Expert Analysis

• Parsing SEC's Emerging Trend Of Section 204A Enforcement

  

  The U.S. Securities and Exchange Commission recently settled with Sound Point Capital Management for violating Section 204A of the Investment Advisers Act, adding to a slew of charges against investment advisers that allegedly failed to safeguard material nonpublic information, say attorneys at Cozen O'Connor.

• SEC Rulemaking Radar: The View From Election Day

  

  The U.S. Securities and Exchange Commission seems poised to tackle many of the remaining items on its most recent Regulatory Flexibility Agenda by early 2025, despite the presidential election and the potential for a new chair to be nominated soon, say attorneys at Goodwin.

• A Look At Grewal's Record-Breaking Legacy After SEC Exit

  

  Gurbir Grewal resigned as director of the U.S. Securities and Exchange Commission's Division of Enforcement last month after more than three years on the job, leaving behind a legacy marked by record numbers of penalties and enforcement actions, as well as mixed results in aggressive lawsuits against major crypto players, say attorneys at Debevoise.

• Striking A Balance Between AI Use And Attorney Well-Being

  

  As the legal industry increasingly adopts generative artificial intelligence tools to boost efficiency, leaders must note the hidden costs of increased productivity, and work to protect attorneys’ well-being while unlocking AI’s full potential, says Ed Sohn at Factor.

• Insurance Industry Impacts If DOL Fiduciary Rule Is Revived

  

  If implemented following an ongoing appeal at the Fifth Circuit, the U.S. Department of Labor’s rule expanding the Employee Retirement Income Security Act's definition of "fiduciary" could chill insurance agents’ and brokers' ability to sell annuities, and lead to an increase in breach of fiduciary duty lawsuits, say attorneys at Alston & Bird.

• Empathy In Mediation Offers A Soft Landing For Disputes

  

  Experiencing a crash-landing on a recent flight underscored to me how much difference empathy makes in times of crisis or stress, including during mediation, says Eydith Kaufman at Alternative Resolution Centers.

• A Look At The Increased Scrutiny Of Cash Sweep Programs

  

  Financial industry regulators have increasingly probed the adequacy of so-called cash sweep disclosures and policies, underscoring the heightened risk faced by investment advisers and broker-dealers, as well as the importance of adequately disclosing material conflicts of interest, say attorneys at Dechert.

• Series

  Being An Artist Makes Me A Better Lawyer

  

  My work as an artist has highlighted how using creativity and precision together — qualities that are equally essential in both art and law — not only improves outcomes, but also leads to more innovative and thoughtful work, says Sarah La Pearl at Segal McCambridge.

• How Judiciary Can Minimize AI Risks In Secondary Sources

  

  Because courts’ standing orders on generative artificial intelligence and other safeguards do not address the risk of hallucinations in secondary source materials, the judiciary should consider enlisting legal publishers and database hosts to protect against AI-generated inaccuracies, say attorneys at Lankler Siffert & Wohl.

• Bitnomial Suit Highlights Crypto Turf War Between SEC, CFTC

  

  An outcome favoring Bitnomial in its recent lawsuit against the U.S. Securities and Exchange Commission could reinforce the U.S. Commodity Futures Trading Commission's authority and limit the SEC's reach in the crypto arena, illustrating the need for Congress to delineate boundaries between the agencies, says Tonya Evans at Penn State Dickinson Law.

• Nvidia Case's Potential Impact On Securities Class Actions

  

  In Nvidia v. Ohman Fonder, the U.S. Supreme Court could strip lower courts of their long-standing ability and obligation to holistically weigh all relevant facts supporting plaintiffs' allegations of securities fraud, which would have a wide-ranging impact on securities fraud class actions in the U.S., say attorneys at Labaton Keller.

• How Attorneys Can Break Free From Career Enmeshment

  

  Ambitious attorneys can sometimes experience career enmeshment — when your sense of self-worth becomes unhealthily tangled up in your legal vocation — but taking the time to discover and realign with your core personal values can help you recover your identity, says Janna Koretz at Azimuth Psychological.

• UCC Article 12 Offers Banks A Chance To Dive Into 'DePINs'

  

  The 2022 update to Article 12 of the Uniform Commercial Code, which provides a legal framework for decentralized physical infrastructure networks, could offer trade and commodity finance banks attractive opportunities, like the energy-related DePIN projects that have recently made headlines, says Chris McDermott at Cadwalader.

• Short-Seller Implications Of 10th Circ.'s Overstock Decision

  

  The Tenth Circuit's Oct. 15 decision in Overstock Securities Litigation provides clarity on the pleading standard for a market manipulation claim under the Exchange Act, and suggests that short sellers might not be able to rely on the fraud-on-the-market presumption typically invoked by securities plaintiffs, say attorneys at Paul Weiss.

• Lawyers With Disabilities Are Seeking Equity, Not Pity

  

  Attorneys living with disabilities face extra challenges — including the need for special accommodations, the fear of stigmatization and the risk of being tokenized — but if given equitable opportunities, they can still rise to the top of their field, says Kate Reder Sheikh, a former attorney and legal recruiter at Major Lindsey & Africa.