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Consumer Protection
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July 05, 2024
Atty Sheehan, Client Must Pay Fees in 'Frivolous' Big Lots Suit
A Florida federal judge has ordered prolific consumer advocate lawyer Spencer Sheehan of Sheehan & Associates PC to pay attorney fees in a proposed class action against Big Lots Inc. over deceptive coffee labels, citing bad faith conduct in pursuing a "frivolous" lawsuit similar to one that was dismissed in New York.
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July 03, 2024
6 Things To Know About The Post-Chevron Finreg Impact
The U.S. Supreme Court's decision to overturn the Chevron deference last week may make it tougher for financial regulators to defend a range of rules and regulations pursued by the Biden administration, although experts anticipate the ruling will have an uneven impact across the financial services industry.
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July 03, 2024
Broiler Chicken Buyers' Attys Get $51.6M Fees In Antitrust Suit
An Illinois federal judge overseeing sprawling antitrust litigation against broiler chicken producers awarded class counsel more than $51.6 million in attorney fees in a $181 million deal for chicken buyers after the initial $57 million award was tossed by the Seventh Circuit last year, according to an order Wednesday.
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July 03, 2024
24 AGs Urge High Court To Preserve Ghost Gun Regs
A coalition of 24 attorneys general urged the U.S. Supreme Court to uphold a new federal regulation regarding the weapon parts kits consumers can purchase and use to build ghost guns — firearms without serial numbers — treating them the same way preassembled firearms are, saying the new rule is "crucial to preventing and solving violent, firearm-related offenses."
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July 03, 2024
SEC Says Apparel Co.'s Preemptive Crypto Suit Is Unripe
The U.S. Securities and Exchange Commission told a Texas federal judge on Wednesday a crypto industry group and apparel company can't sue the regulator over its alleged "digital-asset policy" since the parties can't point to any rule or action to challenge.
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July 03, 2024
FCC Says No To Rethink Of $25M Aid Denial For Cell Towers
The Federal Communications Commission says it's not going to rethink its decision to say no to $25.5 million in aid to build 16 cell towers, because even though it's a group of California school districts that is asking, the funds are earmarked for schools, and it was never explained how the towers would benefit the students or staff.
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July 03, 2024
FTC Warns Cos. Over Warranties That Limit Right To Repair
The Federal Trade Commission is warning a group of air purifier sellers, treadmill makers and gaming tech companies not to scare their customers from using independent dealers to repair their products, saying their use of "warranty void" notices might be in violation of federal right-to-repair laws.
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July 03, 2024
Appliance Co. Must Face Stove Pollutant Risk Claims
Sub-Zero Group Inc., a maker of luxury kitchen appliances, can't get out of a proposed class action accusing it of selling gas stoves that emit pollutants, a Wisconsin federal judge has ruled, saying federal energy efficiency laws do not "at this point" invalidate the state law claims.
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July 03, 2024
One Judge Not Enough For TCPA Deal's Toss, 11th Circ. Told
An Alabama woman has said a recent Eleventh Circuit decision tossing her and other class members' $35 million settlement with GoDaddy.com should get another look from a three-judge panel because outstanding questions about which of the panel's opinions control are poised to sow confusion with the district court.
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July 03, 2024
FCC Denies 'Blanket Amnesty' If Cos. Drop Network Projects
The Federal Communications Commission said Wednesday it will not provide blanket relief from FCC penalties against broadband providers that pull out of rural deployment commitments, but will weigh companies' individual circumstances.
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July 03, 2024
SentinelOne Beats Investor Suit Over $27M Revision, For Now
Cybersecurity company SentinelOne Inc. has beaten a proposed investor class action filed after its $27 million downward revision of one of its key business metrics for its 2023 fiscal year, though a California federal judge gave the shareholders a chance to revise their suit.
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July 03, 2024
FCC Says Assurance Failed Blind Customer On Accessibility
T-Mobile unit Assurance made one of its blind customers spend the better part of three years going back and forth with it about getting an accessible device, which it was required to provide under the Federal Communications Commission's rules for the Lifeline subsidy program, the FCC said.
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July 03, 2024
'Who Does That?' 7th Circ. Pans Walmart's Price Audit Theory
The Seventh Circuit on Wednesday revived a class action accusing Walmart of systematically posting lower prices on shelves than it actually charges, rejecting the retailer's argument that the onus is on customers to keep track of prices as they're juggling various distractions during checkout.
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July 03, 2024
Texas Court Puts FTC's Noncompete Ban On Hold
A Texas federal judge on Wednesday blocked the Federal Trade Commission from enforcing its rule banning noncompete agreements against tax preparation company Ryan LLC and the U.S. Chamber of Commerce and suggested the regulation should be shot down.
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July 03, 2024
Geico To Pay Policyholders $2M To Settle Underpayment Suit
Geico policyholders asked a New Jersey federal judge for preliminary approval of a $1.9 million settlement resolving claims the insurer breached their policies by failing to pay title or registration transfer fees upon the total loss of an insured vehicle.
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July 03, 2024
Hartford Unit Says Software Co. Not Covered For BIPA Claims
A Hartford unit told an Illinois federal court that a software company isn't owed coverage for two underlying class actions alleging that its software was used by two different restaurant chains to collect customers' biometric information, arguing that the alleged Biometric Information Privacy Act violations aren't covered under its policies.
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July 03, 2024
Oil Trading Cos. Ink 'Simple' $13.9M Deal In Gas Price Rig Suit
Oil trading companies Vitol and SK Energy have agreed to shell out $13.9 million to resolve a consolidated proposed class action alleging that they plotted to artificially inflate California gas prices following an ExxonMobil explosion in 2015, buyers told a California federal judge.
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July 03, 2024
NC Appeals Court OKs Hospital's 'Facility Fees' For ER Patient
The North Carolina Court of Appeals has found that Novant Health was allowed to charge an emergency room patient "facility fees" because a contract she signed for healthcare included language requiring payment for anything not covered by insurance.
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July 03, 2024
FCC Relying On Iffy Broadband Marketing Data, Co-Ops Say
Rural broadband providers are telling the Federal Communications Commission that more changes are needed for the agency's national broadband maps to accurately determine where federal funding would have the biggest impact in building out network infrastructure in hard-to-reach areas.
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July 03, 2024
After Chevron Deference: What Lawyers Need To Know
This term, the U.S. Supreme Court overturned Chevron deference, a precedent established 40 years ago that said when judges could defer to federal agencies' interpretations of law in rulemaking. Here, catch up with Law360's coverage of what is likely to happen next.
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July 02, 2024
Data Breach Suits Drive Consumer Protection Docket Growth
Federal consumer protection lawsuits are back on the rise after nearly a decade of steady decline, with disputes over increasingly prevalent data breaches fueling the uptick, according to a Wednesday report by Lex Machina.
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July 02, 2024
Gig Co. Inks $7M FTC Deal Over Misleading Pay Promises
Arise Virtual Solutions Inc., a platform that connects gig workers with companies, on Tuesday agreed to pay $7 million to resolve Federal Trade Commission allegations that it misled workers about the money they could earn working from home as customer service agents for major companies.
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July 02, 2024
YouTube Beats Kids Privacy Suit, But Plaintiffs Get 7th Shot
A California federal magistrate judge tossed with leave to amend Monday a revived proposed class action alleging Google and companies that host child-friendly YouTube channels illegally collected children's data from targeted ads, giving consumers a seventh shot to cure the deficiencies.
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July 02, 2024
Vroom Settles With FTC Over Deceptive Ads, Late Deliveries
Texas-based used car company Vroom will pay $1 million to settle allegations it misleadingly advertised to customers that its used vehicles listed for sale were thoroughly inspected and failed to promptly refund customers when their cars weren't delivered within the represented 10-to-14 day time-frame, the Federal Trade Commission announced on Tuesday.
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July 02, 2024
Mike Huckabee Says Meta Hosted Fake CBD Gummy Ads
Former Arkansas Gov. Mike Huckabee says Meta Platforms Inc. has been allowing and hosting advertisements that falsely portray him promoting CBD gummies, leading to people falsely associating him with the CBD industry and marijuana use, according to a suit filed Monday in Delaware federal court.
Expert Analysis
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How High Court Approached Time Limit On Reg Challenges
The U.S. Supreme Court's decision in Corner Post v. Federal Reserve Board effectively gives new entities their own personal statute of limitations to challenge rules and regulations, and Justice Brett Kavanaugh's concurrence may portend the court's view that those entities do not need to be directly regulated, say attorneys at Snell & Wilmer.
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How To Clean Up Your Generative AI-Produced Legal Drafts
As law firms increasingly rely on generative artificial intelligence tools to produce legal text, attorneys should be on guard for the overuse of cohesive devices in initial drafts, and consider a few editing pointers to clean up AI’s repetitive and choppy outputs, says Ivy Grey at WordRake.
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Series
After Chevron: Opportunities For Change In FHFA Practices
The U.S. Supreme Court's overturning of the Chevron doctrine should lead to better cooperation between the Federal Housing Finance Agency and Congress, and may give the FHFA a chance to embrace transparency and innovation and promote sustainable housing practices, says Mehdi Sinaki at Michelman & Robinson.
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Supreme Court's ALJ Ruling Carries Implications Beyond SEC
In its recent Jarkesy opinion, the U.S. Supreme Court limited the types of cases that can be tried before the U.S. Securities and Exchange Commission's in-house administrative law judges, setting the stage for challenges to the constitutionality of ALJs across other agencies, say Robert Robertson and Kimberley Church at Dechert.
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2nd Circ. ERISA Ruling May Help Fight Unfair Arb. Clauses
The Second Circuit recently held that a plaintiff seeking planwide relief under the Employee Retirement Income Security Act cannot be compelled to individual arbitration, a decision that opens the door to new applications of the effective vindication doctrine to defeat onerous and one-sided arbitration clauses, say Raphael Janove and Liana Vitale at Janove.
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Series
NC Banking Brief: All The Notable Legal Updates In Q2
After federal banking agencies last quarter released a supplemental final rule updating the Community Reinvestment Act, North Carolina banks involved in community development should consider how the new rule might open up opportunities for investment and services that can benefit underserved areas, says Adam Goldblatt at Michael Best.
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Series
Boxing Makes Me A Better Lawyer
Boxing has influenced my legal work by enabling me to confidently hone the skills I've learned from the sport, like the ability to remain calm under pressure, evaluate an opponent's weaknesses and recognize when to seize an important opportunity, says Kirsten Soto at Clyde & Co.
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Series
After Chevron: No Deference, No Difference For SEC Or CFTC
The Chevron doctrine did not fundamentally alter the interplay between the courts and the U.S. Securities and Exchange Commission and the U.S. Commodity Futures Trading Commission in the development of the securities and commodities laws — and its demise will not do so either, says Dan Berkovitz at Millennium Management.
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Opinion
Industry Self-Regulation Will Shine Post-Chevron
The U.S. Supreme Court's Loper decision will shape the contours of industry self-regulation in the years to come, providing opportunities for this often-misunderstood practice, says Eric Reicin at BBB National Programs.
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3 Ways Agencies Will Keep Making Law After Chevron
The U.S. Supreme Court clearly thinks it has done something big in overturning the Chevron precedent that had given deference to agencies' statutory interpretations, but regulated parties have to consider how agencies retain significant power to shape the law and its meaning, say attorneys at K&L Gates.
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Series
After Chevron: Expect Few Changes In ITC Rulemaking
The U.S. Supreme Court's opinion overruling the Chevron doctrine will have less impact on the U.S. International Trade Commission than other agencies administering trade statutes, given that the commission exercises its congressionally granted authority in a manner that allows for consistent decision making at both agency and judicial levels, say attorneys at Polsinelli.
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Series
Calif. Banking Brief: All The Notable Legal Updates In Q2
The second quarter of 2024 in California, which saw efforts to expand consumer protection legislation and enforcement actions in areas of federal focus like medical debt and student loans, demonstrated that the state's role as a trendsetter in consumer financial protection will continue for the foreseeable future, say attorneys at Sheppard Mullin.
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Opinion
Atty Well-Being Efforts Ignore Root Causes Of The Problem
The legal industry is engaged in a critical conversation about lawyers' mental health, but current attorney well-being programs primarily focus on helping lawyers cope with the stress of excessive workloads, instead of examining whether this work culture is even fundamentally compatible with lawyer well-being, says Jonathan Baum at Avenir Guild.
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What Passage Of House Crypto Bill Could Mean For Industry
While the prospects of the Financial Innovation and Technology for the 21st Century Act, which recently passed the House in a bipartisan fashion, becoming law remain murky, the manner of its passage may give crypto markets a real cause for hope, say Neel Maitra and Dale Beggs at Dechert.
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Series
NY Banking Brief: All The Notable Legal Updates In Q2
The second quarter of 2024 saw less enforcement activity in the realm of New York financial services, but brought substantial regulatory and legislative developments, including state regulators' guidance on cybersecurity compliance and customer service processes for virtual currency entities, say James Vivenzio and Andrew Lucas at Perkins Coie.