Elon Musk, OpenAI and Microsoft agreed Thursday to a California federal judge's proposal to bifurcate the trial's liability phase from the remedies phase in a case challenging the artificial intelligence company's conversion to a for-profit entity, and that the jury for the liability phase should serve on an advisory basis.
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Cybersecurity & Privacy
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TOP NEWS

OpenAI, Musk OK With Bifurcated Trial And Advisory Jury

By Lauren Berg

Elon Musk, OpenAI and Microsoft agreed Thursday to a California federal judge's proposal to bifurcate the trial's liability phase from the remedies phase in a case challenging the artificial intelligence company's conversion to a for-profit entity, and that the jury for the liability phase should serve on an advisory basis.

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Ex-ByteDance Exec Fights Perjury Sanction At 9th Circ.

By Bonnie Eslinger

A former ByteDance executive urged the Ninth Circuit Thursday to revive a suit he filed against the TikTok owner after he was fired, saying the case should've been heard in state court and a federal judge had no jurisdiction to order terminating sanctions after finding he perjured himself.

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Dallas Attys Shutter Firm While Co-Founder Remains Missing

By Emily Johnson

Dallas boutique Hosch & Morris PLLC closed Wednesday amid its co-founder's ongoing disappearance since he went hiking in Georgia, with the firm's remaining two attorneys joining Carrington Coleman Sloman & Blumenthal LLP.

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Lemonade To Pay $10.5M In Driver's License Data Breach Suit

By Gina Kim

Lemonade will pay $10.5 million to settle with a proposed class of over 190,000 individuals who said the tech-forward insurer's online quote platform negligently disclosed their drivers' license numbers to cybercriminals, according to a preliminary approval motion filed Wednesday in New York federal court. 

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Citizens Group Says 27 States Are Eyeing AI Chatbot Laws

By Joyce Hanson

Twenty-seven U.S. states are looking at passing laws to make artificial intelligence companies face liability claims in civil suits if they fail to protect consumers who interact with chatbots, while another three states have already enacted protections, according to a citizens group's new legislative tracker.

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ENFORCEMENT

DraftKings Hacker Gets 30 Mos. After New Online Misconduct

By Pete Brush

A Manhattan federal judge handed down a 30-month prison sentence Thursday to a Tennessee e-commerce entrepreneur who admitted to scheming to hack accounts on the DraftKings sports betting site, citing his alleged criminal misconduct after pleading guilty.

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2 Sentenced In North Korean Remote IT Worker Scheme

By Julie Manganis

Two New Jersey men have been sentenced to prison for their roles in a scheme to aid North Korea in getting around U.S. and United Nations sanctions by using stolen identities to place workers in information technology jobs.

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LITIGATION

Yelp Seeks To Bind Google To DOJ's Search Monopoly Win

By Craig Clough

Yelp urged a California federal judge Wednesday to preclude Google from arguing in defense of antitrust claims that it is not a monopolist in the general search services market, saying the issue was already determined in the U.S. Department of Justice's landmark antitrust win over the search engine company.

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Meta, Uber Verdicts Top Product Liability Trials

By Emily Field

This year has brought major courtroom setbacks for tech platforms and app companies. Juries issued headline-making verdicts against Meta and Google over claims their platforms harm young users, while Uber lost its first federal bellwether trial over driver assaults and now faces a second sexual assault case.

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Sirius XM Listeners Seek Final OK Of $28M Telemarketing Deal

By Craig Clough

A class of Sirius XM subscribers asked an Illinois federal judge Wednesday to give final approval to a $28 million settlement resolving claims that the satellite radio company made repeated telemarketing calls to people listed on the National Do Not Call Registry or Sirius XM's own internal do-not-call list.

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Video Game, DVD Buyers Seek Final OK In $1.57M VPPA Deal

By Gina Kim

Video game and DVD seller DirectToU and wholesaler Alliance Entertainment will pay nearly $1.6 million to settle allegations from a class of more than 9,000 customers that their purchasing information was shared with Facebook through a tracking pixel embedded in the companies' platforms, according to a final approval motion filed in California federal court.

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Expert Needed To Gauge Fault For Cyberattack, Panel Told

By Brian Steele

Connecticut law firm Mancini Provenzano & Futtner LLC told a state appellate panel Thursday that a lower court should not have awarded a former client more than $90,000 on a negligence claim arising from a cyberattack without hearing first from an expert on the firm's legal duties.

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MoneyLion Hit With Wash. Class Action Over Referral Texts

By Ben Adlin

A program from fintech platform MoneyLion encouraging users to refer friends to the service has flooded Washington residents with unsolicited text messages in violation of the state's Commercial Electronic Mail Act, alleges a putative class action removed to Seattle federal court Wednesday.

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EXPERT ANALYSIS

Lessons Orgs Facing Cyberattacks Can Learn From Iran War

Amid cyberattacks following the outbreak of the Iran war, the U.S. government is acutely concerned about significant threats to U.S.-based infrastructure, but organizations can take several steps to prepare for such threats by being proactive and responding promptly to incidents, say attorneys at Vedder.

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Series

Isshin-Ryu Karate Makes Me A Better Lawyer

My involvement in martial arts, specifically Isshin-ryu, which has principles rooted in the eight codes of karate, has been one of the most foundational in the development of my personality, and particularly my approach to challenges — including in my practice of law, says Kaitlyn Stone at Barnes & Thornburg.

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LEGAL INDUSTRY

Analysis

Bondi's Contempt Defenses Are Strong, But Not Without Risk

By Phillip Bantz

Former U.S. Attorney General Pam Bondi currently has some potentially powerful defenses against Congress' relatively limited abilities to force her to comply with a subpoena to be deposed under oath about the Epstein files, but her exposure to being held in criminal contempt could shift with the political winds, experts said.

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Calif. Lawyer Sues Over State Bar Investigations

By Andrea Keckley

A California trial lawyer claimed in a federal lawsuit filed Wednesday that he has been unfairly investigated by the state bar since 2019, alleging the office "illegally prioritizes revenue-generation over protection of the public."

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Analysis

AGs' Win Over Live Nation Leaves DOJ Watching From The Side

By Bryan Koenig

Live Nation Entertainment Inc.'s across-the-board trial rout by 34 state attorneys general underscores the ascendancy of state antitrust enforcers looking to fill perceived enforcement gaps left by the U.S. Department of Justice during President Donald Trump's second term.

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NJ US Atty's Office Turmoil Doesn't Nix Conviction, Judge Rules

By Carla Baranauckas

A federal judge on Thursday rejected a New Jersey criminal defendant's attempt to dismiss his conviction and disqualify the state's top federal prosecutor, holding that the appointment of the current U.S. attorney complies with federal law and that any earlier defects in leadership do not warrant dismissal.

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Judiciary Panel Loves Paralegal's Idea To Modernize Briefs

By Jeff Overley

An Arizona paralegal's unsolicited idea for overhauling a procedural rule governing the format of briefs found a surprisingly enthusiastic audience Thursday at a federal judiciary meeting, where prominent officials and attorneys voiced strong interest and agreed to explore the concept in earnest.

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Ramey Says Sanctions Violation Was 'Misunderstanding'

By Elliot Weld

William Ramey, an intellectual property attorney sanctioned in several federal jurisdictions, told a California federal judge Thursday that any violations of a previous sanctions order regarding his ability to practice law in the state were due to "good-faith misunderstanding of the scope of the court's order — not willful disregard."

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Judge Doubts Broad Shift In Immigration Hearing Access

By Jared Foretek

A D.C. federal judge appeared unconvinced Thursday by a human rights group's claim that the public is getting less access to immigration court hearings in Minnesota during the second Trump administration.

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Optimum Defends Antitrust Suit Against Apollo, BlackRock

By Alex Wittenberg

Apollo, Ares, BlackRock and other financial giants are colluding to block Optimum Communications Inc. from negotiating a debt refinancing to avert bankruptcy, acting as a "cartel" and locking Optimum out of credit markets, Optimum said in a brief opposing the investors' bid to dismiss its antitrust suit in New York.

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Sentencing Commission Votes To Enact Modest Reform Agenda

By Stewart Bishop

The U.S. Sentencing Commission on Thursday voted to enact multiple revisions to the federal sentencing guidelines, including the first inflationary adjustment in over a decade for calculating penalties for economic crimes, but declined to take action on a series of more transformational changes that were under consideration.

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LAW FIRMS IN TODAY'S NEWS

Ahdoot & Wolfson

Baker & Hostetler

Barnes & Thornburg

Berger Montague

Boies Schiller

Carrington Coleman

Cooley LLP

Crowell & Moring

Dechert LLP

Dhillon Law Group

Ellzey & Associates

Feldman Wasser

Friedman Kaplan

Girardi & Keese

Hausfeld LLP

Hedin LLP

Hosch & Morris

Hueston Hennigan

Jones Day

Kellogg Hansen

Kesselman Brantly

Kirkland & Ellis

LGR Law

Lanier Law Firm

Lieff Cabraser

Littler Mendelson

Logan Vance

Lowther Walker

Maschoff Brennan

Mayer Brown

McCarter & English

McNaul Ebel

MoloLamken

Morgan & Morgan PA

Morrison & Foerster

Nelson Mullins

North Law PLLC

Paul Hastings

Pavone & Fonner

Rafferty Law LLC

Ramey LLP

Siri & Glimstad

Stinson LLP

Sullivan & Cromwell

Susman Godfrey

Toberoff & Associates

Wachtell Lipton

Wade Kilpela

Williams & Connolly

WilmerHale

Wilson Sonsini

Winston & Strawn

Yetter Coleman

COMPANIES IN TODAY'S NEWS

Abbott Laboratories

Alliance Entertainment LLC

Altice USA

American Economic Liberties Project

American Psychological Association

BlackRock Inc.

Block Inc.

ByteDance Ltd.

Cable News Network Inc.

Cash App

Comcast Corp.

DraftKings Inc.

Google LLC

Griswold

Here Media Inc.

Hewlett Packard Enterprise Co.

Instagram Inc.

International Association of Privacy Professionals

JPMorgan Chase & Co.

Live Nation Entertainment Inc.

Meta Platforms Inc.

Microsoft Corp.

National Consumer Law Center Inc.

Nexstar Media Group Inc.

OpenAI OpCo LLC

Optimum

PacifiCorp

Public Citizen Inc.

Renesas Electronics Corp.

Sirius XM Radio Inc.

Snap Inc.

State Bar of California

Tegna Inc.

The Advocates for Human Rights

The DIRECTV Group Inc.

TikTok Inc.

Uber Technologies Inc.

Unitronics Inc.

Yelp Inc.

YouTube Inc.

GOVERNMENT AGENCIES IN TODAY'S NEWS

Bureau of Labor Statistics

California Supreme Court

European Union

Executive Office for Immigration Review

Federal Bureau of Investigation

Federal Energy Regulatory Commission

Federal Trade Commission

Judicial Conference of the United States

National Institute of Standards and Technology

New Mexico Attorney General's Office

Office of the Director of National Intelligence

Texas Attorney General's Office

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

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

U.S. Court of Appeals for the Ninth Circuit

U.S. Department of Justice

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

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

U.S. District Court for the District of Columbia

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 Northern District of California

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

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

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

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

U.S. Senate

U.S. Sentencing Commission

U.S. Supreme Court

United Nations