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California
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May 21, 2025
Judge OKs Cooperation Deal For Ex-Atty In Debt Firm's Ch. 11
A California bankruptcy judge on Wednesday approved a deal allowing the disbarred attorney accused of operating a fraudulent debt relief law firm to admit wrongdoing and provide information about the firm's collapse to a court-appointed trustee in an effort to recoup money for creditors.
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May 21, 2025
SF Law Firms' Ex-CFO Gets 3 Years For Embezzling $1.3M
A former chief financial officer of two San Francisco law firms was sentenced to just over three years in prison Wednesday for stealing more than $1.3 million from the firms and others, after one firm's founder said the defendant appeared to enjoy "stabbing us all in the back."
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May 21, 2025
Ford Hits Calif. Firms With RICO Suit Over Lemon Law Billing
The Ford Motor Co. sued several California-based law firms and lawyers in Los Angeles federal court Wednesday, accusing them of conspiring to overcharge clients and defraud major automotive manufacturers by more than $100 million by submitting falsely inflated time sheets in thousands of consumer protection cases.
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May 21, 2025
Kronos Bio Shareholder Says Sale Unfairly Benefits Execs
Kronos Bio is facing a new shareholder suit claiming its plan to be acquired by another biopharmaceutical company will unfairly entitle Kronos executives to "lucrative" benefits unavailable to public shareholders.
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May 21, 2025
Apple Lets Fortnite Back In App Store As Appeal Pends
Apple has allowed Epic Games to put its popular Fortnite video game back in the App Store, while the sides await a ruling on Apple's bid to pause an injunction mandating additional changes to its policies issued after the court found it had violated a previous order.
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May 21, 2025
Distributor Can't Duck Revised Crab Price-Fixing Suit
A California federal magistrate judge added Ocean King Fish Inc. to a list of more than a dozen distributors that must face a proposed class action from crabbers alleging a conspiracy to cap prices paid to fishermen for Dungeness crab in the Pacific Northwest.
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May 21, 2025
Sheppard Mullin Lands Alston & Bird, Dechert Attys
Sheppard Mullin Richter & Hampton LLP has brought on a former Alston & Bird LLP partner in its Dallas office and a former Dechert LLP partner in its San Francisco office, strengthening the firm's finance and bankruptcy practice and business trial practice.
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May 21, 2025
LA Chargers Latest NFL Team To Add PE Minority Ownership
The Los Angeles Chargers have become the third NFL team to sell a minority ownership stake to a private equity firm since the league approved such investments in August, with NFL owners OK'ing the purchase of a Chargers stake by Arctos Partners LP.
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May 20, 2025
Trump Admin Rationale For HHS Firings Challenged By Judge
A Rhode Island federal judge expressed skepticism Tuesday about the Trump administration's assertion that mass firings at the U.S. Department of Health and Human Services were lawful and intended to improve national health, saying during a preliminary injunction hearing that nothing in the record demonstrates "thoughtful work" behind these decisions.
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May 20, 2025
Flo Users Get Class Cert. In Google, Meta Data-Sharing Suit
A California federal judge has granted class status to users of the menstrual cycle tracking app developed by Flo Health Inc. in a suit accusing the company of unlawfully sharing their personal health information with Google and Meta, finding that the defendants' opposition to this move lacked clarity and support.
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May 20, 2025
19-Year-Old Mass. Student Admits To PowerSchool Hacking
A 19-year-old student at Assumption University in Worcester, Massachusetts, has pled guilty to hacking into the networks of two companies, including education software and cloud storage company PowerSchool Group LLC, and extorting them for ransoms, the U.S. Department of Justice announced Tuesday.
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May 20, 2025
FDIC Nixes Biden-Era Merger Rules As House Passes OCC Bill
The Federal Deposit Insurance Corp. on Tuesday finalized the repeal of stricter bank merger guidelines adopted last year, pulling them back the same day as the U.S. House moved to nullify the Office of the Comptroller of the Currency's Biden-era merger policy rewrite.
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May 20, 2025
5 Ohio Cities Say Hyundai, Kia Negligence Claims Still In Play
Five Ohio cities have told a California federal judge that Hyundai and Kia cannot try to circumvent the Ninth Circuit and scuttle negligence claims in consolidated litigation alleging the automakers knowingly sold vehicles with design flaws that spawned a car-theft crime wave.
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May 20, 2025
Tech Co. AppLovin's Brass Face 'Shadow Downloads' Claims
Executives and directors of technology company AppLovin face a shareholder derivative suit alleging they breached their fiduciary duties after the company allegedly inflated its download numbers, a key performance metric, by means of manipulative practices.
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May 20, 2025
Gov't Says Unions Too Slow In Calling For Halt Of Restructure
President Donald Trump called for a California federal judge to tank an injunction bid from unions and advocacy groups about his executive order instructing agencies to plan for reductions in force, arguing the request was delayed and the district court lacks jurisdiction.
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May 20, 2025
Elf Beauty Brass Face Investor Suit Over Declining Demand
Executives and directors of cosmetics company e.l.f. Beauty were hit with a shareholder derivative suit accusing them of concealing declining consumer demand, which led to a 55% decline in stock value as information regarding waning revenues and increasing inventory emerged.
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May 20, 2025
Ye Must Answer Discovery Requests In 'Donda' IP Suit
A California federal magistrate judge has largely granted a company's request for documents related to its copyright infringement suit against Ye — the artist formerly known as Kanye West — his entities, UMG Recordings Inc. and Universal Music Corp. over two tracks in Ye's August 2021 "Donda" album.
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May 20, 2025
BofA Class In Out-Of-Network ATM Fee Fight Narrowed
A California federal judge tweaked the definition of a class of account holders suing Bank of America over out-of-network fees for balance inquiries at certain ATMs, agreeing to exclude certain members from the class but largely rejecting the bank's qualms with the class certification.
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May 20, 2025
Netflix Hit With TM Suit Over Tyler Perry's 'She The People'
The founder of a leadership organization focused on women of color alleged in California federal court Monday that Tyler Perry's fictional Netflix comedy series "She the People" about a female Black politician infringes her registered trademark.
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May 20, 2025
Nextdoor Beats Investor Suit Over Post-SPAC Profitability
A California federal judge has tossed a shareholder class action that alleges hyperlocal social networking service Nextdoor Holdings Inc. misled investors about its projected profitability when combining with a special purpose acquisition company, saying the suit's plaintiff never owned or sold the company's securities before the merger, among other things.
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May 20, 2025
Meta Asks To Toss Claim That Illegal Tool Scraped Tax Info
Meta's tracking tool did not violate state privacy law, the company argued, urging a California federal court to toss a claim calling the tool an unauthorized recording device that collected sensitive information from tax filing websites H&R Block, TaxAct and Tax Slayer.
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May 20, 2025
Music Co. Rips Apple's Sanctions Bid Over App Store Ouster
Musi Inc. and its counsel at Winston & Strawn LLP have urged a California federal judge to reject Apple's request for sanctions over accusations Musi made "false and misleading allegations" in a lawsuit over Apple's decision to boot the music streaming service from the App Store for intellectual property infringement.
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May 20, 2025
9th Circ. Says Dad Didn't Show Sons' Hardships If Deported
The Ninth Circuit on Tuesday rejected a Mexican father's bid for deportation relief based on extreme hardships he claimed his sons would face if they accompanied him to Mexico, saying in a published opinion that substantial evidence suggested otherwise.
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May 20, 2025
Uber Underpaid OT By Thousands, Account Exec. Says
Uber expected an account executive to put in at least 55 hours a week but didn't fully compensate him for all of these extra hours, a complaint filed in California state court said.
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May 20, 2025
Meta Says Too Late For 'Dramatic Shift' In Antitrust Argument
Consumers who claim Meta monopolized the social media advertising market are attempting to make a late "dramatic shift" from their years-long argument that all of its users should have been paid a "made-up figure" of $5 a month for their data, the company told a California federal court Monday.
Expert Analysis
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Series
Law School's Missed Lessons: Becoming A Firmwide MVP
Though lawyers don't have a neat metric like baseball players for measuring the value they contribute to their organizations, the sooner new attorneys learn skills frequently skipped in law school — like networking, marketing, client development and case evaluation — the more valuable, and less replaceable, they will be, says Alex Barnett at DiCello Levitt.
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9th Circ. Ruling Clarifies Derivative Suit Representation Test
The Ninth Circuit's recent ruling in Bigfoot Ventures v. Knighton clarifies the test used to assess the adequacy of a plaintiff's representation in a shareholder derivative action, and will likely prove useful to litigants by ensuring that courts can fully examine all relevant circumstances, say attorneys at Simpson Thacher.
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How Mass Arbitration Defense Strategies Have Fared In Court
As businesses face consumers who leverage arbitration agreements to compel mass arbitration, companies are trying defense strategies like batching arbitration cases to reduce costs, and escaping specific mass arbitrations without rejecting the process completely, with varying results in the courtroom, say attorneys at Montgomery McCracken.
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FTC Focus: Interlocking Directorate Enforcement May Persist
Though the Federal Trade Commission under Chair Andrew Ferguson seems likely to adopt a pro-business approach to antitrust enforcement, his endorsement of broader liability for officers or directors who illegally sit on boards of competing corporations signals that businesses should not expect board-level antitrust scrutiny to slacken, says Timothy Burroughs at Proskauer.
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Calif. Climate Superfund Bill Faces Legal, Technical Hurdles
California could soon join other states in sending the fossil fuel industry a massive bill for the costs of coping with climate change — but its pending climate Superfund legislation, if enacted, is certain to face legal pushback and daunting implementation challenges, says Donald Sobelman at Farella Braun.
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How Cos. Can Navigate Risks Of New Cartel Terrorist Labels
The Trump administration’s recent designation of eight drug cartels as foreign terrorist organizations gives rise to new criminal and civil liabilities for companies that are unwittingly exposed to cartel activity, but businesses can mitigate such risks in a few key ways, say attorneys at Steptoe.
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5 Tribunals' Rules To Help Patent Litigators Avoid AI Disasters
Tech-savvy patent litigators are uniquely poised to stay current on the latest developments in artificial intelligence, such that courts may have even higher expectations for their compliance with AI rules, including the standing orders of several patent-heavy fora, say attorneys at Finnegan.
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Bid Protest Spotlight: Size, Supply Schedules, SINs
In this month's bid protest roundup, Alissandra McCann at MoFo examines three recent decisions, two of which offer helpful reminders for U.S. General Services Administration schedule holders drafting blanket purchase agreement proposals, and one for small-business joint ventures to avoid running afoul of the U.S. Small Business Administration's two-year rule.
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$38M Law Firm Settlement Highlights 'Unworthy Client' Perils
A recent settlement of claims against law firm Eckert Seamans for allegedly abetting a Ponzi scheme underscores the continuing threat of clients who seek to exploit their lawyers in perpetrating fraud, and the critical importance of preemptive measures to avoid these clients, say attorneys at Lockton Companies.
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Maintaining Legal Compliance For GenAI In Life Sciences
As companies continue to implement generative artificial intelligence to enhance all phases of drug discovery, they must remain mindful of legal, regulatory and practical considerations as best practices in this space emerge and evolve, say attorneys at Sullivan & Cromwell.
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Series
Teaching Business Law Makes Me A Better Lawyer
Teaching business law to college students has rekindled my sense of purpose as a lawyer — I am more mindful of the importance of the rule of law and the benefits of our common law system, which helps me maintain a clearer perspective on work, says David Feldman at Feldman Legal Advisors.
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Choosing A Road To Autonomous Vehicle Compliance
As autonomous vehicle manufacturers navigate the complex U.S. regulatory landscape, they may opt for different approaches to following federal, state and local rules and laws, as they balance the tradeoffs between innovation, compliance and speed of deployment, say attorneys at Sidley.
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Navigating The Expanding Frontier Of Premerger Notice Laws
Washington's newly enacted law requiring premerger notification to state enforcers builds upon a growing trend of state scrutiny into transactions in the healthcare sector and beyond, and may inspire other states to enact similar legislation, say attorneys at Simpson Thacher.
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Jurisdictional Issues At Play In 9th Circ.'s FCA Trade Case
A decision by the Ninth Circuit in Island Industries v. Sigma Corp. could result in the U.S. Court of International Trade’s exclusive jurisdiction over trade-related FCA cases, a big shift in the enforcement landscape just as tariffs take center stage in trade policy, say attorneys at Haynes Boone.
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Series
Law School's Missed Lessons: Mastering Discovery
The discovery process and the rules that govern it are often absent from law school curricula, but developing a solid grasp of the particulars can give any new attorney a leg up in their practice, says Jordan Davies at Knowles Gallant.