Expert Analysis

• How Banks Can Better Prepare For Wire Fraud Risks

  

  Recent schemes serve as a reminder that banks can better limit liability for fraudulent wire transfers by documenting commercially reasonable security procedures, following them consistently, and addressing beneficiary name and account number discrepancies, says Shelli Clarkston at Spencer Fane.

• Lessons For Cannabis Dispensaries From Web Tracking Suits

  

  The trajectory of health-tracking litigation in Florida and elsewhere suggests that patient privacy claims will not disappear quickly, so dispensaries should audit their sites, tighten consent and align their disclosures with their actual practices, say attorneys at Buchanan Ingersoll.

• A Defense Attorney Playbook For Challenging Flock Evidence

  

  As law enforcement continues to bring charges based on evidence from Flock cameras and other automated license plate readers, defense counsel should consider four key categories for discovery requests and motions to compel such evidence, says Tamar Lerer at the New Jersey Office of the Public Defender.

• FinCEN Scam Alerts Push Banks To Rethink AML Monitoring

  

  Recent Financial Crimes Enforcement Network guidance on digital asset scams suggests that future anti-money laundering examinations may focus less on whether institutions detect the movement of criminal proceeds and more on whether they can identify fraud schemes before victims suffer catastrophic losses, say attorneys at Ballard Spahr.

• Washington Email Law Still Puts Marketers At Litigation Risk

  

  Despite legislative efforts to curtail abusive litigation after the 2025 Brown v. Old Navy decision extending Washington's Commercial Electronic Mail Act to misleading email subject lines, CEMA can still trigger class actions with statutory damages, even for national campaigns run by companies with no physical presence in Washington, say attorneys at Wilson Elser.

• How AI Could Help Judges Spot Their Own Biases

  

  In close cases where there’s room for discretion, artificial intelligence could challenge judges’ implicit biases by running counterfactual tests at scale — but any judicial use of such tools would need guardrails, say Arnold Peter at Peter Law and Nancy Rapoport at University of Nevada.

• Risk Management Tips For Cos. Deploying Open-Weight AI

  

  While many enterprises building out their artificial intelligence strategies are considering open-weight models, the Open-Source AI Leadership Act and accompanying congressional oversight letters to prominent tech and consumer companies signal that opportunity and legal risk are being discovered and evaluated on the same timeline, say attorneys at Cooley.

• Parsing The Lowest SEC Enforcement Stats In Over A Decade

  

  Statistics show that the U.S. Securities and Exchange Commission brought a historically low number of enforcement actions during Paul Atkins' first full fiscal year as chairman, delivering on his promise to reduce enforcement in program areas focused on recordkeeping and other technical violations, say attorneys at Covington.

• NHTSA Vehicle Recorder Rule Highlights Crash Data Protocols

  

  An amended rule from the National Highway Traffic Safety Administration will soon require vehicle event data recorders to capture more information about crashes — but to turn that data into evidence, attorneys, claims professionals and fleet managers must properly obtain and preserve it after an incident occurs, says Andrew Haling at Pathway Law.

• Online Presence Complicates Defamation's Public Figure Test

  

  Recent defamation cases demonstrate that online presence can affect how courts distinguish between public and private figures, so litigants should consider several questions when evaluating potential claims and defenses where public figure status may affect the litigation, such as whether there is a connection between the plaintiff's public activities and the alleged defamation, say attorneys at Brown Rudnick.

• New Manhattan DA Task Force Puts Antitrust In Its Crosshairs

  

  The Manhattan District Attorney's Office's new corporate crime and antitrust task force is adding local criminal enforcement to a field long led by federal authorities, meaning companies need to account for potential parallel federal and state antitrust investigations when responding to misconduct, say attorneys at Ropes & Gray.

• Tort Liability When AI Goes Rogue: Product Liability

  

  The recent Hugging Face cyberattack led by artificial intelligence agents, as well as reports from AI companies themselves, suggest that sometimes there may be no reasonable way to predict or prevent harm by rogue agentic AI — but product liability law could provide a remedy in some cases, says Donald Hawthorne at Carter Ledyard.

• 3 Strategies To Reduce AI Sycophancy In Legal Work

  

  The tendency of generative artificial intelligence models to tell users what they want to hear can reinforce attorneys’ confirmation bias when testing the strength of arguments, and it can’t simply be prompted away — but a few practices can help mitigate it, says Michael Ott at Ice Miller.

• AI Risks May Recalibrate 'Reasonable Security' Standards

  

  A definitive answer to what constitutes reasonable vulnerability management in the age of artificial intelligence is still emerging, but the answer is likely less a reset of the standard than a recalibration of how organizations meet it, say Scott Loughlin at Hogan Lovells and Mike Priest at Globe Life.

• Key Risk Assessment Gaps To Note From NY Cyber Guidance

  

  Covered entities should take a fresh look at the compliance gaps flagged in recent New York State Department of Financial Services guidance on "deficient cybersecurity programs," particularly around scope, asset inventories and documentation, say attorneys at Mayer Brown.