Expert Analysis

• Adapting To AI-Driven Scrutiny Of Foreign Asset Disclosures

  

  As the government expands AI-driven, cross-agency fraud detection, foreign asset disclosure should be viewed as part of a broader, data‑driven enforcement ecosystem that prioritizes consistency, documentation and proactive governance, says Logan Koehring at FBT Gibbons.

• Sizing Up The Rescheduling Hurdles Medical Pot Cos. Face

  

  The Justice Department’s recent lowering of certain medical marijuana products to Schedule III means operators — particularly those simultaneously offering federally illegal adult-use cannabis — must implement greater structural discipline to navigate an increasingly fragmented legal landscape if they hope to benefit from new tax deductions and access to capital, say attorneys at Akerman.

• Tax Teams Get No Bright-Line Rule From AI Privilege Cases

  

  Three recent appellate decisions that considered artificial intelligence in the context of attorney-client privilege protections illustrate that taxpayers and tax practitioners alike must consider the pertinent facts on a case-by-case basis, with particular attention to confidentiality, disclosure risk and system design, say attorneys at Morgan Lewis.

• 2nd Circ.'s Cantero Redo Complicates Mortgage Escrow Issue

  

  The Second Circuit's recent decision in Cantero v. Bank of America reflects the absence of definitiveness in mortgage escrow preemption jurisprudence, leaving lenders to navigate conflicting state rules and pricing challenges amid a deepening circuit split, say attorneys at Sullivan & Cromwell.

• Claiming The Narrative Before The SEC Files Charges

  

  Following the U.S. Securities and Exchange Commission's recent rescission of its no-deny rule, Scott Schneider at FTI Consulting, a former U.S. Securities and Exchange Commission communications official, details when and how to publicly respond to news of a pending regulatory inquiry targeting your company.

• Looking Beyond Calif. Climate Laws As NY Bills Advance

  

  California's climate disclosure legislation has made emissions and risk reporting a practical reality — and now that New York is working on its own climate disclosure bills, companies must confront a future in which compliance systems will need to be ready for multiple states' reporting regimes, says Thierry Montoya at FBT Gibbons.

• Cuba Sanctions Shift Puts Foreign Cos. In OFAC's Crosshairs

  

  A recent executive order marks an extreme shift for foreign companies whose Cuban dealings have no relation to the U.S. and are entirely lawful under the laws of their home jurisdictions, such that their existing ring-fence protocols no longer offer protection from the Office of Foreign Assets Control’s secondary sanctions, says Jeremy Paner at Hughes Hubbard.

• DOJ Activity Indicates Rising Antitrust Risk For Hospitals

  

  Two civil actions filed by the U.S. Department of Justice against New York-Presbyterian Hospital and OhioHealth, both alleging that the hospital systems used their market power to stifle competition, highlight the government's growing scrutiny of barriers to lower-cost insurance options, say attorneys at Freshfields.

• 5 Rules In 10 Weeks: Inside Genius Act's Implementation Blitz

  

  Regulators have proposed five Genius Act rules in a striking span of 10 weeks, building a stablecoin framework that, with the Office of the Comptroller of the Currency at its operational center, will shape oversight and force issuers, banks and fintechs to take action as deadlines approach, say attorneys at Cahill.

• SEC Enforcement Has Continued Its Asset Management Focus

  

  While the total number of U.S. Securities and Exchange Commission enforcement actions is down, certain novel theories of liability have been abandoned, and the SEC has embraced a back-to-basics posture, most of the regulatory risks for asset managers that existed in the prior commission have not gone away, say attorneys at Weil.

• 5 Risks For US Cos. From New EU Product Liability Directive

  

  When the European Union's revised Product Liability Directive takes effect this year, it will fundamentally reshape product liability litigation across all EU member states — so U.S.-based companies operating in Europe should prepare now for broader discovery rules, narrower attorney-client privilege and heightened forum-shopping risks, say attorneys at DLA Piper.

• Advice For Responding To Minority Preservation Letters

  

  Democratic lawmakers have recently issued document preservation letters to potential investigative targets, signaling that the minority party intends to advocate for accountability if it regains power, but there are several steps that can be taken to manage these demands and stay ahead of potential risks, say attorneys at Covington.

• Series

  NY Times Word Puzzles Make Me A Better Lawyer

  

  Every morning I let The New York Times humble me with word games, which offer a chance to recalibrate my brain before the day's chaos arrives and remind me that a solution — whether to a puzzle or employment law issue — almost always exists once I find the right angle, says Amy Epstein Gluck at Pierson Ferdinand.

• How Anthropic's Mythos May Upend Defense Cyber Rules

  

  Anthropic’s recent announcement that Claude Mythos, an AI general-purpose language model, could soon enable virtually anyone to exploit vulnerabilities in major web browsers and operating systems marks an imminent increase in threat levels that current defense cybersecurity regulations were not designed to navigate, say attorneys at Fluet.

• Tracking Tech Suit Is A Risk Management Reminder For Cos.

  

  The Fifth Circuit recently heard oral argument in Rand v. Eyemart Express — an appeal that could reshape the legal landscape for businesses that deploy tracking tech on their websites — underscoring the importance of proactive risk management for companies across multiple industries, say attorneys at Blank Rome.