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Cybersecurity & Privacy
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January 17, 2025
Google Judge Says Apple Intervention Could Open 'Floodgates'
A D.C. federal judge seemed skeptical Friday about allowing Apple Inc. to intervene in legal wrangling between Google and the U.S. Department of Justice over the proper fix for Google's search monopoly, raising concerns that granting intervention would pave the way for other companies to do the same.
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January 17, 2025
Trump Says He'd Be Harmed By Mar-A-Lago Report's Release
President-elect Donald Trump on Friday urged a Florida federal judge to prevent the release of a report on his criminal case charging him with unlawfully hoarding classified documents at Mar-a-Lago after his first term in office, saying it would result in "very grave" harm to him personally and while serving as president.
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January 17, 2025
Ex Raided Conn. Burrito Joint's TM, Co. Accounts, Suit Says
The owner of Connecticut Tex-Mex restaurant and coffeehouse TJ's Longboard Burritos LLC told a Connecticut federal court that his ex-girlfriend launched a similar nearby eatery called TJ's Burritos Bloomfield LLC and is responsible for changes to his passwords, his cook's departure, bills to his accounts, disappearing tequila and tanking his sales by 40%.
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January 17, 2025
Video Game Maker To Pay $20M For Child Privacy Violations
The maker of the video game "Genshin Impact" has agreed to pay $20 million and block children under 16 from making in-game purchases without parental permission to resolve the Federal Trade Commission's claims that the company misled children and other users about the actual costs of purchases and illegally collected children's personal information.
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January 17, 2025
MultiPlan Wants Antitrust Claims Over Pricing Tools Tossed
MultiPlan and several major insurance companies urged an Illinois federal court to toss claims that they schemed to fix reimbursement rates, saying the pricing tools at issue do not hurt the healthcare providers that are bringing the case.
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January 17, 2025
Up Next At High Court: Forum Shopping & TCPA Definitions
The U.S. Supreme Court will return to the bench Tuesday for a short argument session, during which the justices will consider the U.S. Food and Drug Administration's bid to limit forum shopping by manufacturers challenging agency decisions and how much deference district courts must give to Federal Communications Commission orders.
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January 17, 2025
Crypto Coder Sues Feds To Block 'Money Transmitter' Label
Crypto policy think tank Coin Center is supporting one of its fellows in suing the federal government over its allegedly "mistaken view" of how criminal money transmission statutes apply to crypto software.
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January 17, 2025
Honda Credit Arm To Pay $12.8M Over Reporting Failures
The Consumer Financial Protection Bureau on Friday ordered American Honda Finance Corp. to pay $12.8 million to resolve claims that it reported inaccurate information that affected the credit reports of 300,000 people who drive Honda and Acura vehicles.
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January 17, 2025
CFPB Fines Equifax $15M Over Consumer Dispute Issues
Equifax Inc. and Equifax Information Services LLC must pay a $15 million fine over its failure to investigate consumer disputes properly, the Consumer Financial Protection Bureau said Friday.
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January 17, 2025
LA Crypto 'Godfather' Admits To $36M Meta Hacking Fraud
A Los Angeles-based cryptocurrency founder who called himself "The Godfather" will plead guilty to earning $36 million through the sale of hacked Meta Platforms advertising accounts and evading taxes on the fraudulent profits, according to federal court documents unsealed Friday,
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January 17, 2025
FCC Mandates More Efforts To Combat Telecom Cyber Threats
The Federal Communications Commission has provided details of new requirements on telecom providers to counter cybersecurity threats, a late-hour move criticized several days ago by the agency's incoming Republican leadership before the new rules were formally released.
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January 17, 2025
DHS Sec. Nominee Faces Senators Ahead Of Inauguration
Appearing before senators on Friday, South Dakota Gov. Kristi Noem, nominee for secretary of the U.S. Department of Homeland Security, previewed the incoming Trump administration's crackdown on immigration and fielded questions on distribution of disaster aid in wake of the Los Angeles wildfires.
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January 17, 2025
Insurer Tried To 'Embarrass' Cadwalader, NC Court Told
Cadwalader Wickersham & Taft LLP has accused a Lloyd's of London syndicate of attempting to "embarrass" the firm by publicly revealing the firm's data breach recoveries amid the insurer's bid to toss a coverage suit stemming from a 2022 hack.
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January 17, 2025
EBay Can't Appeal Punitive Damages Ruling In Stalking Case
A Massachusetts federal judge has denied a request by eBay Inc. to ask the First Circuit whether it should have to face the possibility of punitive damages in a civil suit brought by a Bay State couple who say the e-commerce company waged a stalking and intimidation campaign against them.
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January 17, 2025
Supreme Court Upholds TikTok Sale-Or-Ban Law
The U.S. Supreme Court upheld a federal law Friday requiring TikTok to be divested from its Chinese parent company by Sunday or face a nationwide ban.
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January 16, 2025
'It Ends With Us' Star Says Blake Lively Made Him Scapegoat
"It Ends With Us" director and actor Justin Baldoni on Thursday lodged a $400 million defamation and extortion suit against his co-star Blake Lively and her husband, Ryan Reynolds, claiming Lively fabricated sexual harassment claims against Baldoni to distract from her "self-inflicted press catastrophe."
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January 16, 2025
GM, OnStar Agree To FTC's Ban On Location Data Sharing
General Motors and OnStar agreed to a five-year ban on disclosing geolocation and driver behavior data to consumer reporting agencies to resolve the Federal Trade Commission's allegations that the companies didn't get drivers' consent before sharing, the agency announced Thursday.
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January 16, 2025
New Proposal For Controlled Information Not Entirely Realistic
A proposed rule intended to clear up confusion and better protect controlled unclassified information via a governmentwide standard has created new uncertainties and could lead to unattainable demands such as unrealistic incident reporting deadlines.
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January 16, 2025
Biden Makes Final Push To Fortify US Cybersecurity Posture
President Joe Biden took the latest step toward boosting the nation's cybersecurity Thursday, issuing an executive order that requires software vendors that work with the government to prove they're meeting certain security standards and promote the use of artificial intelligence for cyberdefense.
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January 16, 2025
GOP Describes FTC Dems' Last Days As 'Farcical,' 'Senseless'
Democratic enforcers at the U.S. Department of Justice and Federal Trade Commission are on a blitz of guidelines and complaints in their last days at the agencies, a push increasingly assailed by FTC Republicans who've said Democratic-specific efforts to enshrine antitrust safeguards for workers and more "has no future."
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January 16, 2025
Gov't Wants Time During Epic, Google's 9th Circ. Face-Off
When Epic Games and Google face off next month at the Ninth Circuit, the federal government is hoping it will get a few minutes to state its case for why the appellate court shouldn't overturn an order forcing Google to allow alternative app stores on its platform, the government said in a recent motion.
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January 16, 2025
Allstate Hit With Class Action Over Driver Data Collection
Allstate illegally obtained the personal driving data of millions of policyholders via software embedded in third-party apps and secretly used that data to hike premiums, deny claims or drop policyholders from coverage altogether, according to a proposed class action filed in Illinois federal court.
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January 16, 2025
9th Circ. Skeptical Of Undoing Microsoft Win In Wiretap Case
The Ninth Circuit on Thursday appeared to lean toward not reviving a proposed class action alleging a website operator improperly used a Microsoft program to track a shopper's online activity, with two of the three judges on a panel questioning how collecting internet browsing data was an illegal wiretap.
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January 16, 2025
Initial Green Light Given to UnitedHealth's Deal In TCPA Suit
A Washington federal judge gave a $2.5 million settlement between UnitedHealthcare and a class of Telephone Consumer Protection Act claimants preliminary approval, signing off on a deal that class counsel says would net each class member over $90, if all applied.
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January 16, 2025
Amazon BIPA Suit Over Alleged NBA 2K Face Scans Settled
A gamer said Wednesday he reached a settlement with Amazon to end a proposed class action accusing the tech giant's web services provider of collecting facial scans of teens playing the popular NBA 2K video game without their knowledge or consent, according to a notice filed in Washington federal court.
Expert Analysis
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What The SEC Liquidity Risk Management Amendments Entail
Fund managers should be cognizant of the U.S. Security and Exchange Commission's recent changes to certain reporting requirements and guidance related to open-end fund liquidity risk management programs, and update their filing systems if need be, says Rachael Schwartz at Sullivan & Worcester.
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It's No Longer Enough For Firms To Be Trusted Advisers
Amid fierce competition for business, the transactional “trusted adviser” paradigm from which most firms operate is no longer sufficient — they should instead aim to become trusted partners with their most valuable clients, says Stuart Maister at Strategic Narrative.
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Service Agreement Lessons From July's Global Tech Outage
The worldwide outages recently caused by Crowdstrike Holdings' misconfigured software update highlight the need to evaluate potential IT vendors, negotiate certain service agreement terms, and review existing agreements and diligence forms to help prevent future disruptions and mitigate the fallout should one occur, say attorneys at WilmerHale.
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Calif. Bill, NTIA Report Illustrate Open-Model AI Safety Debate
The National Telecommunications and Information Administration’s balanced recommendations for preventing misuse of open artificial intelligence models, contrasted with a more aggressive California bill, demonstrate an evolving regulatory debate about balancing democratic access to this powerful new technology against potential risks to the public, say Stuart Meyer and Fredrick Tsang at Fenwick.
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Complying With FTC's Final Rule On Sham Online Reviews
The Federal Trade Commission's final rule on deceptive acts and practices in online reviews and testimonials is effective Oct. 21, and some practice tips can help businesses avert noncompliance risks, say Airina Rodrigues and Jonathan Sandler at Brownstein Hyatt.
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Opinion
A Fuzzy Label With Bite: FTC Must Define Surveillance Pricing
The Federal Trade Commission recently issued orders to eight companies — including Mastercard, McKinsey and Chase — seeking information on "surveillance pricing," but the order doesn't explain the term or make the distinction between legal and illegal practices, leaving any company that uses personalized pricing in the dark, says Chris Wlach at Huge.
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New Employer Liability Risks In Old Ill. Genetic Privacy Law
Illinois’ Genetic Information Privacy Act has been litigated very sparsely, but two recent federal court decisions — Taylor v. Union Pacific and McKnight v. United Airlines — holding that preemployment family medical history questions violated the 1998 law may encourage more lawsuits, say Peter Berk and Madison Shepley at Clark Hill.
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How States Are Approaching AI Workplace Discrimination
As legislators across the U.S. have begun addressing algorithmic discrimination in the workplace, attorneys at Reed Smith provide an overview of the status, applicability and provisions of 13 state and local bills.
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Navigating A Potpourri Of Possible Transparency Act Pitfalls
Despite the Financial Crimes Enforcement Network's continued release of guidance for complying with the Corporate Transparency Act, its interpretation remains in flux, making it important for companies to understand potentially problematic areas of ambiguity in the practical application of the law, say attorneys at Sidley.
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The Risks Of Employee Political Discourse On Social Media
As election season enters its final stretch and employees increasingly engage in political speech on social media, employers should beware the liability risks and consider policies that negotiate the line between employees' rights and the limits on those rights, say Bradford Kelley and James McGehee at Littler.
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A Preview Of AI Priorities Under The Next President
For the first time in a presidential election, both of the leading candidates and their parties have been vocal about artificial intelligence policy, offering clues on the future of regulation as AI continues to advance and congressional action continues to stall, say attorneys at Mintz.
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How Methods Are Evolving In Textualist Interpretations
Textualists at the U.S. Supreme Court are increasingly considering new methods such as corpus linguistics and surveys to evaluate what a statute's text communicates to an ordinary reader, while lower courts even mull large language models like ChatGPT as supplements, says Kevin Tobia at Georgetown Law.
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Finding Coverage For Online Retail Privacy Class Actions
Following recent court rulings interpreting state invasion of privacy and electronic surveillance statutes triggering a surge in the filing of privacy class actions against online retailers, companies should examine their various insurance policies, including E&O and D&O, for defense coverage of these claims, says Alison Gaske at Gilbert LLP.
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The State Law Landscape After Justices' Social Media Ruling
Following the U.S. Supreme Court’s recent NetChoice ruling on social media platforms’ First Amendment rights, it’s still unclear if state content moderation laws are constitutional, leaving online operators to face a patchwork of regulation, and the potential for the issue to return to the high court, say attorneys at Crowell & Moring.
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Old Employment Law Principles Can Answer New AI Concerns
Despite growing legal and regulatory concerns about how artificial intelligence tools may affect employment decisions and worker rights, companies should take comfort in knowing that familiar principles of employment law and established compliance regimes can still largely address these new twists on old questions, say attorneys at Foley & Lardner.