GOP Sens. Unveil Crypto Bill With New Gov't Ethics Provision

By Aislinn Keely

U.S. Senate Republicans released an updated draft of a bill to regulate digital asset markets Wednesday that includes an ethics provision limiting President Donald Trump's and other officials' involvement with crypto, but a coalition of Democrats said the text "falls short" on several issues.

Bill attached | Read full article » | Save to favorites »

SEC's Peirce Says Crypto Vaults May Trigger Securities Laws

By Sarah Jarvis

The U.S. Securities and Exchange Commission's Hester Peirce said Wednesday that cryptocurrency assets and activities including some vaults and lending may implicate securities laws, urging firms to "work with us to find a compliant path forward so that you can use new technology to serve investors without running afoul of the federal securities laws."

Read full article » | Save to favorites »

SEC To Pay Coinbase's Atty Fees In FOIA Suit Settlement

By Aislinn Keely

The U.S. Securities and Exchange Commission said Wednesday that it will pay $150,000 in attorney fees and share its document retention policies to resolve a Coinbase-backed lawsuit seeking internal documents surrounding closed crypto investigations.

Notice attached | Read full article » | Save to favorites »

Sen. Warren Urges Watchdog Probe Of CFTC Staff Cuts

By Sarah Jarvis

U.S. Sen. Elizabeth Warren, D-Mass., on Wednesday urged the Government Accountability Office to investigate the impact of staffing cuts at the Commodity Futures Trading Commission, saying the reductions come as the CFTC faces increased responsibilities in overseeing prediction markets and implementing cryptocurrency market legislation.

Letter attached | Read full article » | Save to favorites »

Illinois Crypto Tax Unfairly Targets Traders, Suit Says

By Maria Koklanaris

Illinois' new tax on cryptocurrency, the first in the nation, discriminates against those who trade in crypto and is illegal, a trade group argued in a complaint in a state court.

Complaint attached | Read full article » | Save to favorites »

Brief

NY Stablecoin Rule Update Advances Amid Genius Act Rollout

By Jon Hill

New York's Department of Financial Services moved Wednesday to formally propose rules that would align its existing stablecoin oversight framework with federal standards, advancing a fresh draft following a so-called preproposal version released last month.

Proposed Rule attached | Read full article » | Save to favorites »

House Republicans Urge Fed To Speed Up Bank M&A Reviews

By Jon Hill

Republicans on the House Financial Services Committee are calling on the Federal Reserve to explore what else can be done to speed up its bank merger reviews, urging it to look into clearing long-delayed applications and allowing more approvals without a board vote.

2 documents attached | Read full article » | Save to favorites »

Nadex Seeks To Shield OG Prediction Market Biz In Wash.

By Rachel Riley

North American Derivatives Exchange asked a Washington federal court Wednesday to protect its prediction market platform OG from potential enforcement action by the state, pointing to the state attorney general's lawsuit going after Kalshi for alleged violations of state gambling law.

Complaint attached | Read full article » | Save to favorites »

JPMorgan's Kinexys Infringes Blockchain Co.'s IP, Suit Says

By Gina Kim

JPMorgan Chase's blockchain business unit Kinexys, which is built on Ethereum Virtual Machine technology and processes billions of dollars worth of tokenized asset transactions every day, is infringing a Texas company's patented technology covering authentication performances, according to a suit filed Wednesday in the Eastern District of Texas. 

Complaint attached | Read full article » | Save to favorites »

Google Settles With Ex-Director Who Won Gender Bias Verdict

By Rae Ann Varona

Google and a woman former engineering director who accused the company of discriminating against her because of her gender have reached a settlement, the parties told a New York federal judge Wednesday, months after the judge declined to throw out a jury's verdict in the woman's favor.

Settlement attached | Read full article » | Save to favorites »

Senior SEC Enforcer To Exit Agency After 16-Year Career

By Katryna Perera

A former acting enforcement head at the U.S. Securities and Exchange Commission will depart at the end of July after a 16-year career with the agency.

Read full article » | Save to favorites »

Immigration Order Raises Customer ID Stakes For Banks

Following a recently issued immigration-related executive order, financial institutions should expect and prepare for increased scrutiny of customer due diligence and identification, suspicious activity monitoring, and consumer lending, as well as accompanying supervisory shifts and rising fair lending risks, says Douglas Weissinger at Butler Snow.

Read full article » | Save to favorites »

Parsing Who Gets The Track Record In A Venture Partner Split

A recent California federal court order in TEEC Angel Management v. Tsingyuan Ventures allowing Lanham Act claims to proceed confirms that the question of who gets to tell the story of a shared win is now being litigated as false advertising instead of industry professional etiquette, says Ben Dubin at VC Expert Services.

Read full article » | Save to favorites »

Holland & Knight Hit With $1.2B Malpractice Suit

By Madison Arnold

A real estate firm is accusing Holland & Knight LLP and three attorneys of malpractice in a new complaint filed in Florida state court and is seeking up to $1.2 billion in damages after more than 30 states opened investigations into the company's practices.

Complaint attached | Read full article » | Save to favorites »

Co. Turned Away Simpson Thacher's Deal Meeting, Jury Told

By Cara Salvatore

A retired Simpson Thacher & Bartlett LLP partner who handled the fundraising round alleged to have destroyed Patriot National Inc. testified in a Florida state malpractice trial Wednesday that the insurance services company waved off his attempt to present details to the board.

Read full article » | Save to favorites »

Brief

Pillsbury Data Breach Suit Voluntarily Dismissed

By Matt Perez

A proposed class action against Pillsbury Winthrop Shaw Pittman LLP over a data breach last year has been voluntarily dismissed by the named plaintiffs, following a granted motion to stay in April to discuss mediation.

Read full article » | Save to favorites »

DLA Piper Says Deception, Not Bias, Cost Palestinian Atty Job

By Grace Elletson

DLA Piper urged an Illinois federal judge to toss a Palestinian attorney's suit claiming the firm revoked a job offer out of discrimination, arguing it rescinded the offer because she concealed allegations that she assaulted someone at a protest.

Motion attached | Read full article » | Save to favorites »

DC Bar Leaders Say DOJ Ethics Suit Encourages Misconduct

By Emily Sawicki

Washington, D.C., attorney regulators continue to garner support in their effort to toss a Justice Department lawsuit over alleged "weaponizing" of executive branch lawyer discipline, with D.C. bar organizations, scores of legal scholars and more than 500 former DOJ attorneys backing the disciplinary authorities.

3 documents attached | Read full article » | Save to favorites »

Mich. Gets Judge With Blue Slips In 1st For Trump Admin

By Courtney Bublé

The U.S. Senate voted 62-36 on Wednesday to confirm Michael Martin, a longtime federal prosecutor, to the Eastern District of Michigan and Benjamin Flowers, former solicitor general of Ohio, to the Sixth Circuit.

Read full article » | Save to favorites »

DOL IG Says Info-Sharing Pacts Lacked Safeguards

By Irene Spezzamonte

U.S. Department of Labor Inspector General Anthony P. D'Esposito testified Wednesday before a U.S. House subcommittee that during the Biden administration, the department shared confidential information with plaintiffs' attorneys without notifying the Wage and Hour Division or the Employee Benefits Security Administration.

Read full article » | Save to favorites »

Gov't Attys May Face Broader Duty To Report Misconduct

By Alison Knezevich

Attorneys representing the government could face "more demanding" obligations to disclose misconduct by people within their client organizations than attorneys representing private entities, according to an ethics opinion issued Wednesday by the American Bar Association.

Opinion attached | Read full article » | Save to favorites »

Retired Judges Rip Bid To Ban Foreign-Born Federal Judges

By Courtney Bublé

A group of 58 retired federal judges, appointed by presidents of both parties, on Wednesday came out strongly against recent proposals from Republican lawmakers that would require federal judges to be natural-born U.S. citizens and relinquish any citizenship that is not of the United States.

3 documents attached | Read full article » | Save to favorites »

US Marshals Can't Make Immigration Arrests In DC Court

By Rae Ann Varona

A D.C. federal judge Wednesday refused to toss a lawsuit from a certified class of immigrants challenging immigration arrests by U.S. marshals in D.C. Superior Court, declaring that the marshals lack authority and necessary training for the arrests.

Order attached | Read full article » | Save to favorites »

Securities Class Action Deals On Target To Hit 6-Year High

By Katryna Perera

The value of class action settlements is on track to reach a six-year high of $4.4 billion, fueled in part by a handful of "mega settlements" and other high-dollar deals, a Cornerstone Research report released Wednesday said. 

Report attached | Read full article » | Save to favorites »