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Consumer Protection
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December 11, 2024
Toyota Must Face 'Parasitic Drain' Claims, Ga. Judge Says
A proposed class action alleging that Toyota's RAV4 SUV suffers from a known defect that drains the car's battery while shut off was largely preserved Wednesday by a Georgia federal judge, who declined to dismiss all but one of the claims against the manufacturer.
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December 11, 2024
FCC Allows Full 6 GHz Band For Unlicensed Wireless Devices
The Federal Communications Commission on Wednesday opened two more slices of the 6 gigahertz airwaves to power unlicensed wireless uses ranging from augmented reality to body-worn technologies.
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December 11, 2024
3M Gets Georgia Man's $850M PFAS Remediation Bid Denied
A Georgia federal judge has shut down a proposed injunction requiring 3M Co. and other companies to pay $850 million for remediation of water sources in Dalton contaminated with per- and polyfluoroalkyl substances, saying the named plaintiff doesn't have standing to call for the remediation.
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December 11, 2024
CORRECTED: Jury Finds Poultry Co. Owes $10.5M For Bony Chicken
Pilgrim's Pride owes Washington-based grocery vendor Innovative Solutions Inc. $10.5 million for consumer protection and negligence claims, a federal jury said Wednesday, capping off a weeklong trial in which Innovative accused the poultry producer of selling it bony chicken that ultimately ruined a chicken burger deal with Trader Joe's. Correction: An earlier version of the story misstated the verdict amount. The error has been corrected.
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December 11, 2024
CFPB's Chopra Won't Head For Exit Ahead Of Trump's Arrival
Consumer Financial Protection Bureau Director Rohit Chopra signaled Wednesday that he won't leave his post early unless and until the incoming Trump administration fires him next month, indicating that he plans to keep running the agency in the meantime.
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December 11, 2024
Albertsons Sues Kroger In Chancery After Blocked Megadeal
Grocery giant Albertsons, in a Wednesday lawsuit in the Delaware Court of Chancery, said Kroger did not put forth its "best efforts" into getting their planned $24.6 billion megamerger cleared while also announcing official plans to nix the deal, moves that came just one day after two judges blocked the proposed acquisition.
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December 10, 2024
Major Food Cos. Push 'Addictive' Foods On Kids, Suit Says
The Kraft Heinz Co., Nestle USA, General Mills and other major food companies are putting profits above all else by making highly addictive ultra-processed foods and aggressively marketing the products to children, leading to skyrocketing levels of chronic disease, according to a lawsuit filed Tuesday in Philadelphia court.
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December 10, 2024
Feds Tell Justices To Stay Out Of Climate Change Tort Fights
U.S. Solicitor General Elizabeth Prelogar on Tuesday urged the U.S. Supreme Court not to weigh in on climate change torts filed against fossil fuel companies, arguing in a pair of briefs that the state court cases aren't the correct vehicles for resolving the issues, at least not yet.
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December 10, 2024
Robinhood Seeks Arb. For Remaining Meme Stock MDL Suits
Stock trading platform Robinhood urged a Florida federal court to send to arbitration the seven remaining individual suits brought against it as part of a multidistrict litigation over the platform's decision to freeze trading in certain so-called meme stocks amid a social-media fueled run on shares of those issuers.
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December 10, 2024
SEC Says Ex-Rep Defrauded Investors With Short-Term Bets
A former registered representative of broker-dealer Western International Securities Inc. has agreed to pay over $2.1 million to end U.S. Securities and Exchange Commission allegations he orchestrated a scheme to defraud retail clients by recommending costly investment strategies, and then covered up their "substantial" losses with phony financial statements.
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December 10, 2024
Trader Joe's Seller Fumbled Burger Deal, Poultry Co. Says
Pilgrim's Pride told a federal jury Tuesday it was not ultimately responsible when a grocery supplier used its bony chicken shipments to make burgers, arguing the vendor failed to inspect the meat for excessive bones, leading to eventual recalls and the end of its Trader Joe's deal.
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December 10, 2024
7th Circ. Questions Reviving Harley-Davidson Warranty MDL
The Seventh Circuit on Tuesday flagged issues with not only Harley-Davidson's motorcycle warranty but also its customers' antitrust claims against it as the court considered reviving multidistrict litigation claiming the contract constitutes illegal tying.
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December 10, 2024
Property Manager At Center Of Gang Claims Sues Colo. AG
A property management company caught up in a national controversy following allegations a Venezuelan gang had taken over some of its buildings in Aurora, Colorado, is suing the state to block probes by the state's attorney general into the company's management of its properties.
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December 10, 2024
Pastor Targeted Churchgoers In $6M Crypto Fraud, CFTC Says
The U.S. Commodity Futures Trading Commission announced Tuesday that it has sued a Washington state pastor in federal court for allegedly targeting Spanish-speaking individuals, including members of his congregation, with a cryptocurrency multilevel marketing scheme worth at least $5.9 million.
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December 10, 2024
FCC Gives Church, Not University, Ill. Low Power FM Station
A Pentecostal church has won a face-off with a Christian university over which one of them would get to build and run a new low power FM station in the northern Chicago suburbs after the Federal Communications Commission compared their applications and heard a complaint.
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December 10, 2024
Google Takes Aim At Ad Tech Antitrust Claims In States' Suit
Google has blasted the lawsuit accusing it of illegally manipulating the advertising market, saying that Texas and the roughly dozen other states behind the litigation are "playing a shell game" in which they serially amend their complaints to "avoid the weaknesses of their antitrust claims."
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December 10, 2024
NC Law Firm, Insurer Drop Phishing Coverage Row
A law firm specializing in real estate transactions and its cyber insurer told a North Carolina federal court Tuesday they've agreed to settle their dispute over coverage for a phishing scam the firm said caused it to unwittingly wire roughly $647,000 to the hacker's bank account.
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December 10, 2024
Trump Taps Ferguson As FTC Chief, Kressin Atty To GOP Seat
President-elect Donald Trump named current Federal Trade Commission member Andrew N. Ferguson to be its next chair Tuesday night while also picking Kressin Meador Powers LLC partner Mark Meador, a former deputy chief counsel to Sen. Mike Lee, R-Utah, to round out the FTC as its third Republican member.
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December 10, 2024
FTC's Holyoak Says Chair OK With Some Cartels
Federal Trade Commissioner Melissa Holyoak said Lina Khan, the agency's current chair, is suggesting enforcers ignore anticompetitive activity if it's not being committed by what she considers "dominant firms."
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December 10, 2024
FCC Cracks Down Again On Failures To Block Robocalls
The Federal Communications Commission will consider tougher compliance rules to ensure voice service providers take part in efforts to cut robocalls, also saying Tuesday that more than 2,400 providers could face enforcement action for failing to meet existing filing requirements.
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December 10, 2024
AGs Urge FCC To Remove 'Pain' From Customer Service Calls
A coalition of state attorneys general called Tuesday for the Federal Communications Commission to take some of the "pain" out of customer service calls in FCC-regulated industries from internet and voice calls to broadcast satellite.
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December 10, 2024
Crypto Groups Rally Against Reappointing SEC's Crenshaw
Cryptocurrency industry groups are pushing back on a potential second term for U.S. Securities and Exchange Commissioner Caroline Crenshaw with an online ad campaign and letters to lawmakers ahead of a Senate Banking Committee vote Wednesday on the Democrat's confirmation.
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December 10, 2024
ESPN, Fox Blast DOJ 'Formalistic Distinction' In Fubo Case
ESPN, Fox and Warner Bros. Discovery pressed the Second Circuit to upend a lower court injunction against their sports-only streaming service, taking particular aim at U.S. Department of Justice arguments asserting the sports giants can't claim they have a right to refuse dealing with rivals after joining forces.
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December 10, 2024
Utah Man Gets 9 Mos. For $7M Fraud With 'Housewives' Star
A Manhattan federal judge sentenced a Utah resident to nine months in prison Tuesday, after the man admitted he worked with onetime reality TV star Jen Shah to build a fraudulent telemarketing empire that preyed on the elderly over a decade.
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December 10, 2024
Keller Postman Seeks To DQ Jenner & Block In Tubi Fight
Keller Postman LLC wants Jenner & Block LLP sanctioned and disqualified for a "shocking pattern of unethical conduct" — which allegedly includes hiring a private investigator to interrogate the firm's clients — in a lawsuit accusing Keller Postman of filing thousands of "fraudulent" arbitration claims against streaming service Tubi Inc.
Expert Analysis
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Employer Arbitration Lessons From Calif. Consumer Ruling
Although a California state appeals court’s recent arbitration ruling in Mahram v. Kroger involved a consumer transaction, the finding that the arbitration agreement at issue did not apply to a third-party beneficiary could influence how employment arbitration agreements are interpreted, says Sander van der Heide at CDF Labor Law.
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Unpacking Jurisdiction Issues In 3rd Circ. Arbitration Ruling
The Third Circuit's recent ruling in George v. Rushmore Service Center could be interpreted to establish three principles regarding district courts' jurisdiction to enter arbitration-related orders under the Federal Arbitration Act, two of which may lead to confusion, says David Cinotti at Pashman Stein.
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Why Attorneys Should Consider Community Leadership Roles
Volunteering and nonprofit board service are complementary to, but distinct from, traditional pro bono work, and taking on these community leadership roles can produce dividends for lawyers, their firms and the nonprofit causes they support, says Katie Beacham at Kilpatrick.
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'Pig Butchering': The Scam That Exploits Crypto Confusion
Certain red flags can tip off banks to possible "pig-butchering," and with the scam's increasing popularity, financial institutions need to take action to monitor entry points into the crypto space, detect suspicious activity and provide a necessary backstop to protect customers, say Brandon Essig and Mary Parrish McCracken at Lightfoot Franklin.
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Opinion
Agencies Should Reward Corporate Cyber Victim Cooperation
The increased regulatory scrutiny on corporate victims of cyberattacks — exemplified by the U.S. Securities and Exchange Commission's case against SolarWinds — should be replaced with a new model that provides adequate incentives for companies to come forward proactively and collaborate with law enforcement, say attorneys at McDermott.
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How Transaction Lookbacks Can Guide Fintech Companies
As transaction lookbacks continue to be a key focus of enforcement actions, newer financial institutions like fintech companies should know they can benefit from proactively investigating their potential failure to identify suspicious activity, creating a compliance road map and building trust with regulators in the process, say attorneys at Jenner & Block.
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Firms Must Offer A Trifecta Of Services In Post-Chevron World
After the U.S. Supreme Court’s Loper Bright Enterprises v. Raimondo decision overturning Chevron deference, law firms will need to integrate litigation, lobbying and communications functions to keep up with the ramifications of the ruling and provide adequate counsel quickly, says Neil Hare at Dentons.
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Opinion
CFPB's AI Stance Backslides On Innovation Issues
The Consumer Financial Protection Bureau's recent response to a Treasury Department's request for information about artificial intelligence in the financial services sector uses alarmist rhetoric about the technology's risks, ceding an opportunity to help shape this important discussion, says Mike Silver at Husch Blackwell.
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How Ripple Final Judgment Fits In Broader Crypto Landscape
The Southern District of New York's recent $125 million civil penalty levied in U.S. Securities and Exchange Commission v. Ripple will have a broad impact on the crypto industry as it was the first to hold that blind sales of digital assets are not securities, even if deemed securities in other circumstances, say attorneys at BakerHostetler.
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5 Tips To Succeed In A Master Of Laws Program And Beyond
As lawyers and recent law school graduates begin their Master of Laws coursework across the country, they should keep a few pointers in mind to get the most out of their programs and kick-start successful careers in their practice areas, says Kelley Miller at Reed Smith.
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The Bank Preemption Ripple Effects After Cantero, Flagstar
The importance of federal preemption for financial institutions will only increase as technology-driven innovations evolve, which is why the U.S. Supreme Court's recent decision in Cantero v. Bank of America and vacatur of Kivett v. Flagstar Bank have real modern-day significance for national banks, say attorneys at WilmerHale.
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IP Hot Topic: The Intersection Of Trademark And Antitrust Law
Antitrust claims – like those in the U.S. Department of Justice’s recent case against Apple – are increasingly influencing trademark disputes and enforcement practices, demonstrating how antitrust law can dilute the power of a trademark, say attorneys at Dentons.
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When Trauma Colors Testimony: How To Help Witnesses
As stress-related mental health issues continue to rise, trial attorneys must become familiar with a few key trauma-informed strategies to help witnesses get back on track — leaning in to the counselor aspect of their vocations, say Ava Hernández and Steve Wood at Courtroom Sciences.
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Series
Being An Opera Singer Made Me A Better Lawyer
My journey from the stage to the courtroom has shown that the skills I honed as an opera singer – punctuality, memorization, creativity and more – have all played a vital role in my success as an attorney, says Gerard D'Emilio at GableGotwals.
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What Cos. Need to Know About Battery Labeling Law
With new labeling requirements for button cell battery packaging taking effect in September, manufacturers and importers must review compliance, testing procedures, and necessary paperwork as the consequences of noncompliance can lead to costly penalties and supply chain woes, says Aasheesh Shravah at CM Law.