Legal Updates

Federal Court Extends TRO to Enjoin Enforcement of New California Arbitration Statute

As we recently wrote here, on December 29, 2019, just days before California’s new arbitration statute known as AB 51 was to go into effect, a federal judge in the United States District Court of the Eastern District of California granted a temporary restraining order (“TRO”) to enjoin enforcement of AB 51.

The new law, which was set to go into effect on January 1, 2020, would outlaw mandatory arbitration agreements with employees.

Read full article

Your Compass for Navigating Claims in a Hard Market

An increase in underwriting discipline has seen a rise in premiums and reduction in the availability of cover for professional indemnity (PI) insurance. Aoife Skehan navigates PI claims in a hard market

In Brief: Insurers have started to take steps to return to underwriting profitability which has resulted in a hardening of the market, causing contraction in the availability of coverage as well as premiums to rise, particularly for PI risks. Insurers and their insureds will require a defence panel firm which can navigate changing claims behaviours in this market. Careful policy coverage investigations are necessary which include robust assessments of liability and quantum, timely conclusion of claims and value for money.

Read full article

Legal Updates 2020-01-12

On July 9, 2019 the Plenum of the Supreme Court of the Russian Federation approved the Resolution. №4 “On the application of private international law by the courts of the Russian Federation” (hereinafter – the Resolution). The Resolution contains clarifications on most practical issues regarding the procedure of the choice of applicable law by courts while resolving disputes complicated by a foreign element. The Resolution, particularly, explains the following issues:
1. The concept of a foreign element
The Resolution specifies that the list of foreign elements given in para 1  Art. 1186 of the Civil Code of the Russian Federation is not exhaustive. –In particularan act committed abroad or occurrence of an event (legal fact) outside the Russian territory might be considered as foreign element.
Read full article

DOJ False Claims Act Recoveries FY 2019: Total Collections Rise – Almost 90 Percent Relate to Health Care

Through a January 9, 2020, press release, the Department of Justice (“DOJ”) reported more than $3 billion in total recoveries from settlements and judgments from fraud-related civil matters brought under the False Claims Act (“FCA”) for fiscal year (“FY”) 2019. An increase over the $2.9 billion recovered in FY 2018, FY 2019 reflected the ninth highest amount of recoveries in the past 30 years. The accompanying statistics released by DOJ reflect several themes related to FCA enforcement concerning the health care and life sciences industry.

Read full article

California State Court Judge Rules That Controversial New Independent Contractor Law Does Not Apply To Approximately 70,000 Independent Truckers

Following the challenges to AB 5, California’s controversial new independent contractor law, can be a difficult endeavor.  Every day seems to bring a new development.

We have written before about the hasty passage of the statute, about a ballot initiative to escape the scope of the law by ride-share and delivery companies, and challenges by independent truckers, freelance journalists and photographers, and ride-share and delivery companies.

Read full article

7 Hot Health Care Industry Sectors for Investment, Growth & Consolidation in 2020

Based on their extensive experience advising health care industry clients, Epstein Becker Green attorneys and strategic advisors from EBG Advisors are predicting the “hot” health care sectors for investment, growth, and consolidation in 2020.  These predictions for 2020 are largely based on the increasing confluence of the following three key “drivers” of health industry transformation that is substantially underway:

Read full article

EPIC Files Complaint with FTC Regarding AI-Based Facial Scanning Software

As we have previously blogged, use of third-party digital hiring platforms to select job applicants using video interviews can present an array of potential legal issues. A recent Complaint filed with the Federal Trade Commission (“FTC”) by a consumer advocacy organization, Electronic Privacy Information Center (“EPIC”), illustrates some of those potential pitfalls. EPIC asks the FTC to investigate the recruiting technology company HireVue for alleged discriminatory screening of job applicants through its face-scanning software. HireVue asks job applicants to video-record answers to pre-approved questions and upload those recordings. HireVue then uses artificial intelligence (“AI”) to scan applicants’ faces during the recorded answers to analyze facial expressions and grade applicants’ expressions according to a non-public rubric.

Read full article

New State and Local Minimum Wage Increases Have Taken Effect Throughout The Country

With the start of the New Year, new state and local minimum wage increases have gone into effect for non-exempt employees across the country.

The chart below summarizes the new minimum wage rates that went into effect on January 1, 2020, unless otherwise indicated.  (More will take effect July 1, 2020.)

Read full article

The Insolvency and Bankruptcy Code (Amendment) Ordinance, 2019 : New amendments and its implications

The Insolvency and Bankruptcy Code, 2016 (“Code”) has been amended through promulgation of the Insolvency and Bankruptcy Code (Amendment) Ordinance, 2019 (“Ordinance”) on December 28, 2019. The Ordinance amends the Code to inter-alia, prescribe the threshold for financial creditors of certain specified categories to initiate the resolution process; clarification with respect to persons that are not entitled to initiate the insolvency resolution process, etc. amongst other amendments that have been introduced. Some of the salient features of the Ordinance are enumerated herein below:

Read full article

Mandatory Severance on the Horizon Under Proposed Amendments to NJ Warn Act

A bill to amend the New Jersey Millville Dallas Airmotive Plant Loss Job Notification Act, also commonly referred to as the New Jersey WARN Act (“NJ WARN Act”), which the New Jersey Senate passed on December 16, 2019, if enacted, will create significant financial liability for covered New Jersey employers that undergo a mass layoff, or a transfer or termination of operations, by requiring the employer pay severance to both full-time and part-time employees.

Read full article