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Cybersecurity & Privacy
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November 21, 2024
CFPB Wraps Rule To Pull Big Payment Apps Into Supervision
The Consumer Financial Protection Bureau said Thursday that it has finalized a measure to bring providers of major digital payment apps under its supervisory umbrella, expanding the reach of its oversight deeper into the technology sector and drawing fresh calls to reverse course.
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November 20, 2024
Musk, Ramaswamy Say High Court Rulings OK Federal Cuts
Billionaire Elon Musk and former presidential candidate Vivek Ramaswamy, President-elect Donald Trump's picks to lead a newly created "Department of Government Efficiency," on Wednesday said two recent U.S. Supreme Court rulings will give them the authority to cut off power to regulatory agencies and conduct massive federal layoffs.
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November 20, 2024
Data Security Co. Shakes Suit Over Auto-Renewal Model
A North Carolina federal judge has axed a proposed class action accusing a digital security provider of tricking consumers into pricey subscriptions that were difficult to cancel, finding that while the dispute raises "legitimate societal concerns," the plaintiff failed to show that he was injured by this alleged conduct.
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November 20, 2024
5 Charged For 'Scattered Spider' Phishing Hacks, Crypto Theft
California federal prosecutors unveiled a criminal case Wednesday accusing five alleged members of the "Scattered Spider" cybercrime group of using a phishing scheme to access the confidential data of media and technology companies and steal $11 million worth of cryptocurrency from digital wallets.
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November 20, 2024
Ohio Mortgage Co. Gets Rival To Change Name In TM Fight
A Michigan mortgage company has agreed to change its name to end a trademark infringement lawsuit brought by a rival business in Ohio that claimed it was fielding complaints from confused customers over allegedly questionable telemarketing practices.
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November 20, 2024
Judge Opens Path For Ex-Yale Student's Asylum Bid
A Connecticut federal judge has illuminated a potential path for an expelled Yale student to send his sex assault accuser's name to immigration officials, suggesting that submitting a state trial transcript would "not seem to run afoul" of a magistrate judge's ban on otherwise naming the woman.
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November 20, 2024
DC Circ. Skeptical Of Texas AG's Bid To Revive X Probe
A D.C. Circuit panel seemed skeptical Wednesday of the Texas attorney general's claims that Media Matters lacks a valid claim to challenge the state enforcer's investigation into the media watchdog's reporting about the social media platform X, formerly Twitter, but one judge expressed uncertainty about the suit's readiness for judicial review.
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November 20, 2024
Foley Shouldn't Face Data Breach Claims, Calif. Panel Says
A California appellate panel affirmed the dismissal of Accellion Inc.'s cross-complaint against law firm Foley & Lardner LLP in an insurance company's lawsuit claiming the software-maker should be held liable for a $1 million ransomware attack that targeted the law firm, finding that Accellion's cross-claims are untimely.
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November 20, 2024
Burger King Franchisee Escapes BIPA Coverage Counterclaim
An Illinois federal judge has axed an AIG subsidiary's counterclaim in a Burger King franchisee's lawsuit seeking coverage for an underlying case accusing it of violating Illinois' biometric privacy law, concluding that the counterclaim is redundant and "adds nothing that will not be decided through resolution of the motions for summary judgment."
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November 20, 2024
'Rip And Replace' Woes Underscored By Senate Hearing
A major industry group has again called on lawmakers to address the lack of funding needed to completely remove risky Chinese-made gear from U.S. telecommunications networks.
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November 20, 2024
3 Law Firms Can't Dodge TCPA Suit Over Camp Lejeune Claims
A trio of law firms accused of calling a veteran dozens of times promising they could represent him in claims over toxic drinking water at Marine Corps Base Camp Lejeune, despite his never having been stationed there, cannot evade the former soldier's lawsuit, a North Carolina federal judge ruled Tuesday.
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November 20, 2024
Bankman-Fried Tech Deputy Who Parsed Code Avoids Prison
A Manhattan federal judge allowed tech expert Zixiao "Gary" Wang to avoid jail Wednesday for his role in the $11 billion FTX fraud, crediting his effort to detail programming "back doors" that enabled Sam Bankman-Fried to loot the bankrupt crypto exchange.
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November 19, 2024
High Court Urged To Let Courts Scrutinize Agency Rulings
District courts should be allowed to question rather than grant "absolute deference" to the Federal Communications Commission's interpretation of key statutory terms in the Telephone Consumer Protection Act, a chiropractic group contended Monday in calling on the U.S. Supreme Court to revive a junk fax class action.
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November 19, 2024
11th Circ. Weighs Whether Tornado Cash Sanctions Overreach
An Eleventh Circuit panel on Tuesday dove deep into the mechanisms of cryptocurrency mixing service Tornado Cash as the judges weighed whether government sanctions intended to curb illicit finance on the protocol are permitted under the law.
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November 19, 2024
Cannabis Bag Co.'s Suit Against Marketing Firm Survives
The manufacturer of specialized bags used to store marijuana will get to proceed with its lawsuit against a cannabis industry–focused branding firm, a federal judge in Seattle ruled, saying the suit plausibly claims the marketing agency buried the manufacturer's online search ranking by crashing its website.
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November 19, 2024
AI School Tech Founder Stole $10M From Investors, DOJ Says
The founder of AllHere Education Inc., a startup venture that sold artificial intelligence-powered chatbots to schools, is charged with fleecing investors out of nearly $10 million by lying about the company's revenue and using some of the money to pay for her wedding and a house, New York federal prosecutors announced Tuesday.
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November 19, 2024
32 State AGs Urge Congress To Back Kids' Online Safety Bill
More than 30 state attorneys general urged federal lawmakers to back bipartisan legislation aimed at bolstering youth safety online, writing a letter Monday encouraging Congress to "act to aid our state-level efforts" which included opening investigations and commencing with litigation against social media companies like TikTok and Meta.
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November 19, 2024
DOJ Effort To Force Google Chrome Sale Draws Criticism
Google's regulatory chief and at least one trade group are blasting a reported push from the U.S. Department of Justice to seek expansive remedies and potentially force a sale of Google Chrome in an ongoing court battle with the tech giant.
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November 19, 2024
NC Lt. Gov.'s Defamation Spat With CNN Tapped For Mediation
North Carolina Lt. Gov. Mark Robinson, a 2024 gubernatorial candidate who sued CNN over a story about his alleged posts on a porn site, is having his defamation case moved to mediation, according to a Tuesday filing.
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November 19, 2024
Chicago Transit Authority Hit With Genetic Privacy Lawsuit
The Chicago Transit Authority is facing a new lawsuit in Illinois state court that was brought by job applicants, who allege the agency's questions about family medical histories violated an Illinois law barring employers from asking about genetic information and using it to make employment decisions.
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November 19, 2024
Cigna In-House Atty Joins Akerman In Chicago
Akerman LLP announced Tuesday that an experienced technology and transactions attorney who most recently was in-house counsel with health insurer Cigna had joined the firm's Chicago office as a corporate partner.
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November 18, 2024
Plaintiffs Dispute Ruling Applying BIPA Change To Past Cases
Workers suing over the allegedly unlawful collection of their fingerprints are urging an Illinois federal court to reject a recent ruling that a legislative amendment limiting damages under the state's Biometric Information Privacy Act applies to previously filed disputes, arguing that several state courts have reached the opposite conclusion.
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November 18, 2024
Apple Gets Some AirTag Stalking Claims Tossed, For Now
The California federal judge overseeing a proposed class action accusing Apple of failing to safeguard its AirTag tracking device from being abused by stalkers on Monday tossed product liability claims brought by consumers outside of California, saying Golden State law calls for the "place of the wrong" to take precedence.
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November 18, 2024
Will AG-Elect Stick To NC Dems' Playbook, Or Take New Path?
Incoming North Carolina Attorney General and "TikTok candidate" Jeff Jackson may be the latest in a long line of Democrats to serve as the state's top cop, but questions remain as to how closely he might follow in the footsteps of his powerful predecessors when it comes to issues like pursuing the very social media app that bolstered his campaign.
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November 18, 2024
Hacker's Wife Gets 18 Months For Laundering Stolen Crypto
The wife of a hacker who stole what is now billions of dollars' worth of bitcoin from the crypto exchange Bitfinex was sentenced in D.C. federal court Monday to 18 months in prison for her role in helping to launder the stolen funds.
Expert Analysis
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Class Actions At The Circuit Courts: August Lessons
In this month's review of class action appeals, Mitchell Engel at Shook Hardy considers certification cases touching on classwide evidence of injury from debt collection practices, defining coupon settlements under the Class Action Fairness Act, proper approaches for evaluating attorney fee awards in class action settlements, and more.
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Planning Law Firm Content Calendars: What, When, Where
During the slower month of August, law firms should begin working on their 2025 content calendars, planning out a content creation and distribution framework that aligns with the firm’s objectives and maintains audience engagement throughout the year, says Jessica Kaplan at Legally Penned.
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4 Steps To Address New Sanctions Time Bar Extension
Recent guidance from the Office of Foreign Assets Control clarifies details of the newly extended statute of limitations for civil and criminal enforcement of U.S. sanctions law, so compliance teams should implement key updates, including to lookback periods and recordkeeping policies, say attorneys at Freshfields.
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Incident Response Lessons From The CrowdStrike Failure
CrowdStrike's incident highlights a growing problem within modern digital infrastructures — single points of failure that cause widespread disruption when things go wrong — so organizations should carefully review their digital infrastructure to identify unique areas of exposure or vulnerability, say Erik Dullea at Husch Blackwell and Kip Boyle at Cyber Risk Opportunities.
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Series
Playing Golf Makes Me A Better Lawyer
Golf can positively affect your personal and professional life well beyond the final putt, and it’s helped enrich my legal practice by improving my ability to build lasting relationships, study and apply the rules, face adversity with grace, and maintain my mental and physical well-being, says Adam Kelly at Venable.
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What FCA Cases May Look Like In The Age Of Generative AI
Generative artificial intelligence raises unique considerations both in the context of potentially leading to False Claims Act cases and in the discovery and litigation phases of these lawsuits, says attorney Rachel Rose.
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Law Firms Should Move From Reactive To Proactive Marketing
Most law firm marketing and business development teams operate in silos, leading to an ad hoc, reactive approach, but shifting to a culture of proactive planning — beginning with comprehensive campaigns — can help firms effectively execute their broader business strategy, says Paul Manuele at PR Manuele Consulting.
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3 Ways To Limit Risks Of Black-Box AI In Financial Services
As regulators increasingly highlight the potential for artificial intelligence to make unfair consumer credit decisions, and require financial institutions to explain how these so-called black-box algorithms arrive at conclusions, companies should consider three key questions to reduce their regulatory risks from these tools, say Jeffrey Naimon and Caroline Stapleton at Orrick.
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Takeaways From EU's 'Pay Or Consent' Advertising Probe
Anne-Gabrielle Haie and Charles Whiddington at Steptoe examine key points from the European Commission's recent investigation into Big Tech's use of "pay or consent" advertising models, as well as the European Data Protection Board’s opinion on how such models can comply with EU competition and data protection laws.
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Energy And AI: Key Issues And Future Challenges
Artificial intelligence promises new technical advantages for the energy industry, but it is also responsible for vast, and growing, energy consumption — so the future of AI and energy will require balancing technological advancement with regulatory oversight, environmental responsibility and infrastructure development, say attorneys at Morgan Lewis.
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When Banks Unknowingly Become HIPAA Biz Associates
There appears to be significant confusion regarding the application of the Health Insurance Portability and Accountability Act to financial institutions when serving healthcare-related clients, so these institutions should consider undertaking several steps as a starting point in the effort to achieve compliance, say attorneys at Vorys.
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The Regulatory Headwinds Facing Lab-Developed Tests
Though the U.S. Food and Drug Administration's final rule regarding regulation of laboratory-developed tests outlines a four-year plan for ending enforcement discretion, and though this rule is currently being challenged in courts, manufacturers should heed compliance opportunities immediately as enforcement actions are already on the horizon, say attorneys at Kirkland & Ellis.
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Opinion
The Big Issues A BigLaw Associates' Union Could Address
A BigLaw associates’ union could address a number of issues that have the potential to meaningfully improve working conditions, diversity and attorney well-being — from restructured billable hour requirements to origination credit allocation, return-to-office mandates and more, says Tara Rhoades at The Sanity Plea.
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Opting In To CIPA Risk Mitigation After New Precedent
A recent California federal court decision, adopting a new, broad interpretation of the California Invasion of Privacy Act, will likely increase the volume of CIPA claims and should prompt businesses to undertake certain preventative measures, including adopting an opt-in approach to using third-party website advertising technologies, say attorneys at Thompson Hine.
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Opinion
It's Time For A BigLaw Associates' Union
As BigLaw faces a steady stream of criticism about its employment policies and practices, an associates union could effect real change — and it could start with law students organizing around opposition to recent recruiting trends, says Tara Rhoades at The Sanity Plea.