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May 21, 2024
22 States Tell 11th Circ. Corp. Transparency Act Goes Too Far
The federal Corporate Transparency Act unconstitutionally displaces state authority and its enforcement would economically harm states and their residents, attorneys general from 22 states told the Eleventh Circuit, urging it to uphold a ruling that struck down the law.
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May 21, 2024
PE Firms Close Separate Funds With Nearly $1.3B Total In Tow
Winston & Strawn LLP-advised private equity shop Paceline Equity Partners LLC and Kirkland & Ellis LLP-advised private equity firm Eir Partners on Tuesday separately announced that they have clinched funds totaling nearly $1.3 billion combined, with the former's fund focusing on corporate debt and real assets and the latter's targeting healthcare technology investments.
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May 21, 2024
Drinking Water Systems At Risk Of Cyberattack, EPA Says
More than 70% of the nation's drinking water systems are not in compliance with federal law requiring them to assess the risks of and develop plans for cybersecurity attacks, which could leave them vulnerable to foreign interference, the U.S. Environmental Protection Agency said Monday.
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May 21, 2024
Make Emergency Missing-Adult Codes Voluntary, FCC Urged
A new missing-adult code that the Federal Communications Commission wants to integrate into the Emergency Alert System should be kept voluntary for existing alert systems, cable providers told the FCC.
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May 21, 2024
9th Circ. Rejects Quick Section 230 Appeal In Casino App MDL
The Ninth Circuit refused to weigh in Tuesday on whether the Communications Decency Act's Section 230 shields Google, Apple and Meta from consolidated multidistrict litigation over allegedly illicit "social casino" game apps on their platforms, finding that deciding the issue on an interlocutory appeal would be a premature, advisory opinion.
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May 21, 2024
Split Fed. Circ. Revives IP Suit Against Nokia Over Standing
A split Federal Circuit on Tuesday threw out a lower court decision that found an inventor's company didn't have standing to sue Nokia, Cisco and ADVA over a fiber optic patent, saying it was unclear if the company had the rights to the patent.
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May 21, 2024
Online Game Sites Hit With Class Claims For 'Illegal' Gambling
The operators of online games Chumba Casino, LuckyLand Slots and Global Poker have been slapped with a proposed class action in Georgia federal court accusing them of conducting illegal commercial gambling operations in the Peach State.
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May 21, 2024
Scale AI Valued At $14B After Series F Round Led By Accel
San Francisco-based artificial intelligence company Scale AI on Tuesday announced that it hit a nearly $14 billion valuation after closing its latest financing round with $1 billion in tow.
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May 21, 2024
Strategic Hiring Was The New Normal For BigLaw In 2023
The 400 largest law firms by headcount in the U.S. grew more slowly in 2023 than in the previous two years, while Kirkland & Ellis LLP surpassed the 3,000-attorney threshold, according to the latest Law360 ranking.
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May 21, 2024
The Law360 400: Tracking The Largest US Law Firms
The legal market expanded more tentatively in 2023 than in previous years amid a slowdown in demand for legal services, especially in transactions, an area that has been sluggish but is expected to quicken in the near future.
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May 21, 2024
Cisco Slips Ex-Workers' Suit Over BlackRock Funds, For Now
A California federal judge threw out a proposed class action that former workers brought accusing Cisco of breaching federal benefits law by including several BlackRock funds as options in its $16.4 billion 401(k) plan, saying the ex-employees failed to put forward meaningful comparator investments to support their claims.
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May 21, 2024
FCC Aims To Shut Down Scam Robocall Campaign
The Federal Communications Commission is telling a Chicago-based voice service provider to immediately stop originating millions of illegal robocalls marketing purported debt consolidation or face sanctions.
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May 20, 2024
Scarlett Johansson 'Shocked, Angered' By ChatGPT AI Voice
Scarlett Johansson revealed in a statement Monday that she declined OpenAI CEO Sam Altman's offer to voice the current ChatGPT, but said she was "shocked, angered and in disbelief" when she recently heard a demo of the generative artificial intelligence system's voice that "sounded so eerily similar" to her own.
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May 20, 2024
Bungie Takes Aim At Cheat Code Sellers In Copyright Trial
Video game studio Bungie kicked off a Seattle copyright trial on Monday by telling federal jurors a group of cheat code sellers deleted financial records and other data and even fabricated a fake press release about the sale of their website to throw Bungie and its attorneys off their scent.
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May 20, 2024
Snap Hit With Wrongful Death Suit Over 13-Year-Old's Suicide
The mother of a 13-year-old boy hit Snapchat's parent company Snap Inc. with a wrongful death suit in South Carolina federal court on Friday, alleging that her son died by suicide after a predator extorted him by posing under a fake name on the social media company's platform.
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May 20, 2024
Autonomy CEO Reaped $516M From HP Acquisition, Jurors Told
Ex-Autonomy CEO Michael Lynch took home more than $516 million from the software company's $11.7 billion sale to HP, an FBI agent testified Monday as the government's last witness in a trial over allegations Lynch duped HP into overpaying to buy the company.
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May 20, 2024
Teladoc Faces Suit Over Mental Health Platform's Losses
Telemedicine giant Teladoc Health Inc. and two of its executives face a proposed investor class action alleging trading prices for Teladoc shares fell after the company disclosed that its flagship mental health counseling platform saw membership and revenue declines despite increased advertising costs.
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May 20, 2024
Colo. Gov. Voices 'Reservations' In Signing AI Bias Bill
Colorado's governor has approved the nation's first framework to clamp down on algorithmic discrimination in certain artificial intelligence technologies, although he expressed several "reservations" about the measure that he urged the Legislature to address before the law takes effect in 2026.
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May 20, 2024
CoStar, Hotel Giants Defend Benchmarking In Price-Fixing Suit
CoStar Group Inc. and a contingent of big-name hotels have asked a Washington federal judge to toss an antitrust lawsuit claiming the hotel operators share industry analytics to inflate luxury hotel room prices, arguing the proposed class action is riddled with legal defects.
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May 20, 2024
Idaho, Micron Defend 'Bad Faith' Patent Law At Fed. Circ.
The state of Idaho and Micron Technology Inc. have told the Federal Circuit that Idaho's law barring "bad faith" allegations of patent infringement is constitutional, defending a lower court's ruling that Longhorn IP must pay an $8 million bond under the law.
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May 20, 2024
DOJ Says Google Ad Tech Case About Coercion, Not Dealing
The U.S. Department of Justice urged a Virginia federal judge Friday to preserve its case accusing Google of monopolizing key digital advertising technology, arguing the search giant is misconstruing a case that is really about forcing customers to use its ad exchanges, not about who the company does business with.
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May 20, 2024
Startup Admits Sharing IP With Boeing After Supposed Swipe
The co-founder of a startup accusing the Boeing Co. of plotting to steal its intellectual property to build a copycat electric jet acknowledged during cross-examination Monday that his company kept willingly sharing trade secrets with the aviation giant after discovering the alleged misappropriations.
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May 20, 2024
Transparency Act Violates Constitution, Groups Tell 11th Circ.
The Corporate Transparency Act's reporting requirements violate the Fifth Amendment's protection against self-incrimination and other constitutional provisions, libertarian think tank Cato Institute and others said Monday in urging the Eleventh Circuit to uphold an Alabama district court's ruling against the law.
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May 20, 2024
NC License Law Didn't Violate 1st Amendment, 4th Circ. Finds
The Fourth Circuit held on Monday that North Carolina's licensing requirements for surveyors don't violate the free speech rights of a drone pilot who sought to create maps for customers, with the court finding the state regulation is backed by sound public interests.
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May 20, 2024
Tesla Pushes Charging Station Patent Suit Out Of Texas
Despite Elon Musk's decision to move the headquarters of his company to the Western District of Texas, Tesla was able to persuade a federal judge in Austin to send an infringement suit targeting its charging stations to California, where the company was previously based.
Expert Analysis
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Surveying Legislative Trends As States Rush To Regulate AI
With Congress unlikely to pass comprehensive artificial intelligence legislation any time soon, just four months into 2024, nearly every state has introduced legislation aimed at the development and use of AI on subjects from algorithmic discrimination risk to generative AI disclosures, say David Kappos and Sasha Rosenthal-Larrea at Cravath.
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How Duty Of Candor Figures In USPTO AI Ethics Guidance
The duty of candor and good faith is an important part of the artificial intelligence ethics guidance issued last week by the U.S. Patent and Trademark Office, and serious consequences can visit patent and trademark applicants who violate that duty, not just their attorneys and agents, says Michael Cicero at Taylor English.
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Del. Match.com Ruling Maintains Precedent In Time Of Change
Despite speculation that the Delaware Supreme Court could drive away corporations if it lowered the bar for business judgment review in its Match.com stockholder ruling, the court broke its recent run of controversial precedent-busting decisions by upholding, and arguably strengthening, minority stockholder protections against controller coercion, say Renee Zaytsev and Marc Ayala at Boies Schiller.
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The Future Of BIPA Insurance Litigation After Visual Pak
A recent Illinois appellate court decision, National Fire Insurance v. Visual Pak, may have altered the future of insurance litigation under the state's Biometric Information Privacy Act by diametrically opposing a prominent Seventh Circuit ruling that found insurance coverage for violations of the act, say attorneys at Jenner & Block.
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Patent Lessons From 8 Federal Circuit Reversals In March
A number of Federal Circuit patent decisions last month reversed or vacated underlying rulings, providing guidance regarding the definiteness of a claim that include multiple limitations of different scopes, the importance of adequate jury instruction, the proper scope of the precedent, and more, say Denise De Mory and Li Guo at Bunsow De Mory.
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First 10b5-1 Insider Trading Case Raises Compliance Issues
The ongoing case against former Ontrak CEO Terren Peizer is the U.S. Department of Justice's first insider trading prosecution based primarily on the filing of 10b5-1 plans, and has important takeaways for attorneys reviewing corporate policies on the possession of material nonpublic information, say attorneys at Cadwalader.
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Tenn. Law Protecting Artists From AI Raises Novel Issues
Tennessee recently enacted a law that extends the right of publicity protection to individuals' voices in an attempt to control the proliferation of artificial intelligence in the music industry, presenting fascinating questions about the First Amendment, the fair use doctrine and more, say attorneys at Davis Wright.
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Consumer Privacy Takeaways From FTC Extraterritorial Action
With what appears to be its first privacy-related consent agreement with a non-U.S. business, the Federal Trade Commission establishes that its reach is extraterritorial and that consumer internet browsing data is sensitive data, and there are lessons for any multinational business that handles consumer information, say Olivia Greer and Alexis Bello at Weil.
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A Look At Ex Parte Seizures 8 Years Post-DTSA
In the eight years since the Defend Trade Secrets Act was enacted, not much has changed for jurisprudence on ex parte seizures, but a few seminal rulings show that there still isn’t a bright line on what qualifies as extraordinary circumstances warranting a seizure, say attorneys at Finnegan.
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Series
Whitewater Kayaking Makes Me A Better Lawyer
Whether it's seeing clients and their issues from a new perspective, or staying nimble in a moment of intense challenge, the lessons learned from whitewater kayaking transcend the rapids of a river and prepare attorneys for the courtroom and beyond, says Matthew Kent at Alston & Bird.
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AI In The Operating Room: Liability Issues For Device Makers
As healthcare providers consider medical devices that use artificial intelligence — including systems to help surgeons make decisions in the operating room — and lobby to shift liability to device manufacturers, companies making these products must review potential product liability risks and important design considerations for such equipment, say attorneys at Troutman Pepper.
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10 Years After Alice, Predictability Debate Lingers
A decade after the U.S. Supreme Court’s Alice ruling, critics continue to argue that the subject matter eligibility framework it established yields inconsistent results, but that contention is disproved by affirmance data from the Federal Circuit, district courts and the Patent Trial and Appeal Board, say Dennis Abdelnour and David Thomas at Honigman.
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This Earth Day, Consider How Your Firm Can Go Greener
As Earth Day approaches, law firms and attorneys should consider adopting more sustainable practices to reduce their carbon footprint — from minimizing single-use plastics to purchasing carbon offsets for air travel — which ultimately can also reduce costs for clients, say M’Lynn Phillips and Lisa Walters at IMS Legal Strategies.
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4 Ways AI Tools Can Improve Traditional Merger Analyses
Government officials at the American Bar Association's annual antitrust spring meeting last week reinforced the view that competition cases will increasingly rely on sophisticated data analysis, so companies will likewise need to use Big Tech quantitative techniques to improve traditional merger analyses, say Patrick Bajari, Gianmarco Calanchi and Tega Akati-Udi at Keystone.
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How Companies Can Use Big Data As A Strategic Asset
Artificial intelligence technology powered by big data has the potential to create radical improvements to business operations, but if big data is improperly protected or monetized, this same information can give competitors similar advantages, or at the very least undermine a company's edge, say Gary Weinstein and Hudson Peters at Faegre Drinker.