Keep your finger on the legal world's pulse
22nd January 2026
Together with
Navex Brand Logo

THE HOT STORY
Supreme Court appears skeptical of Trump's bid to fire Fed's Cook
Supreme Court justices yesterday appeared skeptical of President Donald Trump’s efforts to sack Federal Reserve governor Lisa Cook. Trump moved to fire Cook in August over accusations she committed mortgage fraud. Reuters says that skepticism was summarized most directly by ​conservative Justice Brett Kavanaugh in an exchange with Solicitor General D. John Sauer, who had been tasked with arguing why Trump should be allowed to remove Cook. "Your position that there's no judicial ​review, no process required, no remedy ⁠available, a very low bar for cause that the president alone determines - I mean, that would weaken, if not shatter, the independence of the Federal Reserve," Kavanaugh said. "We have to be aware of what we're doing and the consequences of your position for the structure of the government," Kavanaugh told Sauer.
COMPLIANCE & GOVERNANCE
Legal leaders: prepare for compliance complexity in 2026

Legal teams are facing a complex 2026 – evolving global mandates, AI governance obligations, and increasing pressure for transparent board oversight. NAVEX’s Top 10 Risk & Compliance Trends eBook explores what’s next for in-house counsel and legal leaders as risk and ethics intersect.

Gain expert insight into how regulation, culture, and technology are reshaping compliance programs and what proactive counsel can do to strengthen governance and protect the organization.

Download NAVEX’s 2026 Top 10 Risk & Compliance Trends eBook

 
RISK
AI-related disputes 'are biggest emerging litigation risk'
According to the Shoosmiths Litigation Risk 2026 report, AI-related litigation risks have overtaken traditional concerns such as intellectual property and breach of contract as the most threatening emerging risk over the next three years. The report, based on feedback from 360 general counsel and senior in-house lawyers, reveals that over half expect an increase in AI litigation. Notably, 87% of respondents expressed concern over AI-related employment disputes and discrimination claims. Geopolitical factors also play a role, with 73% of firms believing state-sponsored cyber-attacks have heightened litigation risks. Alex Bishop, partner at Shoosmiths, said: “We’re in an era of global instability, and that is having a real impact across boardrooms.”
LAWSUITS
Experts can testify about suspected J&J talc products' cancer link
A court-appointed special master in Johnson & Johnson's long-running talc litigation has recommended that plaintiffs should be able to present certain testimony from expert witnesses. The recommendation from retired U.S. District Judge Freda Wolfson applies to roughly 67,500 lawsuits that have been consolidated in New Jersey and allows them to go forward. Wolfson also said J&J can counter testimony with its own expert witnesses.  
AI firm sued over 'secret' job scoring
Eightfold, an artificial intelligence ‌hiring ​platform used by Microsoft, PayPal and many ‌other Fortune 500 companies, is being sued for allegedly scoring job candidates without their knowledge. The lawsuit filed in California was brought by job seekers Erin Kistler and Sruti Bhaumik, who claim Eightfold compiles detailed talent profiles, including personality descriptions and “fit scores” that function as consumer reports under the Fair Credit Reporting Act (FCRA).
LAW
House panel votes to hold Clintons in contempt in Jeffrey Epstein probe
The Republican-led House Oversight Committee has voted to hold former President Bill Clinton and his wife, former Secretary of State Hillary Clinton, in contempt of Congress over their refusal to comply with subpoenas in its investigation of convicted sex offender Jeffrey Epstein. Lawmakers approved the contempt measure, with the support of several Democrats, and it will now go to the full House of Representatives for a vote. If it passes the chamber, the matter will be referred to the justice department.
Bill to curb chip sales to China advances
The House Foreign Affairs Committee has voted to advance the AI Overwatch Act, which would give Congress the power to block the Trump administration from exporting AI chips to adversaries. Representative Brian Mast of Florida, chair of the House Foreign Affairs Committee, introduced the Act in December after President Donald Trump gave the go-ahead to shipments of Nvidia's powerful H200 AI chips to China. “It would be a big mistake to ship these chips,” Dario Amodei, the CEO of AI firm Anthropic, said at the World Economic Forum in Davos, Switzerland. “I think this is crazy. It’s a bit like selling nuclear weapons to North Korea."
EMPLOYMENT LAW
Chicago paid $26.5m in overtime to ineligible employees
Chicago paid $26.5m in overtime to over 1,000 ineligible employees from 2020 to 2024, according to a report from Chicago Inspector General Deborah Witzburg. Her report noted that many of the employees worked in management positions and without collective bargaining agreements, making them ineligible for the extra pay. Ald. Gilbert Villegas, chair of the City Council Committee on Economic, Capital and Technology Development, blamed the problem on the city's reliance on antiquated technology. "There is technology out there for time and attendance that will allow the city to take control and make sure that we're monitoring overtime so that people are not taking advantage of it. It's up to this this administration to act quickly by incorporating this type of technology," he said. 
CASES
Venture Global wins arbitration case brought by Repsol
Venture Global has won a dispute at an arbitration panel with Spain’s Repsol over the U.S. supplier's initial failure to deliver liquefied natural gas shipments from its Calcasieu Pass project in Louisiana under a 20-year long-term contract. The tribunal found Venture Global acted as a “reasonable and prudent operator” and awarded fees to the company. The ruling contrasts with a decision last year in which BP prevailed over Venture Global in a similar complaint brought at the International Chamber of ‌Commerce International Court of Arbitration.
TAX
IRS CI chief retires amid leadership overhaul
As part of IRS chief executive Frank Bisignano's overhaul of the agency, Guy Ficco, head of the IRS’s Criminal Investigation (CI) unit, is to step down from the role, and will be replaced by Jarod Koopman, who will serve as co-chief tax compliance officer. Meanwhile, whistleblower Gary Shapley - known for testifying on the Hunter Biden tax case - will become deputy chief of criminal investigation. The reshuffle fills numerous vacant or acting roles, with several appointees connected to congressional Republicans and Elon Musk’s federal workforce reduction initiative. These changes come after a quarter of the IRS workforce departed last year and follow Trump-era efforts to redirect the IRS’s focus toward immigration enforcement and internal efficiency.
APPOINTMENTS
Simpson Thacher fires Wachtell dealmaker
Simpson Thacher & Bartlett has hired corporate lawyer Alison Preiss from Wachtell Lipton Rosen & Katz. Preiss, who has worked with major companies including Match Group, Expedia, Home Depot, and Pfizer on substantial transactions, leaves Wachtell after nearly 20 years, including almost a decade as a partner. Eric Swedenburg, Simpson Thacher's M&A leader, said that Preiss is “tailor-made for what we're looking for.”
INTERNATIONAL
EU lawmakers vote to delay Mercosur trade pact over legal concerns
European Union lawmakers have voted to delay the ratification of the EU-Mercosur trade agreement, sending it to the European Court of Justice for a legal review. The vote, which passed 334 to 324, means the deal cannot be approved until the court rules, a process that may take months. The agreement with the group of South American countries, aimed at eliminating over 90% of tariffs on goods, was a priority for European Commission President Ursula von der Leyen. French Foreign Minister Jean-Noel Barrot welcomed the decision, while German Chancellor Friedrich Merz called it "regrettable." He called for provisional application of the deal.

 

Legal Slice delivers the latest, most relevant, and useful legal intelligence each weekday morning with intelligence, designed specifically for legal professionals, including attorneys, practice owners, judges, legal scholars, and influencers.

Content is selected to an exacting brief from hundreds of influential media sources and summarised by experienced journalists into an easy-to-read digest email. The links under articles indicate original news sources. Some links lead directly to the source material. Others lead to paywalls where you may need a subscription. A third category are restricted by copyright rules.

For reaction and insights on any stories covered in Legal Slice, join the discussion by becoming a member of our LinkedIn Group or Business Page, or follow us on Twitter.

If you are interested in sponsorship opportunities within Legal Slice, please get in touch via email sales team

This e-mail has been sent to [[EMAIL_TO]]

Click here to unsubscribe