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Banking
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September 10, 2025
Trump's Pick For Fed Board Seat Moves Ahead To Full Senate
The U.S. Senate Banking Committee on Wednesday endorsed President Donald Trump's bid to install Stephen Miran, a top White House economist, at the Federal Reserve, advancing his nomination over Democratic objections that he would be a Trump loyalist rather than an independent central banker.
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September 10, 2025
DOJ Must Hand Over Documents To Ex-JPMorgan Trader
A Washington, D.C., federal judge has ruled that the U.S. Department of Justice did not properly withhold portions of documents that reference grand jury exhibits from a former JPMorgan trader that were part of a market manipulation case that he beat in 2018, and ordered the DOJ to turn over the documents in question.
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September 10, 2025
McCarter & English Atty Admitted Breaches, Insurers Claim
Two insurance companies have asked a Connecticut Superior Court judge's permission to file a late request for a quick win on two breach of contract claims against McCarter & English LLP and one of its attorneys, saying the lawyer's deposition left no facts in dispute on those specific counts.
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September 10, 2025
Subprime Lender Tricolor Auto Hits Ch. 7 With Over $1B Debt
Tricolor Holdings, a Texas-based company that provides car loans to low-income buyers, and several affiliates filed for Chapter 7 liquidation in Texas bankruptcy court Wednesday with more than $1 billion of debt.
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September 10, 2025
Kirkland Adds Fintech Regulatory Partner From McDermott
Kirkland & Ellis LLP has enhanced its fintech regulatory compliance capabilities in New York with the addition of an experienced corporate partner who joins the firm from McDermott Will & Schulte.
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September 09, 2025
Fed Reserve Gov. Cook Wins Removal Reprieve For Now
Federal Reserve Gov. Lisa Cook, for now, can stay on the Fed's board while she challenges President Donald Trump's attempt to strip her of her position, a D.C. federal judge ruled late Tuesday, saying Cook has "made a strong showing" that her purported removal was likely illegal.
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September 09, 2025
Block Beats Investor Action Over 2021 Customer Data Breach
A Manhattan federal judge Tuesday knocked out consolidated litigation alleging Block's stock price plummeted after the financial technology company dilly-dallied disclosing a 2021 data breach stemming from a former employee's alleged theft of customer information, saying the complaint doesn't allege Block made misleading statements or knew it was misleading investors.
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September 09, 2025
Davis Polk Leads Klarna's Above-Range $1.4B IPO
Swedish fintech startup Klarna, led by Davis Polk & Wardwell LLP, priced its highly anticipated initial public offering above its range on Tuesday, raising $1.37 billion, a move that comes months after its public debut was paused amid backlash to President Donald Trump's tariff announcement in April.
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September 09, 2025
FDIC Eases Standards For Lifting Cease-And-Desist Orders
The Federal Deposit Insurance Corp. is giving banks a quicker potential path out of its doghouse, rolling out a policy change that allows more flexibility to close out enforcement orders before firms have finished satisfying all their terms.
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September 09, 2025
OCC Taps Cravath Atty As Principal Deputy Chief Counsel
A former Cravath Swaine & Moore LLP corporate attorney has been tapped to serve as the principal deputy chief counsel of the Office of the Comptroller of the Currency, while a longtime agency official has been promoted to oversee its newly elevated chartering and licensing process, the regulator said Tuesday.
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September 09, 2025
5th Circ. Says Jarkesy Doesn't Doom OCC Enforcement Action
A Fifth Circuit panel has upheld industry bans and $250,000 fines against two former top executives of a failed Texas bank, rejecting their bid to overturn an Office of the Comptroller of the Currency enforcement order, finding that the OCC's in-house proceedings and ordered sanctions did not violate the executives' constitutional right to a jury trial.
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September 09, 2025
Ky. Judge Pauses Suit Over CFPB's Small-Biz Loan Rule
A Kentucky federal judge on Tuesday paused a banking industry lawsuit challenging the Consumer Financial Protection Bureau's small business lender data collection rule while the agency works to revamp the Biden-era measure.
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September 09, 2025
Mich. Judge OKs Auto Mogul's $19M Bid To Reclaim Assets
A Michigan federal judge on Tuesday allowed a Detroit-area auto parts manufacturer to buy assets in a sale held by his own trust as part of efforts to satisfy a years-old $775 million judgment against it, finding the businessman didn't interfere with the sale or flout a court sales procedure order.
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September 09, 2025
DC Says Crypto ATM Operator Profits Off Senior Scams
Athena Bitcoin, one of the country's largest operators of so-called bitcoin automated teller machines, has been sued by the D.C. attorney general for allegedly charging undisclosed fees on deposits it knew were often the result of scams, for failing to implement adequate anti-fraud measures, and for refusing to refund scam victims.
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September 09, 2025
FinCEN Chief Signals Slimmer Bank Reporting On The Way
A top U.S. financial crime watchdog told lawmakers Tuesday that federal officials could soon move to narrow transaction reporting requirements for financial institutions as part of a broader effort to ease anti-money laundering compliance burdens for industry.
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September 09, 2025
Heartland To Pay $18M For Charges On School Lunch Cards
Heartland Payment Systems LLC will pay $18.25 million to approximately 5.6 million parents and caretakers to resolve a class action alleging it levied unfair surcharges when they deposited lunch money onto school-sponsored reloadable cards used by their kids, according to a final settlement approval motion filed Monday in Florida federal court.
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September 09, 2025
Ex-Ill. Bank VP Sentenced To 1 Year For Role In Embezzlement
The former vice president of the now-defunct Washington Federal Bank for Savings was sentenced to one year in prison Tuesday for his role covering up a $66 million embezzlement scheme.
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September 09, 2025
Why SEC, CFTC Crypto Rules 'Sprint' Could Be A Marathon
The White House-backed push to entice the crypto industry's return to the U.S. with clearer rules is off to a quick start, but experts say the process could drag on longer than anticipated as regulators navigate competing interests of embracing the evolving digital assets market and protecting consumers.
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September 09, 2025
Ohio Aerospace Manufacturer Hits Ch. 11 To Rework Debt
Cincinnati-based manufacturer CTL-Aerospace Inc. filed for Chapter 11 with at least $15 million in debt saying material sourcing troubles last year left it with an operating loss with limited funding avenues.
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September 08, 2025
Cleo AI Must Face Military Lending Suit Over Cash Advances
Cleo AI must face an Army staff sergeant's proposed class action alleging it employs predatory lending practices through its cash advances that exceed the Military Lending Act's annual percentage rate cap on consumer credit, after a Washington federal judge said Monday the advances constitute as "credit" under the statute.
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September 08, 2025
Split 4th Circ. Axes States' Challenge To Trump Admin Layoffs
A split Fourth Circuit panel held Monday that a coalition of states doesn't have standing to sue the Trump administration over the mass firing of thousands of probationary government employees, finding that it was the employees — not the states — who "suffered the brunt of the harm" underlying the case.
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September 08, 2025
CoinShares, Infleqtion To Hit Public Markets Via SPAC Mergers
Two separate companies, digital asset manager CoinShares International Ltd. and quantum computing company Infleqtion, on Monday announced plans to go public through mergers with special-purpose acquisition companies in two deals that combined are worth an estimated $3 billion.
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September 08, 2025
OCC Will Weigh 'Debanking' In Licensing, CRA Reviews
The Office of the Comptroller of the Currency shed more light Monday on its plans for carrying out President Donald Trump's call to end so-called debanking, saying it will factor account closure concerns into its community lending exams, merger reviews and more.
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September 08, 2025
Fired Wells Fargo VP Claims Retaliation, Unsafe Workplace
Wells Fargo Bank has been hit with retaliatory firing claims in Illinois federal court by a former high-ranking testing and validation executive who claims she was treated unjustly and ultimately terminated for flagging reporting inaccuracies she was concerned could violate federal banking and securities laws.
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September 08, 2025
Nasdaq Seeks SEC Nod To Trade Tokenized Securities
Nasdaq said on Monday that it has submitted to the U.S. Securities and Exchange Commission its proposal to facilitate tokenized securities trading on the Nasdaq Stock Market, in an effort to "support the evolution of the markets."
Expert Analysis
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When Legal Advocacy Crosses The Line Into Incivility
As judges issue sanctions for courtroom incivility, and state bars advance formal discipline rules, trial lawyers must understand that the difference between zealous advocacy and unprofessionalism is not just a matter of tone; it's a marker of skill, credibility and potentially disciplinary exposure, says Nate Sabri at Perkins Coie.
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Two Bills Promise A Crypto Revamp, But Not A Done Deal Yet
Recent efforts in Congress toward an updated regulatory framework for digital assets have led to two bills — the GENIUS Act and the CLARITY Act — that represent the most consequential legislative developments yet in the push for coherent, pro-innovation, reliable regulation for the industry, but both face multiple hurdles, says Mike Katz at Manatt.
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2 NY Rulings May Stem Foreign Co. Derivative Suits
In recent decades, shareholders have challenged the internal affairs doctrine by bringing a series of derivative actions in New York state court on behalf of foreign corporations, but the New York Court of Appeals' recent rulings in Ezrasons v. Rudd and Haussmann v. Baumann should slow that trend, say attorneys at Cleary.
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Despite Rule Delay, FTC Scrutiny Looms For Subscriptions
Even though the Federal Trade Commission has delayed its click-to-cancel rule that introduces strict protocols for auto-renewing subscriptions, businesses should expect active enforcement of the new requirements after July, and look to the FTC's recent lawsuits against Uber and Cleo AI as warnings, say attorneys at Holland & Knight.
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AGs Take Up Consumer Protection Mantle Amid CFPB Cuts
State attorneys general are stepping up to fill the enforcement gap as the Trump administration restructures the Consumer Financial Protection Bureau, creating a new regulatory dynamic that companies must closely monitor as oversight shifts toward states, say attorneys at Cozen O’Connor.
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Va.'s Altered Surcharge Law Poses Constitutional Questions
Virginia's recently amended consumer protection law requiring sellers to display the total price rather than expressly prohibiting surcharges follows New York's recent revision of its antisurcharge statute and may raise similar First Amendment questions, says attorneys at Stinson.
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Series
Volunteering At Schools Makes Me A Better Lawyer
Speaking to elementary school students about the importance of college and other opportunities after high school — especially students who may not see those paths reflected in their daily lives — not only taught me the importance of giving back, but also helped to sharpen several skills essential to a successful legal practice, says Guillermo Escobedo at Constangy.
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Fed's Crypto Guidance Yank Could Drive Innovation
The Federal Reserve Board's recent withdrawal of guidance letters brings regulatory consistency and broadens banks' ability to innovate in the crypto-asset space, but key distinctions remain between the Fed's policy on crypto liquidity and that of the other banking regulators, says Dan Hartman at Nutter.
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Attacks On Judicial Independence Tend To Manifest In 3 Ways
Attacks on judicial independence now run the gamut from gross (bald-faced interference) to systemic (structural changes) to insidious (efforts to undermine public trust), so lawyers, judges and the public must recognize the fateful moment in which we live and defend the rule of law every day, says Jim Moliterno at Washington and Lee University.
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OCC's Digital Embrace Delivers Risk, Opportunity For Banks
As the Office of the Comptroller of the Currency continues to release and seek more information on banks' participation in the crypto-asset arena, institutions may see greater opportunity to pursue digital asset and custody services, but must simultaneously educate themselves on transformations occurring throughout the industry, says Kirstin Kanski at Spencer Fane.
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Remediation Still Reigns Despite DOJ's White Collar Shake-Up
Though the U.S. Department of Justice’s recently announced corporate enforcement policy changes adopt a softer tone acknowledging the risks of overregulation, the DOJ has not shifted its compliance and remediation expectations, which remain key to more favorable resolutions, say Jonny Frank, Michele Edwards and Chris Hoyle at StoneTurn.
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Series
Law School's Missed Lessons: Appreciating Civil Procedure
If you’re like me, law school’s often complex and theoretical approach to teaching civil procedure may have contributed to an early struggle with the topic, but when seen from a practical perspective, new lawyers may find they enjoy mastering these rules, says Chloe Villagomez at Foster Garvey.
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Section 899 Could Be A Costly Tax Shift For US Borrowers
Intended to deter foreign governments from applying unfair taxes to U.S. companies, the proposal adding new Section 899 to the Internal Revenue Code would more likely increase tax burdens on U.S. borrowers than non-U.S. lenders unless Congress limits its scope, says Michael Bolotin at Debevoise.
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Calif. Bar Exam Fiasco Shows Why Attys Must Disclose AI Use
The recent revelation that a handful of questions from the controversial California bar exam administered in February were drafted using generative artificial intelligence demonstrates the continued importance of disclosure for attorneys who use AI tools, say attorneys at Troutman.
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The State Of Play For Bank Merger Act Applications
Both the Office of the Comptroller of the Currency's recent reversal of changes to its bank merger policies and the Federal Deposit Insurance Corp.'s rescission of its 2024 statement may be relevant for all banks considering a transaction, as responsibility for review depends on the identity of the parties and the transaction structure, say attorneys at Davis Polk.