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July 30, 2024
Meta, TikTok Challenge 'Subway Surfing' Death Claims
TikTok and Meta Platforms have asked a New York court to separate claims against them in a suit over the death of a teen who allegedly took part in a "subway surfing" social media challenge, saying the claims against them are totally different from claims against a state transportation agency.
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July 30, 2024
FTX Exec Gets Prison Report Date Delayed After Dog Attack
A New York federal judge on Tuesday allowed ex-FTX executive Ryan Salame to delay his surrender date to begin his prison term from August to October, as he was forced to undergo medical treatment and surgery after being mauled by a German shepherd while visiting a friend's house last month.
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July 30, 2024
NYC Loses Injunction Bid In Texas Migrant Busing Suit
A New York state judge has denied New York City's bid to bar charter bus companies from transporting migrants from Texas, saying the state law the city leaned on is "essentially identical" to one the U.S. Supreme Court struck down in 1941.
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July 30, 2024
Ex-HFZ Capital Chief Can't Reduce Bail In $86M Fraud Case
A Manhattan judge on Tuesday denied, for now, a request by the former head of troubled real estate firm HFZ Capital Group to lower a hefty bail requirement so he can get out of Rikers Island while fighting $86 million theft and tax fraud charges.
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July 30, 2024
Legalization Foes Mount New Challenge To NY Pot Program
A group of anti-cannabis activists renewed their challenge to New York's proposal to use public funds to help marijuana retailers launch their businesses, alleging in a new state court lawsuit that the policy violates federal law.
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July 30, 2024
AI Co. Says Actors Can't Prove Voices Are Theirs In IP Suit
A startup that makes software to create voice-over narrations slammed a complaint in New York federal court from two voice actors who allege the company has used their voices without permission, saying they have not plausibly claimed that the voices they have heard on YouTube and other places are actually theirs and not a computer-generated synthetic voice.
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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
DC Circ. Tosses FERC's OK Of Northeast Pipeline Expansion
The D.C. Circuit on Tuesday threw out the Federal Energy Regulatory Commission's approval of a Northeast pipeline expansion, ruling that the agency overlooked the project's "enormous" greenhouse gas emissions and failed to properly consider the lack of market need for the added natural gas capacity.
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July 30, 2024
Feds, SEC Say Creator Of Crypto Co. BitClout Misled Investors
Federal prosecutors and the U.S. Securities and Exchange Commission announced parallel actions Tuesday against the founder of crypto project BitClout for allegedly duping investors and spending millions of proceeds for his own benefit.
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July 30, 2024
Randy Mastro Nominated As NYC Top Lawyer Amid Criticism
Renowned trial lawyer and King & Spalding LLP partner Randy M. Mastro was tapped to be New York City's next corporation counsel, Mayor Eric Adams announced Tuesday, over the objection of some city leaders.
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July 30, 2024
Milbank Guiding Chorus Aviation On $1.4B Sale Of Leasing Biz
Canada's Chorus Aviation Inc. said Tuesday it has agreed to sell its regional aircraft leasing business to investment funds managed by HPS Investment Partners for about CA$1.9 billion ($1.4 billion).
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July 30, 2024
Ackman's New Investment Fund Lowers IPO Target To $2B
Bill Ackman's new investment fund Pershing Square USA Ltd. set a $2 billion fundraising target for its initial public offering, down significantly from earlier estimates, according to a securities filing Tuesday, under guidance from Sullivan & Cromwell LLP and underwriters' counsel Skadden Arps Slate Meagher & Flom LLP.
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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
Live Nation Judge Tightens In-House Counsel's Access To Docs
A New York federal judge imposed new restrictions Monday on Live Nation in-house counsel's access to documents and testimony from witnesses from its rivals in the U.S. Department of Justice's antitrust lawsuit, tightening a days-old two-tiered system after hearing concerns from those competitors.
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July 29, 2024
Medical Co. Can't Get Alleged Fraudulent Arbitral Award Nixed
A New York federal judge has declined to vacate an arbitral award issued by a Swiss tribunal to a Singapore company in a dispute over a medical imaging joint venture, rejecting arguments that an agreement struck by the parties meant that a New York court could decide the issue.
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July 29, 2024
Rapper 6ix9ine Should Pay $73K For 'Stoopid' IP, Judge Says
Tekashi 6ix9ine should pay a Miami rapper more than $73,000 in copyright infringement damages plus attorney fees, a New York federal judge has recommended, finding that default judgment is appropriate because 6ix9ine has willfully failed to litigate the suit.
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July 29, 2024
2nd Circ. Backs $44.6M For Feds In Deadly Navy Ship Crash
The Second Circuit has upheld a New York federal judge's decision ordering Energetic Tank Inc. to pay the federal government more than $44.5 million in damages and prejudgment interest for its oil tanker's role in a deadly August 2017 collision with a U.S. Navy destroyer in the Singapore Strait.
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July 29, 2024
BofA, Citi Among Banks In $80M Deal To End Bond-Rig Suit
Units of Bank of America, Citigroup and other banking giants have agreed to pay $80 million to settle investor claims accusing them of conspiring to fix European government bond prices.
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July 29, 2024
7th Circ. Affirms Defective Protein Pouch Suit Came Too Late
The Seventh Circuit on Friday upheld a Wisconsin federal court's decision to dismiss a suit brought by a protein powder maker founded by a bodybuilder over the manufacturer of zipper pouches on the grounds that statutes of limitations and other laws barred its claims.
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July 29, 2024
USPS Backs Oshkosh's Sealing Bid In New Vehicle Plan Case
The U.S. Postal Service on Friday backed Oshkosh Defense's request to seal their confidential supplier contract terms in litigation challenging the agency's decision to replace its aging delivery fleet with only 62% electric vehicles, arguing rivals could use the information to undercut the USPS when negotiating their own supplier contracts.
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July 29, 2024
Fraudster Faces Florida Condo Eviction Over Chain-Smoking
A Florida luxury condominium association has brought a state court lawsuit against an admitted real estate fraudster and seeks to have him removed as a tenant over his chain-smoking, saying he broke the terms of his lease but continues to reside in his condo unit.
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July 29, 2024
Firm Partners Ask Fla. Court To Toss Investor's Derivative Suit
Two partners in a law firm have asked a Florida court to dismiss a derivative lawsuit brought by an investor claiming that they orchestrated a litigation funding fraud, arguing that the investor has no right to bring the suit without a vote from the other members of the company.
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July 29, 2024
SEIU Escapes Hospital Worker's Harassment Suit
A New York federal judge tossed a hospital worker's claims alleging a Service Employees International Union local failed to help address harassment she faced on the job, saying the claims against the union are preempted by federal law.
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July 29, 2024
2nd Circ. Won't Revive Crypto Org.'s NYT Defamation Suit
The Second Circuit refused to revive a Zurich-based cryptocurrency nonprofit's claims that The New York Times conspired with an analytics firm to defame the nonprofit, ruling Monday that the nonprofit had failed to show it was knowingly and recklessly misrepresented.
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July 29, 2024
Magistrate Eyes Cuts To Norfolk Southern Investors' Suit
A New York federal magistrate judge has recommended tossing a portion of a securities suit filed against Norfolk Southern Corp. in the wake of the East Palestine, Ohio, train derailment, reasoning that the retirement funds serving as lead plaintiffs fell short of pleading standards.
Expert Analysis
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A Look At Recent Challenges To SEC's Settlement 'Gag Rule'
Though they have been unsuccessful so far, opponents of the U.S. Securities and Exchange Commission's so-called gag rule, which prevents defendants from denying allegations when settling with the SEC, are becoming increasingly vocal and filing more challenges in recent years, say Mike Blankenship and Regina Maze at Winston & Strawn.
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Defense Attys Must Prep For Imminent AI Crime Enforcement
Given recent statements by U.S. Department of Justice officials, white collar practitioners should expect to encounter artificial intelligence in federal criminal enforcement in the near term, even in pending cases, say Jarrod Schaeffer and Scott Glicksman at Abell Eskew.
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2nd Circ. Ruling Clarifies When Demand Letters Are Claims
The Second Circuit’s decision last week in Pine Management v. Colony Insurance, affirming that an insurer had no obligation to defend an insured for claims made before the policy period, provides clarity on when presuit demands for relief constitute claims — an important issue that may be dispositive of coverage, says Bonnie Thompson at Lavin Rindner.
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Series
Serving As A Sheriff's Deputy Made Me A Better Lawyer
Skills developed during my work as a reserve deputy — where there was a need to always be prepared, decisive and articulate — transferred to my practice as an intellectual property litigator, and my experience taught me that clients often appreciate and relate to the desire to participate in extracurricular activities, says Michael Friedland at Friedland Cianfrani.
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Opinion
The SEC Is Engaging In Regulation By Destruction
The U.S. Securities and Exchange Commission's recent use of regulation by enforcement against digital assets indicates it's more interested in causing harm to crypto companies than providing guidance to the markets or protecting investors, says J.W. Verret at George Mason University.
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Former Minn. Chief Justice Instructs On Writing Better Briefs
Former Minnesota Supreme Court Chief Justice Lorie Gildea, now at Greenberg Traurig, offers strategies on writing more effective appellate briefs from her time on the bench.
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Studying NY, NJ Case Law On Employee Social Media Rights
While a New Jersey state appeals court has twice determined that an employee's termination by a private employer for social media posts is not prohibited, New York has yet to take a stand on the issue — so employers' decisions on such matters still need to be assessed on a case-by-case basis, say Julie Levinson Werner and Jessica Kriegsfeld at Lowenstein Sandler.
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ShapeShift Fine Epitomizes SEC's Crypto Policy, And Its Flaws
A recent U.S. Securities and Exchange Commission order imposing a fine on former cryptocurrency exchange ShapeShift for failing to register as a securities dealer showcases the SEC's regulation-by-enforcement approach, but the dissent by two commissioners raises valid concerns that the agency's embrace of ambiguity over clarity risks hampering the growth of the crypto economy, says Keith Blackman at Bracewell.
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2nd Circ. Adviser Liability Ruling May Shape SEC Enforcement
The Second Circuit’s recent decision in U.S. Securities and Exchange Commission v. Rashid, applying basic negligence principles to reverse a finding of investment adviser liability, provides a road map for future fraud enforcement proceedings, says Elisha Kobre at Bradley Arant.
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Stay Interviews Are Key To Retaining Legal Talent
Even as the economy shifts and layoffs continue, law firms still want to retain their top attorneys, and so-called stay interviews — informal conversations with employees to identify potential issues before they lead to turnover — can be a crucial tool for improving retention and morale, say Tina Cohen Nicol and Kate Reder Sheikh at Major Lindsey.
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New Concerns, Same Tune At This Year's SIFMA Conference
At this year's Securities Industry and Financial Markets Association conference on legal developments affecting the financial services industry, government regulators’ emphasis on whistleblowing and AI washing represented a new refrain in an increasingly familiar chorus calling for prompt and thorough corporate cooperation, say attorneys at Fried Frank.
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Take AG James' Suit Over Enviro Claims As A Warning
New York Attorney General Letitia James' recent suit against JBS USA Food Co. over allegedly misleading claims about its goal to reach net zero by 2040 indicates that challenges to green claims are likely to continue, and that companies should think twice about ignoring National Advertising Division recommendations, say attorneys at Kelley Drye.
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SC Ruling Reinforces All Sums Coverage Trend
A South Carolina state court's recent ruling in Covil v. Pennsylvania National is the latest in a series of decisions, dating back to the 2016 New York Court of Appeals ruling in Viking Pump, that reject insurers' pro rata allocation argument, further supporting that all sums coverage is required whenever a loss could be covered under a policy in any other year, say Raymond Mascia and Thomas Dupont at Anderson Kill.
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And Now A Word From The Panel: Benefits Of MDL Transfers
A recent order from the Judicial Panel on Multidistrict Litigation highlights a critical part of the panel's work — moving cases into an existing MDL — and serves as a reminder that common arguments against such transfers don't outweigh the benefits of coordinating discovery and utilizing lead counsel, says Alan Rothman at Sidley Austin.
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Opinion
Expanded Detention Will Not Solve Immigration Challenges
The recently defeated bipartisan border package included provisions that would increase funding for detention, a costly distraction from reforms like improved adjudication and legal representation that could address legitimate economic and public safety concerns at much lower cost, say Alexandra Dufresne and Kyle Wolf at Cornell University.