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Consumer Protection
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December 06, 2024
Philips Medical Monitoring Deal, $4.8M Fees Get Final OK
A Pennsylvania federal judge on Thursday gave the final OK on a $25 million settlement in medical monitoring claims in multidistrict litigation stemming from a recall of ventilator machines by Koninklijke Philips NV and American subsidiaries.
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December 06, 2024
Cancer Claimant Amici Slam Bestwall's Two-Step Ch. 11
Georgia-Pacific unit Bestwall's bid to handle asbestos liability using a controversial "Texas Two-Step" Chapter 11 case is "grotesquely inequitable" and "plainly at odds" with the tenets of bankruptcy, a group of injury claimants in separate insolvency proceedings said in a brief urging the Fourth Circuit to toss the case.
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December 06, 2024
Conn. Panel Pares $150M From $1.44B Alex Jones Verdict
The Connecticut Appellate Court on Friday sliced $150 million from a $1.44 billion trial court judgment against Infowars host Alex Jones over his claims that the Sandy Hook shooting was a hoax, holding the state's consumer protection laws did not allow the massacre's survivors to recover for alleged harms connected to Jones' ancillary product sales.
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December 06, 2024
DC Circ. Upholds TikTok Sale-Or-Ban Law
A D.C. Circuit panel on Friday upheld a federal law giving TikTok until January to cut ties with its Chinese parent company or face a ban in the U.S., ruling that the statute survives constitutional scrutiny.
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December 05, 2024
Dunkin' Fruit-Named Drinks Have No Fruit, False Ad Suit Says
Dunkin' falsely markets its "Refresher" line of caffeinated beverages with names of specific fruits despite not containing any of the fruits, cheating consumers out of the "premium" fruit ingredients and their health benefits, alleges a new proposed false advertising class action filed Wednesday in New York federal court.
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December 05, 2024
Trump Taps Musk Ally David Sacks As 'AI & Crypto Czar'
President-elect Donald Trump announced Thursday that he has selected David O. Sacks, a tech investor who worked alongside Elon Musk and entrepreneur Peter Thiel in the early days of PayPal, to be the newly created "White House AI & Crypto Czar."
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December 05, 2024
Texas Lt. Gov. Wants Ban On Hemp-Derived THC Products
Texas Lt. Gov. Dan Patrick has unveiled legislation that looks to ban all forms of consumable THC, including hemp products that "might include unremovable, nonintoxicating trace amounts of delta-9 THC."
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December 05, 2024
Rocket Mortgage Sues HUD, Hits Back At DOJ Race Bias Suit
Rocket Mortgage, the largest U.S. mortgage lender, has punched back against housing discrimination claims brought by the U.S. government, countersuing in Colorado federal court to challenge what it argues are "conflicting and irreconcilable" mandates at play.
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December 05, 2024
CFTC Flags AI Compliance Obligations In New Advisory
The Commodity Futures Trading Commission on Thursday issued a staff advisory outlining its registrants' compliance obligations under the Commodity Exchange Act regarding the myriad of ways they may be using artificial intelligence, with the agency's chair painting the guidance as a first step ahead of potential policies.
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December 05, 2024
Apple To Appeal Epic's Atty-Client Privilege Challenge Win
Apple and Epic Games told a California federal judge Thursday that they've agreed on a protocol for a special master to re-review 57,000 documents that Apple claims are attorney-client privileged in their antitrust fight, while Apple added that it plans to appeal his finding that its privilege assertions over a sample were overbroad.
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December 05, 2024
Apple Beats ICloud Storage Consumer Claims At 9th Circ.
The Ninth Circuit was unconvinced Wednesday that Apple Inc. traps computer users into paying for additional iCloud storage upon reaching a 5-gigabyte backup limit, declining to revive a putative consumer class action against the technology giant.
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December 05, 2024
Freddie Mac Beats Suit Over Payoff Statement Fees, For Now
A Washington federal judge has tentatively let Freddie Mac off the hook in borrowers' proposed class action alleging loan servicer Nationstar Mortgage illegally charged fees for payoff statements, ruling Thursday that Freddie Mac can't be liable for conduct it didn't authorize — even if it did own one loan at issue.
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December 05, 2024
SEC Says Binance's Platform Is 'Integral' To Securities Claims
The U.S. Securities and Exchange Commission told a Washington, D.C., federal judge that crypto exchange Binance can't escape amended claims that it failed to register with the securities regulator because the platform is "integral" to crypto issuers' alleged promises to increase the value of their tokens.
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December 05, 2024
Gov't Efficiency Push Is A 'New Day,' House Speaker Says
House Speaker Mike Johnson, R-La., spoke excitedly Thursday about the new government efficiency operation helmed by billionaire Elon Musk and former presidential candidate Vivek Ramaswamy and touted the budding bipartisan lineup of a congressional caucus that will work with it.
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December 05, 2024
Amazon Says Section 230 Shields Against Casino App Suit
Amazon said Wednesday a federal judge should toss a proposed class action accusing the e-commerce giant of promoting and selling "social casino" apps that enable illegal gambling, arguing the company is immune under a federal law regulating internet content because it did not create the games.
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December 05, 2024
Yardi Must Face Rent-Fixing Suit With Tough Standard
A Washington federal court has refused to dismiss an antitrust case accusing multifamily building owners of conspiring to use Yardi's revenue management software to inflate rental prices and found the claims should be treated as classic price-fixing allegations.
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December 05, 2024
First Citizens Accused Of $3M High-Yield Bait-And-Switch
First Citizens Bank & Trust Company faces claims from an agritourism nonprofit and its registered agent that they invested $3 million with the bank expecting a competitive rate of return before finding those funds were actually in products yielding a much lower interest rate.
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December 05, 2024
Pain Management Clinic Fined $1.19 Million for HIPAA Breach
The U.S. Department of Health and Human Services has fined a Florida pain management clinic $1.19 million for alleged HIPAA violations involving a former contractor that impermissibly accessed the clinic's electronic record system.
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December 05, 2024
Tesla Can't 'Pretend' Dismissal Was Stay Order, 9th Circ. Says
A Ninth Circuit panel on Thursday doubted Tesla's arguments that a California federal court had jurisdictional authority to enforce its arbitration win against an ex-Tesla engineer's defamation claims, with one judge noting that Tesla asked to dismiss the engineer's case and it can't now "pretend" the dismissal was a stay order.
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December 05, 2024
Charter Settles For $1.1M After FCC Emergency Alert Probe
Charter has agreed to pay $1.1 million to end an investigation by the Federal Communications Commission into whether the cable giant failed to properly keep emergency alert devices online during an FCC test of the system last fall.
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December 05, 2024
Audible's Expiring Membership Credits Illegal, Consumer Says
Audible Inc. is the target of a proposed class action accusing the audiobook retailer of selling credits that expire after one year, in violation of Washington consumer law.
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December 05, 2024
Carriers Must Shield Networks From Attacks, FCC Chair Says
The head of the Federal Communications Commission called Thursday for "urgent action" from U.S. telecom carriers to protect their networks in the wake of the recent Salt Typhoon cyberattack, and said the agency could soon rule that telecoms are affirmatively required under law to try to prevent such intrusions.
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December 05, 2024
Barclays GC To Join A&O Shearman Cyber Team
A&O Shearman has tapped the current general counsel for Barclays Execution Services to co-head its global cybersecurity team, the firm announced Thursday, with the lawyer set to make the jump early next year.
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December 05, 2024
Airbnb Customers Drop 'Assistance Fee' Suit Against Insurers
A proposed class of Airbnb customers permanently dropped a suit accusing two of the company's insurance providers of violating Washington state law by charging an "assistance fee" when selling travel coverage.
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December 05, 2024
DEI Provision Dooms Boeing's 737 Max Plea Deal
A Texas federal judge on Thursday rejected Boeing's plea agreement in its 737 Max criminal conspiracy case, finding flaws in how the U.S. Department of Justice intended to use race and diversity to select an independent compliance monitor to oversee Boeing, and how the court was cut out of that process.
Expert Analysis
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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.
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How Law Firms Can Avoid 'Collaboration Drag'
Law firm decision making can be stifled by “collaboration drag” — characterized by too many pointless meetings, too much peer feedback and too little dissent — but a few strategies can help stakeholders improve decision-making processes and build consensus, says Steve Groom at Miles Mediation.
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Banking Compliance Takeaways From Joint Agency Statement
Federal bank regulatory agencies’ recent joint statement warning of risks associated with third-party fintech deposit services spotlights a fundamental problem that may arise with bank deposit products that are made through increasingly complex customer relationships, says Tom Witherspoon at Stinson.
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When The Supreme Court Gives You Lemons, Make Lemonade
Instead of grousing about the U.S. Supreme Court’s recent decisions overturning long-standing precedents, attorneys should look to history for examples of how enterprising legal minds molded difficult decisions to their advantage, and figure out how to work with the cards they’ve been dealt, says Reuben Guttman at Guttman Buschner.
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What BIPA Reform Law Means For Biometrics Litigation
A recently signed Illinois law amending the Biometric Information Privacy Act limits defendants' liability exposure on a per-scan basis and clarifies that electronic signatures constitute a valid written release, establishing additional issues that courts will need to address in future BIPA litigation, say attorneys at Faegre Drinker.
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Opinion
Litigation Funding Disclosure Key To Open, Impartial Process
Blanket investor and funding agreement disclosures should be required in all civil cases where the investor has a financial interest in the outcome in order to address issues ranging from potential conflicts of interest to national security concerns, says Bob Goodlatte, former U.S. House Representative for Virginia.
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Regulators Are Revamping Use Of Bank Service Company Act
Excerpt from Practical Guidance
Though the Bank Service Company Act was written six decades ago, banks and service providers should be alert to the evolving ways financial regulators are using the law as a tool for scrutinizing bank-fintech partnerships and third-party service providers that could put consumers at risk, say James Bergin and Paul Lim at Arnold & Porter.
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Series
After Chevron: What To Expect In Consumer Protection At FTC
Although the Federal Trade Commission's bread-and-butter consumer protection law enforcement actions are unlikely to be affected, the Loper Bright decision may curb the FTC's bolder interpretations of the statutes it enforces, says Mary Engle at BBB National Programs.
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Managing Credit Card Rewards Programs Amid Scrutiny
Renewed New York and federal interest in consumer protection issues associated with credit card rewards programs presages future regulatory enforcement and attention from plaintiffs attorneys, so issuers should focus on certain categories of consumer complaints and some compliance ambiguities, say Rich Zukowsky and Ella Beres at Davis Wright.
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RealPage Suit Shows Growing Algorithm, AI Pricing Scrutiny
The U.S. Department of Justice's suit against RealPage for helping fix rental rates, filed last week, demonstrates how the use of algorithmic and artificial intelligence tools to assist with pricing decisions is drawing increasing scrutiny and action across government agencies, and specifically at the Federal Trade Commission and the DOJ, say Andre Geverola and Leah Harrell at Arnold & Porter.
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Comparing 5 Administrators' Mass Arbitration Procedures
Attorneys at DLA Piper compare the rules for mass arbitrations at five different arbitration providers — Judicial Arbitration and Mediation Services, American Arbitration Association, National Arbitration and Mediation, FedArb and New Era ADR — including their triggers, claim screening procedures, how and when they assess fees, and more.
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What NFL Draft Picks Have In Common With Lateral Law Hires
Nearly half of law firm lateral hires leave within a few years — a failure rate that is strikingly similar to the performance of NFL quarterbacks drafted in the first round — in part because evaluators focus too heavily on quantifiable metrics and not enough on a prospect's character traits, says Howard Rosenberg at Baretz+Brunelle.
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CrowdStrike Incident Highlights Third-Party Risk For Banks
The global business disruptions caused by CrowdStrike's faulty software update last month serves as a reminder that banks should assess operational and compliance risks associated with third-party service providers and create resiliency plans extending down to fourth- and fifth-level providers, says Craig Landrum at Jones Walker.