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Consumer Protection
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May 30, 2024
FAA Caps 737 Max Production Amid Boeing Safety Plan Fixes
The Federal Aviation Administration said Thursday it will continue to limit Boeing's production of 737 Max jets as the company presses ahead with overhauling its safety culture under an FAA-mandated corrective action plan following January's midair blowout aboard an Alaska Airlines flight.
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May 30, 2024
Travelers Loses Dismissal Bid In BIPA Coverage Dispute
A New York federal judge declined to trim a software company's lawsuit seeking coverage from a Travelers unit for underlying claims that the company violated the Illinois Biometric Privacy Act, finding the company's declaratory relief and bad faith claims were not duplicative of a breach of contract claim.
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May 30, 2024
Ill. Made 'Big Concession' In 3M PFAS Suit, 7th Circ. Judge Says
A Seventh Circuit judge observed Thursday that the state of Illinois made a "big concession" in its suit accusing 3M of polluting local waters with toxic "forever chemicals" when the state said 3M could avoid liability if Illinois can't prove contamination came exclusively from a particular facility.
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May 30, 2024
ACLU Says Aon Hiring Tools Discriminate On Race, Disability
The American Civil Liberties Union Foundation said Thursday it has filed a complaint against Aon Consulting Inc. with the Federal Trade Commission alleging it is using deceptive marketing tactics to push hiring technology that the company claims is bias free in contradiction of research showing otherwise.
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May 30, 2024
Divided FTC Won't Delay Kroger-Albertsons In-House Case
The Federal Trade Commission's three Democrats refused Wednesday to delay the agency in-house challenge to Kroger's $24.6 billion purchase of Albertsons, blaming the grocery giants for their scheduling challenges and drawing a sharp dissent from the FTC's two Republicans.
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May 30, 2024
DOJ's Kanter Says AI Cos. Could Exploit Creators
The head of the U.S. Department of Justice Antitrust Division, Jonathan Kanter, said Thursday that a lack of competition between artificial intelligence companies could allow them to exploit writers, artists and other content creators.
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May 30, 2024
Voice Software Co. Gets Bank Customer Privacy Suit Trimmed
A California federal judge has trimmed a consolidated action against Nuance Communications over its voice-detection software that was used by JPMorgan Chase Bank NA, saying that the class members failed to show how Nuance supposedly used the software to assess the truth or falsity of a person's statements by analyzing their vocal characteristics.
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May 30, 2024
FTC, Novant Ask To Delay In-House Trial On Merger Challenge
The Federal Trade Commission and Novant Health have asked to postpone an upcoming administrative hearing over the nonprofit's proposed purchase of two North Carolina hospitals, a purchase that regulators are concerned will dampen competition in the region, according to a notice filed in federal court.
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May 30, 2024
FCC Subsidy Reforms Could Be Drafted On Capitol Hill Soon
A working group on Capitol Hill studying a potential overhaul of the Federal Communications Commission's subsidy regime could produce draft reforms soon, but a big stumbling block will be how to expand contributions to the fund, telecom experts say.
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May 30, 2024
Terraform, SEC Reach 'Settlement In Principle' In Crypto Case
Crypto firm Terraform Labs and its creator Do Kwon appear to have reached an agreement with the U.S. Securities and Exchange Commission to settle remedies after the firm and its founder were held liable for fraud by a Manhattan jury.
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May 30, 2024
Target's Surveillance System Violates BIPA, Shoppers Say
Target faces a proposed class action in Illinois federal court filed Thursday accusing it of gathering shoppers' biometric data through surveillance systems and other sophisticated technology in its campaign to prevent organized retail theft, while failing to advise it is doing so or obtaining their permission.
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May 30, 2024
Conn. Judge Axes Pot Dispensary Permit Challenge
A collection of Stamford, Connecticut, citizens has no right to appeal a court-approved settlement between the city's zoning board and a cannabis company, which allows Sweetspot Stamford LLC to operate a retail dispensary, a state court judge has ruled.
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May 30, 2024
Sen. Dems Call On DOJ To Prevent Price-Fixing In Oil Industry
Senate Majority Leader Chuck Schumer, D-N.Y., led a group of Senate Democrats in calling on the U.S. Department of Justice on Thursday to do everything in its power to prevent and prosecute price-fixing and collusion in the oil industry.
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May 30, 2024
NY Expects Crypto Cos. To Meet Customer Service Standards
The New York State Department of Financial Services on Thursday told the crypto firms under its purview that it expects them to resolve customer service issues promptly and fairly, according to newly issued guidance.
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May 30, 2024
What To Watch As The FTC Targets Drug Patent Listings
The Federal Trade Commission has been scrutinizing patents listed by drugmakers on a key federal database, warning several companies that their listings are improper and drive up drug prices. Here's a look at what the agency and others could do next.
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May 30, 2024
KKR's $24B NetCo Buy Gets EU Regulatory Approval
The European Commission said Thursday it has approved KKR & Co.'s planned $23.7 billion acquisition of NetCo from Italian telecommunications provider TIM Group, paving the way for the close of one of the largest deals announced last year.
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May 30, 2024
Mich. Judge Refers Atty To Calif. Bar Over Flint PR Stunt
A Michigan federal judge overseeing contaminated drinking water litigation in Flint, Michigan, referred a California attorney to that state's bar on Thursday after the lawyer refused to provide more details, or submit to the court's jurisdiction, over her involvement in an alleged smear campaign targeting a lawyer for Flint children.
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May 30, 2024
NCAA To End Transfer Rules In Deal With DOJ
The NCAA agreed on Thursday to stop enforcing all rules governing athletes transferring from one institution to another, as part of a proposed consent decree filed by the U.S. Department of Justice to settle an antitrust suit against the organization by 10 states and the District of Columbia.
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May 30, 2024
ExamSoft, Bar Examiners Face $2M Software Crash Claims
A 68-year-old former paralegal who hopes to become a pro bono attorney has sued the Connecticut Bar Examining Committee and ubiquitous bar exam test-taking software vendor ExamSoft Worldwide Inc. for $2 million, claiming three software crashes stymied her ability to take a exam offered remotely because of the COVID-19 pandemic.
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May 30, 2024
Sen. Warren Pushes CMS On 'Medical Loss Ratio' Data
Sen. Elizabeth Warren, D-Mass., is urging the Centers for Medicare & Medicaid Services to collect more data to determine whether private healthcare insurers in Medicare Advantage that employ vertical integration are evading a statutory requirement that they spend the bulk of their earnings on medical claims.
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May 30, 2024
Bottler Says It's Owed Defense In Wine Contamination Dispute
A wine bottler told a California federal court its insurer must reimburse defense costs it incurred while fighting a now-settled suit seeking to hold the company liable for a $1.2 million wine contamination, arguing the lawsuit didn't specifically allege what the bottler's actions were nor the cause of contamination.
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May 30, 2024
Data Co. Exec, Worker Guilty Of Fraud In Mail Scam Case
A Colorado federal jury on Thursday convicted two former Epsilon Data Management employees for their roles in selling data to mail scammers who preyed on the elderly and vulnerable.
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May 30, 2024
High Court Calls For 2nd Circ. Redo In BofA Preemption Fight
The U.S. Supreme Court on Thursday threw out a Second Circuit decision that freed Bank of America NA from class action litigation brought over a New York escrow interest law, ruling that the circuit court wasn't "nuanced" enough in finding the law preempted for national banks.
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May 29, 2024
Amazon Shouldn't Escape BIPA Suit, Judge Recommends
A Washington federal magistrate judge on Wednesday recommended that the court should not toss a suit alleging Amazon.com Inc. collected facial scans of teens playing a popular video game without proper disclosures or consent, saying the plaintiff sufficiently alleges that Amazon knowingly obtained the data and disseminated it.
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May 29, 2024
Feds Dismantle Massive Botnet, Arrest Malware's Admin
Following an investigation by law enforcement in the U.S., Singapore, Thailand and Germany, the U.S. Department of Justice on Wednesday announced it has dismantled a botnet used in cyberattacks, child exploitation, massive fraud and export violations, and arrested a Chinese national behind the malware.
Expert Analysis
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What Lies Behind Diverging US And UK Insolvency Trends
Contrasting U.K. and U.S. insolvency trends highlight the importance of policy interventions in shaping consumer financial outcomes and economic recovery, and while the U.K.'s approach seems to have mitigated issues, the U.S. faces challenges exacerbated by economic conditions and policy transitions, says Thomas Curran at Thomas H. Curran Associates.
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8 Legal Issues Influencing Investors In The Creator Economy
The rapidly expanding digital creator economy — funding for which more than doubled in the U.S. in the first quarter — comes with its own set of unique legal issues investors must carefully consider before diving in, say Louis Lehot and Alan Pate at Foley & Lardner.
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Key Antitrust Class Certification Questions Remain Unclear
The U.S. Supreme Court, by recently rejecting certiorari in Visa v. National ATM, turned down the opportunity to clarify how to analyze disputed evidence bearing on the certification of antitrust class actions, leaving the applicable standards unclear instead of resolving this split of authority, says Jonathan Berman at Jones Day.
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Action Steps To Address New Restrictions On Outbound Data
Companies should immediately assess all their data-based operations so they can consider strategies to effectively mitigate new compliance risks brought on by recently implemented transaction restrictions, including a Justice Department proposal and landmark data legislation, say attorneys at Wiley.
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E-Discovery Quarterly: Recent Rulings On Text Message Data
Electronically stored information on cellphones, and in particular text messages, can present unique litigation challenges, and recent court decisions demonstrate that counsel must carefully balance what data should be preserved, collected, reviewed and produced, say attorneys at Sidley.
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CFPB Reality Check: Video Game Cash Is Still Money
The Consumer Financial Protection Bureau's recent report examining payments within online video games indicates that financial services offered within the game marketplace are quickly evolving to the point where they are indistinguishable from traditional financial services subject to regulation, say attorneys at Sheppard Mullin.
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What CRA Deadline Means For Biden Admin. Rulemaking
With the 2024 election rapidly approaching, the Biden administration must race to finalize proposed agency actions within the next few weeks, or be exposed to the chance that the following Congress will overturn the rules under the Congressional Review Act, say attorneys at Covington.
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The Legal Issues Raised In Minn. Rate Exportation Opt-Out Bill
A recent Minnesota House bill would amend state law by opting out of the federal interest rate preemption and introduce several legal gray areas if passed, including issues regarding loan location, rates on credit card loans and values of state charters, says Karen Grandstrand at Fredrikson & Byron.
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Keeping Up With Class Actions: A New Era Of Higher Stakes
Corporate defendants saw unprecedented settlement numbers across all areas of class action litigation in 2022 and 2023, and this year has kept pace so far, with three settlements that stand out for the nature of the claims and for their high dollar amounts, says Gerald Maatman at Duane Morris.
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What's Notable In JAMS' New Mass Arbitration Rules
The Judicial Arbitration and Mediation Services’ recently released guidelines, coming on the heels of similar American Arbitration Association amendments, suggests that mass arbitrations will remain an efficient means for consumers to vindicate their rights against companies, say Jonathan Waisnor and Brandon Heitmann at Labaton Keller.
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5 Climate Change Regulatory Issues Insurers Should Follow
The climate change landscape for insurers has changed dramatically recently — and not just because of the controversy over the U.S. Securities and Exchange Commission's climate-related risk disclosure rules, says Thomas Dawson at McDermott.
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How New Rule Would Change CFIUS Enforcement Powers
Before the May 15 comment deadline, companies may want to weigh in on proposed regulatory changes to enforcement and mitigation tools at the disposal of the Committee on Foreign Investment in the United States, including broadened subpoena powers, difficult new mitigation timelines and higher maximum penalties, say attorneys at Venable.
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Is The Digital Accessibility Storm Almost Over?
Though private businesses have faced a decadelong deluge of digital accessibility complaints in the absence of clear regulations or uniformity among the courts, attorneys at Epstein Becker address how recent federal courts’ pushback against serial Americans with Disabilities Act plaintiffs and the U.S. Department of Justice’s proposed government accessibility standards may presage a break in the downpour.
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PE In The Crosshairs Of Public And Private Antitrust Enforcers
A series of decisions from a California federal court in the recently settled Packaged Seafood Products Antitrust Litigation, as well as heightened scrutiny from federal agencies, serve as a reminder that private equity firms may be exposed to liability for alleged anti-competitive conduct by their portfolio companies, say attorneys at Axinn.
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Series
Swimming Makes Me A Better Lawyer
Years of participation in swimming events, especially in the open water, have proven to be ideal preparation for appellate arguments in court — just as you must put your trust in the ocean when competing in a swim event, you must do the same with the judicial process, says John Kulewicz at Vorys.