Expert Analysis

• Vagueness In Calif. Climate Law Makes Compliance Tricky

  

  California's recently enacted Voluntary Carbon Market Disclosures Act requires companies making claims of carbon neutrality, or significant greenhouse gas emissions reductions, to disclose information supporting those claims — but vague and conflicting language in the statute poses multiple problems for businesses, say John Rousakis and Chris Bowman at O'Melveny.

• Series

  Competing In Dressage Makes Me A Better Lawyer

  

  My lifelong participation in the sport of dressage — often called ballet on horses — has proven that several skills developed through training and competition are transferable to legal work, especially the ability to harness focus, persistence and versatility when negotiating a deal, says Stephanie Coco at V&E.

• What Cos. Evaluating M&A Can Glean From Latest HSR Report

  

  The recently released Hart-Scott-Rodino report for fiscal year 2022 helps unearth important data points for companies as they evaluate potential transactions, including that, despite a historically low enforcement rate, the number of actions exceeds the number of second requests for the first time in nearly 20 years, say Ryan Quillian and John Kendrick at Covington.

• Employer Lessons From Nixed Calif. Arbitration Agreement

  

  A California state appeals court’s recent decision to throw out an otherwise valid arbitration agreement, where an employee claimed a confusing electronic signature system led her to agree to unfair terms, should alert employers to scrutinize any waivers or signing procedures that may appear to unconscionably favor the company, say Guillermo Tello and Monique Eginli at Clark Hill.

• Considering A Practical FRAND Rate Assessment Procedure

  

  As the debate over a fair, reasonable and nondiscriminatory rate continues inside and outside courtrooms, a practical method may assess whether the proposed FRAND rate deviates significantly from what is reasonable, and ensure an optimal mix of assets for managers of standard-essential patent portfolios, says consultant Gordon Huang.

• Opinion

  Nebraska Should Abandon Proposed Digital Ad Tax

  

  If passed, Nebraska’s recently proposed Advertising Services Tax Act, which would finance property tax relief by imposing a 7.5% gross revenue tax on advertising services, would cause a politically risky shift of tax burdens from landowners to local businesses and consumers, and would most certainly face litigation, say attorneys at McDermott.

• How 2 CFPB Advisory Opinions Affect Reporting Agencies

  

  The Consumer Financial Protection Bureau issued two advisory opinions last month that demonstrate a continued commitment to address inaccuracies in background check reports and consumer file disclosures through broad interpretation of the Fair Credit Reporting Act, expanding on a coordinated federal agency effort, say attorneys at Cooley.

• CFTC Moves May Boost Interest In Voluntary Carbon Markets

  

  As companies try to reduce their net greenhouse gas emissions, many have been cautious about embracing voluntary carbon credit markets — but recent moves by the U.S. Commodity Futures Trading Commission to regulate this sector may address some of its well-known challenges, say Deborah North and Laura Daugherty at Cleary.

• Musk Pay Package Ruling Offers Detailed Lesson On Del. Law

  

  Anat Alon-Beck and John Livingstone at Case Western Reserve University discuss the specifics that led Delaware's chancellor to rescind Elon Musk's $55.8 billion Tesla pay package on Jan. 30, how the state’s entire fairness doctrine played into the ruling, and its bigger-picture impact on the executive compensation landscape.

• Algorithmic Pricing Programs Caught In Antitrust Crosshairs

  

  The Justice Department's investigation into software company RealPage follows a host of federal antitrust cases alleging that property owners and casino hotel operators use the same proprietary software programs to fix and maintain pricing, which means algorithmic pricing programs are considered a key price-fixing tool in the digital age, say attorneys at Ballard Spahr.

• Chancery's Sears Ruling Clarifies Stockholder Duties

  

  In a recent landmark decision involving stockholders of Sears Hometown and Outlet Stores, the Delaware Chancery Court addressed for the first time what precise duties a controlling stockholder owes, highlighting that controller interference with board action is not per se invalid and that enhanced scrutiny is a reasonableness test, say Christopher Chuff and Taylor Bartholomew at Troutman Pepper.

• Del. Ruling Adds Momentum For Caremark Plaintiffs

  

  The Delaware Supreme Court's recent opinion in Lebanon County Employees' Retirement Fund v. Collis could be viewed as expanding plaintiffs' ability to viably plead a Caremark claim against directors, so Delaware companies should be on heightened alert and focus on creating a record of board oversight, say attorneys at V&E.

• 2 SEC Orders Illuminate Bribery Risks For US-China Cos.

  

  The U.S. Securities and Exchange Commission’s foreign bribery-related resolutions with 3M and Clear Channel offer important takeaways on compliance risks for companies with operations in China, from the role of traditionally low-risk vendors to gaps in internal accounting controls, say attorneys at Miller & Chevalier.

• What's At Stake In High Court NLRB Injunction Case

  

  William Baker at Wigdor examines the U.S. Supreme Court's recent decision to hear Starbucks v. McKinney — where it will consider a long-standing circuit split over the standard for evaluating National Labor Relations Board injunction bids — and explains why the justices’ eventual decision, either way, is unlikely to be a significant blow to labor.

• Copyright Lessons Following Ruling In Artist AI Suit

  

  The recent California district court ruling in Andersen v. Stability AI — that artists needed to specify how the training of artificial intelligence tools violated their copyrights — shows that lawyers on either side of generative AI matters must carefully navigate copyright issues including temporary copying and data sourcing, says Carlos Araya at Magnolia Abogados.