Mercedes-Benz drivers who sued the automaker after its subscription-based roadside assistance and other features became obsolete will have to take their claims to arbitration, the Seventh Circuit ruled on Friday, saying the customers agreed to deal with disputes outside court.
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TUESDAY, FEBRUARY 17, 2026 Law360 iOS App Law360 Android App Follow Law360 on Facebook Follow Law360 on LinkedIn Follow Law360 on Twitter

TOP NEWS

7th Circ. Forces Mercedes 3G Obsolescence Suit Into Arb.

By Jonathan Capriel

Mercedes-Benz drivers who sued the automaker after its subscription-based roadside assistance and other features became obsolete will have to take their claims to arbitration, the Seventh Circuit ruled on Friday, saying the customers agreed to deal with disputes outside court.

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FTC Mulls Merger Rule Appeal, Blasts 'Left-Wing' Chamber

By Bryan Koenig

After a Texas federal judge struck down a major overhaul of premerger reporting requirements, the Federal Trade Commission said Friday it would keep its options open for continuing the legal fight while also assailing the U.S. Chamber of Commerce, the plaintiff in the case, as a "left-wing" organization.

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Analysis

Novel Calif. Data Deletion Tool Off To Hot Start, Director Says

By Allison Grande

Despite a relatively quiet rollout, more than 170,000 California residents have signed up for a first-of-its-kind system that allows them to ask all registered data brokers to delete their personal information in a single request, positioning the tool as a strong model for other states similarly looking to boost consumer protections, the executive director of the state's privacy regulator told Law360.  

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Stanford Prof Tells Jury Studies Confirm Social Media Addiction

By Craig Clough

A Stanford University professor of psychiatry and addiction returned to the witness stand Friday in a California bellwether trial over claims that social media companies harm young people's mental health, saying studies have concluded that addiction to platforms such as YouTube and Instagram is real and can hurt mental health.

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'Conjecture' Frees Duke Energy From Climate Change Suit

By Abigail Harrison

Duke Energy Corporation was freed from a North Carolina town's novel lawsuit seeking to hold the utility accountable for climate change-related damages after a North Carolina Business Court judge ruled it presented questions that would force a jury into "utter conjecture."

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States' Generic Drugs Antitrust Case Headed Toward Trial

By Hailey Konnath

A Connecticut federal judge has mostly refused to side with pharmaceutical companies facing states' generic drug price-fixing litigation against them, ruling that there are genuine disputes of material fact as to drug distribution chains and the states' antitrust standing and teeing up the case for trial.

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Olympus Slips Whistleblower Suit Over Testing Practices

By P.J. D'Annunzio

A Pennsylvania federal judge has dismissed a whistleblower lawsuit brought by the former head of product development for Olympus Corp. of the Americas, ruling that the ex-executive failed to show he was fired in retaliation for speaking out about what he alleged were company violations of the National Defense Authorization Act.

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'Acqui-Hires' In AI Drawing Antitrust Scrutiny, Tech Attys Say

By Bonnie Eslinger

Attorneys with Nvidia, Google and Uber took the stage at a conference hosted by Baker McKenzie to discuss emerging trends in antitrust enforcement, including how booming AI investment has produced new regulatory scrutiny of "acqui-hires," in which large companies acquire startups primarily to hire their teams.

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POLICY & REGULATION

State AGs Back Senate's Version Of Kids Online Safety Act

By Joyce Hanson

Forty state attorneys general have joined in urging Congress to support the U.S. Senate's version of the bipartisan Kids Online Safety Act, a measure that would require online platforms to default to their most protective settings for children.

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Senate Leaders Agree To Bipartisan Satellite License Plan

By Nadia Dreid

Senate commerce committee Republicans and Democrats have come together to make some changes to a bill that would speed up the review of satellite applications, allowing it to advance out of the committee and head to the Senate floor.

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Lifeline's $9.25 Only Makes Dent In Broadband Cost, FCC Told

By Christopher Cole

Advocates for the Lifeline subsidy program hope to convince the Federal Communications Commission that a $9.25 benefit for monthly telecom service does little to offset the cost of broadband since low-income consumers no longer receive any other federal aid for communications services.

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Banking, Fintech Groups Clash Over OCC Trust Rule Update

By Aislinn Keely

Banking groups have warned the Office of the Comptroller of the Currency that it's overstepping its authority with a proposal to update the scope of national trust company operations, while fintech groups that the rule change would ostensibly benefit have applauded the measure.

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Brief

FDA Removes Boxed Warnings From HRT Products

By Jonathan Capriel

Six menopause hormone therapies will no longer have warnings on their label about heart disease, breast cancer and dementia, after the U.S. Food and Drug Administration said it removed them so that women can make decisions "free from exaggeration or fear."

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Brief

House Committee OKs Closer Look At Broadband 'Barriers'

By Nadia Dreid

A bill that would direct agencies to take a closer look at the administrative barriers that stand in the way of broadband deployment has sailed through the House Committee on Natural Resources and now heads to the full House for consideration.

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ENFORCEMENT

FCC Pulls Equipment Lab Status From 4 Chinese Cos.

By Christopher Cole

The Federal Communications Commission said Friday it will no longer certify equipment labs run by four Chinese technology companies and opened formal action against a fifth to eventually revoke its accredited status.

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EU Approves Universal Music's $775M Deal For Downtown

By Matthew Perlman

European enforcers have greenlighted Universal Music Group's $775 million purchase of Downtown Music Holdings, after the companies agreed to unload a royalty accounting platform that has access to sensitive information from rival music labels.

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Ex-Miami City Atty Seeks To Halt Real Estate Fraud Suit

By David Minsky

A former Miami city attorney has asked a Florida state court to pause a lawsuit alleging she and her husband engaged in a real estate fraud conspiracy, arguing she's entitled to a stay while challenging an order denying her immunity because the complaint was filed when she was a public official.

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CFPB Calls State AGs' Suit Moot Now That It Has Funding

By Katryna Perera

The Consumer Financial Protection Bureau has told an Oregon federal judge that a suit brought by several state attorneys general over acting Director Russell Vought's alleged refusal to replenish the agency's funding from the Federal Reserve is now moot since the CFPB "has requested and received funding for this quarter."

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FullBeauty Can't Nix Wash. Anti-Spam Suit As Unconstitutional

By Ben Adlin

A Seattle federal judge rejected an apparel retailer's arguments that a Washington state anti-spam law is unconstitutional and preempted by federal law, ruling that a consumer's proposed class action against FullBeauty Brands can move forward.

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LITIGATION

CareDx Seeks High Court Review Of $45M False Ad Case

By Ivan Moreno

Transplant diagnostics company CareDx has asked the U.S. Supreme Court to review a Third Circuit decision that erased a nearly $45 million jury award against rival Natera in a false advertising case, arguing the appeals court is the only one that forbids juries from inferring consumer deception when determining damages.

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Atty Fee Fight Brewing After Google's Chatbot Injury Settlement

By Y. Peter Kang

An Orlando, Florida, law firm has urged a federal court to grant it contingency fees from a pending settlement in a suit accusing Google LLC and a chatbot company of causing the suicide of a teen, saying the firm was left in the dark about the deal.

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4th Circ. Gives Models 2nd Shot At Suit Over Stolen Photos

By Elliot Weld

Several models who said a nightclub used their photos without permission will have another chance at pursuing their trademark infringement claims after the Fourth Circuit on Friday found that the models' failure to respond to the club's motion to dismiss within 14 days was no reason to toss the suit.

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Fintech's Home Equity Product Is Predatory Loan, Suit Says

By Emilie Ruscoe

Fintech firm Hometap Equity Partners LLC faces class action claims in New Jersey federal court that its "complex, confusing and high-risk" home equity products are predatory loans in disguise that violate federal and state consumer protection laws and could cost consumers their homes.

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Chewy Settles Antitrust Claims Over Elanco Flea & Tick Meds

By Matthew Perlman

Chewy has reached a settlement with consumers in a case accusing Elanco Animal Health Inc. of paying several pet supply retailers not to stock generic versions of its Advantix topical flea and tick prevention drugs.

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Zillow, Redfin Say FTC Suit Fails To Show Antitrust Harm

By Nate Beck

Zillow Group Inc. and Redfin Corp. backed up their attempt to escape a Virginia federal lawsuit from the Federal Trade Commission by arguing that the agency had overlooked the value to both renters and advertisers in a partnership between the companies not to compete for ads.

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Pyure Hit With False Ad Suit Over Monk Fruit Sweetener

By Gina Kim

Pyure Brands was hit with a proposed class action in California federal court Thursday alleging it falsely advertises its monk fruit sweeteners as being "free from artificial sweeteners," despite that they're predominantly sweetened with sugar alcohol known as erythritol, which is linked to increased risk of heart attacks and stroke.

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Brief

FinCEN Opens Online Portal For Whistleblower Tips

By Sarah Jarvis

An enforcement arm of the U.S. Treasury Department on Friday launched a webpage for confidential whistleblower tips on fraud, money laundering and sanctions violations, touting financial awards for eligible tips.

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EXPERT ANALYSIS

Strategies For Effective Class Action Email Notice Campaigns

Recent cases provide useful guidance on navigating the complexities of sending email notices to potential class action claimants, including drafting notices clearly and effectively, surmounting compliance and timing challenges, and tracking deliverability, says Stephanie Fiereck at Epiq.

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Ariz. Uber Verdict Has Implications Beyond Ride-Hailing Cos.

When an Arizona federal jury in Jaylyn Dean v. Uber Technologies recently ordered Uber to pay $8.5 million to a woman who said she was sexually assaulted by her driver, their most important finding — that the driver was Uber's agent — could have huge consequences for future litigation involving platform-based businesses, says Michael Epstein at The Epstein Law Firm.

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How Lenders Can Be Ready For Disparate Impact Variabilities

Amid state attorneys general's and regulators' mixed messaging around disparate impact liability, financial institutions can take several steps to minimize risk, including ensuring compliance management aligns with current law and avoiding decisions that impede growth in business and service, says Elena Babinecz at Baker Donelson.

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Notable Q4 Updates In Insurance Class Actions

Last quarter featured a novel class action theory about car rental reimbursement coverage, another win for insurers in total loss valuations, a potentially broad-reaching Idaho Supreme Court ruling about illusory underinsured motorist coverage, and homeowners blaming rising premiums on the fossil fuel industry, says Kevin Zimmerman at BakerHostetler.

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Series

Judges On AI: Practical Use Cases In Chambers

U.S. Magistrate Judge Allison Goddard in the Southern District of California discusses how she uses generative artificial intelligence tools in chambers to make work more efficient and effective — from editing jury instructions for clarity to summarizing key documents.

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LEGAL INDUSTRY

Talc MDL Law Firm Accuses Litigation Funders Of Case Piracy

By Ryan Boysen

A leading plaintiffs law firm in the multibillion-dollar litigation over Johnson & Johnson's tainted talcum powder has alleged in Mississippi federal court three investment firms loaned it "tens of millions" of dollars under false pretenses in a "loan-to-own" scheme.

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Bogus Citations Show 'Lack Of Respect' For Legal Profession

By Lynn LaRowe

In recommending $10,000 in sanctions for a lawyer who submitted multiple briefs with nonexistent or misrepresented citations, a federal judge in Indiana lamented that the blunders show a "lack of respect for the profession."

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Analysis

How Attorneys Are Handling A Patent Review 'Sea Change'

By Ryan Davis

Major changes to the America Invents Act patent review system over the past year have put limits on challenges, requiring patent challengers and owners to rethink their strategies. Here's how attorneys on both sides are calibrating their arguments to have the best chance of success in the new landscape.

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6th Circ. Says Ch. 13 Motion Came 84 Minutes Too Late

By Vince Sullivan

A 2-1 split panel of the Sixth Circuit affirmed two lower court rulings from Michigan federal judges denying a Chapter 13 debtor's motion to dismiss his bankruptcy case because the request came 84 minutes after a bankruptcy court converted the case to a Chapter 7.

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RFK Jr. Taps Ex-Jones Day Atty For FDA Senior Counselor

By Hailey Konnath

U.S. Department of Health and Human Services Secretary Robert F. Kennedy Jr. has named a former Jones Day partner as one of the U.S. Food and Drug Administration's senior counselors, according to an announcement.

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Louisiana Atty Takes Responsibility For AI Usage Snafu

By Christine DeRosa

After facing the threat of sanctions alongside three of his co-counsel, a Louisiana attorney told a federal judge that he was solely responsible for an error-riddled brief written with the assistance of artificial intelligence. 

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Brief

Indiana AG Declines To Intervene In Posner Wage Suit

By Emily Sawicki

Indiana's attorney general has declined to intervene in a pro se plaintiff's suit seeking to revive $170,000 in wage claims against retired Seventh Circuit Judge Richard A. Posner, finding the case did not pose a "substantial" constitutional challenge to a state statute mandating that delayed contracts must be written and signed to be enforced.

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Roundup

UK Litigation Roundup: Here's What You Missed In London

By Laura Stewart Liberty

This past week in London has seen a former U.S. defense contractor convicted of tax evasion face legal action, French football club Olympique Lyonnais sued following a $97 million ruling against its owner John Textor, consulting giant Kroll targeted by a South African airline, and H&M hit with a claim alleging it copied protected sunglasses designs. Here, Law360 looks at these and other new claims in the U.K.

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GC Cheat Sheet: The Hottest Corporate News Of The Week

By Sue Reisinger

Taking heat from Republican senators over not notifying members of Congress about subpoenas for their phone records, Verizon's general counsel has pledged that in the future, the company will fight gag orders requiring it to keep silent. And taking heat from shareholders and colleagues over her ties to Jeffrey Epstein, Goldman Sachs' chief legal officer has agreed to leave the firm in June.

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Law360's Legal Lions Of The Week

By Kevin Penton

WilmerHale and Gillam & Smith LLP lead this week's edition of Law360 Legal Lions, after a Texas federal jury cleared Apple of infringement claims over patents covering 4G wireless technology, in a case that previously led to jury verdicts of $506 million and $300 million.

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In Case You Missed It: Hottest Firms And Stories On Law360

For those who missed out, here's a look back at the law firms, stories and expert analyses that generated the most buzz on Law360 last week.

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Promo that reads 2025 Practice Groups of the Year

LAW FIRMS IN TODAY'S NEWS

Newsome Law PA

AXS Law Group

Addleshaw Goddard

Amundsen Davis

ArentFox Schiff

Armstrong Teasdale

Arnold & Porter

Bailey Duquette

Baker & Hostetler

Baker Botts

Baker Donelson

Baker McKenzie

Barclay Damon

Barnes & Thornburg

Beasley Allen

Ben Crump Law

Benesch

Brockstedt Mandalas

CMS Cameron McKenna

Casas Law Firm

Cleary Gottlieb

Clyde & Co

CohenMalad

Cole Schotz

Competition Law Partners

Conyers Dill

Covington & Burling

Crosner Legal

Crowell & Moring

DAC Beachcroft

DLA Piper

Davis Wright Tremaine

Day Pitney

Dean Omar

Debevoise & Plimpton

Dechert LLP

Dentons

DiCello Levitt

Edelson PC

Eichhorn & Eichhorn

Elzer Law Firm

Epstein Law Firm

Faegre Drinker

Fenchurch Law

Foley & Lardner

Francis Mailman

Gage Spencer & Fleming

Gibbs Mura

Gibson Dunn

Gillam Smith

Gowling WLG

Greenberg Traurig

HJV Car Accident Personal Injury Lawyers

Hacker Stephens

Harrison Goddard Foote

Harter Secrest

Heise Suarez

Hinckley Allen

Hogan Lovells

Holland & Hart

Homburger AG

Honigman LLP

Howes Percival

Jones Day

Jones Fussell

Kasowitz LLP

Katten Muchin

Kelley Drye

Keoghs LLP

Kessler Topaz

Kiesel Law

Kilpatrick Townsend

Kirkland & Ellis

LK Law Pty Ltd

Lanier Law Firm

Latham & Watkins

Law Office of Boyd W. Gentry

Leach & Walker

Lenz & Staehelin

Levin Sedran

Lewis & Roberts PLLC

Lieff Cabraser

Linklaters LLP

Liskow & Lewis

Mayer Brown

McCarter & English

McCune Law

Mintz Levin

MoloLamken

Morgan Lewis

Morrison & Foerster

Motley Rice

Munger Tolles

Nabarro LLP

Newsome Law PA

Niemeyer Grebel

Normand PLLC

North Law PLLC

Norton Rose

Osborne Clarke

Paganelli Law Group

Panish Shea

Paul Hastings

Penningtons Manches

Perkins Coie

Petrillo Klein

Potter Minton

Proskauer Rose

Quinn Emanuel

Reminger Co.

Reynolds Porter

Riess LeMieux

Riley Safer

Ropes & Gray

Saul Ewing

Seeger Weiss

Sharp Law LLP

Sherin & Lodgen

Skadden Arps

Smith Anderson Blount Dorsett Mitchell & Jernigan

Social Media Victims Law Center

SouthBank Legal

Squire Patton

Sterlington PLLC

Sullivan & Cromwell

Swope Rodante

Taft Stettinius

Taylor Rose

The Epstein Law Firm PA

Thompsons Solicitors

Tousley Brain

Trethowans LLP

Troutman

Trowers & Hamlins

Tycko & Zavareei

Vincents Solicitors

Wade Kilpela

Wagstaff & Cartmell

Walker Morris LLP

Ward Hadaway

Warren LLP

White & Case

Wiggin & Dana

WilmerHale

Wilson Sonsini

Winston & Strawn

Yetter Coleman

gunnercooke LLP

COMPANIES IN TODAY'S NEWS

Airbnb Inc.

Allergan PLC

Amazon.com Inc.

American Airlines Group Inc.

American Bankers Association

American Bar Association

American International Group Inc.

Anthropic PBC

Apple Inc.

Association of Corporate Counsel

Aux

Barclays PLC

Bayer AG

Binance Holdings Ltd.

British Broadcasting Corp.

ByteDance Ltd.

Chewy Inc.

Conference of State Bank Supervisors

DoorDash Inc.

Downtown Music Holdings LLC

Drummond

Duke Energy Corp.

Elanco Animal Health Inc.

Ellington Management Group LLC

Epiq Systems Inc.

Experian PLC

Exxon Mobil Corp.

FMR LLC

Financial Technology Association

Geico Corp.

Google LLC

H&M Hennes & Mauritz AB

HTC Corporation

Hometap Equity Partners LLC

Instagram Inc.

International Business Machines Corp.

Investments Ltd.

J Sainsbury PLC

Johnson & Johnson

Kyndryl Holdings Inc.

Laing O'Rourke

Leidos Holdings Inc.

Liberty Mutual Insurance Group

LinkedIn Corp.

Lloyd's America Inc.

Mercedes-Benz USA LLC

Meta Platforms Inc.

Monsanto Co.

NVIDIA Corp.

Nasdaq Inc.

Natera Inc.

National Association of Attorneys General

National Treasury Employees Union

Navy Federal Credit Union

Nike Inc.

Nordstrom Inc.

Olympus Corp.

PPG Industries Inc.

Perrigo Co. PLC

PetMed Express Inc.

PetSmart Inc.

Sandoz International GmbH

Sling TV LLC

Snap Inc.

Sony Music Entertainment Inc.

Spotify Technology SA

Stanford University

The Goldman Sachs Group Inc.

The Hershey Co.

The Home Depot Inc.

The Non-GMO Project

The Washington Free Beacon

TikTok Inc.

Tractor Supply Co.

Transocean Ltd.

U.S. Chamber of Commerce

Uber Technologies Inc.

Universal Music Group NV

Valaris

Verizon Communications Inc.

Vodafone Group PLC

W.R. Berkley Corp.

W.R. Grace & Co.

Walmart Inc.

Warner Music Group Corp.

YouTube Inc.

Zillow Group Inc.

Zimmer Biomet Holdings Inc.

iHerb Inc.

GOVERNMENT AGENCIES IN TODAY'S NEWS

Arizona Attorney General's Office

California Department of Technology

California Privacy Protection Agency

Centers for Medicare & Medicaid Services

Connecticut Attorney General's Office

Consumer Financial Protection Bureau

Delaware Court of Chancery

European Commission

European Union

Federal Communications Commission

Federal Reserve System

Federal Trade Commission

Financial Conduct Authority

Financial Crimes Enforcement Network

Food and Drug Administration

House Committee on Natural Resources

Idaho Supreme Court

Indiana Attorney General's Office

National Institutes of Health

National Labor Relations Board

National Telecommunications and Information Administration

Native Village of Kivalina

New York Attorney General's Office

North Carolina Department of Environmental Quality

North Carolina General Assembly

North Carolina Utilities Commission

Office of the Comptroller of the Currency

Patent Trial and Appeal Board

Texas Attorney General's Office

Texas Department of Housing and Community Affairs

U.S. Attorney's Office

U.S. Attorney's Office for the Eastern District of Virginia

U.S. Bankruptcy Court for the Western District of Michigan

U.S. Court of Appeals for the First Circuit

U.S. Court of Appeals for the Fourth Circuit

U.S. Court of Appeals for the Seventh Circuit

U.S. Court of Appeals for the Sixth Circuit

U.S. Department of Agriculture

U.S. Department of Health and Human Services

U.S. Department of Housing and Urban Development

U.S. Department of Justice

U.S. Department of the Treasury

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

U.S. District Court for the District of Arizona

U.S. District Court for the District of Connecticut

U.S. District Court for the District of Massachusetts

U.S. District Court for the District of New Jersey

U.S. District Court for the District of Oregon

U.S. District Court for the District of South Carolina

U.S. District Court for the Eastern District of Louisiana

U.S. District Court for the Eastern District of Missouri

U.S. District Court for the Eastern District of Pennsylvania

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

U.S. District Court for the Eastern District of Virginia

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 Mississippi

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

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

U.S. Environmental Protection Agency

U.S. Patent and Trademark Office

U.S. Securities and Exchange Commission

U.S. Senate

U.S. Supreme Court

UK High Court

United States District Court for the Southern District of Indiana

Virginia Attorney General's Office

Washington Attorney General's Office