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Cybersecurity & Privacy
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July 30, 2024
Rite Aid Sued Over Data Breach That Affected 2.2M Customers
Rite Aid was hit with a proposed class action Friday in Pennsylvania federal court accusing it of failing to safeguard more than 2.2 million of its customers' personal information associated with purchases of certain retail products made seven years ago, after hackers accessed its network using an employee's credentials.
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July 30, 2024
Senate Sends Kids' Online Safety, Privacy Bills To House
The U.S. Senate on Tuesday easily approved a pair of bipartisan bills claiming to put more responsibility on social media platforms to ensure children's safety online and enhance data privacy protections for teens, although one of the proposals continues to face First Amendment opposition from consumer advocates as the measures move to the House.
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July 30, 2024
OnlyFans Dupes Users With Chatty Impersonators, Suit Says
OnlyFans knowingly allows professional "chatters" to impersonate content creators on the subscription platform, duping users into thinking they're having a direct conversation with an individual they paid to connect with and resulting in personal information being shared with that stranger, according to a proposed class action filed in California federal court.
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July 30, 2024
Christie's Hit With Data Breach Suit Over Cyberattack
Christie's Inc. is facing a proposed class action filed Monday in New York federal court alleging the auction house failed to protect the information of 500,000 clients stemming from a cyberattack carried out by Ransomhub, which claims it sold the information on the dark web after Christie's refused to pay up.
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July 30, 2024
Netflix Wants $170M 'Baby Reindeer' Defamation Suit Axed
Netflix urged a California federal judge Monday to toss a Scottish lawyer's $170 million lawsuit alleging the streaming giant's popular stalker miniseries "Baby Reindeer" defamed her, with the show's creator stating in a declaration it is an "emotionally true" fictionalized work he wrote after being stalked by the lawyer for years.
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July 30, 2024
Insurer Says Trucking Co.'s BIPA Suit Isn't Covered
An insurer told an Illinois state judge to declare that it has no duty to defend a trucking company against allegations that it illegally mishandled employees' biometric information.
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July 30, 2024
Justices Urged To Certify Class Over Firm's Illegal Faxes
A Georgia-based recruiting agency is asking the U.S. Supreme Court to toss a Fourth Circuit ruling that the Telephone Consumer Protection Act's fax machine definition is limited to standalone fax machines and does not include online fax services, saying the January decision creates a circuit split that needs settling.
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July 30, 2024
Dominion Again Pushes DQ Bid For Ex-Overstock CEO Atty
Attorneys for Dominion Voting Systems are again urging a D.C. federal judge to disqualify a Michigan attorney from representing former Overstock.com CEO Patrick Byrne in a defamation lawsuit, saying she and her client "lack any respect for the rule of law" and pose risks to Dominion employees.
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July 30, 2024
Virginia Appeals Court Tosses Record $2B Trade Secrets Verdict
The Court of Appeals of Virginia on Tuesday reversed Appian Corp.'s $2 billion trade secrets judgment against competitor Pegasystems Inc., saying that the trial court made a series of errors on its way to the biggest jury award in state history and that a new trial was warranted.
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July 30, 2024
Texas, Meta Reach Historic $1.4B Deal In Biometric Data Suit
The state of Texas has reached a historic $1.4 billion settlement with Meta Platforms Inc. in a lawsuit accusing the social media giant of illegally collecting Facebook users' biometric data through its now-discontinued facial recognition feature, attorneys for the state announced Tuesday.
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July 29, 2024
8th Circ. Tosses 'Windfall' $79M Legal Fee In T-Mobile Suit
The Eighth Circuit on Monday threw out a $78.7 million attorney fee award for plaintiffs' attorneys who negotiated a $350 million settlement with T-Mobile over a massive data breach in 2021, saying the award amounts to a "windfall" for class counsel.
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July 29, 2024
NYC Prof And Purported Dissident A Chinese Spy, Jury Hears
A New York academic and author secretly acted as an agent of the Chinese government in the United States, a prosecutor told jurors on Monday, betraying pro-democracy activists by feeding information to China's intelligence service.
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July 29, 2024
NIST Lays Out 200+ Ways To Tackle Generative AI Risks
The National Institute of Standards and Technology has recommended hundreds of actions that can be taken to address issues of data privacy, intellectual property, environmental impact and more raised by generative artificial intelligence.
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July 29, 2024
Judge Blocks Medical Records Co.'s Anti-Bot Captchas
A Maryland federal judge on Monday enjoined electronic medical records company PointClickCare from blocking nursing home analytics company Real Time Medical Systems from accessing patient data with automated bots, saying PCC's firewall wasn't justified by concerns over security or system speed.
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July 29, 2024
Utah Biz Groups Latest To Challenge Corp. Disclosure Law
Several small-business associations in Utah became the latest group to challenge the Corporate Transparency Act's disclosure requirements, telling a federal court Monday the statute violates several constitutional provisions, including the guarantee of due process.
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July 29, 2024
Skadden-Led Driverless Tech Startup WeRide Seeks US IPO
Autonomous driving technology developer WeRide Inc. has filed U.S. initial public offering plans, represented by Skadden Arps Slate Meagher & Flom LLP and underwriters' counsel Latham & Watkins LLP, potentially marking a rare U.S. listing from a Chinese company.
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July 29, 2024
Charter Pays $15M To End FCC's Network Outage Probe
Charter has agreed to shell out $15 million and create a novel cybersecurity program meant to resolve issues raised during a Federal Communications Commission probe of major network outages affecting 911 service, the FCC said Monday.
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July 29, 2024
Tenn. Republican Seeks To Block Net Neutrality In Senate
Tennessee Sen. Marsha Blackburn is trying to gut the Federal Communications Commission's net neutrality rules, mirroring an ongoing effort by House Republicans.
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July 29, 2024
Delaware Hospital Sues State Over 'Unconstitutional' New Law
The largest hospital system and healthcare provider in Delaware sued the state's governor and other officials in Delaware's Court of Chancery Monday, asserting that newly enacted legislation enabling a government-appointed board to review hospital costs is unconstitutional and should be struck down.
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July 29, 2024
Senate To Vote On Bills To Protect Kids Online
The Senate is poised to vote on Tuesday on a package of two major bipartisan bills to protect children online that could represent a watershed moment in technology regulation.
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July 29, 2024
Ga. Auto Salvage Chain Hit With Suit Over Harassing Texts
Pull-A-Part LLC on Friday was slapped with a proposed class action in Georgia federal court that accuses the Atlanta-based junkyard and auto salvage chain of sending unsolicited promotional text messages to consumers even after they asked to stop receiving them in violation of the Telephone Consumer Protection Act.
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July 29, 2024
Ex-Volunteer Hit With $30M Judgment For Filming Minor
A former youth swim team volunteer currently serving 25 years in federal prison for creating and distributing child pornography must pay $30 million to a girl he purportedly photographed in his bathroom without her knowledge when she was underage, a Connecticut state judge has ruled.
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July 29, 2024
'Grave' NatSec Concerns Justify TikTok Ban, DC Circ. Told
The U.S. government told the D.C. Circuit that TikTok's data collection practices and content recommendation algorithm threaten national security, in defending a federal law banning the social media platform from the United States unless it cuts ties with its Chinese parent company ByteDance.
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July 29, 2024
White Collar Update: 4 Developments To Watch
White-collar lawyers are on the lookout for U.S. Department of Justice actions targeting artificial intelligence "snake oil," aggressive pandemic-relief fraud prosecutions, and carrots for corporations and whistleblowers who expose misconduct. Here's a look at some key developments to watch in the second half of 2024.
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July 29, 2024
Ga. Health Providers Hit With Data Breach Class Action
Two Southeastern healthcare providers have been hit with a putative class action stemming from a 2023 cyberattack that allegedly compromised the information of more than 32,000 people, arguing the providers were asleep at the wheel as their patients' data was pilfered.
Expert Analysis
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Opinion
'Natural Person' Or Not, AI-Made IP Deserves Protection
The entire legal edifice rests on a determination that an artificial system is not a so-called natural person, and although this may appear to be straightforward on its face, rapid advances in technology may soon force us to revisit our understanding of a natural person, says Manav Das at McDonnell Boehnen.
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Lessons On Challenging Class Plaintiffs' Expert Testimony
In class actions seeking damages, plaintiffs are increasingly using expert opinions to establish predominance, but several recent rulings from California federal courts shed light on how defendants can respond, say Jennifer Romano and Raija Horstman at Crowell & Moring.
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Exploring An Alternative Model Of Litigation Finance
A new model of litigation finance, most aptly described as insurance-backed litigation funding, differs from traditional funding in two key ways, and the process of securing it involves three primary steps, say Bob Koneck, Christopher Le Neve Foster and Richard Butters at Atlantic Global Risk LLC.
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A GC's Guide To Multijurisdictional Regulatory Compliance
Overlapping cybersecurity regulation has created an increasingly fragmented regulatory landscape with elevated oversight for organizations across the globe, but general counsel can help develop a best-in-class approach to manage these complexities by building a compliance strategy holistically, say David Dunn and Meredith Griffanti at FTI Consulting.
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Series
Teaching Yoga Makes Me A Better Lawyer
Being a yoga instructor has helped me develop my confidence and authenticity, as well as stress management and people skills — all of which have crossed over into my career as an attorney, says Laura Gongaware at Clyde & Co.
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A Vision For Economic Clerkships In The Legal System
As courts handle increasingly complex damages analyses involving vast amounts of data, an economic clerkship program — integrating early-career economists into the judicial system — could improve legal outcomes and provide essential training to clerks, say Mona Birjandi at Data for Decisions and Matt Farber at Secretariat.
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Examining Illinois Genetic Privacy Law Amid Deluge Of Claims
After a federal court certified an Illinois Genetic Information Privacy Act class action in August, claims under the law have skyrocketed, so employers, insurers and others that collect health and genetic information should ensure compliance with the act to limit litigation risk, say attorneys at Squire Patton.
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8 Legal Issues Influencing Investors In The Creator Economy
The rapidly expanding digital creator economy — funding for which more than doubled in the U.S. in the first quarter — comes with its own set of unique legal issues investors must carefully consider before diving in, say Louis Lehot and Alan Pate at Foley & Lardner.
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Action Steps To Address New Restrictions On Outbound Data
Companies should immediately assess all their data-based operations so they can consider strategies to effectively mitigate new compliance risks brought on by recently implemented transaction restrictions, including a Justice Department proposal and landmark data legislation, say attorneys at Wiley.
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E-Discovery Quarterly: Recent Rulings On Text Message Data
Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.
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CFPB Reality Check: Video Game Cash Is Still Money
The Consumer Financial Protection Bureau's recent report examining payments within online video games indicates that financial services offered within the game marketplace are quickly evolving to the point where they are indistinguishable from traditional financial services subject to regulation, say attorneys at Sheppard Mullin.
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Keeping Up With Class Actions: A New Era Of Higher Stakes
Corporate defendants saw unprecedented settlement numbers across all areas of class action litigation in 2022 and 2023, and this year has kept pace so far, with three settlements that stand out for the nature of the claims and for their high dollar amounts, says Gerald Maatman at Duane Morris.
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How New Rule Would Change CFIUS Enforcement Powers
Before the May 15 comment deadline, companies may want to weigh in on proposed regulatory changes to enforcement and mitigation tools at the disposal of the Committee on Foreign Investment in the United States, including broadened subpoena powers, difficult new mitigation timelines and higher maximum penalties, say attorneys at Venable.
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8 Questions To Ask Before Final CISA Breach Reporting Rule
The Cybersecurity and Infrastructure Security Agency’s recently proposed cyber incident reporting requirements for critical infrastructure entities represent the overall approach CISA will take in its final rule, so companies should be asking key compliance questions now and preparing for a more complicated reporting regime, say Arianna Evers and Shannon Mercer at WilmerHale.
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Series
Swimming Makes Me A Better Lawyer
Years of participation in swimming events, especially in the open water, have proven to be ideal preparation for appellate arguments in court — just as you must put your trust in the ocean when competing in a swim event, you must do the same with the judicial process, says John Kulewicz at Vorys.