Securities

  • August 28, 2024

    TikTok Moderation Co. Can't Beat Investor Suit Over Exposés

    A Florida federal judge ruled Wednesday that TikTok content moderation company Teleperformance must face a pension fund's proposed class action alleging that investors were harmed after investigative reports were published claiming that the company was working its staff into the ground and forcing them to watch harmful content with no support.

  • August 28, 2024

    SEC Says Repeat Offenders Ran Medical Co. Investment Scam

    The U.S. Securities and Exchange Commission has reached a settlement with one of two men it accused of inflating the price of a healthcare company before an initial public offering with a shell company, saying he has violated a trading bar from the agency's previous suit against him.

  • August 28, 2024

    BofA Units Fined $3M Over Trade Surveillance Compliance

    Two Bank of America units have agreed to pay $3 million to settle the Financial Industry Regulatory Authority's claims that they did not sufficiently safeguard against potentially manipulative trading by customers.

  • August 28, 2024

    Capital One Says Merger's Pending Approval Tanks Challenge

    Capital One urged a Virginia federal judge to toss or pause a lawsuit challenging the bank's proposed $35 billion acquisition of Discover Financial Services, saying the suit's claims are too speculative and contingent on unknown future events since they depend entirely on the acquisition receiving regulatory and government approval.

  • August 28, 2024

    SEC To Embattled NC Insurance Exec: Show Us The Money

    The U.S. Securities and Exchange Commission is seeking to force a convicted insurance mogul at the center of an alleged $57 million fraud to tell it what happened to the money he's accused of stealing from the insurance companies he ran, arguing in a North Carolina federal court that his answers thus far don't add up and that he shouldn't be allowed to rely on them at his upcoming trial.

  • August 28, 2024

    Boston Consulting Group Avoids FCPA Prosecution, Feds Say

    The U.S. Department of Justice has declined to prosecute Boston Consulting Group Inc. for former employees' alleged bribery of Angolan officials because of the management consulting firm's self-disclosure of the misconduct, as well as its cooperation, remediation and disgorgement of more than $14.4 million.

  • August 28, 2024

    Walgreens Brass Hid Pharmacy Division Woes, Suit Says

    Walgreens' directors and officers have been hit with a derivative suit by a shareholder who says the company and its executives inflated stock value by publicly expressing confidence in the pharmacy division's growth while hiding its struggles adapting to industry hurdles.

  • August 28, 2024

    NFT Platform OpenSea Says SEC May Bring Registration Suit

    The CEO of nonfungible token marketplace OpenSea said Wednesday that the firm was ready to "stand up and fight" after it received a notice that the U.S. Securities and Exchange Commission was considering an enforcement action claiming that the "creative goods" on its platform are unregistered securities.

  • August 28, 2024

    Bowl America Board Strikes $2.2M Deal To End Merger Suit

    Bowl America board members have agreed to pay nearly $2.2 million to settle a class action that alleged the company's board of directors acted in bad faith when it approved a merger with Bowlero Corp., according to a proposal submitted to a Maryland federal court.

  • August 28, 2024

    Billionaire Vik Says Deutsche Bank's 'Harassment' Must End

    Deutsche Bank AG's Connecticut state court lawsuit against billionaire Alexander Vik and his daughter is a doomed effort to relitigate issues that were already decided in a 2013 case that likewise sprang from the bank's global legal battle to collect a $243 million foreign judgment, the defendants said in seeking an early win.

  • August 28, 2024

    Conn. Investment Firm Withheld Pay, Commissions, Suit Says

    Six former employees of Connecticut investment advisory firm Excel Wealth Management LLC have sued the company and its members in state court seeking hourly wages or commissions they claimed they were never paid, with some alleging they were terminated for speaking out about their compensation.  

  • August 28, 2024

    SEC Omits 'Swing Pricing' Plan From Fund Disclosure Rules

    A divided U.S. Securities and Exchange Commission on Wednesday agreed to require more detailed and frequent disclosures from mutual funds, though regulators dropped plans — at least for now — to implement a controversial "swing pricing" provision.

  • August 28, 2024

    AI Software Co. Must Face SEC's $108M Pyramid Scheme Suit

    A Florida federal judge has refused to toss a suit brought by the U.S. Securities and Exchange Commission against the owners of a multilevel marketing company, accusing them of running a fraudulent and unregistered securities offering that raised roughly $108 million from claims that they are using artificial intelligence to develop software, saying the SEC has sufficiently pleaded the existence of a scheme, among other things.

  • August 28, 2024

    Farella Braun Can Pursue Unpaid SVB Fees From FDIC

    Farella Braun & Martel LLP can go after the Federal Deposit Insurance Corp. for $49,000 in legal fees owed by Silicon Valley Bank's parent after the agency was appointed as the bank's receiver, a California federal judge ruled Wednesday.

  • August 28, 2024

    Congress Urged To Address Trump Financial Conflicts

    After possible financial conflicts of interest caused consternation during President Donald Trump's first term, an ethics watchdog is calling for a series of legislative reforms to prevent them from recurring if he's reelected.

  • August 28, 2024

    Biotech Biz Hid Risks Of Gene-Editing Trial, Investor Claims

    Biotechnology firm Verve Therapeutics was hit with a proposed class suit alleging it misled investors about the risks associated with a clinical trial of an experimental gene-editing drug that was halted and caused the company's stock to tumble.

  • August 28, 2024

    Cooley Adds O'Melveny Securities Litigation, Fintech Pro In LA

    Cooley LLP has expanded its California team, announcing Wednesday it has brought in an O'Melveny & Myers LLP securities litigation and fintech expert as a partner in its Los Angeles office.

  • August 27, 2024

    Wells Fargo Says 'Good Faith' Efforts Ax Investors' Bias Suit

    Wells Fargo & Co. urged a California federal judge Tuesday to toss a derivative lawsuit filed by a putative class of shareholders claiming the bank's board of directors failed to address its discriminatory lending and hiring practices, saying there's evidence of "good-faith" efforts to monitor compliance in those areas.

  • August 27, 2024

    Exec To Pay SEC $190K Over Macquarie Insider Trading Claim

    The U.S. Securities and Exchange Commission says a New York man who used inside information he learned as a Macquarie Group investor relations executive to profit from a then-pending deal to sell its airport services business to KKR & Co. has agreed to pay nearly $190,000 to settle the agency's claims that he violated securities laws. ​

  • August 27, 2024

    Electric Jet Co. Grounds Investor Suit Over SPAC Disclosures

    Investors in German aerospace company Lilium have failed to adequately allege that the company lied about its electric jet production efforts as it went through a $3.3 billion go-public merger with a special purpose acquisition company, a Florida federal judge determined in permanently tossing the suit.

  • August 27, 2024

    Reddit Beats Pay-Per-Click Advertising Class Action, For Now

    Reddit Inc. has defeated, for now, LevelFields Inc.'s proposed contract breach class action alleging that it charged advertising customers for fake "clicks" that didn't result in corresponding traffic to the advertiser's website after a California federal judge said Tuesday that the plaintiff doesn't identify specific contractual provisions it thinks Reddit violated. 

  • August 27, 2024

    Navy Shipbuilder Pleads Guilty To Accounting Fraud

    A shipbuilder that contracts with the U.S. Navy pled guilty Tuesday to accounting fraud as part of a settlement to resolve criminal and civil investigations.

  • August 27, 2024

    NY Pension Funds Join Illumina Deal Suit Pile-On In Del.

    New York state's retirement system and fund have added a new derivative suit to widening stockholder litigation over Illumina Inc.'s $8 billion reacquisition of cancer testing company Grail Inc. despite European Commission regulatory agency opposition.

  • August 27, 2024

    CFTC Fines TOTSA $48M Over Market Manipulation Attempts

    Swiss energy trader TOTSA will pay $48 million for allegedly trying to manipulate the market for futures contracts linked to a type of refined gas mainly used in automobiles in Europe, the Commodity Futures Trading Commission announced Tuesday, with one commissioner dissenting over "flimsy evidence that is speculative and circumstantial." 

  • August 27, 2024

    SEC Cites Amazon's FTC Loss In Coinbase Document Dispute

    The U.S. Securities and Exchange Commission on Tuesday told a New York federal judge that a recent ruling denying Amazon's request to review internal documents from the Federal Trade Commission bolsters its own bid to shield internal communications in its enforcement suit against crypto exchange Coinbase.

Expert Analysis

  • Crypto Regs Could See A Reset Under The Next President

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    Donald Trump has taken a permissive policy stance favoring crypto, while Kamala Harris has been silent on the issue, but no matter who wins the presidential election, we may see a more lenient regulatory climate toward the digital currency than from the Biden administration, says Liam Murphy at McKool Smith.

  • Planning Law Firm Content Calendars: What, When, Where

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    During the slower month of August, law firms should begin working on their 2025 content calendars, planning out a content creation and distribution framework that aligns with the firm’s objectives and maintains audience engagement throughout the year, says Jessica Kaplan at Legally Penned.

  • Key Concerns To Confront In FDIC Brokered Deposit Proposal

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    Banks and fintech companies should note several fundamental issues with the Federal Deposit Insurance Corp.'s recent proposal to widen how it classifies brokered deposits, an attempt to limit prudential risk that could expose the industry and underbanked consumers who rely on bank-fintech apps to widespread unintended consequences, say attorneys at Gibson Dunn.

  • Crypto Gatekeepers May Be The Next Front Of Enforcement

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    Lawyers and other professionals who advise cryptocurrency companies should beware regulators' increasing focus on gatekeeper accountability, and should take several measures to fulfill their ethical and legal obligations, including implementing a robust vetting mechanism when representing crypto clients, say Temidayo Aganga-Williams and Xinchen Li at Selendy Gay.

  • Series

    Playing Golf Makes Me A Better Lawyer

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    Golf can positively affect your personal and professional life well beyond the final putt, and it’s helped enrich my legal practice by improving my ability to build lasting relationships, study and apply the rules, face adversity with grace, and maintain my mental and physical well-being, says Adam Kelly at Venable.

  • Law Firms Should Move From Reactive To Proactive Marketing

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    Most law firm marketing and business development teams operate in silos, leading to an ad hoc, reactive approach, but shifting to a culture of proactive planning — beginning with comprehensive campaigns — can help firms effectively execute their broader business strategy, says Paul Manuele at PR Manuele Consulting.

  • 3 Ways To Limit Risks Of Black-Box AI In Financial Services

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    As regulators increasingly highlight the potential for artificial intelligence to make unfair consumer credit decisions, and require financial institutions to explain how these so-called black-box algorithms arrive at conclusions, companies should consider three key questions to reduce their regulatory risks from these tools, say Jeffrey Naimon and Caroline Stapleton at Orrick.

  • 3 High Court Rulings May Shape Health Org. Litigation Tactics

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    Three separate decisions from the U.S. Supreme Court's most recent term — Loper Bright, Corner Post and Jarkesy — will likely strengthen healthcare organizations' ability to affirmatively sue executive agencies to challenge regulations governing operations and enforcement actions, say attorneys at McDermott.

  • Opinion

    The Big Issues A BigLaw Associates' Union Could Address

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    A BigLaw associates’ union could address a number of issues that have the potential to meaningfully improve working conditions, diversity and attorney well-being — from restructured billable hour requirements to origination credit allocation, return-to-office mandates and more, says Tara Rhoades at The Sanity Plea.

  • Opinion

    It's Time For A BigLaw Associates' Union

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    As BigLaw faces a steady stream of criticism about its employment policies and practices, an associates union could effect real change — and it could start with law students organizing around opposition to recent recruiting trends, says Tara Rhoades at The Sanity Plea.

  • Why DOJ's Whistleblower Program May Have Limited Impact

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    The U.S. Department of Justice’s new whistleblower pilot program aims to incentivize individuals to report corporate misconduct, but the program's effectiveness may be undercut by its differences from other federal agencies’ whistleblower programs and its interplay with other DOJ policies, say attorneys at Milbank.

  • How Justices Upended The Administrative Procedure Act

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    In its recent Loper Bright, Corner Post and Jarkesy decisions, the U.S. Supreme Court fundamentally changed the Administrative Procedure Act in ways that undermine Congress and the executive branch, shift power to the judiciary, curtail public and business input, and create great uncertainty, say Alene Taber and Beth Hummer at Hanson Bridgett.

  • How Corner Post Affects Enviro Laws' Statutes Of Limitations

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    The U.S. Supreme Court's recent ruling in Corner Post v. Federal Reserve Board has helped to alter the fundamental underpinnings of administrative law — and its plaintiff-centric approach may have implications for some specific environmental laws' statutes of limitations, say Chris Leason and Liam Martin at Gallagher and Kennedy.

  • FTC Drives Crackdown On Connected Cars' Data Privacy Risk

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    After the Federal Trade Commission's warning to automakers about data privacy, which continues to emerge as a national concern, automakers must carefully examine their data collection, use and retention practices, say Catherine Castaldo and Michael Rubayo at Reed Smith.

  • Jarkesy May Thwart Consumer Agencies' Civil Penalty Power

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    The U.S. Supreme Court's ruling in U.S. Securities and Exchange Commission v. Jarkesy not only implicates future SEC administrative adjudications, but those of other agencies that operate similarly — and may stymie regulators' efforts to levy civil monetary penalties in a range of consumer protection enforcement actions, say attorneys at Holland & Knight.

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