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Capital Markets
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March 13, 2025
Senate Stablecoin Bill Advances With Democrats Divided
The Republican-led U.S. Senate Banking Committee advanced its stablecoin framework Thursday with the help of Democrats who broke from ranking member Sen. Elizabeth Warren's opposition, while a separate bill on what is being called debanking passed along party lines.
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March 13, 2025
SEC Drops Dealer-Registration Case Criticized By Hedge Fund
The U.S. Securities and Exchange Commission is dropping its claim that a Boston hedge fund should have registered as a broker-dealer, abandoning a case that the defense had argued overstepped the law and would subject more firms to federal oversight.
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March 13, 2025
Willkie Farr Hires Kirkland Private Funds Partner In NY
Willkie Farr & Gallagher LLP has hired a private funds attorney in New York who spent the past four years at Kirkland & Ellis LLP advising fund sponsors on operational and other matters, the firm announced Wednesday.
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March 12, 2025
Crypto Influencer's Counsel Says SEC Will Drop Case
The U.S. Securities and Exchange Commission has agreed to drop its case over cryptocurrency influencer Ian Balina's alleged promotion of so-called SPRK tokens, his attorney said Wednesday.
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March 12, 2025
SEC Says Ex-Allarity Execs Concealed Doomed FDA Approval
The U.S. Securities and Exchange Commission sued three former executives of clinical-stage pharmaceutical company Allarity Therapeutics Inc. in Massachusetts federal court, alleging Wednesday that they schemed to conceal from the public that the company's new drug application for its flagship drug had no chance of gaining regulatory approval.
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March 12, 2025
Coinbase Escapes Direct Listing Suit Despite New Plaintiff Bid
A California federal court has dismissed a proposed class action against Coinbase over its direct listing following the lead plaintiff's decision to leave the suit when the Ninth Circuit dismissed a similar case brought against Slack Technologies, saying the voluntary dismissal counts as a final proceeding.
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March 12, 2025
SEC Answers Latham's Call To Free Up Private Capital
Staff at the U.S. Securities and Exchange Commission issued guidance Wednesday that could allow accredited investors to self-certify their ability to participate in private securities offerings, a move that Latham & Watkins LLP said represents a "new era" for capital fundraising.
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March 12, 2025
Binance Asks Judge To Rethink Upholding Terror Victims' Suit
Cryptocurrency exchange Binance and its former CEO Changpeng Zhao have asked a New York federal judge to reconsider his ruling allowing a bulk of claims from a group of Hamas attack survivors to move forward, arguing that the survivors do not allege that Binance had a "close nexus" to the terrorist groups that allegedly used its platforms.
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March 12, 2025
Crypto CEO Linked To Jack Abramoff Convicted Of Fraud
A California federal jury on Wednesday convicted a cryptocurrency company founder of fraud and money laundering over allegations he stole more than $10 million from tens of thousands of investors in a scheme that involved disgraced ex-lobbyist Jack Abramoff.
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March 12, 2025
Ex-Fed Examiner Seems Prison-Bound In Insider Trading Case
A former senior banking supervisor for the Federal Reserve Bank of Richmond who pled guilty to insider trading appears likely to be sentenced to prison later this month, after both he and prosecutors have asked a Virginia federal judge for a custodial sentence.
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March 11, 2025
Crypto CEO A 'Grifter' Who Stole Millions, Jurors Told
Cryptocurrency company founder Marcus Andrade is a "grifter" who stole millions and left investors empty-handed, a prosecutor told a California federal jury Tuesday during closing arguments while a defense lawyer said his client was a "dreamer" who acted in good faith and was taken advantage of by ex-lobbyist Jack Abramoff.
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March 11, 2025
Musk Opens Del. Appeal To Recover $56B In Tesla Pay
Elon Musk on Tuesday launched his Delaware Supreme Court appeal aimed at a Court of Chancery decision that had short-circuited the electric car company's 10-year, $55.6 billion compensation plan for the celebrity CEO.
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March 11, 2025
SEC Disgorgement Snipped By $1M In Collectibles Fraud Case
A New York federal judge has trimmed over $1 million from a disgorgement award the U.S. Securities and Exchange Commission sought in a long-running suit against a sports memorabilia merchant found liable at trial for ripping off investors, after a recalculation revealed that the company had already repaid some of its victims.
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March 11, 2025
SDNY Illicit Finance Unit Co-Chief To Depart US Atty's Office
The co-chief of the Southern District of New York's Illicit Finance and Money Laundering Unit said in a withdrawal notice that he's leaving the U.S. attorney's office at the close of this week and requested that he be removed as counsel of record in an ongoing criminal case.
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March 11, 2025
Innodata Slams 'AI Washing' Shareholder Suit As Flimsy
Investors in data engineering company Innodata Inc. "essentially cut and pasted" claims from a short-seller's report on the company into their proposed class action accusing the company of "AI washing," despite the company's recovery from a related trading price dip, the company has argued.
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March 11, 2025
Florida Judge Won't Block FINRA Action Against Broker
A Florida federal judge has declined to block a Financial Industry Regulatory Authority enforcement action against a broker-dealer representative, despite his claims that the pending in-house hearing is unconstitutional under the U.S. Supreme Court's recent Jarkesy decision.
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March 11, 2025
Hedge Fund Group Sends SEC Its Regulatory Wish List
The U.S. Securities and Exchange Commission should reevaluate rules that impose "significant, unjustified costs and burdens on investors and other market participants with little to no corresponding benefits," the Managed Funds Association said in a letter to the regulator Tuesday.
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March 11, 2025
NY's Banking Regulator Hangs 'Help Wanted' Sign In DC
At a Washington, D.C., appearance on Tuesday, New York's top financial services regulator Adrienne Harris had a message for the legions of federal financial agency employees who have been cut loose by the Trump administration in recent weeks: She's hiring.
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March 11, 2025
Entity That Got Ponzi Scheme Funds Must Face SEC Suit
A Texas federal judge has declined to free an entity that accepted part of proceeds from an $8.4 million Ponzi scheme from an SEC action, writing that he could "reasonably infer" the entity did not accept the funds in good faith.
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March 11, 2025
House Mulls Stablecoin Draft As Senate Bill Heads To Vote
House lawmakers continued to hash out the level of consumer protections and the size of state regulatory power that belongs in a federal framework for stablecoins on Tuesday as the Senate said it plans to push forward with a markup of its own Republican-led proposal.
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March 11, 2025
Conservative Outlet Newsmax Eyes $75M Go-Public Offering
Newsmax Inc. said on Tuesday it plans to raise up to $75 million in a scaled-down alternative to a traditional initial public offering, represented by Sheppard Mullin Richter & Hampton LLP, a potential debut for the conservative media company in public markets.
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March 11, 2025
Zillow Investors Urge 9th Circ. To Uphold Class Certification
A class of Zillow Group Inc. investors told the Ninth Circuit to reject the property listing company's bid to overturn the class certification of their suit accusing the company of making misleading statements about its home-flipping program and causing stock prices to drop.
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March 11, 2025
BigLaw Firms Join To Support Del. Corporate Law Changes
Twenty-one law firms with Delaware corporate practices have jointly endorsed pending state legislation, S.B. 21, that aims to narrow stockholder avenues for challenging corporate acts and clarify the definition of company controllers.
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March 11, 2025
NYC Workers Can't Revive Fossil Fuel Divestment Challenge
A New York state appeals court refused Tuesday to reopen a lawsuit claiming several New York City pension plans unlawfully put politics over municipal employees' financial needs by divesting $3.9 billion from fossil fuels, backing a trial court's determination that the workers hadn't shown their benefits were affected.
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March 11, 2025
Couche-Tard Knocks 7-Eleven Strategy In Push For Takeover
Alimentation Couche-Tard Inc. is doubling down on its commitment to acquire 7-Eleven parent company Seven & i Holdings Co., criticizing the Japanese retail giant's latest strategic plans for a U.S. IPO and its "limited" engagement on Couche-Tard's buyout efforts.
Expert Analysis
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5 Keys To Building Stronger Attorney-Client Relationships
Attorneys are often focused on being seen as the expert, but bonding with clients and prospects by sharing a few key personal details provides the basis for a caring, trusted and profoundly deeper business relationship, says Deb Feder at Feder Development.
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BlackRock Suit Highlights Antitrust Risks Of ESG
In Texas v. BlackRock, pending in Texas federal court, 13 state attorneys general are suing large institutional investors in the coal business, underscoring key reasons companies may want to alter their approach to developing and implementing policies related to environmental, social, and governance factors, especially if coordination with competitors is involved, say attorneys at Manatt.
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How Rising Secondary Private Markets Affect Tech Disputes
The rise of secondaries is a natural by-product of growing and evolving private markets and, as such, we can expect their growth will continue, signaling an increase in the use of secondaries in damages as well as litigation revolving around secondaries themselves, says Farooq Javed at The Brattle Group.
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Suggestions For CFTC Enforcement's New Leadership
The recent change in leadership at the U.S. Commodity Futures Trading Commission presents an opportunity to reflect on past practices and consider opportunities for improvement at the commission's Enforcement Division, including in observing precedent and providing greater enforcement transparency, say attorneys at Clifford Chance.
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Opinion
NFT Bill Needs Refining To Effectively Regulate Digital Assets
A recent bill in the U.S. House proposing to regulate nonfungible tokens as digital assets would leave key concepts undefined until the U.S. comptroller general completes an after-the-fact study of NFTs, showing it needs more work before it is comprehensive enough to meaningfully protect the market, say attorneys at Duane Morris.
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Series
Racing Corvettes Makes Me A Better Lawyer
The skills I use when racing Corvettes have enhanced my legal practice in several ways, because driving, like practicing law, requires precision, awareness and a good set of brakes — complete with the wisdom to know how and when to use them, says Kat Mateo at Olshan Frome.
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Opinion
Attorneys Must Act Now To Protect Judicial Independence
Given the Trump administration's recent moves threatening the independence of the judiciary, including efforts to impeach judges who ruled against executive actions, lawyers must protect the rule of law and resist attempts to dilute the judicial branch’s authority, says attorney Bhavleen Sabharwal.
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Rethinking 'No Comment' For Clients Facing Public Crises
“No comment” is no longer a cost-free or even a viable public communications strategy for companies in crisis, and counsel must tailor their guidance based on a variety of competing factors to help clients emerge successfully, says Robert Bowers at Moore & Van Allen.
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What To Expect In Crypto Banking After SEC Nixed Guidance
With the U.S. Securities and Exchange Commission recently rescinding its controversial cryptocurrency accounting guidance, the industry's focus will turn to the potentially significant hurdle to crypto banking posed by the federal banking regulators, say attorneys at Duane Morris.
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Fund Names Rule FAQs Leave Some Interpretative Uncertainty
Although recently released FAQs clarify many specific points of the 2023 expansion to the Investment Company Act's fund names rule, important questions remain about how U.S. Securities and Exchange Commission staff will interpret other key terms when the end-of-year compliance date arrives, say attorneys at Dechert.
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How Design Thinking Can Help Lawyers Find Purpose In Work
Lawyers everywhere are feeling overwhelmed amid mass government layoffs, increasing political instability and a justice system stretched to its limits — but a design-thinking framework can help attorneys navigate this uncertainty and find meaning in their work, say law professors at the University of Michigan.
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What Travis Hill's Vision For FDIC Could Portend For Banks
If selected to lead the Federal Deposit Insurance Corp. in a permanent capacity, acting Chairman Travis Hill is likely to prioritize removing barriers to innovation and institution-level growth, emphasizing the idea that eliminating rules, relaxing standards and reducing scrutiny will reinvigorate the industry, say attorneys at Mitchell Sandler.
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5 Major Crypto Developments From The Trump Admin So Far
The early weeks of the Trump administration have set the stage for a significant transformation in U.S. digital asset policy by prioritizing regulatory clarity, innovation and a shift away from enforcement-heavy tactics, but many of these changes will require congressional support and progress may be gradual, say attorneys at Ropes & Gray.
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Comparing 2 Pending Bills To Regulate Stablecoins
Alexandra Steinberg Barrage at Troutman analyzes the key similarities and differences between two payment stablecoin proposals currently pending in Congress — the STABLE and GENIUS acts — as both chambers are forming a working group to deliver a clear regulatory framework for digital assets and bipartisan agreement appears within reach.
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Series
Competitive Weightlifting Makes Me A Better Lawyer
The parallels between the core principles required for competitive weightlifting and practicing law have helped me to excel in both endeavors, with each holding important lessons about discipline, dedication, drive and failure, says Damien Bielli at VF Law.