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Technology
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August 01, 2024
Calif. Justices Block Drivers From Intervening In PAGA Deal
The California Supreme Court ruled Thursday that ride-hail drivers bringing claims under the state's Private Attorneys General Act lack standing to intervene in a separate case that reached a settlement.
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August 01, 2024
Biotech Co. Biedermann Motech Hits Ch. 11 With $34M Debt
Biedermann Motech, a maker of implants for spinal and extremity surgery, filed for Chapter 11 protection in Delaware bankruptcy court with $34 million in debt.
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July 31, 2024
AT&T Faces New Data Breach Class Action By Non-Customers
AT&T, already facing litigation over a data breach it admitted to in mid-July, was hit Tuesday with another putative class action in Texas federal court, this time by two individuals who alleged the telecom giant disregarded the breach's impact on customers of other companies using AT&T's network.
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July 31, 2024
IRL App Cofounder Hit With SEC Suit Alleging $170M Fraud
The U.S. Securities and Exchange Commission sued the cofounder of media app In Real Life in California federal court on Wednesday, alleging a scheme to sell $170 million in company stock to investors while omitting that the app's growth was fueled by bot-generated traffic, and using company credit cards on personal expenses.
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August 01, 2024
CORRECTED: Estonians Extradited In $575M Crypto Fraud Case Win Bail
A Washington federal judge has allowed two Estonian men to be released on bail backed by $5 million bonds after they were extradited to Seattle to face criminal charges that they operated cryptocurrency and money laundering schemes worth $575 million.
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July 31, 2024
AI Prior Art Is Either Nothing New Or A Red Flag, USPTO Told
Technology companies, drugmakers and various industry organizations have represented to the U.S. Patent and Trademark Office that they're torn on how artificial intelligence should be used when determining whether something is patentable over prior art.
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July 31, 2024
Netflix's Culture Created A 'Sexual' Workplace, Suit Says
Netflix has been hit with a wrongful firing suit in California state court by a former employee who accused it of fostering a workplace environment that's "very sexual in nature," requiring that employees engage in one-on-one meetings that are "nothing more than speed dating" and that subjected her to unwanted advances.
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July 31, 2024
Bill To Revive FCC's Broadband Subsidy Clears Senate Panel
A Democratic bill to restart the Federal Communications Commission's defunct broadband subsidy passed a Senate committee Wednesday after a debate over how to pay for FCC-related spending priorities, as well as agency authority to start new spectrum auctions.
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July 31, 2024
GoDaddy Asks To Have Tech Co.'s Antitrust Suit Culled
Domain registrar GoDaddy is asking a Virginia federal court to knock out half of a lawsuit accusing it of blackballing a tech company from its platform, saying that after failing to secure a licensing deal, the suing company "has now turned to antitrust law to try to compel a result it could not obtain through arms-length negotiation."
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July 31, 2024
Fed. Circ. Sees No Disclosure In Private Sale Of Laptop Ports
A "private" sale of some 15,000 laptop ports doesn't count as "a public disclosure," as far as patent law is concerned, the Federal Circuit ruled Wednesday, affirming a patent board panel's earlier ruling.
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July 31, 2024
Apple, Google Dropped From IP Suit Over PUBG Knockoffs
A California federal judge has agreed to dismiss video game publisher Krafton's copyright suit accusing Google and Apple of distributing infringing versions of PlayerUnknown's Battlegrounds on their respective platforms, while Krafton and YouTube said they're close to resolving claims over an infringing film containing game footage.
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July 31, 2024
Trade Secrets Cases To Watch In 2024: A Midyear Report
A Virginia appellate court reversed a historic $2 billion trade secrets verdict in a closely watched case, and the Seventh Circuit emphasized that the federal trade secrets law applies to conduct abroad, expanding the damages landscape. Here are some of the most notable trade secrets cases to watch for the rest of 2024.
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July 31, 2024
Report Finds Uptick In AI-Related Shareholder Suits
Class action lawsuits accusing companies of deceiving investors about their artificial intelligence capabilities are on the rise this year while the previously trendy areas of shareholder litigation against cryptocurrency companies and special purpose acquisition companies have fallen significantly, according to a Wednesday report from Cornerstone Research.
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July 31, 2024
Chancery OK Sought For $2.5M BigBear.ai SPAC Suit Deal
GigCapital Global has agreed to pay $2.5 million to settle a Delaware Chancery Court shareholder class action that sought damages for alleged breaches of fiduciary duty and unjust enrichment in connection with the 2021 go-public merger with artificial intelligence company BigBear.ai.
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July 31, 2024
GAO Says Navy Tactical Radio Contract Protest Is Untimely
The U.S. Government Accountability Office rejected a Las Vegas-based contractor's challenge to U.S. Navy deals awarded to L3Harris Technologies Inc. and Data Link Solutions, finding that the protest was four months too late.
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July 31, 2024
Gov't Contracts Of The Month: Launches And Submarines
The U.S. Space Force paid billions of dollars in July to SpaceX and United Launch Services LLC for national security launches, while the U.S. General Services Administration hired Deloitte Consulting LLP to consult on the nation's efforts to field next-generation nuclear submarines. Here, Law360 looks at some of the most noteworthy government contracts over the last month.
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July 31, 2024
Senators Aim To Increase Injunctions In Patent Battles
A new bipartisan bill in Congress would make it easier for federal courts to issue injunctions in patent cases, but critics say this would primarily help companies "that do not make any products or provide any services."
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July 31, 2024
Include Satellites In Broadband Updates, SpaceX Tells FCC
SpaceX urged the Federal Communications Commission to include provisions for gateway earth station satellite hubs like its own in proposed regulations to expand broadband access within certain spectrum bands, telling the regulator that doing so would be a "win-win-win" for stakeholders.
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July 31, 2024
GOP Senate Bill To Bar FCC's AI Disclosure Rule Blocked
A Republican effort in the U.S. Senate aiming to prevent the Federal Communications Commission from requiring broadcasters to disclose the use of artificial intelligence in political ads lost traction at the committee level Wednesday.
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July 31, 2024
Authors' Suit Against OpenAI Trimmed To Copyright Act Claim
A California federal judge on Wednesday cut an unfair competition claim from a proposed class action filed by a group of notable authors alleging that ChatGPT creator OpenAI Inc. is wrongly copying their protected works, a decision that leaves only the lawsuit's claim for direct copyright infringement.
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July 31, 2024
$7.25M Del. Settlement Offered In $1.35B UpHealth SPAC Suit
Parties to a Delaware Court of Chancery stockholder suit that challenged a $1.35 billion take-public "blank-check" company merger with Florida-based digital health manager UpHealth Inc. have reached a $7.25 million settlement of all claims, pending court approval, according to an agreement filed Tuesday.
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July 31, 2024
Ex-Byju's Exec Faces $10K Daily Contempt Fine
A Delaware bankruptcy judge on Wednesday ordered a former executive of the troubled U.S.-based affiliate of Indian educational technology giant Byju's to pay $10,000 a day in contempt sanctions for failing to provide court-ordered discovery, while his attorneys asked for the court's permission to exit the case.
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July 31, 2024
CrowdStrike Investors Sue Over Stock Drop After Outage
A group of CrowdStrike investors sued the cybersecurity company Tuesday in Texas federal court, alleging that it misrepresented the measures it was taking to prevent a system crash, which caused its stock price to plummet after the platform experienced a massive outage earlier this month.
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July 31, 2024
Pop-Up Malware Scammer Gets 7 Years For Duping Elderly
A Manhattan federal judge hit an Indian national with a seven-year prison sentence Wednesday after he admitted operating a malware call center that targeted over 6,000 victims with deceptive pop-up warnings and generated more than $6 million in criminal proceeds.
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July 31, 2024
Copyright Office Warns Of 'Urgent Need' For Deepfakes Law
The U.S. Copyright Office said Wednesday that "there is an urgent need" for new federal legislation to tackle the proliferation of deepfakes created through artificial intelligence, saying in a long-awaited report with recommendations to Congress that "an era of sophisticated digital replicas has arrived."
Expert Analysis
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Opinion
Cyber Regulators Should Rely On Existing Sources Cautiously
New incident reporting rules proposed by the Cybersecurity and Infrastructure Security Agency illustrate how the use of definitions, standards and approaches from existing sources can create a complex patchwork of regulations, demonstrating that it is essential for agencies to be clear about expectations and not create unnecessary confusion, says Megan Brown at Wiley.
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Considering CGL Defense For Social Media Addiction Claims
A recent lawsuit filed in California state court against Meta seeks damages from technology companies for the costs of treating children allegedly suffering from social media addiction, but the prospects of defense coverage under commercial general liability insurance policies for a potential new wave of claims look promising, say Craig Hirsch and Tae Andrews at Pasich.
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Fintiv Denials Are On The Rise At PTAB
Following last year's CommScope v. Dali decision, the Patent Trial and Appeal Board is increasingly using Fintiv factors to discretionarily deny inter partes review petitions — and attorneys ignore it at their peril, say Josepher Li and Michelle Armond at Armond Wilson.
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4 Ways To Refresh Your Law Firm's Marketing Strategy
With many BigLaw firms relying on an increasingly obsolete marketing approach that prioritizes stiff professionalism over authentic connection, adopting a few key communications strategies to better connect with today's clients and prospects can make all the difference, say Eric Pacifici and Kevin Henderson at SMB Law.
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Tips For Balanced Board Oversight After A Cyberincident
The U.S. Securities and Exchange Commission's cybersecurity disclosure rules, as well as recent regulatory enforcement actions bringing board governance under scrutiny, continue to push boards toward active engagement in relation to their cyber-oversight role, despite it being unclear what a board's level of involvement should be, say attorneys at Alston & Bird.
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Cos. Must Prepare For Calif. Legislation That Would Ban PFAS
Pending California legislation that would ban the sale or distribution of new products containing intentionally added per- and polyfluoroalkyl substances could affect thousands of businesses — and given the bill's expected passage, and its draconian enforcement regime, companies must act now to prepare for it, say attorneys at Alston & Bird.
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What Cos. Are Reporting Under New SEC Cybersecurity Rule
Four months after its effective date, 14 companies have made disclosures under the U.S. Securities and Exchange Commission's mandatory cybersecurity incident reporting rule, and some early trends are emerging, including a possible rush to file, say attorneys at Debevoise.
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Proactive Strategies Can Reduce Truck Cos.' Accident Liability
The legal complications of trucking accidents can be grave — so transportation companies and their attorneys should implement proactive strategies that include driver safety programs, pre-accident legal counseling, electronic monitoring and attorney involvement at crash scenes, says Mandy Kolodkin at Segal McCambridge.
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Binance Ruling Spotlights Muddled Post-Morrison Landscape
The Second Circuit's recent decision in Williams v. Binance highlights the judiciary's struggle to apply the U.S. Supreme Court's Morrison v. National Australia Bank ruling to digital assets, and illustrates how Morrison's territorial limits on the federal securities laws have become convoluted, say Andrew Rhys Davies and Jessica Lewis at WilmerHale.
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Data Protection Steps To Consider After Biden Privacy Order
A recent White House executive order casts a spotlight on the criticality of securing sensitive content communications, presenting challenges and necessitating a recalibration of practices, especially for lawyers, says Camilo Artiga-Purcell at Kiteworks.
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Practical Pointers After Fed. Circ. Double-Patenting Decision
With the Federal Circuit recently denying a full court review of In re: Cellect, a decision regarding obviousness-type double-patenting, affected patent family holders should evaluate their rights through both patent prosecution and future litigation lenses to minimize risks, say Austin Lorch and Jeff Wolfson at Haynes Boone.
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Why Corporate DEI Challenges Increasingly Cite Section 1981
As legal challenges to corporate diversity, equity and inclusion initiatives increase in the wake of the U.S. Supreme Court's ruling on race-conscious college admissions last year, Section 1981 of the Civil Rights Act is supplanting Title VII as conservative activist groups' weapon of choice, say Mike Delikat and Tierra Piens at Orrick.
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What New Conn. Insurance Bulletin Means For Data And AI
A recent bulletin from the Connecticut Insurance Department concerning insurers' usage of artificial intelligence systems appears consistent with the National Association of Insurance Commissioners' gradual shift away from focusing on big data, and may potentially protect insurers from looming state requirements despite a burdensome framework, say attorneys at Day Pitney.
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Surveying Legislative Trends As States Rush To Regulate AI
With Congress unlikely to pass comprehensive artificial intelligence legislation any time soon, just four months into 2024, nearly every state has introduced legislation aimed at the development and use of AI on subjects from algorithmic discrimination risk to generative AI disclosures, say David Kappos and Sasha Rosenthal-Larrea at Cravath.
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How Duty Of Candor Figures In USPTO AI Ethics Guidance
The duty of candor and good faith is an important part of the artificial intelligence ethics guidance issued last week by the U.S. Patent and Trademark Office, and serious consequences can visit patent and trademark applicants who violate that duty, not just their attorneys and agents, says Michael Cicero at Taylor English.