The U.S. Judicial Conference recently took an important step toward addressing electronic discovery issues by approving proposed amendments to the Federal Rule of Civil Procedure that will force e-discovery issues to be addressed early in the litigation process and protect companies from having to dig up data that is not reasonably accessible. Although the amendments […]
Martinek Paul J.
Posted inFrom the Archive
FTC Counsel Resets Rhetoric On ‘Gun Jumping’ Activities
The general counsel of the Federal Trade Commission has clarified that “gun jumping” prohibitions in antitrust laws should not prohibit merging parties from engaging in legitimate pre-merger activities. Blumenthal “[M]any forms of pre-merger coordination are reasonable and even necessary and … care needs to be taken not unduly to jeopardize the ability of merging firms […]
Posted inRegulatory Enforcement
Ineffective Compliance Program Violates False Claims Act?
In a closely watched case, the U.S. government is for the first time arguing that an ineffective compliance program could be enough to constitute a violation of the False Claims Act—the federal law that imposes liability for knowingly submitting to the government a false or fraudulent claim for payment. Shepard The suit, against Merck-Medco Managed […]
Posted inEthics & Culture
Labor Law Violation Shouldn’t Impact Ethics Programs
A ruling by a federal appeals court last month that a company violated federal labor law by implementing a workplace ethics program without union consultation might seem like bad news for companies struggling to satisfy ethics mandates. Servodidio But Thomas Servodidio, a partner with Duane Morris in Philadelphia, tells Compliance Week that companies needn’t be […]
Posted inTechnology
“Zubulake” Decisions Raise Expectations For E-Records
A series of rulings by a federal judge in New York have significantly raised expectations for corporations and their lawyers when it comes to preserving electronic evidence in the face of threatened litigation, experts tell Compliance Week. Kotler The often-cited rulings by U.S. District Court Judge Shira A. Scheindlin came in an employment discrimination suit […]
Posted inRegulatory Enforcement
Application Of SOX To Foreign Whistleblowers Uncertain
This is the second of a two-part look at issues arising under the whistleblower provisions of the Sarbanes-Oxley Act. The first article dealt with private subsidiaries of publicly owned companies, and is available from the box at right. Although the Sarbanes-Oxley Act has been law for more than three years, it’s still not clear whether […]
Posted inRegulatory Enforcement
DoJ Wants Review Process For Privilege Waiver Requests
The Department of Justice last month issued a directive requiring federal prosecutors to create a review process for supervisory approval of requests for companies to waive the attorney-client privilege and work product protection. But this should not be interpreted as a weakening of the DoJ’s interest in obtaining privileged materials, according to experts. The Oct. […]
Posted inRegulatory Enforcement
Application Of SOX Whistleblower Rulings Inconsistent
There has been confusion to date about whether non-publicly traded subsidiaries of publicly traded companies are subject to the whistleblower provisions of the Sarbanes-Oxley Act. That conclusion—by two lawyers with Wilmer Culter Pickering Hale and Dorr in Washington—is based on a comprehensive analysis of every administrative ruling and federal court decision under Section 806 of […]
Posted inFrom the Archive
WKSI Status Enhances Need For Compliance Programs
On Dec. 1, the nation’s largest public companies will be able to register as “Well-Known Seasoned Issuers” and gain nearly instant access to capital markets without experiencing the usual delays of the Securities and Exchange Commission’s registration process. Shelf registration statements of WKSIs will take effect automatically and immediately, without the need for SEC staff […]
Posted inBoards & Shareholders
Increased Scrutiny Of Board Minutes Requires Attention
When the Massachusetts Secretary of State’s Office this year announced an investigation into the $57 billion sale of Gillette to Procter & Gamble, state officials zeroed in on the minutes of a meeting by Gillette’s board of directors in which the sale was discussed. “There’s no evidence of extensive deliberations,” Massachusetts Secretary of State William […]