A California federal judge indicated Wednesday that she'll deny OpenAI's bid to toss Elon Musk's claims that the artificial intelligence company duped the billionaire into donating $45 million with false promises of remaining a nonprofit, saying "there's plenty of evidence" to take the claim to a jury.
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THURSDAY, JANUARY 8, 2026 Law360 iOS App Law360 Android App Follow Law360 on Facebook Follow Law360 on LinkedIn Follow Law360 on Twitter

TOP NEWS

OpenAI Can't Ax Musk's Fraud Claim Over For-Profit Plan

By Bonnie Eslinger

A California federal judge indicated Wednesday that she'll deny OpenAI's bid to toss Elon Musk's claims that the artificial intelligence company duped the billionaire into donating $45 million with false promises of remaining a nonprofit, saying "there's plenty of evidence" to take the claim to a jury.

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Prime Capital CEO 'Baffled' His Co. Was Sued For $5M

By Aaron Keller

The CEO of Kansas-based Prime Capital Investment Advisors LLC said Wednesday he was "baffled" competitor Wealth Enhancement Group LLC filed a $5 million lawsuit against his company for poaching a Connecticut financial adviser he later fired for alleged misconduct, including misrepresentations during an underlying Minnesota lawsuit.

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Trader Asks Wary Colo. Appeals Court To Award $10M Penalty

By Rachel Konieczny

A Colorado appellate panel pushed back Wednesday on an ex-trading director's bid for a $10 million statutory penalty against his former employer following a $6.8 million judgment against the natural gas marketing company for failing to pay him a bonus on lucrative trades made during a 2021 winter storm.

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REAL ESTATE & DEVELOPMENT

Real Estate Trust Sues In Del. To Contest LP Sale Demands

By Jeff Montgomery

A CapStack Partners real estate investment fund and affiliate sued Wednesday for a Delaware Court of Chancery ruling supporting its refusal to cash out non-liquid assets to accommodate limited partner withdrawal requests, arguing that the two parties' agreement bars the move.

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ENERGY & ENVIRONMENTAL

Poultry Cos. Seek Stay Of Water Pollution Ruling For Appeal

By Elaine Briseño

Tyson Foods and other poultry operators found responsible for polluting Oklahoma waters with chicken waste argued that, without a stay in the court's judgment pending a Tenth Circuit appeal, companies not subject to its orders will have an economic advantage.

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Indian Energy Firm Seeks NY Court's OK Of $9.2M Award

By Joyce Hanson

An Indian public sector energy firm has urged a New York federal court to enforce a $9.2 million arbitral award against a liquefied natural gas company with offices in Manhattan that failed to provide LNG cargo due under a supply agreement.

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INSURANCE

Firm In 'Maya' Verdict Seeks Coverage For Spinoff Fee Row

By Mark Payne

The firm that secured a $213 million award in favor of Maya Kowalski, the person at the center of the Netflix documentary "Take Care of Maya," told a Florida federal court that its professional liability insurer owed coverage for a spinoff suit involving trial consultant fees. 

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PRIVACY & CONSUMER PROTECTION

AT&T Says Discovery Bid Could 'Disrupt' $177M Settlement

By Spencer Brewer

AT&T Inc. has asked a Texas federal court to shoot down discovery requests from five alleged victims of a data breach, saying the requests are an underhanded attempt to derail a $177 million settlement between it and customers who suffered because of the breach.

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SPORTS & BETTING

Fans Defend Merch Monopoly Suit Against NFL, Fanatics

By Alex Lawson

Fans suing the NFL and Fanatics over merchandise licensing agreements are urging a New York federal judge to keep their case afloat, skewering the league's attempt to liken the suit to a similar antitrust case that sputtered recently.

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EMPLOYMENT

Ex-Exec Says Dominium Wrongly Fired Him And Withheld $80M

By Spencer Brewer

A former executive at Dominium Development and Acquisition LLC has sued his former employer in the Texas Business Court, saying Dominium wrongly fired him and claimed he forfeited over $80 million in unvested partnership interests when it was the company that violated the employment agreement.

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United Workers' Revamped Vax Suit Can Proceed, Judge Says

By Jonathan Capriel

Workers suing United Airlines over its COVID-19 vaccine mandate, which they allege violated federal discrimination law, are allowed to amend their more than 700-page lawsuit, a Texas federal court has ruled, despite the airline decrying the move as a delay tactic.

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SECURITIES & WHITE COLLAR

NC Judge Warns Of 'Pandora's Box' In Shareholder Row

By Abigail Harrison

A North Carolina business court judge Wednesday cautioned counsel for a discharged director of a real estate and insurance company against potentially "opening Pandora's Box" as he argued that his client was targeted by his fellow directors — and family members — due to his age, but can be protected as an employee under state and federal law.

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COMPETITION

Warner Bros. Hits Nokia With Antitrust Claims In Patent Case

By Ryan Davis

Warner Bros. has fired back at Nokia's video coding patent suit against it with allegations that the Finnish company has violated antitrust law by running an "unlawful monopolization scheme" on the technology and going back on pledges to license its patents on reasonable terms.

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Expedia Wants Singapore's Help Getting Docs In Rival's Suit

By Emlyn Cameron

Expedia asked a Washington federal judge to help it seek assistance from Singapore's court system to get documents from Trip.com, saying the discovery is pertinent in an antitrust case brought by representatives for a defunct Swiss competitor.

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TRANSPORTATION

STB Eyes Easier Shipper Access Mandates Across Railways

By Bryan Koenig

Showing "anticompetitive conduct" would no longer be a requirement for shippers seeking to force rail carriers to work together to ferry their goods, under a proposed rulemaking Wednesday that the Surface Transportation Board said would shift such petitions back to consideration on a case-by-case basis.

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RETAIL & E-COMMERCE

Texas Tobacco Co. Says Supplier Sabotaged Contract, Sales

By Mike Curley

A Texas-based tobacco company is suing its former manufacturer in North Carolina federal court, saying it broke their contract by jacking up its prices, then told retailers to pull the products off their shelves.

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CANNABIS

Colo. Lender Says Boston Dispensary Owes $450K On Loan

By Jonathan Capriel

A Colorado lender is suing a Boston marijuana dispensary and others associated with the business, claiming they defaulted on a $600,000 loan, according to a complaint filed in Denver County state court.

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EXPERT ANALYSIS

Series

Law School's Missed Lessons: Intentional Career-Building

A successful legal career is built through intention: understanding expectations, assessing strengths honestly and proactively seeking opportunities to grow and cultivating relationships that support your development, say Erika Drous and Hillary Mann at Morrison Foerster.

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LEGAL INDUSTRY

McGlinchey Stafford To Close After 51 Years

By Emma Cueto

New Orleans-based firm McGlinchey Stafford PLLC announced Tuesday that it has decided to wind down operations after over half a century, citing difficult market conditions and unspecified "internal circumstances."

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Law Firms Step Up To Navigate Biz Opportunities In Venezuela

By Lynn LaRowe and Adrian Cruz

Law firms are gearing up to assist clients exploring potential business opportunities in Venezuela following President Donald Trump's announcement that the U.S. would "run" the country for the time being after the arrest of former Venezuelan President Nicolás Maduro on narco-conspiracy charges.

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Cruz Tells House Speaker To Move On Judicial Impeachments

By Courtney Bublé

Ahead of a hearing on impeachment of "rogue judges" on Wednesday, Sen. Ted Cruz, R-Texas, increased pressure on House Speaker Mike Johnson, R-La., to advance impeachment proceedings against federal judges in D.C. and Maryland.

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Bulk Of SDNY Attys Are Tasked With Reviewing Epstein Docs

By Hailey Konnath

Over half of the more than 220 assistant U.S. attorneys at the U.S. Attorney's Office for the Southern District of New York have been tasked with sifting through documents related to the investigation of the late financier and sex offender Jeffrey Epstein, according to a Justice Department disclosure filed in federal court.

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Feds Want To Use Goldstein's Comments To NYT At Trial

By Jared Foretek

Federal prosecutors preparing to try SCOTUSblog founder Tom Goldstein for tax crimes next week are looking to use his comments in a New York Times Magazine article against him, claiming that admissions and details from the article "directly prove" certain charges the government has brought.

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DOJ Nominee Says He'll Work Within Blue-Slip 'Parameters'

By Courtney Bublé

A nominee for a top U.S. Department of Justice position that handles judicial nominees appeared to give a nod to the Senate's blue-slip process, despite President Donald Trump's vocal opposition to the tradition.

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Jurisdiction Questioned In NY Fried Frank Data Breach Suit

By Emily Sawicki

A New York federal judge is threatening to toss a proposed class action data security suit against Fried Frank Harris Shriver & Jacobson LLP over a data breach involving private equity funds maintained by firm client Goldman Sachs, unless plaintiffs properly plead that the Manhattan court has jurisdiction.

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Objector To PACER Overcharge Settlement Faces Uphill Battle

By Emily Sawicki

An objector to a $125 million settlement to end class claims alleging the federal government overcharged nonprofits and other lawyers to access court documents faced a skeptical Federal Circuit panel Wednesday, with judges indicating they had not found legal errors in the district court's approval of the deal.

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DOJ To Appeal Reinstatement Of Clearance For Mark Zaid

By Jared Foretek

The Trump administration told a D.C. federal judge on Wednesday that it will obey his injunction to reinstate attorney Mark Zaid's security clearance as it appeals the ruling in the D.C. Circuit, but left open the possibility that government intelligence agencies could try to revoke it again for new reasons.

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LAW FIRMS IN TODAY'S NEWS

Akerman LLP

AndersonGlenn

Angeli & Calfo

Baker & Hostetler

Baker Botts

Baker McKenzie

Beighley Myrick

Burns Charest

Butler Snow LLP

Clouse Brown

Conner & Winters

Covington & Burling

Dann Law Firm

Dechert LLP

Dunn Pittman

Faegre Drinker

Fairfield & Woods

Farnan LLP

Feldesman LLP

Fried Frank

Gellert Seitz

Gibson Dunn

Gupta Wessler

Harris Beach Murtha Cullina PLLC

Harvell & Collins

Haynes Boone

Hinckley Allen

Hinshaw & Culbertson

Holland & Knight

Hueston Hennigan

Hunton Andrews

Jenner & Block

Jones Day

K&L Gates

Keller Rohrback

Kelly Hart

Kirkland & Ellis

Kohn Swift

Koskoff Koskoff

Lankford & Reed

Latham & Watkins

Law Group of Northwest Arkansas

Lowell & Associates

Manning Fulton

McCarter & English

McGlinchey Stafford

McKool Smith

Mitchell Williams

MoloLamken

Morgan Lewis

Morris Nichols

Morrison & Foerster

Motley Rice

Munger Tolles

Otteson Shapiro

Perkins Coie

Proskauer Rose

Roe Law Group

Schwartz White

Sidley Austin

Skadden Arps

Susman Godfrey

Toberoff & Associates

Wachtell Lipton

WilmerHale

Womble Bond

COMPANIES IN TODAY'S NEWS

AT&T Inc.

Amazon.com Inc.

American Chemistry Council Inc.

Association of American Railroads

CSP Inc.

Cal-Maine Foods Inc.

Cargill Inc.

Cobb-Vantress Inc.

Drummond

Expedia Group Inc.

Financial Industry Regulatory Authority Inc.

Fort Point Capital

George's Inc.

Google LLC

Home Box Office Inc.

Indian Oil Corp. Ltd.

Microsoft Corp.

NFL Enterprises LLC

National Association of Attorneys General

National Veterans Legal Services Program

Netflix Inc.

Nokia Corp.

Norfolk Southern Corp.

OpenAI OpCo LLC

Prime Capital Investment Advisors

Samsung Electronics Co. Ltd.

Simmons Foods Inc.

Singapore International Arbitration Centre

The Goldman Sachs Group Inc.

The New York Times Co.

Trilogy

Tyson Foods Inc.

Union Pacific Corp.

United Airlines Holdings Inc.

Warner Bros. Entertainment Inc.

Wealth Enhancement Group LLC

GOVERNMENT AGENCIES IN TODAY'S NEWS

Delaware Court of Chancery

Equal Employment Opportunity Commission

Executive Office of the President

Federal Bureau of Investigation

International Telecommunication Union

International Trade Commission

New York State Department of State

Surface Transportation Board

U.S. Attorney's Office

U.S. Attorney's Office for the Southern District of New York

U.S. Department of Agriculture

U.S. Department of Justice

U.S. District Court for the District of Columbia

U.S. District Court for the District of Delaware

U.S. District Court for the District of Maryland

U.S. District Court for the Middle District of Florida

U.S. District Court for the Northern District of California

U.S. District Court for the Northern District of Texas

U.S. District Court for the Southern District of Florida

U.S. District Court for the Southern District of New York

U.S. District Court for the Western District of Washington

U.S. House of Representatives

U.S. Securities and Exchange Commission

U.S. Supreme Court

Unified Patent Court

United States District Court for the Northern District of Oklahoma