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Cybersecurity & Privacy
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September 24, 2024
Dentons Accused Of Hacking Laptop, Aiding Vape Co. Usurper
Dentons helped the founder of vape distributor Next Level sabotage and usurp manufacturer Avid Holdings' brand, including breaking into its founder's laptop to access confidential information, Avid alleged in a sprawling lawsuit filed Tuesday in California federal court.
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September 24, 2024
Google Can't Ditch Privacy Suit Over Period App Data Sharing
A California federal judge has refused to release Google from a proposed class action alleging the company used a data analytics tool to wrongfully retrieve data from menstruation tracking app Flo, rejecting the tech giant's arguments that the plaintiffs lacked standing and had consented to the disclosures.
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September 24, 2024
Amazon Scolded Over Improper Privilege In Alexa Privacy Suit
Amazon.com Inc. must re-produce documents it clawed back during discovery from unregistered Alexa users who allege they were illegally recorded, a Washington federal judge ruled Monday, scolding the e-commerce giant for "improperly" trying to conceal its business and strategic documents behind attorney-client privilege.
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September 24, 2024
Fox Exec Must Show Cell Data In Smartmatic Defamation Suit
A Florida state court judge has ordered a Fox News board member to turn over cellphone data in connection to a New York defamation lawsuit over unfounded reports that Smartmatic USA Corp.'s voting systems helped rig the 2020 election, finding the phone may contain relevant information to the case.
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September 24, 2024
Google Investors' Atty Defends Fees For $350M Privacy Deal
Counsel for Google LLC shareholders who reached a $350 million settlement with Alphabet Inc. over claims they were deceived about a 2018 data breach urged a California federal judge Tuesday to approve the deal, including about $66.5 million for attorneys, calling the fees more than reasonable.
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September 24, 2024
Feds Say BitMEX Should Owe $428M For Flouting AML Rules
Federal prosecutors urged a Manhattan federal judge to impose a $428 million penalty for offshore crypto derivatives exchange BitMEX after the firm admitted to lax anti-money laundering procedures, arguing the more than $100 million the firm and founders have already paid to regulators is not enough to deter other crypto firms from Bank Secrecy Act violations.
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September 24, 2024
1st Circ. Affirms Tossing Of IRS Crypto Doc Seizure Case
A New Hampshire federal court correctly dismissed a bitcoin investor's claim that the IRS violated his privacy and property rights when it seized his records from the cryptocurrency exchange Coinbase, the First Circuit ruled Tuesday, agreeing that he lacked a reasonable expectation that his account information would be kept private.
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September 24, 2024
Musk, X Seek To End Ex-CNN Anchor's Talk Show Fraud Suit
Elon Musk and his social media platform X have asked a California federal judge to toss former CNN anchor Don Lemon's suit against over a collapsed talk show deal, saying the claims are insufficiently supported, Musk wasn't properly served, and there's no jurisdiction to proceed in the Golden State.
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September 24, 2024
Think Tank Can't Get Prince Harry's Visa Records, Judge Says
A D.C. federal judge has shot down conservative think tank's attempt to pry loose Prince Harry's visa records, saying the U.S. Department of Homeland Security rightfully withheld them to protect the Duke of Sussex's privacy.
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September 24, 2024
SEC Says Blockchain Cybersecurity Co. Ran $5M Fraud
The U.S. Securities and Exchange Commission sued a former blockchain cybersecurity and supply chain management company and its founder, alleging they deceived investors and fraudulently raised more than $5 million by falsely claiming that the company had secured contracts and that it expected to generate millions in revenue.
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September 24, 2024
Ex-Google Privacy Chief Joins Gibson Dunn As Practice Head
Gibson Dunn & Crutcher LLP has hired a former vice president and chief privacy officer at Google, who for more than 13½ years, has helped lead a team of privacy specialists working to achieve Google's data protection and privacy goals.
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September 24, 2024
Firms Allowed To Exit IP Case After Gaining Philips' Consent
A North Carolina federal judge allowed Dentons and Morningstar Law Group to withdraw as Transtate Equipment Co. Inc.'s counsel in a copyright and unfair competition case, after a stipulation was struck with opposing attorneys representing a Dutch health technology conglomerate that initially scoffed at the request.
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September 24, 2024
Man In Mueller Report Asks DC Circ. To Revive Privacy Claim
A Georgian American businessman named in special counsel Robert Mueller's report on 2016 Russian election interference has petitioned the D.C. Circuit for an en banc review of a panel's decision not to revive his Privacy Act damages claim related to supposed inaccuracies, arguing the panel erred in finding he had abandoned damages arguments.
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September 24, 2024
Star Witness Against Bankman-Fried Gets 2 Years In FTX Case
A Manhattan federal judge sentenced former cryptocurrency executive Caroline Ellison to two years in prison Tuesday, crediting her decision to testify against FTX founder Sam Bankman-Fried but saying the $11.2 billion fraud was too big to warrant a "get out of jail free card."
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September 24, 2024
Ex-MoFo Cybersecurity Partner Joins Cooley In NY
Cooley LLP announced on Tuesday the hiring of a former global privacy and data security partner at Morrison Foerster LLP.
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September 23, 2024
Nike, Others Let TikTok 'Fingerprint' Sites, Suits Claim
Nike, its subsidiary Converse and telehealth company Teladoc were each hit with proposed class actions on Friday in California federal court over allegations that they violated the state's "trap and trace" law by using TikTok software to collect personal data from visitors to their websites.
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September 23, 2024
Calif. Gov. Vetoes Privacy Bill, OKs Social Media Addiction Law
California's governor has refused to enact legislation that would have required browser developers to make it easier for consumers to stop the sale and sharing of their personal information, while approving a bill that will block online platforms from using algorithms to deliver addictive feeds to children without parental consent.
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September 23, 2024
'Bluey,' 'Paw Patrol' App Maker Sued Over 'Stealth Marketing'
A proposed class of parents is suing Budge Studios Inc., the maker of licensed phone and tablet applications for children's cartoons such as "Bluey" and "Paw Patrol," alleging that the company used predatory "stealth marketing" and "dark patterns" to entice children into getting their parents to pay for monthly subscriptions and in-app purchases.
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September 23, 2024
CFTC Fines Piper Sandler $2M In Latest Text Messaging Action
The U.S. Commodity Futures Trading Commission and the U.S. Securities and Exchange Commission both announced settlements Monday in their ongoing probe into the financial industry's use of personal devices to discuss company business, with the CFTC issuing a fine against a subsidiary of Piper Sandler & Co. while the SEC said that a cooperative investment adviser would not have to pay anything.
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September 23, 2024
House Swipes Right On Online Dating Safety Bill
The House passed a bipartisan bill via voice vote Monday requiring dating apps to inform users when they're talking with fraudsters.
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September 23, 2024
PNC, Plaid End Legal Battle With Customer Data-Sharing Deal
PNC Financial Services Group and Plaid have reached an agreement to end nearly four years of trademark litigation that allows PNC customers to use Plaid to share their financial data with fintech companies like Venmo and Cash App.
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September 23, 2024
Edelson, Susman, Berger To Lead MultiPlan Collusion MDL
An Illinois federal judge on Monday tapped a team of lawyers from Edelson PC, Susman Godfrey LLP and Berger Montague PC to take the lead for plaintiffs in multidistrict litigation accusing MultiPlan and a host of insurers of colluding through the use of the data firm's pricing tools to systematically underpay out-of-network providers.
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September 23, 2024
Biden Admin Seeks To Ban Certain Chinese, Russian Car Tech
The Biden administration proposed a new policy Monday that would ban automakers from importing and selling vehicles in the U.S. with certain connectivity components made in China or Russia that pose national security risks, in an effort to protect U.S. infrastructure and American consumers.
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September 23, 2024
Wilkinson Barker Brings On FCC Deputy Bureau Chief In DC
A 12-year veteran of the Federal Communications Commission, who most recently was the deputy bureau chief of the agency's Wireline Competition Bureau, is returning to private practice as a partner with Wilkinson Barker Knauer LLP, the firm announced Monday.
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September 23, 2024
Telecoms Oppose Tougher FCC Regime Against Robocalls
A major telecommunications trade association is urging the Federal Communications Commission to drop proposed enhancements to its anti-robocall rules, telling the commission that the potential changes could end up blocking legitimate calls.
Expert Analysis
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Navigating Restrictions Following Biotech Bill House Passage
Ahead of the BIOSECURE Act’s potential enactment, companies that obtain equipment from certain Chinese biotechnology companies should consider whether the act would restrict their ability to enter into contracts with the U.S. government and what steps they might take in response, say attorneys at Ropes & Gray.
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Dealmaker Lessons From CFIUS' New Enforcement Webpage
The Committee on Foreign Investment in the United States’ recently launched webpage, which details the actions — and inactions — that led to enforcement activity, provides important insights for dealmakers about filing requirements, mitigation commitments and the cost of noncompliance, say attorneys at Dechert.
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What's In Colorado's 1st-Of-Its-Kind Neural Privacy Law
Colorado recently became the first U.S. state to directly regulate neurotechnology with new legislation amending the Colorado Privacy Act to specifically protect biological and neural data, offering an example of how lawmakers can tackle the perceived regulation gaps in this area, say attorneys at Goodwin.
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Why Now Is The Time For Law Firms To Hire Lateral Partners
Partner and associate mobility data from the second quarter of this year suggest that there's never been a better time in recent years for law firms to hire lateral candidates, particularly experienced partners — though this necessitates an understanding of potential red flags, say Julie Henson and Greg Hamman at Decipher Investigative Intelligence.
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Considering Possible PR Risks Of Certain Legal Tactics
Disney and American Airlines recently abandoned certain litigation tactics in two lawsuits after fierce public backlash, illustrating why corporate counsel should consider the reputational implications of any legal strategy and partner with their communications teams to preempt public relations concerns, says Chris Gidez at G7 Reputation Advisory.
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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.