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December 10, 2024
2nd Circ. Revives Antitrust Suit Over Instagram Algorithm
A split Second Circuit Tuesday revived defunct app Phhhoto Inc.'s claims that Meta Platforms used anticompetitive means, including an algorithm for Instagram to suppress rival content, to squash its business, finding that Phhhoto adequately alleged Meta's fraudulent concealment of an anticompetitive scheme would stretch out the four-year statute of limitations.
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December 10, 2024
2nd Circ. Backs Deloitte's Win In 401(k) Fee Suit
The Second Circuit said a trial court correctly tossed a proposed class action by a group of workers claiming Deloitte saddled its $7.3 billion retirement plan with excessive recordkeeping fees, stating they couldn't overcome concerns that their claims amounted to comparisons of apples to oranges.
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December 10, 2024
Tekion Accuses CDK Of Blocking Rival Dealership Software
Tekion Corp. accused CDK Global LLC of monopolizing the market for auto dealership management software by holding its customers' data "hostage" to prevent them from switching to competing platforms.
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December 10, 2024
FinCEN Says CTA Still Constitutional In Post-Injunction Alert
The Financial Crimes Enforcement Network has alerted companies that they do not currently need to file so-called beneficial ownership information with the agency after a federal judge's nationwide preliminary injunction blocking the Corporate Transparency Act, though the bureau maintained that the law calling for such information is constitutional.
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December 10, 2024
Split 9th Circ. Won't Revive Tesla Worker's Whistleblower Suit
A split Ninth Circuit refused to revive a terminated Tesla worker's Sarbanes-Oxley whistleblower claim alleging he was retaliated against for reporting unlawful activity, ruling on Tuesday the worker is precluded from re-litigating in district court whether he engaged in protected activity, since an arbitrator already decided that he did not.
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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
USTR To Probe Nicaragua For Labor, Human Rights Abuses
The Office of the United States Trade Representative on Tuesday said it is planning to investigate reports of labor and human rights abuses in Nicaragua, echoing concerns voiced by both President Joe Biden and President-elect Donald Trump about the country's government.
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December 10, 2024
6th Circ. Judges Doubt Engineers' Claims Avoid Labor Act
Sixth Circuit judges on Tuesday sounded skeptical that a group of auto engineers' claims over a bribery scheme between the United Auto Workers union and Fiat Chrysler, which the engineers allege negatively affected their employment, wouldn't be based on their collective bargaining agreement and thus preempted by federal labor law.
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December 10, 2024
SEC Says Xtreme Fighting CEO And GC Defrauded Investors
The U.S. Securities and Exchange Commission has accused Xtreme Fighting Championships and CEO Steven Smith of defrauding investors by selling millions of dollars of stock in the martial arts organization without disclosing the involvement of Smith or its criminally charged general counsel, according to a Florida federal lawsuit.
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December 10, 2024
NY DA Says Trump's 'President-Elect Immunity Does Not Exist'
Prosecutors told the New York state judge presiding over Donald Trump's hush money case that "president-elect immunity does not exist" and that the court could delay sentencing — or even "terminate" the case without dismissing it.
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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.
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December 10, 2024
NY AG Refuses To Drop $489M Fraud Case Against Trump
The office of New York Attorney General Letitia James has announced it won't drop its civil financial fraud case against President-elect Donald Trump, two of his sons, his companies and their executives, saying his upcoming inauguration has no bearing on litigating his appeal of the $489 million judgment.
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December 10, 2024
$24.6B Kroger-Albertsons Merger Blocked By 2 Judges
Kroger's planned $24.6 billion purchase of Albertsons suffered double whammy blows Tuesday, first from an Oregon federal judge who temporarily blocked the deal in a Federal Trade Commission challenge, and then from a Washington state judge who sided with the state's attorney general and issued a permanent, national block.
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December 10, 2024
NLRB Reworks Standard For Employers' Unilateral Changes
The National Labor Relations Board made it more difficult Tuesday for employers to make changes to their employees' working conditions without approval from their union, replacing a Trump-era standard that strengthened management rights clauses in labor contracts.
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December 10, 2024
Ex-Conn. Utility Execs Win Pretrial Diversion Bid In 2nd Case
A Connecticut federal judge has approved pretrial diversion agreements between federal prosecutors and two former public utility executives, pausing a second prosecution as the duo prepare to serve prison sentences in a case alleging they misused public funds.
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December 10, 2024
Advent Says Chancery Rulings End Funeral Co. Suit
Private equity firm Advent International told a Boston federal judge that a heated fraud lawsuit tied to its sale of a Mexican funeral business must be dismissed due to rulings from a Delaware judge upholding agreements it entered with the buyer limiting claims related to the transaction.
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December 09, 2024
Calif. Floats Requiring Social Media Warning Labels
California Attorney General Rob Bonta on Monday introduced a bill that would require a "black box warning" to be displayed on social media platforms to remind users of the risks of prolonged social media use, citing research linking children's and teens' use to health harms like depression.
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December 09, 2024
Akin Gump 'Totally Messed Up' With Texts, Vaxart Judge Says
A California federal judge asked by Vaxart investors to impose sanctions over a hedge fund's deleted text messages in a case claiming Vaxart inflated its stock price with deceptive headlines about a COVID-19 vaccine said Monday that the fund's lawyers at Akin Gump "totally, totally messed up."
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December 09, 2024
9th Circ. Tosses Regal Cinemas' COVID Coverage Suit
Regal Cinemas cannot get coverage for its losses stemming from the COVID-19 pandemic, the Ninth Circuit ruled Monday, finding that a decision from New York's top court, along with a contamination exclusion, doomed any chance of coverage under the theater chain's policies with units of Allianz, Liberty Mutual and Zurich.
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December 09, 2024
Morgan Stanley Pays SEC $15M Over Theft By Ex-Reps
The U.S. Securities and Exchange Commission announced a $15 million penalty against a Morgan Stanley subsidiary Monday, saying the company failed to put in place procedures that may have earlier caught four former employees who spent years stealing from clients.
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December 09, 2024
Petrobras Calls On Justices To Review Samsung RICO Suit
The American subsidiary of Brazil's state-owned oil company called on the U.S. Supreme Court to unravel the Fifth Circuit's decision blocking its racketeering claim against Samsung Heavy Industries over an alleged $1.6 billion bribery scheme involving drillship contracts.
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December 09, 2024
Satellite Co. Sued In Del. For Docs After $450M Merger
Two stockholders of satellite venture Terran Orbital Corp. sued the business in Delaware's Court of Chancery Friday for access to company records, linking the demand to their investigation of events leading up to the company's $450 million, 25-cents-per-share sale to Lockheed Martin in October.
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December 09, 2024
Meet The Attys Arguing Over Trademark Liability At High Court
A Gibson Dunn partner who has argued before the U.S. Supreme Court 27 times will square off against the former solicitor general of West Virginia in a high court fight Wednesday over whether corporate affiliates must pay a real estate development company's $46.6 million trademark infringement judgment when they are not parties in the case.
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December 09, 2024
SocGen Unit To Pay FINRA $950K Over Fingerprinting Lapses
A U.S.-based unit of French financial services company Societe Generale will pay a $950,000 fine to the Financial Industry Regulatory Authority to settle the self-regulatory organization's claims that the firm failed to fingerprint roughly 2,000 current and former employees at certain affiliates as required by law.
Expert Analysis
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Back To The Future? Antitrust Enforcement Under Trump 2.0
While the transition to the second Trump administration's antitrust policy should be accompanied by less uncertainty, we're unlikely to get a full sense of the true focus and tenor of competition enforcement under Trump 2.0 before late next year, say attorneys at Simpson Thacher.
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FTX Exec's Sentencing Shows Pros And Cons Of Cooperation
The sentencing of former FTX tech deputy Gary Wang, whose cooperation netted him a rare outcome of no prison time, offers critical takeaways for attorneys and clients navigating the burgeoning world of crypto-related prosecutions, says Andrew Meck at Whiteford.
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Think Like A Lawyer: Note 3 Simple Types Of Legal Complexity
Cases can appear complex for several reasons — due to the number of issues, the volume of factual and evidentiary sources, and the sophistication of those sources — but the same basic technique can help lawyers tame their arguments into a simple and persuasive message, says Luke Andrews at Poole Huffman.
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Corporate Liability Issues To Watch In High Court TM Case
The U.S. Supreme Court will hear arguments in a trademark dispute between Dewberry Group and Dewberry Engineers next week, presenting an opportunity for the court to drastically alter the fundamental approach to piercing the corporate veil, or adopt a more limited approach and preserve existing norms, say attorneys at Bracewell.
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Rethinking Clawback Policies For 2025 Compensation Season
The start of a new year presents an opportunity for companies to reassess their executive compensation clawback policies, and while mandatory Dodd-Frank clawbacks are necessary, discretionary policies can offer companies greater flexibility to address misconduct, protect their reputations and align with shareholder priorities, say attorneys at Debevoise.
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Antitrust in Retail: Handbag Ruling Won't Go Out Of Fashion
Although a New York federal court’s recent decision to enjoin a proposed $8.5 billion merger between the owners of Michael Kors and Coach applied noncontroversial antitrust interpretations, several notable aspects of the opinion stand out as likely candidates for further discussion in future merger litigation, say attorneys at Holland & Knight.
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Series
Gardening Makes Me A Better Lawyer
Beyond its practical and therapeutic benefits, gardening has bolstered important attributes that also apply to my litigation practice, including persistence, patience, grit and authenticity, says Christopher Viceconte at Gibbons.
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SEC Prioritized Enforcement Sweeps As Cases Slowed In '24
Following three consecutive years of increasing activity, fiscal year 2024 marked the lowest number of cases the U.S. Securities and Exchange Commission has brought since Gary Gensler assumed office in April 2021, buttressed by some familiar enforcement sweeps, say attorneys at Covington.
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Litigation Inspiration: Reframing Document Review
For attorneys — new ones especially — there is much fulfillment to find in document review by reflecting on how important, interesting and pleasant it can be, says Bennett Rawicki at Hilgers Graben.
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2 Cases Show DAOs May Face Increasing Legal Scrutiny
Two ongoing cases that recently survived motions to dismiss in California federal courts concerning Compound DAO and Lido DAO threaten to expand the potential liability for activity attributed to decentralized autonomous organizations — and to indirectly create liability for their participants, say attorneys at Cahill Gordon.
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The Fed. Circ. In October: Anti-Suit Injunctions And SEPs
The Federal Circuit's holding in Ericsson v. Lenovo, a complex global case involving standard-essential patents, will likely have broad consequences for practitioners, including by making it easier to obtain an anti-suit injunction, say attorneys at Knobbe Martens.
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Pa. Ruling Highlights Challenges Of Employer Arb. Appeals
A Pennsylvania federal court's recent ruling in Welch Foods v. General Teamsters Local Union No. 397 demonstrates the inherent difficulties employers face when seeking relief from labor arbitration decisions through appeals in court — and underscores how employers are faced with often conflicting legal priorities, says Daniel Johns at Cozen O'Connor.
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How Boards And Officers Should Prep For New Trump Admin
In anticipation of President-elect Donald Trump's proposed tariffs and mass deportation campaign, company officers and board members should pursue proactive, comprehensive contingency planning to not only advance the best interests of the companies they serve, but to also properly exercise their fiduciary duty of care, say attorneys at Winston & Strawn.
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California Supreme Court's Year In Review
Attorneys at Horvitz & Levy highlight notable decisions on major questions from the California Supreme Court's last term, including voter initiatives, hostile work environment and the economic loss rule.
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3 Changes Community Banks Should Expect Under Trump
A second Trump administration promises a sea change for regional and community banks, including shifts in the regulatory environment, Community Reinvestment Act rules and the M&A landscape, say attorneys at Manatt.