Ninth Circuit Denies Arbitration in Perez v. Discover Bank, Raising Questions on Clauses’ Enforceability

In a noteworthy development, the Ninth Circuit Court of Appeals has upheld a district court order denying a motion to compel arbitration of a plaintiff’s discrimination claims in Perez v. Discover Bank. The Ninth Circuit found the mandatory arbitration clauses in student and consolidation loan agreements, which were signed by the plaintiff, did not necessitate…

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Navigating Regulatory Shifts: Impact on Policy Management for Legal Professionals

For legal professionals working in corporations or large law firms, staying abreast of updates in local, state, and federal regulations is pivotal to effective policy management. The modern workplace is an ever-evolving landscape, with remote teams spanning the globe, and companies are continually tasked with adapting to new regulations across multiple jurisdictions. Recent changes range…

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CFPB Permanently Bans Nonbank Finance Company for Concealing Lease Terms and Neglecting Disclosures

In an enforcement action that could send shockwaves through the consumer finance industry, the Consumer Financial Protection Bureau (CFPB) has permanently banned a Nonbank Consumer Finance Company operating from Manchester, New Hampshire. The action followed allegations that the company concealed contract terms of its lease agreements and neglected to provide necessary leasing disclosures. This action,…

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Post-Pandemic Labor Actions Impact Wages, Market, and Employment Law

For many professionals in the legal space, the wave of union strikes over this past summer warrants close observation. Hollywood writers and actors garnered substantial media attention for their ongoing strike efforts; however, they were not alone in their endeavors. Union actions have precipitated significant outcomes for various labor markets. UPS drivers and commercial air…

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CCPA Compliance Simplified: Altering HR Vendor Contracts for Optimal Results

The California Consumer Privacy Act’s (CCPA) compliance burden for employers can be immense. Given this concern, companies should seize any opportunity to simplify their obligations under this statute. A surprisingly elementary strategy for doing this lies in updating your contracts with HR vendors. A suggestive article by Fisher Phillips on JDSupra outlines this method and…

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New Federal Regulation Targets TikTok Usage on Government Devices and Contracts

Effective June 2, 2023, a significant regulation update comes into effect which will alter federal contracts and solicitation requirements. All such contracts are required to include the Federal Acquisition Regulation (FAR) clause: FAR 52.204-27, titled “Prohibition on a ByteDance Covered Application”. This clause is a concrete implementation of Section 102 of Division R of the…

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Understanding Revocation Rights in German Fund Distribution: Legal Obligations for Investors and Distributors

When distributing investment funds and structuring fund documentation, it’s crucial to note cancellation rights (Widerrufsrechte). This not only applies to retail funds (Publikumsfonds) but also special funds (Spezialfonds) if they are distributed to “consumers” within the meaning of the German Civil Code (BGB). Consumer classification in this context could apply primarily to retail investors and…

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Universities Face Contract Breach Lawsuits Amid Pandemic-induced Shift to Remote Learning

In the past year, several federal appellate courts have breathed new life into lawsuits accusing universities of contract breaches with students. These institutions made the switch to remote learning amidst the COVID-19 pandemic’s peak, a decision that left students grappling with unchanged tuition and fees despite the altered learning format. Among these is a class-action…

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California Strengthens Employee Protections, Expands Ban on Non-Compete Agreements

In a notable move, California Governor Gavin Newsom has expanded the existing prohibition against non-compete agreements by signing the Senate Bill 699 into law on September 1, 2023. The new amendment notably affects the California Business & Professions Code Section 16600, outlawing an employer’s option to initiate or attempt enforcement of a non-compete agreement, notwithstanding…

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OFCCP’s 2023 Corporate Scheduling Announcement List Impacts 1,000 Federal Contractors

In a recent update, the Office of Federal Contract Compliance Programs (OFCCP) made public its second 2023 Corporate Scheduling Announcement List (CSAL). A significant development released on September 8, 2023, this impacts an estimated 1,000 supply and service establishments. The CSAL serves as an advance notification to contractors of impending audits, and thus warrants immediate…

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Embracing AI in the Legal Industry: Streamlining Processes and Enhancing Decision-Making

As legal professionals, we’ve witnessed technology significantly transform the mechanisms of our day-to-day operations. Recently, leading the batch of disruptive technologies is Artificial Intelligence (AI). From AI-enabled chatbots to sophisticated virtual assistants, the scope and influence of AI in the legal sector are no longer mere buzzwords, but tangible realities. The presence of AI across…

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California Enacts Legislation to Nullify Out-of-State Non-Compete Agreements, Bolstering Employee Mobility

On September 1, 2023, California Governor Gavin Newsom signed into effect a new, stringent law aimed at enhancing the state’s protections for employee mobility. This new legislation also targets to nullify out-of-state employee non-compete agreements, marking a significant shift in the state’s approach to employee’s rights and contracts. Drawing into its ambit any contract void…

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Navigating the Complexities of Data Privacy and Cybersecurity in Vendor Agreements

In an era of increasing digital threats and heightened scrutiny on data privacy, vendor agreements are undergoing significant changes. Recent efforts by the Department of Labor (DOL) focus on best practices in cybersecurity and data privacy for fiduciaries who contract and monitor recordkeepers and other plan providers. With the enforcement of new state privacy laws,…

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Clean Energy Opportunities Emerge from Bipartisan Infrastructure Law and Inflation Reduction Act

September 2023 has seen important updates in the field of Energy and Sustainability within Washington D.C., particularly concerning the Bipartisan Infrastructure Law and Inflation Reduction Act. These crucial developments present a variety of opportunities relating to clean energy, a vital sector within both U.S. infrastructure and the economy. Foremost among these opportunities are those presented…

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Fluor Corporation Faces SEC Charges Over Alleged Improper Accounting Practices

Engineering and construction giant Fluor Corporation finds itself in difficult legal waters as the SEC brings settled charges against the company, citing allegations of improper accounting on two of their large-scale, fixed-price construction projects. The charges were also extended to five of Fluor’s current and former officers and employees. The full story details can be…

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GSA Extends OASIS Unrestricted Contract to March 2025: Implications for Contractors and Businesses

In this week’s legal update for contractors and commercial businesses, we turn our attention to the recent news regarding the General Service Administration’s (GSA) One Acquisition Solution for Integrated Services (OASIS) Unrestricted Contract, which has now been extended until March 2025. This update was reported by GovConWire and comes via the weekly roundup on JD…

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Limitations on Liquidated Damages: Disproportionality in Construction Contracts

Across the globe, construction contracts commonly include specific provisions allowing for predetermined or “liquidated” damages in case of a contract breach. These provisions can arm the contracting parties with some level of certainty regarding potential repercussions of a contract breach and may ease the process of demonstrating damages during a court proceeding. In an intriguing…

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