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Cybersecurity & Privacy
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May 07, 2024
TikTok Urges DC Circ. To Ax 'Unprecedented' Divestment Bill
TikTok on Tuesday lodged its highly anticipated challenge to a new federal law that would exclude the popular app from the U.S. market unless it cuts ties with its Chinese parent company, telling the D.C. Circuit that the measure amounts to an unconstitutional and unprecedented ban on free speech.
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May 07, 2024
WilmerHale Guides Akamai's $450M Buy Of Noname Security
Cloud company Akamai Technologies Inc., advised by WilmerHale, on Tuesday announced plans to buy Noname Security, an application programming interface security company, for $450 million.
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May 06, 2024
Ancestry.com Unit Escapes Ill. Publicity Privacy Suit For Now
An Illinois federal judge has tossed a putative class action accusing a France-based subsidiary of Ancestry.com of featuring individuals in its advertising without their permission, finding the plaintiff had failed to show that the company had sufficient ties to the state, while leaving the door open for the claims to be revised.
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May 06, 2024
Google's $62M Location-Tracking Settlement Gets Green Light
A California federal judge has granted final approval to Google's $62 million settlement resolving allegations it illegally collected and stored smartphone users' private location information, a deal that includes $18.6 million in fees for the lawyers representing the consolidated class.
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May 06, 2024
Amazon Loses Bid To Ship Patent Case From EDTX To Wash.
An Eastern District of Texas judge has denied Amazon's motion to transfer a two-factor authentication patent suit against it to the Western District of Washington, ruling that the e-commerce giant didn't show that its home base was clearly a more convenient location.
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May 06, 2024
UChicago Can't Ditch Data Sharing Privacy Claim
A University of Chicago Medical Center patient accusing the hospital of illegally sharing her and other patients' identifying information with Meta can pursue her claims that the info sharing constitutes a federal wiretap violation, an Illinois federal judge said.
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May 06, 2024
Ga. Insurance Agency Hit With Suit Over 'Unwanted Calls'
A Georgia-based insurance agency was hit with a proposed class action Monday alleging it makes "aggressive" telemarketing calls to seniors advertising final expense and life insurance products, even when the seniors are on the national do-not-call list or ask that the calls stop.
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May 06, 2024
Ohio AG Says Social Media Age Limit Fight Hurts Democracy
Ohio Attorney General Dave Yost and the internet technology trade association that sued to block him from enforcing the Buckeye State's new law requiring parental consent for children under 16 to create online accounts have filed competing bids for early wins.
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May 06, 2024
JPMorgan Accused Of Failing To Protect Account Data
JPMorgan Chase & Co. failed to protect sensitive personal information for individuals whose retirement accounts it administered, causing at least 451,000 people to have identifiable data stolen over the past three years, according to a proposed class action filed in New York federal court.
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May 06, 2024
Data Privacy Co. Wants Personal Info Suits In NJ State Court
Most of the recently moved lawsuits alleging violations of a New Jersey judicial privacy law should be moved back to state court since the plaintiffs and defendants reside in the Garden State, the data privacy company behind the first-of-their-kind cases has told a New Jersey federal judge.
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May 06, 2024
Cybersecurity Firm Appgate Hits Ch. 11 3 Years After IPO
Technology firm Appgate Inc. and 11 affiliates filed for Chapter 11 bankruptcy in Delaware Monday with a prepackaged plan to wipe all debt from its books, tap new funding and go private roughly three years after its initial public offering backed by $1 billion in investments.
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May 06, 2024
Synopsys Selling Software Biz To PE Firms In $2.1B Deal
Software firm Synopsys Inc. on Monday announced that it is selling its Software Integrity Group business to private equity firms Clearlake Capital Group LP and Francisco Partners for up to $2.1 billion in a deal built by three firms.
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May 03, 2024
The Privacy Report: Legislative Moves You May Have Missed
Tennessee's enactment of new restrictions on teens' social media use led the charge this week amid a flurry of state and federal efforts to increase protections for minors online, while Connecticut faces a looming deadline to become the first state with a comprehensive framework for regulating artificial intelligence.
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May 03, 2024
NY's Citi Suit Imperils Wire Transfer Market, Bank Groups Say
Major banking trade groups are backing Citibank NA in its fight against the New York attorney general's lawsuit over the bank's payment fraud protocols, warning that the state's claims seek to change how wire transfers are regulated in a way that could "upend" the marketplace for such services.
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May 03, 2024
Phone Carriers Still Want More Time On SIM Swap Deadline
Telecom trade groups have once again told the Federal Communications Commission that their members are going to struggle to meet the deadline for complying with the agency's new rules aimed at combating SIM card swapping fraud.
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May 03, 2024
Ill. Hilton Operators Slapped With Time-Tracking BIPA Suits
Hilton workers have hit several hotel operators in the Chicago area with a proposed class action and an individual lawsuit in Illinois state court, accusing the hotels of illegally collecting and retaining workers' biometric data to keep track of workers' hours in violation of the state Biometric Information Privacy Act.
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May 03, 2024
BTC-e Mastermind Cops To Money Laundering Conspiracy
A Russian national pled guilty Friday to conspiracy to commit money laundering related to his central role in operating the cryptocurrency exchange BTC-e from 2011 to 2017, according to the U.S. Attorney's Office for the Northern District of California.
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May 03, 2024
Mich. Justices Punt On Privacy Questions In Drone Dispute
The Michigan Supreme Court on Friday dodged a novel question about the constitutionality of a town's drone surveillance of a couple's property, ruling that photos taken by the drone could not be suppressed in a zoning proceeding.
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May 03, 2024
Google Blasts Epic's Post-Verdict Play Store Reforms Bid
Google is hitting back at Epic Games' proposed injunction following its jury win on antitrust claims related to the Google Play Store and Android apps, telling a California federal judge Thursday that Epic's proposed rules cover conduct that was not presented to the jury and is "purely hypothetical."
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May 03, 2024
Crumbl Faces Privacy Suit For Not-So-Sweet Tracking Cookies
A customer hit Crumbl LLC with a proposed class action in California federal court alleging the cookie company helps a third-party payment processing company install tracking cookies on web browsers to collect consumers' sensitive information and their online activity without consent.
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May 03, 2024
Arby's Franchise, Auto Dealer Hit With Ga. Data Breach Suits
Workers at an Arby's franchise, a home nursing company and national car dealership have sued their employers in Georgia federal court, alleging the employers failed to safeguard sensitive personal information exposed in recent cyberattacks.
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May 03, 2024
Fintech Co. Says PNC Acknowledged Use Of Logo For Years
Fintech company Plaid Inc. tried to fend off PNC Bank's allegations it tricked customers into handing over confidential account information, telling a Pennsylvania federal judge on Friday that the bank knew its trademarks were being used on Plaid's system.
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May 03, 2024
Cash App's Parent Co. Can't Ditch Referral Text Suit
Block Inc., the parent company of mobile payment service Cash App, can't escape a suit alleging it bombarded cellphone users with "annoying and harassing spam texts," a Washington federal judge ruled, finding the plaintiff has alleged sufficient facts to support a plausible claim for relief under Washington's Consumer Electronic Mail Act.
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May 03, 2024
Sens. Look To Add Kids Online Bills To FAA Bill
A bipartisan group of senators is looking to add legislation to better protect kids online and on social media to the Federal Aviation Administration Reauthorization Act, which faces a May 10 deadline for enactment.
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May 03, 2024
Off The Bench: DraftKings, FIFA Warning, Charity Turmoil
In this week's Off The Bench, DraftKings blocks a former executive from working at an emerging rival in the U.S., FIFA's transfer rules get flagged as a potential antitrust breach and the nonprofit marshaling donations to NFL safety Damar Hamlin sues its former counsel over media leaks.
Expert Analysis
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Cos. Seeking Cyber Coverage Can Look To Key Policy Terms
As cyberattacks increasingly threaten business operations, including one last month that partially paralyzed UnitedHealth's services, expanded interpretations of several key policy terms may allow affected companies to recover under cyber business interruption policies or other coverage, even if their business hasn't completely shut down, say attorneys at Kasowitz.
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How AI May Be Used In Fintech Fraud — And Fraud Detection
Recent enforcement actions in the fintech and finance industries show that the government is increasingly pursuing fraud enabled by artificial intelligence — at the same time it’s using AI innovations to enforce regulations and investigate fraud, say attorneys at ArentFox Schiff.
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Takeaways From Groundbreaking Data Transfer Order
A recent first-of-its-kind executive order and related proposed rulemaking lay the groundwork for important outbound U.S. data protections, but they may have unintended consequences related to the types of data and the subjects within their scope, say attorneys at Kirkland.
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What Recent Study Shows About AI's Promise For Legal Tasks
Amid both skepticism and excitement about the promise of generative artificial intelligence in legal contexts, the first randomized controlled trial studying its impact on basic lawyering tasks shows mixed but promising results, and underscores the need for attorneys to proactively engage with AI, says Daniel Schwarcz at University of Minnesota Law School.
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Innodata Suit Highlights 'AI Washing' Liability Risk For Cos.
A class action against software company Innodata over so-called AI washing, one of the first of its kind, underscores the litigation and enforcement risks that can arise from the U.S. Securities and Exchange Commission's novel theory about misleading artificial intelligence capabilities, say attorneys at Bracewell.
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For Now, Generative AI Is Risky For Class Action Counsel
Although a recent survey showed most in-house counsel think that their outside counsel should be using generative artificial intelligence "in some way" in class action work, the technology is more a target for class actions than it is a tool to be used in practice at present, says Matthew Allen at Carlton Fields.
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Steps To Reduce CIPA Litigation Risks For Companies
As class action claims brought under the California Invasion of Privacy Act continue to advance new theories under an old law to target companies for commonplace website and app activities, there are steps that organizations can take to reduce exposure and strengthen their defenses against such lawsuits, say attorneys at Hintze Law.
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Banks Should Continue To Prep For CFPB Data Rule Rollout
Consumer Financial Protection Bureau-supervised banks should not expect industry pressure to delay the rollout of proposed Section 1033 open banking rules, which regulate how consumer financial information flows between financial institutions, and prepare their required data access portals and compliance procedures now, say attorneys at Troutman Pepper.
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Tips For Orgs Facing AI Data Privacy Compliance Challenges
Regulators around the world are actively seeking to enforce data privacy and consumer protection laws against companies providing artificial intelligence-related services, raising complex compliance questions in areas like transparency, data minimization, lawfulness of processing, data subject rights and higher risk activities, say attorneys at Hogan Lovells.
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BIPA's Statutory Exemptions Post-Healthcare Ruling
The Illinois Supreme Court's November opinion in Mosby v. Ingalls Memorial Hospital, which held that the Biometric Information Privacy Act's healthcare exemption also applies when information is collected from healthcare workers, is a major win for healthcare defendants that resolves an important question of statutory interpretation, say attorneys at Quinn Emanuel.
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Enforcement Risk Amid Increased Consumer Data Use
While no state has introduced a private right of action for noncompliance with a comprehensive consumer privacy law — except for the California Consumer Privacy Act's data breach provision — organizations and retailers face risk from enforcement actions by state attorneys general and privacy regulators, say attorneys at Dentons.
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Business Litigators Have A Source Of Untapped Fulfillment
As increasing numbers of attorneys struggle with stress and mental health issues, business litigators can find protection against burnout by remembering their important role in society — because fulfillment in one’s work isn’t just reserved for public interest lawyers, say Bennett Rawicki and Peter Bigelow at Hilgers Graben.
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Opinion
The Problems In Calif. Draft Behavioral Ad Privacy Regs
The California Privacy Protection Agency has an opportunity with its automated decision-making technology and profiling rulemaking to harmonize California's regulation of data-driven advertising, but this will be a failure unless several things are changed in its proposed treatment of behavioral advertising, say Alan Friel and Kyle Fath at Squire Patton.
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Series
Skiing Makes Me A Better Lawyer
A lifetime of skiing has helped me develop important professional skills, and taught me that embracing challenges with a spirit of adventure can allow lawyers to push boundaries, expand their capabilities and ultimately excel in their careers, says Andrea Przybysz at Tucker Ellis.
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How Breach Reporting Is Changing For Financial Institutions
In May, the Federal Trade Commission's amended Safeguards Rule will extend the data protections that apply to information held by banks to information held by nonbanking financial institutions — and sweep even more broadly in some critical aspects, say Evan Yahng and Kurt Hunt at Dinsmore.