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New York
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August 16, 2024
NY Court Security Gave Away Phone With Nudes, Suit Says
A New York woman has filed a state court lawsuit alleging that a Columbia County Sheriff's Department deputy gave her phone to the wrong person after she visited a county courthouse, which led to sexually explicit photos and videos of her being accessed on the phone and published to social media.
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August 16, 2024
Feds To Appeal Platinum Win Over Zero Loss, Count Toss
Federal prosecutors have notified the Second Circuit that they'll appeal a judge's findings that the loss amount in the case of Platinum Partners co-founder Mark Nordlicht was zero and the wire fraud conspiracy counts against Nordlicht and another would be dismissed, despite Nordlicht's conviction.
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August 16, 2024
McKinsey Drove Opioid Sale Scheme, Endo Ch. 11 Trust Says
Consulting giant McKinsey & Co. should pay at least $1.5 billion to cover costs pharmaceutical developer Endo International racked up defending against claims that it helped drive the opioid crisis, an unsecured creditors' trustee has said, telling a New York bankruptcy judge the consultant's marketing and sales advice lit a "ticking time bomb" that sent Endo into Chapter 11.
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August 16, 2024
Calif. State Court Tosses Antitrust Case Against MultiPlan
A California state court has tossed a suit accusing MultiPlan Inc. of violating antitrust law through pricing tools used by health insurance providers, similar to claims being made in multidistrict litigation that were recently centralized in Illinois federal court.
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August 16, 2024
NYC's Beth Israel Hospital Still Can't Close Amid Legal Fight
A New York state judge on Friday renewed a temporary restraining order that has delayed the shutdown of Mount Sinai Beth Israel Hospital, citing community members' concerns that its closure would create a healthcare desert in lower Manhattan.
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August 16, 2024
NJ Office Building Seeks Ch. 11 Following '22 Default Actions
A New Jersey office property owned by New York developer Moshe Gold filed for federal Chapter 11 bankruptcy protection after facing a foreclosure action and an involuntary bankruptcy petition that paused a sheriff's sale as a result of the building defaulting on $16.8 million worth of loans in 2022.
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August 16, 2024
Triathlete Hit By Car Says Event Organizers Didn't Protect Her
A woman struck by a car while she was biking in a Massachusetts Ironman triathlon last year has sued the sport's national and international governing bodies for negligence in not ensuring her safety during the event.
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August 16, 2024
2nd Circ. Faults 'Sophisticated Plaintiff' Logic In Axing IP Case
The Second Circuit on Friday said a Manhattan federal judge wrongly dismissed a photography studio's copyright complaint as time-barred by concluding that a "sophisticated plaintiff" such as the studio could not avail itself of the discovery rule, a judicial doctrine holding that copyright claims accrue when an alleged infringement is discovered.
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August 16, 2024
2nd Circ. Finds Walgreens Supplement False Ad Suit Preempted
The Second Circuit on Friday backed Walgreen Co. and International Vitamin Corp.'s win over a proposed class action alleging that a glucosamine supplement was mislabeled, finding the lower court was right to find the plaintiff's claims were preempted by federal law.
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August 16, 2024
UN Votes For Global Services As First Priority Under Tax Pact
The United Nations voted Friday to make taxation of cross-border services the most prioritized topic for a legally binding agreement to be finalized by late 2027 alongside the organization's framework convention on international tax cooperation.
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August 16, 2024
FuboTV Scores Injunction Blocking Streaming Venture Launch
Sports streaming service Fubo has convinced a New York federal court to block ESPN, Fox and Warner Bros. Discovery from launching their "sports-first streaming business" while it challenges the joint venture as an anticompetitive attempt to knock it out of the market.
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August 16, 2024
Ch. 7 Trustee Can't Recover Tax Payment, States Tell Justices
A group of roughly two dozen states threw their support behind the federal government in asking the U.S. Supreme Court to overturn a ruling that forced the IRS to return a tax payment after a bankruptcy trustee argued it was a fraudulent transfer and recoverable under state law.
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August 16, 2024
ICE Arresting More Detained Noncitizens, Report Shows
U.S. Immigration and Customs Enforcement has been making more arrests while Customs and Border Protection has been making fewer in fiscal year 2024, corresponding to the Biden administration's efforts to limit asylum access at the U.S.-Mexico border, a new report shows.
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August 16, 2024
EQT Buys PropertyGuru In $1.1B Deal Driven By 3 Firms
Private equity firm EQT said Friday that it has agreed to acquire Singapore-based online real estate search company PropertyGuru for $1.1 billion, in a transaction advised by Latham & Watkins LLP, Ropes & Gray LLP and Freshfields Bruckhaus Deringer LLP.
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August 16, 2024
Skadden Corporate Adviser Atty Rejoins Simpson Thacher
Simpson Thacher & Bartlett LLP has rehired an attorney who advises corporate executives on general securities and business law matters, bringing him back to the team in New York after several years with Skadden Arps Slate Meagher & Flom LLP.
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August 16, 2024
Taxation With Representation: Cleary, Kirkland, Skadden
In this week's Taxation with Representation, Mars Inc. sets a 2024 record with its $36 billion acquisition of Kellanova, Carlyle inks a $3.8 billion purchase with Baxter International Inc., and Performance Food Group Co. agrees to a $2.1 billion cash deal with Cheney Bros. Inc.
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August 15, 2024
Investing Website Isn't An Investment Adviser, Court Says
A New York federal judge ruled Thursday that an exclusion to the Investment Advisers Act applies to the investing analysis website Seeking Alpha, dismissing a proposed class action from subscribers who accused the site of serving as an unregistered investment adviser and unlawfully collecting subscription fees.
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August 15, 2024
FanDuel Co-Founders Add Scottish Claims To Suit Over Sale
Co-founders of FanDuel have fortified their lawsuit accusing late-stage institutional investors of cheating early and longtime investors out of their fair share of equity when the company was sold in 2018, adding several claims under Scottish law.
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August 15, 2024
2nd Circ. Won't Revive Platinum Investors' Ch. 7 Challenge
A New York bankruptcy court correctly refused to overturn the approval of a $2.5 million settlement in the bankruptcy of a founder of defunct hedge fund Platinum Partners, the Second Circuit ruled Thursday, finding that the approved deal was superior to an alternative offer.
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August 15, 2024
Northeast Grocery Chain Escapes 401(k) Mismanagement Suit
The parent company of grocery chain Price Chopper defeated a proposed class action alleging it allowed its 401(k) plan to be bogged down with underperforming funds and excessive costs, with a New York federal judge ruling Thursday that workers hadn't provided enough detail to sustain their claims.
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August 15, 2024
Discover Can't Arbitrate Fraud Risk Claims, But Amex Can
A New York federal judge has refused to allow Discover Financial Services to arbitrate claims that it and other credit card networks conspired to dump fraud risk on retailers, but granted a similar motion from American Express.
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August 15, 2024
Baha Mar Builder Blames Developer Debt As $1.5B Trial Wraps
Counsel for the Chinese state-owned construction firm that built the Bahamian luxury resort Baha Mar closed out a bench trial in New York state court on Thursday arguing that it was the resort developer's overleveraged debt, not delays in the building process, that led to $1.5 billion in losses.
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August 15, 2024
Kerrygold, Customers Agree To End 'Pure' False Ad Suit
A consumer who sued Irish butter brand Kerrygold has agreed to end her proposed class action over claims that it falsely advertised its product as "pure" even though it might contain "forever chemicals" by way of its packaging.
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August 15, 2024
Fake Prescription Caper Yields $10.2M Fine For Bankrupt Co.
A Manhattan federal judge hit a defunct unit of bankrupt biotechnology concern DMK Pharmaceuticals Corp. with a $10.2 million fine Thursday, after the subsidiary admitted to criminally faking horse-drug prescriptions in a scheme that generated $4.2 million.
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August 15, 2024
Ex-Morelli Atty Says Sex Assault Claims Waived In Settlement
Morelli Law Firm PLLC and its founding partner Benedict Morelli settled sexual assault allegations from an associate at its predecessor firm, Morelli Ratner PC, before she filed suit against fellow named partner David Ratner, according to a motion Ratner filed in New York state court Tuesday seeking a copy of the settlement.
Expert Analysis
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Opinion
States Should Loosen Law Firm Ownership Restrictions
Despite growing buzz, normalized nonlawyer ownership of law firms is a distant prospect, so the legal community should focus first on liberalizing state restrictions on attorney and firm purchases of practices, which would bolster succession planning and improve access to justice, says Michael Di Gennaro at The Law Practice Exchange.
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Keys To Strong Parking, Storage Contracts For NYC Buildings
Drafting and enforcing unambiguous parking and storage unit license agreements are essential tasks for co-op and condo boards in New York City, with recent cases highlighting how prudent terms can minimize potential headaches, say Matthew Eiben and Adam Lindenbaum at Rosenberg & Estis.
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Best Text Practices In Light Of Terraform's $4.5B Fraud Deal
Text messages were extremely important in a recent civil trial against Terraform Labs, leading to a $4.5 billion settlement, so litigants in securities fraud cases need to have robust mobile data policies that address the content and retention of messages, and the obligations of employees to allow for collection, say Josh Sohn and Alicia Clausen at Crowell & Moring.
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Series
Solving Puzzles Makes Me A Better Lawyer
Tackling daily puzzles — like Wordle, KenKen and Connections — has bolstered my intellectual property litigation practice by helping me to exercise different mental skills, acknowledge minor but important details, and build and reinforce good habits, says Roy Wepner at Kaplan Breyer.
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Dapper Settlement Offers Rules Of The Road For NFT Issuers
The terms of a $4 million settlement in a class action alleging that Dapper Labs sold its NBA Top Shot Moments as unregistered securities may be a model for third parties that wish to avoid securities liability in connection with offering digital asset non-fungible token collectibles, say attorneys at K&L Gates.
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Texas Ethics Opinion Flags Hazards Of Unauthorized Practice
The Texas Professional Ethics Committee's recently issued proposed opinion finding that in-house counsel providing legal services to the company's clients constitutes the unauthorized practice of law is a valuable clarification given that a UPL violation — a misdemeanor in most states — carries high stakes, say Hilary Gerzhoy and Julienne Pasichow at HWG.
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Why High Court Social Media Ruling Will Be Hotly Debated
In deciding the NetChoice cases that challenged Florida and Texas content moderation laws, what the U.S. Supreme Court justices said about social media platforms — and the First Amendment — will have implications and raise questions for nearly all online operators, say Jacob Canter and Joanna Rosen Forster at Crowell & Moring.
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In Memoriam: The Modern Administrative State
On June 28, the modern administrative state, where courts deferred to agency interpretations of ambiguous statutes, died when the U.S. Supreme Court overruled its previous decision in Chevron v. Natural Resources Defense Council — but it is survived by many cases decided under the Chevron framework, say Joseph Schaeffer and Jessica Deyoe at Babst Calland.
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How To Clean Up Your Generative AI-Produced Legal Drafts
As law firms increasingly rely on generative artificial intelligence tools to produce legal text, attorneys should be on guard for the overuse of cohesive devices in initial drafts, and consider a few editing pointers to clean up AI’s repetitive and choppy outputs, says Ivy Grey at WordRake.
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Constitutional Protections For Cannabis Companies Are Hazy
Cannabis businesses are subject to federal enforcement and tax, but often without the benefit of constitutional protections — and the entanglement of state and federal law and conflicting judicial opinions are creating confusion in the space, says Amber Lengacher at Purple Circle.
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Opinion
A Tale Of 2 Trump Cases: The Rule Of Law Is A Live Issue
The U.S. Supreme Court’s decision this week in Trump v. U.S., holding that former President Donald Trump has broad immunity from prosecution, undercuts the rule of law, while the former president’s New York hush money conviction vindicates it in eight key ways, says David Postel at Henein Hutchison.
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2nd Circ. ERISA Ruling May Help Fight Unfair Arb. Clauses
The Second Circuit recently held that a plaintiff seeking planwide relief under the Employee Retirement Income Security Act cannot be compelled to individual arbitration, a decision that opens the door to new applications of the effective vindication doctrine to defeat onerous and one-sided arbitration clauses, say Raphael Janove and Liana Vitale at Janove.
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Series
After Chevron: Various Paths For Labor And Employment Law
Labor and employment law leans heavily on federal agency guidance, so the U.S. Supreme Court’s decision to toss out Chevron deference will ripple through this area, with future workplace policies possibly taking shape through strategic litigation, informal guidance, state-level regulation and more, says Alexander MacDonald at Littler.
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Series
Boxing Makes Me A Better Lawyer
Boxing has influenced my legal work by enabling me to confidently hone the skills I've learned from the sport, like the ability to remain calm under pressure, evaluate an opponent's weaknesses and recognize when to seize an important opportunity, says Kirsten Soto at Clyde & Co.
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What NYC's Green Fast Track Means For Affordable Housing
New York City's Green Fast Track for Housing initiative, which went into effect last month, aims to speed up the environmental review process for modest residential developments and could potentially pave the way for similar initiatives in other cities, say Vivien Krieger and Rachel Scall at Cozen O'Connor.