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Compliance
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August 12, 2025
Sentara Health Must Face Trimmed Stable Value Fund Suit
A Virginia federal court refused to toss a proposed class action alleging healthcare not-for-profit Sentara Health mismanaged an employee retirement plan, finding workers had sufficiently backed up claims that a stable value fund in the plan underperformed and their employer's investment management process was lacking.
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August 12, 2025
Amazon's 'Dark Patterns' Expert Nixed From FTC Prime Suit
Amazon.com Inc. is down a key expert witness after a Washington federal judge ruled that an engineering consultant has offered nothing but his expertise and experience to argue the Federal Trade Commission wrongly accuses the retail giant of using "dark patterns" to trick users into Prime subscriptions.
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August 12, 2025
Feds Say High Court Case Supports Discord Trader Indictment
Federal prosecutors and a group of men accused of running a $114 million pump-and-dump stock scheme over Discord have made their case for whether a recent U.S. Supreme Court decision means a judge was correct in tossing a 21-count indictment against the men.
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August 12, 2025
Insurer Obstructed $116M In Funding Claims, Court Told
A company that invested in a personal injury law firm's docket of cases alleges in a lawsuit removed to North Carolina federal court that its insurer "intentionally obstructed" its recovery of more than $116 million in coverage under policies insuring that investment.
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August 12, 2025
No New Foreign Bribery Trial For Connecticut Oil Trader
A former Connecticut oil trader faces sentencing Nov. 4 after a federal judge declined to overturn a jury's verdict finding him guilty of paying bribes to an official at Brazilian oil giant Petroleo Brasileiro SA and laundering money.
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August 12, 2025
Groups Urge IRS To Resist Pressure To Share Taxpayer Info
Advocacy groups urged the Internal Revenue Service on Tuesday to keep resisting presidential pressure to share confidential tax-return information with immigration enforcement authorities, saying the abrupt departure of the agency's new commissioner highlights the need for oversight.
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August 12, 2025
NM School Board Sues Feds Over Native American Bias Probe
A New Mexico school board is suing the U.S. Equal Employment Opportunity Commission and acting Chair Andrea Lucas, arguing they overstepped their authority by lodging an "overly broad and vague" Native American discrimination charge and probe against it.
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August 12, 2025
Forge Ahead On Cellphone Hearing Aid Rules, FCC Told
Federal rules need to be updated as soon as possible to align with an upcoming standard for hearing aid compatibility with cellphones, advocates for consumers with hearing loss said.
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August 12, 2025
DOL Yanks 2021 Guidance On Private Equity 401(k) Risks
The U.S. Department of Labor's employee benefits arm on Tuesday rescinded guidance from 2021 that warned 401(k) plan managers about the risks of investing in private equity, which comes after an executive order last week that called for expanding access to alternative asset classes in defined-contribution retirement plan investing.
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August 12, 2025
2nd Circ. Rules Dormant Commerce Clause Covers Marijuana
A split Second Circuit panel on Tuesday ruled that, despite marijuana's federal illegality, the U.S. Constitution prohibits states from privileging their own residents when awarding licenses to cannabis businesses.
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August 12, 2025
FCC Urged To Ramp Up Mobile High-Cost Support
The Federal Communications Commission needs to reform its mobile support rules for subsidizing carriers in largely rural areas, a wireless trade group told the agency.
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August 12, 2025
Rising Star: Latham's Clare Nida
Clare Nida of Latham & Watkins LLP represented a client who faced scrutiny during a long-running multinational fraud investigation, ultimately helping the client to avoid prosecution and earning a spot among the compliance law practitioners under age 40 honored by Law360 as Rising Stars.
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August 12, 2025
11th Circ. Wary Of Individual Arbitration Push In ESOP Fight
The Eleventh Circuit on Tuesday appeared unlikely to force individual arbitration of a federal benefits lawsuit alleging that a legal technology company's employee stock ownership plan shares were undervalued in a plan termination, with multiple judges questioning the validity of an arbitration provision in ESOP plan documents.
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August 12, 2025
Petition Seeks FCC Files On Trump-Skydance Meeting
The head of an artificial intelligence streaming platform called on the Federal Communications Commission to release its findings on his complaint alleging improper lobbying by Skydance Media for its $8 billion merger with Paramount, claiming that Skydance planned an impromptu meeting with President Donald Trump at an April UFC fight.
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August 12, 2025
Uber's Tip Led FBI To $5M 'Grandparent Scam' Ring, Feds Say
A suspicious pattern of Uber trips to banks by older people led the company to contact the FBI, uncovering a multinational "grandparent scam" operation that stole $5 million from at least 400 people, Massachusetts federal prosecutors said Tuesday.
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August 12, 2025
Ex-Cognizant, Chevron Exec Joining Galaxy Digital As CLO
Crypto institutional investment and trading firm Galaxy Digital has found a new chief legal officer in the former general counsel of Cognizant Technology Solutions, who also held roles at Chevron and UnitedHealth Group.
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August 11, 2025
5th Circ. Backs Mexican Banks' Subpoena For Fraud Case
The Fifth Circuit on Monday refused to revive a Mexican businessman's motion to quash a subpoena stemming from major Mexican financial institutions' efforts to obtain discovery as they pursue claims that the businessman absconded with $32 million in loans, saying it detected "no error" in a lower court's denial.
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August 11, 2025
Utah Gov. Cox Escapes Ute Tribe's Bidding Scheme Suit
Utah's governor and other state officials won't have to face a challenge by the Ute Indian Tribe accusing them of a racist bidding scheme to prevent a land purchase, a federal judge ruled, finding the tribe failed to provide specific allegations tying them to the supposed conspiracy.
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August 11, 2025
Army Brass Grilled On Trump's Calif. Troop Deployment
A San Francisco federal judge overseeing a bench trial over California's claims that President Donald Trump unlawfully deployed military troops in the state dug into a U.S. Army commander's testimony Monday that soldiers were sent to help enforce immigration laws, even when the military's own assessment showed a low risk of violence or damage.
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August 11, 2025
GCI To Pay $10K To End Fed Probe Over Alaska Cable Permit
Alaska telecom GCI Communication Corp. will have to pay $10,000 for letting the cable landing licenses for one of its undersea cable systems expire, the Federal Communications Commission has announced.
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August 11, 2025
Feds Charge Mexican Businessmen In Pemex Bribery Scheme
Two Mexican businessmen living in the U.S. are accused of taking part in a bribery scheme to secure at least $2.5 million in business with Mexico's state-owned oil company, Petróleos Mexicanos, the U.S. Department of Justice announced Monday.
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August 11, 2025
4 Takeaways From Trump's Order To Expand 401(k) Assets
President Donald Trump's recent executive order aimed at expanding 401(k) savers' access to nontraditional 401(k) assets like private equity and crypto could open up a greater portion of the financial market to retirement savers, attorneys say, though plenty of regulatory hurdles lie ahead. Here, Law360 looks at four key takeaways on the order with attorneys and experts.
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August 11, 2025
11th Circ. Nixes Ineffective-Counsel Claim In Salmonella Case
Peanut Corp. of America's former president and a food broker convicted for their roles in a salmonella outbreak that killed nine people and sickened more than 700 cannot throw out their prison sentences, the Eleventh Circuit ruled Monday, rejecting their assertion of ineffective counsel.
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August 11, 2025
GE, UNC Agree To $63M Uranium Mine Cleanup In New Mexico
The United Nuclear Corp. and General Electric Co. agreed to a consent decree with the federal government, New Mexico and the Navajo Nation to spend $63 million on environmental cleanup at a decades-old uranium mine, the U.S. Department of Justice announced Monday.
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August 11, 2025
FINRA Fines Goldman Over IPO Conflicts Of Interest
Investment banking giant Goldman Sachs has agreed to pay the Financial Industry Regulatory Authority $250,000 to end claims it failed to bring in an independent underwriter to work on a registration statement for a $700 million initial public offering in which Goldman had a conflict of interest.
Expert Analysis
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Conflicting Developments In Homelessness Legal Landscape
Looking at an executive order and Third Circuit opinion from last month highlights the ongoing tension in homelessness-related legal issues facing state and local governments, property owners, and individuals experiencing homelessness, says Josh Collins, an attorney for the City of South Salt Lake.
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AG Watch: Texas Embraces The MAHA Movement
Attorneys at Kelley Drye examine Texas Attorney General Ken Paxton's actions related to the federal Make America Healthy Again movement, and how these actions hinge on representations or omissions by the target companies as opposed to specific analyses of the potential health risks.
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DOJ Whistleblower Program May Fuel Criminal Antitrust Tack
A recently launched Justice Department program that provides rewards for reporting antitrust crimes related to the U.S. Postal Service will serve to supplement the department’s leniency program, signaling an ambition to expand criminal enforcement while deepening collaboration across agencies, say attorneys at Crowell & Moring.
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How Community Banks Can Limit Overdraft Class Action Risk
With community banks increasingly confronted with class actions claiming deceptive overdraft fees, local institutions should consider proactively revising their customer policies and agreements to limit their odds of facing costly and complicated consumer litigation, say attorneys at Jones Walker.
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Opinion
Bar Exam Reform Must Expand Beyond A Single Updated Test
Recently released information about the National Conference of Bar Examiners’ new NextGen Uniform Bar Exam highlights why a single test is not ideal for measuring newly licensed lawyers’ competency, demonstrating the need for collaborative development, implementation and reform processes, says Gregory Bordelon at Suffolk University.
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How States Are Regulating Health Insurers' AI Usage
The absence of a federal artificial intelligence framework positions states as key regulators of health insurers’ AI use, making it important for payors and service providers to understand the range of state AI legislation being passed in California and elsewhere, and consider implementing an AI-focused compliance infrastructure, say attorneys at Ropes & Gray.
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Export Misconduct Resolutions Emphasize BIS, DOJ Priorities
The U.S. Department of Justice's and Bureau of Industry and Security's recently resolved parallel enforcement actions against semiconductor technology company Cadence Design demonstrate the agencies' prioritization of penalties for export control violations involving China, as well as the importance of voluntary self-disclosure, say attorneys at Fenwick.
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Disney Art Suit Will Test Recent AI Fair Use Boundaries
While the first U.S. rulings to address the issue recently held that it's fair use for generative artificial intelligence models to train on certain copyrighted books without permission, Disney v. Midjourney, filed in June, will test the limits of the fair use framework in a visual art context, says Rob Rosenberg at Moses & Singer.
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Location Data And Online Tracking Trends To Watch
Regulators and class action plaintiffs are increasingly targeting companies' use of online tracking technologies and geolocation data in both privacy enforcement and litigation, so organizations should view compliance as a dynamic, cross-functional responsibility as scrutiny becomes increasingly aggressive and multifaceted, say attorneys at Arnold & Porter.
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HHS Plan To Cut Immigrant Benefits Spurs Provider Questions
A recent notice from the U.S. Department of Health and Human Services identifying new federal public benefit programs for which nonqualified aliens are not eligible may have a major impact on entities that participate in these programs — but many questions remain unanswered, say attorneys at Foley.
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A Simple Way Courts Can Help Attys Avoid AI Hallucinations
As attorneys increasingly rely on generative artificial intelligence for legal research, courts should consider expanding online quality control programs to flag potential hallucinations — permitting counsel to correct mistakes and sparing judges the burden of imposing sanctions, say attorneys at Lankler Siffert & Wohl and Connors.
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Opinion
SEC Should Restore Its 2020 Proxy Adviser Rule
Due to concerns over proxy advisers' accuracy, reliability and transparency, the U.S. Securities and Exchange Commission should reinstate its 2020 rule designed to suppress the influence that they wield in shareholder voting, says Kyle Isakower at the American Council for Capital Formation.
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DOJ Consumer Branch's End Leaves FDA Litigation Questions
With the dissolution of the U.S. Department of Justice's Consumer Protection Branch set to occur by Sept. 30, companies must carefully monitor how responsibility is reallocated for civil and criminal enforcement cases related to products regulated by the U.S. Food and Drug Administration, say attorneys at Foley & Lardner.
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Surveying The Changing Overdraft Fee Landscape
Despite recent federal moves that undermine consumer overdraft fee protections, last year’s increase in fee charges suggests banks will face continued scrutiny via litigation and state regulation, says Amanda Kurzendoerfer at Bates White.
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What's At Stake In High Court Review Of Funds' Right To Sue
The U.S. Supreme Court's upcoming review of FS Credit Opportunities v. Saba Capital Master Fund, a case testing the limits of using Investment Company Act Section 47(b) to give funds a private right of action to enforce other sections of the law, could either encourage or curb similar activist investor lawsuits, say attorneys at Goodwin.