The operators of the restaurant chain Salad and Go have filed for Chapter 11 protection in a Texas bankruptcy court with more than $500 million in liabilities, saying the business will be winding down after years of losses were accelerated by the cyclospora outbreak that has sickened thousands of people throughout the country.
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TOP NEWS

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Cyclospora Outbreak Sends Struggling Salad Chain To Ch. 11

By Rick Archer

The operators of the restaurant chain Salad and Go have filed for Chapter 11 protection in a Texas bankruptcy court with more than $500 million in liabilities, saying the business will be winding down after years of losses were accelerated by the cyclospora outbreak that has sickened thousands of people throughout the country.

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Grocery Chains Accuse Refined Sugar Cos. Of Price-Fixing

By Aneeta Mathur-Ashton

Several grocery chains, including Albertsons and Kroger, have accused a group of refined sugar companies including Domino Sugar of conspiring to artificially raise the cost of refined sugar through a "give to get" arrangement.

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NYC's Food Apps Data Law Goes Too Far, 2nd Circ. Says

By Lauren Berg

A New York City law that would require DoorDash, GrubHub and other delivery apps to share customer data with the restaurants fulfilling food orders violates the First Amendment, the Second Circuit ruled Wednesday.

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Conn. Atty To Fork Over $3,500 For AI Errors In Taco TM Beef

By Brian Steele

A Connecticut federal judge imposed a $3,500 fine on a defense attorney who submitted two motions riddled with AI-generated mistakes in a taco restaurant's trademark battle, finding that although the lawyer expressed remorse and promised to make changes to his verification process, he still showed "subjective bad faith."

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Starbucks Ditched Irish Vodka Without Notice, Producer Says

By Ben Adlin

An Irish vodka producer sued Starbucks Corp. in Washington state court over accusations the coffee giant broke a contract that required it to give six months' notice before discontinuing its use of the vodka at Starbucks Reserve and Roastery locations in the United States.

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POLICY & REGULATION

Texas Cos., Others Urge Cruz, Cornyn To Block Rio Barriers

By Corey Rothauser

More than 140 river outfitters, local businesses and recreation groups have urged Texas' two U.S. senators and Gov. Greg Abbott to intervene and stop planned border barrier construction in and around Big Bend National Park, warning the project would devastate the region's recreation economy and cut off public access to the Rio Grande.

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ENFORCEMENT

Brief

US Looking Into Aluminum, Tissue For Possible Duty Evasion

By Jack McLoone

The U.S. Department of Commerce opened a pair of investigations Wednesday into aluminum packaging products from Indonesia and Malaysia and tissue paper imports from Vietnam to determine whether the goods are circumventing duties placed on the products imported from China.

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LITIGATION

JBS To Pay $31M In Pilgrim's Pride Investors' Control Suit

By Sydney Price

Brazil-based meat giant JBS SA agreed to pay $31 million to shareholders of its subsidiary Pilgrim's Pride Corp. to settle a suit accusing JBS, its affiliates and its Pilgrim's board appointees of unfairly increasing JBS' clout and access to dividends and tax benefits at the expense of minority shareholders of Pilgrim's.

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Graphic Designer Agrees To End $31M Brewery Logo Suit

By Kelcey Caulder

A long-running dispute over the ownership of Atlanta-based SweetWater Brewing's leaping trout logo came to an end Wednesday, with the logo's creator agreeing to drop his suit alleging the brewery continued using it without permission after a $366 million acquisition by Aphria Inc. in 2020.

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BANKRUPTCY

Bang Energy's Ex-CEO Gets Loan Approval To Fund Defense

By Carolina Bolado

A Florida bankruptcy judge approved a loan Wednesday for a company managed by Bang Energy founder Jack Owoc to allow him to fund his defense in litigation filed by the trustee overseeing the energy drinks manufacturer's bankrupt estate.

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EXPERT ANALYSIS

3 Private Suits Test Influencer Ads As FTC Stays On Sidelines

Three lawsuits filed so far this year illustrate how influencer campaigns are facing growing scrutiny from private plaintiffs, despite the Federal Trade Commission not bringing an influencer marketing enforcement action since revising its endorsement guides to address the topic in 2023, but brands can take concrete steps to reduce the risks, says Gonzalo Mon at Kelley Drye.

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LEGAL INDUSTRY

How Does In-House Pay Compare? Take The Law360 Survey

How do in-house salaries vary across industries, roles, and organizational revenue? What compensation tools are companies using to lure top talent? Help Law360 Pulse answer these questions and more in this year's In-House Compensation Survey.

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No Simpson Thacher Malpractice In PIPE Case, Jury Finds

By Madison Arnold

Simpson Thacher & Bartlett LLP escaped a malpractice lawsuit late Thursday over its representation of Patriot National Inc. in a private investment in public equity transaction in the years before the company's downfall.

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Dems Slam Skadden's 'Nothing To See Here' Trump Deal Reply

By Hailey Konnath

Three Democratic lawmakers on Thursday criticized Skadden Arps Slate Meagher & Flom LLP's response to their request that the firm disclose details of its pro bono arrangement with the Trump administration, saying the firm's "three sentence letter essentially saying 'nothing to see here'" is "not going to cut it."

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New ABA Chief Seeks To 'Streamline' Org., Defend Democracy

By Emily Sawicki

The American Bar Association's new president, Barbara J. Howard, will focus on twin goals of defending democracy against expected unprecedented attacks associated with this year's midterm elections, while also reorganizing the association to run more efficiently, as she kicks off her one-year term this month.

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Richards Layton Under Fire Amid Bid To Avoid AI Sanctions

By Rose Krebs

A firm has asked a Delaware vice chancellor to allow it to submit more "factual information" regarding what it says are inconsistencies in Richards Layton & Finger PA's attempt to avoid sanctions for submitting a filing with errors generated by artificial intelligence.

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Analysis

The Dramatic Moments Set To Shape Tom Goldstein's Appeal

By Jeff Overley and Jared Foretek

Prurient revelations, brash recriminations and purportedly glaring judicial errors in Tom Goldstein's criminal case have captivated the appellate bar for nearly 19 months, and many of those moments will be center stage in the star attorney's imminent appeal.

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2nd Circ. Says Pillsbury Must Surrender $3.6M Retainer

By Jessica Corso

Pillsbury Winthrop Shaw Pittman LLP was ordered on Thursday to hand over a $3.6 million retainer it was paid to defend a client against criminal and civil fraud charges, with the Second Circuit upholding a ruling that the funds were part of an asset freeze order issued in a U.S. Securities and Exchange Commission case.

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Ex-GC Hijacked Accounts And Posted Klan Imagery, Suit Says

By Ben Adlin

A Washington state court granted a temporary restraining order Wednesday in a school fundraising company's lawsuit accusing its former general counsel of taking control of its social media accounts and allegedly replacing its LinkedIn photo with a manipulated image of its president in a Ku Klux Klan robe.

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Ex-Girardi Atty Gets Probation For Keeping Silent On Theft

By Lauraann Wood

A former Girardi Keese attorney was sentenced to one day time-served and two years of probation Thursday for staying quiet and failing to report disgraced plaintiff's attorney Tom Girardi's theft of millions of settlement dollars owed to Lion Air Flight 620 plane crash victims.

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Wash. Justices Offer Bar Waiver After July Exam Tech Failure

By Rachel Riley

The Washington State Supreme Court said Thursday it's offering to waive the bar exam requirement for first-time applicants who were unable to take the test last week due to an abrupt cancellation driven by technical issues at the Yakima Convention Center where it was scheduled to be administered.   

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Justices' FTC Ruling Weakens Qui Tam's Constitutional Base

The U.S. Supreme Court’s holding in Trump v. Slaughter, expanding presidential control over those exercising executive power, suggests that courts may be receptive to arguments challenging the constitutional foundations of the False Claims Act’s qui tam mechanism, says Daniel Passeser at Wiggin.

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COMPANIES IN TODAY'S NEWS

Albertsons Cos. Inc.

American Bar Association

American Crystal Sugar Co.

BBB National Programs Inc.

Central Hudson Gas & Electric Corp.

DoorDash Inc.

Elite

Executive Health Resources Inc.

Google LLC

GrubHub Inc.

Hard Yaka Inc.

Information Inc.

Intel Corp.

JBS USA Holdings Inc.

LexisNexis Legal & Professional

LinkedIn Corp.

Michigan Sugar Co.

Monster Beverage Corp.

National Association of Consumer Advocates

Patriot National Inc.

Paypal Holdings Inc.

Pilgrim's Pride Corp.

Public Co. Accounting Oversight Board

RELX PLC

Reynolds Consumer Products LLC

Salad and Go

Starbucks Corp.

Stout Risius Ross LLC

The Boeing Co.

The District of Columbia Bar

TikTok Inc.

Tilray Inc.

U.S. Sugar Corp.

Uber Eats

Vimeo Inc.

Vital Pharmaceuticals

Washington State Bar Association

Yelp Inc.

YouTube Inc.

LAW FIRMS IN TODAY'S NEWS

Anderson Kill

Ashurst Perkins

Bast Amron

Berchem Moses

Bernstein Litowitz

Blaine A. Norris PC

Burns Charest

Burr & Forman

Cahill Gordon

Cairncross & Hempelmann

Conrad & Scherer

Crowell & Moring

Davis Graham

Friedman Oster

Gibson Dunn

Girardi & Keese

HSF Kramer

Hecker Fink

Hill Kertscher

Hughes Hubbard

Jenner & Block

Kelley Drye

Labaton Keller

Lasher Holzapfel

Lowenstein Sandler

Merchant & Gould

Morrison Cohen

Paul Hastings

Pillsbury Winthrop

Reed Smith

Richards Layton

Seila Law

Simpson Thacher & Bartlett

Skadden Arps

Smith Tempel

Sperling Kenny

Stearns Weaver

Susman Godfrey

Werksman Jackson

White & Case

Wiggin & Dana

Williams & Connolly

WilmerHale

GOVERNMENT AGENCIES IN TODAY'S NEWS

City of New York

Consumer Financial Protection Bureau

Delaware Court of Chancery

Federal Trade Commission

International Trade Administration

Ohio Supreme Court

Tohono O'odham Nation

U.S. Attorney's Office for the Northern District of Illinois

U.S. Court of Appeals for the Eleventh Circuit

U.S. Court of Appeals for the Fifth Circuit

U.S. Court of Appeals for the Ninth Circuit

U.S. Court of Appeals for the Second Circuit

U.S. Court of Appeals for the Sixth Circuit

U.S. Court of Appeals for the Tenth Circuit

U.S. Customs and Border Protection

U.S. Department of Agriculture

U.S. Department of Commerce

U.S. Department of Homeland Security

U.S. Department of Justice

U.S. District & Bankruptcy Courts of Southern District of Texas

U.S. District Court for the District of Columbia

U.S. District Court for the District of Connecticut

U.S. District Court for the District of Maryland

U.S. District Court for the District of Minnesota

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

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

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

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

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

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

U.S. Securities and Exchange Commission

U.S. Supreme Court