Compliance

  • August 08, 2024

    House Rep. Wants Calif. To Pump Brakes On AI Safety Bill

    Democratic Rep. Zoe Lofgren, who represents Silicon Valley in Congress, has taken the rare step of voicing her opposition to a proposed California bill to set safety standards for large artificial intelligence models, arguing that the measure lacks a "sound evidentiary basis" and would stifle innovation without addressing real-world harms. 

  • August 08, 2024

    Fed Hits Customers Bank With Crypto-Related Consent Order

    The Federal Reserve said Thursday that it had entered into an enforcement action with Pennsylvania-based Customers Bank, pointing to risk management and anti-money laundering compliance deficiencies tied to the bank's "digital asset strategy."

  • August 08, 2024

    CFPB Urges 5th Circ. To Revive Anti-Bias Exam Policy

    The Consumer Financial Protection Bureau has appealed to the Fifth Circuit to reinstate a 2022 policy that expanded the scope of the agency's anti-discrimination oversight, saying a Texas federal judge's decision to strike it down last year could allow even so-called debanking to go unexamined.

  • August 08, 2024

    Credit Repair Software Co., CEO To Pay $3M CFPB Fines

    The Consumer Financial Protection Bureau on Thursday said a California-based software company and its CEO have agreed to pay a combined $3 million in fines to resolve a lawsuit alleging that the company assisted credit repair businesses that charged illegal advance fees to consumers.

  • August 08, 2024

    2nd Circ. Won't Rethink Decision On 'Short-Swing' Profits

    The Second Circuit won't reconsider its decision to revive a lawsuit against hedge fund Raging Capital Management LLC over claims that it improperly made $5 million in short-swing profits as a corporate insider of retailer 1-800-Flowers.

  • August 08, 2024

    2 States Eyeing Mark Cuban-Backed App's Cash Advances

    Dave Inc., the maker of a digital banking app backed by billionaire Mark Cuban, is facing scrutiny from Maryland and Connecticut regulators in the wake of recent state efforts to treat paycheck advance products more like small-dollar loans, the financial technology company has told investors.

  • August 08, 2024

    Nasdaq Seeks To Step Up Delistings For Cheap, Risky Stocks

    Nasdaq is proposing to accelerate delisting procedures for companies whose shares fall below $1 for extended periods by tightening compliance deadlines and cracking down on those companies that seek to avoid delisting by enacting reverse stock splits, marking the exchange's latest effort to combat risky stocks.

  • August 08, 2024

    Delta's Boies Attys Slam CrowdStrike's 'Blame The Victim' Ploy

    Delta Air Lines' attorneys at Boies Schiller Flexner LLP on Thursday blasted CrowdStrike's "blame the victim" defense over last month's catastrophic global IT outage, and pledged to haul both the cybersecurity firm and Microsoft to court to recoup what Delta estimates to be over $500 million in revenue losses.

  • August 08, 2024

    Texas LNG Investor's Estate Sues In Del. Over Stake Valuation

    The estate of a deceased investor who had a minority stake in a long-delayed liquified natural gas export project in Texas has sued his investment company and co-investors in Delaware's Chancery Court, alleging they are attempting to short-change the estate by undervaluing his stake in the project.

  • August 08, 2024

    FCC Adopts New Emergency Code For Missing Persons

    The Federal Communications Commission has established a new alert code for missing and endangered persons that will deliver critical messages through television, radio and cellphones, a move the federal agency says will be of particular benefit to tribal communities that have a disproportionate risk of violence, murder or vanishing.

  • August 08, 2024

    BlackRock Asia COO To Become Global Compliance Head

    BlackRock has tapped its chief operating officer for the Asia-Pacific region to become the firm's global head of compliance, with the investment giant's current head of global compliance planning to retire from the firm, according to an internal company memo.

  • August 08, 2024

    Apple Must Produce Docs In Epic Antitrust Fight By Sept. 30

    A California federal judge overseeing discovery in Epic Games' antitrust compliance fight with Apple gave the iPhone-maker a Sept. 30 deadline to hand over documentation on its response to foreign antitrust regulations and other internal documents, rejecting Apple's suggested December deadline and calling the 92,000-document review large but "not huge."

  • August 08, 2024

    SEC Wins Jurisdiction Over German As Sanction For Default

    A German national who the Securities and Exchange Commission says has ignored discovery requests in its attempt to recover proceeds from a $150 million international pump and dump scheme involving his son is subject to personal jurisdiction in the U.S., a Boston federal judge ordered as a sanction.

  • August 08, 2024

    Google Says Epic's Own Tech Experts Undermine Remedies

    Google continued Wednesday to battle what it says would be a dramatic and costly overhaul of its Play Store if Epic Games is allowed to dictate the terms of an antitrust remedy, telling a California federal judge claims of a cheaper, easier solution are undermined by Epic's own experts.

  • August 08, 2024

    DOJ Investigating Formula 1 Over Andretti Denial

    Formula One's owner Liberty Media Corp. disclosed Thursday that the U.S. Department of Justice is investigating antitrust concerns surrounding the denial of Andretti Formula Racing LLC's bid to join the F1's championship series, following a letter from lawmakers.

  • August 08, 2024

    Drilling Permit Suit Must Be Revived, Enviro Orgs. Tell DC Circ.

    Conservation groups are defending their standing to challenge federal approvals of thousands of drilling permits in New Mexico and Wyoming, telling the D.C. Circuit that they have pressed specific allegations showing that the drilling would harm the environment and their members.

  • August 08, 2024

    States, Industry Back High Court Review Of Calif. Waiver

    The U.S. Chamber of Commerce, American Petroleum Institute and a group of states led by Iowa are urging the U.S. Supreme Court to reverse the federal government's decision to continue to allow California to set its own vehicle emissions programs.

  • August 08, 2024

    Judge Won't Fully Seal Atty's Trial Transcript In Contempt Bid

    A group of families that secured a $42 million settlement against a North Carolina county over coercive child custody agreements can't have state trial transcripts sealed that allegedly reveal how much money certain minors got — at least not in their entirety, a federal judge has ruled.

  • August 08, 2024

    Dechert Says Merger Abandonments Are Way Up This Year

    In what's shaping up to be a banner year for antitrust enforcers, U.S. merger abandonments hit historic levels in the first half of 2024, according to a new report from Dechert LLP.

  • August 08, 2024

    FTC Tells 9th Circ. Booksellers Don't Belong In Amazon Case

    The Federal Trade Commission and Amazon both urged the Ninth Circuit not to allow a trade association for independent bookstores to intervene in the government's antitrust case against the e-commerce giant, saying the group's claims are too different.

  • August 08, 2024

    Exec Admits Price-Fixing $100M Of Rebar For Storm Rebuild

    The U.S. Department of Justice announced the guilty plea Wednesday of a former Puerto Rico steel distributor executive who admitted to fixing prices on rebar used for post-hurricane reconstruction, in a conspiracy that impacted more than $100 million in his company's sales.

  • August 08, 2024

    Watchdog Tees Up £6M Fine For IT Co. Over NHS Cyberattack

    The U.K.'s data privacy regulator said it intends to fine a British software company £6 million ($7.6 million) over failings that allowed hackers to disrupt the National Health Service and steal the sensitive personal information of more than 80,000 individuals. 

  • August 07, 2024

    FTX, Alameda Agree To Pay $12.7B To Resolve CFTC's Action

    A New York federal judge Wednesday signed off on a consent order requiring FTX Trading Ltd. and its affiliated trading firm to pay back $8.7 billion to those duped by disgraced FTX founder Sam Bankman-Fried and disgorge an additional $4 billion.

  • August 07, 2024

    Exec Unlikely To Get New Trial In SEC's 'Shadow Trading' Suit

    A California federal judge said at a hearing Wednesday that he wasn't inclined to grant a new trial in a novel SEC "shadow trading" case, saying "there's no question" that a former executive of Medivation, a pharmaceutical company, knew that he was using inside information from his company when he purchased a rival's stock.

  • August 07, 2024

    Biotech Firm Can't Pause SEC Action During Appeal

    A Colorado federal magistrate judge won't pause a lawsuit by securities regulators against a biotech company accused of misappropriating roughly $9 million while the company appeals an asset freeze, agreeing in a Wednesday order with the SEC's argument that investors would be better served if the case moved ahead.

Expert Analysis

  • NLRB Ruling Highlights Rare Union Deauthorization Process

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    A recent National Labor Relations Board decision about a guard company's union authorization revocation presents a ripe opportunity for employees to review the particulars of this uncommon process, and employer compliance is critical as well, say Megann McManus and Trecia Moore at Husch Blackwell.

  • Cannabis Biz Real Estate Loan Considerations For Lenders

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    Now that cannabis sales are legal in some states, real estate lenders are interested in financing the land used by cannabis companies, but because cannabis sales are still illegal under federal law, lenders must make adjustments for cannabis-adjacent transactions, say Mark Levenson and Jeffrey Wendler at Sills Cummis.

  • New State Carbon Capture Laws: Key Points For Developers

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    Multiple states have introduced or expanded legal frameworks for carbon capture and sequestration this year, and while there are some common themes, many of these state laws include unique approaches and requirements — which developers and investors should be aware of when considering potential projects and investment risks, say attorneys at Arnold & Porter.

  • E-Discovery Quarterly: Rulings On Hyperlinked Documents

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    Recent rulings show that counsel should engage in early discussions with clients regarding the potential of hyperlinked documents in electronically stored information, which will allow for more deliberate negotiation of any agreements regarding the scope of discovery, say attorneys at Sidley.

  • Enron Law Is Still Threat To Execs After Justices' Jan. 6 Ruling

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    While the U.S. Supreme Court’s recent Fischer v. U.S. decision is a setback for prosecutors’ obstruction charges against Jan. 6 defendants, it also represents a strong endorsement of the post-Enron Sarbanes-Oxley Act’s original purpose, serving as a corporate compliance reminder for executives, say Michael Peregrine and Ashley Hoff at McDermott.

  • Loper Bright Limits Federal Agencies' Ability To Alter Course

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    The U.S. Supreme Court's recent decision to dismantle Chevron deference also effectively overrules its 2005 decision in National Cable & Telecommunications Association v. Brand X, greatly diminishing agencies' ability to change regulatory course from one administration to the next, says Steven Gordon at Holland & Knight.

  • How To Deploy AI In A Dangerous Threat Landscape

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    Businesses are feeling immense pressure to deploy generative artificial intelligence tools to accelerate profits and demonstrate their technological superiority to investors and consumers, and there are a few steps they can take when using AI tools to mitigate liability risks, say B. Stephanie Siegmann and Julianna Malogolowkin at Hinckley Allen.

  • Calif. Out-Of-State Noncompete Ban Faces Several Hurdles

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    California's attempt to bolster its noncompete law has encountered significant procedural and constitutional challenges, and litigating parties must carefully analyze not only the restrictive covenants contained in their agreements, but also the forum-selection and choice-of-law provisions, say Jennifer Redmond and Gal Gressel at Sheppard Mullin.

  • How 3 Recent High Court Rulings Could Shape Fintech Policy

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    The U.S. Supreme Court's recent decisions in Jarkesy, Loper Bright and Corner Post provide fintech companies with new legal strategies to challenge regulatory actions, but agency reactions to these rulings and inconsistent judicial interpretations could bring compliance challenges and uncertainties, says Amy Whitsel at FS Vector.

  • What Cos. Should Note In DOJ's New Whistleblower Pilot

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    After the U.S. Department of Justice unveiled a new whistleblower pilot program last week — continuing its efforts to incentivize individual reporting of misconduct — companies should review the eligibility criteria, update their compliance programs and consider the risks and benefits of making their own self-disclosures, say attorneys at Skadden.

  • Motion To Transfer Venue Considerations For FCA Cases

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    Several recent decisions highlight the importance for practitioners of analyzing as early as possible whether a False Claims Act case warrants a change of venue, and understanding how courts weigh certain factors for defendants versus whistleblowers, say Ellen London at London & Stout, and Li Yu and Corey Lipton at DiCello Levitt.

  • A Primer On EU's Updated Human Substance Regulations

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    The European Union's updated standards regarding quality and safety of substances of human origin meant for human application carry significant implications for companies that work with cells and tissues, and U.S. companies active in the EU market should pay particular attention to the import and export rules, say Geneviève Michaux and Georgios Symeonidis at King & Spalding.

  • Series

    After Chevron: New Lines Of Attack For FCA Defense Bar

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    Loper Bright has given defense counsel new avenues to overcome the False Claims Act elements of falsity and scienter, as any FCA claim based upon ambiguous statutory terms can no longer stand solely on agency regulations to establish the statute's meaning, which is itself necessary to satisfy the FCA's basic requirements, says Elisha Kobre at Bradley Arant.

  • CFPB's Medical Debt Proposal May Have Side Effects

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    The Consumer Financial Protection Bureau’s recent proposal to prevent medical debt information from appearing on consumer reports and creditors from basing lending decisions on such information may have initial benefits for some consumers, but there are potential negative consequences that should also be considered, say attorneys at Cooley.

  • New NHTSA Fuel Economy Rule Adds Compliance Complexity

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    The National Highway Traffic Safety Administration's recently announced final rule on new corporate average fuel economy standards for passenger cars and light trucks will create challenges for manufacturers, which must also comply with the EPA's multipollutant rule and California's zero-emission vehicle programs, say Joanne Rotondi and Hannah Graae at Hogan Lovells.

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