Code of Federal Regulations

  • 9th Circuit Court vacates nation-wide injunction withholding federal grants from 'sanctuary states'

    On August 1, the 9th Circuit Court “affirmed the district court's grant of summary judgment in favor of the City and County of San Francisco and the County of Santa Clara in an action challenging Executive Order 13, 768, "Enhancing Public Safety in the Interior of the United States," which directed the withholding of federal grants to so-called sanctuary jurisdictions; (2) vacated a nationwide injunction; and (3) remanded.” The Court reasoned that “under the principle of Separation of Powers and in consideration of the Spending Clause, which vests exclusive power to Congress to impose conditions on federal grants, the Executive Branch may not refuse to disperse the federal grants in question without congressional authorization.” See Decision.

    Aug 15, 2018 12:13 AM

  • New Jersey District Court Dismisses Securities Class Action for Failure to Adequately Allege Scienter

    “On August 1, 2018, Judge Kevin McNulty of the United States District Court for the District of New Jersey dismissed without prejudice a putative securities class action asserting claims under Section 10(b) of the Securities Exchange Act against the telecommunications company BT Group PLC and certain of its officers. Plaintiffs, who purchased BT Group American Depository Receipts (ADRs), based their claims on allegations that defendants made a series of misstatements between 2013 and 2017 relating to control problems at a BT Group subsidiary in Italy. Christian v. BT Group plc. The Court held that plaintiffs failed to adequately allege scienter and therefore dismissed the action.” See Article.

    Aug 15, 2018 12:12 AM

  • 9th Circuit Court affirms summary judgment in favor of California against challenge to Unsafe Handgun Act provisions

    On August 3, the 9th Circuit Court affirms the district court’s summary judgment in favor of California in an action challenging three provisions of California’s Unsafe Handgun Act. The Court held that “the Act only regulates commercial sales, not possession, and does so in a way that does not impose a substantial burden on purchasers [and] the requirements for a chamber load indicator and a magazine detachment mechanism reasonably fit with California's interest in public safety.” See Decision.

    Aug 15, 2018 12:09 AM

  • WV House of Delegates votes to impeach all remaining WV Supreme Court Justices

    On Monday, August 13, the West Virginia House of Delegates voted to impeach all remaining West Virginia Supreme Court Justices. The House adopted articles regarding costly office renovations paid for with tax-payer money. See Article.

    Aug 15, 2018 12:03 AM

  • Tennessee District Court Pares Exchange Act Claims Against Accounting Company, Dismissing Scheme Liability Claims

    “On August 2, 2018, Chief Judge Thomas A. Varlan of the United States District Court for the Eastern District of Tennessee dismissed in part a putative securities class action against KPMG, LLP asserting claims under Section 10(b) of the Securities Exchange Act and Rule 10b-5 thereunder.” See Article.

    Aug 15, 2018 12:03 AM

  • 9th Circuit Court reserves district court dismissal alleging constitutional violations stemming from handgun restrictions

    The 9th Circuit Court reversed the district court's dismissal of claims brought against the County of Hawaii, dismissed plaintiff's appeal as to the State of Hawaii, and remanded, in plaintiff's 42 U.S.C. § 1983 action alleging that the denial of his application for a handgun license violated his Second Amendment right to carry a loaded firearm in public for self-defense. The Court concluded that “Hawaii's limitation on the open carry of firearms to those "engaged in the protection of life and property" violated the core of the Second Amendment and was void under any level of scrutiny.” See Decision.

    Aug 15, 2018 12:00 AM

  • Northern District of California Certifies Class in Securities Stock Drop Suit, Finding That ‘In-And-Out’ Traders Should Not be Excluded from the Class Definition

    “On July 17, 2018, Judge Jon S. Tigar of the United States District Court for the Northern District of California granted plaintiffs' motion to certify a class in a securities class action against Twitter, Inc. and two of its officers. In re Twitter Inc. Securities Litigation. Plaintiffs allege that defendants violated Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 by making materially false and misleading statements regarding user growth and engagement, resulting in a 15 percent stock drop when the Company later disclosed that user engagement was "slowing quite dramatically." The Court previously had granted in part and denied in part defendants' motion to dismiss.” See Article.

    Aug 14, 2018 11:56 PM

  • Ohio Supreme Court: R.C. 1707.43 does not imposes joint and several liability on persons who aided in the purchase of illegal securities but did not participate or aid in the sale of the illegal securities

    On August 9, the Supreme Court of Ohio answered a certified question from the 6th Circuit Court of Appeals, holding that R.C. 1707.43, a provision of the Ohio Securities Act, does not imposes joint and several liability on persons who aided in the purchase of illegal securities but did not participate or aid in the sale of the illegal securities. See Decision.

    Aug 14, 2018 11:53 PM

  • Stanford Law Review

    Issue number #70-6 (June 2018) of publication Stanford Law Review is now available

    Aug 14, 2018 1:21 PM

  • OCC Adopts Policy Statement on Fintech Eligibility for US National Bank Charters

    “The Office of the Comptroller of the Currency (OCC) announced July 31, 2018, that it will begin accepting national bank charter applications from financial technology companies.” See Article.

    Aug 14, 2018 1:55 AM

  • Compliance with California sun and heat worker protections

    “California Gov. Jerry Brown signed a bill, effective January 21, 2017, which directs Cal/OSHA to draft and propose heat illness prevention standards for indoor employees by January 1, 2019. Manufacturing, shipping, and logistics companies, among others, should be aware that the Cal/OSHA board enforces its directives, for example having upheld citations against a warehouse operator after an employee was hospitalized for heat stroke.” See Article.

    Aug 14, 2018 1:55 AM

  • 11th Circuit Affirms Dismissal of Constitutional Claims Against Florida Utilities

    “The US Court of Appeals for the Eleventh Circuit on July 11 affirmed the dismissal of a putative class action complaint seeking disgorgement and other relief from two Florida utilities (Utilities). The complaint also sought to invalidate provisions of a Florida statute relating to rate recovery for nuclear power projects on constitutional dormant Commerce Clause and preemption grounds.” See Article.

    Aug 14, 2018 1:53 AM

  • FERC Finds That State-Supported Generation Resources Suppress PJM Capacity Market Prices, Establishes Proceeding to Design and Implement Broad Market Reforms

    “In a June 29, 2018, order, Calpine Corp., et al. v. PJM Interconnection, L.L.C., the Federal Energy Regulatory Commission (FERC) held that out-of-market payments provided or required by certain states for the purpose of supporting the entry or continued operation of preferred generation resources such as those associated with renewable portfolio standard (RPS) programs depress capacity market prices in the PJM market. FERC established "paper hearing" procedures for parties to submit comments and supporting evidence concerning potential revisions to the PJM tariff governing capacity auctions to mitigate price suppression and to address how generation resources receiving state subsidies should participate (or not) in the PJM capacity market.” See Article.

    Aug 14, 2018 1:53 AM

  • Court of Appeals Upholds Employer’s Criminal Liability and Maximum Fine in Employee’s Death

    “On July 17, 2018, the U.S. Court of Appeals for the Eighth Circuit affirmed a verdict that had found an employer criminally liable for an employee's fatal fall. Declining to overturn the lower court's decision, the three-judge panel found that prosecutors presented sufficient evidence to support the company's conviction for willfully violating safety regulations and causing the worker's death. The court of appeals also affirmed the trial court's imposition of a $500,000 fine. While it is uncommon for employers to receive the maximum statutory penalty for OSHA violations, this case should serve as a reminder that significant criminal and financial penalties can result from OSHA citations.” See Article.

    Aug 14, 2018 1:52 AM

  • Court Puts ‘FDA-Cleared’ Complaint on Ice

    “The Central District of California recently dismissed, for the second time, a putative class action filed by two plaintiffs who claimed to have purchased Zeltiq Aesthetics, Inc.'s "CoolSculpting" fat-reduction treatments under the allegedly mistaken belief that the treatments had been "approved," not just "cleared," by the U.S. Food and Drug Administration.” See Article.

    Aug 14, 2018 1:51 AM

  • Court Says Transit Authority Can Refuse to Accept Religious Ads

    “Following Supreme Court precedent, the court held that the Washington Metropolitan Transit Authority (WMATA) was within its rights to establish rules that limit the types of advertising it accepts, so long as the rules are reasonable and don't suppress a particular viewpoint. Here, the court said that WMATA's rules were both reasonable and viewpoint neutral.” See Article.

    Aug 14, 2018 1:50 AM

  • NY Federal Court Awards Damages for Reinsurance Payments in Lawsuit Against Iran Related to September 11 Attacks

    “The Southern District of New York recently granted a motion for damages by insurance plaintiffs in a multi-district litigation case against Iran stemming from the September 11, 2001 terrorist attacks. The court previously entered a default judgment against Iran and tasked a magistrate judge with calculating damages. The present opinion stemmed from plaintiff's objections to the magistrate's recommendations that plaintiffs could not recover reinsurance payments made related to the attacks and that prejudgment interest began to accrue on the individual dates of payment of each claim for which plaintiffs sought damages.” See Article.

    Aug 14, 2018 1:48 AM

  • San Diego Business Journal

    Issues #39-29 (July 2018) and #39-27 (July 2018) of publication San Diego Business Journal are now available

    Aug 11, 2018 6:20 AM

  • New Hampshire Business Review

    Issue number #40-15 (July 2018) of publication New Hampshire Business Review is now available

    Aug 11, 2018 6:19 AM

  • Information Outlook

    Issues #22-3 (May 2018) and #22-2 (March 2018) of publication Information Outlook are now available

    Aug 11, 2018 6:19 AM

  • Air Power History

    Issue number #65-1 (March 2018) of publication Air Power History is now available

    Aug 11, 2018 6:19 AM

  • San Diego Business Journal

    Issue number #39-29 (July 2018) of publication San Diego Business Journal is now available

    Aug 11, 2018 6:05 AM

  • Information Outlook

    Issue number #22-2 (March 2018) of publication Information Outlook is now available

    Aug 11, 2018 5:35 AM

  • WV House Judiciary Committee adopts articles of impeachment against WV Supreme Court Justices

    On August 7, the West Virginia House Judiciary Committee adopted articles of impeachment against all 4 West Virginia Supreme Court Justices. The articles of impeachment allege “various counts of corruption, maladministration, incompetency, neglect of duty, and potential criminal behavior among the current four state Supreme Court justices.” See Press Release.

    Aug 10, 2018 9:06 PM

  • Treasury Replaces Ukraine Sanctions General License

    “The U.S. Treasury Department Office of Foreign Assets Control ("OFAC") issued General License 13C under the Ukraine-Related Sanctions Regulations. The new General License 13C replaces and supersedes General License 13B in its entirety, and extends the period of validity of the General License through 12:01 a.m., EDT, on October 23, 2018.” See Article.

    Aug 10, 2018 9:05 PM

  • 9th Circuit affirms dismissal of challenge to 2017 California labor code amendment

    On July 30, the 9th Circuit Court affirmed the district court’s dismissal of a challenge to a 2017 amendment to the California labor code that imposed a wage-credit limitation on employers for payments to third-party industry advancement funds (Senate Bill 954). The Court held that amendment SB 954 does not frustrate the objectives of the National Labor Relations Act and is not preempted under the doctrine set forth in Machinists v. Wis. Emp't Relations Comm'n. See Decision.

    Aug 10, 2018 9:05 PM

  • SEC Proposes Changes to ETF Approval Process

    “The SEC proposal to adopt a new rule that would modify the approval process for certain exchange-traded funds ("ETFs") was published in the Federal Register. Comments must be submitted by October 1, 2018.” See Article.

    Aug 10, 2018 9:03 PM

  • Hawaii bans sunscreen components that damage the marine environment

    The state of Hawaii has passed legislation which will ban “the sale, offer of sale, or distribution in the State of any sunscreen that contains oxybenzone or octinoxate, or both, without a prescription issued by a licensed healthcare provider to preserve marine ecosystems.” See Bill.

    Aug 10, 2018 9:03 PM

  • Minnesota Supreme Court remands case alleging violation of constitutional rights by enabling school segregation

    On July 25, the Minnesota Supreme Court held that “separation-of-powers principles do not prevent the judiciary from ruling on whether the Legislature has violated its duty under the Education Clause or violated the Equal Protection or Due Process Clauses of the Minnesota Constitution.” In this case the plaintiffs alleged that the state violated the Education, Equal Protection, and Due Process Clauses of the Minnesota Constitution by enabling school segregation and depriving students of their fundamental right to an adequate education. The Court reversed the decision of the court of appeals and held that “district court did not err when it denied the State's motion seeking to dismiss the complaint for failure to join school districts and charter schools as parties.” See Decision.

    Aug 10, 2018 9:02 PM

  • Can an Out-Of-The-Money Junior Creditor Share in a Free-And-Clear Bankruptcy Sale?

    “In Illinois Department of Revenue v. Hanmi Bank, while the court ultimately held in favor of the senior secured lenders on the evidence presented (finding a failure of proof by the junior creditors of the value of the interest supposedly lost in the sale), the court's reasoning opened the door to giving juniors a share of the sale proceeds. Before the Hanmi Bank case, the prevailing view was that an underwater senior creditor always could keep all of the proceeds of a free-and-clear sale as a matter of law. Junior creditors would get nothing.” See Article.

    Aug 10, 2018 9:00 PM