Keep your finger on the legal world's pulse

The U.S. Supreme Court ruled 8-1 in favor of the Federal Communications Commission (FCC), affirming its system for imposing fines on wireless carriers AT&T and Verizon. The ruling addressed whether the FCC's internal proceedings violated the companies' constitutional right to a jury trial. The FCC had fined AT&T $57m and Verizon nearly $47m for unlawfully selling customer location data without consent. The court's decision supports the FCC's authority to assess penalties, with Justice Department lawyers arguing that companies can challenge these assessments in court. The ruling follows a split among regional appellate courts regarding the legality of the FCC's procedures.

 

Chicago Tribune

U.S. News

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Judges are increasingly regulating the use of generative AI in litigation, as seen in two recent federal court cases: Jeffries v. Harcros Chemicals, Inc. and Morgan v. V2X, Inc. These rulings emphasize the need for protective measures to address confidentiality and data privacy risks associated with public AI tools. The Jeffries court prohibited litigants from uploading documents to public AI tools, stating that such restrictions “incentiviz[ed] more fulsome document production.” Meanwhile, the Morgan court established minimum contractual terms for AI tools, highlighting the importance of vendor terms in data handling. Both decisions signal a shift towards judicial scrutiny of AI use in discovery, with courts expecting parties to proactively address AI-related issues. As Darryl Graham, a partner at Akerman, notes: “Courts will increasingly demand that its use... be transparent, controlled, and documented.” The evolving landscape suggests that parties should prepare for heightened scrutiny regarding AI in litigation.

 

Bloomberg Law

Kirkland & Ellis has announced a significant investment of $500m in artificial intelligence, signaling its commitment to the technology. However, this move raises questions among clients about potential cost reductions. As noted by Casey Flaherty, a partner at Baretz + Brunelle, clients are asking: “Where is my AI discount?” Despite the substantial investment, it represents less than 1% of Kirkland's annual revenue, which surpassed $10bn in 2025. The firm’s AI spending aligns with corporate America’s investment levels, suggesting that while the commitment is notable, it may not lead to immediate changes in pricing models. Flaherty emphasizes that the focus on discounts could overshadow the potential benefits of AI, as firms must first create savings before passing them on to clients.

 

Bloomberg Law

Susan Davis, managing partner of Cohen, Weiss and Simon, warns that President Donald Trump's proposed non-disclosure agreement (NDA) for federal employees could significantly undermine their rights and protections. The Office of Personnel Management's rulemaking may affect around 2m federal workers, broadly restricting the disclosure of internal agency information. Davis highlights that while the NDA claims to uphold legal obligations, its expansive scope could deter employees from reporting misconduct. Davis concludes that the NDA is seen as part of a broader strategy to silence federal employees and conceal workplace abuses, raising the likelihood of legal challenges against this initiative.

 

Bloomberg Law

National Labor Relations Board (NLRB) officials, including General Counsel Crystal Carey and Chair James Murphy, have urged lawmakers to approve increased funding to tackle staffing shortages and a significant case backlog. During a House subcommittee hearing, they expressed that proposed cuts in the latest labor appropriations bill would be “disastrous” for the agency's mission. The House Appropriations Committee's budget plan suggests a reduction in the NLRB's budget to $200m, down from the $285m requested by the president. This funding crisis poses serious challenges for the NLRB's operations and effectiveness.

 

Bloomberg Law

The U.S. Supreme Court recently issued a ruling that further undermines the Voting Rights Act, allowing Alabama to implement a congressional redistricting map that favors Republicans by eliminating a district where Black voters had previously elected a Democrat. This decision follows a pattern of the court's conservative majority dismantling protections established by the 1965 Act, prompting concerns about increased gerrymandering. UCLA law professor Richard Hasen remarked, "They've closed the door on intentional discrimination claims," highlighting the challenges Congress faces in protecting minority voting rights. The ruling has raised alarms about the potential for chaotic electoral changes, as states may now make last-minute adjustments without federal oversight, leading to "perverse incentives" for gerrymandering.

 

NPR / National Public Radio

Brady, a nonprofit gun control advocacy group, has filed a lawsuit against the Bureau of Alcohol, Tobacco, Firearms and Explosives (ATF) and the Department of Justice (DOJ) for failing to release information about the largest sellers of crime guns in the U.S. The lawsuit, filed in the U.S. District Court for the District of Columbia, seeks to compel the ATF to disclose Demand Letter 2s, which identify gun dealers selling 25 or more firearms recovered at crime scenes annually. Josh Scharff, Brady's general counsel, stated, "This is information that will save lives," emphasizing the need for transparency to enhance public safety. The ATF has withheld these documents, citing concerns over personal privacy and trade secrets. This legal action follows the ATF's recent pause of the Demand Letter program, which has faced criticism from gun rights groups. Scharff argues that the ATF's refusal to release documents aligns with a broader trend of catering to the gun industry, threatening public safety.

 

NPR / National Public Radio

The U.S. Supreme Court ruled unanimously on June 4 that Hikma's generic version of Amarin Pharma's Vascepa does not infringe on Amarin's patents. This decision, which overturned a lower court's ruling, is expected to reduce the vulnerability of generic drugmakers to patent lawsuits involving "skinny labels." Hikma's generic was approved by the FDA solely for treating severe hypertriglyceridemia, omitting uses covered by Amarin's patents. Hikma argued that allowing lawsuits like Amarin's could discourage the production of lower-cost drugs, potentially raising U.S. drug prices.

 

U.S. News

U.S. President Donald Trump's legal team has declined to provide financial information requested by BBC lawyers in connection with his $10bn defamation case against the broadcaster. According to the Financial Times, which cited court filings, Trump's refusal to comply with the request has raised questions about the ongoing legal battle.

 

Financial Times

U.S. News

The Justice Department's recent announcement regarding health care fraud enforcement marks a significant legal development for companies in regulated sectors. Federal authorities are intensifying their focus on fraud schemes related to health care billing and reimbursement, emphasizing that the sector remains a top enforcement priority. Legal professionals should note that this trend indicates a coordinated effort among DOJ prosecutors, law enforcement, and regulators to utilize data-driven fraud detection and pursue both individuals and corporations. As stated, "health care remains one of the most litigation-exposed sectors in the country." Companies must prioritize compliance and be prepared for potential investigations that could lead to civil and criminal repercussions. This renewed focus underscores the importance of maintaining robust compliance measures to mitigate enterprise-level litigation risks.

 

Legal Tech Monitor

Dunn Isaacson Rhee, a litigation boutique founded in Washington, D.C., is introducing special bonuses for its associates, ranging from $10,000 to $25,000 based on seniority. The firm was established by Karen Dunn, Jeannie Rhee, William Isaacson, and Jessica Phillips, who previously worked at Paul Weiss Rifkind Wharton & Garrison. The firm has since expanded its team by recruiting over a dozen former Paul Weiss attorneys and others from major firms like Willkie Farr. The memo detailing the bonuses was reviewed by Bloomberg Law, which noted the firm's strategic move to attract and retain talent in a competitive legal market.

 

Bloomberg Law