Opinion

CFTC's New Award Policy Punishes Whistleblower Success

The U.S. Commodity Futures Trading Commission recently capped four whistleblower awards because it considered them too large, arguing that it could lead to frivolous reporting, but the move instead penalizes the program for its own success and flies in the face of the framework enacted by Congress, say attorneys at Whistleblower Partners.

DC Circ. Ruling Highlights Limits Of DOE Grid Orders

The D.C. Circuit's recent decision in Michigan v. U.S. Department of Energy, vacating a DOE order to keep a coal-burning power plant open, gives utilities more insight into the durability of federal orders premised on protecting grid security, say attorneys at ArentFox Schiff.

Calif. AV Notices Reshape Crash Data Preservation, Discovery

California's new autonomous vehicle noncompliance notice process does not decide fault or establish that an AV is unsafe, but it can create a contemporaneous regulatory record and accelerate decisions about what crash-related data must be preserved, reviewed and potentially disclosed in litigation, says attorney Lem Garcia.

Testing AI's Promise For Large-Scale Document Review

Our document-review comparison of attorneys' responsiveness and issue coding decisions versus predictions generated by artificial intelligence across 1,600 documents suggests that these tools can offer a reasonable and reliable basis for improved discovery workflows, provided lawyers understand where guardrails are needed, say attorneys at Redgrave.

AG Watch: Va. Vape Product Regulations Enter A New Phase

Virginia's new vape enforcement framework carries important implications related to product eligibility and certification requirements for businesses operating in the marketplace, representing the culmination of several years of legislative action, regulatory development, litigation and interagency planning, says Chuck Slemp at Cozen O'Connor.

Opinion

Colo. Climate Suit Defies Limits Of State Power

In Suncor Energy v. Boulder County, the U.S. Supreme Court must not allow a single Colorado county to penalize pollution occurring across the country and around the globe, because the U.S. Constitution forbids states from exercising power beyond their borders, says Michael McGinley at Dechert.

What's Next For Prediction Markets If States Win At High Court

While the Supreme Court hasn't taken up a prediction market case yet, a high court win for the states in their quest to regulate the exchanges would likely mean a wave of state legislature bills and regulatory guidance arriving on different timelines, rather than a single uniform transition, says Howard Herndon at Bradley Arant.

FDIC Standards Body Could Ease Bank Vendor Due Diligence

The Federal Deposit Insurance Corp.'s recently proposed standards body for bank vendors could streamline due diligence and onboarding, but banks and their third-party service providers alike should still monitor open questions around oversight, certification costs and governance, say attorneys at Clark Hill.

Navigating A Key Inflection Point In Biosimilar Sector M&A

As biosimilar mergers and acquisitions gain notice amid U.S. Food and Drug Administration reforms, a maturing patent framework and a looming patent cliff, companies diversifying into the higher-growth biologics space should align their regulatory, intellectual property and transactional strategies, say attorneys at Skadden.

AI Meeting Recaps Pose New Discovery And Privilege Risks

The New York City Bar Association’s recent ethics opinion, cautioning attorneys not to record nonclient conversations with artificial intelligence tools, reflects an emerging view that AI meeting recaps are now a distinct business record category, meaning counsel should set meeting-level controls and apply framework-level updates, says William Wright at Faegre Drinker.

Class Actions At The Circuit Courts: September Lessons

In this month's review of class action appeals, Mitchell Engel at Shook Hardy discusses six recent rulings involving pecuniary loss in false price comparison advertising, privity in an insurance fee class, antitrust standing, immigration class representatives, retirement beneficiary class commonality, and Rule 23(f) appeals in Fair Labor Standards Act claims.

How Employers Can Navigate NLRB Rulings Ripe For Reversal

Given a recent National Labor Relations Board memo seeking to reverse several precedents — including on severance agreements and workplace policies — employers should prepare now to restore broader protections when the board acts, while following the law as it exists today, says Howard Lavin at Thompson Coburn.

What Comes Next For Digital Asset Regs After Clarity Act Flop

After the U.S. Senate recently blocked the Digital Asset Market Clarity Act, agency rulemaking could still offer a near-term remedy, and companies meanwhile should monitor the existing framework assembled from enforcement precedent and case law in the absence of a purpose-built statute, say attorneys at Ropes & Gray.

FDA Bill Shows Risk Of Inexact Statute Text, Post-Loper Bright

A recent House bill to amend the Food and Drug Administration's drug preclusion framework reveals the increased importance of precision when drafting statutory rules in a post-Loper Bright landscape, as several minor errors in the text could lock in unintended results that will be difficult to repeal, say attorneys at Venable.

Species 'Harm' Definition Rollback Brings Risk For Developers

A rule recently adopted by federal agencies rescinds the definition of "harm" in Endangered Species Act regulations to exclude habitat destruction — but while the move is aimed at reducing regulatory burdens, it creates new uncertainty for developers, and may trigger increased environmental protections in California, say attorneys at Cox Castle.