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Cybersecurity & Privacy
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May 29, 2024
New Colo. Law Targets AI Deepfakes In Political Ads
Colorado Gov. Jared Polis has signed a bill that aims to crack down on the malicious use of artificial intelligence for producing political messaging.
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May 29, 2024
6 Questions For FCC Commissioner Anna Gomez
A year after she was nominated for the Federal Communications Commission's third Democratic seat, Anna Gomez says she's steadily progressing toward goals tied to connectivity, innovation, public safety and media localism in what she calls the "best job I've had in my career."
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May 29, 2024
Ex-Calif. Atty Cops To Role In $9.5M Crypto Ponzi Scheme
A disbarred California attorney has pled guilty in federal court to his role in promoting a $9.5 million cryptocurrency Ponzi scheme.
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May 29, 2024
House Judiciary Leaders Seek Briefing On FISA Court Access
The top Republican and Democrat on the U.S. House Judiciary Committee are looking for an update on a request by members of Congress for access to the secretive proceedings of the court that hears matters on the controversial warrantless foreign surveillance law.
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May 28, 2024
Amazon Can't Duck FTC's Prime Subscription Suit
Amazon cannot escape the Federal Trade Commission's lawsuit alleging the e-commerce giant tricks consumers into enrolling in its Prime service and makes it difficult for members to cancel subscriptions, a Seattle federal judge ruled Tuesday, saying the commission has adequately alleged Amazon's Prime terms were not "clearly and conspicuously disclosed."
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May 28, 2024
Judge Hints Amazon Can't Avoid BIPA Suit For Stored Data
A Washington federal judge pushed back Tuesday against Amazon's claims it cannot be sued for data that merely passed through its servers, noting that Illinois' biometric privacy law doesn't just create liabilities for the original data collector.
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May 28, 2024
AI Co. Can't Escape Meta's Suit Over User Data Scraping
A California federal judge has refused to toss Meta Platforms Inc.'s suit accusing an artificial intelligence company of unlawfully scraping Facebook users' data and selling it to its clients, finding that Meta had identified a valid contract and that the court had jurisdiction over all the social media giant's claims.
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May 28, 2024
Consumers, Advertisers Seek Class Cert. Against Meta
Advertisers and consumers suing Facebook owner Meta Platforms Inc. over allegations of monopolizing the online social media advertising market and misusing users' data in the process have told the California federal court overseeing their claims that they believe it's time for the proposed classes to be certified.
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May 28, 2024
Google, Meta Can Arbitrate H&R Block User's Tax Data Suit
A California federal judge on Friday ruled that a man who was previously instructed to arbitrate his proposed class action alleging that H&R Block shared private data must also arbitrate claims against Google and Meta Platforms Inc., saying the allegations against the two technology companies are closely connected to those against H&R Block.
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May 28, 2024
Microsoft, OpenAI Beat Overstuffed Privacy Suit, For Now
A California federal judge threw out, for now, consumers' suit alleging their privacy was violated by Microsoft Corp. and OpenAI LP's products, slamming the complaint as "excessive" and packed with "unnecessary and distracting allegations" to the point it's "nearly impossible" to determine the adequacy of the claims.
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May 28, 2024
Activision Wins $14M From Call Of Duty Cheat Code Sellers
Activision Publishing scored over $14.4 million in damages and nearly $300,000 in attorney fees against German companies accused of selling cheat codes for Call of Duty games when a California federal judge Tuesday granted its motion for default judgment, finding none of the defendants appeared in the case for a year.
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May 28, 2024
Capital One Is The Latest To Face 'Refer A Friend' Text Suit
Capital One Financial Corp. faces a proposed class action in Seattle federal court alleging it violated a Washington state law barring advertising texts in connection with the "refer a friend" texts it prompted existing customers to send to their own personal contacts.
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May 28, 2024
Christie's CEO Confirms Cyberattack On Auction House's Data
The chief executive officer of Christie's said it has identified the hacking group behind a cyberattack that hit the international auction house's website just as it launched a series of live and online auctions for art and luxury goods this spring.
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May 28, 2024
Apple Denied Appeal Of Cert. In App Store Monopoly Suit
The Ninth Circuit on Friday rejected Apple's interlocutory appeal of an order certifying a class of millions of App Store users who allege antitrust violations, paving the way for discovery to proceed as the case heads toward a trial currently set for February 2026.
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May 28, 2024
No Coverage For IT Co.'s 'Collusive' Settlement, Insurer Says
Chubb unit ACE American Insurance Co. told a Colorado federal court it owes no coverage to an IT company found liable by a jury for making fraudulent misrepresentations and breaching its cybersecurity agreement with an investment company, arguing the parties' post-verdict settlement was merely a workaround to "create insurance coverage."
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May 28, 2024
Mich. Atty Can't Have Dominion Info, Pa. Court Told
Dominion Voting Systems told a Pennsylvania state court Tuesday that information copied from election machines as part of a county's fraud probe was "fruit of the poisonous tree" and can't be shared with a Michigan attorney who has been in hot water for allegedly accessing other states' machine data and releasing the privileged information.
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May 28, 2024
FTX Exec Who Acted As Bankman-Fried 'Tool' Gets 7½ Years
A Manhattan federal judge hit cryptocurrency finance expert and former FTX executive Ryan Salame with a 7½-year sentence Tuesday for duping a bank to authorize $1.5 billion of illegal transfers and making fraudulent campaign contributions for the exchange's convicted founder, Sam Bankman-Fried.
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May 24, 2024
Senate Republican Eyes Tutor.com's China Ties, Data Use
The top Republican on the U.S. Senate's health and education committee has launched an investigation into Tutor.com, a Chinese-controlled web service of The Princeton Review that offers students online tutoring, saying China's Communist Party may be exploiting users' sensitive data.
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May 24, 2024
SEC Hits Back At SolarWinds' 'Distortion' Allegations
The U.S. Securities and Exchange Commission sent a letter to a New York federal judge Friday pushing back on SolarWinds Corp.'s accusations that it was overstating and distorting its case against the government contractor over a data hack, saying its complaint is "well-grounded in facts" uncovered during its investigation.
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May 24, 2024
Malware Backdoor Found In Software Used By Courtrooms
Software created by a company that provides digital audiovisual technology to courtrooms, jails and other facilities contains a backdoor associated with malware that disguises itself as a normal update, analysts at a cybersecurity firm reported, warning that "users are at high risk and should take immediate action."
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May 24, 2024
Airline Worker Terrorized 'Countless' Passengers, Suit Says
A California man with ties to American Airlines gained access to the private information of regional airline passengers and embarked on a monthslong campaign of harassing them, according to a lawsuit in federal court with 15 plaintiffs.
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May 24, 2024
Bungie Cheat Code Sellers Hit With $63K Copyright Verdict
A federal jury said Friday that people behind a video game cheat code owe Bungie about $63,000 for replicating a sci-fi shooter's code to make the cheat software and peddle it on the internet, capping off a nearly weeklong copyright trial in Seattle.
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May 24, 2024
Food Supplier Says Exec Raided Files, Jumped to Competitor
A senior sales executive at a Massachusetts food distributor spent his final days with the company slipping in after hours and on weekends to print out and photocopy customer records and other trade secrets, before jumping to a direct competitor, according to a lawsuit filed in state court.
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May 24, 2024
Biden's Judicial Impact And What's Left On The Wish List
President Joe Biden secured confirmation of his 200th federal judge Wednesday and has transformed the judiciary by picking more women and people of color than any other president. But the upcoming election season could derail his hopes of confirming many more judges.
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May 24, 2024
FCC Probing Unauthorized Navigation Satellite Signals In US
The Federal Communications Commission is continuing its investigation into U.S. phones receiving unauthorized Russian and Chinese navigation satellite signals, but FCC Chair Jessica Rosenworcel told lawmakers last week that she didn't have much more to share on the inquiry.
Expert Analysis
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A Vision For Economic Clerkships In The Legal System
As courts handle increasingly complex damages analyses involving vast amounts of data, an economic clerkship program — integrating early-career economists into the judicial system — could improve legal outcomes and provide essential training to clerks, say Mona Birjandi at Data for Decisions and Matt Farber at Secretariat.
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Examining Illinois Genetic Privacy Law Amid Deluge Of Claims
After a federal court certified an Illinois Genetic Information Privacy Act class action in August, claims under the law have skyrocketed, so employers, insurers and others that collect health and genetic information should ensure compliance with the act to limit litigation risk, say attorneys at Squire Patton.
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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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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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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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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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8 Questions To Ask Before Final CISA Breach Reporting Rule
The Cybersecurity and Infrastructure Security Agency’s recently proposed cyber incident reporting requirements for critical infrastructure entities represent the overall approach CISA will take in its final rule, so companies should be asking key compliance questions now and preparing for a more complicated reporting regime, say Arianna Evers and Shannon Mercer at WilmerHale.
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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.
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Mid-2024 FCA Enforcement And Litigation Trends To Watch
Reviewing notable False Claims Act trends and enforcement efforts in the last year and a half reveals that healthcare is a key enforcement priority for the U.S. Department of Justice, and the road ahead may bring clarification on Anti-Kickback Statute causation and willfulness standards, along with increased focus on private equity, cybersecurity and self-disclosure, say attorneys at Epstein Becker.
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Best Practices For Space Security In Our Connected World
NASA's recently published space security guide is another indication that cyber-resilience has become a global theme for the space and satellite sector, as well as a useful reference for companies and organizations reviewing their cybersecurity frameworks or looking to partner with the U.S. agency, says Hayley Blyth at Bird & Bird.
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Manufacturers Should Pay Attention To 'Right-To-Repair' Laws
Oregon’s recently passed "right-to-repair" statute highlights that the R2R movement is not going away, and that manufacturers of all kinds need to be paying attention to the evolving list of R2R statutes in various states and consider participating in the process, says Courtney Sarnow at Culhane.
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Opinion
Viral Deepfakes Of Taylor Swift Highlight Need For Regulation
As the nation grapples with addressing risk from artificial intelligence use, the recent circulation of AI-generated pornographic images of Taylor Swift on the social platform X highlights the need for federal legislation to protect nonconsenting subjects of deepfake pornography, say Nicole Brenner and Susie Ruiz-Lichter at Squire Patton.
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New Federal Bill Would Drastically Alter Privacy Landscape
While the recently introduced American Privacy Rights Act would eliminate the burdensome patchwork of state regulations, the proposed federal privacy law would also significantly expand compliance obligations and liability exposure for companies, especially those that rely on artificial intelligence or biometric technologies, says David Oberly at Baker Donelson.