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November 15, 2024
Healthcare Co. PACS Made False Claims Before IPO, Suit Says
Healthcare holding company PACS Group Inc. has been hit with a proposed shareholder class action on the heels of a short seller's report that alleged the company engaged in deceptive practices to boost its value ahead of its initial public offering, including Medicare claims fraud.
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November 15, 2024
Semiconductor Co. ASML Faces Suit Over Trade Downturn
Semiconductor industry supplier ASML Holding NV has been hit with a shareholder class action alleging that it stunned investors as it significantly lowered its 2025 revenue forecast after earlier brushing off the potential impact of economic headwinds affecting its industry.
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November 15, 2024
Dogecoin Buyers Drop Bid To Revive Suit Against Musk
Dogecoin cryptocurrency investors have agreed to drop their appellate bid to revive a two-year-old proposed securities class action accusing Elon Musk and Tesla Inc. of using the CEO's celebrity to target unsophisticated investors and gain a profit on the memecoin, according to a stipulation filed in New York federal court.
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November 15, 2024
SEC's Top Cop Says Election Hasn't Slowed Enforcers Down
The U.S. Securities and Exchange Commission's enforcement attorneys continue to work with "urgency" in the waning months of the Biden administration, the acting leader of the enforcement division said Friday at an event where he also spoke about a shuttered task force and the agency's approach to pursuing cases involving cybersecurity breaches.
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November 15, 2024
Abbott Inks $8M Deal With Healthcare Fraudster In TM Suit
A New York federal judge on Thursday green-lit a trademark infringement settlement in which Abbott Laboratories will receive $8 million from a Florida businessman who recently pled guilty to healthcare fraud for his role in a sprawling gray market scheme to profit off of Abbott's line of diabetic test strips meant to be sold internationally.
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November 15, 2024
Katten Atty Brings Derivatives Expertise To Faegre Drinker
Faegre Drinker Biddle & Reath LLP announced a new addition to its New York office on Thursday, touting the derivatives focus the former Katten Muchin Rosenman LLP partner takes to the firm's investment management group.
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November 15, 2024
Taxation With Representation: Cravath, MoFo, Gibson Dunn
In this week's Taxation With Representation, Cardinal Health takes a majority stake in GI Alliance and acquires Advanced Diabetes Supply Group, Just Eat offloads Grubhub to Wonder Group, Rivian Automotive and Volkswagen Group launch a joint venture, and Ovintiv Inc. buys Montney Basin assets from Paramount Resources Ltd.
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November 15, 2024
Hospital Workers' 2nd Circ. Appeal May Wait For Deloitte Case
Workers for Montefiore Medical Center seeking to revive retirement plan mismanagement allegations may see a delayed ruling in their case until another Second Circuit panel rules on similar claims against Deloitte, a panel judge said Friday during proceedings.
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November 14, 2024
Chinese Amazon Sellers Say Firm Botched Settlement Talks
A group of Chinese electronics sellers have slapped a small New York law firm with a $6.4 million malpractice lawsuit, saying the firm torpedoed a potential settlement with Amazon after the online behemoth deactivated their seller accounts and withheld millions of dollars of their profits.
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November 14, 2024
Supposed AI Fund's Manager Accused Of Wire, Securities Fraud
A manager of a hedge fund that purported to use artificial intelligence has been indicted by a New York federal grand jury on charges of wire fraud and securities fraud after allegedly lying to investors and stealing hundreds of thousands of dollars for his own personal use, according to an indictment unsealed Thursday.
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November 14, 2024
Hasbro's Excess Toy Inventory Tanked Stock, Suit Says
Toy and entertainment company Hasbro Inc. has been hit with a proposed shareholder class action alleging it falsely portrayed high inventory levels as a protective measure against supply chain issues despite knowing its inventory far exceeded actual consumer demand.
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November 14, 2024
Maryland Seeks To Undo Litigation Pause In Purdue Appeal
The state of Maryland argued in New York federal court Thursday that it should be allowed to pursue claims against the Sackler family members who own bankrupt OxyContin maker Purdue Pharma LP, and that a temporary injunction currently blocking a flood of litigation should be thrown out.
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November 14, 2024
NY Nursing Homes Ink $45M Deal To End AG's Fraud Suit
Four New York nursing homes have agreed to a $45 million deal that will end a civil lawsuit brought by the state accusing them of neglecting residents and defrauding Medicare and Medicaid, according to a Friday announcement by New York Attorney General Letitia James.
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November 14, 2024
Legal Aid Groups Accuse NYC Of Payment Delays
The nonprofits that provide legal aid to low-income tenants and immigrants in New York City say that due to city delays, they haven't been able to submit invoices for five months, threatening the groups' ability to pay workers and continue operating.
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November 14, 2024
NYC Speeds Away From Taxi Drivers' RICO Claim
New York City and its transportation officials have escaped a racketeering suit filed by New York cabdrivers that accused them of artificially pumping the value of taxi licenses, a federal judge ruled, saying that drivers failed to show that awarding them money would prevent others from becoming victims of the same allegedly "fraudulent scheme."
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November 14, 2024
Man Found Guilty Of Scamming NBA Players Seeks New Trial
A Georgia businessman and recidivist fraudster is seeking a retrial after being convicted of swindling former NBA players Dwight Howard and Chandler Parsons out of a combined $8 million, in a scheme under which the pro basketball players believed their money was going toward legitimate investments.
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November 14, 2024
NY Gov. Brings Back Manhattan Congestion Pricing Plan
The resurrection of New York City's plan to charge all vehicles a fee for entering Manhattan's busiest corridor demonstrates a mad dash in the final months of the Biden administration to expedite infrastructure projects perceived as political lightning rods before President-elect Donald Trump takes office.
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November 14, 2024
Trump Names Solicitor General, SDNY Picks
President-elect Donald Trump announced on Thursday he is tapping for solicitor general the lawyer who represented him before the U.S. Supreme Court and will name his former chair of the U.S. Securities and Exchange Commission to be U.S. attorney for the Southern District of New York.
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November 14, 2024
Ben & Jerry's Says Unilever Broke Their Deal Over Gaza
Ben & Jerry's sued its parent company, Unilever, Wednesday in New York federal court accusing the consumer goods giant of breaching their settlement agreement that allows the ice cream company freedom in taking political stances by trying to dismantle its independent board and muzzle its stance on the war in Gaza.
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November 14, 2024
Sports Media Co. Can't Sink SEC's $22M Fraud Suit
A New York federal judge said media technology company Icaro Media Group Inc. and its CEO must face the U.S. Securities and Exchange Commission's suit alleging they raised more than $22 million from investors on fake claims that the company was about to launch a sports content application in partnership with major telecommunications companies.
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November 14, 2024
47 AGs Support FCC's Robocall Database Reforms
A bipartisan coalition of 47 attorneys general encouraged the Federal Communications Commission to implement new rules aimed at improving the effectiveness of the Robocall Mitigation Database, or RMD, writing in a comment letter that the database is "currently one of the most important sources of information available for anti-robocall enforcement actions."
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November 14, 2024
Robbins Geller Tapped To Lead Software Co. Investor Suit
A pair of pension funds represented by Robbins Geller Rudman & Dowd LLP has beaten out individual investors vying to lead a shareholder class action against MongoDB Inc. over the software company's growth projections.
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November 14, 2024
Giuliani Attys Signal Impasse In Bid To Exit Collection Cases
Attorneys representing disgraced ex-lawyer Rudy Giuliani asked a New York federal court to allow them to withdraw from representing him in a pair of cases from former Georgia poll workers seeking to collect a $148 million defamation award against him, indicating they are at odds with the onetime New York City mayor.
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November 14, 2024
'We'll Leave It To Others': SEC's Gensler Hints At Exit
U.S. Securities and Exchange Commission Chair Gary Gensler gave a lengthy speech Thursday about his legacy and what remains to be done on regulations related to investors' climate, artificial intelligence and crypto concerns.
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November 14, 2024
Mayer Brown Energy And Project Finance Partner Joins Akin
Akin Gump Strauss Hauer & Feld LLP announced Thursday that an experienced project finance and energy attorney joined the firm's New York office as a partner, in a move Akin said will help with its increased client demand in those areas.
Expert Analysis
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Series
Round-Canopy Parachuting Makes Me A Better Lawyer
Similar to the practice of law, jumping from an in-flight airplane with nothing but training and a few yards of parachute silk is a demanding and stressful endeavor, and the experience has bolstered my legal practice by enhancing my focus, teamwork skills and sense of perspective, says Thomas Salerno at Stinson.
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And Now A Word From The Panel: The MDL Map
An intriguing yet unpredictable facet of multidistrict litigation practice is venue selection for new MDL proceedings, and the Judicial Panel on Multidistrict Litigation considers many factors when it assigns an MDL venue, says Alan Rothman at Sidley Austin.
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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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Google And The Next Frontier Of Divestiture Antitrust Remedy
The possibility of a large-scale divestiture in the Google search case comes on the heels of recent requests of business breakups as remedies for anticompetitive conduct, and companies should prepare for the likelihood that courts may impose divestiture remedies in the event of a liability finding, say Lauren Weinstein and Nathaniel Rubin at MoloLamken.
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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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Defamation Law Changes May Be Brewing At Supreme Court
The U.S. Supreme Court's significant rightward shift has produced dramatic changes in many areas of the law, and the long-standing "actual malice" standard protecting speech about public figures could be the next precedent to fall, say attorneys at Paul Hastings.
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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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Behind 3rd Circ. Ruling On College Athletes' FLSA Eligibility
The Third Circuit's decision that college athletes are not precluded from bringing a claim under the Fair Labor Standards Act raises key questions about the practical consequences of treating collegiate athletes as employees, such as Title IX equal pay claims and potential eligibility for all employment benefits, say attorneys at Debevoise.
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Rise Of Transpo Contractors Brings Insurance Disputes
As more independent contractors are contracted and subcontracted in the delivery industry, companies must be prepared to defend claims from drivers who are injured on the job as they are often seeking to establish an employment relationship with one of the entities in the chain, says Nathan Milner at Goldberg Segalla.
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Video Game Release Highlights TM Pitfalls Of App Store
The upcoming release of poker video game Balatro in Apple's App Store underscores the tradeoff of keyword advertising and trademark protection for indie developers who, unlike corporate counterparts, lack resources but seek to maximize the reach of their game, say Parmida Enkeshafi and Simon Pulman at Pryor Cashman.
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Missouri Injunction A Setback For State Anti-ESG Rules
A Missouri federal court’s recent order enjoining the state’s anti-ESG rules comes amid actions by state legislatures to revise or invalidate similar legislation imposing disclosure and consent requirements around environmental, social and governance investing, and could be a blueprint for future challenges, say attorneys at Paul Hastings.
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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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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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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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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.