Keep your finger on the legal world's pulse

A federal judge in New Mexico has ordered Meta to pay $25bn after ruling that it deliberately misled the public about its handling of Facebook user data. Judge Francis Mathew said communications between senior executives were designed to mislead the public. "Facebook's wrongdoing - over the course of years and systematically broadcast to the public - goes to the heart of Facebook's core business practices," Mathew wrote. He found that a penalty of more than $219bn was warranted based on state law, ​but he reduced the figure to $25bn. The penalty would be among the largest payouts in U.S. legal history if it stands. New Mexico Attorney General Raúl Torrez said the money must be spent on building schools. “We may have in fact paid for the construction of schools for the next several hundred years,” Torrez said. “I don’t actually know because the amounts that we’re dealing with are so huge.”

 

Bloomberg

Reuters

CNN is escalating its conflict with President Trump, threatening legal action against the Department of Justice (DOJ) if the White House continues to block the network's access to essential press areas. In a letter, CNN's attorney Ted Boutrous said “these efforts to retaliate and discriminate against CNN based on the content of its news coverage are mistaken, counterproductive, and unlawful.” Boutrous said that the spaces in question belong to all Americans, not just the current administration. The dispute follows a federal judge's order restoring CNN's access after Trump attempted to ban the network from the White House. The ongoing tensions underscore the president's long-standing feud with CNN, which he has accused of spreading “fake news.”

 

The Hill

Gellert Global Group, represented by the Liberty Justice Center, has filed a lawsuit in the U.S. Court of International Trade challenging President Donald Trump’s 50% tariffs on Canadian imports. The lawsuit argues that Mr. Trump exceeded his presidential authority by invoking Section 338 of the Tariff Act of 1930, a previously unused provision, to impose sweeping trade restrictions. The company says the tariffs have increased costs, disrupted supply chains, and harmed businesses and consumers in both countries. The legal challenge also disputes the administration’s justification for the measures, citing existing trade agreements and retaliatory Canadian policies. The plaintiffs are seeking a declaration that the tariffs are unlawful and refunds of duties paid. The Trump administration has pledged to defend the measures in court.

 

CBC News

CNBC

New York Times

Reuters

Chinese online retailer Temu has agreed to settle data privacy claims raised by Texas and will ​restrict how it handles personal data from shoppers in the state. The settlement mandates that personal information belonging to Texas shoppers be held on U.S. servers that are owned and controlled by American entities. The data in the retailer's shopping apps is to be submitted to annual security testing by a third-party. Similar privacy suits in Missouri, Arizona and several other states are pending.

 

Reuters

Wall Street Journal

Yahoo Finance

The Trump administration has requested the Supreme Court to allow the continuation of the construction of a border wall in a region of West Texas that includes Big Bend National Park. The request follows a federal judge's injunction that halted the project due to a lawsuit from the Center for Biological Diversity and other local groups. The lawsuit challenges waivers issued by the Department of Homeland Security, which expedited construction while avoiding the application of environmental and conservation laws. U.S. District Judge Kathleen Cardone ruled that the waivers exceeded the authority of former Secretary Kristi Noem and current Secretary Markwayne Mullin.

 

U.S. News

The identification of two critical vulnerabilities in PHP, a programming language which underpins around 70% of the world’s websites, has led to government agencies and businesses worldwide taking their websites offline. In the U.S., Utah-based HR software company BambooHR took its platform offline, Human Resources Director reports. The flaws could allow hackers to take control of web servers without a password. The organization behind the language issued a patch on Wednesday after researchers testing cyberdefenses discovered the flaws. Prof Alan Woodward, a cybersecurity expert at Surrey University in the U.K., said: “The big thing is for everyone using [the patch] to get that in to make sure their systems are safe. The troubling part is there is going to be a long tail of websites who may not be maintained as well and they are going to remain vulnerable, which means we may see weeks and months of ongoing attacks.”

 

Bloomberg

Human Resources Director

NBC News

BBC News

The U.S. Social Security Administration (SSA) has corrected nearly 15% of active Social Security number records in what it describes as the most comprehensive database cleanup in its 91-year history. The initiative, part of the Trump administration's efforts to combat fraud and waste in federal benefits programs, involved adding 17m missing dates of death and updating approximately 25 million records with previously missing citizenship information. The citizenship updates used data from the Department of Homeland Security's Systematic Alien Verification for Entitlements (SAVE) service. The SSA, which maintains nearly 390 million records, is also working to correct another 8.5m records containing inaccurate citizenship information.

 

Reuters

American law firms are gaining ground on their English rivals in the battle to recruit top legal talent, with three U.S. practices ranking among the five most popular employers for trainee solicitors. Kirkland & Ellis topped the rankings, followed by HSF Kramer, while Latham & Watkins placed third. The growing appeal of U.S. firms is largely attributed to their significantly higher salaries: newly qualified lawyers earn an average £168,000, compared with £109,600 at City firms and £109,000 at national English firms. Quinn Emanuel leads the pay rankings at £189,000 ($253,000). However, research found that trainees at elite English firms work longer hours on average: 53 hours a week compared with 49 at U.S. firms. A survey of more than 1,000 trainees found that workplace culture and reputation remained important factors when choosing an employer.

 

The Times

Andrew Jacobs has joined Greenberg Traurig as a shareholder in its finance practice, based in Westchester County and New York. He specializes in advising major investment and commercial banks, private credit providers, hedge funds, and institutional lenders on complex financing transactions. His expertise includes syndicated lending, leveraged buyouts, acquisition financings, restructurings, and distressed debt matters. Jacobs previously worked at Winston Taylor.

 

Bloomberg Law

Fortescue Metals Group, one of Australia's largest mining companies, has terminated a senior executive following an investigation into allegations of sexual harassment and bullying. The independent inquiry, conducted by law firm MinterEllison, confirmed the claims, precipitating the immediate dismissal of the unnamed executive. A company spokesperson said: “The investigation found conduct that breached Fortescue's policies, as well as our values.” Fortescue, which said it is committed to a safe and respectful workplace, is also facing a class-action lawsuit in the Federal Court, alleging widespread sexual harassment and discrimination against women at its iron ore mines. The lawsuit includes 45 testimonials detailing serious incidents of misconduct. Andrew Forrest, Fortescue's chairman, has previously described the allegations as “serious” and “disturbing,” and said such behavior is unacceptable.

 

Sydney Morning Herald

The growing popularity of GLP-1 weight-loss drugs, including Ozempic and Mounjaro, has boosted demand for cobblers, tailors, and secondhand clothing retailers as Americans seek affordable ways to adjust their wardrobes. With approximately 11% of U.S. adults taking GLP-1 medications for weight loss, Cobblers Direct has reported double-digit annual growth in belt-shortening services, now handling up to 500 belts weekly. A survey found that 80% of GLP-1 users are wearing ill-fitting clothes, while many are delaying new purchases because of fluctuating weight and financial pressures. Secondhand retailer ThredUp has benefited from consumers shifting toward smaller clothing sizes, while Stitch Fix estimates that at least 20% of its new clients use GLP-1 medications.

 

Reuters