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Cybersecurity & Privacy
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July 19, 2024
Jury Finds Booking.com Owes Ryanair $5K For Data Scraping
Irish discount airline Ryanair has convinced a Delaware federal jury to find that online travel website giant Booking.com should pay $5,000 for using screen scraping software in a way that ran afoul of computer fraud laws, which the airline likened to "internet piracy."
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July 19, 2024
House AI Report Is 'Blueprint' For Coming Committee Action
The House Financial Services Committee is poised to take on a "leading role" in regulating the use of artificial intelligence in financial services, according to a new congressional report highlighting the importance of antidiscrimination and data privacy guardrails.
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July 19, 2024
Plaintiffs Drop Digital 'Wiretap' Suit Over Marketing Software
The plaintiffs in a proposed class action accusing a Colorado software service provider of illegally eavesdropping on visitors' interactions with the CVS.com website have voluntarily dropped their suit, according to a notice filed Friday.
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July 19, 2024
2 Foreign Nationals Cop To Roles In Ransomware Group
Two Russian nationals have admitted to participating in the LockBit ransomware group and collectively taking more than $2 million through ransomware attacks on victims ranging from individuals and small businesses to hospitals, schools, nonprofit organizations and government agencies, U.S. Attorney Philip R. Sellinger announced Thursday.
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July 19, 2024
A Guide To The USPTO's Long List Of Requests For Comment
The U.S. Patent and Trademark Office has kept attorneys busy this year by seeking input on numerous patent issues and proposed rules. Here's a cheat sheet to the topics where feedback has been collected, from fee hikes to director reviews, and those with upcoming comment deadlines, including artificial intelligence.
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July 19, 2024
Evolve Bank Leaked 7.6M Customers' Private Info, Suit Says
Evolve Bank & Trust has been hit with a proposed class action in Tennessee federal court alleging it failed to adequately protect the personal information of 7.6 million individuals from a cyberattack and failed to conduct reasonable data security practices.
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July 19, 2024
Several State Courts Impacted By Global Tech Outage
Several state courts have been impacted by a global Microsoft Windows outage Friday morning causing operational challenges and courthouse closures.
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July 19, 2024
Galaxy's CryptoManufaktur Buy Boosts Assets To $3.3B
New York-based blockchain business Galaxy Digital Holdings Ltd. said Friday it has acquired blockchain node operator CryptoManufaktur LLC, with CryptoManufaktur's $1 billion in Ethereum assets under stake boosting Galaxy's total to $3.3 billion.
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July 19, 2024
Taxation With Representation: A&O Shearman, Gibson Dunn
In this week's Taxation With Representation, Cleveland-Cliffs Inc. buys Stelco Holdings Inc., KBR acquires LinQuest Corp., Blue Owl Capital Inc. purchases Atalaya Capital Management LP, and Amphenol Corp. buys two mobile networks units from CommScope.
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July 19, 2024
FCC Looking Into 911 Disruptions From Global IT Outage
The Federal Communications Commission said Friday it was helping investigate 911 service disruptions that resulted from a global information technology outage that affected numerous industries, including telecommunications.
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July 19, 2024
Gemini, IRA Biz Settle Fraud Case Over $36M Crypto Hack
Cryptocurrency exchange Gemini Trust has struck a settlement deal in a suit alleging it cost customers of self-directed retirement and pension account provider IRA Financial Trust $36 million in crypto-assets in a cyberattack after misrepresenting its security capabilities, according to a filing in New York federal court.
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July 19, 2024
Cyber-Insurers Could Be On Hook From Global IT Outages
The global IT outage that disrupted air travel, financial institutions and thousands of businesses on Friday could result in billions of dollars of losses and potentially major claims against insurance companies, analysts are warning.
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July 18, 2024
Grindr Faces Privacy Suit By Prominent 'Outed' Catholic Priest
Gay dating app Grindr allegedly sold a prominent Catholic priest's sensitive personal information, causing him to lose his position as the general secretariat for the national conference of U.S. bishops, the priest alleged in a lawsuit seeking damages in California state court.
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July 18, 2024
Bizlato Founder Avoids More Time For Illicit Crypto Deals
The founder of Bitzlato Ltd. on Thursday was spared further incarceration for using the cryptocurrency exchange to process what prosecutors say was over $700 million in criminal proceeds, the latest case among many where judges factor in the vile conditions at Brooklyn's notorious federal jail, the Metropolitan Detention Center, as a reason for leniency.
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July 18, 2024
NTIA Gives FCC Routing Security Plan The Thumbs Up
The National Telecommunications and Information Administration says it's speaking for the Biden administration in throwing its weight behind the Federal Communications Commission's plan to impose new security rules regarding the crucial routing technology used by the internet.
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July 18, 2024
Ex-Cop With Illness Spared Prison In EBay Harassment Case
A federal judge on Thursday agreed to spare a former California police captain and eBay employee from prison for a stalking and harassment campaign against two Massachusetts journalists, citing the defendant's cancer diagnosis and blaming the ordeal on "a warped corporate culture."
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July 18, 2024
Avatar-Maker Draws Facial-Scan BIPA Suit
Avatar company Ready Player Me Inc. has been hit with proposed class claims that it creates Illinois users' digital characters by scanning, storing and using their facial data without first obtaining informed consent.
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July 18, 2024
Meta And FTC Want DC Circ. Privacy Fight Kept Paused
Meta's D.C. Circuit bid to stop the Federal Trade Commission from modifying the parties' $5 billion privacy settlement should be kept on ice, both sides said Thursday, as the commission vies to toss Meta's trial court suit following a recent U.S. Supreme Court ruling.
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July 18, 2024
Rising Star: Morgan & Morgan's Francesca Burne
Francesca Burne of Morgan & Morgan PA has served as class counsel for plaintiffs alleging violations of data security laws, working to get major wins for her clients that include a $68.2 million settlement with Morgan Stanley and a $190 million settlement with Capital One, earning her a spot among the cybersecurity practitioners under 40 honored by Law360 as Rising Stars.
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July 18, 2024
SolarWinds Beats Most Claims In SEC's Data Breach Suit
A New York federal judge on Thursday delivered a heavy blow to the U.S. Securities and Exchange Commission's case against software developer SolarWinds Corp. by dismissing substantial portions of the lawsuit, including claims that the company committed securities fraud by minimizing the severity of a state-sponsored attack on its flagship product.
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July 17, 2024
Special Counsel To Appeal Ax Of Trump Classified Docs Case
Special Counsel Jack Smith told a Florida federal court Wednesday that he was challenging U.S. District Judge Aileen Cannon's order earlier this week tossing the classified documents criminal case against Donald Trump, according to a notice of appeal.
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July 17, 2024
AT&T Sued Over Breach Of 'Nearly All' Cell Users' Records
AT&T Inc. is facing separate class actions in Texas, Montana and New Jersey federal courts after the company disclosed Friday that hackers had downloaded phone call and text message records belonging to "nearly all" the telecom giant's wireless customers between May 2022 and early last year.
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July 17, 2024
Calif. Asks 9th Circ. To Lift Injunction On Kids' Privacy Law
California urged the Ninth Circuit on Wednesday to remove an injunction blocking a groundbreaking new law requiring social media platforms to bolster privacy protections for children, defending the protections and arguing that any unconstitutional provision should be severed following the U.S. Supreme Court's Moody v. NetChoice decision.
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July 17, 2024
Jimmy John's Biometric Info Suit 'Barely' Avoids Dismissal
An Illinois federal judge refused Wednesday to toss a putative class action alleging Jimmy John's LLC unlawfully records customers via technology embedded in drive-through intercoms in violation of the state's Biometric Information Privacy Act, but he remarked on the "thinness" of the allegations and said the complaint "barely" survives.
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July 17, 2024
United, Union Pacific Must Face Genetic Privacy Suits
United Airlines and Union Pacific Railroad must face proposed class claims that they violated applicants' genetic information privacy rights by requiring them to disclose their family medical history during the hiring process, an Illinois federal judge said in separate orders Tuesday.
Expert Analysis
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4 Ways AI Tools Can Improve Traditional Merger Analyses
Government officials at the American Bar Association's annual antitrust spring meeting last week reinforced the view that competition cases will increasingly rely on sophisticated data analysis, so companies will likewise need to use Big Tech quantitative techniques to improve traditional merger analyses, say Patrick Bajari, Gianmarco Calanchi and Tega Akati-Udi at Keystone.
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What FinCEN Proposed Customer ID Number Change Means
The Financial Crimes Enforcement Network's recent request for comment on changing a requirement for banks to collect full Social Security numbers at account sign-up represents an important opportunity for banks to express their preferability, as communicating sensitive information online may carry fraud or cybersecurity risks, say attorneys at Crowell & Moring.
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How Companies Can Use Big Data As A Strategic Asset
Artificial intelligence technology powered by big data has the potential to create radical improvements to business operations, but if big data is improperly protected or monetized, this same information can give competitors similar advantages, or at the very least undermine a company's edge, say Gary Weinstein and Hudson Peters at Faegre Drinker.
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Cos. Should Mind Website Tech As CIPA Suits Keep Piling Up
Businesses should continue evaluating their use of website technologies and other data-gathering software and review the disclosures in their privacy policies, amid an increase so far in 2024 of class actions alleging violations of the California Invasion of Privacy Act's pen register and trap-and-trace provisions, say attorneys at Sheppard Mullin.
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Questions Persist After Ruling Skirts $925M TCPA Award Issue
After an Oregon federal court's recent Wakefield v. ViSalus ruling that the doctrine of constitutional avoidance precluded it from deciding whether a $925 million Telephone Consumer Protection Act damages award was constitutionally sound, further guidance is needed on when statutory damages violate due process, says Michael Klotz at O'Melveny.
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An NYDFS-Regulated Bank's Guide To Proper Internal Audits
As certification deadlines for compliance with the New York State Department of Financial Services’ transaction monitoring and cybersecurity regulations loom, lawyers should remember that the NYDFS offers no leeway for best efforts — and should ensure robust auditing and recordkeeping processes for clients, say attorneys at Arnall Golden.
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Tips For Orgs Defending Against Daniel's Law Claims
With Daniel's Law recently amended to require courts to award statutorily defined damages to aggrieved parties, organizations should identify whether they are subject to the law and ensure they have implemented a comprehensive compliance program to better avoid litigation costs and reputational harm, say attorneys at Thompson Hine.
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Practicing Law With Parkinson's Disease
This Parkinson’s Awareness Month, Adam Siegler at Greenberg Traurig discusses his experience working as a lawyer with Parkinson’s disease, sharing both lessons on how to cope with a diagnosis and advice for supporting colleagues who live with the disease.
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Cos. Should Prepare For Foreign Data Transfer Regulations
A new regulatory regime designed to protect U.S. sensitive data from countries of concern may complicate an already intricate geopolitical landscape and affect even companies beyond the data industry, but with careful preparation, such companies can endeavor to minimize the effect on their business operations and ensure compliance, say David Plotinsky and Jiazhen Guo at Morgan Lewis.
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Series
Playing Hockey Makes Me A Better Lawyer
Nearly a lifetime of playing hockey taught me the importance of avoiding burnout in all aspects of life, and the game ultimately ended up providing me with the balance I needed to maintain success in my legal career, says John Riccione at Taft.
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A Closer Look At Antitrust Agencies' Chat Platforms Guidance
Following the U.S. antitrust agencies' clarification that companies' preservation obligations extend through applications that automatically delete communications, firms should look at new compliance measures, including keeping control over retention settings, say John Ingrassia and Tim Burroughs at Proskauer.
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Ruling Signals Wave Of CIPA Litigation May Soon End
A California state court's recent ruling in Licea v. Hickory Farms, which rejects the argument that IP address tracking violates the California Invasion of Privacy Act's pen register provision, is likely to reduce or stop the slew of new cases filed against businesses for similar alleged violations, says Patricia Brum at Snell & Wilmer.
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Opinion
High Court Should Settle Circuit Split On Risk Disclosures
The U.S. Supreme Court should grant the petition for writ of certiorari in the Facebook case to resolve a growing circuit split concerning when risk disclosures can be misleading under federal securities laws, and its decision should align with the intent of Congress and the U.S. Securities and Exchange Commission, says Richard Zelichov at DLA Piper.
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For Lawyers, Pessimism Should Be A Job Skill, Not A Life Skill
A pessimistic mindset allows attorneys to be effective advocates for their clients, but it can come with serious costs for their personal well-being, so it’s crucial to exercise strategies that produce flexible optimism and connect lawyers with their core values, says Krista Larson at Stinson.
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How Export Controls Are Evolving To Address Tech Security
Recently proposed export control regulations from the U.S. Department of Commerce are an opportunity for stakeholders to help pioneer compliance for the increasing reliance on the use of outsourced technology service providers, say attorneys at Benesch.