The Consumer Financial Protection Bureau sparred Thursday with a coalition of trade groups over recusal standards in their Fifth Circuit lawsuit challenging the agency's new $8 credit card late fee rule, arguing that a judge's ownership of stock in a major card-issuing bank ought to be disqualifying in itself.
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TOP NEWS

CFPB Says Credit Card Shares Disqualifying In 5th Circ. Case

By Jon Hill

The Consumer Financial Protection Bureau sparred Thursday with a coalition of trade groups over recusal standards in their Fifth Circuit lawsuit challenging the agency's new $8 credit card late fee rule, arguing that a judge's ownership of stock in a major card-issuing bank ought to be disqualifying in itself.

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Wells Fargo Wants Ex-CEO's $34M Back-Pay Suit Tossed

By Jon Hill

Wells Fargo & Co. has asked a California state court to throw out a lawsuit filed by former CEO Timothy Sloan that seeks $34 million in compensation he alleges was wrongfully withheld from him, a payout the bank maintains it doesn't owe.

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Visa Beats Some Merchant Claims In Antitrust MDL

By Katryna Perera

A New York federal judge has trimmed claims lodged by Home Depot and other merchants against Visa and several banks in sprawling multidistrict antitrust litigation dating back to 2005 over network rules forcing merchants to accept the companies' cards.

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Judge Grants $3.2M In Fees For Wawa Class Counsel

By James Boyle

There is no evidence of side agreements or collusion between attorneys representing a proposed class in a suit against Wawa Inc. and the convenience store's defense counsel, according to a Pennsylvania federal judge's order approving $3.2 million in attorney fees following appellate court review.

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JPMorgan Analyst's Acquittal Sinks Stock Tip Case, Man Says

By Elliot Weld

A Los Angeles man is planning a Ninth Circuit appeal after he was found guilty of trading on privileged information supplied by a childhood friend who was an analyst at JPMorgan Securities LLC, reasoning that he could not be guilty because the friend was acquitted at a separate trial.

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POLICY & REGULATION

Treasury Proposes Steeper Foreign Investment Law Penalties

By Charlie Innis

The U.S. Department of the Treasury issued a notice Thursday proposing to sharpen its procedures and enforcement practices for reviewing foreign investment deals for national security issues, according to an announcement.

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CFPB, EU Say Teamwork 'Critical' As Fintech Bridges Atlantic

By Aislinn Keely

The consumer protection watchdogs in Europe and the U.S. said Thursday that their ongoing dialogue has yielded three shared focuses — the expansion of technology firms' payment services, the use of artificial intelligence in consumer markets and buy now, pay later products.

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ENFORCEMENT & COMPLIANCE

Ohtani's Ex-Interpreter Charged In $16M Theft From MLB Star

By Craig Clough

The former interpreter for Los Angeles Dodgers player Shohei Ohtani has been charged with stealing around $16 million from the superstar to place illegal sports bets, federal officials in Los Angeles announced Thursday, saying Ohtani was a victim and had no knowledge of his interpreter's gambling.

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Analysis

Feds Bring MLB's Messy Betting Scandal Into Focus

By Alex Lawson

The federal bank fraud charge against Shohei Ohtani's former interpreter doubled as a de facto exoneration of Ohtani himself, as prosecutors built a detailed case that experts say brings clarity to an explosive saga marked by confusion and shifting narratives.

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LITIGATION

BNY Can't Nix Suit Alleging Mutual Fund Conflict Of Interest

By Sydney Price

The Bank of New York Mellon must face most of the remaining claims in a proposed self-dealing class action alleging it failed to disclose conflicts of interest when funneling client assets into mutual funds and other investment vehicles that favored the bank.

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Insurer Says Firm Not Covered For Bogus Check Scheme

By Rose Krebs

An insurance firm has filed a complaint in Washington federal court seeking a declaration that it doesn't owe coverage to a Seattle-area firm and its sole attorney, who are embroiled in litigation with a bank after the firm fell prey to a counterfeit check scheme.

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BANKRUPTCY

FTX Brass, Investors Can't Move Bankruptcy Suit To MDL

By Elliot Weld

The Judicial Panel on Multidistrict Litigation on Thursday denied a bid to move a Delaware bankruptcy proceeding regarding the collapse of cryptocurrency exchange FTX Trading Ltd. to an ongoing multidistrict litigation brought by the company's investors seeking to recoup their losses.

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EXPERT ANALYSIS

Series

Fla. Banking Brief: All The Notable Legal Updates In Q1

Early 2024 developments that could have a notable impact on Florida's finance community include progress on a bill that would substantially revise the state Securities and Investor Protection Act, and the Consumer Financial Protection Bureau's final rule capping late fees for larger credit card issuers, say Benjamin Weinberg and Megan Riley at Leon Cosgrove.

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At 'SEC Speaks,' A Focus On Rebuilding Trust Amid Criticism

At the Practising Law Institute's SEC Speaks conference last week, U.S. Securities and Exchange Commission leadership highlighted efforts to rebuild and restore trust in the U.S. capital markets by addressing investor concerns through regulatory measures and enforcement actions, emphasizing the need for cooperation from market participants, say attorneys at Perkins Coie.

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LEGAL INDUSTRY

Orrick To Pay $8M To Settle Data Breach Litigation

By Lauren Berg

A proposed class of data-breach victims asked a California federal judge Thursday to greenlight an $8 million settlement with Orrick Herrington & Sutcliffe LLP in litigation over a March 2023 data breach that purportedly exposed Social Security numbers and other personal information of more than 638,000 individuals.

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Analysis

OJ Simpson's Jury Was Sequestered. Why Not Trump's?

By Phillip Bantz

Unlike jurors in the murder case of O.J. Simpson, the 12 Manhattanites picked to hear criminal charges against Donald Trump likely won't be sequestered during the trial — easing psychological and financial burdens but potentially exposing them to outside pressures.

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Calif., NY And SD Judicial Nominees Advance To Full Senate

By Courtney Buble

Four judicial nominees were voted out of the Senate Judiciary Committee on Thursday, including one scrutinized for his affiliation with the National Asian Pacific American Bar Association and the group's position on hot button issues.

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Leonard Leo Rebuffs Senate Judiciary Committee Subpoena

By Courtney Bublé

Sen. Dick Durbin, D-Ill., chair of the Senate Judiciary Committee, served influential conservative and longtime Federalist Society executive Leonard Leo with a subpoena on Thursday as part of his U.S. Supreme Court ethics probe, which Leo is refusing to comply with.

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Tax Controversy Quintet Joins Bradley Arant In Atlanta

By Adrian Cruz

Bradley Arant Boult Cummings LLP announced that it hired a five-person tax controversy team from Chamberlain Hrdlicka White Williams & Aughtry highlighted by the addition of three experienced partners, including two former Internal Revenue Service trial attorneys.

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Ex-Ellenoff Grossman Atty Faces Possible Firing Suit Remand

By Patrick Hoff

A former Ellenoff Grossman & Schole LLP associate's suit saying she was fired for protesting sexual harassment should return to state court, a New York federal judge recommended, saying the federal court can't enforce arbitration pacts invalidated by a 2022 amendment to the Federal Arbitration Act.

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Jewish Attys Sue Union Over Dues After Pro-Palestine Stance

By Emily Brill

A public defenders union violated the First Amendment by forcing two Jewish attorneys who oppose its pro-Palestine rhetoric to continue paying dues, the New York City-based attorneys claimed in a federal lawsuit filed Thursday, naming the city and their employer as defendants as well.

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Promo that reads 2023 Practice Groups of the Year Promo that reads 2023 Law Firm Culture Survey

COMPANIES IN TODAY'S NEWS

7-Eleven Inc.

Amazon.com Inc.

American Bankers Association

American Bar Association

American Federation of State County & Municipal Employees

Apple Inc.

Citigroup Inc.

ESPN Inc.

ExactTarget Inc.

Federalist Society

Google LLC

Integrated Device Technology Inc.

Jacksonville Jaguars LLC

KPMG International

LinkedIn Corp.

Lowe's Cos. Inc.

Major League Baseball Inc.

MasterCard Inc.

PLX Technology, Inc.

Practising Law Institute Inc.

Salesforce.com Inc.

TF Financial Corp.

TFS Financial Corporation

The Bank of New York Mellon Corp.

The Florida Bar

The Home Depot Inc.

U.S. Chamber of Commerce

Umpqua Holdings Corporation

United Auto Workers

University of Southern California

Wawa Inc.

Wells Fargo & Co.

LAW FIRMS IN TODAY'S NEWS

Alston & Bird

Arnold & Porter

Baker & Hostetler

Berger Montague

Boies Schiller

Bondurant Mixson

Bradley Arant

Byrnes Keller

Cantey Hanger

Chamberlain Hrdlicka

Chimicles Schwartz

Cole Schotz

Constantine Cannon

Councill Gunnemann

Culp Elliott

Daniel G. Suber & Associates

Davenport Evans

DiCello Levitt

Ellenoff Grossman

Entwistle & Cappucci

Federman & Sherwood

Fine Kaplan

Ford O'Brien

Fox Rothschild

Freed Kanner

Grant & Eisenhofer

Green & Noblin PC

Hamilton Lincoln Law Institute

Hilliard & Shadowen

Holwell Shuster

Kutak Rock

Leon Cosgrove

Morgan Lewis

Moskowitz Law Firm

Nelson Mullins

Nussbaum Law Group

Orrick Herrington

Paduano & Weintraub

Pallas Partners

Paul Hastings

Paul Weiss

Perkins Coie

Quinn Emanuel

Reed Smith

Rudy Exelrod

Schubert Jonckheer

Schwartz Perry

Vorys

White and Williams

Wiggin & Dana

GOVERNMENT AGENCIES IN TODAY'S NEWS

City of New York

Committee on Foreign Investment in the United States

Consumer Financial Protection Bureau

European Commission

Federal Bureau of Investigation

Florida State Senate

Internal Revenue Service

Manhattan District Attorney's Office

Office of Financial Regulation

U.S. Attorney's Office for the Central District of California

U.S. Court of Appeals for the Fifth Circuit

U.S. Department of the Treasury

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

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

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

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

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

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

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

U.S. District Court for the Western District of Pennsylvania

U.S. District Court for the Western District of Washington

U.S. Securities and Exchange Commission

U.S. Supreme Court

United Nations