerHale.
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IP Hot Topic: The Intersection Of Trademark And Antitrust Law
Antitrust claims – like those in the U.S. Department of Justice’s recent case against Apple – are increasingly influencing trademark disputes and enforcement practices, demonstrating how antitrust law can dilute the power of a trademark, say attorneys at Dentons.
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When Trauma Colors Testimony: How To Help Witnesses
As stress-related mental health issues continue to rise, trial attorneys must become familiar with a few key trauma-informed strategies to help witnesses get back on track — leaning in to the counselor aspect of their vocations, say Ava Hernández and Steve Wood at Courtroom Sciences.
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Series
Being An Opera Singer Made Me A Better Lawyer
My journey from the stage to the courtroom has shown that the skills I honed as an opera singer – punctuality, memorization, creativity and more – have all played a vital role in my success as an attorney, says Gerard D'Emilio at GableGotwals.
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What Cos. Need to Know About Battery Labeling Law
With new labeling requirements for button cell battery packaging taking effect in September, manufacturers and importers must review compliance, testing procedures, and necessary paperwork as the consequences of noncompliance can lead to costly penalties and supply chain woes, says Aasheesh Shravah at CM Law.
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How Law Firms Can Avoid 'Collaboration Drag'
Law firm decision making can be stifled by “collaboration drag” — characterized by too many pointless meetings, too much peer feedback and too little dissent — but a few strategies can help stakeholders improve decision-making processes and build consensus, says Steve Groom at Miles Mediation.