U.S. Securities and Exchange Commission Chair Gary Gensler told senators Thursday that the agency could rewrite a pair of proposals governing broker-dealers' use of artificial intelligence and the handling of customers' cryptocurrency assets in the wake of "robust" feedback from both supporters and naysayers.
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TOP NEWS

SEC's Gensler Rethinking AI Advising, Crypto Custody Regs

By Jessica Corso

U.S. Securities and Exchange Commission Chair Gary Gensler told senators Thursday that the agency could rewrite a pair of proposals governing broker-dealers' use of artificial intelligence and the handling of customers' cryptocurrency assets in the wake of "robust" feedback from both supporters and naysayers.

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Contentious Del. Corporate Law Changes Sail Through Senate

By Jeff Montgomery

After triggering rare public dissent, a multipart Delaware General Corporation Law amendment that would let boards cede some governance rights to big stockholders whisked through the state's Senate on Thursday without debate or an opposing vote, with a House vote expected as early as next week.

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Health Co. Execs Charged In $100M Adderall Sales Scheme

By Elliot Weld

Two California digital healthcare company executives were charged in a first-of-its-kind case Thursday with scheming to sell Adderall through deceptive advertising, allegedly bringing in $100 million in illicit profits.

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CFPB's Chopra Sees 'Pressing Need' For Data Protections

By Jon Hill

Consumer Financial Protection Bureau Director Rohit Chopra zeroed in on data usage and privacy during a Thursday hearing with House lawmakers, calling for sharper limits on what financial firms can do with customer data while also seeking to assuage concerns about his agency's plans for data sharing and data broker rules.

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FAA Chief Vows Diligent Boeing Oversight In Senate Hearing

By Linda Chiem

The Federal Aviation Administration's chief told a Senate panel Thursday that the regulator has diligently stepped up oversight of Boeing's manufacturing since January's harrowing midair door plug blowout on a 737 Max 9 jet, an incident that prompted multiple probes into Boeing's safety culture and quality control.

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FTC's Ferguson Says He's A Law Enforcer, Not A Policymaker

By Matthew Perlman

Recently minted Federal Trade Commissioner Andrew Ferguson said Thursday that he views his new role as a law enforcer and not a policymaker and said the biggest issue for antitrust law right now is dealing with Big Tech.

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CORPORATE

Analysis

How 3 Firms Cleared 2 Ex-Autonomy Execs In HP Fraud Case

By Bonnie Eslinger

A California federal jury's rejection last week of fraud charges against the founder and former finance vice president of British software company Autonomy validated an approach by the defendants' three law firms — Steptoe, Clifford Chance and Bird Marella — to form a "seamless" collaboration throughout the trial, from jury selection to closing arguments.

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Tesla Shareholders Approve Musk's Compensation Package

By Sarah Jarvis

Tesla's shareholders voted to approve a multibillion-dollar compensation plan for CEO Elon Musk, the company's top lawyer announced Thursday during a meeting in which investors also approved moving the company's incorporation from Delaware to Texas.

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SECURITIES & BANKING

Biden Picks CFTC's Goldsmith Romero For FDIC Chair

By Jon Hill

The White House said Thursday that President Joe Biden will nominate Christy Goldsmith Romero, a Democratic member of the U.S. Commodity Futures Trading Commission, for the top job at the Federal Deposit Insurance Corp.

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Goldman Exec's 'Mind Entirely Blown' By Fake Ozy Media Call

By Stewart Bishop

A former Goldman Sachs executive who was looking into taking a stake in Carlos Watson's Ozy Media testified on Thursday that she was floored during a due diligence call when it became clear that someone was impersonating a YouTube executive in an apparent effort to persuade the bank to invest in Watson's startup.

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INTERNATIONAL TRADE

Turkish Jet Co. To Pay $285K For Russia Charter Flights

By Jennifer Doherty

A Turkish aviation company will pay the U.S. Department of Commerce $285,000 to resolve export violations stemming from two private charter flights the company made to Russia in a U.S.-made Gulfstream plane, the agency announced Thursday.

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HEALTHCARE & LIFE SCIENCES

Analysis

Justices Hand Abortion Advocates An Incomplete Win

By Dan McKay

The U.S. Supreme Court's rejection Thursday of a challenge to the abortion drug mifepristone will do little to safeguard long-term access to the medication while suggesting that it will be up to voters, not judges, to settle some of the nation's abortion debates, attorneys say.

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Feds Get $4.6M In Deal Over Telehealth Billing Fraud Probe

By Brian Steele

A multi-state network of behavioral health companies and their CEO have agreed to pay nearly $4.6 million to settle allegations that they submitted fraudulent claims for payment to Medicare and Connecticut's Medicaid program for telehealth services for nursing home residents, federal investigators said Thursday.

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CYBERSECURITY & PRIVACY

FTC Urged To Get Moving On Stalled Privacy Rulemaking

By Allison Grande

Nearly three dozen consumer advocacy groups are calling on the Federal Trade Commission to stop dragging its feet on efforts announced almost two years ago to craft sweeping data privacy and security rules, arguing that time is running out for the agency to clamp down on companies' "historic" drive to amass personal information and track consumers online. 

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COMPETITION

EU Makes First Ever Formal Pharma Price-Fixing Complaint

By Bryan Koenig

European Union antitrust authorities issued their first ever price-fixing complaint in the pharmaceutical industry Thursday, going after the only company that did not agree to a €13.4 million ($14.4 million) settlement in October.

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CONSUMER PROTECTION & PRODUCT LIABILITY

Red Roof Had 'Revolving Door' For Trafficking, Ga. Jurors Told

By Kelcey Caulder

A former Red Roof Inn Inc. employee and the leader of a nonprofit testified Thursday about sex trafficking they saw take place at two metro Atlanta Red Roof Inn locations as part of a landmark civil trial in which 11 women allege the company knew trafficking was taking place at the locations and did nothing to stop it.

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TELECOMMUNICATIONS

Telecom Says Gov't Switching Sides In Dish Suit Is 'Bad Faith'

By Ali Sullivan

Vermont National Telephone Co. is fighting to preserve its false claim suit against Dish Network and others in the face of a dismissal bid from the federal government, arguing in a newly public filing in D.C. federal court that the government has provided no good reason for its "bad faith" change of heart.

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Vt. Gov. Blocks 'Outlier' Data Privacy Bill With Lawsuit Trigger

By Allison Grande

Vermont's governor on Thursday vetoed a legislative proposal that would have given consumers not only new data privacy rights but also the rare opportunity to sue large businesses for certain violations, expressing concerns with the significant "risks" created by the "outlier" measure and urging the Legislature to instead embrace the model adopted by Connecticut and more than a dozen other states.

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ENERGY & ENVIRONMENTAL

Trade Groups Join EPA Vehicle Emissions Rule Fight

By Madeline Lyskawa

A coalition of trade associations and auto dealers on Thursday called for the D.C. Circuit to vacate the U.S. Environmental Protection Agency's final rule requiring reductions in greenhouse gas emissions from cars, trucks and vans.

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Ford Asks To Defend EPA's Heavy-Duty Truck Emissions Rule

By Madeline Lyskawa

Ford Motor Co. has urged the D.C. Circuit to let it intervene in defense of the U.S. Environmental Protection Agency's final rule establishing greenhouse gas emissions standards for heavy-duty vehicles such as delivery trucks, dump trucks, public utility trucks and buses.

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FERC Faces Chorus Of Calls To Rethink Grid Policy Overhaul

By Keith Goldberg

Dozens of requests that the Federal Energy Regulatory Commission reconsider parts or all of its sweeping revision of its regional transmission planning policies have been filed, some of which could telegraph future court challenges if the agency ultimately sticks to its guns. Here's a roundup of the notable issues raised in the rehearing requests for FERC Order No. 1920.

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DOE Can't Limit Water Usage In Dishwashers, Shoppers Say

By Spencer Brewer

Two men sued the U.S. Department of Energy in Texas federal court over the agency's new rules that govern how efficiently household appliances need to manage water usage, saying in a Thursday complaint that the agency surpassed its statutory authority and flouted a previous Fifth Circuit decision.

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Brief

FERC Gains Full Bench With 3rd Nominee Confirmation

By Keith Goldberg

The U.S. Senate on Thursday confirmed former Massachusetts Undersecretary for Energy and Climate Solutions Judy W. Chang to fill a vacant commissioner slot at the Federal Energy Regulatory Commission, giving the agency a full complement of five commissioners.

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PEOPLE

Fintech Remitly Hires Ex-Google Compliance Chief

By Sarah Jarvis

Remitly has hired Google's former chief compliance officer to run global compliance and enterprise risk programs at the remittance service, bringing his experience that includes risk leadership positions at TD Ameritrade, Vanguard and Goldman Sachs.

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Manatt Picks Up Crypto Co. DCG's Legal Head As New Partner

By Emily Sawicki

The former top lawyer for Digital Currency Group has departed the cryptocurrency company to join professional services firm Manatt as a financial services partner based in New York, focusing on blockchain, emerging companies and venture capital, the firm announced Thursday.

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EXPERT ANALYSIS

Wiretap Use In Cartel Probes Likely To Remain An Exception

Although the U.S. Department of Justice's Antitrust Division has recently signaled interest in wiretaps, the use of this technology to capture evidence of antitrust conspiracies and pursue monopolization as a criminal matter has been rare historically, and is likely to remain so, say Carsten Reichel and Will Conway at DLA Piper.

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Updates To CFTC Large Trader Report Rules Leave Questions

The U.S. Commodity Futures Trading Commission's updated large trader position reporting rules for futures and options is a much-needed change that modernizes a rule that had gone largely untouched since the 1980s, but the updates leave important questions unanswered, say Katherine Cooper and Maggie DePoy at BCLP.

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Risks And Promises Of AI In The Financial Services Industry

Generative artificial intelligence has immense potential to revolutionize the financial services industry, but firms considering its use should first prepare to show their customers and the increasingly divided international regulatory community that they can manage the risks inherent to the new technology, say attorneys at Gibson Dunn.

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Counterfeits At The Olympics Pose IP Challenges

With the 2024 Olympic Games quickly approaching, the proliferation of counterfeit Olympic merchandise poses a difficult challenge to the protection of intellectual property rights and the preservation of the Olympic brand's integrity, says Kimiya Shams at Devialet.

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Series

Playing Chess Makes Me A Better Lawyer

There are many ways that chess skills translate directly into lawyer skills, but for me, the bigger career lessons go beyond the direct parallels — playing chess has shown me the value of seeing gradual improvement in and focusing deep concentration on a nonwork endeavor, says attorney Steven Fink.

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LEGAL INDUSTRY

All The World's A Stage For Tony-Nominated Dechert Co-Chair

By Tracey Read

Mark Thierfelder is not only a Dechert LLP co-chair and partner; he’s also a Tony-nominated Broadway producer up for an award this June 16. Here, Law360 Pulse talks to Thierfelder on how he balances his legal work with his creative pursuits.

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Littler Aims To End Theft Suit After $1M Deal With Ex-Firm Atty

By Lynn LaRowe

Littler Mendelson PC this week moved to drop a lawsuit accusing a former associate of stealing confidential documents following a settlement in which the firm agreed to pay her nearly $1 million, though a separate, newer case in which the lawyer accuses Littler of violating that deal remains open.

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McDermott Says Financial Firm Owes $800K In Atty Fees

By Madison Arnold

McDermott Will & Emery LLP says it is owed more than $800,000 in legal fees for representing a financial firm's employee in a U.S. Securities and Exchange Commission investigation and a lawsuit by his former employer.

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Real Estate Broker Claims Lewis Brisbois Breached Deal

By Madison Arnold

A real estate broker who had exclusive rights to represent Lewis Brisbois Bisgaard & Smith LLP has slammed the firm with a breach of contract suit in California state court, alleging its abrupt termination of their deal will cost him millions in commissions.

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Goetz Fitzpatrick To Merge With Platzer Swergold Next Year

By Tracey Read

Goetz Fitzpatrick LLP and Platzer Swergold Goldberg Katz & Jaslow LLP will combine forces next year to create a single New York City firm.

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Update On Ex-George Mason Prof's Suits Over Sex Allegations

By Aebra Coe

After two women came forward last August accusing former BigLaw partner, FTC commissioner and George Mason University law professor Joshua D. Wright of sexual improprieties with students and direct reports, a number of additional accusations and lawsuits followed. Here are updates on the litigation and everything else surrounding the allegations.

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Analysis

Blistering Dissents Belie Justices' Penchant For Consensus

By Katie Buehler

Thirteen days into June, the U.S. Supreme Court had recorded one of the highest rates of unanimous decisions in the past four decades. But the era of historic consensus was tarnished a bit Friday when the court issued three split decisions and two scathing dissents highlighting how much the nine justices differ.

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Senate Passes Bill For State, Local Judge Security

By Courtney Bublé

The U.S. Senate has passed a bill unanimously to better protect state and local judges from threats amid "unacceptable attacks" on the judiciary.

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Burford Bound To Sysco And Pilgrim's Unsigned Chicken Deal

By Lauraann Wood

An Illinois federal judge on Friday rejected a Burford subsidiary's bid to block a global protein price-fixing settlement that Pilgrim's Pride and Sysco memorialized through email but never signed on paper, saying it's clear the parties reached a material agreement.

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Law360's Legal Lions Of The Week

By Kevin Penton

Williams & Connolly LLP and Littler Mendelson PC lead this week's edition of Law360's Legal Lions, after the U.S. Supreme Court made it tougher for the National Labor Relations Board to win injunctions against employers.

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GC Cheat Sheet: The Hottest Corporate News Of The Week

By Michele Gorman

The governor of Vermont vetoed a legislative proposal that would have given consumers not only new data privacy rights but also the rare opportunity to sue large businesses for certain violations, and a multipart Delaware General Corporation Law amendment that would let boards cede some governance rights to big stockholders sailed through the state's Senate without debate or an opposing vote. These are among the stories in corporate legal news you may have missed in the past week.

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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 toy company Jellycat hit supermarket Aldi with an intellectual property claim, AIG start proceedings against firefighting foam company Angus International Safety Group, and the Solicitors Regulation Authority file a legal claim against the Post Office amid the ongoing Horizon IT scandal. Here, Law360 looks at these and other new claims in the U.K.

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LAW FIRMS IN TODAY'S NEWS

Akin Gump

Andersen Tate

Arnold & Porter

Baute Crochetiere

Binnall Law Group

Bird Marella

Bondurant Mixson

Brown Rudnick

Bryan Cave

Capsticks Solicitors LLP

Cleary Gottlieb

Clement & Murphy

Clifford Chance

Cohen Milstein

Conrad & Scherer

Cooley LLP

Covington & Burling

Cravath Swaine

DLA Piper

Dechert LLP

Freshfields

Gibson Dunn

Goetz Fitzpatrick

Greenberg Traurig

Hamlins LLP

Hancock Daniel

Hickey & Chung

Hill Dickinson

Hirschler

Hogan Lovells

Hueston Hennigan

Jenner & Block

Jones Day

K&L Gates

Kellogg Hansen

King & Spalding

Kirkland & Ellis

Law Office of Steven J. Fink PLLC

Lewis Brisbois

Littler Mendelson

Loeb & Loeb

Lynn Pinker

Manatt Phelps

McDermott Will & Emery

O'Melveny & Myers

Paul Weiss

Pearson Warshaw

Pillsbury & Coleman

Pinsent Masons

Platzer Swergold

Quinn Emanuel

Reed Smith

Ropes & Gray

Ryan Law Partners

Searcy Denney

Seeger Weiss

Simpson Thacher & Bartlett LLP

Skadden Arps

St John & St John

Steptoe LLP

Tucker Ellis

Vasseghi Law

Wiley Rein

Williams & Connolly

Willkie Farr

WilmerHale

Wilson Browne Solicitors

Wilson Sonsini

Winston & Strawn

Zaiwalla & Co

gunnercooke LLP

COMPANIES IN TODAY'S NEWS

Activision Blizzard Inc.

Advanced Energy United

Aldi GmbH & Co. KG

Amazon.com Inc.

American Farm Bureau Federation Inc.

American International Group Inc.

American Petroleum Institute Inc.

Bloomberg Industry Group

Boehringer Ingelheim Vetmedica Inc.

Bregal Investments Inc.

Brigham Young University

Competitive Enterprise Institute

Consumer Federation of America

DISH Network Corp.

Delaware State Bar Association

Deloitte Touche Tohmatsu Ltd.

Delta Air Lines Inc.

Digital Currency Group Inc.

Drexel University

EchoStar Corp.

Ethiopian Airlines Enterprise

Executive Health Resources Inc.

Ferrari SpA

Ford Motor Co.

Futures Industry Association

Google LLC

Harvard University

Heathrow Airport Holdings Ltd.

ISO New England Inc.

International Olympic Committee

JPMorgan Chase & Co.

Jaguar Land Rover Ltd.

Johnson Controls International PLC

Kuwait Finance House KSC

Lambda Legal Defense & Educational Fund

LinkedIn Corp.

London Stock Exchange Group PLC

Major League Soccer LLC

Marks & Spencer

Mercedes-Benz USA LLC

Meta Platforms Inc.

Microsoft Corp.

Moelis & Co.

National Corn Growers Association

National District Attorneys Association

National Rifle Association of America

National Rural Electric Cooperative Association

New York University

OSI Systems Inc.

Organization for Economic Cooperation and Development

PJM Interconnection LLC

Pearson PLC

Pew Research Center

Pilgrim's Pride Corp.

PowerSchool Group LLC

Princeton University

Rapiscan Systems Inc.

Red Roof Inns Inc.

RedRidge Finance Group LLC

Rolls-Royce Motor Cars

Sanderson Farms Inc.

Solicitors Regulation Authority Ltd.

Southwest Airlines Co.

Spirit AeroSystems Holdings Inc.

Starbucks Corp.

Sysco Corp.

TD Ameritrade Holding Corp.

Tesla Inc.

Texas Public Policy Foundation

The Aerospace Corp.

The Center for Reproductive Rights Inc.

The Goldman Sachs Group Inc.

The Procter & Gamble Co.

TransPerfect Global Inc.

Truist Financial Corp.

Twitter Inc.

University of California Davis

University of Virginia

Volkswagen AG

YouTube Inc.

GOVERNMENT AGENCIES IN TODAY'S NEWS

Alabama Public Service Commission

Arizona House of Representatives

Bank of England

Bureau of Industry and Security

California Labor Commissioner's Office

California Public Employees' Retirement System

Commodity Futures Trading Commission

Consumer Financial Protection Bureau

Dallas County, Texas

Delaware Court of Chancery

European Commission

European Union

European Union Intellectual Property Office

Executive Office of the President

Federal Aviation Administration

Federal Bureau of Investigation

Federal Communications Commission

Federal Deposit Insurance Corp.

Federal Energy Regulatory Commission

Federal Reserve System

Federal Trade Commission

Financial Conduct Authority

Financial Stability Oversight Council

Food and Drug Administration

Internal Revenue Service

National Labor Relations Board

National Transportation Safety Board

New York Attorney General's Office

Prudential Regulation Authority

State Justice Institute

U.S. Attorney's Office

U.S. Attorney's Office for the District of Connecticut

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. Court of Appeals for the District of Columbia Circuit

U.S. Customs and Border Protection

U.S. Department of Commerce

U.S. Department of Energy

U.S. Department of Health and Human Services

U.S. Department of Justice

U.S. Department of the Treasury

U.S. District Court for the District of Columbia

U.S. District Court for the District of Idaho

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

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

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

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

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

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

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

U.S. District Court for the Southern District of Florida

U.S. Environmental Protection Agency

U.S. Patent and Trademark Office

U.S. Securities and Exchange Commission

U.S. Senate

U.S. Supreme Court

West Virginia Public Service Commission