Keep your finger on the legal world's pulse
2nd March 2026
 
THE HOT STORY
Delaware Supreme Court upholds corporate law overhaul
Delaware's top court has upheld a 2025 law that overhauled the state's widely used corporate code to limit lawsuits against powerful business leaders.  Under the law, known as Senate Bill 21, if a deal is approved by a board committee that has a majority of independent directors or if it is approved by a vote by public shareholders, investors cannot challenge it in court. Previously, both steps were required and the board committee had to be entirely made up of independent directors. Governor Matt Meyer said in a statement: “This past year was a period of monumental growth for Delaware, with a sharp increase in corporate incorporations in 2025, both in absolute terms and relative to other states. In short, SB-21 is working, and I’m glad it will continue to be the law.”  
LAWSUITS
Anthropic to challenge supply chain risk designation in court
AI firm Anthropic said on Friday it will challenge in court the Pentagon's decision to declare it a supply chain risk, hours after U.S. President Donald Trump directed every federal agency to stop work with the company. The Wall Street Journal reports that Trump launched a major air attack in Iran with the help of Anthropic tools just hours after declaring that the federal government will end its use of the firm's AI models. Commands around the world, including U.S. Central Command in the Middle East, use Anthropic’s Claude AI tool, according to people familiar with the matter. 
NY transit authority threatens lawsuit over halted subway funding
The Metropolitan Transportation Authority (MTA) has issued a warning to the Trump administration, indicating it will sue if it does not receive approximately $60m in funding by March 6 for a stalled subway extension project. CEO Janno Lieber said during a board meeting that the agency is actively seeking the release of the suspended funds to keep the project on schedule.
EMPLOYMENT LAW
AI deepfakes spark new workplace disputes
The misuse of AI to create fake, sexually explicit content is precipitating workplace disputes and potential liability for employers. Lawsuits have emerged, including cases from a Washington State Patrol trooper and a Nashville TV meteorologist, who claim their employers failed to address AI-generated harassment. Robert T. Szyba, a partner at Seyfarth Shaw, observes: "The advent of deepfakes . . . presents employers with a whole new frontier of challenges."
CASES
IRS wins court battle over sharing data with ICE
A federal appeals court has ruled that the IRS can continue sharing taxpayer data with U.S. Immigration and Customs Enforcement (ICE), rejecting a request from the immigrant rights group Centro de Trabajadores Unidos. The court found that the nonprofit's claims were unlikely to succeed, as the shared information is not protected by IRS privacy laws. Judge Harry T. Edwards said: “the nonprofit groups are unlikely to succeed on the merits of their claim.” Attorney General Pam Bondi hailed the decision as a “crucial victory” for the administration. The data-sharing agreement, signed by Treasury Secretary Scott Bessent and Homeland Security Secretary Kristi Noem, has faced criticism, leading to the resignation of the IRS acting commissioner last year. Recent filings revealed that the IRS mistakenly shared information of thousands with the Department of Homeland Security.
LEGAL TECH
Harvey teams up with Intapp to integrate ethical wall enforcement
Harvey has partnered with legal tech firm Intapp to integrate ethical wall enforcement into its legal AI platform. The collaboration aims to address ethical and data governance concerns as lawyers increasingly use AI to ensure compliance with confidentiality, attorney-client privileges, and regulatory standards. Intapp's ethical wall solution will sync with Harvey's access controls, thereby allowing firms to maintain governance throughout AI interactions. Intapp's CEO stressed the importance of professional responsibility, while Harvey's CEO noted the necessity of enforcing established ethical standards in AI applications.
REGULATION
SEC adopts final rules for holding foreign insiders accountable
The Securities and Exchange Commission has adopted final rule and form amendments to reflect the requirements of the recently enacted Holding Foreign Insiders Accountable Act (HFIA), which will increase transparency into the holdings and transactions of directors and officers of foreign private issuers (FPIs). Directors and officers of FPIs with a class of equity securities registered under Section 12 of the Securities Exchange Act of 1934 (Exchange Act) must begin disclosing their holdings and transactions in the FPI’s equity securities on March 18, 2026, the effective date of the HFIA Act. 
TECHNOLOGY
AI ‘pilots’ fall out of favor as companies push for real results
Large corporations are increasingly avoiding the term “pilot” when discussing AI initiatives, as the word has come to signal stalled progress rather than innovation. While companies continue to promote their AI ambitions, references to “pilots” on earnings calls fell about 18% in the fourth quarter of 2025 compared with the prior quarter, according to AlphaSense. Once viewed positively by investors as a sign of experimentation and early adoption, AI pilots are now often associated with projects that fail to scale or deliver measurable financial impact. A 2025 MIT study found that 95% of enterprise AI pilots did not produce meaningful financial results, reinforcing skepticism and giving rise to phrases like “Pilot Purgatory” to describe initiatives that never move beyond testing.
INTERNATIONAL
BASF examines legal claims by U.S. subsidiary for tariff reimbursement
BASF CEO Markus Kamieth has said that if the German chemical group finds its U.S. unit has a legal claim, it will sue for import tariff reimbursement after the U.S. Supreme Court nixed many of President Donald Trump's tariffs. "If this change in regulations does indeed result in a legal title for BASF Corporation, we of course have a fiduciary duty to pursue this claim," he said.
Milan prosecutors move against Deliveroo
Prosecutors in Milan have placed the Italian unit of food delivery platform Deliveroo under judicial supervision and its chief executive under investigation for alleged exploitation of workers, according to documents seen by Reuters.  The prosecutors have appointed a judicial administrator to oversee the company to "regularize" its workers and to monitor compliance with labor rules and conditions. The U.K.-based business was acquired last year by U.S. meal delivery company DoorDash for about £2.9bn ($3.92bn).
OTHER
U.S. aims to bring in 4,500 white South Africans each month
The U.S. aims to process 4,500 refugee applications from white South Africans each month - significantly exceeding President Donald Trump's stated cap of 7,500 refugees for fiscal year 2026. A U.S. State Department document dated January 27 details the target, which seeks to ramp up admissions from South Africa amid a backdrop of curtailed applications from other regions. As of January 31, only 2,000 white South Africans had entered the U.S. under a program initiated in May 2025. Administrative delays have recently halted all refugee travel, including for South Africans.

 

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

Follow us on FacebookFollow us on XFollow us on Linkedin

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

Click here to unsubscribe