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Corporate
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June 05, 2025
SEC Beats Challenge To Stricter Shareholder Proposal Rule
A Washington, D.C., federal judge Thursday upheld the U.S. Securities and Exchange Commission's rule that raises eligibility requirements for submitting shareholder proposals, disagreeing with investor advocacy groups that the requirements "severely impair" investors' input on corporate policies.
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June 05, 2025
Del. Court Scuttles Salvage Co. Investor's Doc Suit Appeal
An ocean salvage company stockholder's attempt to refloat a rejected Delaware Court of Chancery suit for documents on a more than decade-long treasure hunt off Cape Cod, Massachusetts, sank again Thursday after a vice chancellor found that a magistrate in chancery made the right call.
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June 05, 2025
SEC Panel Backs Rules Curbing Advisers' Arbitration Power
An investor-focused committee recommended Thursday that the U.S. Securities and Exchange Commission enact rules governing mandatory arbitration clauses between registered investment advisers and their clients, concerned that such clauses can harm investors.
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June 05, 2025
Crypto Hedge Fund Co-Founder To Pay $944K In SEC Suit
A co-founder of hedge fund firm BKCoin Management LLC has agreed to pay $944,000 to the U.S. Securities and Exchange Commission to resolve claims that he and the Miami-based investment adviser fraudulently raised $100 million from 55 investors between 2018 and 2022 under the guise of investing in crypto assets.
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June 05, 2025
Trump Expects China Trade Talks To Resume After Xi Phone Call
President Donald Trump said he and Chinese President Xi Jinping spoke over the phone Thursday about an impasse in ongoing trade talks over U.S. claims China was slow-walking the exports of rare earths, with Trump saying he expects meetings between the countries' negotiating teams to resume.
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June 05, 2025
Copyright Office Says Registration Delay Had No Legal Impact
The U.S. Copyright Office said Thursday that a two-week pause on issuing registration certificates last month after its leader was fired did not adversely affect any claimant's rights.
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June 05, 2025
DOJ Wants Fix-It-1st Mergers, Not 'Fix-It-2nd'
The U.S. Department of Justice Antitrust Division's top merger official walked a fine line Wednesday between avoiding "a lingering regulatory review tax" on benign transactions and over-confident prognostications that markets will "self-correct" without intervention, and between encouraging companies to address concerns upfront and "shadow" settlements with the government.
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June 05, 2025
Pillsbury Brings On Buchalter IP Co-Leader In San Diego
Pillsbury Winthrop Shaw Pittman LLP is boosting its intellectual property team, announcing Thursday it is bringing on the former co-chair of Buchalter PC's intellectual property practice as a partner in its San Diego office.
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June 05, 2025
AI Coding App Co. Hits Ch. 7 After Legal Challenges
Engineer.ai, the parent of an artificial intelligence-supported coding app maker, Builder.ai, has filed papers for a Chapter 7 liquidation in Delaware with more than $50 million in liabilities, following litigation regarding claims about its technology and the recent appointment of a new CEO.
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June 05, 2025
Ex-Bush Admin Atty To Lead HHS Civil Rights Office
The U.S. Department of Health and Human Services has appointed an attorney to lead its civil rights office who brings more than 30 years of experience across the public sector and private practice, including as counsel for HHS during the George W. Bush administration.
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June 05, 2025
Bradley Arant Expands With Texas Regional Bank's CLO
Bradley Arant Boult Cummings LLP has hired the former chief legal officer of Texas Regional Bank to bolster its banking and financial services practice group.
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June 05, 2025
5 Firms Steer Self-Driving Truck Startup's $1.2B SPAC Merger
Self-driving truck software maker Plus Automation Inc. plans to go public at an estimated $1.2 billion valuation by merging with special purpose acquisition company Churchill Capital IX Corp., both parties announced Thursday, in a deal guided by five law firms.
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June 05, 2025
DOL Benefits Arm Needs Turnaround, Nominee Tells Senators
President Donald Trump's pick to lead the U.S. Department of Labor's employee benefits division told a Senate panel Thursday to prepare for an overhaul of the subagency if he's confirmed, vowing to change the direction of enforcement, regulation and more.
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June 05, 2025
Bernstein Litowitz Can Hire Ex-SEC Atty Over Musk Objection
A New York federal judge on Thursday gave the all-clear for investor-side firm Bernstein Litowitz Berger & Grossmann LLP to hire the U.S. Securities and Exchange Commission's former litigation chief over the objections of Elon Musk.
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June 05, 2025
KFC Parent Co. Fights $4B IRS Bill In Tax Court
The parent company of Pizza Hut, KFC and Taco Bell is challenging $2.5 billion in taxes and penalties that the IRS claims it owes for a corporate reorganization to restructure its international operations, according to a U.S. Tax Court petition served Thursday, a figure that has topped $4 billion with interest.
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June 05, 2025
Justices Nix Mexico's Cartel Violence Suit In Win For Gun Cos.
The U.S. Supreme Court on Thursday threw out a suit by the government of Mexico against Smith & Wesson and other major gun companies, finding in a unanimous opinion that the alleged ties between the firearms makers and cartel violence south of the border are too speculative to stand up in court.
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June 04, 2025
Apple Loses Bid To Pause App Store Order Amid Appeal
A Ninth Circuit panel Wednesday refused to lift a lower court's injunction mandating certain App Store policy changes while Apple appeals it, saying that it wasn't "persuaded that a stay is appropriate" in the high-profile litigation brought by Epic Games.
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June 04, 2025
OneTaste Jury Hears Of Illicit Labor Plot, As Trial Closes
A Brooklyn federal prosecutor on Wednesday told jurors that OneTaste co-founder Nicole Daedone and her former top deputy used an array of manipulative tactics, including sexual and financial abuse, to keep workers for the sexual wellness company in line, as the trial nears its end.
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June 04, 2025
Ex-Ga. Chemical Plant Owners Sued For Toxic Waste Dumping
The owner of an abandoned northwest Georgia chemical plant filed a federal lawsuit Wednesday against its former owner-operators alleging that they left hundreds of drums of toxic waste behind, resulting in its new owner facing federal prosecution and spending hundreds of thousands of dollars to clean up.
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June 04, 2025
Fla. School Urges 11th Circ. To Allow Jury Trial In TM Dispute
A Florida distance learning school urged the Eleventh Circuit on Wednesday to revive its trademark infringement lawsuit against a rival, arguing it should be allowed to prove to a jury that it sustained actual damages because parents were confused by a competitor's website.
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June 04, 2025
Ex-CFTC Chair Warns Crypto Bill's Loopholes Still Too Wide
Former leaders of the Commodity Futures Trading Commission on Wednesday told U.S. House lawmakers mulling a bill to regulate cryptocurrency markets that the legislation needs to close potential regulatory loopholes and that Congress must expand the agency's resources if they expect it to police the bulk of the digital asset space.
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June 04, 2025
Porn Site Kink Shared Viewing Habits With Google, Suit Says
Porn site Kink.com used Google tracking tools as part of a "devil's bargain" with the tech giant and failed to inform site visitors it was sharing their sensitive information, including the specific videos they watched, a proposed class action filed Tuesday in California federal court alleged.
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June 04, 2025
Starbucks' Legal Chief Exits Amid Organizational Changes
Starbucks's top attorney Brad Lerman will be exiting the company in the coming months while helping the coffee giant search for his replacement as chief legal officer, the company announced Thursday in its U.S. Securities and Exchange Commission paperwork.
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June 04, 2025
Navios CEO Sued Over 'Disloyal' Share Buyback Scheme
Two investors of shipping and logistics company Navios Maritime Holdings Inc. say the company's CEO and board of directors ran a scheme to devalue preferred shares after taking the company private, supposedly concealing plans to delist the stock and buy it back at fire-sale prices.
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June 04, 2025
Android User Says Meta Secretly Links Browsing To Profiles
Meta Platforms Inc. secretly exploits an Android communication channel to tie users' browsing information to their Facebook and Instagram profiles, rendering that information completely identifiable and making it easier to target users with advertisements, according to a proposed class action filed Tuesday in California federal court.
Expert Analysis
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Series
Baseball Fantasy Camp Makes Me A Better Lawyer
With six baseball fantasy experiences under my belt, I've learned time and again that I didn't make the wrong career choice, but I've also learned that baseball lessons are life lessons, and I'm a better lawyer for my time at St. Louis Cardinals fantasy camp, says Scott Felder at Wiley.
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DOJ Immigration Playbook May Take Cues From A 2017 Case
A record criminal resolution with a tree trimming company accused of knowingly employing unauthorized workers in 2017 may provide clues as to how the U.S. Department of Justice’s immigration crackdown will touch American companies, which should prepare now for potential enforcement actions, says Jonathan Porter at Husch Blackwell.
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Paul Atkins' Past Speeches Offer A Glimpse Into SEC's Future
Following Paul Atkins' Thursday Senate confirmation hearing, a look at his public remarks while serving as a commissioner at the U.S. Securities and Exchange Commission between 2002 and 2008 reveals eight possible structural and procedural changes the SEC may see once he likely takes over as chair, say attorneys at Covington.
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Series
Adapting To Private Practice: From Fed. Prosecutor To BigLaw
Making the jump from government to private practice is no small feat, but, based on my experience transitioning to a business-driven environment after 15 years as an assistant U.S. attorney, it can be incredibly rewarding and help you become a more versatile lawyer, says Michael Beckwith at Dickinson Wright.
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How Del. Supreme Court, Legislature Have Clarified 'Control'
The Delaware Supreme Court's January decision in In re: Oracle and the General Assembly's passage of amendments to the Delaware General Corporation Law this week, when taken together, help make the controlling-stockholder analysis clearer and more predictable for companies with large stockholders, say attorneys at Baker Botts.
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Retirement Plan Suits Show Value Of Cybersecurity Policies
Several data breach class actions that were recently filed against retirement plan administrator The Pension Specialists in Illinois federal court are a reminder that developing and following a good written cybersecurity policy provides a blueprint for compliance and may prevent lawsuits, says Carol Buckmann at Cohen & Buckmann.
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How Importers Can Minimize FCA Risks Of Tariff Mitigation
False Claims Act risks are inherent in many tariff mitigation strategies, making it important for importers to implement best practices to identify and report potential violations of import regulations before they escalate, says Samuel Finkelstein at LMD Trade Law.
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Explaining CFPB's Legal Duties Under The Dodd-Frank Act
While only Congress can actually eradicate the Consumer Financial Protection Bureau, the Trump administration has sought to significantly alter the agency's operations, so it's an apt time to review the minimum baseline of activities that Congress requires of the CFPB in Title X of the Dodd-Frank Act, say attorneys at Bradley Arant.
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State Securities Enforcers May Fill A Federal Enforcement Gap
The U.S. Securities and Exchange Commission appears poised to take a lighter touch under the new administration, but state enforcement efforts are likely to continue unabated, and potentially even increase, particularly with regard to digital assets and ESG disclosures, say attorneys at Ropes & Gray.
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Firms Still Have Lateral Market Advantage, But Risks Persist
Partner and associate mobility data from the fourth quarter of 2024 shows that we’re in a new, stable era of lateral hiring where firms have the edge, but leaders should proceed cautiously, looking beyond expected revenue and compensation analyses for potential risks, say Julie Henson and Greg Hamman at Decipher Investigative Intelligence.
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Recent Cases Highlight Latest AI-Related Civil Litigation Risks
Ongoing lawsuits in federal district courts reveal potential risks that companies using artificial intelligence may face from civil litigants, including health insurance coverage cases involving contractual and equitable claims, and myriad cases concerning securities disclosure claims, say attorneys at Katten.
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Employer Tips To Navigate Cultural Flashpoints Investigations
As companies are increasingly flooded with complaints of employees violating policies related to polarizing social, cultural or political issues, employers should beware the distinct concerns and increased risk in flashpoints investigations compared to routine workplace probes, say attorneys at Seyfarth.
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Opinion
We Must Allow Judges To Use Their Independent Judgment
As two recent cases show, the ability of judges to access their independent judgment crucially enables courts to exercise the discretion needed to reach the right outcome based on the unique facts within the law, says John Siffert at Lankler Siffert & Wohl.
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4 Actions For Cos. As SEC Rebrands Cyber Enforcement Units
As the U.S. Securities and Exchange Commission signals its changing enforcement priorities by retooling a Biden-era crypto-asset and cybersecurity enforcement unit into a task force against artificial-intelligence-powered hacks and online investing fraud, financial institutions and technology companies should adapt by considering four key points, say attorneys at Troutman.
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High Court Water Permit Ruling Lacks Specificity
The enforcement impact of the U.S. Supreme Court’s recent decision in San Francisco v. U.S. Environmental Protection Agency may not be significant, because while the ruling makes clear that certain water permit provisions must instruct permittees on how to achieve stated goals, it doesn’t clarify the level of necessary instruction, says Daniel Deeb at ArentFox Schiff.