Expert Analysis

• FinCEN World Cup Warning Raises Trafficking Risks For Cos.

  

  The Financial Crimes Enforcement Network's recent warning of human trafficking risks during the World Cup games signals heightened scrutiny ahead of the upcoming tournament, and suggests regulators increasingly expect businesses beyond financial institutions to maintain effective trafficking-risk controls, say attorneys at Morgan Lewis.

• 2 'Rocket Dockets' And The Rules That Propel Them

  

  The fastest civil trial courts in the country are currently in the Eastern District of Virginia and the Southern District of Florida, and their chief judges provide insights into the court rules that keep them ahead, says Robert Tata at Hunton.

• Retailer Risk Reduction Tips As Email Marketing Suits Surge

  

  Amid a flood of email marketing lawsuits following last year's Washington Supreme Court ruling in Brown v. Old Navy, retailers seeking to avoid high litigation costs can take several steps to reduce risks by focusing on their email subject lines advertising sales, says Gonzalo Mon at Kelley Drye.

• Why Nuclear Licensees Must Watch 2nd Circ.'s Holtec Review

  

  In reviewing a New York federal court's preemption ruling concerning disposal of nuclear materials, the Second Circuit must confront the lower court's recognition of a purpose-based path to field preemption, which could be game-changing for nuclear material licensees, says Andrew Averbach at Womble Bond.

• Operational AI Washing: Dismantling Claims Before Discovery

  

  Operational AI washing claims can be rebuffed before discovery extracts their true costs by turning the documentary record established in earnings calls and public disclosures into a layered defense, which can exploit the Private Securities Litigation Reform Act’s heightened pleading standards, say attorneys at Akerman.

• Opinion

  SEC Must Clarify Crypto Guidance For Investment Advisers

  

  Until the U.S. Securities and Exchange Commission clarifies a conundrum created by recently issued guidance that classifies crypto tokens as digital commodities rather than securities, every registered investment adviser managing a digital commodity portfolio will be simultaneously compliant and exposed, says Nicole Trudeau at Wave Digital Assets.

• Opinion

  Attys Should Aid Clients' AI Use While Safeguarding Privilege

  

  Until legislatures enact laws expressly extending privilege to artificial intelligence queries, lawyers should try to shield their clients' case-related use of AI tools by offering them dedicated access on firms' enterprise accounts and utilizing a long-standing privilege precedent, says Joseph Rillotta at Meadows Collier.

• Employer Tips To Prepare For Va. Family And Medical Leave

  

  With Virginia's paid family and medical leave insurance program taking effect in two years, employers should develop processes for monitoring head count, coordinating with existing federal and state leave programs, and tracking intermittent leave, say attorneys at ArentFox Schiff.

• What End Of SEC Settlement Gag Rule Means For Defendants

  

  The U.S. Securities and Exchange Commission's recent rescinding of its gag rule prohibiting defendants from publicly denying allegations in settled SEC enforcement actions actually heightens the need to think strategically when negotiating resolutions and pursuing public denials of wrongdoing, say attorneys at Cleary.

• NY's Tax On 2nd Homes Compounds Residency Tax Risks

  

  New York’s recently enacted surcharge on high-value second homes reflects a nationwide legislative trend of using the residency tax framework more aggressively, which brings new considerations for business owners who maintain a residence while asserting domicile elsewhere, says Mark Parthemer at Glenmede.

• Opinion

  Regulators Should Use Existing Tools To Jump-Start Crypto

  

  The U.S. Securities and Exchange Commission and U.S. Commodity Futures Trade Commission should use existing authority to quickly enable crypto trading, custody, clearing and settlement to reduce uncertainty and lay the groundwork for permanent crypto rules, says Lee Schneider at Ava Labs.

• SEC's Co-Investment Relief Broadens Private Market Access

  

  The U.S. Securities and Exchange Commission's recent no-action letter to J.P. Morgan Investment Management permits open-end funds to co-invest with affiliates, removing a long-standing barrier open-end fund sponsors have faced in sourcing private market investments at scale, say attorneys at Debevoise.

• Recent Actions Signal Increased NYDFS Health Cyber Focus

  

  The New York Department of Financial Services' recent $2.25 million settlement with Delta Dental indicates that it views cybersecurity enforcement in the healthcare and insurance sectors as an ongoing priority, and serves as a road map for the compliance gaps regulators are most likely to target, say attorneys at Crowell & Moring.

• Employer Tips For Navigating Tenn. Noncompete Law

  

  Although a new Tennessee law will limit the enforceability of noncompetes, including by categorically prohibiting them for lower-wage earners and establishing rebuttable presumptions on their duration, it also gives employers clearer guideposts for drafting enforceable agreements, say attorneys at Burr & Forman.

• Your Next Litigation Hold Should Cover AI Chat Logs

  

  The Delaware Chancery Court’s recent decision in Fortis Advisors v. Krafton to treat a CEO’s artificial intelligence chats as substantive evidence is being read as a discovery warning to litigators, but there is a second duty-to-preserve lesson that is especially pertinent to in-house counsel, say attorneys at Faegre Drinker.