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Compliance
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November 07, 2024
Net Neutrality Foes See 6th Circ. Clearing Path To End Rules
Recent arguments in the Sixth Circuit over the Federal Communications Commission's controversial net neutrality restrictions didn't give a definitive indication of how judges will decide the issue, but the rule's opponents are buoyed by questions that appeared at times to lean in their favor.
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November 07, 2024
Sutter Health Could Face Retrial On Antitrust Claims In March
Sutter Health is headed back to trial after the Ninth Circuit said "highly relevant" evidence was excluded from the 2022 trial where the hospital chain defeated claims that it had driven up the cost of insurance, and the court overseeing the matter says March is the earliest it can do.
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November 07, 2024
FINRA Orders Ga. Broker To Pay $2M Over Trading Strategy
A Georgia-based brokerage firm has agreed to pay $2 million in partial restitution to settle allegations from the Financial Industry Regulatory Authority that the firm recommended a trading strategy to customers without fully understanding it.
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November 07, 2024
Alaska Flyers Lodge Emergency 9th Circ. Bid To Halt Merger
Flyers and travel agents hoping to block Alaska Airlines' $1.9 billion merger with Hawaiian Airlines are asking the Ninth Circuit for an emergency halt to any further integration between the companies while they appeal a district court's dismissal of their suit, telling the judges consumers will be hurt if the merger continues.
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November 07, 2024
Albany, NY, Nursing Home Hit With $2M Verdict Over Death
A New York federal jury has hit the Albany County Nursing Home with a $2 million verdict in a suit by a woman alleging the staff neglected her father and did nothing as he lay dying in bed.
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November 07, 2024
Fed Chair Powell Says He Won't Step Down If Trump Asks
Federal Reserve Chair Jerome Powell said Thursday that he would not step down from his role if President-elect Donald Trump asked him to, doubling down on his commitment to serving out the remaining two years of his appointment leading the central bank.
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November 07, 2024
Colo. Says Man Sold $3M In Unregistered Securities
Colorado securities regulators filed a lawsuit in state court alleging a man sold more than $3 million of unregistered securities to investors, many of them friends, students or women he met through dating apps, while withholding important information or misrepresenting the investments.
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November 07, 2024
Navy Federal Inks $95M Settlement Of CFPB Overdraft Claims
Navy Federal Credit Union on Thursday agreed to refund more than $80 million to its members and pay a $15 million civil penalty to the Consumer Financial Protection Bureau to settle allegations that it charged illegal "surprise" overdraft fees.
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November 07, 2024
Same PBM Conduct Means Same Insulin Price Trial, FTC Says
Federal Trade Commission staffers want Caremark Rx, Express Scripts and OptumRx kept together in a single in-house case accusing the pharmacy benefit managers of artificially inflating insulin prices through unfair rebate schemes, arguing they are all "accused of violating the same laws by engaging in the same type of conduct."
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November 07, 2024
NC State '83 Team Fights 'Absurd' NCAA Bid To Toss NIL Suit
The NCAA's ongoing use of the 1983 North Carolina State University basketball team's championship highlights in promotions and marketing negates its claim that any allegations of name, image and likeness misuse are past the statute of limitations, the team's players told a North Carolina state court Wednesday.
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November 07, 2024
Transparency Act Should Exclude Housing Co-Ops, Court Told
A group of housing cooperatives asked a Michigan federal judge to grant them an exemption from the "dragnet" Corporate Transparency Act, claiming the disclosure requirements will deter members from serving on boards that govern affordable housing developments.
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November 07, 2024
Canada's Competition Bureau Seeks Dye & Durham Docs
Canada's Competition Bureau announced Thursday that it obtained a court order to gather information and advance an ongoing investigation into alleged anti-competitive conduct by legal technology company Dye & Durham Ltd., which has been scrutinized over the past year by activist investors and other national regulatory bodies.
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November 07, 2024
Calif. Gov. Lays Groundwork To Fight Trump Policies In Court
California Gov. Gavin Newsom called a special legislative session on Thursday to fund litigation against President-elect Donald Trump's potential erosion of abortion rights, immigration protections and environmental progress, saying lawyers for the blue state have already begun preparing "to challenge in court unconstitutional and unlawful federal policies."
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November 07, 2024
Louisiana Says EPA Usurped State Power In Pollution Row
The state of Louisiana told the Fifth Circuit that the U.S. Environmental Protection Agency has no authority to invalidate a two-year compliance deadline extension the state granted to a neoprene manufacturer, which is being sued by the agency.
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November 06, 2024
Trump's SEC Expected To See 'Dramatic' Enforcement Change
Former President Donald Trump's reelection means a notable shift in the types of cases the U.S. Securities and Exchange Commission is expected to bring, attorneys said Wednesday at a Washington, D.C., conference, while the agency's current top enforcer vowed business as usual for now as it carries on with its well over 1,500 investigations.
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November 06, 2024
FTC Pushes For Amazon Docs In Antitrust Case
The Federal Trade Commission on Tuesday urged a federal court in Seattle to make Amazon hand over documents in the agency's monopolization case against the e-commerce giant, saying its discovery requests aren't unduly burdensome given the breadth of Amazon's alleged anticompetitive conduct.
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November 06, 2024
FTC Slams AI-Enabled Review Site Over 'Inflated' Ratings
Consumer review platform Sitejabber has agreed to stop misrepresenting that its content comes from individuals who have already received the rated product in order to resolve the Federal Trade Commission's claims that this conduct led to the inflation of average metrics on its site, the agency said Wednesday.
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November 06, 2024
FTX Exec Looks To Avoid Prison For 'Smallest Share' Of Crime
Former FTX technology chief Zixiao "Gary" Wang on Wednesday asked a Manhattan federal judge not to give him prison time for his part in the $11.2 billion fraud case, calling himself "the one who stands convicted of the smallest share of misconduct" among former CEO Sam Bankman-Fried's lieutenants.
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November 06, 2024
Treasury Expands Sanctions On Bosnian Patronage Network
The U.S. Department of the Treasury's Office of Foreign Assets Control announced new sanctions on Wednesday against an individual and entity that allegedly support a corrupt patronage network in Bosnia and Herzegovina which is attempting to evade other initiated sanctions.
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November 06, 2024
Trump's Win Likely To Spur Deals For Capital Markets Attys
Former President Donald Trump's decisive win in Tuesday's presidential election will enable deals to proceed on a more certain basis, capital markets advisers said Wednesday, citing pent-up demand to restart capital raising after a long period of subdued activity.
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November 06, 2024
SEC Moves To Ax Key Defenses In Kraken Crypto Fraud Row
The U.S. Securities and Exchange Commission has urged a California federal court to ax three of crypto exchange Kraken's defenses in a case alleging it violated securities laws by offering crypto assets without proper registration, arguing that the court has already rejected Kraken's claims that the agency lacks authority to bring the case and that existing law is too vague.
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November 06, 2024
SEC's Gensler Faces Group's Call To Resign After Trump Win
Following Donald Trump's election victory Wednesday, a financial services trade association called on U.S. Securities and Exchange Commission Chair Gary Gensler to "immediately" step down in order to boost trust in the agency.
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November 06, 2024
Alaska Asks 9th Circ. To Roll Back Ringed Seal Protections
The state of Alaska called on the Ninth Circuit to overturn a district court's refusal to eliminate Endangered Species Act protections for Arctic ringed seals, arguing the federal government failed to properly credit new information that raised serious questions about the necessity for continuing protections.
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November 06, 2024
Customers Look To Preserve Lead Class Action Against AT&T
AT&T shareholders are telling a Texas federal judge that the company acted with scienter when it allegedly misled investors about the removal of lead-covered copper cables from its network, pushing back on AT&T's motion to dismiss the suit stemming from a drop in the company's stock price.
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November 06, 2024
Stifel Balks At CFTC Offer To Settle Text Messaging Case
Stifel said Wednesday that it has rejected an offer to settle U.S. Commodity Futures Trading Commission claims tied to off-channel communications use, the latest in an industry sweep that previously saw the boutique investment bank settle with the U.S. Securities and Exchange Commission for $35 million.
Expert Analysis
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Aviation Watch: Boeing Plea Agreement May Not Serve Public
The proposed plea agreement between the U.S. Department of Justice and Boeing — the latest outgrowth of the company's 737 Max travails — is opposed by crash victims' families, faces an uncertain fate in court, and may ultimately serve no beneficial purpose, even if approved, says Alan Hoffman, a retired attorney and aviation expert.
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Managing Sanctions Defense Across Multiple Jurisdictions
Companies called before multiple regulators to account for the same conduct in this era of increased global sanctions and import-control enforcement should consider national differences in law and policy, and proactively coordinate their responses in certain key areas, say attorneys at Baker McKenzie.
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Takeaways From TOTSA Settlement And Critical CFTC Dissent
The U.S. Commodity Futures Trading Commission's recent settlement with TOTSA highlights the agency's commitment to enforcing market integrity and deterring manipulative practices, while Commissioner Caroline Pham's dissent to the settlement spotlights the need for transparency and consistency in enforcement actions, say attorneys at Davis Wright.
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Building US-Japan Relationships In The M&A Market
The prospect of U.S.-Japanese mergers and acquisitions presents stronger competition to U.S. investors in the global M&A markets, while also opening up an additional exit route for sellers looking to offload strategic assets, says Nick Wall at A&O Shearman.
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Litigation Inspiration: Honoring Your Learned Profession
About 30,000 people who took the bar exam in July will learn they passed this fall, marking a fitting time for all attorneys to remember that they are members in a specialty club of learned professionals — and the more they can keep this in mind, the more benefits they will see, says Bennett Rawicki at Hilgers Graben.
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Payward And The Secondary Crypto Transaction Confusion
Following orders in cases against Coinbase and Binance, the recent California federal court ruling in U.S. Securities and Exchange Commission v. Payward raises even more questions about regulation of secondary transactions involving crypto-assets, as it tries to sidestep fundamental flaws in the SEC's legal theories, say attorneys at Cahill Gordon.
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4 Ways To Prepare For DOD Cyber Certification Rule
Given the U.S. Department of Justice's increased scrutiny of contractor compliance with cybersecurity requirements, it is critical that contractors take certain steps now in response to the U.S. Department of Defense's proposed Cybersecurity Maturity Model Certification implementation rule, say Townsend Bourne and Lillia Damalouji at Sheppard Mullin.
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FTC Focus: How Scrutiny Of PBMs And Insulin May Play Out
Should Express Scripts' recent judicial challenge to the Federal Trade Commission succeed, any new targets could add litigation and choice of forum to their playbooks, and potential FTC court action on insulin could be forced to parallel venues as the issues between the commission and PBMs evolve, say attorneys at Proskauer.
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Opinion
AI May Limit Key Learning Opportunities For Young Attorneys
The thing that’s so powerful about artificial intelligence is also what’s most scary about it — its ability to detect patterns may curtail young attorneys’ chance to practice the lower-level work of managing cases, preventing them from ever honing the pattern recognition skills that undergird creative lawyering, says Sarah Murray at Trialcraft.
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Takeaways From Texas AG's Novel AI Health Settlement
The Texas attorney general's recent action against a health tech company marks another step in rapidly proliferating enforcement against artificial intelligence and privacy issues across multiple states, and highlights important risk mitigation considerations for health companies that implement AI systems, say attorneys at Troutman Pepper.
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A Look At How De Minimis Import Rules May Soon Change
The planned implementation of executive actions focused on the de minimis rule as it applies to shipments means companies should use this interval to evaluate the potential applicability and impact of Section 301, Section 201 or Section 232 duties on their products, say attorneys at Holland & Knight.
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Antitrust Issues To Watch Amid Google Ad Tech Trial
Regardless of the outcome of the U.S. Department of Justice's advertising technology antitrust suit against Google in Virginia federal court, matters ranging from market definition to unified pricing will likely have far-reaching implications for the digital advertising industry, competition and innovation, say attorneys at Holland & Knight.
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Key Takeaways From DOJ's New Corp. Compliance Guidance
The U.S. Department of Justice’s updated guidance to federal prosecutors on evaluating corporate compliance programs addresses how entities manage new technology-related risks and expands on preexisting policies, providing key insights for companies about increasing regulatory expectations, say attorneys at Debevoise.
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What's In The Cards For CFTC's Election Betting Case
A D.C. federal judge's Sept. 12 ruling, allowing KalshiEx to offer derivative contracts trading on the outcome of the U.S. congressional elections over objections from the U.S. Commodity Futures Trading Commission, could mark a watershed moment in the permissibility of election betting if upheld on appeal, say attorneys at BakerHostetler.
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What To Know About Latest Calif. Auto-Renewal Law Update
While businesses have about nine months to prepare before the recently passed amendment to California's automatic renewal law takes effect, it’s not too early to begin working on compliance efforts, including sign-up flow reviews, record retention updates and marketing language revisions, say Gonzalo Mon and Beth Chun at Kelley Drye.