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Compliance
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June 23, 2025
Muddy Waters Must Face Suit Over $14M SEC Tipster Award
Investment research service Muddy Waters LLC and its founder cannot escape a lawsuit alleging they stiffed a purported former partner out of his share of a $14 million whistleblower award from the U.S. Securities and Exchange Commission, a New York federal judge ruled Monday.
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June 23, 2025
NC Restarts $1.5B Broadband Program After Fed Revamp
North Carolina says it will be overhauling its $1.5 billion state broadband deployment program this summer to comply with the Trump administration's restructuring of the $46.5 billion federal program.
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June 23, 2025
Feds OK License Transfers To Navigation Co. Subsidiary
A unit of 3D geolocation service NextNav has gotten the green light from the Federal Communications Commission to take over licenses for location services previously owned by Telesaurus Holdings.
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June 23, 2025
SEC Names Wiley Rein Partner As Inspector General
The U.S. Securities and Exchange Commission announced Monday that a white collar defense and government investigations partner at Wiley Rein LLP will serve as the agency's next inspector general, starting late next month.
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June 23, 2025
CBS Says Trump's $20B Suit Doesn't Belong In Texas
Paramount Global and CBS Broadcasting told a Texas federal judge President Donald Trump's $20 billion lawsuit accusing the network of deceptively doctoring a "60 Minutes" interview with Kamala Harris belongs outside the Lone Star State, saying in a Monday brief the interview took place "nearly two thousand miles from this courthouse."
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June 23, 2025
FTC Tells Court Not To Pause Meta's Privacy Order Challenge
The Federal Trade Commission is pushing back on Meta's request to stay the company's constitutional challenge to the commission's bid to bar the Facebook parent from monetizing children's data for 90 days, saying Meta has done nothing to show it could be harmed by continuing the case.
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June 23, 2025
Drink Co., Founder To Pay SEC $1.1M Over Faux Rihanna Deal
A beverage company and its founder have agreed to give the U.S. Securities and Exchange Commission over $1.1 million as part of a resolution of claims they misused investor funds and inaccurately suggested they were poised to collaborate with pop star Rihanna.
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June 23, 2025
Permit Delays Out Of Hand, Telecom Biz Tells Interior Dept.
Telecom providers are still having a tough time getting federal permits approved for broadband projects, with the Bureau of Land Management causing severe delays, the industry's main trade group told the U.S. Department of the Interior.
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June 23, 2025
Ex-CEO Of CBD Water Co. Must Face Pump-And-Dump Case
The former CEO of a cannabis-infused water company and a stockholder must face all claims made in a federal indictment accusing them of artificially inflating company shares so they could sell them for a profit, an Ohio federal judge ruled, saying the government has properly alleged a single conspiracy.
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June 23, 2025
Media Matters Sues FTC Over 'Retaliatory' Probe
Media Matters filed a lawsuit against the Federal Trade Commission in D.C. federal court on Monday, asking a judge to shut down the agency's "retaliatory" investigation into the left-leaning media watchdog's reporting on Elon Musk's social media platform X, formerly Twitter.
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June 23, 2025
Fed Joins Peers In Axing Reputational Risk As Exam Factor
The Federal Reserve Board on Monday became the latest regulator to announce that it will no longer consider reputational risk in its examination programs for the supervision of banks.
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June 23, 2025
Google Foes Try To Hold Co. To DOJ's Ad Tech Win
Website publishers, advertisers and others asked a New York federal court to all but seal Google's fate in their multidistrict litigation targeting the company's advertising placement technology business by holding it to the liability findings against the search giant previously won by the U.S. Department of Justice.
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June 23, 2025
Amazon Sanctioned For Hidden Discovery
A Washington federal judge sanctioned Amazon.com Monday by limiting its use of company documents produced during discovery while giving the Federal Trade Commission more time for discovery, siding with the FTC's allegations that the online retail giant improperly claimed privilege over tens of thousands of documents in the Prime "dark patterns" lawsuit.
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June 23, 2025
Ontrak Founder Gets 3陆 Years In Novel Insider Trading Case
A California federal judge sentenced Ontrak Inc. founder Terren Peizer to 3陆 years in prison Monday, following a first-of-its-kind insider trading conviction on accusations that he based a $20 million share sale on material nonpublic information that his health technology company was about to lose its biggest client, Cigna.聽
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June 23, 2025
9th Circ. Backs $26M Fraud Penalty Against Importer
The Ninth Circuit on Monday upheld a $26 million tripled fraud verdict against a pipe importer over allegations it made false statements on customs forms to avoid paying tariffs on some imports from China, rejecting the company's argument that the Tariff Act leaves no room to invoke the False Claims Act.
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June 23, 2025
Okla. Court Says Race Theory Law Excludes College Classes
A group of civil rights advocates and their opponent, Oklahoma Attorney General Gentner Drummond, are both claiming victory after the state's high court determined that a 2021 law that blocks the teaching of certain racial and gender topics in public classrooms does not apply to academic speech in higher educational settings.
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June 23, 2025
Senate Adviser Clears Way For AI Moratorium In Budget Bill
The U.S. Senate won't have to meet a heightened vote threshold to enact a sweeping provision tucked into the current budget proposal that would block states from regulating artificial intelligence for a decade, after the chamber's parliamentarian concluded that the controversial measure could remain in the bill.聽
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June 23, 2025
FTC Puts Viewpoint Commitments In Ad Agency Mega-Deal
The Federal Trade Commission said Monday it will allow Omnicom to move ahead with its planned $13.5 billion deal for Interpublic after the marketing giants agreed not to work with others to steer advertisers away from publishers based on their political viewpoints.
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June 23, 2025
Texas Law Cutting Municipal Fees Not Gift, Comcast Says
Comcast and a state trade association told the Texas Supreme Court that laws curbing the fees municipalities can charge telecom companies for rights-of-way usage passes constitutional muster, asking the court to flip a lower court's findings that the laws violate the Texas Constitution's gift clauses.
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June 23, 2025
Binance Agrees To Shutter Conn. Trading Operations
Crypto platform Binance has agreed to shut down the Connecticut operations of its U.S. subsidiary BAM Trading Services Inc. after a majority owner of the company was convicted of money laundering and also admitted to violating state statutes, according to a new consent order.
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June 23, 2025
Paxton, Airline Co. Ask To Take Biz Doc Case Out Of 5th Circ.
The Texas attorney general's office and an airline parts manufacturer have agreed to remove a dispute over a state law allowing the office to examine business records from the Fifth Circuit back to district court.
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June 23, 2025
CFPB, MoneyLion Ask To Pause Suit For Settlement Talks
The Consumer Financial Protection Bureau and MoneyLion Technologies Inc. are in talks to settle the agency's lawsuit accusing the fintech lender of overcharging military service members, according to a filing in New York federal court.
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June 23, 2025
DOL Suspends Biden-Era H-2A Farmworker Protection Rule
The U.S. Department of Labor has put a Biden-era regulation protecting union-related activities for agricultural workers on seasonal H-2A visas on ice while litigation over the rule continues and the agency considers new rulemaking.
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June 23, 2025
Ex-SEC Atty Joins Bernstein Litowitz After Musk Fight
The U.S. Securities and Exchange Commission's former chief litigation counsel announced on Monday that he is joining investor-side firm Bernstein Litowitz Berger & Grossmann LLP as a partner in New York following a courtroom battle with Elon Musk that threatened to end his employment before it began.
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June 23, 2025
NC Court Clerks Say E-Filing System Is Compliant
North Carolina court administrators say a 2023 suit filed by Courthouse News Service regarding claims that the state's e-filing system created dayslong delays in obtaining new civil suits is no longer a live dispute, given the courts have allegedly been providing access to filings at a pace exceeding constitutional requirements following a difficult software rollout.
Expert Analysis
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Philly Law Initiates New Era Of Worker Protections
A new worker protection law in Philadelphia includes, among other measures, a private right of action and recordkeeping requirements that may amount to a lower evidentiary standard, introducing a new level of accountability and additional noncompliance risks for employers, say attorneys at Morgan Lewis.
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Series
Volunteering At Schools Makes Me A Better Lawyer
Speaking to elementary school students about the importance of college and other opportunities after high school 鈥 especially students who may not see those paths reflected in their daily lives 鈥 not only taught me the importance of giving back, but also helped to sharpen several skills essential to a successful legal practice, says Guillermo Escobedo at聽Constangy.
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5 Open Questions About FDA's AI-Assisted Review Plans
The U.S. Food and Drug Administration recently touted the completion of a generative artificial intelligence program for scientific reviewers and plans for agencywide deployment to speed up reviews of premarket applications, but there is considerable uncertainty surrounding the tools' ability to protect trade secrets, avoid bias and more, say attorneys at King & Spalding.
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Justices' Ruling Lowers Bar For Reverse Discrimination Suits
The U.S. Supreme Court's unanimous opinion in Ames v. Ohio Department of Youth Services, lowering the evidentiary burden for plaintiffs bringing so-called reverse discrimination claims, may lead to more claims brought by majority group employees 鈥 and open the door to legal challenges to employer diversity, equity and inclusion initiatives, say attorneys at Ice Miller.
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Fed's Crypto Guidance Yank Could Drive Innovation
The Federal Reserve Board's recent withdrawal of guidance letters brings regulatory consistency and broadens banks' ability to innovate in the crypto-asset space, but key distinctions remain between the Fed's policy on crypto liquidity and that of the other banking regulators, says Dan Hartman at Nutter.
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GM Case Highlights New Trends In AI-Related Securities Suits
Bold company statements about artificial intelligence have resulted in a rise in AI-related securities litigation, and a recent Michigan federal court decision in In Re: General Motors Co. Securities Litigation illustrates how courts are analyzing these AI-based claims and applying traditional securities concepts to new technologies, say attorneys at Cooley.
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DOE Grant Recipients Facing Termination Have Legal Options
Federal grant recipients whose awards have recently been rescinded by the U.S. Deparment of Energy have options for successfully challenging those terminations through litigation, say attorneys at Bracewell.
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Attacks On Judicial Independence Tend To Manifest In 3 Ways
Attacks on judicial independence now run the gamut from gross (bald-faced interference) to systemic (structural changes) to insidious (efforts to undermine public trust), so lawyers, judges and the public must recognize the fateful moment in which we live and defend the rule of law every day, says Jim Moliterno at Washington and Lee University.
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A Look At Texas Corp. Law Changes Aimed At Dethroning Del.
Seeking to displace Delaware as the preferred locale for incorporation, Texas recently significantly amended its business code, including changes like codifying the business judgment rule, restricting books and records demands, and giving greater protections for officers and directors in interested transactions, say attorneys at Fenwick.
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OCC's Digital Embrace Delivers Risk, Opportunity For Banks
As the Office of the Comptroller of the Currency continues to release and seek more information on banks' participation in the crypto-asset arena, institutions may see greater opportunity to pursue digital asset and custody services, but must simultaneously educate themselves on transformations occurring throughout the industry, says Kirstin Kanski at Spencer Fane.
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Justices Hand Agencies Broad Discretion In NEPA Review
By limiting the required scope of reviews under the National Environmental Policy Act, the U.S. Supreme Court's recent ruling in Seven County Infrastructure Coalition v. Eagle County could weaken the review process under NEPA, while also raising questions regarding the degree of deference afforded to agencies, say attorneys at Foley Hoag.
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Remediation Still Reigns Despite DOJ's White Collar Shake-Up
Though the U.S. Department of Justice鈥檚 recently announced corporate enforcement policy changes adopt a softer tone acknowledging the risks of overregulation, the DOJ has not shifted its compliance and remediation expectations, which remain key to more favorable resolutions, say Jonny Frank, Michele Edwards and Chris Hoyle at StoneTurn.
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Compliance Refresher For 'Made In USA' Labeling Claims
As tariffs reshape the trade landscape, companies hoping to invoke the powerful consumer appeal of 鈥淢ade in USA鈥 labels must understand the strict rules for making acceptable claims so they avoid the costly legal ramifications and brand damage possible from misrepresenting products as 100% American, say attorneys at Morgan Lewis.
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4 Strategies For De-Escalating Hospitality Industry Disputes
As recent uncertainty in the travel business exacerbates the risk of conflict in the hospitality sector, industry in-house counsel and their outside partners should consider proactive strategies aimed at de-escalating disputes, including preserving the record, avoiding boilerplate clauses and considering arbitration, say Randa Adra at Crowell and Stephanie Jean-Jacques at Hyatt.
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Series
Law School's Missed Lessons: Appreciating Civil Procedure
If you鈥檙e like me, law school鈥檚 often complex and theoretical approach to teaching civil procedure may have contributed to an early struggle with the topic, but when seen from a practical perspective, new lawyers may find they enjoy mastering these rules, says Chloe Villagomez at Foster Garvey.