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Technology
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October 25, 2024
Delta Says CrowdStrike Must Pay For Catastrophic IT Outage
When cybersecurity firm CrowdStrike implemented "untested and faulty updates" to its software, knocking out computers with Microsoft Windows operating systems worldwide, Delta Air Lines' operations were crippled, costing it $500 million as thousands of flights were canceled, according to the airline's lawsuit lodged Friday in Georgia state court.
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October 25, 2024
How Big Crash Verdict Revealed Blueprint For Suing Amazon
A rare $16.2 million verdict against Amazon recently awarded by a Georgia jury is proof that a blueprint of sorts now exists for pinning liability on the retail giant in crash cases involving independent contractors, according to a veteran attorney who helped win the case.
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October 25, 2024
Crypto Rapidly Transforming IRS Criminal Cases, Agent Says
Cryptocurrency is altering the size of many criminal cases that federal law enforcement agencies are handling, an Internal Revenue Service criminal investigator told the UCLA Tax Controversy Conference, commenting that over the past three years the agency broke its record for asset seizures three times.
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October 25, 2024
Apple-Google Pact Plaintiff Stuck With 9th Circ. Appeal
A Ninth Circuit panel has refused to let a training school send its case accusing Google of paying Apple to refrain from developing its own search engine back to district court in light of a recent D.C. federal judge's decision that Google monopolizes the search market.
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October 25, 2024
9th Circ. Backs 7-Year Sentence Over Chip Exports To China
The Ninth Circuit on Friday upheld the seven-year prison sentence imposed on a former University of California, Los Angeles, electrical engineering professor convicted of illegally exporting high-powered semiconductor chips to China, saying the district court did not err in holding that the conduct amounted to an evasion of national security controls.
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October 25, 2024
Sports Co. Says SEC's $4M Damages Bid Spells Disaster
A multimillion-dollar securities fraud judgment against two companies linked to a virtual sports trading platform would be disastrous for the already-struggling organizations, their attorney argued before a D.C. federal judge Friday.
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October 25, 2024
Social Media MDL Judge Rips Meta, AGs' Agency Doc Fight
A California federal judge Friday slammed counsel for Meta and dozens of state attorneys general during a contentious hearing in multidistrict litigation over claims social media is addictive for not reaching agreements on Meta's demands for documents from 275 state agencies, telling both sides' attorneys, "we should've never gotten here."
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October 25, 2024
AT&T Unit Continues To Argue FCA Does Not Apply To E-Rate
Congress could have designed the E-rate program to be distributed by the government using its own money, but it didn't, and that's why reimbursements under the program don't qualify as claims under the False Claims Act, an AT&T subsidiary has told the U.S. Supreme Court.
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October 25, 2024
'Open AI' TM Owner Asks 9th Circ. To Nix Injunction
A man accused by OpenAI of preventing the ChatGPT-maker from registering its name as a trademark urged the Ninth Circuit on Friday to vacate an injunction blocking him from using the "Open AI" mark while his case is pending, arguing he's the mark's senior holder and calling the injunction "extraordinary and unprecedented."
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October 25, 2024
VLSI Urges Fed. Circ. To Punish OpenSky After Vidal Didn't
U.S. Patent Trademark Office Director Kathi Vidal vowed to sanction OpenSky Industries "to the fullest extent of [her] power" for filing a bad faith patent challenge, but then imposed sanctions that, if anything, rewarded the misconduct, VLSI Technology has told the Federal Circuit.
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October 25, 2024
AT&T Settles Alleged FCC Subsidy Violations For Nearly $2.3M
The Federal Communications Commission said Friday that AT&T has agreed to pay almost $2.3 million to resolve claims it broke the rules for two major federal broadband subsidy programs.
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October 25, 2024
Claims Court Can't Hear DOJ IT Deal Corrective Action Case
A Court of Federal Claims judge has tossed a dispute over the scope of the U.S. Department of Justice's corrective action on an information technology task order, saying the case fell within a statutory bar on most task order-related protests.
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October 25, 2024
Copyright Head Touts Claims Board, AI Studies At Conference
As Shira Perlmutter completes four years as the register of copyrights and director of the U.S. Copyright Office, she told attorneys Friday the agency dealt "with just a dizzying array of issues" — with artificial intelligence technology being ever present — but the Copyright Claims Board was one of her top accomplishments.
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October 25, 2024
Lyft To Pay $2.1M FTC Fine Over Driver Earnings Claims
Lyft Inc. will pay $2.1 million and clarify its claims about driver pay in order to settle allegations from the Federal Trade Commission that the ride-hailing company made deceptive statements about what drivers could expect to earn hourly and through special incentives, according to a Friday announcement from the agency.
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October 25, 2024
9th Circ. Dubious Of Tesla Investors' Appeal Of $12B Trial Loss
Ninth Circuit judges appeared skeptical Friday of Tesla investors' argument that an erroneous trial instruction improperly led a jury to reject their $12 billion claim over Elon Musk's 2018 tweets that he had "funding secured" to take the electric car giant private.
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October 25, 2024
AI Researchers Lose Bid For DMCA Anti-Hacking Carveout
Researchers who want to look into whether generative artificial intelligence was producing content that was discriminatory or explicit won't be exempt from a provision of the Digital Millennium Copyright Act that bars circumventing digital locks on copyrighted material, according to a new rule.
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October 25, 2024
'Starting Point' Algorithm Enough To Fix Prices, DOJ Says
The Justice Department is using the first algorithmic price-fixing case to reach an appeals court to argue that just because an algorithm only set "starting points" doesn't make its use legal, in a Ninth Circuit amicus brief backing efforts to revive a room rate lawsuit against Las Vegas casino hotels.
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October 25, 2024
Glocal, UpHealth May Settle $115M Award Feud
Indian healthcare services platform Glocal and bankrupt digital health services company UpHealth may be on the verge of resolving their bitter dispute over an ill-fated merger that resulted in a $115 million arbitral award, Glocal has informed an Illinois federal court in a recent request to stay enforcement proceedings.
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October 25, 2024
Heinz Charity Ends Embezzlement Suit Against Ex-Adviser
The Pittsburgh-based Heinz Endowments has dropped a federal lawsuit accusing a former technology adviser of steering nearly $1 million of work to a sham company, according to court filings.
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October 25, 2024
Photo App Says BIPA Ignorance Warrants Insurance Coverage
The company behind a website and app that allow families to view photos of their children at summer camp told an Illinois federal judge it had no idea about the state's biometric privacy law, and thus couldn't have knowingly violated it, arguing that means insurers cannot shirk their responsibility to defend it in an underlying suit.
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October 25, 2024
Election Records Law Needs Update, Mich. Justice Says
The Michigan Supreme Court declined on Friday to revive criminal charges against an election worker who downloaded a copy of a voter list onto a personal thumb drive, prompting one justice to argue the law he was cleared of violating is out of touch in the digital age.
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October 25, 2024
Masimo Infringed 2 Apple Watch Patents, Jury Finds
Healthcare tech company Masimo Corp. was found to have infringed two of Apple Inc.'s patents Friday at the close of a five-day U.S. District Court jury trial in Delaware that put more future tech prospects than current cash on the line.
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October 25, 2024
Skadden, Latham Steer Chinese Driverless Tech Startup's IPO
Autonomous driving technology developer WeRide Inc., represented by Skadden Arps Slate Meagher & Flom LLP and underwriters' counsel Latham & Watkins LLP, on Friday raised $440.5 million combined through a U.S. initial public offering and private placement, saying it will apply fresh capital toward accelerating its global expansion.
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October 25, 2024
UK Antitrust Arm Opens Formal Probe Of $35B Software Deal
United Kingdom antitrust authorities triggered a formal investigation Friday into Synopsys Inc.'s $35 billion acquisition of Ansys Inc., satisfied that the transaction has enough ties to the country to merit greater scrutiny.
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October 25, 2024
Frontier Urges Approval Of 'Highly Attractive' Verizon Deal
Frontier Communications on Friday urged shareholders to support its planned $20 billion sale to Verizon, calling the $38.50 per-share price tag "highly attractive" despite mounting opposition from top investors, one of which claimed the company may be worth double that.
Expert Analysis
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Series
Collecting Art Makes Me A Better Lawyer
The therapeutic aspects of appreciating and collecting art improve my legal practice by enhancing my observation skills, empathy, creativity and cultural awareness, says attorney Michael McCready.
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Del. Dispatch: Cautionary Tales Of 2 Earnout Effort Breaches
The Delaware Court of Chancery's tendency to interpret earnout provisions precisely as written, highlighted in two September rulings that found buyers breached their shareholder obligations when they failed to make reasonable efforts to hit certain product development milestones, demonstrates the paramount importance of precisely wording these agreements, say attorneys at Fried Frank.
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Series
A Day In The In-House Life: Best Egg CLO Talks Power Of Prep
On a typical Monday in her life, Best Egg Chief Legal Officer Amy Thoreson Long chronicles a remote workday in which she makes time for everything from getting ahead on regulatory issues and researching recent Supreme Court decisions to dog walks and podcast breaks.
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Navigating The Complexities Of Cyber Incident Reporting
When it comes to cybersecurity incident response plans, the uptick in the number and targets of legal and regulatory actions emphasizes the necessity for businesses to document the facts underlying the assumptions, complexities and obstacles of their decisions during the incident response, say attorneys at Troutman Pepper.
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The Trade And Tax Issues Behind US-Canada Digital Tax Clash
The new Canadian digital services tax recently went into effect despite objections from the U.S., a controversy that represents an unusual mix of trade and tax policy, and many companies have been pondering how it will affect their e-commerce businesses, says Damon Pike at BDO.
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Secret Service Failures Offer Lessons For Private Sector GCs
The Secret Service’s problematic response to two assassination attempts against former President Donald Trump this summer provides a crash course for general counsel on how not to handle crisis communications, says Keith Nahigian at Nahigian Strategies.
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Opinion
Bill Is Key To Protecting US Economy From Patent Piracy
It is critical that Congress pass a recently introduced bill that would protect U.S. investors from intellectual property theft by restoring court-ordered injunctions as the default remedy in patent infringement cases to ensure inventors get the justice they deserve, says Andrei Iancu at Sullivan & Cromwell.
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Managing Sanctions Defense Across Multiple Jurisdictions
Companies called before multiple regulators to account for the same conduct in this era of increased global sanctions and import-control enforcement should consider national differences in law and policy, and proactively coordinate their responses in certain key areas, say attorneys at Baker McKenzie.
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Defending AI, Machine Learning Patents In Life Sciences
Ten years after the U.S. Supreme Court's decision in Alice v. CLS Bank, artificial intelligence and machine learning technology remain at risk for Alice challenges, but reviewing recent cases can help life sciences companies avoid common pitfalls and successfully defend their patents, say attorneys at Mintz.
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Litigation Inspiration: Honoring Your Learned Profession
About 30,000 people who took the bar exam in July will learn they passed this fall, marking a fitting time for all attorneys to remember that they are members in a specialty club of learned professionals — and the more they can keep this in mind, the more benefits they will see, says Bennett Rawicki at Hilgers Graben.
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From Concept To Capital: 5 Stages Of Evolving IP Needs
Companies must understand the shifting intellectual property needs throughout an organization’s life cycle in order to protect innovation, which can be done by fortifying the IP portfolio, expanding and leveraging IP assets, and more, says Keegan Caldwell at Caldwell Law.
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4 Ways To Prepare For DOD Cyber Certification Rule
Given the U.S. Department of Justice's increased scrutiny of contractor compliance with cybersecurity requirements, it is critical that contractors take certain steps now in response to the U.S. Department of Defense's proposed Cybersecurity Maturity Model Certification implementation rule, say Townsend Bourne and Lillia Damalouji at Sheppard Mullin.
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What Pennsylvania Can Expect From Anti-SLAPP Law
Pennsylvania's anti-SLAPP law is an important step in protecting speech on matters of public concern against retaliatory claims, and is buttressed by a robust remedy for violations as well as procedural requirements that lawyers must follow to take advantage of its application in practice, says Thomas Wilkinson at Cozen O'Connor.
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Opinion
AI May Limit Key Learning Opportunities For Young Attorneys
The thing that’s so powerful about artificial intelligence is also what’s most scary about it — its ability to detect patterns may curtail young attorneys’ chance to practice the lower-level work of managing cases, preventing them from ever honing the pattern recognition skills that undergird creative lawyering, says Sarah Murray at Trialcraft.
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A Class Action Trend Tests Limit Of Courts' Equity Powers
A troubling trend has developed in federal class action litigation as some counsel and judges attempt to push injunctive relief classes under Rule 23(b)(2) of the Federal Rules of Civil Procedure beyond the traditional limits of federal courts' equitable powers, say attorneys at Jones Day.