US Quarterly Fee Differential Ruled Unconstitutional
: On May 25, 2021, the U.S. Court of Appeals for the Second Circuit reaffirmed the U.S. Constitution’s requirement of uniformity in bankruptcy legislation and rulemaking.
Legal Developments
Franchised Businesses Take Note: Biometric Privacy Laws and Liability
Modeled after the Illinois Biometric Information Privacy Act, New York City’s biometric privacy law requires consumer establishments to post signs advising patrons of their rights.
President Biden’s Cybersecurity Executive Order Will Increase Compliance Obligations on the Private Sector
Companies providing information technology products and services to U.S. government agencies are now required to notify such agencies of cyber incidents and meet specific cybersecurity standards.
New Standard Contractual Clauses for Cross-Border Transfer of EU Personal Data Released
The European Commission has published updated versions of the standard contractual clauses for international transfers of personal data from the European Union (“EU”), enabling businesses to account for a variety of complex data transfers.
New York Court of Appeals Holds No Bankruptcy Preemption of Lender Tort Claims Against Related Third Parties
The State of New York Court of Appeals has held that claims against non-debtor related parties, based on their actions to aid or induce Chapter 11 debtors to breach contractual loan covenants, were not subject to preemption under federal bankruptcy law.
Railroaded: Should Big Tech be Regulated like 19th Century Railroads?
Jonathan Broder, former GC of Conrail and current Temple Law Adjunct Professor, discusses the growing movement to regulate Big Tech as public utilities and the obstacles to doing so.
Action-Snacked Year: Food Labeling Class Actions On The Rise
Consumer class action lawsuits targeting foods for alleged false and misleading labeling rose sharply in 2020. Although this trend may appear to threaten the food and beverage industry, courts are applying the “reasonable consumer” standard with a “real world” perspective, dismissing cases despite plaintiffs’ alleged subjective confusion about the labeling at issue because the hypothetical “reasonable consumer” would not have been misled.
Supreme Court Issues Highly Anticipated Decision in NCAA Antitrust Suit
The Supreme Court has unanimously ruled that the National Collegiate Athletic Association (NCAA) rules restricting student-athletes’ educational benefits are not entitled to deference under the antitrust laws and are subject to antitrust scrutiny under a “rule-of-reason” analysis.
Modernization of Intellectual Property Laws Under the New Consolidated Appropriations Act, 2021
The Consolidated Appropriations Act, 2021 (the act) was passed by Congress on December 21 and signed by President Donald Trump on December 27, 2020. The act includes not only amendments to the Paycheck Protection Program (PPP), but also significant changes to copyright and trademark laws.
CFPB Adopts Strict Liability Standard for Debt Collectors Who Sue or Threaten Suit Over Time-Barred Debt
On January 19, 2021, the Consumer Financial Protection Bureau (CFPB) published its final debt collection rules in the Federal Register, including 12 C.F.R. § 1006.26(b), which prohibits collections of time-barred debt. Under the new rules, collectors who sue or threaten to sue consumers for time-barred or “zombie” debts ‒ debts for which the statute of limitations already expired ‒ violate the Fair Debt Collection Practices Act (FDCPA).