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Corporate
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October 31, 2024
Rebar Giant's Economist Rips Rival's 'Narrow' Antitrust Market
Commercial Metals Co.'s expert economist testified in a federal antitrust jury trial Thursday that Pacific Steel Group's theory of the rebar market is "too narrow" by only focusing on California, although he conceded under cross-examination that CMC sold most of its rebar within 500 miles of its since-shuttered California mill.
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October 31, 2024
Masimo Sues Ex-CEO Over 'Unprecedented' $450M Demand
Masimo Corp. has sued its founder in Delaware Chancery Court, seeking a declaration that a $450 million payout triggered in part by the founder's loss of control or his ouster as CEO and chairman is unenforceable, saying the amount is "unprecedented" and shouldn't be paid by shareholders who were simply exercising their voting rights.
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October 31, 2024
Ex-Conn. Utility Execs Must Report To Prison, Judge Orders
The former CEO of the Connecticut Municipal Electric Energy Cooperative and two ex-board members must report to prison by Dec. 4, a federal judge has ordered, after the Second Circuit upheld their convictions over their roles in the theft of hundreds of thousands of dollars.
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October 31, 2024
Instructure Sued In Del. For Books On $4.8B Take-Private Deal
A stockholder of educational technology venture Instructure Holdings LLC has sued the company for records on its $4.8 billion take-private sale to Kohlberg Kravis Roberts & Co. LP, citing concern that Instructure's controller, Thoma Bravo, abandoned another prospect for its own benefit.
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October 31, 2024
Dallas Judge Kicks 2022 Energy Case Out Of Biz Court
A Dallas business court judge sent a multimillion-dollar energy dispute back to state district court this week, marking the first time a Texas Business Court judge has weighed in on whether cases in existence before the court's opening could be litigated in the new venue.
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October 31, 2024
Madigan Ally Set Up Work For Speaker's Fired Aide, Jury Told
An ex-lobbyist on trial alongside former Illinois House Speaker Michael Madigan made arrangements for a political operative that Madigan fired to receive monthly payments while he was unemployed, suggesting he enter into contracts with loyal lobbyists and write up reports on legislators "in case the IRS checks this out," a federal jury heard Thursday.
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October 31, 2024
Judge Says White Worker's Seattle DEI Suit Lacks 'Specifics'
A Washington federal judge hinted Thursday a former municipal employee's suit claiming Seattle's workplace diversity training discriminated against him as a white man might not have enough detail to survive, as the city's attorneys accused the plaintiff of trying to dismantle its racial justice initiative.
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October 31, 2024
2nd Circ. Backs GE's Win In Ex-Exec's Benefits Denial Suit
The Second Circuit affirmed the dismissal Thursday of a former General Electric executive's suit claiming the company should have awarded her pension and stock benefits when it moved her into an independent contractor role, ruling that her claims were filed too late.
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October 31, 2024
Valero To Pay 'Historic' $82M Fine For Bay Area Air Pollution
Valero Refining Co. will pay a record $82 million penalty to settle claims that it failed to report cancer-causing emissions from its Northern California petroleum refinery for nearly two decades, state and Bay Area air pollution regulators announced Thursday, saying nearly all of the fine will fund local community projects.
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October 31, 2024
Meta Users Fight Uphill For Cert., But Advertisers Have A Shot
A California federal judge who was asked to certify two classes in litigation alleging that Facebook parent Meta Platforms monopolized the social media advertising market and misused users' data said Thursday that the users' damage theory wasn't "plausible," but appeared open to the advertisers' claim they suffered the same alleged injury.
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October 31, 2024
What DOJ's New National Security Obsession Means For Attys
The Justice Department’s emerging criminal crackdown on corporate national security violations is putting increased pressure on white collar lawyers to be conversant, if not experts, on opaque, complex and swiftly evolving regulations.
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October 31, 2024
Exxon Entitled To Interest Deduction On Qatar Deal
Exxon Mobil is entitled to an interest expense deduction on payments to Qatar under a natural gas deal, a Texas federal judge ruled, rejecting the U.S. government's classification of an underlying transaction as a royalty rather than a loan.
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October 31, 2024
Abbott, Mead Cleared In Baby Formula Trial
A St. Louis jury cleared Abbott Laboratories and Mead Johnson of liability Thursday in the companies' first joint trial over claims their baby formula causes a serious gut condition in preterm infants.
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October 31, 2024
Monthly Merger Review Snapshot
Kroger and Albertsons endured overlapping trials in cases challenging their planned grocery store megamerger, as the Federal Trade Commission got a major fashion industry deal paused and pushed its bid to block the $4 billion merger of Tempur Sealy and Mattress Firm.
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October 31, 2024
AI Co. Fires CEO As BigLaw Counsel Probe Revenue Issues
Security tech company Evolv Technology, which last week announced it had brought on Debevoise & Plimpton LLP and Cleary Gottlieb Steen & Hamilton LLP as part of an internal investigation into possible revenue inflation, said Wednesday it has ousted its CEO.
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October 31, 2024
6th Circ. Split Over NLRB Remedy In Starbucks Firing Case
The Sixth Circuit was divided Thursday over Starbucks' challenge to a National Labor Relations Board order finding the coffee giant unlawfully fired a worker at a Michigan cafe, with the judges probing the limits of the board's power to remedy unfair labor practices.
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October 31, 2024
SBA Cries Foul On Globetrotters' $10M COVID Grant Suit
The U.S. Small Business Administration has defended its denial of a $10 million COVID-19 relief grant to the Harlem Globetrotters, telling a D.C. federal judge that it had no legal obligation to hand over the money to the basketball entertainment organization.
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October 31, 2024
Lowenstein Sandler Snags Another VC Pro From Boutique
Lowenstein Sandler LLP has added a New York City lawyer from prominent boutique corporate law firm Buhler Duggal & Henry LLP to its emerging companies and venture capital group, the firm announced.
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October 31, 2024
Chancery Upholds Low Appraisal Of Online Bookstore Co.
Contract educational institution bookstore operator Akademos Inc. was fairly sold in December 2020 under terms that left common stockholders wiped out, a Delaware vice chancellor has ruled after a four-day trial that both appraised the company's stock and judged the deal's fairness.
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October 31, 2024
Hub Hires: Quinn Emanuel, Barclay Damon, Prince Lobel
October saw a number of Bay State attorneys carve out new roles, with a veteran financial crimes prosecutor jumping to private practice, more Burns & Levinson alums landing on their feet and a pair of biotech firms naming new top attorneys. Here are some of Boston's notable legal moves from the last month.
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October 31, 2024
The 2024 Law360 Pulse Leaderboard
Check out the Law360 Pulse Leaderboard to see which firms made the list of leaders in all-around excellence this year.
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October 31, 2024
Firms' Hiring Strategies Are Evolving In Fight For Top Spot
Competition for top talent among elite law firms shows no signs of slowing down, even amid economic uncertainty, with financially strong firms deploying aggressive strategies to attract and retain skilled professionals to solidify their market position.
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October 31, 2024
Meta Says CFPB Mulling Enforcement Action Over Advertising
Meta, the parent company of Facebook and Instagram, said Thursday that it is facing a potential Consumer Financial Protection Bureau enforcement action following an agency probe into financial-related advertising on its platform.
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October 31, 2024
Blank Rome Adds Commercial Real Estate Expert In DC
The former president and general counsel of Edge Funds Management LLC has joined Blank Rome LLP as an of counsel in the real estate group.
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October 30, 2024
5th Circ. Keeps Most No Surprises Act Provisions Intact
The Fifth Circuit on Wednesday upheld several provisions for calculating qualifying payments under a federal law aimed at protecting Americans from surprise medical bills, saying in a published opinion that the provisions were neither inconsistent with the law nor arbitrary and capricious.
Expert Analysis
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Del. 3M Ruling Risks Upending Corporate Insurance Programs
A Delaware court's findings last week in the 3M earplug insurance litigation that a parent company's defense fee payments don't count toward a subsidiary's self-insured retention and that an insurer's duty to pay defense costs doesn't attach to multidistrict litigation merit closer scrutiny in light of the modern corporate form and the fundamental objectives of MDLs, say Julie Hammerman and Gary Thompson at Thompson HD.
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NYSE Delisting May Be The Cost Of FCPA Compliance
ABB’s recent decision to delist its U.S. depository receipts from the New York Stock Exchange, coupled with having settled three Foreign Corrupt Practices Act enforcement actions, begs the question of whether the cost of FCPA compliance should factor into a company's decision to remain listed in the U.S., says John Joy at FTI Law.
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Opinion
The FTC Needs To Challenge The Novo-Catalent Deal
Novo's acquisition of Catalent threatens to substantially lessen competition in the manufacturing and marketing of GLP-1 diabetes and obesity drugs, and the Federal Trade Commission should challenge it under a vertical theory of harm, as it aligns with last year's merger guidelines and the Fifth Circuit decision in Illumina, says attorney David Balto.
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Series
After Chevron: Slowing Down AI In Medical Research
The U.S. Supreme Court's recent decision overturning the Chevron doctrine may inhibit agencies' regulatory efforts, potentially slowing down the approval and implementation of artificial intelligence-driven methodologies in medical research, as well as regulators' responses to public health emergencies, say Ragini Acharya and Matthew Deutsch at Husch Blackwell.
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What High Court TM Rulings Tell Us About Free Speech
Recent U.S. Supreme Court rulings show tension between free speech and trademark law, highlighting that while political mockery is protected, established brands may be forced to adapt to evolving cultural values, says William Scott Goldman at Goldman Law Group.
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Series
Being A Luthier Makes Me A Better Lawyer
When I’m not working as an appellate lawyer, I spend my spare time building guitars — a craft known as luthiery — which has helped to enhance the discipline, patience and resilience needed to write better briefs, says Rob Carty at Nichols Brar.
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Series
After Chevron: Uncertainty In Scope Of ITC Oversight
The U.S. International Trade Commission's long-standing jurisprudence on some of the most disputed and controversial issues is likely to be reshaped by the Federal Circuit, which is no longer bound by Chevron deference in the wake of the U.S. Supreme Court’s Loper Bright decision, say Kecia Reynolds and Madeleine Moss at Paul Hastings.
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Half-Truths Vs. Omissions: Slicing Justices' Macquarie Cake
The U.S. Supreme Court's recent ruling in Macquarie v. Moab provides a road map for determining whether corporate reports that omit information should be considered misleading — and the court baked it into a dessert analogy that is key to understanding the guidelines, say Daniel Levy and Pavithra Kumar at Advanced Analytical Consulting Group.
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Lead Like 'Ted Lasso' By Embracing Cognitive Diversity
The Apple TV+ series “Ted Lasso” aptly illustrates how embracing cognitive diversity can be a winning strategy for teams, providing a useful lesson for law firms, which can benefit significantly from fresh, diverse perspectives and collaborative problem-solving, says Paul Manuele at PR Manuele Consulting.
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3 Areas Of Enforcement Risk Facing The EV Industry
Companies in the EV manufacturing ecosystem are experiencing a boom in business, but with this boom comes increased regulatory and enforcement risks, from the corruption issues that have historically pervaded the extractive sector to newer risks posed by artificial intelligence, say attorneys at MoFo.
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Preparing For Increased Scrutiny Of Tech Supply Chains
The U.S. Department of Commerce's recent action prohibiting sales of a Russia-based technology company's products in the U.S. is the first determination under the information technology supply chain rule, and signals plans to increase enforcement of protections that target companies in designated foreign adversary jurisdictions, say attorneys at Debevoise.
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2 Lessons From Calif. Overtime Wages Ruling
A California federal court's recent decision finding that Home Depot did not purposely dodge overtime laws sheds light on what constitutes a good faith dispute, and the extent to which employers have discretion to define employees' workdays, says Michael Luchsinger at Segal McCambridge.
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Boeing Plea Deal Is A Mixed Bag, Providing Lessons For Cos.
The plea deal for conspiracy to defraud regulators that Boeing has tentatively agreed to will, on the one hand, probably help the company avoid further reputational damage, but also demonstrates to companies that deferred prosecution agreements have real teeth, and that noncompliance with DPA terms can be costly, says Edmund Vickers at Red Lion Chambers.
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American Airlines ESG Ruling Could Alter ERISA Landscape
The Spence v. American Airlines ESG trial, speeding toward a conclusion in a Texas federal court, could foretell a dramatic expansion in ERISA liability, with plan sponsors vulnerable to claims that they didn't foresee short-term dips in stock prices, say attorneys at Mayer Brown.
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How In-House IP Counsel Can Deal With AI's Rise
Generative artificial intelligence is poised to revolutionize intellectual property law, especially for smaller and midsize enterprises, meaning IP in-house counsel need to prioritize AI implementation to navigate the coming changes, says Friedrich Laub at Diasorin.