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Cybersecurity & Privacy
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February 21, 2024
ByteDance Can't Yet Arbitrate Ex-Coder's Wrongful Firing Suit
A California federal judge declined to send a former ByteDance Inc. engineer's wrongful termination suit to arbitration, writing in a ruling made public Tuesday that there are factual disputes over whether he signed employment agreements containing arbitration clauses, saying the matter should be resolved via a jury trial.
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February 21, 2024
Justices Turn Away Meta Bid To End Ad Discrimination Suit
A proposed class action accusing Facebook owner Meta of permitting discrimination in choices regarding which users could see housing ads appears headed for discovery after the U.S. Supreme Court denied the company's petition to appeal a split Ninth Circuit ruling.
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February 21, 2024
GAO Says IT Co. Challenging $79M Gov't Deal Wasn't Misled
A Virginia information technology company lost its protest of a $79 million U.S. Special Operations Command deal for cybersecurity services after the U.S. Government Accountability Office rejected its contention that USSOCOM engaged in misleading and unfair discussions during procurement.
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February 21, 2024
9th Circ. Affirms $90M Facebook Privacy Deal Over Objections
A Ninth Circuit panel affirmed a $90 million class settlement on Wednesday to resolve allegations that Facebook illegally tracked logged-out users' browsing activity, calling two objectors' suggestion that the company faced $1.24 trillion in statutory damages "an unreasonable baseline that would violate due process."
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February 21, 2024
FCC Commissioner To Meet With Indian Gov't On TikTok Ban
FCC Commissioner Brendan Carr is finally getting the chance to chat with Indian officials about the country's decision to ban TikTok over concerns about the Chinese government's influence over the app, a decision he has pushed for here in the United States, during a visit to India.
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February 21, 2024
Salesman Accused Of AI Misuse Must Hand Over Co. Docs
A Connecticut salesman who allegedly used the artificial intelligence application Otter to record company calls must return any of his former employer's internal documents that are still in his possession and swear that he no longer has any of the material at issue in a trade secrets lawsuit, a federal judge has ruled.
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February 21, 2024
Consumer Data Co. Gets OK For $50M Ch. 11 Sale
A Delaware bankruptcy judge Wednesday approved the $50 million sale of Near Intelligence after being told that unsecured creditors' objections to the California-based consumer data gathering platform's Chapter 11 plan had been resolved.
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February 21, 2024
3rd Circ. Kicks Data Privacy Suit Against Penn To State Court
A proposed class action alleging that the University of Pennsylvania violated the state's privacy law must head back to state court, the Third Circuit ruled Wednesday, rejecting arguments that the university health system acted as a federal officer by operating an online patient portal.
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February 21, 2024
Calif. AG Settles With DoorDash Over Marketing Data Sale
DoorDash will pay $375,000 to resolve the California attorney general's claims that the food delivery service violated the state's landmark consumer privacy law by failing to clearly inform users of their ability to opt out of the sale of their personal information to a marketing vendor, the agency announced Wednesday.
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February 21, 2024
House Leaders Create Bipartisan AI Task Force
The House of Representatives is forming a bipartisan task force on artificial intelligence, with leaders in the lower chamber planning to explore ways to maintain America's lead on AI while considering "guardrails" for the technology.
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February 21, 2024
Assange Extradition Not Political, US Gov't Says
Julian Assange faces criminal charges in the U.S. for the "unprecedented" theft of military secrets that were published online rather than for his political views, lawyers for the American government said at his extradition appeal in London on Wednesday.
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February 21, 2024
Bradley Arant Adds Ex-Baker Botts Labor, Employment Leader
Bradley Arant Boult Cummings LLP is deepening its bench in the Lone Star State with the addition of its latest partner in Dallas, the former chair of Baker Botts' labor and employment practice.
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February 21, 2024
White House Acts To Shore Up Cybersecurity At US Ports
The Biden administration on Wednesday moved to boost cybersecurity at U.S. ports, announcing a series of actions that include new proposed rules to establish minimum data security safeguards and an executive order requiring transportation vessels and facilities to report cyber incidents.
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February 20, 2024
SEC Zeroes In On SolarWinds Exec In Revised Complaint
The U.S. Securities and Exchange Commission has doubled down on its case accusing software provider SolarWinds Corp. of failing to warn the public about the cybersecurity vulnerabilities that gave rise to a 2020 hack, providing a New York federal court with more detail about the involvement of the company's chief information security officer in the alleged cover-up.
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February 20, 2024
Apple Asks For Discovery Pause During Class Cert. Appeal
Apple is urging a California federal judge to halt discovery in a sweeping App Store antitrust suit while the company appeals the class certification granted earlier this month.
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February 20, 2024
Software Engineer Gets 6 Months For Twilio Insider Trading
A Bay Area man will spend six months in prison and forfeit over $130,000 after pleading guilty to trading on inside information about customer engagement platform Twilio Inc.
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February 20, 2024
Protego Owes Firewall Vendor More Than $1.2M, Suit Says
A Washington firm that tried and failed to become one of the first federally chartered cryptocurrency banks was hit with a breach-of-contract suit in Delaware federal court late last week by a cybersecurity contractor claiming the banking company failed to pay it more than $1.2 million.
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February 20, 2024
Judge Says He'll Mull $10M Fine For Racist Robocaller
An Idaho white supremacist has been found liable by a Montana federal court for sending out thousands of racist robocalls in an attempt to sway public opinion against Black and Jewish political candidates, with a fine that could top $10 million to follow.
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February 20, 2024
Bank's Ex-Employees Must Face Trade Secrets Suit
A Texas federal judge refused on Tuesday to toss the bulk of trade secret claims against a group of former employees of a company that eventually became Centennial Bank, but he did agree to trim some claims.
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February 20, 2024
FinCEN Details Owner Data Access Rules For Small Banks
The U.S. Treasury Department's Financial Crimes Enforcement Network on Tuesday released a compliance guide for small financial firms on accessing and safeguarding company ownership information that their customers are required to report under recently implemented rules.
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February 20, 2024
Meta, TikTok Sued Over NYC Teen 'Subway Surfing' Death
The mother of a New York City teen who was killed while "subway surfing," a challenge to ride on the outside of subway cars popularized on social media, hit the parent companies of TikTok and Instagram along with the Metropolitan Transportation Authority with a wrongful death suit on Monday.
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February 20, 2024
GOP, Democratic Reps. Team Up To Decry Punted FISA Vote
The Foreign Intelligence Surveillance Act's controversial Section 702, which gives the government a backdoor to intercept American communications without a warrant, is set to expire soon, and a bipartisan group of lawmakers says it's time they be allowed to vote on a version of the reauthorization that would add privacy protections.
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February 20, 2024
Fox Rothschild AI Chief Talks 'Terrifying' Deepfakes, Biased AI
Mark McCreary, the chief artificial intelligence and information security officer at Fox Rothschild, leads his firm's internal AI strategy and provides counsel to other law firms trying to bushwhack their path through the often murky AI legal landscape, rife with hallucinated case law citations and disturbingly real deepfakes.
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February 20, 2024
Justices Give Feds Time In Texas, Fla. Social Media Law Fights
The U.S. Supreme Court has set aside time for the federal government to weigh in on looming oral arguments in cases to determine the constitutionality of controversial Texas and Florida laws that restrict social media companies' ability to curb users' speech.
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February 20, 2024
Ransomware Group LockBit Hit By Coordinated Crackdown
Two suspects linked to LockBit have been arrested and dozens of servers taken down as part of a global operation to disrupt the Russia-based ransomware group's activities, law enforcement agencies said Tuesday.
Expert Analysis
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How Law Firms Can Use Account-Based Marketing Strategies
Amid several evolving legal industry trends, account-based marketing can help law firms uncover additional revenue-generating opportunities with existing clients, with key considerations ranging from data analytics to relationship building, say Jennifer Ramsey at stage LLC and consultant Gina Sponzilli.
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While Risks Exist, AI Could Transform IRS Enforcement
The Internal Revenue Service's recently announced use of artificial intelligence could revolutionize the agency's enforcement efforts, and transparency about its use and a forum for challenging AI findings could help mitigate fears that the technology will increase bias, say attorneys at Lewis Brisbois.
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Strategic Succession Planning At Law Firms Is Crucial
Senior partners' reluctance to retire, the rise of the nonequity partner tier and generational differences in expectations are all contributing to an increasing number of departures from BigLaw, making it imperative for firms to encourage retirement among senior ranks and provide clearer leadership pathways to junior attorneys, says Laura Leopard at Leopard Solutions.
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3 Items To Check When Evaluating AI Terms And Conditions
When determining which generative artificial intelligence tool is right for a particular user, there are a few considerations that can provide prospective customers with a starting place and help them spot terms and conditions that are more or less aggressive than the market standard, says Peter Cramer at Proskauer.
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Ruling Shows Barriers Remain For Kids' Privacy Regulation
A California federal court’s recent decision halting state officials from enforcing the California Age-Appropriate Design Code Act demonstrates that major roadblocks continue to obstruct regulation intended to make browsing more appropriate for children, say attorneys at Goodwin.
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Autonomous Vehicles Must Navigate Patchwork Of State Regs
With only modest action by the federal government on the autonomous vehicle regulatory front in 2023, states and localities remain the predominant source of new regulations affecting AVs — but the result is a mix of rules that both help and hinder AV development and adoption, say attorneys at Faegre Drinker.
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Maximizing Law Firm Profitability In Uncertain Times
As threats of an economic downturn loom, firms can boost profits by embracing the power of bottom-line management and creating an ecosystem where strategic financial oversight and robust timekeeping practices meet evolved client relations, says Shireen Hilal at Maior Strategic Consulting.
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Federal Policies Keeping Autonomous Vehicles In Slow Lane
In the first installment of this two-part article, attorneys at Faegre Drinker examine recent federal regulations and programs related to autonomous vehicles — and how the federal government's failure to implement a more comprehensive AV regulatory scheme may be slowing the progress of the industry.
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What The Export Controls Code Means For Emerging Tech
The U.S. recently hosted the inaugural plenary meeting on the Export Controls and Human Rights Initiative Code of Conduct, which foreshadowed that the code may have a considerable impact on future exports of new and emerging technologies, say Melissa Burgess and Burt Braverman at Davis Wright.
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Tech M&A Due Diligence Checklist: Sector-Specific Concerns
In an increasingly dynamic technology merger and acquisition landscape, there are seven high-impact diligence concerns that must be addressed early and with precision, say attorneys at Gibson Dunn.
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5 DOJ Enforcement Priorities To Note From Recent Remarks
Principal Associate Deputy Attorney General Marshall Miller’s recent speech provided a glimpse into the U.S. Department of Justice’s corporate criminal enforcement priorities — from national security concerns to mergers and acquisitions — with takeaways for companies’ compliance programs, say Joseph Jay and Jennifer Le at Sheppard Mullin.
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5th Circ. Ruling Reminds Attys That CBP Can Search Devices
The Fifth Circuit’s recent Malik v. Department of Homeland Security decision adds to the chorus of federal courts holding that border agents don’t need a warrant to search travelers’ electronic devices, so attorneys should consider certain special precautions to secure privileged information when reentering the U.S., says Jennifer Freel at Jackson Walker.
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Twitter Sanction Highlights Privacy Law's Complexity
The D.C. Circuit's recent decision to uphold a sanction against X Corp., formerly known as Twitter, for failing to produce account records in response to a subpoena highlights the importance of understanding the Stored Communications Act, particularly when deciding to produce or not produce data, says Cary Aronovitz at Holland & Knight.
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Avoiding The Ethical Pitfalls Of Crowdfunded Legal Fees
The crowdfunding of legal fees has become increasingly common, providing a new way for people to afford legal services, but attorneys who accept crowdsourced funds must remember several key ethical obligations to mitigate their risks, say Hilary Gerzhoy and Julienne Pasichow at HWG.
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Tornado Cash Saga Presents Thorny Issues For Fintechs
A recent Texas federal court ruling and a U.S. Department of Justice indictment concerning the cryptocurrency mixer service Tornado Cash raise novel and important issues regarding smart contracts that could complicate the development and nature of decentralized crypto projects, as well as the future of fintech business models, say attorneys at Venable.