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Cybersecurity & Privacy
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October 03, 2024
White House Directs Agencies On Responsible AI Acquisition
The White House has issued guidance to agencies on responsible purchases of artificial intelligence, addressing issues such as mitigating associated privacy and performance risks, ensuring the market for AI remains competitive, and enabling related collaboration across the government.
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October 02, 2024
Calif. AI Election Law Blocked As 'Blunt Tool' Stifling Speech
A California federal judge Wednesday blocked a recently enacted state law cracking down on election-related deepfakes, acknowledging the risks posed by artificial intelligence, but agreeing with a conservative content creator that the law is an overly broad "blunt tool that hinders humorous expression and unconstitutionally stifles" the free exchange of ideas.
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October 02, 2024
Epic's Samsung, Google Cases Over Play Store Linked
The judge mulling what changes Google will have to make after a jury found its Play Store policies violate antitrust law will also oversee a new case filed by Epic Games accusing Samsung of helping Google preemptively undermine any fix imposed by the court.
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October 02, 2024
Colo. Judge Sees No Injuries In Health Data Breach Class Suit
A Colorado federal judge has dismissed a proposed class action alleging a software company waited nearly three months to tell data breach victims about hackers accessing personal and medical information for more than 250,000 people, concluding the plaintiffs' allegations weren't enough to give them standing.
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October 02, 2024
Top 3 Groups Lobbying The FCC
The Federal Communications Commission heard from advocates more than 100 times in September on the FCC's effort to clamp down on scam robocalls, rules to spur broadband deployment, revamping the 4.9 gigahertz airwaves, satellite spectrum and more.
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October 02, 2024
NY Man Posed As Exec To Steal $810K Tax Refund, Feds Say
A New York man has been charged with intercepting an unnamed Connecticut investment firm's $810,337 tax refund and then impersonating an executive of the company to steal most of it.
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October 02, 2024
TikTok Can't End Browser Privacy MDL
An Illinois federal judge on Tuesday held TikTok and parent company ByteDance to multidistrict litigation in which users claim the video platform's in-app browser illegally tracks activity on third-party sites, and gave the plaintiffs a chance to replead one claim under California law.
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October 02, 2024
Wells Fargo Says Atty Can't Blame It For Getting Scammed
Wells Fargo has asked a Colorado state judge to dismiss claims brought by an attorney and conservative political figure alleging the bank failed to cancel his wire transfer from a client's account to what ended up being a scammer's Hong Kong account.
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October 02, 2024
Georgia Moves To Block, Appeal Ruling Against Abortion Ban
The Georgia attorney general's office, as promised earlier this week, moved swiftly Tuesday to halt and appeal a Fulton County judge's decision that struck down for the second time the state's so-called heartbeat abortion ban, which prohibits most abortions after six weeks.
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October 02, 2024
ExecuPharm Agrees To Pay Ransomware Victims $10K Each
U.S. pharmaceutical giant ExecuPharm will pay victims of a data breach up to $10,000 in reimbursements, compensation for lost time, three years of credit monitoring, and $675,000 in attorney fees after a Pennsylvania federal judge gave his final approval to a class action settlement.
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October 02, 2024
Abortion Clinic To Get Early Discovery In Patient Spying Case
A Massachusetts federal judge said Wednesday that an abortion clinic should get expedited discovery into its claims that a neighboring "pregnancy resource center" illegally infiltrated its patient communications in an attempt to derail appointments.
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October 01, 2024
Meta Must Face Bulk Of Social Media Harms Securities Suit
A California federal judge on Monday trimmed but refused to throw out a proposed securities class action claiming Meta Platforms Inc. and its executives misled investors about the harmful effects of social media, finding that the investors pointed to plausibly misleading statements regarding mental health and keeping children safe.
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October 01, 2024
Jefferson Health Can't Ditch Suit Over Meta Data Sharing
A Pennsylvania federal judge has refused to toss a proposed class action accusing Jefferson Health of unlawfully sharing patients' confidential health information with Meta Platforms Inc., finding that the plaintiffs had cured prior deficiencies to adequately support their wiretap and privacy claims.
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October 01, 2024
From AI To Enviro: The Top Biz Bills Calif. Gov. Inked Into Law
California Gov. Gavin Newsom signed hundreds of bills into law ahead of an Oct. 1 deadline, meaning major changes are on the horizon for employers, tech companies, healthcare providers and others doing business in the Golden State.
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October 01, 2024
Data Brokers Decry 'Ill-Tailored' NJ Judicial Privacy Law
Data brokers such as Equifax, Thomson Reuters and Zillow urged a New Jersey federal judge Tuesday to toss a suit accusing them of violating Daniel's Law, arguing the state's judicial privacy measure is unconstitutionally broad and unevenly applied.
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October 01, 2024
Gap Escapes Privacy Suit Over Email Tracking, For Now
A California federal judge on Monday tossed a proposed class action alleging that the Gap Inc. invaded consumers' privacy by using tracking technology in its marketing emails without consent, saying the complaint doesn't plausibly allege that the software unlawfully captures content protected by state privacy law.
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October 01, 2024
Israeli Analytics Co. Beats 'Social Engineering' Suit, For Now
A New York federal judge has dismissed a proposed investor class action against Israeli security analytics company Cognyte Software Ltd. over claims that its tools were used to surveil and "social-engineer" journalists and politicians, saying many of the alleged misstatements are inactionable as currently presented.
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October 01, 2024
TikTok Petitions 3rd Circ. To Review Section 230 Ruling
TikTok asked for another crack in the Third Circuit on Tuesday, requesting an en banc rehearing of the appeals court's decision holding that its "For You Page" algorithm doesn't enjoy Section 230 immunity and reviving a suit accusing the app of recommending a "blackout challenge" that led to a 10-year-old's death.
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October 01, 2024
NC Hospital Hit With More Class Claims Over Data Breach
Columbus Regional Healthcare System's legal woes have worsened with more privacy breach claims filed against it by patients whose personal information was exposed by a May 2023 cyberattack on the healthcare provider's network.
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October 01, 2024
Russian Indicted, Sanctioned In 'Evil Corp' Ransomware Case
A Russian national described by the U.S. government as the second-in-command of a cybercrime group called Evil Corp has been indicted and hit with sanctions in response to a ransomware attack inflicted on several U.S. companies.
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October 01, 2024
Delta Wants Suit Over IT Outage Response Thrown Out
Delta Air Lines is asking a Georgia federal judge to toss a proposed class action brought by customers who claim its botched response to a massive IT outage left them stranded and on the hook for numerous expenses, arguing their claims are barred by a federal deregulation law and its ticket terms.
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October 01, 2024
Cyber Insurance Business Promotes Atty To General Counsel
Cyber insurance company Cowbell announced Tuesday that it has promoted to serve as its general counsel an attorney who has served as its vice president of legal for more than two years.
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September 30, 2024
AI Safety Bill Veto Shows Calif. Taking Regulatory 'Baby Steps'
The California governor's rejection of sweeping legislation to ensure the safe deployment of large-scale artificial intelligence models — and his simultaneous embrace of more targeted proposals to regulate the technology — is likely to result in the wider creation of regimes that favor "baby steps" over broad strokes, experts say.
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September 30, 2024
9th Circ. Partly Revives Crypto Investor's Suit Against AT&T
The Ninth Circuit on Monday partially revived a cryptocurrency investor's suit accusing AT&T of failing to protect his information amid a fraudulent SIM swap that cost him $24 million, finding there to be a triable question whether AT&T gave hackers access to his proprietary information through the scheme.
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September 30, 2024
Wheeling & Appealing: The Latest Must-Know Appellate Action
The year's spookiest month is looking scary-good for appellate aficionados, as famed oral advocates joust in October over net neutrality and Uber's extraordinary bid to unravel multidistrict litigation — just two of the high-profile arguments previewed in this edition of Wheeling & Appealing. October also begins with former President Jimmy Carter turning 100, and we'll test your knowledge of his profound impact on the judiciary.
Expert Analysis
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What To Know About Insurance Coverage For Antitrust Risks
With all the regulatory activity surrounding antitrust and unfair competition claims, as highlighted by last month's D.C. federal court decision that Google is a monopolist, businesses must not only ensure compliance, but also understand their potential insurance coverage when such claims arise, says Micah Skidmore at Haynes Boone.
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What The SEC Liquidity Risk Management Amendments Entail
Fund managers should be cognizant of the U.S. Security and Exchange Commission's recent changes to certain reporting requirements and guidance related to open-end fund liquidity risk management programs, and update their filing systems if need be, says Rachael Schwartz at Sullivan & Worcester.
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It's No Longer Enough For Firms To Be Trusted Advisers
Amid fierce competition for business, the transactional “trusted adviser” paradigm from which most firms operate is no longer sufficient — they should instead aim to become trusted partners with their most valuable clients, says Stuart Maister at Strategic Narrative.
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Service Agreement Lessons From July's Global Tech Outage
The worldwide outages recently caused by Crowdstrike Holdings' misconfigured software update highlight the need to evaluate potential IT vendors, negotiate certain service agreement terms, and review existing agreements and diligence forms to help prevent future disruptions and mitigate the fallout should one occur, say attorneys at WilmerHale.
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Calif. Bill, NTIA Report Illustrate Open-Model AI Safety Debate
The National Telecommunications and Information Administration’s balanced recommendations for preventing misuse of open artificial intelligence models, contrasted with a more aggressive California bill, demonstrate an evolving regulatory debate about balancing democratic access to this powerful new technology against potential risks to the public, say Stuart Meyer and Fredrick Tsang at Fenwick.
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Complying With FTC's Final Rule On Sham Online Reviews
The Federal Trade Commission's final rule on deceptive acts and practices in online reviews and testimonials is effective Oct. 21, and some practice tips can help businesses avert noncompliance risks, say Airina Rodrigues and Jonathan Sandler at Brownstein Hyatt.
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Opinion
A Fuzzy Label With Bite: FTC Must Define Surveillance Pricing
The Federal Trade Commission recently issued orders to eight companies — including Mastercard, McKinsey and Chase — seeking information on "surveillance pricing," but the order doesn't explain the term or make the distinction between legal and illegal practices, leaving any company that uses personalized pricing in the dark, says Chris Wlach at Huge.
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New Employer Liability Risks In Old Ill. Genetic Privacy Law
Illinois’ Genetic Information Privacy Act has been litigated very sparsely, but two recent federal court decisions — Taylor v. Union Pacific and McKnight v. United Airlines — holding that preemployment family medical history questions violated the 1998 law may encourage more lawsuits, say Peter Berk and Madison Shepley at Clark Hill.
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How States Are Approaching AI Workplace Discrimination
As legislators across the U.S. have begun addressing algorithmic discrimination in the workplace, attorneys at Reed Smith provide an overview of the status, applicability and provisions of 13 state and local bills.
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Navigating A Potpourri Of Possible Transparency Act Pitfalls
Despite the Financial Crimes Enforcement Network's continued release of guidance for complying with the Corporate Transparency Act, its interpretation remains in flux, making it important for companies to understand potentially problematic areas of ambiguity in the practical application of the law, say attorneys at Sidley.
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The Risks Of Employee Political Discourse On Social Media
As election season enters its final stretch and employees increasingly engage in political speech on social media, employers should beware the liability risks and consider policies that negotiate the line between employees' rights and the limits on those rights, say Bradford Kelley and James McGehee at Littler.
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A Preview Of AI Priorities Under The Next President
For the first time in a presidential election, both of the leading candidates and their parties have been vocal about artificial intelligence policy, offering clues on the future of regulation as AI continues to advance and congressional action continues to stall, say attorneys at Mintz.
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How Methods Are Evolving In Textualist Interpretations
Textualists at the U.S. Supreme Court are increasingly considering new methods such as corpus linguistics and surveys to evaluate what a statute's text communicates to an ordinary reader, while lower courts even mull large language models like ChatGPT as supplements, says Kevin Tobia at Georgetown Law.
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Finding Coverage For Online Retail Privacy Class Actions
Following recent court rulings interpreting state invasion of privacy and electronic surveillance statutes triggering a surge in the filing of privacy class actions against online retailers, companies should examine their various insurance policies, including E&O and D&O, for defense coverage of these claims, says Alison Gaske at Gilbert LLP.
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The State Law Landscape After Justices' Social Media Ruling
Following the U.S. Supreme Court’s recent NetChoice ruling on social media platforms’ First Amendment rights, it’s still unclear if state content moderation laws are constitutional, leaving online operators to face a patchwork of regulation, and the potential for the issue to return to the high court, say attorneys at Crowell & Moring.