CHECK YOUR POCKETS - There may not be a hot market that all the law firms flock to this year like Salt Lake City in 2021, but that doesn't mean there's no market share to be gained in 2023. A new report, publishing today, suggests there were no comparable "outlier" markets last year, and broad economic uncertainty may make firms more hesitant to expand their reach. However, law firm leaders and analysts told Law.com's Andrew Maloney that a winning strategy when it comes to broadening their horizons involves thinking locally—finding pockets of the country that are thriving, especially due to new domestic manufacturing. "Much of what affects the U.S. market and the legal industry stems from global events such as the Ukraine war, inflation and the fear of recession," analysts wrote in the forthcoming Leopard State of the Industry Report. "On the other hand, parts of the country are experiencing a local economic boom as some previously offshored manufacturing is brought back domestically. Firms should keep a lookout at the local pockets of demand for legal services that are not reported widely."
PENALTY KILL? - Tax attorneys are already taking the U.S. Supreme Court up on its new interpretation of penalties associated with taxes on foreign income, a ruling that spells both good and bad news for those with money overseas, Law.com's Brad Kutner reports. In Bittner v. U.S., the high court was asked whether a violation under the Bank Secrecy Act is the failure to file a single annual report, no matter the number of foreign accounts, or whether there is a separate violation for each account that is not properly reported. The majority in Bittner ruled that, under the tax code, penalties for non-willful violations accrue only on a per-report basis. The decision is expected to make big impacts in not only future tax disputes, but also many currently running and possibly even already decided tax penalties cases, according to Kenneth Ahl, a tax attorney with Archer & Greiner, and his co-counsel at the firm, Mark Oberstaedt.
ON THE RADAR - Glancy Prongay & Murray filed a shareholder derivative complaint naming Generac Holdings on Monday in Wisconsin Eastern District Court. The complaint, which targets certain board members, concerns the 'SnapRS,' a safety feature of the company's 'PWRcell' solar power storing system. The complaint contends that the defendants failed to disclose that the SnapRS is defective, tending to overheat, melt or catch fire, causing sales partner Pink Energy to lose $155 million and declare bankruptcy. Counsel have not yet appeared for the defendants. The case is 2:23-cv-00302, Sterbcow et al v. Jagdfeld et al. Stay up on the latest deals and litigation with the new Law.com Radar.
Michael G. Bongiorno, Andrew Scott Dulberg and Elizabeth E. Driscoll from Wilmer Cutler Pickering Hale and Dorr have stepped in to represent Symbotic Inc., an A.I.-enabled technology platform that focuses on increasing supply chain efficiency, and other defendants in a pending shareholder derivative lawsuit. The case, filed Oct. 2 in Massachusetts District Court by the Brown Law Firm on behalf of Stephen Austen, accuses certain officers and directors of misleading investors in regard to Symbotic's potential for margin growth by failing to disclose that the company was not equipped to timely deploy its systems or manage expenses through project delays. The case, assigned to U.S. District Judge Nathaniel M. Gorton, is 1:24-cv-12522, Austen v. Cohen et al.
Edmund Polubinski and Marie Killmond of Davis Polk & Wardwell have entered appearances for data platform software development company MongoDB and other defendants in a pending shareholder derivative lawsuit. The action, filed Oct. 7 in New York Southern District Court by the Brown Law Firm, accuses the company's directors and/or officers of falsely expressing confidence in the company’s restructuring of its sales incentive plan and downplaying the severity of decreases in its upfront commitments. The case is 1:24-cv-07594, Roy v. Ittycheria et al.
Amy O. Bruchs and Kurt F. Ellison of Michael Best & Friedrich have entered appearances for Epic Systems Corp. in a pending employment discrimination lawsuit. The suit was filed Sept. 7 in Wisconsin Western District Court by Levine Eisberner LLC and Siri & Glimstad on behalf of a project manager who claims that he was wrongfully terminated after applying for a religious exemption to the defendant's COVID-19 vaccine mandate. The case, assigned to U.S. Magistrate Judge Anita Marie Boor, is 3:24-cv-00630, Secker, Nathan v. Epic Systems Corporation.
David X. Sullivan, Thomas J. Finn and Gregory A. Hall from McCarter & English have entered appearances for Sunrun Installation Services in a pending civil rights lawsuit. The complaint was filed Sept. 4 in Connecticut District Court by attorney Robert M. Berke on behalf of former employee George Edward Steins, who was arrested and charged with employing an unregistered home improvement salesperson. The complaint alleges that had Sunrun informed the Connecticut Department of Consumer Protection that the plaintiff's employment had ended in 2017 and that he no longer held Sunrun's home improvement contractor license, he would not have been hit with charges, which were dismissed in May 2024. The case, assigned to U.S. District Judge Jeffrey A. Meyer, is 3:24-cv-01423, Steins v. Sunrun, Inc. et al.
Greenberg Traurig shareholder Joshua L. Raskin has entered an appearance for boohoo.com UK Ltd. in a pending patent infringement lawsuit. The suit, filed Sept. 3 in Texas Eastern District Court by Rozier Hardt McDonough on behalf of Alto Dynamics, asserts five patents related to an online shopping platform. The case, assigned to U.S. District Judge Rodney Gilstrap, is 2:24-cv-00719, Alto Dynamics, LLC v. boohoo.com UK Limited.
