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May 10, 2024
Dropbox Hit With Proposed Class Action Over Data Breach
A Dropbox Inc. user has claimed that the file-hosting service failed to properly safeguard users' personal data, which was exposed in a breach last month, according to a proposed class action filed in California federal court.
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May 10, 2024
Real Estate Authority: Norfolk Southern, Big 4 Earnings, HUD
Catch up on this week's key real estate developments by state from Law360 Real Estate Authority — including reflections from co-lead plaintiffs counsel in the Norfolk Southern derailment case, Q1 results from the big four brokers, and a synopsis of billions in new grants from the U.S. Department of Housing and Urban Development.
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May 10, 2024
EV Startup Says California Settlement Covers Stockholder Suit
Backers of a transaction that took electric vehicle startup Faraday Future Intelligent Electric Inc. public with a $1 billion value in 2021 have asked Delaware's Court of Chancery to block discovery in a stockholder challenge to the deal, citing pending settlement of a similar federal action in California.
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May 10, 2024
Eastman Withdraws From Colo. Suit Amid Disbarment Case
Former Donald Trump lawyer John C. Eastman withdrew as an attorney in a Colorado civil suit on Friday as the California Supreme Court is set to consider a recommendation for the attorney's disbarment.
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May 10, 2024
Solar Co. Stockholders Claim Execs, Board Caused Losses
SunPower's current and former leadership was accused in a derivative shareholder suit of sending the residential solar power company into a financial tailspin by revising financial statements multiple times and causing the stock value to drop.
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May 10, 2024
Black Doctor Must Arbitrate Bias Claims Against Hospice Co.
A Black doctor must arbitrate her claims that she was mistreated by non-Black colleagues at a home healthcare company and fired after raising concerns that it was sidestepping Medicare billing regulations, a California federal judge ruled, finding an arbitration agreement she signed is legitimate.
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May 10, 2024
1st Circ. Fast-Tracks DraftKings Noncompete Feud
The First Circuit on Friday granted a former DraftKings executive's request to expedite his appeal of a Boston federal judge's ruling that blocked him from doing similar work in the U.S. for rival Fanatics.
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May 10, 2024
Kraken Says SEC's Crypto Theory Would 'Gut Howey'
Crypto exchange Kraken told a California federal judge that the U.S. Securities and Exchange Commission's theory of why token sales on public exchanges offend securities laws could lead to a "significant reordering of the U.S.'s financial regulatory structure" if the agency's enforcement action against its parent companies is upheld.
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May 10, 2024
Nipple Covers Don't Stick To Body As Advertised, Suit Says
Cakes Body LLC faces a putative class action filed Thursday in California federal court by a consumer who says the company falsely creates the impression that its reusable nipple covers function as alternatives to bras that adhere to the body, but that the product doesn't work as advertised.
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May 10, 2024
Capital One Accused Of Not Fully Investigating Fraud Claims
Capital One has been hit with a proposed class action in California federal court accusing it of breaching contract terms by refusing to sufficiently investigate consumers' fraud claims.
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May 10, 2024
9th Circ. Splits PAGA Claims In Macy's Arbitration Fight
Macy's can't compel arbitration of nonindividual claims in a worker's wage suit brought under California's Private Attorneys General Act, the Ninth Circuit ruled Friday, saying language in an arbitration pact prevents blending together different types of claims.
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May 10, 2024
Fed. Circ. Questions Claim Construction In Google Ad Row
Federal Circuit judges took issue with a district court's claim construction in digital advertising company Impact Engine's infringement summary judgment loss to Google, but questioned why the ad startup didn't raise its objections earlier.
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May 10, 2024
Newsom Says No Tax Increases Planned In Calif. Budget
California would not increase taxes or impose new taxes under a revised budget plan presented Friday by Democratic Gov. Gavin Newsom.
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May 10, 2024
Oakland Says SF Has No TM Rights To 'San Francisco Bay'
The city of Oakland has pushed back at San Francisco's trademark infringement complaint over Oakland's plan to incorporate "San Francisco Bay" into its airport name, arguing that the Golden Gate City's claims are doomed because its airport is not even located in San Francisco.
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May 10, 2024
Disney Can't Dodge Biased Firing Suit, 'Star Wars' Actor Says
An actor featured in "Star Wars" spin-off series "The Mandalorian" urged a California federal judge to reject Disney's bid to dismiss her suit alleging she was illegally fired for sharing her political views on social media, arguing the company hasn't shown that her posts impeded its artistic expression.
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May 10, 2024
X Corp.'s Data Scraping Suit Stymied By Copyright Act
A California federal judge has dismissed X Corp.'s suit accusing an Israeli company of mining and selling user data culled from its platform, noting that X's claims would allow it to block others from distributing publicly available user content and are preempted by the Copyright Act.
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May 10, 2024
JLM Couture Nears Settlement With Bridal Dress Designer
Dressmaker JLM Couture told Delaware's bankruptcy court Friday it reached an agreement in principle with a bridal dress designer, who was sued by the company and had sought to convert its Chapter 11 case into a Chapter 7 liquidation.
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May 10, 2024
X Denies Post-Acquisition Policies Biased Against Women
X Corp. denied that Elon Musk implemented policies intended to push out women after he took over the social network formerly known as Twitter, telling a California federal court that any layoffs or actions it took were within the confines of the law.
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May 10, 2024
Off The Bench: Ohtani Translator's Plea, NBA Star Tops Agent
In this week's Off The Bench, Shohei Ohtani's ex-interpreter will plead guilty, an NBA star wins in his clash with the agent who sought to represent him, and a tennis player who was abused by her former coach is awarded $9 million.
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May 10, 2024
Altman's Nuclear Fission Biz Fizzles After SPAC Deal Closes
Shares of Oklo Inc., a nuclear-fission startup backed by OpenAI CEO Sam Altman, were down nearly 50% on Friday, the company's first day of trading after completing its merger with Altman's special-purpose acquisition company AltC Acquisition Corp.
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May 10, 2024
Calif. May Allow Judges To Work Remotely In Civil Matters
California's Judicial Council next week will consider amending court rules to allow judges to preside remotely over civil proceedings from a location other than a courtroom.
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May 10, 2024
SEC Targets Fatburger's Parent Co. In $27M Loan Scheme
The restaurant company that owns Fatburger and Fazoli's made illegal loans to its director and former chief executive, who spent $27 million in company money on himself while skirting taxes and leaving the company struggling, the Securities and Exchange Commission told a California federal court Friday.
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May 10, 2024
Benefits Groups Urge High Court To Take Up AT&T 401(k) Suit
Several benefits groups urged the U.S. Supreme Court to hear AT&T's request to overturn a Ninth Circuit ruling that upended its win in retirement plan participants' class action accusing it of mismanaging their 401(k), saying allowing the decision to stand would redefine prohibited transactions.
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May 10, 2024
'Iron Man 2' Actor Guilty Of Wire Fraud In COVID 'Cure' Scam
A bodybuilder and actor from "Iron Man 2" was found guilty Friday of 11 counts of wire fraud by a Los Angeles federal jury, after prosecutors argued he tried to scam investors in March 2020 by falsely claiming he'd found a cure for COVID-19 and that NBA legend Earvin "Magic" Johnson was a major investor.
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May 10, 2024
Axl Rose Shouldn't Escape NY Sex Assault Suit, Model Says
A former Penthouse model is urging a New York state court not to toss her case alleging Axl Rose sexually assaulted her in 1989, arguing the Guns N' Roses lead singer is making faulty arguments about attempts to serve him with the suit to avoid accountability.
Expert Analysis
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Breaking Down California's New Workplace Violence Law
Ilana Morady and Patrick Joyce at Seyfarth discuss several aspects of a new California law that requires employers to create and implement workplace violence prevention plans, including who is covered and the recordkeeping and training requirements that must be in place before the law goes into effect on July 1.
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Series
Serving As A Sheriff's Deputy Made Me A Better Lawyer
Skills developed during my work as a reserve deputy — where there was a need to always be prepared, decisive and articulate — transferred to my practice as an intellectual property litigator, and my experience taught me that clients often appreciate and relate to the desire to participate in extracurricular activities, says Michael Friedland at Friedland Cianfrani.
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How Suit Over An AI George Carlin May Lead To Legislation
George Carlin’s estate recently sued a company over an artificial intelligence-generated podcast allegedly impersonating the late comedian, highlighting the importance of much-needed state and federal protection against unauthorized representations of an individual’s image in the time of AI, say Anna Chauvet and Maxime Jarquin at Finnegan.
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Former Minn. Chief Justice Instructs On Writing Better Briefs
Former Minnesota Supreme Court Chief Justice Lorie Gildea, now at Greenberg Traurig, offers strategies on writing more effective appellate briefs from her time on the bench.
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Preparing For Possible Calif. Criminal Antitrust Enforcement
Though a recent announcement that the California Attorney General's Office will resume criminal prosecutions in support of its antitrust enforcement may be mere saber-rattling, companies and their counsel should nevertheless be prepared for interactions with the California AG's Antitrust Section that are not limited to civil liability issues, say Dylan Ballard and Lillian Sun at V&E.
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California Shows A Viable Way Forward For PFAS Testing
The U.S. Food and Drug Administration has no good way of testing for the presence of specific per- and poly-fluoroalkyl substances in food packaging — but a widely available test for a range of fluorine compounds that's now being used in California may offer a good solution, says Vineet Dubey at Custodio & Dubey.
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Unpacking The Complicated Question Of CIPA's Applicability
As the number of California Invasion of Privacy Act cases increases, more and more companies with little-to-no California presence are being hauled into California court, raising questions of when CIPA applies and to whom, says Matthew Pearson at BakerHostetler.
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Stay Interviews Are Key To Retaining Legal Talent
Even as the economy shifts and layoffs continue, law firms still want to retain their top attorneys, and so-called stay interviews — informal conversations with employees to identify potential issues before they lead to turnover — can be a crucial tool for improving retention and morale, say Tina Cohen Nicol and Kate Reder Sheikh at Major Lindsey.
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Antitrust Ruling Shows Limits Of US Law's Global Reach
Antitrust plaintiffs often cite the legislative history of the Foreign Trade Antitrust Improvements Act to support application of U.S. antitrust law to alleged injuries abroad, but as a California federal court recognized recently in Figaro v. Apple, the cited history does no such thing, say Daniel Swanson and Eli Lazarus at Gibson Dunn.
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New Concerns, Same Tune At This Year's SIFMA Conference
At this year's Securities Industry and Financial Markets Association conference on legal developments affecting the financial services industry, government regulators’ emphasis on whistleblowing and AI washing represented a new refrain in an increasingly familiar chorus calling for prompt and thorough corporate cooperation, say attorneys at Fried Frank.
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Calif. High Court Ruling Has Lessons For Waiving Jury Trials
The California Supreme Court’s recent decision in TriCoast Builders v. Fonnegra, denying relief to a contractor that had waived its right to a jury trial, shows that litigants should always post jury fees as soon as possible, and seek writ review if the court denies relief from a waiver, say Steven Fleischman and Nicolas Sonnenburg at Horvitz & Levy.
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SC Ruling Reinforces All Sums Coverage Trend
A South Carolina state court's recent ruling in Covil v. Pennsylvania National is the latest in a series of decisions, dating back to the 2016 New York Court of Appeals ruling in Viking Pump, that reject insurers' pro rata allocation argument, further supporting that all sums coverage is required whenever a loss could be covered under a policy in any other year, say Raymond Mascia and Thomas Dupont at Anderson Kill.
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What Rescheduling Could Mean For Cannabis Bankruptcies
Bankruptcy courts have historically been closed for cannabis-related businesses, but recent case law coupled with a possible reclassification of cannabis provides cautious optimism, say attorneys at Duane Morris.
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Opinion
DOJ Press Office Is Not Fulfilling Its Stated Mission
The U.S. Department of Justice Office of Public Affairs’ apparent practice of issuing press releases when someone is indicted or convicted, but not when a defendant prevails, undermines its stated mission to disseminate “current, complete and accurate” information, and has negative real-world ramifications, says Sara Kropf at Kropf Moseley.
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Opinion
Expanded Detention Will Not Solve Immigration Challenges
The recently defeated bipartisan border package included provisions that would increase funding for detention, a costly distraction from reforms like improved adjudication and legal representation that could address legitimate economic and public safety concerns at much lower cost, say Alexandra Dufresne and Kyle Wolf at Cornell University.