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Cybersecurity & Privacy
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September 22, 2023
UK Cements 'Bridge' To Ease US Data Transfers
U.K. businesses beginning Oct. 12 will be able to transfer personal data without restrictions to U.S. companies that have met certain privacy requirements laid out by the European Union, under a new data exchange "bridge" agreement.
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September 22, 2023
Canceled $5B Air Force Deal May Be Susceptible To Protests
The U.S. Air Force may have opened itself up to protests and litigation over a highly competitive deal worth at least $5 billion following its decision to stop soliciting for the contract — after it got too many proposals.
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September 22, 2023
Alito Extends Freeze Of Ban On Biden Social Media Work
U.S. Supreme Court Justice Samuel Alito on Friday extended for three days a pause he'd placed on a lower court's order prohibiting members of the Biden White House and certain federal agencies from working with social media companies to combat the spread of misinformation.
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September 22, 2023
Fortis Sues SentinelOne In Del. Over Attivo Merger Failures
A stockholder agent for cybersecurity venture Attivo Networks has sued acquirer SentinelOne Inc. for release of a $61 million escrow established in a May 2022 merger, alleging a range of contract breaches in a newly public Delaware Court of Chancery suit.
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September 22, 2023
Marsh McLennan Asks 2nd Circ. To Revisit Data Breach Ruling
Marsh McLennan urged the Second Circuit to review its decision to revive a former employee's lawsuit seeking relief for what she called the professional services firm's failure to protect her personal information in a data breach.
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September 22, 2023
Amazon's 'Just Walk Out' Tech Violates Ill. BIPA, Suit Says
Amazon was hit with a proposed class action in Illinois state court Thursday for allegedly breaching biometric privacy laws at its convenience stores with "Just Walk Out" technology that gathers and retains images for a seamless shopping experience, which plaintiffs say comes at "the steep price of personal privacy."
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September 22, 2023
MGM Hit With Proposed Class Action Over 10-Day Cyberattack
MGM Resorts International has been hit with a proposed class action alleging its negligence led to the 10-day cyberattack earlier this month and the company's "utter failure" to protect consumers' sensitive data presents risks to the data breach victims that "will remain for their respective lifetimes."
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September 22, 2023
Enviro Cases To Watch This Supreme Court Term
The U.S. Supreme Court has already agreed to review two cases with important implications for environmental and administrative law during its 2023 term, and several more litigants are seeking the justices' attention on issues ranging from financial responsibility for Superfund cleanups to whether the federal government properly estimated the social costs of greenhouse gases.
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September 22, 2023
Seagate's Attys On The New Era Of Harsher Export Controls
Seagate Technology LLC's record-breaking $300 million settlement with the U.S. Department of Commerce should serve as a warning to companies operating in China: minimize exposure now or face a darkening enforcement landscape, the company's attorneys told Law360.
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September 22, 2023
Saltz Mongeluzzi Seeks $125K In Fees From Post-Hack OT Suit
Attorneys from Saltz Mongeluzzi & Bendesky PC are seeking more than $125,000 in fees and expenses for more than 150 hours of representation for a class of rehab facility workers who claimed they were underpaid for overtime when their company's timekeeping system was hacked.
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September 22, 2023
How Latham Attys Won $200M Trade Secrets Case In Ga. Trial
Following almost nine years of litigation, Georgia manufacturer Universal Alloy Corp. defeated allegations it stole Alcoa's trade secrets and a $200 million contract with Boeing for aircraft wing parts. Here, UAC's lead trial attorneys from Latham & Watkins LLP reveal to Law360 how they did it.
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September 21, 2023
CFPB Plans Take Aim At Medical Debt Reporting, Data Brokers
The Consumer Financial Protection Bureau on Thursday released an early stage outline of potential new rules it is developing that would ban medical debt from consumer credit reports and subject so-called data brokers to increased regulation as credit reporting companies.
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September 21, 2023
Google Judge Questions Need For Health Tracking Injunction
A California federal judge on Thursday appeared disinclined to block Google LLC from tracking user analytics from health care providers' websites while users litigate their allegations the tech giant is unlawfully gathering patient health information, saying the plaintiffs haven't shown that Google is misusing the information.
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September 21, 2023
NY AG Inks $3.5M Deal To Boost College's Cybersecurity
Marymount Manhattan College has agreed to invest $3.5 million in data security enhancements to resolve the New York attorney general's claims that the educational institution's failure to maintain adequate safeguards opened it up to a 2021 cyberattack that exposed personal data belonging to nearly 100,000 students, faculty and alumni.
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September 21, 2023
Ill. Justices Weigh Privacy Claim After Firm Touted $4M Verdict
The Supreme Court of Illinois on Thursday cast doubt over whether a medical malpractice plaintiff, a former corporate lawyer who won a $4.2 million verdict, can sue his former counsel for improperly disclosing his personal mental health information in a public statement and in a Chicago newspaper article.
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September 21, 2023
FCC Looks To Clear Satellite Licensing Logjams
The Federal Communications Commission adopted rules Thursday aimed at making it easier to clear a deluge of satellite and earth station applications with the agency and to free up spectrum for commercial space launches.
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September 21, 2023
Judges Urge 9th Circ. To Stop Hearing Anti-SLAPP Appeals
A Ninth Circuit panel rejected Thursday a Washington tech company's argument that California's anti-SLAPP statute shields it from proposed class claims alleging it illegally profits off Golden State residents' intellectual property and publicity rights, with two judges urging the full circuit to stop allowing interlocutory appeals of anti-SLAPP decisions.
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September 21, 2023
FCC Tightens Up Phone Number Access To Reduce Robocalls
The Federal Communications Commission on Thursday revamped the rules governing how internet-based phone providers obtain numbers in an effort to reduce illegal robocalls and address national security risks.
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September 21, 2023
Drug Cabinet Finger Scans Are BIPA-Exempt, Ill. Justices Hear
Becton Dickinson and two hospitals urged the Illinois Supreme Court on Thursday not to ignore any terms in the Biometric Information Privacy Act's health care exemption and to find that health care employers can't be held liable for their employees' use of automated medication dispensing cabinets.
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September 21, 2023
Digital Art Cohort Sues In Del. Over Alleged NFT, Crypto Theft
Four purported members of a "digital art collective" sued their estranged business partner in Delaware's Court of Chancery late Thursday, accusing him of seizing control of operations, pushing them out of the venture, defaming them online and misappropriating more than $2.3 million in digital assets.
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September 21, 2023
State Dept. Contractor Arrested On Espionage Charges
A government contractor has been arrested on charges that he copied top secret information from intelligence reports he accessed at the U.S. Department of State and transmitted them to an official of an unnamed foreign nation, prosecutors announced Thursday.
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September 21, 2023
9th Circ. Finds Couple's Challenge To Calif. Gun Law Moot
The Ninth Circuit on Thursday refused to reopen a suit by a couple alleging that a state law requiring anyone subject to a restraining order to give up their firearms is unconstitutional, finding that the challenge is moot because the orders have expired.
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September 21, 2023
Democratic Bill Would 'Empower' FTC On Artificial Intelligence
Bicameral legislation introduced by Democrats on Thursday would give the U.S. Federal Trade Commission more resources and authority to regulate companies' use of artificial intelligence amid concerns about "harmful biases" being proliferated by automated decision-making.
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September 21, 2023
Covington Client Can Stay Anonymous During SEC Appeal
A D.C. federal court ruled Thursday that a Covington & Burling LLP client can remain anonymous while appealing an order demanding the firm reveal to the U.S. Securities and Exchange Commission the names of some clients targeted in a 2020 cyberattack.
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September 21, 2023
Actuarial Co. To Pay $7.75M In Retirement Plan Privacy Suit
A benefits consulting firm agreed to shell out $7.75 million to wrap up a proposed class action claiming the company's negligence allowed hackers to access the personal data of millions of retirement plan participants, according to a Georgia federal court filing.
Expert Analysis
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Opinion
Private Equity Owners Can Remedy Law Firms' Agency Issues
Nonlawyer, private-equity ownership of law firms can benefit shareholders and others vulnerable to governance issues such as disparate interests, and can in turn help resolve agency problems, says Michael Di Gennaro at The Law Practice Exchange.
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Cos. Must Overhaul Data Privacy Approach To Avoid Lawsuits
With the proliferation of third-party trackers and the increasing complexity of privacy laws, companies need to significantly change their approach to online privacy to avoid litigation by focusing on responsible data collection practices and ongoing monitoring of ad tech tools, says Ian Cohen at LOKKER.
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Understanding EU's AI Act And Its Enforcement Mechanisms
Companies wishing to use or market AI technology in the EU will need to become familiar with the risk-based regulatory framework and strict enforcement mechanisms of the draft EU Artificial Intelligence Act, which may be effective as early as next year, say Matthew Justus at AT&T and Wade Barron at Kilpatrick Townsend.
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What Cos. Must Know About New Ore. Consumer Privacy Law
Oregon was recently the 12th state to enact a comprehensive consumer data privacy law, but its one-year effective date delay is only applicable to certain nonprofits — so entities in the state should review their data inventory, collection and sharing practices to comply by July 1, 2024, say Neeka Hodaie and Lisa Schaures at Seyfarth.
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Beware The Legal Risks Of Using AI In Software Development
Software companies are among the most motivated and excited by trained generative artificial intelligence engines, but the output of code writing assistants can include code, comments or other content that infringes copyright or runs afoul of a use restriction associated with its original source location, say Andrew Freyer and Palash Basu at Brownstein Hyatt.
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How To Protect Atty-Client Privilege While Using Generative AI
When using generative artificial intelligence tools, attorneys should consider several safeguards to avoid breaches or complications in attorney-client privilege, say Antonious Sadek and Christopher Campbell at DLA Piper.
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What To Know About Calif.'s Cybersecurity Draft Regulations
If adopted, California’s recently proposed privacy regulations would require businesses already subject to the California Consumer Privacy Act to conduct new, independent audits of their cybersecurity programs, which could have a sweeping effect on companies operating in the state, say attorneys at Ropes & Gray.
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How New Lawyers Can Leverage Feedback For Growth
Embracing constructive criticism as a tool for success can help new lawyers accelerate their professional growth and law firms build a culture of continuous improvement, says Katie Aldrich at Fringe Professional Development.
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State Privacy Laws: Not As Comprehensive As You May Think
As more U.S. states enact privacy laws, companies must be aware that these laws vary in scope and content, meaning organizations should take a stringent approach to compliance by considering notice, choice and data security obligations, among other requirements, says Liisa Thomas at Sheppard Mullin.
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Bracing For Rising Cyber-Related False Claims Act Scrutiny
Two recent cyber-related False Claims Act cases illustrate the vulnerability of government contractors, including universities, obliged to self-attest compliance with multiple controls, signal the importance of accurate internal controls and underline the benefits of self-disclosure, say Townsend Bourne and Nikole Snyder at Sheppard Mullin.
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Developers Are Testing Defenses In Generative AI Litigation
In the rapidly growing field of generative artificial intelligence law in the U.S., there are a few possible defenses that have already been effectively asserted by defendants in litigation, including lack of standing, reliance on the fair use doctrine, and the legality of so-called data scraping, say attorneys at K&L Gates.
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How Calif. Ruling Extends Worker Bias Liability To 3rd Parties
The California Supreme Court's recent significant decision in Raines v. U.S. Healthworks Medical Group means businesses that provide employment-related services to California employers can potentially be held liable for California’s Fair Employment and Housing Act violations, says Ryan Larocca at CDF Labor.
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9 Consumer Finance Issues To Note From CFPB Report
A recent report from the Consumer Financial Protection Bureau highlights abusive consumer finance tactics that the agency uncovered during supervisory examinations over the last year — among the most significant issues identified: deceptive practices in automotive loan servicing, and consumer reporting and debt collection compliance failures, say attorneys at Troutman Pepper.
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Twitter Legal Fees Suit Offers Crash Course In Billing Ethics
X Corp.'s suit alleging that Wachtell grossly inflated its fees in the final days of Elon Musk’s Twitter acquisition provides a case study in how firms should protect their reputations by hewing to ethical billing practices and the high standards for professional conduct that govern attorney-client relationships, says Lourdes Fuentes at Karta Legal.
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Why It's Time To Regulate Plan Data As An Asset
With cyberattacks on the rise and the availability of artificial intelligence technology to the public, now is the time for the U.S. Department of Labor to regulate plan data as a plan asset to help protect participants from cybertheft and misuse, say attorneys at Michael Best.