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October 11, 2024
Boeing Cuts 17K Jobs, Hits Union With Bargaining Charges
Boeing's new chief executive on Friday said the aerospace giant will cut its workforce by about 17,000 jobs as part of a restructuring effort as the company enters a new chapter of regulatory scrutiny and production delays, a day after accusing the union representing striking factory workers of bad-faith bargaining.
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October 11, 2024
Real Estate Recap: Rating Climate Risk, Window Tech, Towers
Catch up on this past week's key developments by state from Law360 Real Estate Authority — including a data-driven look at how climate risk is calculated for property owners, what one proptech company is doing to improve high-rise window-washing, and a new tracker following the tallest tower projects in the United States.
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October 11, 2024
With Swipe At Attys, CFPB's Chopra Defends Use Of Guidance
At a tough-talking appearance in Utah on Friday, Consumer Financial Protection Bureau Director Rohit Chopra said he doesn't sweat potential legal challenges to his agency's rules and suggested some industry-side attorneys can be "leeches" who relish compliance uncertainty if it boosts their billable hours.
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October 11, 2024
High Court's TCPA Grant Set To Broaden Loper Bright's Blow
On the heels of the U.S. Supreme Court dealing a major blow to the power of federal agencies to interpret laws, the justices are poised to again boost judicial authority and potentially release a torrent of litigation challenging the established tome of regulations crafted under the Telephone Consumer Protection Act.
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October 11, 2024
Aerospace Firm To Pay SEC $1.1M Over India Bribe Claims
Aerospace components manufacturer Moog Inc. will pay a $1.1 million civil penalty to resolve U.S. Securities and Exchange Commission claims that an Indian subsidiary of the company violated the Foreign Corrupt Practices Act in connection with an alleged scheme to bribe Indian officials.
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October 11, 2024
Employment Authority: High Court To Take On 'Majority' Bias
Law360 Employment Authority covers the biggest employment cases and trends. Catch up this week with coverage on how so-called reverse discrimination cases could rise if the U.S. Supreme Court nixes a legal test in "majority" group bias cases, how employers can remain compliant with wage and hour laws even during natural disasters, and how the National Labor Relations Board could expect to shift under a Trump presidency.
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October 11, 2024
Up Next At High Court: CBD Injuries & The Clean Water Act
The U.S. Supreme Court will be closed Monday, but the justices will return to the bench Tuesday to hear arguments over whether the federal Racketeering Influenced and Corrupt Organizations Act allows litigants to pursue claims of economic harm tied to personal injuries, and how specific pollutant discharge limits have to be under the Clean Water Act.
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October 11, 2024
Judge OKs Deal In One Of EEOC's First PWFA Suits
A Florida federal judge on Friday approved a nearly $100,000 consent decree between a Florida resort and a line cook fired when she requested time off after a stillbirth, in one of the U.S. Equal Employment Opportunity Commission's first batch of cases accusing employers of violating the Pregnant Workers Fairness Act.
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October 11, 2024
DOD Finalizes High-Profile Contractor Cybersecurity Rule
The U.S. Department of Defense on Friday finalized a rule implementing its sweeping Cybersecurity Maturity Model Certification program, which will attach a minimum cybersecurity requirement to nearly all DOD contracts.
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October 11, 2024
IBM Unit Wants To Undo 'Troubling' Defamation Case Ruling
An IBM unit has asked the Fourth Circuit to revive its lawsuit alleging a former executive's defamatory statements nearly killed a major acquisition, arguing that a lower court attempted to inject a new standard into its analysis.
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October 11, 2024
New Squarespace Suit Filed For Take-Private Docs
A second shareholder of website builder Squarespace Inc. has sued in the Delaware Court of Chancery for books and records on the company's proposed $7.2 billion take-private deal with private equity giant Permira Advisors LLC, less than two weeks after the sidelining of an earlier books suit focusing on the same deal, which is set to expire late Oct. 11.
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October 11, 2024
Cornell Case Gives Justices Chance To Curb ERISA Litigation
The U.S. Supreme Court's recent decision to hear a retirement fee suit from Cornell workers means new precedent is coming that could harmonize an uneven set of circuit standards for what it takes to pursue a prohibited transaction claim under federal benefits law, attorneys say.
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October 11, 2024
FTC's Republicans Take Aim At Agency Merger Data
The Federal Trade Commission's two Republican members criticized a long-standing agency policy of reporting "abandoned" transactions that were never notified to the antitrust agencies as wins, while dissenting from an annual congressional report on merger reviews.
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October 11, 2024
Swiss Native Ran $8M International Stock Fraud, SEC Says
A Swiss-born Massachusetts resident ran a years-long international fraud scheme by tricking investors, mainly from Europe, into investing with him and then absconding with the money, the U.S. Securities and Exchange Commission alleged in a Friday suit.
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October 11, 2024
BofA Must Face Iranian Bias Claims At 9th Circ.
A Bank of America customer wants the Ninth Circuit to revive his proposed class action alleging the financial giant discriminates against Iranian citizens, according to a notice of appeal.
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October 11, 2024
Gruden Gets Another Play, Could Keep NFL Suit In Court
Former Las Vegas Raiders coach Jon Gruden will have another shot to keep from arbitration his case over the NFL's alleged torpedoing of his contract with leaks of his inflammatory emails, as the entire Nevada Supreme Court will consider the proper venue for the heated dispute.
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October 11, 2024
Quinn Emanuel Faces DQ Bid For Musk-Dogecoin Deal Leak
Dogecoin investors want Quinn Emanuel Urquhart & Sullivan LLP to be disqualified in their case against Elon Musk and Tesla Inc. because the law firm and its attorneys publicly disclosed a confidential settlement offer in the contentious lawsuit.
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October 11, 2024
DOJ Tells Judge Boeing Plea Is 'The Best The Gov't Could Do'
The federal government told a Texas federal judge Friday that its proposed deal with The Boeing Co. over allegations that it lied to safety regulators about the 737 Max 8's development is "the best the government could do," pushing back against vehement objection from crash victims' families, who called the deal "rotten" and "morally reprehensible."
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October 11, 2024
Boston Dynamics 'Took Advantage' Of Partner's Robotics IP
Robot maker Boston Dynamics engaged in a "flagrant and secretive" breach of its nondisclosure agreement with a manufacturer by enabling a competitor to "reverse engineer" components it had built for the Massachusetts company, according to a state court lawsuit.
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October 11, 2024
Nintendo, Epic Games Dropped From Addictive Gaming Suit
Nintendo of America Inc. and Epic Games Inc. have been dropped from a lawsuit filed against them and other well-known companies by a gamer who alleged they intentionally got users addicted to boost profits.
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October 11, 2024
RTX Warned By Judge Over 'Troubling' Settlement Delay
A Massachusetts federal judge on Friday chided RTX for slow-walking the finalization of a settlement the defense contractor struck with a Connecticut company just before trial in a trade secrets dispute.
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October 11, 2024
'Bloodsport' Poaching Case To Mediate After Disputed Verdict
An exasperated Boston federal judge on Friday talked two rival medical aesthetic device companies into a round of mediation with a magistrate judge to see if they could wrap up the fiercely litigated poaching case that's already resulted in a contested eight-figure verdict.
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October 11, 2024
GC Cheat Sheet: The Hottest Corporate News Of The Week
Deputy Attorney General Lisa Monaco warned compliance officers that TD Bank's historic settlement this month with U.S. authorities over anti-money laundering violations should serve as a lesson, and a report found the country's BigLaw firms have accelerated their environmental sustainability efforts but lack in areas like diversity, equity and inclusion. These are among the stories in corporate legal news you may have missed in the past week.
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October 11, 2024
Nippon To Sell JV Stake For $1 In Push To Close US Steel Deal
Japan's Nippon Steel said Friday it has agreed to sell its stake in a 50-50 joint venture with ArcelorMittal to the European steelmaker for just $1, as Nippon seeks to address any antitrust concerns over its planned $14.9 billion acquisition of U.S. Steel.
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October 10, 2024
4 Key Details From TD's Historic $3.1B Money Laundering Deal
U.S. authorities have levied some of the biggest, most serious penalties of their kind against TD Bank as part of a mammoth $3.1 billion anti-money laundering settlement announced Thursday. Here's a closer look at how the Canadian bank got here.
Expert Analysis
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Remedy May Be Google's Biggest Hurdle Yet In Antitrust Case
There are difficulties ahead in the remedies phase of the antitrust case against Google in District of Columbia federal court, including the search engine giant's scale advantage and the fast-moving nature of the tech industry, setting the stage for the most challenging of the proceedings so far, says Jonathan Rubin at MoginRubin.
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Takeaways From EU's 'Pay Or Consent' Advertising Probe
Anne-Gabrielle Haie and Charles Whiddington at Steptoe examine key points from the European Commission's recent investigation into Big Tech's use of "pay or consent" advertising models, as well as the European Data Protection Board’s opinion on how such models can comply with EU competition and data protection laws.
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Tips For Revamping Patent Portfolio Strategy In AI Deal Era
Recent data suggests patents are significantly enhancing exit valuations, particularly with cutting-edge technologies like those powered by artificial intelligence, but it is necessary to do more than simply align patent strategy with business goals, says Keegan Caldwell at Caldwell Law.
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3 High Court Rulings May Shape Health Org. Litigation Tactics
Three separate decisions from the U.S. Supreme Court's most recent term — Loper Bright, Corner Post and Jarkesy — will likely strengthen healthcare organizations' ability to affirmatively sue executive agencies to challenge regulations governing operations and enforcement actions, say attorneys at McDermott.
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Opinion
The Big Issues A BigLaw Associates' Union Could Address
A BigLaw associates’ union could address a number of issues that have the potential to meaningfully improve working conditions, diversity and attorney well-being — from restructured billable hour requirements to origination credit allocation, return-to-office mandates and more, says Tara Rhoades at The Sanity Plea.
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Opinion
It's Time For A BigLaw Associates' Union
As BigLaw faces a steady stream of criticism about its employment policies and practices, an associates union could effect real change — and it could start with law students organizing around opposition to recent recruiting trends, says Tara Rhoades at The Sanity Plea.
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Why DOJ's Whistleblower Program May Have Limited Impact
The U.S. Department of Justice’s new whistleblower pilot program aims to incentivize individuals to report corporate misconduct, but the program's effectiveness may be undercut by its differences from other federal agencies’ whistleblower programs and its interplay with other DOJ policies, say attorneys at Milbank.
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How Calif. Justices' Prop 22 Ruling Affects The Gig Industry
The California Supreme Court's recent upholding of Proposition 22 clarifies that Uber, Lyft, DoorDash and other companies in the gig industry can legally classify their drivers as independent contractors, but it falls short of concluding some important regulatory battles in the state, says Mark Spring at CDF Labor.
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Takeaways From Virginia's $2B Trade Secrets Verdict Reversal
The Virginia Court of Appeals' recent reversal of the $2 billion damages award in Pegasystems v. Appian underscores the claimant's burden to show damages causation and highlights how an evidentiary ruling could lead to reversible error, say John Lanham and Kamran Jamil at Morrison Foerster.
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How Justices Upended The Administrative Procedure Act
In its recent Loper Bright, Corner Post and Jarkesy decisions, the U.S. Supreme Court fundamentally changed the Administrative Procedure Act in ways that undermine Congress and the executive branch, shift power to the judiciary, curtail public and business input, and create great uncertainty, say Alene Taber and Beth Hummer at Hanson Bridgett.
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How Corner Post Affects Enviro Laws' Statutes Of Limitations
The U.S. Supreme Court's recent ruling in Corner Post v. Federal Reserve Board has helped to alter the fundamental underpinnings of administrative law — and its plaintiff-centric approach may have implications for some specific environmental laws' statutes of limitations, say Chris Leason and Liam Martin at Gallagher and Kennedy.
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Jarkesy May Thwart Consumer Agencies' Civil Penalty Power
The U.S. Supreme Court's ruling in U.S. Securities and Exchange Commission v. Jarkesy not only implicates future SEC administrative adjudications, but those of other agencies that operate similarly — and may stymie regulators' efforts to levy civil monetary penalties in a range of consumer protection enforcement actions, say attorneys at Holland & Knight.
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Lessons From Recent SEC Cyber Enforcement Actions
The recent guidance by the SEC's Division of Corporation Finance is helpful to any company facing a cybersecurity threat, but just as instructive are the warnings raised by the SEC's recent enforcement actions against SolarWinds, R.R. Donnelley and Intercontinental Exchange, say attorneys at O'Melveny.
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Tips For Tax Equity-Tax Credit Transfers That Pass IRS Muster
Although the Internal Revenue Service has increased its scrutiny of complex partnership structures, which must demonstrate their economic substance and business purpose, recent cases and IRS guidance together provide a reliable road map for creating legitimate tax equity structures, say Ian Boccaccio and Michael Messina at Ryan Tax.
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2nd Circ. Ruling Reaffirms Short-Swing Claims Have Standing
The Second Circuit's recent ruling in Packer v. Raging Capital reversing the dismissal of a shareholder's Section 16(b) derivative suit seeking to recover short-swing profits for lack of constitutional standing settles the uncertainty of the district court's decision, which could have undercut Congress' intent in crafting Section 16(b) in the first place, say attorneys at Simpson Thacher.