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Securities
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October 03, 2025
Linqto's Private Stock Deal Clears Bankruptcy Court Hurdle
Investment platform Linqto received a Texas bankruptcy judge's approval for a novel Chapter 11 settlement with customers that would offer them a version of the exposure to private startups the company purported to sell before seeking Chapter 11 protection in July.
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October 03, 2025
Del. Justices Uphold Toss Of Ad Co. Note Conversion Claim
With little discussion, a Delaware Supreme Court panel on Friday affirmed on appeal a Court of Chancery decision that advertising tech company Vistar Media Inc. had a right to cash out millions' worth of matured investor notes over noteholder objections.
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October 03, 2025
Weapons Check Co. Insiders Sued In Del. After System Failure
A stockholder of weapons screening developer Evolv Inc. has sued 20 current and former company directors and officers in Delaware's Court of Chancery, in a five-count derivative suit seeking damages linked to reports that Evolv systems fell short in catching threats.
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October 03, 2025
The Roberts Court At 20: How The Chief Is Reshaping America
Twenty years after John Roberts became the 17th chief justice of the United States, he faces a U.S. Supreme Court term that's looking transformative for the country and its institutions. How Justice Roberts and his colleagues navigate mounting distrust in the judiciary and set the boundaries of presidential authority appear increasingly likely to define his time leading the court.
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October 03, 2025
Ga. Insurer Can't Skirt Suit Over NC Captive Insurer's Collapse
A Georgia insurance company can't slip out early from a fight over a defunct captive insurer's demise, a North Carolina Business Court judge has ruled, finding the company's owners directed actions into the Tar Heel state sufficient for it to be pulled into litigation there.
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October 03, 2025
$1T Tesla Pay Proposal Sets Ambitious Goals For Musk
A massive pay proposal for Tesla CEO Elon Musk contains performance metrics that would make it tough for Musk to pull in the maximum pay available, even if the deal gets a green light from shareholders in November. Here are four things about the $1 trillion pitch that have caught attorneys' attention.
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October 03, 2025
NCUA, US Bank Settle Crisis-Era RMBS Trustee Lawsuit
The National Credit Union Administration Board and U.S. Bank told a New York federal judge that they have reached a settlement in principle in a suit over U.S. Bank's role as trustee for crisis-era residential mortgage-backed securities trusts.
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October 02, 2025
Veteran Services Co. Must Face Chancery Self-Dealing Claims
A Delaware Chancery judge refused to dismiss fiduciary duty claims against a veterans services company's top executives, ruling that a shareholder who sued over the company's 2023 merger into a limited liability company adequately alleged that it may have been structured to shield its leaders from accountability.
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October 02, 2025
Del. Chancellor Advances Pruned $75B Activision Merger Suit
Delaware's chancellor kept in play late Thursday much of an Activision Blizzard stockholder suit challenging the company's $75.4 billion merger with Microsoft, rejecting multiple dismissal motions, approving others and writing that a "slimmed-down" version of the complaint can go forward — adding, "Game on."
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October 02, 2025
Bain Inside Trade Claims Advance In Del. Cerevel Sale Suit
Delaware's Court of Chancery on Thursday kept alive a pension funds suit alleging that private equity firm Bain Capital Investors LLC and others traded on inside information in the run-up to a secondary sale ahead of biopharmaceutical venture Cerevel Therapeutics Holdings Inc.'s $8.7 billion acquisition by AbbVie.
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October 02, 2025
FINRA Fines CashApp Unit $375K Over Data Protection Lapse
The brokerage unit of payments giant Cash App will pay a $375,000 fine to the Financial Industry Regulatory Authority to resolve claims it failed to keep user data safe after a former employee downloaded reports containing personal information on millions of the firm's customers.Â
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October 02, 2025
Investors Claim $1.7M Stolen In Colorado Pot Co. Fraud
The partial owner of a now-defunct marijuana company in Boulder, Colorado, has been accused in a state court lawsuit of conning investors out of more than $1.7 million by claiming they were buying into a grow and dispensary operation while actually pocketing "some or all" of the money.
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October 02, 2025
Bored Ape NFTs Aren't Securities, Judge Holds
A California federal judge tossed a proposed securities class action against the firm behind the popular Bored Ape non-fungible token collection and its celebrity promoters, saying the token sales didn't amount to securities transactions.
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October 02, 2025
Aramark, Vestis Can't Nix Investor Suit Over Spinoff's Woes
Uniform supplier Vestis Corp. and food and facilities services giant Aramark can't shed proposed shareholder class action claims that they misled investors about Vestis' operations and customer relationships prior to its 2023 spinoff from Aramark.
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October 02, 2025
FINRA Fines Broker-Dealer $1M On Lax-Surveillance Claims
The Financial Industry Regulatory Authority is requiring New Jersey-based broker-dealer Velocity Clearing LLC to hire an independent consultant and pay a $1 million fine to settle the regulator's claims that Velocity has failed to take reasonable measures to prevent manipulative trading.
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October 02, 2025
7th Circ. Bucks SEC Request To Pause Cboe Case
The Seventh Circuit has rejected a bid by the U.S. Securities and Exchange Commission and Cboe Exchange Inc. to postpone upcoming oral arguments in a case challenging the SEC's ability to regulate certain Cboe software, telling the parties the arguments will go forward as planned while they discuss a possible deal to end the suit.Â
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October 02, 2025
Switzerland Dodges $372M Credit Suisse Collapse Suit
A New York federal judge has granted Switzerland's bid to throw out a $372 million suit against the country stemming from the 2023 collapse of Credit Suisse and the reduction in value of about $17 billion of debt securities, ruling that it has sovereign immunity in the dispute.
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October 02, 2025
Ex-Silvergate CFO Must Face SEC Fraud Claims, Judge Rules
A New York federal judge has ruled that the former chief financial officer of defunct crypto-focused bank Silvergate Capital cannot escape a suit from the U.S. Securities and Exchange Commission alleging he hid the bank's rocky financial condition, finding that the regulator has adequately alleged that he had access to information that contradicted his public statements.
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October 02, 2025
2nd Circ. Says Co. Can't Stop NY Property Sale In SEC Suit
The Second Circuit tossed a company's appeals Thursday over a Sag Harbor, New York, property linked to the U.S. Securities and Exchange Commission's $26 million investment fraud suit against an alternative investment principal.
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October 02, 2025
Merrill Lynch Raid Suit Paused For FINRA Arbitration
A Georgia federal judge stayed Merrill Lynch's case alleging Dynasty Financial Partners, Charles Schwab and a dozen former employees conspired to start a new firm with Merrill's staff and confidential information one day after denying the company's bid for an injunction.
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October 02, 2025
NC Insurance Agent Ordered To Pay $1.7M In SEC Fraud Suit
The U.S. Securities and Exchange Commission Thursday was granted its request for over $1.7 million in disgorgement, interest and penalties to end its suit accusing a previously convicted North Carolina insurance agent and his company of defrauding seven investors out of over $1 million.
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October 02, 2025
Florida Man Gets 19 Years For Running $36M Ponzi Scheme
A Florida federal judge sentenced a Miami man to more than 19 years in prison for running a $36 million Ponzi scheme through a company that purported to make money through quick loans to small businesses.
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October 02, 2025
Ex-NFL Player Claims Signature Forged In Arbitration Clause
A North Carolina Business Court judge was befuddled Thursday by an arbitration clause that retired NFL defensive lineman Mike Rucker says he has no memory of signing, stopping short arguments on its enforceability to instead give the parties time to dig into its authenticity.
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October 02, 2025
Many Cos. Not Ready For National Security Risks, Report Says
At least a third of U.S. companies aren't fully prepared to address key national security compliance risks they face, and the C-suite often isn't aligned with its in-house counsel as to who is primarily responsible for those efforts, according to a new survey from Eversheds Sutherland.
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October 02, 2025
Judge Nixes Pegasystems Shareholder Suits Over $2B Verdict
A Massachusetts state court has dismissed a pair of investor lawsuits against Pegasystems officials that had sought to hold them responsible for a $2 billion verdict in a trade secrets case, finding no evidence of bad faith on the part of the software company's board.
Expert Analysis
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9th Circ. Decisions Help Clarify Scope Of Legal Lab Marketing
Two Ninth Circuit decisions last week provide a welcome development in clarifying the line between laboratories' legal marketing efforts and undue influence that violates the Eliminating Kickbacks in Recovery Act, and offer useful guidance for labs seeking to mitigate enforcement risk, says Joshua Robbins at Buchalter.
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Feds' Shift On Reputational Risk Raises Questions For Banks
While banking regulators' recent retreat from reputational risk narrows the scope of federal oversight in some respects, it also raises practical questions about consistency, reputational management and the evolving political landscape surrounding financial services, say attorneys at Smith Anderson.
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Defense Lessons From Freshworks' Win In Post-IPO Case
A California federal court’s recent decision to grant Freshworks’ summary judgment bid in a proposed investor class action helpfully clarifies two important points for defendants facing postoffering securities claims under Section 11 of the Securities Act, say attorneys at Paul Weiss.
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'Loss' Policy Definition Is Key For Noncash Settlements
A recent Delaware decision in AMC Entertainment v. XL Specialty Insurance, holding that the definition of loss includes noncash settlement payments, is important to note for policyholders considering other settlement options — like two other class actions that recently settled for vouchers, say attorneys at Reed Smith.
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Series
Playing Mah-Jongg Makes Me A Better Mediator
Mah-jongg rewards patience, pattern recognition, adaptability and keen observation, all skills that are invaluable to my role as a mediator, and to all mediating parties, says Marina Corodemus.
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Business Court Bill Furthers Texas' Pro-Corporate Strategy
The Texas Legislature's recent bill to enhance corporate protections and expand access to the Texas Business Court by refining its jurisdictional standards is just the latest step in the state's playbook for becoming the new center of corporate America, say attorneys at Katten.
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Series
Law School's Missed Lessons: Navigating Client Trauma
Law schools don't train students to handle repeated exposure to clients' traumatic experiences, but for litigators practicing in areas like civil rights and personal injury, success depends on the ability to view cases clinically and to recognize when you may need to seek help, says Katie Bennett at Robins Kaplan.
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What To Expect As UK, US Gov'ts Develop Stablecoin Policies
While the U.K. and U.S. governments’ policies both suggest that fiat-backed stablecoins can improve efficiency and safety in payments systems, a perception that crypto-assets remain high risk means consumers are unlikely to use them in significant volume anytime soon, say lawyers at Cadwalader.
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Yacht Broker Case Highlights Industry Groups' Antitrust Risk
The Eleventh Circuit recently revived class claims against the International Yacht Brokers Association, signaling that commission-driven industries beyond real estate are vulnerable to antitrust challenges after the National Association of Realtors settled similar allegations last year, says Miles Santiago at the Southern University Law Center and Alex Hebert at Southern Compass.
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Opinion
4 Former Justices Would Likely Frown On Litigation Funding
As courts increasingly confront cases involving hidden litigation finance contracts, the jurisprudence of four former U.S. Supreme Court justices establishes a constitutional framework that risks erosion by undisclosed financial interests, says Roland Eisenhuth at the American Property Casualty Insurance Association.
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Quantifying Trading-Based Damages Using Price Impact
The U.S. Securities and Exchange Commission will likely increasingly rely on price impact analyses to demonstrate pecuniary harm from trading-related misconduct, meaning measuring price impact will be helpful in challenging SEC disgorgement, determining appropriate remedies, and assessing loss causation and damages in private litigation, says Vyacheslav Fos at Boston College and Erin Smith at Compass Lexecon.
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Congress Crypto Movement Could Bring CFTC 'Clarity' At Last
The Clarity Act's arrival at the House floor during "Crypto Week" in Congress demonstrates enduring bipartisan support for legislation addressing digital assets and the Commodity Futures Trading Commission's important role in a future regulatory structure, say attorneys at DLA Piper.
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Practical Implications Of SEC's New Crypto Staking Guidance
The U.S. Securities and Exchange Commission's recent staff guidance that protocol staking does not constitute securities offerings provides a workable compliance blueprint for crypto developers, validators and custodial platforms willing to keep staking strictly limited to protocol-driven rewards, say attorneys at Cahill.
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Stablecoin Bills Present Opportunities, Challenges For Banks
Stablecoin legislation that Congress is expected to adopt in the coming weeks — the GENIUS and STABLE Acts — would create openings for banks to engage in digital asset activities, but it also creates a platform for certain tech-savvy nonbanks to directly compete, say attorneys at Arnold & Porter.
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How Attys Can Use AI To Surface Narratives In E-Discovery
E-discovery has reached a turning point where document review is no longer just about procedural tasks like identifying relevance and redacting privilege — rather, generative artificial intelligence tools now allow attorneys to draw connections, extract meaning and tell a coherent story, says Rose Jones at Hilgers Graben.