A Seventh Circuit judge took issue Tuesday with a U.S. Tax Court's finding that Hyatt should report $300 million in rewards program fund revenue, saying the decision seemed to focus on a factor that was shot down by decades-old legal precedent.
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WEDNESDAY, SEPTEMBER 17, 2025 Law360 iOS App Law360 Android App Follow Law360 on Facebook Follow Law360 on LinkedIn Follow Law360 on Twitter

TOP NEWS

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$300M Hyatt Rewards Tax Ruling Criticized By 7th Circ. Judge

By Lauraann Wood

A Seventh Circuit judge took issue Tuesday with a U.S. Tax Court's finding that Hyatt should report $300 million in rewards program fund revenue, saying the decision seemed to focus on a factor that was shot down by decades-old legal precedent.

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Federal Court Reporter Beats Transcript Omission Claim

By Celeste Bott

A court reporter for an Illinois federal judge Tuesday defeated a lawsuit brought by a pro se plaintiff alleging she failed to transcribe part of a hearing and left out statements that would be damaging to the judge in an underlying employment dispute.

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7th Circ. Judge Wary Of Pilots' Bid To Amend Vax Bias Claims

By Celeste Bott

A Seventh Circuit judge on Tuesday pushed counsel for two United Airlines pilots to address how the lower court abused its "very broad" discretion in refusing to allow them to file a third amended complaint accusing the airline of religious discrimination, after they were placed on unpaid leave despite religious exemptions from the airline's COVID-19 vaccination mandate.

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Ill. Hospital Nonprofit Must Face Tobacco Fee Suit

By Kellie Mejdrich

An Illinois federal judge refused to toss the bulk of a proposed class action from an Illinois hospital worker who claimed a fee on the employee health plans of tobacco users was discriminatory and breached fiduciary duties under benefits law, finding most allegations sufficiently backed up to survive dismissal.

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7th Circ. Judge Questions NCAA's Duty In Harassment Suit

By Lauraann Wood

A Seventh Circuit judge seemed skeptical Tuesday that a district court incorrectly tossed University of San Francisco baseball players' sexual harassment suit at the pleading stage, saying the students seem to be seeking a "fishing expedition" for evidence to support their claims.

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LITIGATION

DOE Asks Judge To Pull Plug On States' Cost Cap Suit

By Tom Lotshaw

The U.S. Department of Energy has asked an Oregon federal judge to toss a New York-led lawsuit challenging a new policy that would cap certain overhead costs under energy assistance awards, arguing the change falls within its discretionary authorities.

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Feds Oppose Sierra Club's Bid To Freeze $50M In Border Funds

By Elaine Briseño

The Trump administration told a California federal court Monday that forcing it to honor a settlement agreement between the Sierra Club and the Biden administration to use $50 million in border security funds on environmental projects would place the government between two conflicting court orders.

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DEALS

AI Startup Boost Run To Go Public Via $614M SPAC Merger

By Jade Martinez-Pogue

Artificial intelligence cloud infrastructure and high performance compute provider Boost Run LLC on Tuesday announced plans to go public by merging with special purpose acquisition company Willow Lane Acquisition Corp. in a $614 million deal built by Ellenoff Grossman & Schole LLP and Winston & Strawn LLP.

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EXPERT ANALYSIS

Considerations For Cos. Amid Wave Of CFPB Vacatur Bids

As some entities look to vacate prior voluntary agreements with the Consumer Financial Protection Bureau, there are several considerations companies should take into account before seeking to vacate their settlements in the current legal and regulatory environment, says Jasmine Jean-Louis at Goodwin.

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7 Document Review Concepts New Attorneys Need To Know

For new associates joining firms this fall, stepping into the world of e-discovery can feel like learning a new language, but understanding a handful of fundamentals — from coding layouts to metadata — can help attorneys become fluent in document review, says Ann Motl at Bowman and Brooke.

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LEGAL INDUSTRY

Ex-Calif. Judge Gets 35 Years For Shooting Wife To Death

By Gina Kim

Former California state court judge Jeffrey M. Ferguson lost his bid for a new trial Wednesday and was sentenced to 35 years to life in prison for shooting his wife to death at home in a drunken rage, with the presiding judge expressing sympathy for his "extraordinary" son who tried to save his mother's life.

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Feds Want 3 Years For Girardi Son-In-Law's Chicago Contempt

By Lauraann Wood

Tom Girardi's son-in-law should receive a three-year prison sentence for his admitted role in helping the once-celebrated plaintiffs' lawyer steal millions from Lion Air crash victims, federal prosecutors in Chicago argued Wednesday.

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7th Circ. Pick Shrugs Off Conservative Group's Opposition

By Courtney Bublé

During her confirmation hearing on Wednesday, Rebecca Taibleson, a federal prosecutor in Wisconsin tapped for the Seventh Circuit, fended off opposition to her nomination from conservative groups, antipathy that the top Democrat on the Senate Judiciary Committee called a "new low" for the committee.

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House Votes To End DC Judicial Nominations Commission

By Courtney Bublé

The U.S. House of Representatives voted 218-211 along party lines on Wednesday to eliminate the commission that vets and picks potential judicial nominees for Washington, D.C.'s local courts.

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Retired Judges Speak Out On 'Threats' To Constitution

By Courtney Bublé

More than 40 retired federal judges appointed by presidents of both parties released an open letter Wednesday, the anniversary of the signing of the Constitution, saying they sought to underscore the importance of the rule of law at a time when the nation's ideals "are under historic strain."

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Del. Judge's US Atty Application Plan Draws Blanche's Ire

By Lauren Berg

Delaware's chief district judge, a Trump appointee, is seeking applications for the state's U.S. attorney position to prepare for an upcoming vacancy in the interim position, a move that drew the ire of Deputy U.S. Attorney General Todd Blanche on Wednesday.

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Giuliani Must Pay Attys $1.4M After Missing Bills Claim Fails

By Adrian Cruz

A New York state judge has awarded nearly $1.4 million to Davidoff Hutcher & Citron LLP in its lawsuit accusing former New York City Mayor Rudy Giuliani of racking up unpaid legal bills for the firm's work in various criminal, civil and administrative matters.

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Criminal Restitution Fails Defendants, Victims, Report Says

By Brandon Lowrey

Federal criminal restitution often fails to benefit victims of crime and throws defendants into a "Sisyphean struggle" with debt, with $100 billion in outstanding restitution deemed uncollectable, according to a report released this week by the National Association of Criminal Defense Lawyers.

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SEC Policy Shift Could Foreclose Some Investor Class Actions

By Jessica Corso

The U.S. Securities and Exchange Commission issued a policy statement Wednesday that allows the use of mandatory arbitration by new publicly traded companies as its chief seeks to "make IPOs great again," but Democrats warned the move could shut the door to shareholder class actions.

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Ex-Law Student's Bias Suit In Wrong Forum, 4th Circ. Told

By Patrick Hoff

A Black former student at Washington University School of Law shouldn't be able to revive claims that she was suspended from campus and lost her scholarship after complaining about a professor's race bias because she filed the suit in the wrong state, the law school told the Fourth Circuit.

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LAW FIRMS IN TODAY'S NEWS

Bowman & Brooke

Cheronis & Parente

CohenMalad

Davidoff Hutcher

Edelson PC

Ellenoff Grossman

Faegre Drinker

FeganScott

Girardi & Keese

Goodwin Procter

Henderson Parks LLC

Latham & Watkins

Law Office of Craig Leydecker

Lewis Rice

Lieff Cabraser

Littler Mendelson

Mayer Brown

Munger Tolles

Paul Hastings

Polsinelli PC

Saul Ewing

Siri & Glimstad

Troutman

Wilson McCoy

Winston & Strawn

COMPANIES IN TODAY'S NEWS

American Civil Liberties Union

American Civil Liberties Union of Texas

American Family Association

Compass Group PLC

Families Against Mandatory Minimums

Georgia State University

Hyatt Hotels Corp.

Nasdaq Inc.

National Association of Criminal Defense Lawyers

National Collegiate Athletic Association

Performance Food Group Co.

Sierra Club

The Carle Foundation

The District of Columbia Bar

Trustmark Corp.

Twitter Inc.

United Airlines Holdings Inc.

VyStar Credit Union

GOVERNMENT AGENCIES IN TODAY'S NEWS

Commodity Futures Trading Commission

Consumer Financial Protection Bureau

Equal Employment Opportunity Commission

Executive Office of the President

Federal Aviation Administration

Federal Election Commission

Internal Revenue Service

New York Attorney General's Office

New York Supreme Court, New York County

Texas General Land Office

U.S. Attorney's Office for the Eastern District of North Carolina

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

U.S. Court of Appeals for the Fourth Circuit

U.S. Court of Appeals for the Seventh Circuit

U.S. Department of Energy

U.S. Department of Homeland Security

U.S. Department of Justice

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

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

U.S. District Court for the District of Columbia

U.S. District Court for the District of Delaware

U.S. District Court for the District of Oregon

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

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

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

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

U.S. House of Representatives

U.S. Securities and Exchange Commission

U.S. Senate

U.S. Supreme Court

U.S. Tax Court