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Corporate
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September 19, 2025
GC Cheat Sheet: The Hottest Corporate News Of The Week
The SEC issued a policy statement that allows the use of mandatory arbitration by new publicly traded companies, but Democrats warned the move could shut the door to shareholder class actions. Meanwhile, a wrongful death suit claiming that ChatGPT aided in a teenager's suicide is set to be a high-stakes test of the responsibilities that AI firms will have toward vulnerable users. These are some of the stories in corporate legal news you may have missed in the past week.
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September 19, 2025
Law Firm Seeks To Ax Suit From Ex-OneTaste Staffer
Kohn Swift & Graf PC is urging a Pennsylvania federal court to toss a former client's legal malpractice suit alleging the firm was negligent when it represented her in connection with a federal subpoena related to an investigation into sexual wellness company OneTaste, saying her negligence claims are "exceptionally vague."
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September 19, 2025
Hagens Berman Seeks To Limit Sanctions For AI Mistakes
A Hagens Berman Sobol Shapiro LLP partner should face only limited sanctions and the firm shouldn't be sanctioned at all over a contract attorney's use of artificial intelligence to generate legal briefs in a proposed class action against online platform OnlyFans since its attorneys did not act in bad faith, the firm told a California federal judge.
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September 19, 2025
Faegre Drinker Hires Corporate Atty From Greenberg Traurig
Faegre Drinker Biddle & Reath LLP has announced it has welcomed a New York-based corporate lawyer from Greenberg Traurig LLP.
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September 19, 2025
Philly Pizzeria Owner Says Coup-Minded Partner Stole Dough
The co-owner of a South Philadelphia pizzeria took dough from the joint enterprise's bank account and made plans to slice his partner out of the venture, according to a Pennsylvania state court complaint.
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September 19, 2025
Greenberg Traurig Adds Venture Capital Atty From O'Melveny
Greenberg Traurig LLP has brought on an O'Melveny & Myers LLP partner in its Los Angeles office, strengthening its venture capital practice with an attorney who has guided clients on hundreds of transactions that total over $10 billion.
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September 19, 2025
NJ DOL Snags $19M From Lyft After Misclassification Audit
Lyft shelled out more than $19 million after an audit by the New Jersey Department of Labor and Workforce Development found that the ride-hailing company misclassified more than 100,000 drivers as independent contractors, the agency announced this week.
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September 19, 2025
Firm Says Newsmax Wants 'Haircut' On Fees In Dominion Suit
Todd & Weld LLP said Newsmax has refused to pay outstanding billings for the Boston-based boutique's work in defending the cable news channel from a Dominion Voting Systems defamation suit.
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September 19, 2025
USPTO's Top Solicitors To Leave Amid Continued Shake-Ups
The legal department at the U.S. Patent and Trademark Office is facing some shake-ups, with two of its top officials slated to leave the agency in the coming weeks.
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September 19, 2025
Sirva Sues Ex-General Counsel Over $2.6M Fund Transfers
Moving giant Sirva has sued the ex-general counsel of a predecessor company, seeking a declaration from a New Jersey federal court that it is the rightful owner of $2.6 million in funds it says the lawyer sent to a bank account he controls for an investment entity.
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September 19, 2025
Google Must Face Suit Over Mideast Protest Firings
Google managed to narrow, but couldn't knock out, a proposed class action challenging the firings of employees who protested the company's connections to the Israeli military, as a California federal court said it's too soon to decide if the in-office dissent lost the protection of federal anti-retaliation law.
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September 18, 2025
Starbucks Accused Of Not Paying For 'Restrictive' Dress Code
Starbucks employees from Colorado, Illinois and California on Wednesday launched legal actions against the coffeehouse giant for allegedly refusing to reimburse them for clothing and shoes despite requiring a new dress code.
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September 18, 2025
'My Life Ended In That Car,' Uber Assault Accuser Says
A woman suing Uber over claims a driver sexually assaulted her told a San Francisco jury Thursday that "my life ended in that car" because of the lasting effects of the traumatic attack, and explained tearfully that she gave the driver a five-star review out of fear he'd come after her.
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September 18, 2025
BofA Unit To Pay $5.6M To End DOJ Market Manipulation Case
The U.S. Department of Justice said Thursday that an investment banking arm of Bank of America Corp. will pay roughly $5.6 million to resolve a criminal investigation into market manipulation allegations involving two now-former traders on its U.S. Treasurys desk.
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September 18, 2025
SEC Eases Path For Crypto ETPs With New Listing Rules
The U.S. Securities and Exchange Commission has eased a key part of the listing process for crypto exchange-traded products, and attorneys say the move may create a shorter path to market for years to come.
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September 18, 2025
Delaware Judge Calls For Civility After 'Annus Horribilis'
In a rare postscript to her bench ruling this week, a Delaware vice chancellor lamented what she observed as a breakdown in the state bar's civility and mutual respect over the past "annus horribilis," comments that have since drawn cautious support and resonance with several in the First State's legal community.
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September 18, 2025
Kong Toy Owners Blame Each Other For Deal Breach
After more than three weeks, the co-owners of dog toy maker Kong Co. LLC ended their bench trial over violated company agreements with closing arguments Thursday, with one side claiming they were being forced out while the other arguing they were being ripped off.
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September 18, 2025
Arbitration Clauses Won't Protect IPOs From Investor Suits
With the U.S. Securities and Exchange Commission greenlighting the use of mandatory arbitration clauses for newly public companies, securities litigation experts are waiting to see whether any company is willing to risk the almost inevitable legal blowback that will come with taking advantage of the policy.
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September 18, 2025
Texas Co. Sues Over Unpaid Work On NJ Mall Gaming Site
An Austin, Texas, company is claiming in New Jersey state court that a client is hiding behind a web of companies to avoid paying $500,000 for a job to furnish and install lighting features at an interactive gaming attraction in New Jersey's American Dream mall.
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September 18, 2025
'Virtual CFO' To Internet Scammers Gets 4 Years
A Rhode Island man who copped to money laundering and obstructing justice in connection with claims his "virtual CFO" business helped internet fraudsters launder over $35 million was sentenced to four years behind bars, Boston prosecutors have announced.
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September 18, 2025
Amazon Must Face Buyers' Antitrust Suit Over Pricing Policy
A Manhattan federal judge on Thursday allowed consumers' lawsuit targeting a policy Amazon had in place until March 2019 that restricted sellers from offering cheaper prices elsewhere to proceed under antitrust and consumer protection laws in 25 states, but tossed claims brought under Kansas, Mississippi, Missouri and Tennessee laws.
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September 18, 2025
FTC Sues Live Nation, Claiming Illegal Ticketing Tactics
The Federal Trade Commission and seven states accused Live Nation and Ticketmaster in California federal court on Thursday of deceiving customers and artists by not disclosing fees and by helping brokers buy and resell millions of dollars' worth of tickets at a substantial markup.
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September 18, 2025
FTC Greenlights Amazon Prime Trial For Next Week
A Seattle federal judge has cleared the Federal Trade Commission's consumer protection case against Amazon to go to trial on Monday, finding the company violated at least one requirement of an e-commerce law, yet jurors must still decide if it clearly disclosed Prime subscription terms to users and offered simple cancellation methods.
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September 18, 2025
Microsoft Whistleblower Suit Can Proceed, Judge Says
A former Microsoft worker can keep pursuing his federal whistleblower claim in his suit accusing the company of firing him for flagging compliance issues and misconduct, a Texas federal court ruled in its order determining the employee's alleged failure to utilize administrative proceedings does not bar him from bringing the claims.
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September 18, 2025
Wells Fargo To Pay $48.5M To End Senior Banker OT Suit
A proposed class of Wells Fargo employees known as "senior premier bankers" asked a California federal judge to give the first OK to a $48.5 million settlement resolving claims that the bank wrongfully exempted thousands of such workers from receiving overtime pay.
Expert Analysis
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Evading DOJ Crosshairs As Data Security Open Season Starts
As the U.S. Department of Justice begins enforcing its new data security program — aimed at preventing foreign adversaries from accessing government-related and personal sensitive data — U.S. companies will need to understand the program’s contours and potential pitfalls to avoid potential civil liability or criminal scrutiny, say attorneys at Cohen & Gresser.
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How Trump's Trade Policies Are Shaping Foreign Investment
Five months into the Trump administration, investors are beginning to see the concrete effects of the president’s America First Investment Policy as it presents new opportunities for clearing transactions more quickly, while sustaining risk aversion related to Chinese trade and potentially creating different political risks, say attorneys at Covington.
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Series
My Opera And Baseball Careers Make Me A Better Lawyer
Though participating in opera and the world of professional baseball often pulls me away from the office, my avocations improve my legal career by helping me perform under scrutiny, prioritize team success, and maintain joy and perspective at work, says Adam Unger at Herrick Feinstein.
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FTC Focus: Enforcers Study AI Innovation And Entrenchment
The Federal Trade Commission and other regulators setting their sights on the burgeoning artificial intelligence ecosystem are considering how the government should approach innovation in tech markets that tend, almost inevitably, toward concentration, say attorneys at Proskauer.
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Policy Shifts Bring New Anti-Money Laundering Challenges
In the second half of 2025, the U.S. anti-money laundering regulatory landscape is poised for decisive shifts in enforcement priorities, compliance expectations and legislative developments — so investment advisers and other financial institutions should take steps to prepare for potential new obligations and areas of risk, say attorneys at Linklaters.
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8 Ways Lawyers Can Protect The Rule Of Law In Their Work
Whether they are concerned with judicial independence, regulatory predictability or client confidence, lawyers can take specific meaningful actions on their own when traditional structures are too slow or too compromised to respond, says Angeli Patel at the Berkeley Center of Law and Business.
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Kousisis Concurrence Maps FCA Defense To Anti-DEI Suits
Justice Clarence Thomas' recent concurrence in Kousisis v. U.S. lays out how federal funding recipients could use the high standard for materiality in government fraud cases to fight the U.S. Justice Department’s threatened False Claims Act suits against payees deviating from the administration’s anti-DEI policies, say attorneys at Miller & Chevalier.
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Assessing New Changes To Texas Officer Exculpation Law
Consistent with Texas' recent modernization of its corporate law, the recently passed S.B. 2411 allows officer exculpation, streamlines certificate of formation amendments, authorizes representatives to act on shareholders' behalf in mergers and makes other changes aimed toward companies seeking a more codified, statutory model of corporate governance, say attorneys at Bracewell.
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Google Damages Ruling Offers Lessons For Testifying Experts
The Federal Circuit's recent decision in EcoFactor v. Google represents a shift in how courts evaluate expert testimony in patent cases, offering a practical guide for how litigators and testifying experts can refine their work, says Adam Rhoten at Secretariat.
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Is SEC Moving Away From Parallel Insider Trading Cases?
The U.S. Securities and Exchange Commission's apparent lack of follow-up in four recent criminal cases of insider trading brought by the Justice Department suggests the SEC may be reconsidering the expense and effort of bringing parallel civil charges for insider trading, say attorneys at Dentons.
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Series
Law School's Missed Lessons: Communicating With Clients
Law school curricula often overlook client communication procedures, and those who actively teach this crucial facet of the practice can create exceptional client satisfaction and success, says Patrick Hanson at Wiggam Law.
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3 Judicial Approaches To Applying Loper Bright, 1 Year Later
In the year since the U.S. Supreme Court overturned Chevron deference in its Loper Bright Enterprises v. Raimondo decision, a few patterns have emerged in lower courts’ application of the precedent to determine whether agency actions are lawful, say attorneys at Husch Blackwell.
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Navigating Antitrust Risks When Responding To Tariffs
Companies should assess competitive perils, implement compliance safeguards and document independent decision-making as they consider their responses to recent tariff pressures, say attorneys at White & Case.
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8 Insurer Takeaways From Sweeping Georgia Tort Reform
Insurers should take note of several critical components of Georgia's tort litigation overhaul — including limitations on damages anchoring, procedural rules governing dismissals, and liability standards in negligent security cases — and adapt claims-handling strategies to reduce litigation risk, says Lucy Aquino at Cozen O'Connor.
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Bill Leaves Renewable Cos. In Dark On Farmland Reporting
A U.S. Senate bill to update disclosure requirements for foreign control of U.S. farmland does not provide much-needed guidance on how to report renewable energy development on agricultural property, leaving significant compliance risks for project developers, say attorneys at Hodgson Russ.