The U.S. Securities and Exchange Commission announced Thursday that two JPMorgan Chase & Co. affiliates agreed to pay $151 million to resolve five separate enforcement actions over a number of allegations, including making misleading disclosures to investors and failing to make recommendations in the best interest of customers.
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MONDAY, NOVEMBER 4, 2024 Law360 iOS App Law360 Android App Follow Law360 on Facebook Follow Law360 on LinkedIn Follow Law360 on Twitter

TOP NEWS

JPMorgan To Pay $151M To Resolve SEC Disclosure Claims

By Lauren Berg

The U.S. Securities and Exchange Commission announced Thursday that two JPMorgan Chase & Co. affiliates agreed to pay $151 million to resolve five separate enforcement actions over a number of allegations, including making misleading disclosures to investors and failing to make recommendations in the best interest of customers.

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Warren Says DOJ's 'Legal Gymnastics' Let TD Bank Off Easy

By Sarah Jarvis

U.S. Sen. Elizabeth Warren, D-Mass., pressed Attorney General Merrick Garland on Thursday over what she characterized as a lax settlement agreement for TD Bank earlier this month and the Justice Department's "legal gymnastics" that left top bank executives off the hook.

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Meta Says CFPB Mulling Enforcement Action Over Advertising

By Jon Hill

Meta, the parent company of Facebook and Instagram, said Thursday that it is facing a potential Consumer Financial Protection Bureau enforcement action following an agency probe into financial-related advertising on its platform.

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Scott + Scott Sues Robins Kaplan For $5M In Swipe Deal Fees

By Rachel Scharf

Scott + Scott Attorneys at Law LLP alleged in a New York state court lawsuit that Robins Kaplan LLP, its co-counsel in antitrust litigation over Visa Inc. and Mastercard's interchange fees, is withholding $5 million in promised payouts from the case's $5.6 billion settlement.

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Latham Hit With Sanctions In Banc Of California Securities Suit

By Lauren Berg

A California federal judge found Latham & Watkins LLP and its ex-client, former Banc of California CEO Steven A. Sugarman, in civil contempt for "flagrant violations" of a protective order covering discovery produced by investment firm Muddy Waters Capital in a securities fraud class action, according to an order unsealed this week.

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Berkshire Bank Escapes Claims It Aided $90M Ponzi Scheme

By Rae Ann Varona

A New York federal judge on Thursday freed Berkshire Bank from a proposed class action that alleged it helped a local businessman's $90 million Ponzi scheme for roughly a decade, saying an investor in a fund central to the scheme didn't show the bank had actual knowledge of the fraud.

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NY Court Urged To Reject 'Audacious' Shareholder Test Cases

By Jessica Corso

Leading business groups have come to the aid of Bayer AG and Barclays PLC as the companies seek to fend off a pair of "audacious" test cases that have landed in New York's highest court, with the groups arguing that allowing the lawsuits to move forward would flood the state court with derivative lawsuits against foreign companies and overturn decades of precedent.

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LAW360 PULSE LEADERBOARD

The 2024 Law360 Pulse Leaderboard

Check out the Law360 Pulse Leaderboard to see which firms made the list of leaders in all-around excellence this year.

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Firms' Hiring Strategies Are Evolving In Fight For Top Spot

By Xiumei Dong

Competition for top talent among elite law firms shows no signs of slowing down, even amid economic uncertainty, with financially strong firms deploying aggressive strategies to attract and retain skilled professionals to solidify their market position.

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MVP

MVP: Paul Hastings' Morgan Bale

By Sydney Price

Morgan Bale of Paul Hastings LLP's global finance practice leads investment and commercial banks — including Bank of America, Barclays, Citi, Goldman Sachs, JPMorgan Chase & Co., Morgan Stanley and Wells Fargo — in acquisition finance and other complex multibillion-dollar lending transactions, earning him a spot as one of the 2024 Law360 Banking MVPs.

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ENFORCEMENT & COMPLIANCE

Analysis

What DOJ's New National Security Obsession Means For Attys

By Phillip Bantz

The Justice Department’s emerging criminal crackdown on corporate national security violations is putting increased pressure on white collar lawyers to be conversant, if not experts, on opaque, complex and swiftly evolving regulations.

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Ex-Goldman Exec Says 1MDB Judge Thwarted His Defense

By Stewart Bishop

Former Goldman Sachs executive Roger Ng on Thursday told the Second Circuit that his trial defense over the massive $6.5 billion 1MDB scheme was marred by the wrongful exclusion of video evidence that supported his claim that $35 million he received in alleged kickbacks was actually investment proceeds.

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3rd Circ Rejects Charter Co. Exec's Ineffective Counsel Claims

By Emily Sawicki

The co-founder and former executive of a now-defunct public air charter operator has lost a bid to escape a fraud conviction on the grounds her lawyers provided ineffective counsel in her criminal trial, with a unanimous Third Circuit panel determining the jury would not have been swayed by a different trial strategy.

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LITIGATION

2nd Circ. Draws BDO Back In Investor Suit In Revised Opinion

By Sarah Jarvis

The Second Circuit on Thursday reversed course in an amended opinion about an investor suit over financial restatements made by AmTrust Financial Services Inc., finding that auditor BDO USA LLP is not off the hook for certifying the insurer's financial statements.

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Feds: No 'Willfulness' Needed In Texas AG-Tied Investor Case

By Spencer Brewer

Federal prosecutors asked a Texas federal judge to reject an attempt by an investor at the center of the failed impeachment of Texas Attorney General Ken Paxton to toss the fraud case, saying Wednesday that "willfulness" isn't needed for a conspiracy to commit wire fraud conviction.

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NJ Agency Accused Of Wrongfully Firing Legal Professional

By Rose Krebs

A former legal professional for the New Jersey Economic Development Authority has filed a lawsuit against her ex-employer in state court, alleging the agency discriminated against her because of her disability and wrongfully fired her during a trying time in her life.

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PEOPLE

Hinshaw Sees Fintech Pro Rejoin Firm From Ballard Spahr

By Sydney Price

Hinshaw & Culbertson LLP on Thursday said a former partner has returned to the firm's consumer financial services practice in Los Angeles after two years at Ballard Spahr. 

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Davis Wright Tremaine Adds Bank Regulatory Attorney In DC

By Jack Rodgers

A bank regulatory attorney who worked previously with the International Monetary Fund and the Federal Deposit Insurance Corp. has joined Davis Wright Tremaine LLP as a partner, the firm announced Wednesday.

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Vinson & Elkins To Open Denver Office With Plans To Expand

By Emily Sawicki

Three Vinson & Elkins LLP partners have been tapped to open the firm's newest office in Denver, the firm announced Thursday, amid an effort to expand its client base and talent roster in the Mountain West region.

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EXPERT ANALYSIS

Election Outcome Could Reshape Financial Industry

The policies of the next presidential administration and Congress will shape the landscape of financial services in the U.S. — including banking, mortgage, investment and credit services — for years to come, affecting Wall Street investors and aspiring homeowners alike, say Alexander Hecht and Frank Guinta at Mintz.

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Reading Tea Leaves In Fed. Circ. Deep Dive On Review Scope

Roy Wepner at Kaplan Breyer investigates why a recent Federal Circuit opinion spent six pages explaining its unsurprising conclusion on proper scope of review — that no deference need be afforded to the trial court in a case dismissed for failure to state a claim.

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NY Tax Talk: Questions In Corporate Franchise Tax Regs Case

In the first challenge to New York's Corporate Franchise Tax regulations — Paychex v. Department of Taxation and Finance — the court has an important opportunity to provide clarity on a major retroactive application issue, say attorneys at Eversheds Sutherland.

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How Judiciary Can Minimize AI Risks In Secondary Sources

Because courts’ standing orders on generative artificial intelligence and other safeguards do not address the risk of hallucinations in secondary source materials, the judiciary should consider enlisting legal publishers and database hosts to protect against AI-generated inaccuracies, say attorneys at Lankler Siffert & Wohl.

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LEGAL INDUSTRY

Legal Hiring Continued Upward Trajectory In October

By Aebra Coe

The U.S. legal sector logged its second month in a row of job number increases in October, following a four-month-long period of decline this spring and summer, according to preliminary figures released Friday by the Bureau of Labor Statistics.

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The Top In-House Hires Of October

By Sue Reisinger

Legal department hires and changes during the month of pumpkins and goblins included new roles for top attorneys with Nike, a high-profile appointment at Madison Square Garden Sports Corp. and a promotion to CEO for the general counsel at UnitedLex.

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Analysis

How 2024 Election Litigation May Look Different From 2020

By Jack Karp

Courts are fielding a flood of lawsuits over the 2024 presidential election, with more certainly to come, but those suits may have some significant differences from the ones that played out in 2020, according to experts.

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Pa. High Court Says Undated Ballots Still Won't Count Nov. 5

By Hailey Konnath

The Pennsylvania Supreme Court held Friday that mail-in votes in the fast-approaching general election can still be thrown out if they have missing or "incorrect" dates on their outer envelopes, a ruling that comes just days after a state appellate court found that the practice was unconstitutional.

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Brief

Philly DA Gets Remand Of Suit Over Musk's $1M 'Lottery'

By P.J. D'Annunzio

Philadelphia District Attorney Larry Krasner's suit over Elon Musk's $1 million giveaway to voters in swing states has been sent back to where it started, with a Pennsylvania federal judge ruling Friday that the case belongs in state court.

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Analysis

What Happens To Ga. Election Case If Trump Wins?

By Kelcey Caulder

The fate of the Georgia election interference case against former President Donald Trump is on the ballot this November, according to legal experts, who told Law360 that a Trump victory would likely mean any trial would have to wait until he completes his term in office.

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Meet The Attys Arguing Meta's High Court Disclosure Suit

By Jessica Corso

Both Meta Platforms and its investors are calling in the big guns as two U.S. Supreme Court veterans are set to go head-to-head Wednesday in a case that could limit the types of information corporations are required to disclose to shareholders.

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Analysis

Wheeling & Appealing: The Latest Must-Know Appellate Action

By Jeff Overley

One circuit court will hold an oral argument for the history books, with dizzying logistics and stakes surpassing almost anything on the U.S. Supreme Court's calendar. Other circuit showdowns will delve into the high court's latest opinions and flesh out fascinating feuds involving big beer brands and emerging theories of "administrative state" overreach. All that and more is making November a month of exceptional appellate intrigue.

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Jackson Walker Rips Trustee's Judge Romance Fee Clawback

By Jack Karp

The U.S. Trustee's Office is exceeding its authority as a "watchdog" in seeking to claw back money paid to Jackson Walker LLP in bankruptcy cases because the judge presiding over those cases was having a secret relationship with a firm partner, the firm told a Texas federal bankruptcy court.

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Judge In Philly Inquirer Data Sharing Case Won't Join Class

By Nadia Dreid

The Pennsylvania federal judge overseeing a consolidated action accusing the Philadelphia Inquirer of sharing subscribers' video viewing habits with Meta is eligible to join the class, but has decided to renounce his right to class membership in order to continue being the judge.

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Chicago Judge Erred After Illness Sidelined Atty, Court Says

By Dorothy Atkins

An Illinois appeals court has scrapped a $480,000 judgment against a now-shuttered Chicago restaurant for unpaid rent following the COVID-19 pandemic, finding that a county judge erred by refusing to delay the trial even though the restaurant's counsel had a medical emergency, which left the restaurant without legal representation.

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Law360's Legal Lions Of The Week

By Aebra Coe

Kicking off this week's legal lions list are nine large law firms celebrating a big win in New York after a federal judge threw out a $14 billion complaint against their retailer and drugmaker clients in multidistrict litigation accusing them of making and selling ineffective over-the-counter decongestants.

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GC Cheat Sheet: The Hottest Corporate News Of The Week

By Emily Sawicki

Philadelphia's district attorney sued Elon Musk over his $1 million daily giveaway to swing state voters who sign a pledge supporting the U.S. Constitution. And Meta told investors the Consumer Financial Protection Bureau is considering an enforcement action over the social media giant's financial products and services advertisements.

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UK Litigation Roundup: Here's What You Missed In London

By Laura Stewart Liberty

This past week in London has seen two industry magnates take on the Gambling Commission, Ordinance Survey hit with a claim from a Swiss GPS maker, and China's largest oil company PetroChina face a claim from a Polish documentary maker. Here, Law360 looks at these and other new claims in the U.K.

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In Case You Missed It: Hottest Firms And Stories On Law360

For those who missed out, here's a look back at the law firms, stories and expert analyses that generated the most buzz on Law360 last week.

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Promo that reads 2024 MVPs Promo that reads Law360 Pulse Prestige Leaders

COMPANIES IN TODAY'S NEWS

Abbott Laboratories

Adobe Inc.

Aetna Inc.

Altair Engineering Inc.

AmTrust Financial Services Inc.

Amalgamated Bank

Amazon.com Inc.

American Bar Association

American Civil Liberties Union

American Civil Liberties Union of Pennsylvania

American Express Co.

American Steamship Owners Mutual Protection & Indemnity Association Inc.

Amneal Pharmaceuticals Inc.

Anheuser-Busch Inbev SA/NV

Apple Inc.

Associated Wholesale Grocers Inc.

AstraZeneca PLC

BC Partners

BDO LLP

BDO USA LLP

Banc of California Inc.

Bank of America Corp.

Bank of Charles Town

Barclays PLC

Bayer AG

Berkshire Hills Bancorp Inc.

Binance.US

Bouygues

Bouygues Construction SA

Boy Scouts of America

CVS Health Corp.

California Western School of Law

Campaign Legal Center

Carnival Corp. & PLC

Cause of Action Institute

Chevron Corp.

Consumer Watchdog

CrowdStrike Holdings Inc.

Dell Technologies Inc.

Entain PLC

Frontier Communications Parent Inc.

GE HealthCare Technologies Inc.

GEROVA Financial Group Ltd.

GardaWorld Security Corp.

George Washington University

Georgia State University

GitHub Inc.

GlaxoSmithKline Consumer Healthcare Ltd.

Google LLC

Haleon PLC

Hatch Henderson Fivel LLC

Instagram Inc.

Intuit Inc.

J. Crew Group Inc.

JPMorgan Chase & Co.

Jefferies Financial Group Inc.

Johnson & Johnson

KFC Corp.

Lennox International Inc.

LexisNexis Legal & Professional

LinkedIn Corp.

Live Nation Entertainment Inc.

London Stock Exchange Group PLC

Lone Star Funds

LoveSac Alternative Furniture Co.

Lyft Inc.

Madison Square Garden Entertainment Corp.

Major Lindsey & Africa LLC

Manchester United

Masimo Corp.

MasterCard Inc.

Medallion Midstream LLC

Medtronic PLC

Meta Platforms Inc.

Micron Technology Inc.

Microsoft Corp.

Molson Coors Beverage Co.

Monsanto Co.

Morgan Stanley

NVIDIA Corp.

National Basketball Association Inc.

National Rifle Association of America

New York City Bar Association

New York Knicks

New York Rangers

New York State Bar Association

New York University

Nike Inc.

Nordex Inc.

ONEOK Inc.

Occidental Petroleum Corp.

Paychex Inc.

PetroChina Company Limited

Pfizer Inc.

Pizza Hut Inc.

Purdue Pharma LP

RELX PLC

RealPage Inc.

Royal Caribbean Cruises Ltd.

SIFMA

Sealed Air Corp.

Siemens AG

Slack Technologies Inc.

Space Exploration Technologies Corp.

Target Corp.

Teleflex Inc.

Tesla Inc.

Teva Pharmaceutical Industries Ltd.

The Goldman Sachs Group Inc.

The Goodyear Tire & Rubber Co.

The Kraft Heinz Co.

The Philadelphia Inquirer LLC

The Procter & Gamble Co.

The State University of New York

Toronto-Dominion Bank

Twitter Inc.

U.S. Chamber of Commerce

Uber Technologies Inc.

UnitedLex Corp.

University of Virginia

Verizon Communications Inc.

Virgin Atlantic Airways Ltd.

Visa Inc.

Vitol Inc.

Walmart Inc.

Wells Fargo & Co.

YouTube Inc.

Yum Brands Inc.

LAW FIRMS IN TODAY'S NEWS

8 New Square

Adams & Reese

Addleshaw Goddard

Arnold & Porter

Bailey & Glasser

Ballard Spahr

Bernstein Litowitz

Boodle Hatfield

Brabners LLP

BraunHagey & Borden

Brett Wilson LLP

Buckley LLP

Bunsow De Mory

Bush Gottlieb

Campbell Johnston

Candey Ltd.

Cleary Gottlieb

Clement & Murphy

Cooke Young

Covington & Burling

Crowell & Moring

DLA Piper

Davis Polk

Davis Wright Tremaine

Debevoise & Plimpton

Edmonds Marshall McMahon

Edwin Coe

Eversheds Sutherland

Fieldfisher

Fried Frank

Gainey McKenna

Gibson Dunn

Goldenberg Schneider

Goldstein & Russell

Goodwin Procter

Greenberg Traurig

Hangley Aronchick

Herbert Smith Freehills

Hinshaw & Culbertson

Hogan Lovells

Jackson Walker LLP

Jenner & Block

Jones Day

K&L Gates

Kahn Swick

Kaplan Breyer

Keller Postman

Kellogg Hansen

King & Spalding

Kirkland & Ellis

Kleinbard LLC

Kramer Levin

Kramon & Graham

Labaton Keller

Lankler Siffert & Wohl

Latham & Watkins

Lichten & Liss Riordan

Littler Mendelson

Locke Lord

Lowenstein Sandler

Mayer Brown

McDermott Will & Emery

McGuireWoods

Michelman & Robinson

Milbank LLP

Mintz Levin

Morgan Lewis

Morrison Foerster

Nelson Mullins

Norton Rose

O'Melveny & Myers

Orrick Herrington

Paul Hastings

Paul Weiss

Peiffer Wolf

Peri & Stewart

Pinsent Masons

Pomerantz LLP

Powers & Santola

Procopio Cory

Pullman & Comley

Quinn Emanuel

RWK Goodman

Robbins Geller

Robins Kaplan

Rusty Hardin & Associates

Scott&Scott

Shapiro Arato

Sidley Austin

Silver Law Group

Simpson Thacher & Bartlett LLP

Skadden Arps

Spector Roseman

Stephens Scown

Stikeman Elliott

Sullivan & Cromwell

The Gober Group PLLC

Troutman Pepper

Venable LLP

Vinson & Elkins

Wachtell Lipton

Wards Solicitors

White & Case

Williams & Connolly

WilmerHale

Wilson Sonsini

​Bottini & Bottini

GOVERNMENT AGENCIES IN TODAY'S NEWS

Arkansas Teacher Retirement System

Bureau of Labor Statistics

California Privacy Protection Agency

Colorado Supreme Court

Consumer Financial Protection Bureau

Federal Bureau of Investigation

Federal Communications Commission

Federal Deposit Insurance Corp.

Federal Reserve System

Federal Trade Commission

Financial Crimes Enforcement Network

Florida Supreme Court

Food and Drug Administration

Georgia Court of Appeals

Georgia Supreme Court

Illinois Supreme Court

International Monetary Fund

Michigan Supreme Court

National Archives and Records Administration

National Labor Relations Board

New Jersey Attorney General's Office

New Jersey Department of Banking and Insurance

New York Attorney General's Office

New York State Department of Taxation and Finance

New York State Tax Appeals and Tax Appeals Tribunal

New York Supreme Court, New York County

Office of the Comptroller of the Currency

Oklahoma Court of Criminal Appeals

Oklahoma Supreme Court

Pennsylvania General Assembly

Pennsylvania Supreme Court

Small Business Administration

Texas House of Representatives

Texas State Senate

Texas Supreme Court

U.S. Attorney's Office for the Eastern District of New York

U.S. Attorney's Office for the Northern District of California

U.S. Attorney's Office for the Western District of Texas

U.S. Court of Appeals for the Eighth Circuit

U.S. Court of Appeals for the Federal Circuit

U.S. Court of Appeals for the Fifth Circuit

U.S. Court of Appeals for the Second Circuit

U.S. Court of Appeals for the Third Circuit

U.S. Department of Justice

U.S. Department of the Treasury

U.S. District & Bankruptcy Courts of Southern District of Texas

U.S. District Court for the Central District of California

U.S. District Court for the Eastern District of New York

U.S. District Court for the Eastern District of Pennsylvania

U.S. District Court for the Northern District of New York

U.S. District Court for the Northern District of Texas

U.S. District Court for the Western District of Texas

U.S. Securities and Exchange Commission

U.S. Supreme Court

UK High Court