Keep your finger on the legal world's pulse
5th November 2025
 
THE HOT STORY
Trump's tariffs face SCOTUS test
The Supreme Court will today hear arguments regarding President Donald Trump's authority to impose a worldwide tariff regime, a case that could challenge Congress' power over taxation. The Trump administration claims that the International Emergency Economic Powers Act (IEEPA) grants the president broad powers to regulate trade during emergencies. Georgetown Law professor Josh Chafetz observed: “It's going to be a huge blow to Congress if Mr. Trump essentially can try to raise as much money as he wants by levying tariffs.” A ruling in favor of Mr. Trump could undermine congressional authority and complicate future legislative actions. Conversely, a decision against him may pressure Congress to legislate on tariffs, as noted by Molly Reynolds from the Brookings Institution. The outcome could significantly impact the balance of power between the presidency and Congress.
LEGAL TECH
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TECHNOLOGY
AI takes centre stage in legal sector
The Future of Legal Services Global Heatmap Survey Report 2025 reveals that change management and AI training have overtaken talent attraction as the top priorities in the legal profession. The report, presented at the International Bar Association's annual conference in Toronto, highlights that AI is now the foremost concern. Soledad Atienza, co-chair of the commission, said: "Artificial intelligence, political volatility and shifting societal expectations are redefining the legal landscape faster than our capacity to adapt."
LAWSUITS
Perplexity sued by Amazon over 'agentic' shopping tool
Amazon has filed a lawsuit in San Francisco against Perplexity AI, accusing the start-up of committing computer fraud by failing to disclose when Comet, its artificial intelligence browser agent, is shopping on a real person’s behalf, in violation of Amazon’s terms of service. Perplexity’s system posed security risks to customer data, Amazon said, and the start-up had ignored repeated requests to stop. In response, Perplexity accused the online retailer of "bullying," adding: “Amazon should love this. Easier shopping means more transactions and happier customers. But Amazon doesn’t care. They’re more interested in serving you ads, sponsored results, and influencing your purchasing decisions with upsells and confusing offers."
New York court requested to dismiss X hate speech lawsuit
New York has requested a court to dismiss a lawsuit from Elon Musk's X (formerly Twitter) challenging a state law that mandates social media companies to disclose their methods for monitoring hate speech and disinformation. Attorney General Letitia James argues that the Stop Hiding Hate Act is in the public interest, enabling consumers to understand social media platforms while allowing companies to manage content responsibly. X's legal team contends that the law could subject the company to significant fines and legal risks, citing a similar California law previously blocked for free speech concerns.
‘Karen’ lawsuit dismissed by appeals court
A decision to dismiss a New Jersey mother’s lawsuit over children who heckled her and called her a “Karen” at an indoor amusement park has been upheld by an appeals court. The 55-year-old woman was at iPlay America, a massive indoor fun center, with her two children in October 2022 when a worker told her she didn’t meet the height requirement for a go-kart ride. Her protests precipitated the name-calling by other children who were standing in line. The woman’s lawsuit claimed that iPlay America was negligent for not allowing her to take the ride and that the center was responsible for preventing other guests from yelling at her.
CASES
Sam Bankman-Fried’s lawyer says FTX founder’s trial was ‘fundamentally unfair’
Sam Bankman-Fried’s fraud trial was “fundamentally unfair” and the jury only heard “one side of the story,” the FTX founder’s lawyer has told a New York appeals court. Alexandra Shapiro was almost immediately and then repeatedly interrupted by the three-judge panel on the 2nd Circuit U.S. Court of Appeals as she tried to make her case. Bankman-Fried was convicted in November 2023 of seven criminal counts for fraud against customers of FTX and lenders to the hedge fund Alameda Research.
Florida court backs ban on Chinese real estate buyers
A U.S. appeals court has upheld Florida's law restricting real estate purchases by Chinese citizens, saying it does not violate federal law. The 11th U.S. Circuit Court of Appeals ruled that the law, which applies only to those domiciled in China, is valid and motivated by national security concerns. Circuit Judge Robert Luck observed: "National, individual, land, and food security concerns motivated [the law's] enactment." The ruling may inspire similar laws in other states; over 30 have already introduced bills limiting foreign property ownership.
REGULATION
U.S. bank regulator committed to speedy mergers review
Comptroller of the Currency Jonathan Gould has said the agency is committed to promptly reviewing potential bank mergers. Gould said the OCC would not see applications as "inherently worthy of skepticism," in the latest indication that the Trump administration is taking a friendlier approach to deals.
CORPORATE
BDO's First Brand audit painted healthy picture
The Wall Street Journal reports that BDO USA signed off on First Brands’ 2024 financials months before the auto-parts giant collapsed amid a $2bn accounting scandal. The audit failed to reveal billions in off-balance-sheet debt and unpaid financing obligations later uncovered by restructuring advisers. While BDO denied wrongdoing, experts say auditors often miss hidden risks. First Brands filed for bankruptcy, prompting CEO Patrick James’s resignation and a Justice Department probe into missing investor funds and opaque factoring arrangements.
INTERNATIONAL
Lafarge on trial in France on charges of funding jihadists
Cement group Lafarge is on trial in France for allegedly paying jihadist groups, including the Islamic State, to operate its plant in Syria during the civil war there. The company, which pleaded guilty in the U.S. to similar charges, is accused of funding terrorism and violating international sanctions. The trial involves former executives and staff, with Lafarge potentially facing fines of up to $1.2m. The inquiry began in 2017 after media reports and complaints regarding its Syria operations. The trial is expected to last until mid-December.
Bolsonaro seeks review of coup sentence
Jair Bolsonaro, the former President of Brazil, has filed a motion for a review of his recent Supreme Court conviction. He was sentenced to over 27 years in prison for plotting a coup and other crimes. Bolsonaro's legal team aims to overturn the decision, which they believe is unjust. "We are seeking justice," said a spokesperson.

 

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