Cybersecurity & Privacy

  • February 09, 2024

    Authors Say OpenAI Is Playing 2 Courts Against Each Other

    A group of writers suing OpenAI over copyright infringement allegations is accusing the Microsoft-backed startup of "forum shopping for the most favorable schedule," and is asking a federal judge in California to stop the company from trying to litigate a similar suit in New York federal court just because its lawyers made some deals to get a better timetable there. 

  • February 09, 2024

    Lawmakers Want TikTok Parent Barred From Software Exports

    A group of lawmakers led by Republican Rep. Dan Crenshaw and Democrat Rep. Josh Gottheimer have asked the Biden administration to add TikTok's parent company, ByteDance, to the U.S. Department of Commerce's foreign entity list and bar the transfer of U.S. software to the company.

  • February 09, 2024

    Microsoft Says Plaintiffs Show No Harm In Overbroad AI Suit

    A legal battle between consumers who say they've been harmed by unlawful data-collection practices related to the development of artificial intelligence and companies that control the new technology continued when Microsoft argued that the accusations against it were simply too broad and unexplained to allow the case to proceed.

  • February 09, 2024

    Robinhood Inks $9M Deal To End Promotional Text Suit

    Stock-trading app Robinhood has agreed to pay $9 million to resolve proposed class claims that its "Refer a Friend" program caused non-users to receive unsolicited promotional texts, in violation of Washington state law, consumers told a Seattle federal judge Thursday.

  • February 09, 2024

    Honda Finance Arm Discloses CFPB Credit-Reporting Probe

    Honda's U.S. automotive finance arm told investors Friday that the Consumer Financial Protection Bureau is investigating its consumer credit-reporting practices.

  • February 09, 2024

    SEC's 'Orwellian' Trade Database Is Unlawful, 11th Circ. Told

    Citadel Securities LLC and the American Securities Association have laid out their objections to a U.S. Securities and Exchange Commission directive that requires brokerage firms to fund the buildup of a database known as the consolidated audit trail, telling the Eleventh Circuit that the tool created an "Orwellian surveillance regime" that puts American investors at risk of being hacked.

  • February 09, 2024

    Tubi Can't Tune Out Viewing History Privacy Suit

    Streaming service Tubi must litigate a user's proposed class suit claiming the company unlawfully shares her and others' viewing history and personal information with advertisers, an Illinois federal judge has ruled, rejecting Tubi's bid to either arbitrate or dismiss the claims.

  • February 09, 2024

    Freight Co. Workers Fight To Keep Fingerprint Data Suit Alive

    Old Dominion Freight is only raising a timing argument to dodge claims it unlawfully scans and stores employees' fingerprints without their consent because "it is upset," a group of workers told an Illinois federal judge Friday.

  • February 09, 2024

    Healthcare Cybersecurity Bill Puts Focus On HHS Oversight

    Members of a U.S. Senate cybersecurity commission introduced a bill Friday that would require federal health officials to conduct regular evaluations of digital security systems and issue biennial reports to Congress.

  • February 09, 2024

    Social Media Is Now A 'Product,' But Forget New Regs In 2024

    A grassroots parental movement demanding federal regulations to hold social media accountable for harming children is unlikely to see success in Congress this election year, but families are hearing a change in how lawmakers and tech executives call these platforms "products" instead of digital publishers, which could impact how liability claims play out in court.

  • February 09, 2024

    Calif. Court Restores Privacy Agency's Power To Enforce Regs

    The California Privacy Protection Agency has won the reversal of a ruling that delayed its ability to enforce a dozen privacy regulations it has finalized under the state's landmark consumer data privacy law, paving the way for the agency to immediately begin taking action against companies under the rules. 

  • February 09, 2024

    AI Companies Say Artists' Copyright Suit Still Falls Short

    Four artificial intelligence companies behind image-generating platforms asked a California federal court to dismiss a proposed copyright class action from artists, arguing the plaintiffs' amended complaint still does not support allegations that their works were ripped off to train various AI programs.

  • February 09, 2024

    Jordan Calls For Investigation Into DOJ's Deal With IRS Leaker

    House Judiciary Committee Chairman Jim Jordan is investigating whether federal prosecutors were politically motivated to allow the former IRS contractor who leaked former President Donald Trump's tax returns to plead guilty to a single count of illegal disclosure, calling the arrangement "a sweetheart deal."

  • February 09, 2024

    Salesman Used AI To Transcribe Calls, Steal Secrets, Cos. Say

    Two Nebraska-based technology companies say a former Connecticut salesman used the "unauthorized" artificial intelligence program Otter to record meetings, forwarded more than 200 confidential messages to his personal email address and made off with trade secrets for accounts worth $12 million after he was fired for cause on Feb. 1.

  • February 09, 2024

    SEC To Collect $81M In Fines In Latest Texting Probe Cases

    The U.S. Securities and Exchange Commission announced Friday that it has secured agreements to pay more than $81 million in fines from 16 firms over their employees' use of personal messaging apps to do business, though the agency added that one set of firms ended up paying much less for having self-reported the violations.

  • February 09, 2024

    NAR Agrees To Mediate Subscriber Data Disclosure Claim

    The National Association of Realtors and a subscriber to its official magazine agreed to mediate their dispute in Michigan federal court over the group's alleged illegal sharing of personal information.

  • February 09, 2024

    Feds Seek Over 5 Years For NYC Atty In $18.8M Ponzi Scheme

    Federal prosecutors are seeking 5¼ to 6½ years in prison for a New York City attorney who admitted to running an $18.8 million Ponzi scheme that defrauded real estate investors, in addition to separately laundering funds from an expansive insurance fraud scheme.

  • February 09, 2024

    Taxation With Representation: Sullivan & Cromwell, Kirkland

    In this week's Taxation With Representation, California Resources Corp. acquires Aera Energy, ZeroFox Holdings goes private, and Acerinox purchases Haynes International.

  • February 08, 2024

    Texas Jury Clears Cloudflare, Axes Router Patent Claim

    San Francisco software company Cloudflare did not infringe a router patent owned by Sable Networks, a Texas federal jury determined Thursday, while also finding that Sable's asserted claim is invalid.

  • February 08, 2024

    Dechert Pushes To Deep-Six Hacking Cover-Up Suit

    Dechert LLP, its former white collar practice leader and others on Thursday urged a New York federal judge to find that alleged concealment of a hacking campaign to discredit a critic of a firm client isn't enough to support a civil Racketeer Influenced and Corrupt Organizations Act case.

  • February 08, 2024

    Calif. AG Not To Be Counted Out In Privacy Enforcement Arena

    The California attorney general's recent moves to crack down on streaming providers' data privacy practices and push for heightened digital safeguards for children show that the agency has no intention of backing down in this arena, even as the state's unique stand-alone data protection regulator ramps up its activity.

  • February 08, 2024

    FSOC 'Very Focused' On Nonbank Mortgage Risk, Yellen Says

    U.S. Treasury Secretary Janet Yellen told lawmakers on Thursday that federal regulators have "concern" about potential nonbank fragility in the mortgage market, and offered encouragement for legislative efforts to guard against artificial intelligence risks to the financial sector.

  • February 08, 2024

    Broker Hit With Suit Over Data Breach Affecting 1.5 Million

    A California insurance broker is facing a proposed class action filed Thursday in federal court accusing the company of failing to keep the health and personal information of more than 1.5 million customers safe from exposure in an August cyberattack.

  • February 08, 2024

    GolfNow And NBC Hit With Class Action Over Data Sharing

    GolfPass subscribers have hit GolfNow LLC and NBC Universal Media with a proposed class action claiming the companies collect and share consumers' personally identifiable information with Meta without their consent.

  • February 08, 2024

    Homeland Security's AI Use Records Faulty, Watchdog Says

    The U.S. Department of Homeland Security has failed to accurately note that some of its cybersecurity programs use artificial intelligence as required under a presidential executive order, according to a government watchdog assessing vulnerabilities to cyberattacks.

Expert Analysis

  • How Data Brokers Can Prep For Calif. Delete Act Compliance

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    As California Delete Act obligations approach in late January, data brokers should proactively assess and scrutinize their compliance with the act, taking proactive measures to mitigate potential risks associated with noncompliance, say Goli Mahdavi and Gabrielle Harwell at BCLP.

  • How 4 State AGs Are Shaping Data Privacy Compliance

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    As the landscape of state data privacy laws continues to grow across the nation, understanding how state attorneys general — such as in California, Colorado, Connecticut and Virginia — are thinking about these laws is critical to begin forecasting how enforcement will play out, say Michelle Kallen and Daniel Echeverri at Jenner & Block.

  • 7 E-Discovery Predictions For 2024 And Beyond

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    The legal and technical issues of e-discovery now affect virtually every lawsuit, and in the year to come, practitioners can expect practices and policies to evolve in a number of ways, from the expanded use of relevancy redactions to mandated information security provisions in protective orders, say attorneys at Littler.

  • DOD's Proposed Cyber Rule: What Contractors Must Know

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    A review of the U.S. Department of Defense's recently published Cybersecurity Maturity Model Certification proposed rule, requiring independent third-party cybersecurity assessments for many defense contractors, suggests that there will be a competitive advantage to prompt demonstration of full compliance with the rule, says Robert Metzger at Rogers Joseph.

  • Top Considerations For Retailers Using AI To Combat Theft

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    The Federal Trade Commission's recent enforcement action against Rite Aid indicates a significant evolution in the landscape surrounding biometric information and artificial intelligence data collection by retailers, meaning retailers should take reasonable measures to prevent harm to customers, say attorneys at Dentons.

  • Major EU AI Banking Ruling Will Reverberate Across Sectors

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    Following the European Court of Justice's recent OQ v. Land Hessen decision that banks' use of AI-driven credit scores to make consumer decisions did not comply with the General Data Protection Regulation, regulators indicated that the ruling would apply broadly, leaving numerous industries that employ AI-powered decisions open to scrutiny, say lawyers at Alston & Bird.

  • Trends That Tech Lawyers Should Keep An Eye On In 2024

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    Worldwide technology spending is projected to strengthen in 2024, spurred by artificial intelligence-driven solutions, and five areas of growth may affect lawyers' practice in this sector, says Sonia Baldia at Kilpatrick.

  • CFPB As Pay App Watchdog May Invite More Fintech Regs

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    While the Consumer Financial Protection Bureau's recent proposal to enhance federal oversight of the biggest consumer payment applications would impose no new regulatory obligations, the rulemaking could provoke heightened scrutiny for all participants in the digital payments market, say attorneys at Steptoe.

  • Emerging Risks Affecting The Tech Legal Landscape

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    The tech industry has become a battleground for various legal challenges shaped by geopolitical events, partisan politics, regulatory initiatives, patent disputes and class action trends, but companies can adopt several proactive legal strategies to safeguard their interests, say Natasha Allen and Louis Lehot at Foley & Lardner.

  • 5 Litigation Funding Trends To Note In 2024

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    Over the next year and beyond, litigation funding will continue to evolve in ways that affect attorneys and the larger litigation landscape, from the growth of a secondary market for funded claims, to rising interest rates restricting the availability of capital, says Jeffery Lula at GLS Capital.

  • 5 Securities Litigation Issues To Watch In 2024

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    There is yet another exciting year ahead for securities litigation, starting with the U.S. Supreme Court hearing argument next week in a case presenting a key securities class action question that has eluded review for the last eight years, say attorneys at Willkie.

  • Unpacking NIST's Guidance On Genomic Data Cybersecurity

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    The National Institute of Standards and Technology's final internal report on cybersecurity of genomic data highlights unique concerns associated with the use of such data and provides strong recommendations for risk management, though one area of the report may cause some confusion, say attorneys at Ropes & Gray.

  • A Look At Consumer Reporting In 2023, And What's To Come

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    The legal landscape of consumer reporting is evolving as courts, federal regulators and state legislatures continue to weigh in — and while last year may have seen a slight downtick in the overall volume of Fair Credit Reporting Act litigation, 2024 is set to be a watershed year for this area of the law, say attorneys at Troutman Pepper.

  • What To Know About FCA Cybersecurity Enforcement

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    Now is a good time for practitioners, government contractors and potential relators to review recent developments in cybersecurity-related False Claims Act enforcement, and consider best practices for navigating this space in the new year, say Ellen London at London & Stout, and Li Yu and Molly Knobler at DiCello Levitt.

  • 8 Privacy Law Predictions For 2024

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    As the new year begins, looking back to several of last year's privacy law developments may help companies forecast what to focus on when updating their privacy programs, including children's privacy, so-called dark patterns and the collection of data by connected cars, say attorneys at Sheppard Mullin.

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