Expert Analysis

• Series

  Calif. Banking Brief: All The Notable Legal Updates In Q3

  

  California's financial regulators spent the third quarter of 2026 focusing on consumer protection enforcement at home while resisting federal efforts to displace state oversight — reinforcing the state's intention to shape the compliance landscape for institutions operating within its borders despite federal deregulatory trends, say attorneys at Ropes & Gray.

• How States May Enter The Shareholder Proposal Landscape

  

  Rescission of the U.S. Securities and Exchange Commission's shareholder proposal rule doesn't herald the end of shareholder activism, but it allows state legislatures to play a central role in determining the future of shareholder proposals, with that uncertainty creating new opportunities for both issuers and activists, say attorneys at Thompson Coburn.

• Series

  Mentalism Makes Me A Better Lawyer

  

  Convincing strangers I can read their minds may seem like an unusual second career for a legal practitioner, but both disciplines share several important requirements, including trust and preparation, says Warren Biro at Manatt.

• Why And How To Build A Neurodiversity-Informed Practice

  

  By better understanding neurodiversity and implementing simple accommodations for clients with autism, ADHD or learning differences, attorneys can build stronger relationships with those who may otherwise struggle to obtain and benefit from legal services, while developing good habits that will benefit everyone they represent, says Ting Cheung at Sanford Heisler.

• How SEC Is Changing The Shareholder Proposal Landscape

  

  The U.S. Securities and Exchange Commission continues to place its shareholder proposal rule at the center of its agenda, now with a newly proposed rule that would rescind it entirely, showcasing an agency seeking to narrow its overall focus, say attorneys at Thompson Coburn.

• SEC's Shareholder Activism Role After The '26 Proxy Season

  

  The U.S. Securities and Exchange Commission recently proposed eliminating its shareholder proposal rule, but this proxy season's combination of elevated campaign activity, limited formal escalation and measured voting outcomes illustrates why a targeted SEC role remains important, say attorneys at Sidley.

• Opinion

  CFTC's New Award Policy Punishes Whistleblower Success

  

  The U.S. Commodity Futures Trading Commission recently capped four whistleblower awards because it considered them too large, arguing that it could lead to frivolous reporting, but the move instead penalizes the program for its own success and flies in the face of the framework enacted by Congress, say attorneys at Whistleblower Partners.

• Testing AI's Promise For Large-Scale Document Review

  

  Our document-review comparison of attorneys' responsiveness and issue coding decisions versus predictions generated by artificial intelligence across 1,600 documents suggests that these tools can offer a reasonable and reliable basis for improved discovery workflows, provided lawyers understand where guardrails are needed, say attorneys at Redgrave.

• FDIC Standards Body Could Ease Bank Vendor Due Diligence

  

  The Federal Deposit Insurance Corp.'s recently proposed standards body for bank vendors could streamline due diligence and onboarding, but banks and their third-party service providers alike should still monitor open questions around oversight, certification costs and governance, say attorneys at Clark Hill.

• AI Meeting Recaps Pose New Discovery And Privilege Risks

  

  The New York City Bar Association’s recent ethics opinion, cautioning attorneys not to record nonclient conversations with artificial intelligence tools, reflects an emerging view that AI meeting recaps are now a distinct business record category, meaning counsel should set meeting-level controls and apply framework-level updates, says William Wright at Faegre Drinker.

• What Comes Next For Digital Asset Regs After Clarity Act Flop

  

  After the U.S. Senate recently blocked the Digital Asset Market Clarity Act, agency rulemaking could still offer a near-term remedy, and companies meanwhile should monitor the existing framework assembled from enforcement precedent and case law in the absence of a purpose-built statute, say attorneys at Ropes & Gray.

• How Restitution Became Del. Chancery Court's Middle Ground

  

  Though monetary relief is the Delaware Court of Chancery's favored form of compensating shareholders injured by a breached transaction, Ramadurgam v. Destiny XYZ illustrates how restitution, rather than rescission, can also be a viable option for squeezed-out shareholders to present to the court, says Ashwini Jayaratnam at DarrowEverett.

• UBS Settlement Shows Cost Of Delayed AML Fixes

  

  A recent Financial Crimes Enforcement Network settlement with UBS over failure to implement anti-money laundering remediation shows that regulators value prompt fixes and remain focused on the role of financial institutions in facilitating narcotics trafficking and cartel activity, say attorneys at Miller & Chevalier.

• Hugging Face Attack Is A Warning To The Securities Markets

  

  The recent Hugging Face cyberattack, in which OpenAI's artificial intelligence agents hacked a third party without human instruction, raises questions about how regulators could respond to a similar incident in the securities markets and whether there's a substitute for scienter if no person is behind a financial crime, says Joseph A. Hall at Davis Polk.

• Tracking Texas: When A Promissory Note Is Not A Security

  

  The Texas Business Court's recent application of the so-called family-resemblance test in Thompson v. Anchor Capital offers a useful road map for Texas business owners and lenders navigating the intersection of commercial lending and securities law and determining when promissory notes can be classified as securities, say attorneys at Greenberg Traurig.