Securities

  • January 30, 2025

    YouTube's 'Nelk Boys' Sued Over 'Snake-Oil' NFTs

    A buyer of an apparently worthless crypto product has filed suit against a pair of influencers behind the YouTube channel "Nelk Boys," calling them "snake-oil salesmen" and claiming they talked up the products online, saying they were valuable when, in reality, the promised perks and returns on investment never materialized.

  • January 30, 2025

    SEC Eyes Pretrial Win On $57M Fraud After Lindberg Plea Deal

    The U.S. Securities and Exchange Commission asked a North Carolina federal judge to give it a pretrial win on its fraud claims against convicted former insurance mogul Greg Lindberg and his investment adviser firm, arguing multiple convictions in parallel criminal cases against Lindberg and others are a "straightforward" indicator of his liability.

  • January 30, 2025

    Chancery Reverses Magistrate Toss Of Paramount Doc Suit

    A Paramount Global pension fund stockholder has won a Delaware Court of Chancery reversal of a magistrate's dismissal of a suit for company books and records on events surrounding a proposed multibillion-dollar merger between Paramount and Skydance Media, in a decision heavily focused on unnamed sources.

  • January 30, 2025

    NC Biz Court Bulletin: Sanctions Miss, Philip Morris Refund

    In the second half of January, the North Carolina Business Court tussled with sanctions against a biogas company, heard claims an insurer tried to deliberately embarrass Cadwalader Wickersham & Taft LLP and ordered an $11 million tax refund for Philip Morris.

  • January 30, 2025

    SCOTUSblog Publisher Can't Shield Home From Forfeiture

    SCOTUSblog publisher Tom Goldstein won't be able to shield his Washington, D.C., residence from forfeiture by substituting various properties in South Carolina as he battles charges that he dodged taxes and used his law firm's money to pay off gambling debts.

  • January 29, 2025

    'DO NOT RESPOND': CFPB Union Calls Buyout Email A Trap

    The Consumer Financial Protection Bureau's union has urged staff at the agency to refrain from responding to the Trump administration's buyout offer for federal employees, describing it as a potential trap and suggesting they consider marking it as spam instead.

  • January 29, 2025

    Binary Options Fraudsters Must Pay $451.6M To CFTC

    An Illinois federal judge on Tuesday ordered three Israeli businessmen and the overseas businesses they owned or ran to pay over $451.6 million to the Commodity Futures Trading Commission, holding them liable for lying about the profitability of binary options transactions and misappropriating customer funds.

  • January 29, 2025

    SEC Says PE Firm Defrauded Investors In $1B Fund

    The U.S. Securities and Exchange Commission sued a private equity firm in Florida federal court Wednesday, alleging that it defrauded investors in a $1 billion fund by, among other things, falsely promising to segregate their assets and by transferring tens of millions of dollars into bank accounts held by the fund's leading executives.

  • January 29, 2025

    SEC Wins $11.3M In Texas Oil Investment Fraud Case

    A Texas federal judge ruled in favor of the U.S. Securities Exchange Commission in an 11-year-old case accusing brokers of soliciting more than 340 "partners" to invest in drilling projects that were actually unregistered investment vehicles, granting the request for over $11 million in disgorgement, interest and a civil penalty from one of the brokers and his companies.

  • January 29, 2025

    Sports Co., Ex-CEO Must Pay $1.8M In SEC Fraud Suit

    A D.C. federal judge has ordered sports business Crystal World, its ousted CEO and a related investment group to pay approximately $1.8 million in disgorgement and civil penalties for securities violations, lowering the U.S. Securities and Exchange Commission's bid for a $4.1 million total judgment.

  • January 29, 2025

    Roomba Maker Escapes Suit Over Scuttled Amazon Merger

    A Massachusetts federal judge has permanently thrown out a shareholder class action accusing iRobot Corp. of misleading investors about expected regulatory opposition that ultimately led to the abandonment of a proposed $1.7 billion merger with Amazon, saying "the pleading process ought not be used as a trial balloon, with repeated bites at the apple."

  • January 29, 2025

    Dentons Taps SEC Enforcement Vet From Morrison Cohen

    Dentons has brought on a former U.S. Securities and Exchange Commission enforcement attorney from Morrison Cohen LLP, where his work made headlines when he won a rare sanctions order against the regulator over its handling of a case against a client, the crypto project known as Debt Box. 

  • January 29, 2025

    Del. Justices Mull 'Nuanced' T-Mobile Data Breach Claims

    Delaware's chief justice pressed an attorney for T-Mobile Corp. stockholders Wednesday on what the attorney called a "nuanced" derivative claim that the company's board wrongly failed to pursue damages for massive data breaches after its controlling stockholder pressed for adoption of a vulnerable data sharing program.

  • January 29, 2025

    German National Again Ordered To Pay $4.6M In Fraud

    A Massachusetts federal judge on Wednesday ordered a German national to hand over $4.6 million in profits and interest from a multinational pump-and-dump scheme, money that the government says was parked overseas by his son.

  • January 29, 2025

    Tom Goldstein Seeks To Shield DC Home In Tax Crimes Case

    Appellate lawyer and SCOTUSblog publisher Tom Goldstein asked a Maryland federal judge Wednesday if he could put up three South Carolina properties as collateral for his pretrial release in place of his Washington, D.C., home as he faces charges of tax evasion and mortgage fraud.

  • January 29, 2025

    SCOTUSBlog Publisher Faces Tough Odds In Tax Crimes Case

    SCOTUSblog publisher Tom Goldstein, an expert U.S. Supreme Court lawyer accused of paying gambling debts with funds from his law firm and dodging taxes, faces an uphill battle given the considerable amount of evidence the government has already included in an indictment against him, attorneys told Law360. 

  • January 29, 2025

    SPAC Investors Sue In Del. Over Conflicted Concert Co. Deal

    Investors of a special purpose acquisition company have sued the venture's principals in Delaware Chancery Court, accusing them of steering the already cash-poor company into a conflicted deal to take public a concert promoter affiliated with a SPAC creditor that had scant luck beyond events involving a 1970s "one-hit wonder."

  • January 29, 2025

    4 Questions About Trump's Federal Worker Resignation Policy

    President Donald Trump’s offer of letting federal workers resign with several months of paid administrative leave raises questions about its legality and whether workers will actually get paid, attorneys said. Here, Law360 explores four questions that stem from the policy.

  • January 29, 2025

    Jenzabar Tells Del. Justices Investor Delay Sinks $26M Award

    An attorney for the founder of a higher education software company told Delaware's Supreme Court on Wednesday that shareholders moved too late to recover on claims they were kept in the dark when millions in stock purchase warrants were allowed to expire without notice that they could invest in a follow-on opportunity.

  • January 29, 2025

    Southwest's Plan Oversight Cost Workers Millions, Court Told

    Southwest Airlines cost workers millions of dollars in retirement savings by failing to ax a costly and underperforming investment fund from its combined $14 billion retirement plans, according to a proposed class action filed in Texas federal court.

  • January 29, 2025

    Jurors Find Fund Can Keep $11M From Short-Swing Trades

    A Denver federal jury unanimously found a hedge fund is exempt from a law that would otherwise require it to return $11 million in profits from the short-swing trades of a biopharmaceutical company's stock, delivering a verdict after less than an hour of deliberation Wednesday.

  • January 29, 2025

    Milbank Adds Ex-Skadden Financial Restructuring Pro In NY

    Milbank LLP has added a corporate restructuring attorney previously with Skadden Arps Slate Meagher & Flom LLP as a partner in its New York office, the firm has announced.

  • January 28, 2025

    Trump Tells Federal Workers They're Welcome To Resign

    The Trump administration on Tuesday emailed about 2 million federal employees offering them the option to resign but continue to be paid to the end of September, in an effort to implement a campaign promise to drastically cut the federal workforce and only keep employees who are "loyal" and "trustworthy."

  • January 28, 2025

    GigaCloud Partially Escapes Suit Over Revenue, Tech Claims

    GigaCloud Technology Inc. and its top brass have partially escaped a proposed class action alleging it misrepresented its operating metrics and revenues and use of artificial intelligence, with a New York federal judge saying that a federal securities law violation "cannot be premised upon a company's disclosure of accurate historical data."

  • January 28, 2025

    Capri Investors Sue Over Scrapped $8.5B Tapestry Merger

    Fashion brand giants Capri Holdings Ltd. and Tapestry Inc. misled investors about potential antitrust regulatory issues associated with their planned $8.5 billion merger that ultimately led to the deal's failure and investor losses, according to a proposed securities class action filed Tuesday in Delaware federal court.

Expert Analysis

  • How Crypto Cos. Can Take Advantage Of 'Mini-IPOs'

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    Against the backdrop of U.S. Securities and Exchange Commission enforcement in the crypto space, mini-initial public offerings, with less burdensome requirements than full registration, can serve as an alternative way for token issuers to raise funds, say attorneys at O'Melveny.

  • Nvidia Supreme Court Case May Not Make Big Splash

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    The skeptical tenor of the justices' questioning at oral argument in Nvidia v. Ohman Fonder suggests that the case is unlikely to alter the motion to dismiss pleading standard in securities class actions, as some had feared, say attorneys at WilmerHale.

  • Series

    Circus Arts Make Me A Better Lawyer

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    Performing circus arts has strengthened my ability to be more thoughtful, confident and grounded, all of which has enhanced my legal practice and allowed me to serve clients in a more meaningful way, says Bailey McGowan at Stinson.

  • How D&O Coverage Can Aid Against Increased AI Scrutiny

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    The recent increase in regulatory enforcement and securities class actions stemming from corporate use of artificial intelligence should prompt companies to ensure that their directors and officers liability insurance coverage is appropriately tailored to AI-related risks, say attorneys at Reed Smith.

  • Crypto Cos. Add New Play In Their Offense Against SEC

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    Consensys and Crypto.com have adopted a novel strategy of preempting U.S. Securities and Exchange Commission enforcement actions by moving to crypto-friendly Texas and filing declaratory lawsuits challenging the SEC's jurisdiction to regulate crypto-assets — an aggressive approach that may pay off, say attorneys at Herrick Feinstein.

  • 3 Ways To Train Junior Lawyers In 30 Minutes Or Less

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    Today’s junior lawyers are experiencing a skills gap due to pandemic-era disruptions, but firms can help bring them up to speed by offering high-impact skill building content in bite-sized, interactive training sessions, say Stacey Schwartz at Katten, Diane Costigan at Winston & Strawn and Lauren Tierney at Freshfields.

  • How To Safely Leverage AI In The Digital Assets Industry

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    Digital asset businesses that use or plan to implement artificial intelligence should assess their risk management frameworks to ensure that AI-related business areas, including customer support and fraud detection, are in compliance with applicable laws and regulatory guidance from the last year, say attorneys at Winston & Strawn.

  • $3B TD Bank AML Settlement Is A Wake-Up Call For All Banks

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    TD Bank’s historic settlement over anti-money laundering violations, resulting in over $3 billion in penalties, reminds banks of all shapes and sizes why they need to take financial crime compliance seriously, and highlights three areas that may be especially vulnerable to enforcement, says Jack Harrington at Bradley Arant.

  • What Trump Presidency May Mean For Climate Reporting

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    While the Trump administration will likely take a hands-off approach to climate-related disclosures and rescind regulations promulgated under the Biden administration, state and international ESG laws mean the private sector may not reverse course on such disclosures, say attorneys at Seyfarth.

  • SEC Action Indicates Continued Focus On ESG Disclosures

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    The U.S. Securities and Exchange Commission's recently settled enforcement action against Invesco Advisers provides a road map for how regulatory agencies will continue to focus on ESG-related disclosures going forward, and underscores a focus on greenwashing, say attorneys at V&E.

  • The Bar Needs More Clarity On The Discovery Objection Rule

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    Almost 10 years after Federal Rule of Civil Procedure 34 was amended, attorneys still seem confused about what they should include in objections to discovery requests, and until the rules committee provides additional clarity, practitioners must beware the steep costs of noncompliance, says Tristan Ellis at Shanies Law Office.

  • The AI Consumer Class Action Threat Is Not A Hallucination

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    As regulators scrutinize whether businesses can deliver on claims about their artificial intelligence products and services, the industry faces a wave of consumer fraud class actions — but AI companies can protect themselves by prioritizing fundamental best practices that are often overlooked, say Ronald Levine at Herrick Feinstein and Richard Torrenzano at the Torrenzano Group.

  • What's Next For The CFTC After The Election

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    While much of the U.S. Commodity Futures Trading Commission's enforcement actions in line with its traditional priorities will continue as usual in the near term, postelection leadership changes at the CFTC and new congressional priorities may alter the commission's regulatory framework in 2025 and beyond — particularly its oversight of crypto, say attorneys at WilmerHale.

  • Del. Dispatch: Clarifying Charter Amendment Vote Obligations

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    The Delaware Court of Chancery recently held in Gunderson v. The Trade Desk that only a majority stockholder vote is needed to approve a company's proposed reincorporation from Delaware to Nevada through a corporate conversion, which bodes well for other companies also considering leaving the First State, say attorneys at Fried Frank.

  • What's Still Up In The Air After Ruling On Calif. Climate Laws

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    A California federal court's recent ruling on challenges to California's sweeping climate disclosure laws resolved some issues, but allows litigation over the constitutionality of the laws to continue, and leaves many important questions on what entities will need to do to comply with the laws unanswered, say attorneys at Paul Hastings.

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