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Securities
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March 26, 2025
Governor Quickly Signs Delaware Corporate Law Revision Bill
Delaware's governor has promptly signed into law closely watched legislation that has been described as an overhaul of the First State's corporation law.
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March 26, 2025
Ex-GE Exec Gets 7 Years For Fraud In $1B Angola Energy Deal
A Manhattan federal judge hit a former GE Power executive with seven years in prison Wednesday, after a jury convicted him of forgery and taking a $5 million kickback while working on a $1.1 billion deal in his native Angola.
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March 26, 2025
Morgan Lewis Welcomes Another Former SEC Atty
Morgan Lewis & Bockius LLP has added another former senior U.S. Securities and Exchange Commission attorney to its ranks, announcing Wednesday that a special counsel for the commission's Division of Corporation Finance has joined its Washington, D.C., office.
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March 25, 2025
Elliott Says Phillips 66 Aims To Thwart Its Proxy Contest
Elliott Investment Management on Tuesday accused Phillips 66 and its board of directors in Delaware Chancery Court of reducing the number of board seats up for election at the energy conglomerate's next annual shareholder meeting in order to thwart the hedge fund's impending proxy contest.
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March 25, 2025
Ex-Masimo CEO Slams Bid To DQ His Hueston Hennigan Attys
Joe E. Kiani, founder and ex-CEO of Masimo Corp., has urged the Delaware Chancery Court to reject the medical technology company's bid to disqualify his attorneys from Hueston Hennigan LLP in its lawsuit over Kiani's quest for a $450 million payout, saying the request is being "weaponized for tactical gain."
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March 25, 2025
Fix It Early, Do Your Homework: Bank Legal Chiefs Share Tips
Deutsche Bank's chief legal officer advised firms facing regulatory investigations to begin the remediation process sooner rather than later in a Tuesday panel featuring the legal chiefs for some of the world's biggest banks discussing lessons they've learned and their relationships with outside counsel.
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March 25, 2025
Fintech DLocal Beats Investors' Suit Over IPO
A New York state court judge has dismissed claims against fintech firm dLocal and its underwriters in a proposed class action alleging the company misstated a key financial metric and misrepresented the state of its financial controls in advance of its June 2021 initial public stock offering that saw the company valued at nearly $9.5 billion.
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March 25, 2025
Chipmaker Supplier Overhyped China Biz, Investor Claims
Semiconductor industry supplier Ultra Clean Holdings Inc. faces a proposed investor class action alleging that during 2024 it touted outsize demand in its Chinese market, ultimately hurting investors when it later acknowledged "demand softness" as it reported its 2024 full-year revenue and offered financial projections for the start of 2025.
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March 25, 2025
FINRA Fines Firm, CCO For Pandemic-Era Oversight Lapses
The Financial Industry Regulatory Authority has fined broker-dealer United First Partners LLC and fined and suspended its chief compliance officer to settle claims they failed to implement a sufficient system to monitor the firm's representatives' outside business activities, and completely failed to do so during the pandemic.
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March 25, 2025
Industry Backs BlackRock Over States' 'Crippling' Coal Suit
Two leading financial industry groups are throwing their support behind BlackRock Inc. and two other asset managers fighting a state-backed antitrust suit over their coal company investments, with one group arguing that forcing the firms to divest would have "crippling effects" for tens of millions of American investors.
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March 25, 2025
GOP-Led House Committee Mulls Bills To Ease Capital Raising
The U.S. House of Representatives Financial Services Committee on Tuesday debated bills that would ease rules governing private and public securities offerings, marking Congress' latest push to deregulate capital markets under President Donald Trump's second term.
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March 25, 2025
Edison Shareholder Latest To Sue Utility Brass Over Eaton Fire
Southern California's Eaton Fire could have been prevented had directors and officers of Southern California Edison's parent company not breached their duty to mitigate fire risks, especially in light of the public utility's "unfortunate long history" of improperly maintaining equipment, according to a new derivative shareholder filed in California state court.
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March 25, 2025
FDIC Will Seek To 'Eradicate' Its Use Of Reputation Risk
The Federal Deposit Insurance Corp. plans to "eradicate" the concept of reputation risk from its oversight of banks and is working to take its approach to digital assets in "a new direction," the agency's acting chief has told Congress.
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March 25, 2025
FINRA President Hints At Offloading Arbitration Oversight
The president of the Financial Industry Regulatory Authority said Tuesday that he's considering whether another entity should take up the brokerage regulator's arbitration oversight, questioning whether it's an appropriate function for FINRA to continue running.
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March 25, 2025
AI Clean Energy Co.'s Execs Get Shareholder Suit Axed
Leaders of artificial intelligence-driven clean energy company Stem Inc. have avoided, for now, a suit accusing them of misleading investors ahead of a merger, with the court ruling the suit is a "puzzle pleading" that does not sufficiently justify why certain statements should be considered fraudulent.
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March 25, 2025
Delaware Legislature Passes Divisive Corporate Law Rework
Delaware lawmakers overwhelmingly approved and sent to the state's governor Tuesday legislation that eases restrictions on some conflicted corporate acts and limits some stockholder document inspection demands, after House members overwhelmingly shot down five amendments aimed at limiting the measure's reach.
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March 25, 2025
Pension Seeks To Opt Class Out Of Cutera Ch. 11 Releases
A pension fund heading up a class action against skin care technology group Cutera has urged a Texas bankruptcy court to find the shareholder has authority to opt all class members out of the company's Chapter 11 plan.
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March 25, 2025
Ripple Labs To Pay SEC $50M To End Case, Legal Chief Says
Ripple Labs legal chief Stuart Alderoty said Tuesday the cryptocurrency firm will pay the U.S. Securities and Exchange Commission a $50 million civil penalty to resolve the agency's landmark enforcement action, or a fraction of the $125 million fine that a federal court originally imposed upon it over past unregistered institutional token sales.
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March 25, 2025
3D Printing Tech Co. Wins Chancery Order For Merger Closing
Delaware's chancellor issued a short-fuse post-trial order late Monday giving high-tech electronics board maker Nano Dimensions 48 hours to secure a national security agency agreement needed to acquire Israeli 3D printing defense contractor Desktop Metal.
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March 24, 2025
Google Pares Back Investors' Suit Over Antitrust Probe
A California federal judge Monday allowed investors to move forward with a securities fraud claim against Google, its CEO Sundar Pichai and parent company Alphabet Inc. over an allegedly false statement to Congress in 2020 about the fairness of ad auctions, but tossed the rest of the suit for good.
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March 24, 2025
Wells Fargo Loses Bid To Toss Suit Over $300M Ponzi Scheme
A Florida federal judge on Monday adopted a magistrate judge's recommendation to deny Wells Fargo's bid to toss two retirees' putative class action accusing the bank of aiding and abetting a $300 million Ponzi scheme that deceived more than 1,000 investors, mostly elderly investors.
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March 24, 2025
Bank Groups Take Aim At Fed's Stress-Test Methodology
Top bank trade groups are pressing their Ohio federal court challenge to the Federal Reserve Board's stress tests of big banks, asking for a ruling that would force major changes to the way the annual assessments of firm resilience are designed and executed.
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March 24, 2025
Feds, Javice Rest In Trial Over JPMorgan's $175M Frank Buy
Manhattan federal prosecutors and Charlie Javice on Monday both wrapped up their cases in the trial of the former Frank CEO and another executive, who are accused of tricking JPMorgan into buying the education startup for $175 million based on false information.
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March 24, 2025
Expensify Beats Investor Claim Over CEO's Pro-Biden Email
An Oregon federal judge said Monday that she agreed to trim claims in a shareholder suit accusing Expensify of propping up its initial public offering by hiding the details of a new pricing strategy and effects of statements its CEO made urging customers to vote for President Joe Biden in the 2020 election.
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March 24, 2025
Live Nation Inks $20M Deal Over Swift Tour-Tied Investor Suit
Investors suing Live Nation Entertainment Inc. have asked a California federal judge to approve a $20 million deal ending claims that the company made misleading statements about its operations when news of alleged anticompetitive practices with Ticketmaster caused stock prices to drop following the tickets sales debacle for Taylor Swift's The Eras Tour.
Expert Analysis
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Lessons From The SEC's 2024 Crackdown On AI Washing
AI washing was the subject of increased scrutiny from the U.S. Securities and Exchange Commission in 2024 following a surge in the commercial adoption of generative artificial intelligence technologies in 2023, highlighting the importance of transparency, accuracy and accountability when communicating about AI, say attorneys at Perkins Coie.
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The 6 Most Significant FCRA Litigation Developments Of 2024
From a key sovereign immunity decision at the U.S. Supreme Court to a ruling on creditworthiness out of the Seventh Circuit, several important Fair Credit Reporting Act cases wound their way through the courts in 2024, each offering takeaways for both plaintiffs and defendants, say attorneys at Shipkevich.
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An Associate's Guide To Career Development In 2025
As the new year begins, associates at all levels should consider establishing career metrics, fostering key relationships and employing other specific strategies to help move through the complexities of the legal profession with confidence and emerge as trailblazers, say EJ Stern and Amanda George at Fractional Law Firm.
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The Securities Litigation Trends That Will Matter Most In 2025
2025 is shaping up to be a significant year for securities litigation, as plaintiffs and defendants alike navigate shifting standards for omission theories of liability, class certification, risk disclosure claims and more, say attorneys at Willkie.
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Predicting The Lasting Changes CFPB May Face In 2025
President-elect Donald Trump and the incoming Republican-controlled Congress' likely attempts to reshape the Consumer Financial Protection Bureau could significantly alter its rulemaking, supervisory and enforcement abilities for years to come, says Jim Sandy at McGlinchey Stafford.
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What To Watch For In The 2025 Benefits Landscape
While planning for 2025, retirement plan sponsors and service providers should set their focus on phased implementation deadlines under both Secure 1.0 and 2.0, an upcoming U.S. Supreme Court ruling, and the fate of several U.S. Department of Labor regulations, says Allie Itami at Lathrop GPM.
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How White Collar Enforcement May Shift In Trump's 2nd Term
After President-elect Donald Trump returns to the White House next month, the administration’s emphasis on immigration laws, drug offenses and violent crime will likely reduce the focus on white collar crime overall, but certain areas within the white collar world may see increased activity, say attorneys at Keker Van Nest.
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COP29 Offers Pathway To A Global Carbon Market
COP29, the recently concluded United Nations climate conference, represented a breakthrough in the establishment of standards for a global carbon market — and voluntary carbon market participants in the U.S. and elsewhere can enhance the value of their projects by aligning them with these standards, say attorneys at Morgan Lewis.
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New Trump Admin May Bring Financial Oversight Turbulence
As President-elect Donald Trump prepares to begin his second term, his top financial market regulatory and securities law enforcement appointees, campaign promises, and regulatory preferences foretell a period of muddy regulatory waters, say attorneys at Kroll.
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The Justices' Securities Rulings, Dismissals That Defined '24
The U.S. Supreme Court's 2024 securities rulings led to increased success for defendants' price impact arguments, but the justices' decisions not to weigh in on important issues relating to the Private Securities Litigation Reform Act's pleading requirements may be just as significant, say attorneys at Skadden.
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Series
Fixing Up Cars Makes Me A Better Lawyer
From problem-solving to patience and adaptability to organization, the skills developed working under the hood of a car directly translate to being a more effective lawyer, says Christopher Mdeway at Kaufman Dolowich.
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2024 Has Been A Momentous Year For ESG
Significant developments in the environmental, social and governance landscape this year include new legislation, evolving global frameworks, continued litigation and enforcement actions, and a U.S. Supreme Court decision that has already affected how lower courts have viewed some ESG challenges, say attorneys at Katten.
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Making The Pitch To Grow Your Company's Legal Team
In a compressed economy, convincing the C-suite to invest in additional legal talent can be a herculean task, but a convincing pitch — supported by metrics and cost analyses — may help in-house counsel justify the growth of their team, say Elizabeth Smith and Roger Garceau at Major Lindsey.
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The Story Of 2024's Biggest Bank Regs, And Their Fate In 2025
U.S. federal bank regulators were very active in 2024 with initiatives ranging from antitrust and capital to proposals regarding controlling shareholders and incentive-based compensation, but many regulations face an uncertain future under the new administration, say attorneys at Latham.
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Musk Pay Fight Shows Investor Approval Isn't Universal Cure
The Delaware Court of Chancery's recent denial of a motion revising its prior rescission of Elon Musk's nearly $56 billion compensation package is a reminder of the heightened standard corporate boards must meet in conflicted controller transactions and that stockholder approval doesn't automatically cure fiduciary wrongdoing, say attorneys at A&O Shearman.