DOJ Division Leader Apologizes for License Lapse and Inadvertent Practice

“Have you recently made a career move — maybe going in-house?  Or shifting from a firm to government work?  When you’re dealing with a work-life change, watch out for details that can too-easily fall through the cracks — like your license to practice, the date it expires, and whether you are in line to get an expiration notice.” reports Karen Rubin in The Law for Lawyers Today In-House Counsel.

“Illustrating the possible pitfalls:  a high-level Justice Department  lawyer was in the spotlight this week because he practiced for two months while unaware that his license had lapsed.  He issued apology letters, including to the Ninth Circuit, where he had presented an oral argument while unlicensed.”

“The lawyer heads the DOJ’s Environment and Natural Resources Division.  He has been a member of the D.C. bar since 1997, and worked at Kirkland & Ellis before joining the DOJ in 2018.  His license was deactivated October 1 for not paying his annual bar dues.”

Read the article.

 




Biglaw Firm Pivots Direction And Loses Partners In The Process

Irell & Manella “announced to all attorneys that the firm was pursuing an ‘alternative business model.’ According to the email sent by partner Jonathan Kagan, they are ‘focus[ing] on areas where we have a clearly demonstrated record of success and excellence when compared to other firms.’” reports Kathryn Runbino in Above the Law’s BigLaw.

An email was sent to explain what this means. “We therefore plan to focus our future growth and investments in our litigation practice areas, particularly IP and complex business litigation. Although we will continue to have lawyers in other practice areas at the Firm (particularly in certain transactional areas), we do not anticipate making significant investments in non-core practice areas in the near future.”

“As you might imagine, not everyone — particularly those in “non-core” areas — is excited about the change. And Kagan’s email reflects this, as he points to several partners … have departed or are on their way out. And, as the new reality sets in, more exits are anticipated.”

Read the article.

 




5 Emerging Challenges for Law Firm Leaders in 2020

“Before the calendar slips too far into the new year, I want to share five important emerging trends or steps for law firm leaders to consider in 2020, each of which will have significant short and long-term implications for your firm.  This little list is not about the macro level industry trends based on historical data with which we all generally agree.  Rather, these are quickly developing micro-trends that are not on many radar screens yet…but need to be,” provides Michael Short in LawVision’s INSIGHTS.

“For your changes to have an impact this year, you need to get your initiatives moving in Q1 and fully implemented before the end of Q2.”

Read the article.

 




Fifth Circuit Rules “Approximate Physical Presence” is Required for General Personal Jurisdiction

“Can targeted advertising establish general jurisdiction over a foreign corporation?  The Fifth Circuit had not addressed this issue until Frank v. P N K (Lake Charles) L.L.C.  But in so doing, the court may have announced a new jurisdictional test with significant ramifications for future cases.” addresses Philip Dore & Cristian Soler in LexBlog’s Energy.

“Frank was a wrongful-death lawsuit filed in Texas state court against L’Auberge Hotel & Casino and its marketing division, PNK.  Following removal to federal court, the district court granted PNK’s motion to transfer, finding PNK was not subject to general jurisdiction in Texas.  The plaintiffs appealed.”

“The Fifth Circuit began by charting the Supreme Court’s general-jurisdiction decisions in GoodyearDaimler, and BNSY.  For a corporation, the question is whether its “affiliations with the State are so continuous and systematic as to render it essentially at home in the forum State.”  A corporation is generally considered “at home” only in its state(s) of incorporation and principal place of business.  For PNK, this was Louisiana.  So, the question on appeal was whether this was the “exceptional case” where personal jurisdiction could also be exercised in another state.”

Read the article.




Why You Should Insist on Diversity in Your Law Practice

Suzie Scanlon Rabinowitz writes in the ABA Journal that “Both the perception of and reality for women attorneys is disheartening. According to the National Association for Law Placement, women accounted for 20% of equity law firm partners in 2018. That’s while women have constituted about half of law school graduates for the past 20 years, according to Catalyst, a nonprofit focused on advancing women’s professional progress. By many other key metrics, the law is still male-dominated, especially at its highest levels.”

“In a profession where cultural change happens at a creeping pace, how can we change the perception—and the reality—that success for women at the upper echelons is the exception, rather than the rule? Just as important, how can we elevate the practice of law by fostering diversity in the profession?”

Read the article.




Legal Funding Impacts Taxes, On Funding & Later Settlement

“Lawyers and clients often need cash. There is also the element of risk. Lawyers and clients may want to lay off some of the risk of a case on someone else, and the litigation finance industry generally offers non-recourse money.” advises Robert W. Wood in the Taxes section of Forbes.

He explains that “Lawyers may seek funding, the clients alone may seek it, or each may get some, depending on how the deal is structured. But one of the most consistent questions is how taxes will be handled, and that depends on the documents. Financing documents vary materially, so one can’t answer the tax questions without reviewing them. Fundamentally, is this a loan? Is it a sale of a portion of the claim, or of a portion of the fees?”

“These may sound like simple questions, but they can be difficult to answer.”

Read the Forbes article.

 




Making Big Oil Pay For Climate Change May Be Impossible

“Exxon Mobil dodged a bullet last month when a judge rejected a novel climate-change lawsuit brought by New York’s attorney general. The case began with a promise from state officials that there would be a historic reckoning for the fossil fuel giant.” reports Erik Larson in the San Francisco Chronicle.

“It ended ignominiously as a failed accounting fraud claim.”

“Globally, humans are on the hook for trillions of dollars if they want to sufficiently reduce greenhouse gas emissions, acclimate to the damage already done and prepare for what is yet to come. As more governments and taxpayers find themselves staring down the barrel at rising climate costs, they are increasingly turning to the courts to hold Big Oil accountable.”

“Federal appeals courts on both sides of the country are considering whether such cases may proceed. Their rulings-one of which may come any day-will have a powerful effect on the future of climate change litigation.”

Read the San Francisco Chronicle’s article.




Former BigLaw Office Manager Accused of Using Firm’s Credit Card for Spending Spree

“Federal prosecutors allege that a former Morrison & Foerster office operations manager spent more than $400,000 on the firm’s credit card to make personal purchases and transfer money to his PayPal account.” reports Debra Cassens Weiss of the ABA Journal.

“The former employee, Andrew Robertson, faces a preliminary hearing at the end of the month in Washington, D.C., on a federal mail fraud charge.”

“Robertson is accused of spending money on personal purchases that included designer clothing, jewelry, home furnishings, groceries, his Verizon bill and storage units for his personal items.”

Read the article.




Women Suing Riot Games May Deserve $400 Million, Not $10 Million

“Two state agencies are taking the unusual step of trying to stop Riot Games from paying out $10 million to female employees as part of a settlement over a gender discrimination class action suit.” reports the Los Angeles Times. “The state thinks the women could be entitled to as much as $400 million instead.”

“The suit began in November 2018, when two women who had worked at the Los Angeles game studio, which makes the popular “League of Legends” title, sued over violations of the California Equal Pay Act, alleging they were routinely subjected to sexual harassment and gender discrimination.”

Read the Los Angeles Times article.




Johnson & Johnson’s $8 Billion Risperdal Judgment Reduced to $6.8 Million

“The judge presiding over a case which saw Johnson & Johnson hit with an $8bn jury verdict has reduced the amount the company has to pay in damages to $6.8m.” reports PM Live.

“Last October,  J&J was ordered to pay $8bn in damages to a US man who claims he was not warned that taking the company’s antipsychotic Risperdal could lead to breast growth.” A jury in Philidelphia agreed with his allegations.

Johnson & Johnson appealed the verdict arguing the size of the payout was “grossly disproportionate”.

 

Read PM Live‘s article.




Deepen Your Compliance Expertise in 2020 with SCCE

The Society of Corporate Compliance and Ethics will host Academies in 18 locations worldwide to help Deepen Your Compliance Expertise in 2020.

Learn to effectively manage a compliance and ethics program and mitigate risk at your organization at one of SCCE’s Basic Compliance & Ethics Academies. They are ideal for professionals who want to raise their knowledge level and help improve the effectiveness of their organization’s program.

While at the Academy, you can also take an optional Compliance Certification Board (CCB)®  exam. They offer the Certified Compliance & Ethics Professional (CCEP)® exam at US Academies and the Certified Compliance & Ethics Professional — International (CCEP-I)® exam outside of the US. Learn more about certification and the exam at SCCE to see if you meet the criteria and have the practical work experience it takes to become certified.

Register for the event or get details.

 

 




2020 Governance Outlook: Projections on Emerging Board Matters

The National Association of Corporate Directors has published “2020 Governance Outlook: Projections on Emerging Board Matters.”

A complimentary copy of the report can be downloaded from the NACD website.

“This governance outlook provides insights and information from a roundup of leading experts,” NACD says. “It’s a curated compilation of the most significant issues expected to affect boards and companies in the year ahead, including issues such as the next recession, regulatory changes, strategic business risks, legal risks, board composition, the digital frontier, ESG and shareholder engagement, and water scarcity risk.”

Download a copy of the report.

 

 




Indemnify is a Funny Word Carrying Historical Baggage—Be Aware and Use with Care

“An indemnification remedy against sellers (subject to a cap) continues to find its way into many private company acquisition agreements,” explains Glenn D. West in  Global Private Equity Watch’s Glenn West Musings.

He writes “absent an exclusive remedy provision, a non-breaching party is entitled to damages under the common law for a breaching party’s failure to abide by the terms of the contract irrespective of whether that contract contains an indemnification clause.” Further “the historical fact that indemnification was not normally associated with direct (or first party) claims continues to cause courts some confusion and requires care by deal lawyers to avoid misunderstandings and unintended results.”

Read the article.




Suit Claims Biglaw Firm Took Over Corporate Client’s Finances and Took Advantage of Its Impaired CEO

The ABA Journal reports that a lawsuit claims that Akin Gump Strauss Hauer & Feld and its lawyers took advantage of a corporate CEO who was suffering from substance abuse and mental health problems.

The Journal‘s Debra Cassens Weiss explains:

“The suit, filed in state court in New York, says Akin Gump took over finances and bookkeeping for Future Media Architects, a family-owned company that acquires and sells internet domain names. Akin Gump also directed and negotiated the sale of the domain names, often without input from its then-CEO and half owner, Thunayan Al-Ghanim, the suit says.”

“But eventually,” the suit alleges, “Akin Gump—aware that Thunayan was in no condition to monitor either FMA’s or Akin Gump’s activities—took advantage of the opportunity to loot FMA’s assets for personal profit.”

Read the  ABA Journal article.

 

 




Earn CLE at SCCE’s Internal Investigations Workshop

The Society of Corporate Compliance and Ethics will present its Internal Investigations Workshop, January 22-24, 2020, in San Francisco.

The workshop provides two days of focused training on conducting compliance-related internal investigations. The domestic workshops also offer an optional third day post conference. Experienced compliance professionals who have in-depth experience in the challenges and opportunities in conducting internal investigations will lead the training.

Topics include:

  • Understanding and assessing the initial allegation of wrongdoing
  • Creating an investigation plan
  • Gathering evidence
  • Conducting interviews, including the subject of the investigation
  • Conclusions and root-cause analysis
  • Writing your report
  • Avoiding pitfalls and legal risks

Register for the event or get details.

 

 




Webinar: Top 2020 Risk & Compliance Trends

A NAVEX Global webinar will address the top 10 risk and compliance trends for 2020.

The complimentary event will be Wednesday, Jan. 15. 2020, at 10 a.m. PT/1 p.m. ET.

In 2020, several critical issues are sure to impact the business landscape, including: election year turmoil, updates to regulatory requirements, digital environment impact, new agency guidance, data privacy, workplace behavioral shifts, and more, NAVEX says in its invitation.

Participants in the webinar will hear how experts are predicting these upcoming trends will provoke, shape and inspire organizational shifts and program improvements.

Register for the webinar.

 

 




Reed Smith Adds Corporate Practice Partner in New York

Reed Smith announced that Jared Kelly has joined as a partner in the firm’s Global Corporate Group in New York.

Kelly formerly was with White & Case LLP.

Kelly is the seventh partner to join the Global Corporate Group since May, when Reed Smith opened its office in Dallas with three corporate partners.

In a release, the firm said Kelly focuses his practice on corporate finance transactions, including equity securities offerings, traditional bank finance and high yield bond issuances. He represents companies in the energy, fintech, media and manufacturing industries on securities issuances, SEC disclosure issues, corporate governance matters and exchange listing compliance. He has advised companies on corporate restructurings and recapitalizations, and represented borrowers and private equity sponsors on leveraged finance acquisitions, spin-offs, carve-outs and various debt financings.

Kelly began his legal career at Ballard Spahr LLP, before moving to Kirkland & Ellis, LLP in 2014. He received his BS, magna cum laude, in economics and political science from Florida State University, and his J.D. and LL.M. in Securities and Financial Regulation from Georgetown University Law Center.

Other recent additions to the Global Corporate Group in New York include Tadaski Okamoto, who joined from Morrison & Foerster on Oct. 8, and Sandy K. Feldman who joined on Oct. 23 from K&L Gates. Chauncey Lane joined the practice on November 7 in Dallas from Husch Blackwell. The launch of the firm’s newest office in Dallas in May included Bobby Majumder, Ryan J. Preston and Lynwood E. (Lyn) Reinhardt in the Global Corporate Group, all of whom joined from Perkins Coie.

 

 




White Paper: 4 Bet-the-Job Data Privacy Questions for Corporate Counsel

As the launch date approaches for the California Consumer Privacy Act (CCPA) on Jan. 1, 2020, Exterro has published a white paper designed to help legal departments keep their organizations’ privacy processes defensible, and minimize the risk of violating new privacy laws.

The white paper can be downloaded from Exterro’s website at no charge.

The launch of the CCPA means that consumers have more information and control over a business’s data practices, which creates challenges for businesses, mostly: Do they have their arms around their data? Do they understand where it lives within in their organization, and where it’s shared?

The paper breaks down the key questions that arise in keeping an organization’s privacy processes defensible, such as:

  • The final “checklist” questions that you should be asking about your organization’s data preparedness
  • Tips for breaking down the elements of the CCPA into actionable processes
  • Tips for maintaining a trim data inventory

Download the white paper.

 

 




Curated Tech Innovation Tour for Directors

Members of the National Association of Corporate Directors members can access an exclusive tour, custom designed for directors, of the latest technology trends at the Consumer Electronics Show (CES) in Las Vegas in January 2020.

“This experience will expand your point of view on cutting-edge technologies and how they relate to strategy discussions in the boardroom.” writes the NACD’s Matt Barone. “You’ll be able to see firsthand the innovations and breakthrough ideas that will disrupt your current organizations, and improve your understanding of their implications for your companies’ future business models.”

This year’s tour will offer in-depth insights designed to help directors ensure that their companies are fueled by, and not blindsided by, future tech. For example, this year’s participants will gain insights into the Smart City Sector, which includes IoT, 5G connectivity, transportation and smart automotive, data analytics, and more, according to Barone.

For information about joining NACD to gain access to this unique opportunity and much more, including exclusive content, top-tier educational programming, and unparalleled networking opportunities, email Barone or call 571-367-3708.

 

 




How Amazon Dodges Responsibility for Unsafe Products: The Case of the Hoverboard

Amazon boxThe Wall Street Journal takes a look at a specific product liability case and puts it into context in the larger question of how Amazon and other internet companies try to avoid a legal burden when the products they sell malfunction, causing injury and damage.

The article by Alexandra Berzon tells the story of malfunctioning hoverboards that caused millions of dollars in damages when they burst into flames.

“The cases are testing a longtime argument made by Amazon and other internet companies, one that underpins the modern tech industry,” she writes. “We are just operating a platform that connects buyers and sellers, the argument goes. It’s up to the sellers who use our site to make sure that they meet proper safety standards.”

Read the WSJ article.