After triggering rare public dissent, a multipart Delaware General Corporation Law amendment that would let boards cede some governance rights to big stockholders whisked through the state's Senate on Thursday without debate or an opposing vote, with a House vote expected as early as next week.
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TOP NEWS

Contentious Del. Corporate Law Changes Sail Through Senate

By Jeff Montgomery

After triggering rare public dissent, a multipart Delaware General Corporation Law amendment that would let boards cede some governance rights to big stockholders whisked through the state's Senate on Thursday without debate or an opposing vote, with a House vote expected as early as next week.

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Supreme Court Tightens NLRB Injunction Test

By Braden Campbell

The U.S. Supreme Court made it tougher for the National Labor Relations Board to win injunctions against employers Thursday in a case involving Starbucks, directing courts to strictly apply a four-factor test when the board sues to stem alleged unfair labor practices.

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Tesla Shareholders Approve Musk's Compensation Package

By Sarah Jarvis

Tesla's shareholders voted to approve a multibillion-dollar compensation plan for CEO Elon Musk, the company's top lawyer announced Thursday during a meeting in which investors also approved moving the company's incorporation from Delaware to Texas.

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Apple Workers' Suit Says Women Are Paid Less For Same Work

By Hailey Konnath

A pair of Apple workers lodged a proposed class action in California state court Thursday claiming that the company has systematically paid thousands of women less than their male counterparts for substantially similar work for years.

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Visa, Mastercard Fee Deal Not 'Likely' To Get Court Approval

By Hailey Konnath

A New York federal judge said at a hearing Thursday that she will "likely not approve" Mastercard and Visa's proposed settlement in long-running litigation over merchant transaction fees, according to the case docket.

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Goldman Exec's 'Mind Entirely Blown' By Fake Ozy Media Call

By Stewart Bishop

A former Goldman Sachs executive who was looking into taking a stake in Carlos Watson's Ozy Media testified on Thursday that she was floored during a due diligence call when it became clear that someone was impersonating a YouTube executive in an apparent effort to persuade the bank to invest in Watson's startup.

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Tesla Investors Sue Over Musk's Extracurricular xAI Diversion

By Lauren Berg

A union pension fund and two individual investors hit Elon Musk and Tesla's board of directors with a derivative suit Thursday in Delaware Chancery Court over the CEO's breakaway effort to develop a new artificial intelligence venture, xAI, by diverting talent and resources from Tesla's own AI initiative.

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Canadian Businessman Cops To Stealing Tesla Trade Secrets

By Lauren Berg

A Canadian businessman residing in China pled guilty in New York federal court to scheming to sell secret battery manufacturing technology that belongs to Tesla, the U.S. Department of Justice announced Thursday.

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Analysis

How 3 Firms Cleared 2 Ex-Autonomy Execs In HP Fraud Case

By Bonnie Eslinger

A California federal jury's rejection last week of fraud charges against the founder and former finance vice president of British software company Autonomy validated an approach by the defendants' three law firms — Steptoe, Clifford Chance and Bird Marella — to form a "seamless" collaboration throughout the trial, from jury selection to closing arguments.

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POLICY & REGULATION

SEC's Gensler Rethinking AI Advising, Crypto Custody Regs

By Jessica Corso

U.S. Securities and Exchange Commission Chair Gary Gensler told senators Thursday that the agency could rewrite a pair of proposals governing broker-dealers' use of artificial intelligence and the handling of customers' cryptocurrency assets in the wake of "robust" feedback from both supporters and naysayers.

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GOP Lawmakers Want China Patent Data Amid Tech Pact Talks

By Dorothy Atkins

Republican lawmakers are urging the U.S. Commerce Department to provide a full accounting of whether the U.S. government has funded research that resulted in Chinese patents, arguing they need the data to assess potential national security risks as the Biden administration negotiates a new science and technology agreement with China.

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Chinese Officials Promise Response On EV Tariffs

By Jennifer Doherty

A Chinese Foreign Ministry official told reporters on Thursday that Beijing "will take all measures necessary" to combat planned European Union tariffs on its electric-vehicle exports, after Brussels announced preliminary countervailing duty rates of up to 38.1%.

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ENFORCEMENT

FTC's Ferguson Says He's A Law Enforcer, Not A Policymaker

By Matthew Perlman

Recently minted Federal Trade Commissioner Andrew Ferguson said Thursday that he views his new role as a law enforcer and not a policymaker and said the biggest issue for antitrust law right now is dealing with Big Tech.

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FTC Urged To Get Moving On Stalled Privacy Rulemaking

By Allison Grande

Nearly three dozen consumer advocacy groups are calling on the Federal Trade Commission to stop dragging its feet on efforts announced almost two years ago to craft sweeping data privacy and security rules, arguing that time is running out for the agency to clamp down on companies' "historic" drive to amass personal information and track consumers online. 

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LITIGATION

Justices Say 'Trump Too Small' TM Denial No Speech Violation

By Ivan Moreno

The U.S. Supreme Court on Thursday concluded "Trump Too Small" cannot be a registered trademark because it would violate a federal prohibition on using a living person's name without their consent, ruling against a California attorney who said using the phrase should be considered protected political speech.

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Analysis

'Trump Too Small' Opinion Leaves Some Justices, Attys Vexed

By Ivan Moreno

In denying a bid to register "Trump Too Small" as a trademark for apparel, the U.S. Supreme Court unanimously concluded Thursday there was no free speech violation. But Justice Clarence Thomas' opinion leaning on tradition to justify prohibiting names as marks without an individual's consent left some justices and attorneys dissatisfied.

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Textualism Still Dominates Justices' Arbitration Decisions

By Caroline Simson

The U.S. Supreme Court's approach to arbitration issues this past term has helped to exemplify a growing trend by the justices in favor of textualism and away from a less nuanced pro-arbitration mindset that had been favored in previous decades, experts say.

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Chamber Asks DC Circ. To Reject EPA's PFAS Designation

By Juan-Carlos Rodriguez

Three business groups, spearheaded by the U.S. Chamber of Commerce, have gone to the D.C. Circuit to challenge the U.S. Environmental Protection Agency's recent decision to declare two "forever chemicals" to be hazardous materials under federal law.

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9th Circ. Doubts SPAC Investors Can Sue Lucid Over Merger

By Dorothy Atkins

A Ninth Circuit panel appeared skeptical Thursday of investors' bid to revive a proposed class action alleging that Lucid duped them into buying stock in a special-purpose acquisition company ahead of the electric-vehicle maker's $11.75 billion merger, with two of three judges doubting that the SPAC investors have standing to sue.

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Zoom's $150M Investor Deal Nears OK, But $50K Award Iffy

By Bonnie Eslinger

A California federal judge indicated Thursday that he'll preliminarily approve Zoom's $150 million deal to end claims it misled investors by stating that it offered end-to-end encryption on its videoconferencing software, but told the plaintiffs' lawyers, "You're going to have to persuade me" to award the lead plaintiff $50,000.

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Clearview AI Makes 'Unique' BIPA Deal Tied To Future Value

By Lauraann Wood

Plaintiffs in multidistrict litigation targeting Clearview AI's allegedly unlawful practice of "scraping" internet photos to collect biometric facial data told an Illinois federal judge on Wednesday they have struck a "unique" deal giving the class a stake in the company's future growth.

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Chegg Directors, Auditor Beat Academic Cheating Lawsuit

By Jeff Montgomery

Delaware's Court of Chancery has issued a failing grade to a stockholder of online book and study aid giant Chegg Inc. who accused the company of operating as a cheating service for students, dismissing the case for lack of supporting facts.

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Starbucks Must Share Hot-Drink Training Info In Burn Suit

By Danielle Ferguson

Starbucks must turn over information on how it trains employees to handle hot drinks at drive-throughs and on recent complaints received in the Detroit area, a Michigan federal judge said Thursday after finding the information is relevant to a customer's suit alleging she was severely burned when a lid popped off her hot tea cup.

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DirecTV's 'NFL Tax' Gouged Sunday Ticket Buyers, Jury Told

By Craig Clough

DirecTV gouged its Sunday Ticket subscribers by charging 24.6% above the "optimal price" it should have charged if the company was looking to maximize its profits instead of instituting an "NFL tax," an economist told a California federal jury considering multibillion-dollar antitrust claims against the league on Thursday.

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Pryor Cashman Aided Developer Fraud, Owes $5.7M, Cos. Say

By Emma Cueto

New York-based law firm Pryor Cashman LLP has been hit with a $5.7 million lawsuit in state court accusing it of aiding and abetting fraud while representing a real estate developer by allegedly providing false information to another party in a transaction involving a Manhattan property.

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Apple Fights To Ax 'Speculative' IPhone App Antitrust Suit

By Bonnie Eslinger

Apple urged a California federal judge Thursday to toss a proposed antitrust class action alleging the company illegally prevents iPhones from running web-based apps that don't need to be downloaded, arguing consumers don't have standing to bring the "speculative" litigation since they're not directly injured by Apple's agreements with developers.

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Subway Can't Nix Arb. Award To Family Of Murdered Worker

By Gina Kim

A Texas appellate panel on Wednesday declined to vacate an arbitration award to the family of a woman killed while working at Subway after rejecting Subway's argument the neutral arbitrator's Facebook posts complaining about State Farm and its attorneys are evidence of bias, finding neither are involved in the underlying case in any way.

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PEOPLE

Fintech Remitly Hires Ex-Google Compliance Chief

By Sarah Jarvis

Remitly has hired Google's former chief compliance officer to run global compliance and enterprise risk programs at the remittance service, bringing his experience that includes risk leadership positions at TD Ameritrade, Vanguard and Goldman Sachs.

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Longtime Dentons Atty Rejoins Firm After In-House Stint

By Adrian Cruz

Dentons announced that an attorney who previously spent over 25 years at the firm and its preceding organization rejoined its Los Angeles office as a partner in the capital markets practice, following several years of working as general counsel for lending companies.

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Manatt Picks Up Crypto Co. DCG's Legal Head As New Partner

By Emily Sawicki

The former top lawyer for Digital Currency Group has departed the cryptocurrency company to join professional services firm Manatt as a financial services partner based in New York, focusing on blockchain, emerging companies and venture capital, the firm announced Thursday.

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New State Judge, UT Austin Prof Headed To Biz Court

By Catherine Marfin

In his latest round of business court appointments, Texas Gov. Greg Abbott announced Thursday that a recently appointed state court judge and the owner of Sharp Appellate PLLC are his two picks for the new venue's San Antonio-area seats.

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EXPERT ANALYSIS

Where Anti-Discrimination Law Stands 4 Years After Bostock

On the fourth anniversary of the U.S. Supreme Court's landmark Bostock ruling, Evan Parness and Abby Rickeman at Covington take stock of how the decision, which held that Title VII protects employees from discrimination because of their sexual orientation and gender identity, has affected anti-discrimination law at the state and federal levels.

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Wiretap Use In Cartel Probes Likely To Remain An Exception

Although the U.S. Department of Justice's Antitrust Division has recently signaled interest in wiretaps, the use of this technology to capture evidence of antitrust conspiracies and pursue monopolization as a criminal matter has been rare historically, and is likely to remain so, say Carsten Reichel and Will Conway at DLA Piper.

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Updates To CFTC Large Trader Report Rules Leave Questions

The U.S. Commodity Futures Trading Commission's updated large trader position reporting rules for futures and options is a much-needed change that modernizes a rule that had gone largely untouched since the 1980s, but the updates leave important questions unanswered, say Katherine Cooper and Maggie DePoy at BCLP.

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Series

Playing Chess Makes Me A Better Lawyer

There are many ways that chess skills translate directly into lawyer skills, but for me, the bigger career lessons go beyond the direct parallels — playing chess has shown me the value of seeing gradual improvement in and focusing deep concentration on a nonwork endeavor, says attorney Steven Fink.

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LEGAL INDUSTRY

All The World's A Stage For Tony-Nominated Dechert Co-Chair

By Tracey Read

Mark Thierfelder is not only a Dechert LLP co-chair and partner; he’s also a Tony-nominated Broadway producer up for an award this June 16. Here, Law360 Pulse talks to Thierfelder on how he balances his legal work with his creative pursuits.

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Real Estate Broker Claims Lewis Brisbois Breached Deal

By Madison Arnold

A real estate broker who had exclusive rights to represent Lewis Brisbois Bisgaard & Smith LLP has slammed the firm with a breach of contract suit in California state court, alleging its abrupt termination of their deal will cost him millions in commissions.

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Goetz Fitzpatrick To Merge With Platzer Swergold Next Year

By Tracey Read

Goetz Fitzpatrick LLP and Platzer Swergold Goldberg Katz & Jaslow LLP will combine forces next year to create a single New York City firm.

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UK Litigation Roundup: Here's What You Missed In London

By Laura Stewart Liberty

This past week in London has seen toy company Jellycat hit supermarket Aldi with an intellectual property claim, AIG start proceedings against firefighting foam company Angus International Safety Group, and the Solicitors Regulation Authority file a legal claim against the Post Office amid the ongoing Horizon IT scandal. Here, Law360 looks at these and other new claims in the U.K.

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LAW FIRMS IN TODAY'S NEWS

Altshuler Berzon

Arnold & Porter

Bathaee Dunne

Baute Crochetiere

Bird Marella

Brown Rudnick

Bryan Cave

Cahill Gordon

Capsticks Solicitors LLP

Clifford Chance

Cohen Milstein

Constantine Cannon

Cooley LLP

Covington & Burling

DLA Piper

Davis Polk

Dechert LLP

Dentons

Dykema Gossett

Feldheim & Wilenkin

Fenwick & West

Foster Swift

Frankfurt Kurnit

Freed Kanner

Fried Frank

Gibbs & Bruns

Gibson Dunn

Goetz Fitzpatrick

Grant & Eisenhofer

Guerra LLP

Gupta Wessler

Hamlins LLP

Hausfeld LLP

Heyman Enerio

Hill Dickinson

Hilliard & Shadowen

Hogan Lovells

Holwell Shuster

Hunton Andrews

Jones Day

K&L Gates

Kauff Laton

Labaton Keller

Langer Grogan

Law Office of Steven J. Fink PLLC

Lewis Brisbois

Littler Mendelson

Loevy & Loevy

Lynch Thompson

Manatt Phelps

Mayer Brown

McDermott Will & Emery

Mintz Levin

Morris Nichols

Nussbaum Law Group

O'Melveny & Myers

Outten & Golden

Owen & Fazio

Paul Weiss

Pillsbury & Coleman

Pinsent Masons

Platzer Swergold

Pomerantz LLP

Pryor Cashman

Robbins Geller

Saxena White

Schall Law

Simpson Thacher & Bartlett LLP

Skadden Arps

St John & St John

Steptoe LLP

Sullivan & Cromwell

Susman Godfrey

Vorys

Walters Balido

Wilkinson Stekloff

Williams & Connolly

Willkie Farr

Wilson Browne Solicitors

Wilson Sonsini

Wright Close & Barger

Zaiwalla & Co

gunnercooke LLP

COMPANIES IN TODAY'S NEWS

7-Eleven Inc.

Activision Blizzard Inc.

Aldi GmbH & Co. KG

Amazon.com Inc.

American Bar Association

American International Group Inc.

Apple Inc.

Associated General Contractors of America

Bregal Investments Inc.

ByteDance Ltd.

Catholic Relief Services

Chegg Inc.

Consumer Federation of America

Delaware State Bar Association

Deloitte Touche Tohmatsu Ltd.

Digital Currency Group Inc.

ESPN Inc.

Epic Games Inc.

Federal Bar Association

Futures Industry Association

Google LLC

GrubHub Inc.

Harvard University

Heathrow Airport Holdings Ltd.

JPMorgan Chase & Co.

Jaguar Land Rover Ltd.

Johnson Controls International PLC

Kuwait Finance House KSC

Lambda Legal Defense & Educational Fund

Lex Machina Inc.

LexisNexis Legal & Professional

LinkedIn Corp.

London Stock Exchange Group PLC

Loyola University New Orleans

Lucid Motors

Macy's Inc.

Major League Baseball Inc.

Marks & Spencer

MasterCard Inc.

Mercedes-Benz USA LLC

Meta Platforms Inc.

Microsoft Corp.

Moelis & Co.

NFL Enterprises LLC

National Basketball Association Inc.

National Hockey League

Natural Resources Defense Council

New York University

OSI Systems Inc.

Pearson PLC

Pew Research Center

Princeton University

RELX PLC

Rapiscan Systems Inc.

Rolls-Royce Motor Cars

SAIC Inc.

Solicitors Regulation Authority Ltd.

Starbucks Corp.

State Bar of Texas

Stellantis NV

Stolt-Nielsen SA

T-Mobile US Inc.

TD Ameritrade Holding Corp.

Target Corp.

Tesla Inc.

The American Law Institute

The DIRECTV Group Inc.

The Goldman Sachs Group Inc.

The Procter & Gamble Co.

The State University of New York

TikTok Inc.

Truist Financial Corp.

Twitter Inc.

U.S. Chamber of Commerce

UCLA School of Law

Visa Inc.

Volkswagen AG

YouTube Inc.

Zoom Video Communications Inc.

GOVERNMENT AGENCIES IN TODAY'S NEWS

California Public Employees' Retirement System

Commodity Futures Trading Commission

Congressional Research Service

Delaware Court of Chancery

Equal Employment Opportunity Commission

European Commission

European Union

Federal Bureau of Investigation

Federal Reserve System

Federal Trade Commission

Food and Drug Administration

Internal Revenue Service

National Labor Relations Board

New York Attorney General's Office

Texas Supreme Court

U.S. Attorney's Office

U.S. Attorney's Office for the Eastern District of New York

U.S. Attorney's Office for the Northern District of California

U.S. Court of Appeals for the District of Columbia Circuit

U.S. Court of Appeals for the Eleventh Circuit

U.S. Court of Appeals for the Fourth Circuit

U.S. Court of Appeals for the Ninth Circuit

U.S. Department of Commerce

U.S. Department of Justice

U.S. District Court for the Central District of California

U.S. District Court for the District of Idaho

U.S. District Court for the District of Maryland

U.S. District Court for the Eastern District of California

U.S. District Court for the Eastern District of Michigan

U.S. District Court for the Eastern District of New York

U.S. District Court for the Northern District of California

U.S. District Court for the Northern District of Illinois

U.S. District Court for the Southern District of Florida

U.S. Environmental Protection Agency

U.S. House of Representatives

U.S. Patent and Trademark Office

U.S. Securities and Exchange Commission

U.S. Supreme Court

World Trade Organization