Uber Fires 20 Employees After Harassment Probe

Uber Technologies Inc. said it fired 20 employees and was improving management training following an investigation by a law firm into sexual harassment allegations and other claims at the ride-hailing company, according to a Reuters report.

The firings came after a report by law firm Perkins Coie, which Uber hired to look into claims of harassment, discrimination, bullying and other employee concerns, report Joseph Menn and Heather Somerville.

Perkins Coie investigated 215 staff complaints, taking action in 58 cases and no action on 100 more. Uber said 54 were related to discrimination, 47 related to sexual harassment, 45 to unprofessional behavior, 33 to bullying and 36 to other types of claims, according to the Reuters story.

Read the Reuters article.

 

 




Client of Disgraced Lawyer: ‘Everybody Knew He Would Run’

At the time he was arrested for defrauding taxpayers of $600 million, disability attorney Eric Conn spoke multiple languages, had crossed the border 140 times in the past decade and had told at least six people he would flee the country instead of going to jail, reports the Associated Press.

A federal judge released Conn on $1.25 million bail last year, and then on Saturday, one month before a judge was supposed to sentence him to prison, Conn removed his electronic monitoring device and disappeared, writes the AP’s Adam Beam.

Some of his former clients who lost their primary source of income because of his scheme said their only surprise was that the system that let him leave.

Read the AP article.

 




Webcast: How E-Signatures Can Reduce Risk of Signed Records

eSignLive by Vasco is offering a complimentary on-demand webinar featuring Locke Lord LLP partner Pat Hatfield discussing how e-signatures can reduce risk and strengthen enforceability of signed records.

Organizations undergoing digital transformation often have legal questions related to moving paper-based business processes online without introducing new risks, eSignLive says on its website. “Beyond the minimum requirements for electronic and digital signatures set forth in the laws, you will want to ensure you address the risk of fraud, repudiation and compliance as well. In the event of a regulatory audit or legal dispute, avoiding fines and ensuring admissibility is dependent on your ability to produce convincing, reliable evidence.”

This webinar covers:

  • An overview of e-sign legislation
  • Insights gained from relevant case law
  • The challenges of defending electronic transactions
  • A live demonstration of “best practice” & e-signature audit trails & process evidence

Watch the on-demand webinar.




The 2017 Law School Rankings – Changes at the Top

Above the Law has released its updated statistics on law school employment outcomes, which are entirely outcome-based — by how well their students do upon graduating.

“These are the only rankings to incorporate the latest ABA employment data concerning the class of 2016,” according to the introduction to the rankings. “The premise underlying our approach to ranking schools remains the same: that given the steep cost of law school and the new normal of the legal job market, potential students should prioritize their future employment prospects over all other factors in deciding whether and where to attend law school.”

This year’s rankings of the top 50 law schools saw Yale fall from number 1 in 2016 to number 3. Stanford moved up from the second slot to the top this year.

Some other schools had big changes, with William & Mary Law School dropping 18 places.

See Above the Law’s top 50 rankings.

 

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8th Circuit Makes It Easier For Plaintiffs to Take Fracking Contamination Claims to Trial

A podcast on Kane Russell Coleman & Logan’s Energy Law Today discusses the Eighth Circuit’s recent ruling that makes it easier for plaintiffs to take fracking contamination claims to trial.

The podcast also covers the Texas Supreme Court’s ruling on the validity of county-wide mineral conveyances, and the Oklahoma Supreme Court’s consideration for clarification of the often vexing “marketable product” rule for post-production expense deductions.

Oil-and-gas trial lawyer Tom Ciarlone of Kane Russell presents the podcast.

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Tips for Drafting Arbitration Clauses in Smart Contracts

While arbitration may be a preferable alternative to court for smart contract disputes, it doesn’t happen on its own – it typically requires a properly drafted arbitration clause, points out Jared Butcher in Steptoe & Johnson’s Blockchain Blog.

Butcher discusses some aspects of the arbitration clause that should be re-considered when dealing with smart contracts.

The article  covers the topics of arbitrator appointment, governing law and the arbitral body, forum selection, and summary dispositions.

Read the article.

 

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The Whistleblower Behind Caterpillar’s Massive Tax Headache Could Make $600 Million

BloombergBusinessweek reports on the story behind the accountant who might end up the best-paid whistleblower of all time, with a potential paycheck of $600 million, while Caterpillar, the 92-year-old pride of American industry, will experience something unfamiliar: public humiliation.

“In a 2011 deposition, a Caterpillar attorney asked [accountant Daniel] Schlicksup if his actions threatened to hurt shareholders. write Bryan GruleyDavid Voreacos and Joe Deaux.

“It is absolutely in the shareholders’ best interests to have the most accurate financial statements they can have,” Schlicksup replied. “I don’t think that the shareholders of Enron would think it would have been such a bad deal if somebody would have caught that before it bankrupted the company and they lost everything they had.”

Read the BloombergBusinessweek article.

 

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Judge ‘Sick And Tired of Lawyers From White-Shoe Law Firms’ Helping Clients Avoid Charges

Bloomberg reports an exasperated federal judge who sentenced an Och-Ziff Capital Management Group LLC consultant to prison posed a question that prosecutors have yet to satisfactorily answer: Why has no one else been charged in a sprawling bribery case?

“I’m sick and tired of lawyers from white-shoe law firms marching into my courtroom and getting a deferred-prosecution agreement for their clients,” said U.S. District Court Judge Nicholas Garaufis in his Brooklyn court. “We have a law, so someone should go out and enforce it.”

He sentenced Samuel Mebiame, the 43-year-old son of the former prime minister of Gabon, to two years behind bars for paying bribes and acting as a “fixer” to help Och-Ziff with lucrative mining deals in Africa, reports Patricia Hurtado.

Garaufis demanded to know why the hedge fund got a deferred-prosecution deal last year that will result in the dismissal of criminal charges if it stays out of trouble for the next three years.

Read the Bloomberg article.

 

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Healthcare Developer Fined $155 Million for Lying About Compliance

Health records software developer eClinicalWorks has agreed to pay a $155 million to the federal government for civil fraud and kickback charges, according to HIT Consultant.

“Both the government and the whistleblower alleged that eClinicalWorks falsely represented to customers that its EHR [electronic health record] system complied with Meaningful Use requirements,” the publication says. “The settlement marks the first time an EHR vendor is being charged for the truthfulness and accuracy of representations made when seeking government certification of its EHR system and the government applying the federal Anti-Kickback Statute (AKS) law to the promotion and sale of EHR systems.”

The whistleblower alleged the company modified its software to pass testing, without being fully functional. The lawsuit listed several allegations against the company, such as kickbacks for recommendations, and failure to test its software adequately before releasing it.

Read the HIT Consultant article.

 

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The Difficulty With Texting Employees During a Workplace Investigation

Workplace investigations may be initiated after the employer is accused of wrongful conduct, such as permitting unlawful harassment or discrimination. While an employer may want to reach out to various employees including the alleged victim, doing so can negatively impact the ongoing workplace investigations, warns Natalie Lynch of Lynch Service Company.

Understanding the importance of objectivity while workplace investigations are underway may help the employer shield against potential liability, she advises.

In a post on the company’s website, she discusses the need for clear policies to be in place before any workplace investigation begins, how to respond to alleged misconduct, and the unique concerns that arise with text messages in the context of an investigation.

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D&O Insurance in a Time of Technological and Enforcement Uncertainty

Anderson Kill’s 15th Annual D&O Conference, “D&O Insurance in the Era of Technological and Enforcement Uncertainty,” will be presented Thursday, June 8, 2017, 3-5 p.m. EDT.

The event will be in the upper story of the D&D Building, 979 Third Ave., 14th Fl., New York 10022.

Directors and officers face an era of technological and enforcement uncertainty, the firm said in a news release.

Anderson Kill’s annual D&O conference will feature a review of 2016 and a look ahead to 2017 for D&O liability and insurance. The conference also will feature a hypothetical D&O claim arbitration to explore key D&O insurance coverage issues in the context of a cyber claim, and will include a panel of policyholder attorneys, an arbitrator and an insurance company attorney.

Every organization faces data breach risk, whether through inadvertent data disclosure, computer system malfunction, or computer hacking. Data breaches cause real and severe peril.

The session will address the interplay of D&O insurance with other insurance policies in cyber claims, including crime insurance, property insurance, GL coverage, and cyber specialty insurance policies.

In addition, a panel of D&O insurance brokers will review major emerging D&O risks and provide a state of the market, highlighting key coverage terms to seek and avoid.

A cocktail reception follows the event (5:00-6:30 p.m.).

The D&O conference is complimentary for general counsel and risk managers: Use CODE AK005

Speakers:

William G. Passannante, Esq.
Shareholder
Anderson Kill
Conference Moderator

Joshua Gold, Esq.
Shareholder
Anderson Kill
Chair, AK’s Cyberinsurance Group

Raymond A. Mascia, Jr., Esq.
Attorney
Anderson Kill

Vivian Costandy Michael, Esq.
Attorney
Anderson Kill

Jonathan E. Meer
Attorney at Law
Wilson Elser Moskowitz Edelman & Dicker LLP

Roger M. Moak
Arbitrator-Umpire-Mediator

R. Damian Brew
Managing Director, FINPRO
Marsh USA, Inc.

James McCue
U.S. Financial Institutions Practice Leader
Aon’s Financial Services Group

Register for the event.

 

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ERISA Litigation Partner Michael Graham Joins Michael Best Chicago Office

Michael Best announces that Michael T. Graham has joined its Chicago office as a partner in the firm’s Labor & Employment Relations Group, where Graham will chair the firm’s growing ERISA Litigation Practice. This addition comes on the heels of several recent lateral hires in the Chicago office, including Mircea Tipescu and Peter Huh.

“We fully expect Michael to hit the ground running as he will be in great demand,” said Amy Schmidt Jones, Chair of the Labor & Employment Relations Practice Group. “With profound changes taking place in the employment sector, the two decades of experience Michael brings with him will help strengthen our practice and provide extraordinary counsel to our clients.”

Graham joins Michael Best from McDermott Will & Emery, and brings nearly 20 years of experience in Employee Retirement Income Security Act (ERISA) Litigation and employee benefits controversy matters on behalf of Fortune 500 employers, employee stock ownership plan (ESOP) trustees, plan administrators, and plan sponsors. He focuses his practice on employee benefits matters, including counseling plan administrators, fiduciaries and employers on proper statutory and regulatory compliance as well as administrative benefit claims and appeals procedures. He also counsels clients on preventive measures to avoid litigation and assists in developing defense plans in the event that litigation arises, the firm said in a news release.

“We’re thrilled that Michael has joined our Chicago office,” said Kerryann Haase Minton, Michael Best’s Chicago Office Managing Partner. “We’re always searching for talented and sophisticated attorneys and the experience Michael brings in employment benefits litigation will be a great addition to our team.”

Graham frequently litigates fiduciary breaches, ESOP issues, and medical and pension benefit denial claims in front of federal and state courts, and in front of the U.S. Department of Labor. He also dedicates a part of his practice to counseling plan administrators, fiduciaries and sponsors on Pension Benefit Guaranty Corporation (PBGC) requirements and liabilities.

“There is a significant amount of ambiguity currently in the employment sector,” said Graham. “With a number of regulations and requirements set to come down, I expect employers to be very active in the near term and I believe Michael Best has positioned itself well to address their client’s needs in the employee benefits, ERISA litigation and labor and employment areas.”

Graham received his J.D., magna cum laude, from Valparaiso University School of Law, and his A.B. from the University of Illinois at Urbana-Champaign.

 

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Mlegal Adds Top Recruiting Talent to Support Global Expansion Plans

Mlegal, a national legal search firm, announced todaythat four industry professionals with partner recruitment experience have joined in the San Francisco Bay Area: Natasha Innocenti, Carter W. Brown, Suzanne Kane, and Karina Robles.

“My new colleagues are consummate professionals who know law firms inside and out and work at the highest level of professionalism and integrity,” said CEO Joe Macrae. “They are a fantastic fit for a legal recruiting firm known as a trailblazer because they’ve all exhibited that same quality throughout their careers. We expect that adding such significant talent to Mlegal will have an immediate and significant impact on the firm and our ability to dramatically expand our services to clients in the Bay Area and beyond.”

Founded by Macrae in 2001, Mlegal began by focusing on law firms based outside of San Francisco and Silicon Valley that were seeking to grow in the region. In 2015, the company embarked on an expansion plan at the urging of clients who wanted the firm’s unique expertise on a broader scale. Mlegal added the East Coast team led by partner recruiter Brad Bruner, whose practice emphasized New York as well as other key markets on the East Coast and in Texas. Bruner, a former technology and corporate attorney at Orrick and Fenwick & West and senior in-house counsel at well-known technology companies, serves as Mlegal’s Managing Partner, East Region.

In a release, the company said:

In addition to California and New York, the firm now has offices in Houston and Atlanta, and plans to launch in Washington and London.

Seth Zachary, Chairman of Paul Hastings, commented, “We have been very pleased with the deep market knowledge and insights Mlegal brings to the table. Mlegal’s ability to articulate our message and to deliver the superb quality of candidate that we are seeking has been a valuable catalyst to our progress.”

The new members of the Mlegal team include:

Natasha Innocenti, a legal search veteran and founder of Innocenti Partners, joins as Partner in San Francisco and Silicon Valley. Innocenti is widely recognized as one of the top partner recruiters in the San Francisco Bay Area, having led the Northern California partner practice at Major, Lindsey and Africa for eight years before launching her own firm. She has placed or assisted in placing more than 200 law firm partners in her 20-plus years in the business.

Carter W. Brown, a tested legal search executive with more than 30 years of experience, joins as Chief Business Officer. His experience includes 11 years as CEO of Major, Lindsey & Africa, as well as tenures at Coblentz Patch Duffy & Bass, Law Finance Group, and Richardson.

Suzanne Kane, an internal law firm recruitment leader for more than 20 years, joins as Managing Director. She has helped vet, hire, and integrate more than 100 law firm partners. Kane served for 16 years as a Manager of Attorney Recruitment & Development at Latham & Watkins. Most recently, Suzanne was U.S. Legal Recruitment Director at Dentons, where she led the hiring of partners and others in the U.S. and other regions worldwide.

Karina Robles joins as Human Resources Administrator and San Francisco Office Manager. Her prior experience includes serving as Senior Administrator to the Northern California partner practice group at Major, Lindsey & Africa, as well as office management roles at several other prominent Bay Area organizations.

The new hires join veteran Mlegal Bay Area recruiters Martha Angell and Bridget McCarthy.

“I couldn’t be more proud to join the masterful team Joe has assembled,” commented Innocenti. “I’ve competed against Mlegal for years and am now excited to work alongside Joe and his amazing team on our common mission to redefine what excellence is in the legal search profession.” Innocenti brings to Mlegal a special skill set in representing women partners, who comprise about 40% of her practice, as well as expertise in representing government lawyers.

Mlegal’s enhanced presence in San Francisco continues the momentum created through other recent notable hires, including:

Catherine Raine Wilde, a former Baker Botts attorney and in-house attorney at GE Capital who went on to become a respected presence on the Houston legal recruiting scene for many years, helped found the Houston office as Managing Director.

Patty Morrissy, whose distinguished legal recruiting career includes high-level internal management positions at Paul Weiss and Sullivan & Cromwell, and serving as an Associate Dean at Cardozo School of Law, joined the New York office as Managing Director.

Andrea SoRelle, a successful partner recruiter who previously worked with Houston-based Johnson Downie and Heidrick & Struggles, among others, joined the Houston office as Managing Director.

 




How a Supreme Court Ruling on Printer Cartridges Changes What It Means to Buy Almost Anything

The U.S. Supreme Court has handed a victory to consumer groups in a case about printer cartridges — or more specifically, toner cartridges, the kind used by laserjet printers. The case has huge implications for the way we think about technology ownership in America, and your rights as a user, according to The Washington Post.

As IPWatchdog explaines it: The court ruled “that when a patent owner sells a product the sale exhausted patent rights in the item being sold regardless of any restrictions the patentee attempts to impose on the location of the sale. In other words, a sale of a patented product exhausts all rights — both domestic and international.”

The Post‘s Brian Fung explores how the ruling can affect commerce:

The practical question is how much Lexmark or any other company can control what you do with the things you buy. This debate isn’t limited to printer cartridges. If you buy a car, how do you know you really own it? What does ownership actually entitle you to do with your property, anyway?

Read the Washington Post article.

 

 

 




Big Law Attorneys Think Twice About Trump Labor Gig

The well-established revolving door from big law to a GOP Labor Department may need extra grease under President Donald Trump, writes Ben Penn for Bloomberg Law.

The search for political appointees to the department appears to be impeded by a shrinking pool of private attorneys willing to incur a lifelong Trump association. And the search isn’t helped by the steep pay cut, grueling confirmation process, and a post-work lobbying ban.

Penn writes that the shortage of lawyers in the DOL could make it difficult for the department to get to work on undoing large parts of the Obama administration’s labor agenda.

Read the Bloomberg article.

 

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Supreme Court Suspends Wrong Lawyer Over ‘Mistaken Identity’

When the Supreme Court suspended a prominent Massachusetts lawyer and threatened him with disbarment, it started a Boston legal drama that took two weeks to resolve, reports the Associated Press.

Reporter Mark Sherman writes that the confusion ended on Tuesday, when the court acknowledged it had the wrong guy in an order attributing its earlier action to “mistaken identity.”

The wrongly suspected lawyer was Christopher Patrick Sullivan, a partner with the Robins Kaplan firm in Boston and the incoming president of the Massachusetts Bar Association.

The court originally intended to react to a disciplinary notice from a New York State court concerning a Christopher P. Sullivan, who is in prison in Vermont, serving a sentence for drunken driving that resulted in the death of a 71-year-old woman in 2013.

Read the AP article.

 

 




Using Technology and Contract Terms to Avoid Vendor Lock-In

The cloudMigrating applications and workloads to a cloud provider has obvious benefits — scalability, flexibility, efficiency, and cost considerations are all driving the dramatic increase in the use of cloud services, write Peter M. Watt-Morse and Glen W. Rectenwald of Morgan Lewis.

In their article on the firm’s Tech & Sourcing blog, they discuss how enterprises that start utilizing proprietary application programming interfaces (APIs) and other vendor-specific development and integration tools can easily become locked into their cloud providers.

“The efficiency and low cost of using cloud services, including form vendor agreements that are provided with such services, can lead to vendor lock-in, making it difficult and expensive to migrate applications in-house or to a new provider,” they write.

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It’s All Fun and Games Until Someone Sues for Breach of Contract

Banking -financeLoans secured by stock are an important and popular product offered by many lenders to individuals and other borrowers, according to a post on the website of Loeb & Loeb LLP.

“The ability of a lender to sell the stock held as collateral is very much dependent on the documentation governing the loan. When and to what extent a lender may realize upon (or liquidate) the stock to repay the indebtedness under the loan should be carefully and clearly set forth in the loan documents,” write Bryan G. Petkanics and Anthony Pirraglia. “A recent federal court case analyzed the ability of a lender to act upon stock pledged to secure a loan, and provides insight into valuable language to be included in the loan documentation.”

They discuss Kinzel v. Merrill Lynch, in which the Sixth Circuit affirmed the judgment of the district court in favor of Merrill Lynch, finding that the financial services company breached neither the contract nor its duty of good faith under the terms of the loan management account agreement.

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National Survey on Restrictive Covenants

Fox Rothschild’s Labor and Employment and Securities Industry practice groups have updated the firm’s quick reference  on restrictive covenants for in-house counsel and human resource professionals.

“The law in this area not only varies considerably from state to state and changes frequently, but its application is fact-specific,” the firm says in its introduction to the updated guide.

The guide breaks down the use of restrictive covenants for each state. It gives details about each state’s factors on the topics of non-competes, non-solicitation, non-hire/”raiding,” and confidential information.

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Corporate Partner Richard Kaye Joins Barnes & Thornburg’s Atlanta Office

Barnes & Thornburg LLP has added Richard Kaye to its Atlanta office as a partner in the Corporate Department, where he works on domestic and international transactions.

In a news release, the firm said Kaye focuses on commercial and corporate law and represents multinational corporations, governmental entities, and emerging growth companies. He advises clients on domestic and cross-border M&A transactions, real estate, franchising construction, foreign investment, joint venture and partnering agreements, commercial contracts, and commercial and trade transactions, among other complex matters.

“Rich has a strong transactional practice in the U.S. and we can parlay his international experience when working with European and Asian clients with respect to their operations here,” said Stuart Johnson, managing partner of the firm’s Atlanta office. “He will nicely complement our corporate and M&A capabilities in this market and across the country.”

Prior to joining Barnes & Thornburg, Kaye was a member at Sherman & Howard LLC. His arrival comes on the heels of Robert Lockwood, a partner in the Intellectual Property Department, who joined the Atlanta office earlier in the year.

Beyond his law practice, Kaye is a member of the Advisory Board of Metro Atlanta Chamber and a member of the Georgia Economic Developers Association. He is former chair of the American Bar Association’s International Commercial Transactions, Franchising and Distribution Committee.

Kaye earned his J.D. from Emory University School of Law and his B.A. from the State University of New York at Stony Brook and also studied at the University of Paris IV, Sorbonne. He is admitted to practice in the state of Georgia and before the Georgia Supreme Court, the Court of Appeals of Georgia, the U.S. District Court for the Northern and Middle Districts of Georgia and the U.S. Court of Appeals for the Eleventh Circuit.

 

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