A new post from Contract Logix offers some advice on how to avoid landing in a nightmare business situation: Imagine if a disgruntled employee or ambitious hacker accessed the details of your most important and sensitive contractual agreements and did something malicious with the information. Just think about the potential legal, financial, and brand liability.

Security breaches like this can result in the most severe and highest profile consequences for your business, especially in today’s hyper-connected world of social media. Unfortunately, the contracts at many organizations are scattered throughout the company in file cabinets, on individuals’ hard drives, or in shared folders – exposing the business to significant risk.

Below are 5 security-focused best practices you can implement to better protect your contracts:

1. Centralize all your contracts in a secure electronic repository.

It’s not uncommon for organizations to store contracts in shared folders across multiple locations and formats. However, centralizing your agreements in a password protected and cloud-based repository is the most important step towards secure contract management. Not only will it keep your agreements organized, it greatly reduces the risk of them being accessed by the wrong individuals and stores them in a safe place. It also allows you to securely access any document at anytime from anywhere on any device.

2. Implement role-based security to your contracts and related information.

Another challenge with storing contracts in multiple places is that it’s impossible to govern tiers of access to them. Once you’ve centralized your contracts online, you’ll be able to set role-based permissions for enhanced security. This allows someone to read or write certain document or contract types but denies them access to others that would be inappropriate to edit. It also prevents unauthorized users from seeing or editing contract details.

3. Ensure all your contract data is encrypted in transit and at rest.

An important best practice to protect your contracts from unauthorized users is to encrypt all your document data. You’ll want to encrypt information both at rest and in transit using the latest AES 256-bit encryption and TLS 1.2 standards. Data at rest refers to any data that is stored within your contract management system. Data in transit refers to any data that is being sent externally to or from your contract management system to a user or another application.

4. Leverage E-signature capabilities.

The most time-consuming part of any contract process is getting approvals, especially for those chasing down paper-based signatures. E-signatures are a best practice to get documents signed faster. More importantly, however, is that e-signatures are more secure than paper ones. They have been legally binding for over 15 years thanks to the ESIGN Act of 2002. E-signatures carry a digital record about who, when, and where a document was signed to ensure authentication and help with audit trails. Be sure to fully capitalize on the benefits E-signatures offer your organization.

5. Intake your contract data through secure forms.

Many organizations still rely on email to request contracts and capture required data to create them. This often leads to incomplete or incorrect information which adds time and creates risk. Email attachments are also the most common way hackers infiltrate corporate networks with malicious software. With pre-defined and encrypted intake forms, team members can quickly and accurately submit an existing contract, request the creation of a contract, or if they have the authority, instantly create a contract. This ensures the integrity and security of data captured for your contracts, eliminates the need for double data entry or chasing down missing data, and minimizes mistakes.

Takeaway

The number of security breaches and malicious hacks continues to skyrocket. Given that contracts are the backbone of your business, you can increase the security of them by implementing these five best practices. Not only will you have greater piece of mind, you’ll also avoid potential financial, legal, and brand risks.

A post on the Carlton Fields website updates the latest ruling in a class action alleging violation of the Fair Labor Standards Act and breach of contract.

A U.S. district court had compelled arbitration pursuant to an agreement between the plaintiff and defendant, but it struck as unlawful a waiver clause that appeared to forbid class or collective arbitration of her claims, reasoning that the plaintiff could not waive her right to bring a class action under the National Labor Relations Act.

On appeal, the Seventh Circuit was faced with reconciling the district court’s decision with a subsequently-decided U.S. Supreme Court case, writes Gail E. Jankowski.

Read the article.

Arent Fox LLP announced the expansion of its International Trade and National Security practices with the addition of partner David R. Hanke.

Following his service as a Professional Staff Member on the US Senate Select Committee on Intelligence and a lead policy advisor to Senator John Cornyn (R-TX), Hanke will practice in the firm’s Washington, DC office and counsel domestic and foreign clients on the implementation of the Foreign Investment Risk Review Modernization Act (FIRRMA) — the most sweeping overhaul of CFIUS in 40 years, the firm said in a release.

“As an intellectual architect and driving force behind FIRRMA, Dave is one of the most knowledgeable lawyers in the country about CFIUS, whether M&A, joint venture, and finance transactions must now be filed, and how to handle the new CFIUS review process,” said International Trade leader Kay C. Georgi. “While serving at the Senate Intelligence Committee, Dave collaborated with key officials at the Treasury Department and other CFIUS member agencies as FIRMMA was developed. He also has unique insight into what emerging and foundational technologies may be controlled in the future by the Department of Commerce Bureau of Industry and Security. Dave’s experience and his excellent legal skills will be a great resource to our national security and international trade clients.”

In the release, the firm said Hanke’s work at the Senate Intelligence Committee and for then-Senate Majority Whip John Cornyn exposed him to some of the country’s most complicated and multifaceted national security issues and technology-related challenges. His work included serving as the principal advisor to Sen. Cornyn on all intelligence, CFIUS, and related issues; devising, developing, and drafting FIRMMA and also two bills regarding foreign theft of US intellectual property; reviewing all classified CFIUS National Security Threat Assessments written by the Intelligence Community; and formulating policy to maximize security for 5G mobile communications.

At Arent Fox, Hanke will advise clients at the intersection of national security and business on matters involving CFIUS, export controls, Defense Security Service issues, and national security-related investigations.

Prior to joining the Senate Intelligence Committee, Hanke served as Counsel for National Security Affairs to Sen. Cornyn and held various staff positions on several committees in the House of Representatives, including International Relations, Ways and Means, and House Administration. From 2004-2007, he served on active duty as a Judge Advocate in the US Army, during which time he was a lead prosecutor and principal attorney for commanders at various levels and deployed to Iraq for 11 months with the 101st Airborne Division (Air Assault).

RFP Advisory Group will present a complimentary webinar where attendees will learn best practices and obstacles to avoid when issuing a request for proposal (RFP) to law firms.

The webinar will be Wednesday, Feb. 16, 2019, beginning at 1 p.m. EST.

RFP Advisory Group says that RFPs can allow a legal department to:

* Identify how many, and which law firms are the best fit for your business goals
* Incorporate the latest technology and innovations into your legal strategy
* Negotiate rates that will ensure that you are getting the most value for your dollar
* Convert your billing structures to alternative fee arrangements (“AFAs”)
* Increase diversity of the lawyers working on your companies matters
* Create a consistent set of outside counsel guidelines

However, RFPs can be labor intensive and a disaster to manage when done incorrectly, especially when done by general counsel with no legal operations or procurement staff to support the process, the RFP Advisory Group says. This webinar is ideal for general counsel who have been considering issuing an RFP but need to learn more about the latest trends and best practices.

Register for the webinar.

Seattle and its insurers have agreed to pay $65.75 million to the family of Brooke Taylor, an amount representing the largest individual personal injury settlement in the city’s history, likely the largest in Washington state and among the largest ever in the country, reports Crosscut.

“The enormous sum is the result of a confluence of circumstances,” explains Crosscut’s David Kroman. “Taylor was 38 at the time of the crash and in the early part of what was an already decorated career with the law firm Susman Godfrey as an intellectual property litigation attorney. When she was still working, she was being showered with praise, and several industry publications had counted her among the country’s best lawyers.”

Taylor has a full-time medical attendant and currently lives in an assisted-care facility near her family’s home.

Read the Crosscut article.

Courthouse News Service reports that an attorney in Houston filed a lawsuit claiming he was conducting a deposition with a client when he encountered Apple’s latest bug that allowed others to access his iPhone’s microphone without him answering a FaceTime call.

The New York Times explains how the bug worked:

“By adding a second person to a group FaceTime call, you can capture the audio and video of the first person called before that person answers the phone, or even if the person never answers.”

The Houston lawyer, Larry D. Williams II, seeks punitive damages against Apple and unknown parties for claims of product liability, negligence, warranty and fraudulent misrepresentation.

CNBC reports that Williams claimed the experience caused “sustained permanent and continuous injuries, pain and suffering and emotional trauma that will continue into the future” and that Williams “lost ability to earn a living and will continued to be so in the future.”

Read the Courthouse News Service article.

General counsels and chief legal officers at more than 170 companies have signed an open letter telling law firms they expect their lawyers to “reflect the diversity of the legal community and the companies and the customers we serve,” reports the ABA Journal.

“The letter was drafted after an online photo of 12 new partners at Paul, Weiss, Rifkind, Wharton & Garrison drew attention because it appeared to show 11 white men and just one woman,” writes the Journal‘s Debra Cassens Weiss. “The firm later said the partnership class also includes one Latino and one LGBTQ partner.”

A New York Times article on the subject said that more than 20 women and people of color described obstacles to achieving diversity at Paul, Weiss, with many saying that opportunities to be groomed for partner are harder to come by for women and minorities.

Read the Journal article.

Taylor Mohr, an associate at Texas family law boutique Orsinger, Nelson, Downing & Anderson, has earned Board Certification in Family Law by the Texas Board of Legal Specialization.

Mohr becomes the firm’s 14th attorney to earn Board Certification in Family Law, a distinction that has been earned by less than 1 percent of eligible Texas attorneys, the firm said in a release. Additionally, two of the firm’s partners hold Board Certification in a second area of practice.

“Having 14 attorneys board certified in Family Law is a great testament to the talent at our firm,” says firm name partner Keith Nelson. “We are extremely proud of Taylor for earning this recognition and for the work she does on behalf of her clients.”

Mohr joined ONDA in June 2018. Her practice involves divorce, modifications, enforcements and child custody. She also has experience in estate planning and elder law issues, the firm said.

“I’m passionate about family law and helping people who are facing one of the most difficult times in their lives,” says Mohr. “My desire to do my best and to be the best for my clients drove me to achieve this level of distinction in Family Law.”

Recognized in the 2017 and 2018 Texas Rising Stars listing by Super Lawyers magazine, Mohr also has been selected among the National Academy of Family Law Attorneys’ Top 10 Under 40 in Texas and the American Institute of Family Law Attorneys’ Top 10 Best Female Attorneys.

A graduate of Baylor University and Baylor Law School, Mohr is a member of the State Bar of Texas Family Law section and the Texas Bar College.

Hogan Lovells announced that Clay James has been named office managing partner for the firm’s San Francisco office.

A member of the firm’s board, James is a litigator and trial lawyer who tackles high-stakes intellectual property disputes, class actions, privacy and data security cases, and complex commercial litigation, with a focus on technology-related matters, the firm said in a release.

He joined Hogan Lovells Denver office in 2009 from Sun Microsystems where he served as chief litigation counsel for seven years.

G. Thomas Stromberg has joined Perkins Coie’s M&A practice as a partner in Los Angeles.

In a release, the firm said Stromberg has experience representing investors in the acquisition and financing of private companies. He represents promoters and investors in the structuring of private companies and debt and equity investors supporting them. He regularly works on middle-market M&A transactions, private financings, joint ventures and other matters with technology clients, specifically those in the life sciences, software and cryptocurrency industries. Many of the matters he handles are cross-border transactions with Asian clients or counterparties. He previously practiced in Tokyo and speaks Japanese.

“Tom has worked with an array of industries in North America, in Asia and around the world – and he’ll be a nice addition to Perkins Coie and our M&A team,” said Jeff Beuche, Chair of Perkins Coie’s Mergers & Acquisitions practice. “In addition to his ties to Japan, Tom is well known in Silicon Valley, and he’s been at the forefront of the legal and regulatory issues surrounding crypto assets and other emerging technologies.”

Stromberg joins from Jenner & Block, where he was a partner and co-head of that firm’s media and technology group. He has represented a variety of private and public investment funds as well as private and family-owned businesses in domestic and cross-border transactions. He previously founded and managed a Palo Alto office for a New York-based law firm.

“Tom is a highly regarded M&A lawyer who counsels clients of all sizes, with an emphasis on those in the tech space,” said Jon G. Daryanani, Managing Partner for the Los Angeles office. “He is another important addition to our growing presence in Southern California, following the arrival last year of well-known privacy lawyer Dominique Shelton Leipzig.”

Stromberg received his J.D. from the University of Utah and his B.A., with honors, from Harvard College.

Roy W. Arnold has joined Blank Rome LLP’s Pittsburgh office as partner in the Commercial Litigation group and Co-Chair of the National Class Action Defense team. Arnold focuses his practice on the defense of corporate litigation, class actions, and claims under Title III of the Americans with Disabilities Act (“ADA”).

He joins from Reed Smith LLP where he led the firm’s Class Action Defense Team.

“We are thrilled to welcome Roy, one of the country’s top class action litigators, to our Firm,” said Grant S. Palmer, Blank Rome’s Managing Partner and CEO. “Roy’s significant courtroom experience and legal talent strengthens our Firm’s formidable class action defense team and corporate litigation capabilities and, coupled with his complementary experience in ADA Title III cases, further diversifies our Firm’s offerings across numerous industries and advances our robust growth strategy in 2019.”

“Roy’s courtroom skills and advocacy are exceptional, and we could not be more excited to welcome him to our Firm,” added James J. Barnes, Partner and Chair of Blank Rome’s Pittsburgh office. “His commitment and determination to achieve a favorable result for his clients are relentless, yet he is practical and bottom-line oriented when he needs to be. He will be a terrific addition to our commercial litigation practice and class action defense team, and further strengthen our growing Pittsburgh office’s service offerings and talent.”

In a release, the firm said Arnold has represented clients faced with alleged class action and shareholder derivative lawsuits, as well as other complex litigation throughout the United States. He has successfully defended and resolved a variety of major cases brought against banks and other financial services companies, retailers, hotels/resorts, real estate companies, and energy or natural resources companies. He has worked on the defense of claims arising from mergers and acquisitions, corporate governance and fiduciary duties, residential mortgage lending, auto finance, loan servicing, consumer finance, securities, and secondary market issues. As a result, he has defended well over 250 class action lawsuits, the firm said.

Through a string of high-profile engagements in Western Pennsylvania and elsewhere, he has successfully represented a number of Fortune 500 corporations and their boards of directors in shareholder transaction-related litigation seeking to enjoin mergers valued in the billions of dollars, the firm said.

“Roy’s strong litigation experience will be a great complement to our group,” said Jason A. Snyderman, Co-Chair of Blank Rome’s Commercial Litigation group. “His background in class action defense as well as his exemplary track record of success for financial services companies and other clients faced with significant claims is extensive. He brings a complete repertoire of skills and experience having handled class action litigation effectively via motions practice, defeating class certification, trying the case to verdict, or winning on appeal.”

“It is an honor to join Blank Rome, a firm focused on delivering the highest-quality representation of clients while remaining resolute in achieving their business objectives,” stated Arnold. “In the commercial litigation practice, and across the Firm, you find accomplished lawyers committed to client service and developing strong, lasting relationships built on trust and mutual respect.”

Arnold earned his B.A., with honors, from the University of Pennsylvania and his J.D., with honors, from the University of Pittsburgh School of Law where he was elected to Order of the Coif and served as lead executive editor of the University of Pittsburgh Law Review.

Arnold sits on the board of directors for the Pittsburgh International Children’s Theatre, which presents award-winning professional theater for young audiences. He also devotes time to pro bono causes, primarily representing children and families in the adoption setting and protecting women from abusive situations.

Lisa Gilford has joined Sidley Austin LLP in Los Angeles as a partner in its global Litigation group. Gilford, a civil litigator, joins from Skadden, Arps, Slate, Meagher & Flom LLP.

In a release, the firm said Gilford focuses her practice on complex commercial litigation, including class actions, products liability law, regulatory and enforcement matters, and jury trials.

The firm said she has represented major companies in the automotive, pharmaceutical, entertainment, higher education, communications, oil and gas, aerospace and chemical manufacturing industries.

“Lisa is an exceptional first-chair trial lawyer who complements the capabilities of our talented trial team in Greater Los Angeles and globally,” said Dan Clivner, managing partner of the Greater Los Angeles offices and a member of Sidley’s Executive Committee. “We have seen Lisa in action and are very pleased to call her a Sidley lawyer.”

“Lisa is an outstanding litigator with proven success in assisting clients across industries in high-stakes litigation matters,” said Yvette Ostolaza, a global practice leader of Sidley’s firmwide Litigation group and a member of Sidley’s Management and Executive Committees. “She shares our outcome-oriented approach to litigation and will be an excellent addition to our strong team of more than 600 litigators worldwide.”

Prior to entering private practice, Gilford taught at Georgetown University Law Center. She is a frequent lecturer on topics including consumer protection and unfair competition claims, successful defense of class actions, best practices for outside counsel, and professional development for women lawyers and other diversity issues.

The American Bar Association this week will take up the issue of poor performing law schools, considering a controversial proposal that would toughen the bar-pass standard for law schools.

“The proposal is likely to be vigorously debated and comes after criticism that the accrediting body has allowed schools to admit too many lower-achieving students who struggle to pass the bar,” predicts an in-depth article on the subject published by USA Today.

“Here’s what could change: Law schools have five years to show 75% of their graduates who take the bar exam have passed. The proposal would narrow that to two years,” the authors explain.

Some critics say the five-year rule has allowed schools to continue operating even with dismal bar-passage rates. “It’s virtually impossible to fail,” says Kyle McEntee, executive director of Law School Transparency, “although some schools are managing to come close.”

Read the USA Today article.

It was just a year ago when Brian Wallach, then an assistant U.S. attorney, received confirmation of a diagnosis of ALS.

Above the Law introduces the story:

“Just three months later, Wallach returned to Skadden Arps, the firm where he started his career, and he was welcomed back by the firm with open arms, despite his diagnosis. Although the average life expectancy for ALS is about two to five years, Wallach is doing more than simply tending to his own medical ailments. He and his wife, Sandra Abrevaya, recently launched I Am ALS, and they hope to raise $100 million of new funding to find a cure within three years.”

Read the Above the Law article.

San Antonio oil and gas entrepreneur Brian Alfaro avoided getting hauled off to jail Friday, a day after a bankruptcy judge issued a warrant for his arrest, reports the San Antonio Express-News.

Alfaro had failed to provide various records to a court-appointed receiver, prompting the judge to issue an arrest warrant. But in a hearing in which Alfaro, attending via phone from his lawyer’s office as four federal marshals stood ready to take him to jail, the judge granted him an additional 10 days to comply.

The judge “presided over a trial in 2017 on 28 investors’ claims that they had been defrauded by Alfaro. The judge awarded nine of them $8 million. Alfaro is appealing. Rose’s duties include ensuring that investors collect on the judgment,” writes Patrick Danner of the Express-News.

Read the article.

Snell & Wilmer offers some advice for businesses that may need to take a look at their existing contract templates to evaluate a refresh or, in certain circumstances, a major overhaul.

The article, posted on JDSupra.com, discusses updating contracts for changes in the law, creating a family of templates with consistent legal terms, creating a state addendum for use on contracts across multiple states, new delivery models, and new technologies and techniques.

Read the article.

Above the Law reports that the Biglaw firm of Reed Smith has been named in a $500 million malpractice lawsuit filed by two defunct Bear Stearns investment feeder funds that Reed Smith represented in RMBS-related litigation.

Plaintiffs claim that Reed Smith failed to bring a case against the rating agencies — Standard & Poors, Moody’s, and Fitch Ratings — in a timely manner, resulting in those claims being dismissed, explains Above the Law senior editor Kathryn Rubino.

From the complaint:

“Reed Smith’s negligent failure to understand New York’s statute of limitations cost the Bear Stearns Funds what Reed Smith identified as a billion-dollar claim against various rating agencies.”

Read the Above the Law article.

Dale Kleber was 58 years old when he applied for a senior staff attorney position with CareFusion Corporation. On paper, his 25 years of legal experience, including serving as general counsel for a large corporation, showed he was qualified for the job.

But the position sought someone with three to seven years of legal experience. Kleber didn’t receive an invitation for an interview, but a 29-year-old lawyer was hired instead. Kleber sued under the ADEA, arguing that the seven-year experience cap on the position discriminates against older workers by automatically disqualifying them for the job.

Courthouse News Service reports that Kleber’s age discrimination suit failed when the en banc Seventh Circuit ruled Wednesday that the protections of the Age Discrimination in Employment Act apply only to current employees, not to job applicants.

Read the Courthouse News article.

A post on the website of  McGuireWoods LLP discusses three recent cases before the Supreme Court and the Third Circuit relating to the interpretation and enforceability of arbitration agreements.

The Third Circuit found in favor of Kaplan University in a case in which a student challenged an arbitration agreement included in an e-signed enrollment.

The Supreme Court ruled in a case in which the justices rejected a judicially created exception limiting enforcement of arbitrability.

And the Supreme Court upheld statutory exemption for an independent contractor.

Read the article.

CNN tells the story of Steven Wall, managing partner of internationally renowned law firm Morgan Lewis, who almost saw his career and his marriage destroyed by his alcoholism.

His drinking started in high school and continued into his work life as a lawyer, including one time with a boozy business lunch that resulted in a blackout. CNN’s Jeanne Sahadi tells how Wall largely gave up drinking for several years, but then the cravings became too strong for him to resist.

“Wall attributes his alcoholism to three factors: his heredity, his personality and how he handled the enormous stress of his job,” Sahadi writes. “He said he often felt the need ‘to turn off my brain and to release the intensity and the pressure of what we do.'”

Read the CNN article.