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December 03, 2024
Ex-Apple Workers Accused Of Swiping Charity Match Funds
A Northern California district attorney's office on Tuesday unveiled charges against six former Apple Inc. workers accused of scheming to convince their employer to match thousands of dollars in nonexistent donations to children's charities, according to an announcement from the office.
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December 03, 2024
FTC Secures Location Data Sale Bans In Pair Of New Actions
The Federal Trade Commission on Tuesday doubled down on its efforts to safeguard consumers' sensitive location information, announcing a pair of settlements against a data broker and an analytics provider that the commission claims unlawfully collected and sold data that could track individuals to health clinics and other sensitive places.
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December 03, 2024
Top Ex-SEC Officials Warn Of Enforcement Upheaval
Former top U.S. Securities and Exchange Commission officials on Tuesday predicted a sea change in the agency's enforcement approach in the coming second administration of President-elect Donald Trump, with a lighter touch for corporate wrongdoers and a whole new ballgame with respect to cryptocurrency.
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December 03, 2024
Crypto Co. Hut 8 Wants Out Of Merger Disclosure Investor Suit
Crypto mining company Hut 8 moved to dismiss a proposed shareholder class action that is based on the claims of a short-seller's report that Hut 8 overpaid for a company with severe operational issues, saying the suit does not show the alleged misrepresentations were false or misleading when made or that investors were actually harmed.
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December 03, 2024
Coinbase Says It Won't Use Firms That Hire Crypto Enforcers
Cryptocurrency exchange Coinbase made clear that it won't work with law firms that employ former U.S. Securities and Exchange Commission attorneys who led the charge on crypto enforcement suits, singling out Milbank LLP for its hiring of ex-SEC enforcement director Gurbir Grewal.
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December 03, 2024
Del. Justices Mostly Uphold Mindbody Merger Suit Ruling
Delaware's Supreme Court has upheld a Court of Chancery ruling that the former CEO of Mindbody Inc. is liable for an extra $1 per share plus interest to stockholders of the fitness software company but reversed the lower court's finding that Vista Equity Partners Management LLC, which acquired Mindbody in 2019, aided and abetted the executive.
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December 03, 2024
Antitrust Judge Rips Apple's 'Meritless' Doc Privilege Claims
Apple fought uphill Tuesday to convince a California federal magistrate judge that it properly withheld 57,000 documents from Epic Games due to attorney-client privilege in their antitrust fight, with the judge eventually telling its lawyer, "I disagree with everything you're saying, and the fact you're making these meritless arguments causes me concern."
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December 03, 2024
Hyatt's Appeal Of $177M Sex Assault Verdict Fails
A Missouri appeals court on Tuesday affirmed a $177 million verdict in a suit alleging that Hyatt Corp. caused a female guest's in-room sexual assault by a hotel security guard, saying the jury's $149 million punitive damages award was supported by the hotel's "conscious disregard" for its guests' rights.
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December 03, 2024
Unit Of World's Largest Bank Avoids SEC Penalty In Cyber Case
A broker-dealer subsidiary of the Industrial and Commercial Bank of China will escape civil penalties in a settlement with the U.S. Securities and Exchange Commission over its books and records because of the firm's remediation and cooperation, the agency says.
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December 03, 2024
Pizza Chain Insurer Owes Share Of Salmonella Deal, Suit Says
An insurer told a Washington federal court that a Liberty Mutual subsidiary must contribute to a settlement reached by their mutual insured, a "take 'n' bake" pizza restaurant, arising out of allegations that customers purchased raw cookie dough tainted with Salmonella bacteria.
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December 03, 2024
Lockheed Martin Taps Carrier CLO And DOJ Veteran As GC
Lockheed Martin has hired Carrier Corp.'s chief legal officer and U.S. Department of Justice veteran Kevin O'Connor as its new general counsel to succeed Maryanne Lavan, who is retiring after more than 30 years at the aerospace giant.
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December 03, 2024
SEC Says Biopharma's Cooperation Helped It Avoid Penalty
A Houston biopharmaceutical company accused of misleading investors about the regulatory status of two cancer drugs agreed to settle the U.S. Securities and Exchange Commission's action against it on Tuesday without paying a dime, in recognition of what the SEC said was the company's self-reporting and cooperation with investigators.
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December 03, 2024
Mich. Seat Co. On Hook For €4.1M German Lease, Suit Says
A German property owner has said in a new complaint that a Michigan-based automotive seat manufacturer is on the hook for a €4.1 million ($4.3 million at current exchange rates) lease after its European entity defaulted on payments and entered insolvency proceedings.
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December 03, 2024
9th Circ. Ponders AIDS Generic Drug Reimbursement
A Ninth Circuit panel heard arguments Tuesday on a Seattle pharmacy's dispute with a benefits manager over reimbursements for the generic version of the HIV/AIDS drug Truvada, with one judge asking if the pharmacy was stuck with a lopsided deal, but also questioning if the contract obligated the payments.
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December 03, 2024
ZoomInfo Brass Face COVID Customer Loss Derivative Suit
Leaders of software company ZoomInfo Technologies Inc. face new shareholder derivative action claims over the company's allegedly improper customer retention measures following its $33 million write-down in connection with the matter.
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December 03, 2024
Chancery Orders Revenue Trust For Healthcare Co. 'Poaching'
A home health company formed through secret poaching by an allegedly disloyal former CEO, two officers and two private equities has been ordered to earmark much of its future revenue to a trust for the corporate victims, in a Delaware Court of Chancery ruling that described the subterfuge as "stunning."
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December 03, 2024
Monthly Merger Review Snapshot
The U.S. Department of Justice moved to block a $3 billion UnitedHealth Group deal, a pair of fashion brand companies abandoned their planned tie-up and the Federal Trade Commission pushed its bid to pause Tempur Sealy's $4 billion purchase of retailer Mattress Firm.
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December 03, 2024
USPTO Abandons Polarizing Proposal Over Double Patenting
The U.S. Patent and Trademark Office has withdrawn an extremely controversial proposal tied to double patenting, citing "resource constraints" in a Federal Register notice set to be published Wednesday.
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December 03, 2024
OpenAI Must Disclose Execs' Messages To News Orgs.
The New York Times, Daily News, other news organizations and writers can gain access to the social media messages of executives at OpenAI in their litigation accusing the company of using copyright-protected material to train ChatGPT after a New York judge rejected efforts to block the disclosure of the messages.
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December 03, 2024
AmEx Loses Arbitration Bid Due To 'Ironic' Unpaid $17M Bill
A Rhode Island federal judge on Monday rejected sending a proposed antitrust class action over American Express Co.'s swipe-fee rules back to arbitration after the company refused to pay arbitration fees totaling $17 million, observing that AmEx's actions created its own "ironic dilemma: a credit card company not paying its bills."
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December 03, 2024
Microsoft Asks FTC Watchdog To Look Into Leaked Probe
A Microsoft deputy general counsel on Tuesday asked the Federal Trade Commission's inspector general to look into whether commission management improperly told a news outlet that the FTC had opened a broad antitrust investigation of the tech giant.
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December 03, 2024
Partner Of Ex-Abercrombie CEO Denies Guilt, Gets $10M Bail
The romantic partner of former Abercrombie & Fitch CEO Michael Jeffries was released on $10 million bond Tuesday after pleading not guilty in New York federal court to charges he helped operate a prostitution and trafficking ring that preyed on male models.
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December 03, 2024
Vidal Aimed To Put USPTO Rulemaking In The Spotlight
Kathi Vidal's tenure as director of the U.S. Patent and Trademark Office has been marked by dedication to making the agency's decisions and processes more transparent, attorneys said ahead of her mid-December departure.
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December 03, 2024
Insurance Execs Charged With $250M Fake Policy Scheme
An insurance company and two executives issued bogus insurance policies purporting to offer over $250 million in coverage to companies and homeowners, according to an indictment announced by the Manhattan district attorney Tuesday.
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December 03, 2024
Attys For Sears Ex-CEO, Appraisal Camp Clash In Chancery
A lawyer for Sears Hometown and Outlet Stores' former top fiduciary told a Delaware vice chancellor on Tuesday that case law does not support carving out stockholder proceeds from a fiduciary breach settlement in order to pay shareholders whose separate appraisal lawsuit was foiled by SHOS' bankruptcy.
Expert Analysis
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Trump Patent Policy May Be Headed In Unexpected Direction
While commentators have assumed that the patent policy of President-elect Donald Trump's second administration will largely mirror the pro-patent policy of his first, these predictions fail to take into account the likely oversized influence of Elon Musk, says Jorge Contreras at the University of Utah.
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What Trump's Next Term May Mean For Biz Immigration
Leonard D'Arrigo at Harris Beach discusses the employment-based immigration policies businesses can potentially expect during President-elect Donald Trump’s second term, based on policies enacted during his first administration, statements made during his campaign and proposals in Project 2025.
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Nvidia Supreme Court Case May Not Make Big Splash
The skeptical tenor of the justices' questioning at oral argument in Nvidia v. Ohman Fonder suggests that the case is unlikely to alter the motion to dismiss pleading standard in securities class actions, as some had feared, say attorneys at WilmerHale.
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Lessons From EEOC Case Of Fla. Worker Fired After Stillbirth
A recent federal court settlement between a Florida resort and a fired line cook shows that the U.S. Equal Opportunity Employment Commission sees stillbirth as protected under the Pregnant Workers Fairness Act, also providing four other important lessons, says Gordon Berger at Pierson Ferdinand.
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What Higher Education Can Expect From A 2nd Trump Admin
The election of Donald Trump for a second presidential term has far-reaching ramifications for colleges and universities — come January, institutions can expect a crackdown on DEI, increased scrutiny of campus protests, a rollback of the Biden administration's Title IX rules and more, say attorneys at Jenner & Block.
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AI Monitoring And FCRA: Employer Compliance Essentials
As the Consumer Financial Protection Bureau and the Federal Trade Commission signal determination to treat AI-based workplace surveillance as a potential Fair Credit Reporting Act issue, employers must commit to educating HR and compliance staff on these quickly evolving regulatory expectations, say attorneys at Sheppard Mullin.
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Series
Circus Arts Make Me A Better Lawyer
Performing circus arts has strengthened my ability to be more thoughtful, confident and grounded, all of which has enhanced my legal practice and allowed me to serve clients in a more meaningful way, says Bailey McGowan at Stinson.
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Crypto Cos. Add New Play In Their Offense Against SEC
Consensys and Crypto.com have adopted a novel strategy of preempting U.S. Securities and Exchange Commission enforcement actions by moving to crypto-friendly Texas and filing declaratory lawsuits challenging the SEC's jurisdiction to regulate crypto-assets — an aggressive approach that may pay off, say attorneys at Herrick Feinstein.
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Recent Listeria Outbreaks Hold Key Compliance Lessons
Listeria outbreaks in ready-to-eat foods from Boar's Head and other companies, and the U.S. Department of Agriculture and U.S. Food and Drug Administration responses to these outbreaks, should be closely evaluated from an overall compliance and risk management perspective by food manufacturers, retailers and industry investors, say attorneys at Kirkland.
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3 Ways To Train Junior Lawyers In 30 Minutes Or Less
Today’s junior lawyers are experiencing a skills gap due to pandemic-era disruptions, but firms can help bring them up to speed by offering high-impact skill building content in bite-sized, interactive training sessions, say Stacey Schwartz at Katten, Diane Costigan at Winston & Strawn and Lauren Tierney at Freshfields.
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Advising Employers As AI Meets DEI And Discrimination
Excerpt from Practical Guidance
Though companies can use artificial intelligence tools to develop more diverse and inclusive workforces, counsel should also prepare employers for how AI can stymie these efforts, provoke discrimination claims and complicate resulting litigation, says Emily Schifter at Troutman Pepper.
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How AstraZeneca Ruling Could Change Dosage Patent Claims
If affirmed on appeal, the rationale employed by the Delaware federal court in Wyeth v. AstraZeneca to find "unit dosage"-related patent claims invalid could lead to a significant paradigm shift in how active-ingredient-focused patent applications are drafted and litigated, say Matthew Zapadka and John Schneible at Arnall Golden.
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What Cos. Can Learn from Water Microplastics Class Actions
Class actions against companies whose bottled spring water allegedly contains microplastics, challenging claims such as "natural" and "100% spring water," seem to be drying up — but these cases serve as a good reminder to other businesses to review regulatory standards, and carefully vet plaintiff allegations at the outset, say attorneys at Keller and Heckman.
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$3B TD Bank AML Settlement Is A Wake-Up Call For All Banks
TD Bank’s historic settlement over anti-money laundering violations, resulting in over $3 billion in penalties, reminds banks of all shapes and sizes why they need to take financial crime compliance seriously, and highlights three areas that may be especially vulnerable to enforcement, says Jack Harrington at Bradley Arant.
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What Trump Presidency May Mean For Climate Reporting
While the Trump administration will likely take a hands-off approach to climate-related disclosures and rescind regulations promulgated under the Biden administration, state and international ESG laws mean the private sector may not reverse course on such disclosures, say attorneys at Seyfarth.