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Retail & E-Commerce
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July 23, 2024
Amazon Fights To Arbitrate Sellers' Misclassification Claims
Amazon urged a California appellate panel on Tuesday to compel arbitration for individual claims from two sellers accusing the online retailer of misclassifying them as independent contractors, and to direct the trial court to toss their representative claims under the state's Private Attorneys General Act.
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July 23, 2024
The Biggest Trademark Rulings Of 2024: A Midyear Report
The U.S. Supreme Court rejected a California attorney's arguments that registering "Trump Too Small" as a trademark constituted speech protected by the First Amendment, and a split Ninth Circuit concluded district courts have the power to cancel trademark applications during litigation. Here's a look at some of the most notable trademark decisions so far this year.
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July 23, 2024
General Mills Settles 2012 Suit Over 'All Natural' Kix Cereal
Consumers have reached a settlement with General Mills Inc. to resolve a 2012 suit alleging it lied about Kix cereal being "all natural" even though it contains bioengineered ingredients, according to a New Jersey federal court order.
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July 23, 2024
India Eyes End Of Digital Tax For E-Commerce, But Not Ads
Foreign e-commerce companies would be exempted from India's equalization levy, a 2% digital tax, but online advertisers would continue to pay a 6% rate on gross revenues sourced to Indian customers under a budget bill presented Tuesday by the government.
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July 23, 2024
Senate Dems Roll Out Bill To Codify Chevron Deference
Sen. Elizabeth Warren, D-Mass., led a group of Democratic senators Tuesday in introducing a bill to codify the now-defunct doctrine of Chevron deference after it was struck down by the U.S. Supreme Court last month.
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July 23, 2024
Mass. Pig Farming Law Survives Pork Industry Challenge
A Massachusetts federal judge on Tuesday shot down a suit from out-of-state hog farmers and food producers challenging a state law that bans the sale of pork from pigs that are kept in tightly confined spaces, saying nothing in the law conflicts with federal statutes.
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July 23, 2024
Wyoming Hemp Regulations Not Preempted By 2018 Farm Bill
A Wyoming federal judge won't block enforcement of a newly enacted law regulating hemp-derived intoxicating products, saying the 2018 Farm Bill that legalized hemp products doesn't preempt the regulation.
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July 23, 2024
Whole Foods Settles With Ex-Worker In BLM Mask Dispute
Whole Foods Market has reached a tentative settlement with a former employee at its Cambridge, Massachusetts, store who says she was fired in 2020 in retaliation for wearing a Black Lives Matter mask, a month before the case was set to go to trial.
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July 22, 2024
Beauty Co. Misled Investors Ahead Of Its $424M IPO, Suit Says
Israeli beauty and wellness products company Oddity Tech Ltd. has been hit with a potential class action in New York federal court by an investor who alleges that the company overstated its artificial intelligence technology capabilities before its $424 million initial public offering last year.
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July 22, 2024
Texas Man Cops To Laundering Nearly $8.5M In Scam Hauls
A Texas man has pled guilty to conspiring to launder funds totaling nearly $8.8 million obtained in schemes ranging from romance scams to a phishing attack on a Maryland County treasurer's office, prosecutors announced.
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July 22, 2024
House Dems Urge Tai To End Investor-State Dispute Deals
House Democrats are urging the U.S. Trade Representative to nix a mechanism allowing foreign investors to challenge government policies outside Western Hemisphere countries' judicial systems, saying corporations have used it as "ransom" to gain more industry-friendly results.
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July 22, 2024
Trade Court Nixes Steel Duty Case Filed Years Too Late
The U.S. Court of International Trade dismissed an importer's efforts to escape a duty on Turkish steel, saying Monday it should have sued once the duty was greenlighted, even if the legal grounds to do so weren't yet available.
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July 22, 2024
Nebraska AG Stops Shops From Selling Synthetic THC
Six Nebraska smoke shops have agreed to stop selling synthetic THC products, according to an announcement by the state's Attorney General's Office, which has sued more than a dozen retailers for violations of state consumer protection and food safety laws.
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July 22, 2024
99 Cents Only Pivots To New Buyers After $8M Bid Rescinded
Discount retail chain 99 Cents Only asked a Delaware bankruptcy court to approve alternative sales for two California real estate parcels after the winning bidder who submitted a $8 million offer failed to close the deal over the last two months.
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July 22, 2024
In Transfer Row, Live Nation Calls DOJ Case Merger Deal 2.0
Live Nation and Ticketmaster formally asked a skeptical New York federal judge to transfer the U.S. Department of Justice antitrust lawsuit to Washington, D.C., arguing the case clearly grows out of an underlying 2010 deal clearing the merger the government now wants unwound.
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July 22, 2024
Merchants Seek Pause Of Visa, MasterCard Swipe-Fee Deal
A group of merchants who use payment company Square's services to accept cards has asked a New York federal judge to pause the settlement of a massive swipe-fee antitrust litigation against Visa and Mastercard while they pursue a Second Circuit appeal of her ruling that they're bound by the deal.
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July 22, 2024
Sullivan, Freshfields Steer $905M Goodyear Off-Road Biz Sale
Sullivan & Cromwell LLP and Freshfields Bruckhaus Deringer guided the $905 million sale of Goodyear Tire & Rubber Co.'s off-the-road tire business to Yokohama Rubber Co. Ltd. except for the part of that business providing off-road tires to the U.S. military and other defense entities, the companies announced Monday.
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July 22, 2024
Catching Up With Delaware's Chancery Court
A $6 million bank fee, a $42.5 million shopping mall deal, some questionable Amazon deliveries and long-ago expired ketchup: it was all part of the comings and goings in Delaware's Court of Chancery last week. New cases involved mining and cybersecurity companies, board takeovers, "weaponized" director election provisions, and legal fees following a $3.1 billion telecom merger. In case you missed it, here's the latest from the Chancery Court.
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July 22, 2024
Hoka Accused Of Fixing Retail Prices As Trial Kicks Off
A British running shoe store chain on Monday accused the sneaker maker behind Hoka of fixing retail prices by blocking the seller from using an online discount store, kicking off its trial at the U.K.'s specialist antitrust tribunal.
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July 19, 2024
No Duty On Feds To Accept Importer's Late Filings, US Biz Say
The U.S. Department of Commerce was within its rights to reject a Vietnamese pipe company's sixth circumvention probe extension request over the importer's claim for extra time, domestic pipe makers told the U.S. Court of International Trade Friday.
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July 19, 2024
FTC Wants To Block Kroger & Albertsons' 'Principal Defense'
Federal Trade Commission staffers want to block Kroger and Albertsons from using their main defense to an in-house merger challenge — the plan to sell off 579 stores — or otherwise force the companies to produce documents so far protected as privileged, according to a recently public filing.
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July 19, 2024
Kroger Could Delay Merger Closing To Avoid Colo. Hearing
Kroger Co. told a Colorado state judge Friday that it is negotiating a potential agreement with the state to delay the closing date for its proposed merger with Albertsons until November or after the court rules on a permanent injunction, a proposal the grocer said was aimed at avoiding a hearing next month.
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July 19, 2024
Trade Commission Advances Chinese Vanillin Probes
The four commissioners of the U.S. International Trade Commission voted in favor of advancing antidumping and countervailing duty probes into vanillin from China on Friday following a petition filed last month by chemical company Solvay USA LLC.
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July 19, 2024
Feds Taxed $6M Race Car Like Any Old Jalopy, Importer Says
Importers have accused U.S. Customs and Border Protection in a new lawsuit of misclassifying a $5.6 million 1955 Jaguar sports car as being subject to a 2.5% duty imposed on common "station wagons and racing cars" instead of classifying the vintage vehicle as a duty-free collectible.
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July 19, 2024
Amazon Gets Tainted Eye Drop Suit Pared Down
A Pennsylvania federal judge has trimmed claims from a woman's lawsuit against Amazon and multiple drug companies alleging she had to have her left eye surgically removed after using EzriCare eye drops linked to an outbreak of an infectious bacteria.
Expert Analysis
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A Post-Mortem Analysis Of Stroock's Demise
After the dissolution of 147-year-old firm Stroock late last year shook up the legal world, a post-mortem analysis of the data reveals a long list of warning signs preceding the firm’s collapse — and provides some insight into how other firms might avoid the same disastrous fate, says Craig Savitzky at Leopard Solutions.
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Retailers Must Be Mindful Of Sale Ads As Class Actions Rise
A recent uptick in class actions filed against retailers over a breadth of allegedly deceptive pricing practices — including misleading reference prices for sales and discounts offered on a perpetual basis — show no sign of slowing down, indicating that class counsel are laser-focused on challenging advertising strategies, say Louis DiLorenzo and Paavana Kumar at Davis+Gilbert.
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NY's Revamped Card Surcharge Ban Is Unique Among States
Newly revised New York legislation bolsters the state's ban on credit card surcharges, potentially reinvigorating similar laws across the country despite the fact that many of them have been ruled unconstitutional, say Tom Witherspoon and Audrey Carroll at Stinson.
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Legislative And Litigation Trends In Environmental Advertising
Companies that tout their products' environmental benefits can significantly reduce the risk that they will face allegations of greenwashing by staying up to date on related Federal Trade Commission guidance, state requirements and litigation trends, say Raqiyyah Pippins and Kelsie Sicinski at Arnold & Porter.
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What's On The Horizon In Attorney General Enforcement
A look at recent attorney general actions, especially in the areas of antitrust and artificial intelligence, can help inform businesses on what they should expect in terms of enforcement trends as 10 attorney general races play out in 2024, say attorneys at Cozen O'Connor.
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2nd Circ. Ruling Will Guide Social Media Account Ownership
The Second Circuit’s recent decision in JLM Couture v. Gutman — which held that ownership of social media accounts must be resolved using traditional property law analysis — will guide employers and employees alike in future cases, and underscores the importance of express agreements in establishing ownership of social media accounts, says Joshua Glasgow at Phillips Lytle.
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Del. Segway Dismissal Suggests Execs Not Liable For Biz Risk
While the debate continues within the Delaware Chancery Court over whether Caremark liability applies to matters of pure business risk, the court's recent rejection of Segway’s suit against the ex-president who oversaw financial difficulties suggests the court is uninterested in undermining the deference the business judgment rule grants corporate fiduciaries, say attorneys at Dechert.
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Exporters Should Approach Self-Disclosure With Caution
A January Bureau of Industry and Security memorandum created an abbreviated process for disclosing export control violations that lack aggravating factors, but deciding which disclosure method to utilize remains a complex strategic undertaking to which companies must give careful consideration, say attorneys at Covington.
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Series
Coaching High School Wrestling Makes Me A Better Lawyer
Coaching my son’s high school wrestling team has been great fun, but it’s also demonstrated how a legal career can benefit from certain experiences, such as embracing the unknown, studying the rules and engaging with new people, says Richard Davis at Maynard Nexsen.
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Freight Forwarders And Common Carriers: Know Your Cargo
Freight forwarders and other nonprincipal parties involved in global cargo movement should follow the guidance in the multi-agency know-your-cargo compliance note to avoid enforcement actions should they fail to spot evasive tactics used in supply chains to circumvent U.S. sanctions and export controls, say attorneys at Venable.
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SG's Office Is Case Study To Help Close Legal Gender Gap
As women continue to be underrepresented in the upper echelons of the legal profession, law firms could learn from the example set by the Office of the Solicitor General, where culture and workplace policies have helped foster greater gender equality, say attorneys at Ocean Tomo.
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A Refresher On Alcohol Sponsorships Before The Super Bowl
As millions of people will see in Super Bowl commercials Sunday, celebrity sponsorships continue to be a valuable tool for alcohol beverage marketers — and those looking to better target audiences must understand how regulation of the alcohol industry affects these deals, say attorneys at McDermott.
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Opinion
Food Safety Bill Needed To Protect Kids From Heavy Metals
The recent announcement by the Centers for Disease Control and Prevention that hundreds of children may have been exposed to unsafe lead levels in applesauce highlights the continuing failure by Congress to pass legislation that would require baby food manufacturers to ensure safer levels of heavy metals in their products, says Vineet Dubey at Custodio & Dubey.
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What Brands Must Know For Calif. Recycle Label Compliance
A brand that stamps nonrecyclable packaging with the chasing arrows symbol could face liability under California's new law on labeling recyclable material, so brand owners should keep an eye on the state's pending survey process to identify which materials meet the criteria before requirements go into effect, say attorneys at ArentFox Schiff.
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Del. Dispatch: Clarification On Fiduciary Duties Of Controllers
The Delaware Chancery Court’s January opinion in a Sears Hometown and Outlet Stores' stockholder dispute — holding that a controlling stockholder owes the company and minority shareholders some fiduciary duties when selling shares or voting to change the status quo — suggests instances where investors opposing board decisions should tread carefully, say attorneys at Fried Frank.