|Hollywood actor and producer Steven Seagal settled allegations brought by the U.S. Securities and Exchange Commission (SEC) that he failed to disclose the compensation he received for promoting investments in an initial coin offering (ICO) conducted by Bitcoiin2Gen (B2G).|
|Notably, this is not the first time the SEC has brought an action regarding false and misleading celebrity cryptocurrency endorsements.|
|Click here to read the full Alert >>|
Monthly Archives: April 2020
THE WARNINGS WERE REAL: FTC FINES TEAMI, AND SENDS LETTERS TO INFLUENCERS ABOUT INADEQUATE DISCLOSURES
|Teami, LLC (Teami) agreed to settle Federal Trade Commission (FTC) charges that the company made false and unsubstantiated health claims regarding its tea and skincare products and hired influencers who failed to adequately disclose that they were being paid to endorse its products on social media.|
|Notably, the FTC also warned ten celebrity influencers (including Jordin Sparks and Cardi B) about their obligation to disclose their material connections when paid to endorse products on social media.|
|Click here to read the full Alert >>|
When the calendar turned from 2019 to 2020 a mere four months ago, few could have imagined that a novel coronavirus (COVID-19) outbreak would soon disrupt societies across the globe and upend the lives of millions of people. While the coronavirus continues to spread across nations, much of the workforce finds itself confined at home while governments try to slow the transmission of the virus. Read more…
On May 5, 2020, a law1 comes into force that establishes the procedure for experimenting on the use of employment in electronic form without their duplicating on paper documents by certain employers and employees. More detailed rules for experimenting will be set out in the regulations on conducting the experiment, which must be approved by the Russian Ministry of Labor.
Consumer complaints regarding alleged price gouging have been increasing as the COVID-19 pandemic continues. Generally, price gouging occurs when there unreasonable increase the price of a consumer good (or service) during a public emergency. Although we are facing a national emergency, except for a March 23, 2020, executive order issued by President Trump prohibiting hoarding and price gouging of certain critical supplies, there is no federal price gouging law. Although there are proposal pending in Congress to more broadly prohibit price gouging, currently, the issue is primarily governed by state law. Most, but not all, states affected by the pandemic have price gouging laws or orders, which typically provide that a consumer may file a complaint with the state’s consumer affairs department that then may be prosecuted (or otherwise resolved) by the state’s Office of the Attorney General.
By Sharon G. Druker, from our Business Law Practice Group
April 29, 2020 — By press release dated April 27, 2020, the Minister of Justice and Attorney General of Québec announced that for the duration of the COVID-19 public health emergency, legal persons who must hold meetings of their boards of directors, shareholders (in the case of a corporation) and members (in the case of non-profit organizations) can do so remotely, even if their governing documents require in-person attendance or actually prohibit participation in meetings by technological means. This includes corporations, non-profit legal persons governed by Part III of the Companies Act (Quebec), cooperatives (for both annual and special meetings), partnerships, syndicates of co-owners, professional orders, the council of commissioners of a school board and the governing board of an elementary or high school.
Congress has passed the Paycheck Protection Program and Health Care Enhancement Act, increasing the total amount available under the Paycheck Protection Program by $310 billion. Of that sum, $60 billion is set aside for loans to be made through small and very small community banks and credit unions. The bill also includes an increase of $10 billion for EIDL grants, $75 billion to help overwhelmed providers and hospitals, and $25 billion for coronavirus research.
Illinois provides rebuttable presumption to front line workers in COVID-19 workers’ compensation claims
The Illinois Workers’ Compensation Commission approved a new emergency rule that would create a “rebuttable presumption” for any employee of an “essential business” diagnosed with COVID-19. This means that it is likely that employees will obtain workers’ compensation benefits if they are diagnosed with the COVID-19 virus and are working in an essential business.
As the majority of the United States legal community continues to work from home, many courts are proceeding with cases virtually. Hearings that would have required in person attendance are now being held telephonically or over videoconference, and depositions are expected to move forward over video or teleconference. But a virtual court appearance should not be treated any different than an in person court appearance. In a recent case, a judge in Florida admonished an attorney for appearing on a video conference in bed, showing the dangers of approaching virtual court differently than when physically present. Read more…
Perhaps no credit market is as much a bellwether for the economic crisis caused by the COVID-19 pandemic than commercial mortgage-backed securities (CMBS). While the impact of relief programs on consumer-based markets remains to be seen, CMBS offers a broad view into the health of consumers, vulnerable industries, the success of stimulus programs on small and medium-sized businesses and the overall economy. Deals in the pipeline may be in jeopardy as parties re-evaluate their positions and consider the outlook for commercial tenants in vulnerable areas, such as hospitality and retail. Meanwhile, performance of existing deals may be impacted by commercial tenant insolvencies and suspensions of bankruptcy proceedings. Read more…