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Updated SEC Enforcement Manual Emphasizes Engagement and Transparency

On February 24, 2026, the US Securities and Exchange Commission (SEC) announced major updates to its Enforcement Manual (Manual), a guidance document the SEC staff uses when conducting investigations of potential securities...more

3 Cases Highlight SEC Distinction Between Exec, Co. Liability

On Jan. 16, the U.S. Securities and Exchange Commission announced settled charges against two former executives of Spero Therapeutics LLC, a public biopharmaceutical company, for misleading investors about the regulatory...more

Securities Class Action Trends in 2025: Fewer Cases Filed, But More Dollars at Stake

Two leading consulting and expert firms – Cornerstone and NERA – recently released their reports on securities class action filings in 2025. Both observed a decline in new filings, driven largely by fewer Section 10(b) cases....more

How Founders and Private Companies Can Mitigate Risks of a Government Investigation

Government investigations can be costly. A simple subpoena for documents could entail collecting hundreds of thousands of documents from your email servers and personal devices, hiring attorneys to review and produce...more

SEC Intensifies Oversight of Foreign Companies that Participate in U.S. Capital Markets

According to NERA, a leading consulting and expert firm, the share of foreign-based companies listed on U.S. stock exchanges has risen steadily in the last decade, from 17.4% in 2016 to 26.9% in 2025. As noted in our...more

Department of Justice Launches Cross-Agency Task Force to Combat Trade Fraud

On August 29, 2025, the US Department of Justice (DOJ) announced the formation of a cross-agency Trade Fraud Task Force to “identify and combat trade fraud that threatens [US] economic and national security interests.”...more

Sixth Circuit Shields Internal Investigation Materials From Discovery

In a closely watched case, the US Court of Appeals for the Sixth Circuit recently took a significant step to protect the attorney-client privilege over materials produced during internal investigations by companies. On August...more

Securities Class Action Trends: AI and Biotech Cases Continue to Rise, Uptick in Alleged Losses and Average Settlement Values

Two leading consulting and expert firms – Cornerstone Research and NERA – recently issued their midyear reports on securities class actions. Both reports noted that the number of filings in H1 2025 remained steady, but...more

Dissemination of One’s Own Misstatements Does Not Create Scheme Liability, Says New York Court

On July 16, 2025, the US District Court for the Eastern District of New York dismissed a scheme liability claim in an enforcement action brought by the US Securities and Exchange Commission (SEC) against a company’s former...more

US DOJ Memo Clarifies DEI Compliance for Federal Funding Recipients

On July 30, 2025, US Attorney General Pam Bondi released a memo to all federal agencies titled “Guidance for Recipients of Federal Funding Regarding Unlawful Discrimination.” This document clarifies how federal...more

Derivative Plaintiffs Cannot Obtain Discovery to Plead Demand Futility, According to Chancery Court

When a company experiences an adverse event, it and its directors and officers are often subject to multiple shareholder lawsuits and demands. These matters proceed on different timelines, creating scenarios in which...more

CFPB Announces Plan to Review Offenses Carrying Criminal Penalties

On June 27, the Consumer Financial Protection Bureau (CFPB) issued a policy statement, “Guidance on Referrals for Potential Criminal Enforcement,” which outlines its plan to address criminal regulatory offenses within its...more

First-Ever Sentencing of Corporate Executives for Failure to Report Under Consumer Product Safety Act

As we previously reported, in November 2023, two corporate executives were convicted of conspiracy and failure to report defective dehumidifiers in violation of the Consumer Product Safety Act (CPSA). This groundbreaking...more

DOJ Resumes Foreign Bribery Investigations, Focusing on ‘Vindication of US Interests’

On June 9, 2025, the Department of Justice (DOJ) issued new guidelines for investigations and enforcement of the Foreign Corrupt Practices Act (FCPA), following a four-month pause of new FCPA investigations per President...more

In Rare Dismissal of Up-C Reorganization Case, Chancery Court Holds That Claim Is Derivative, Not Direct 

On April 10, 2025, the Delaware Court of Chancery granted a motion to dismiss in a breach of fiduciary duty action arising from BGC’s conversion from an Up-C corporation to a traditional full C corporation. While multiple...more

Complaint Against Uniform Company for Customs Duties Underpayment Highlights False Claims Act Risks for Tariff Compliance

As we discussed in this April 7 blog post, the US Department of Justice (DOJ) can pursue civil penalties for tariff evasion under the False Claims Act (FCA), including against companies that are aware of tariff evasion by...more

Tariffs Are Here – Be Aware of Criminal and Civil Enforcement Risks

On April 2, 2025, President Donald Trump, citing national security concerns, used authority granted under the International Emergency Economic Powers Act of 1977 (IEEPA) to announce a sweeping new tariff regime, with a 10%...more

Delaware Amends Section 220 – Will Scope of ‘Books and Records’ Production Be Limited?

On March 25, 2025, the Delaware Legislature enacted Senate Bill 21, significantly amending the Delaware General Corporation Law. Among its notable changes is an effort to narrow document production under Section 220, which...more

SEC Now Requires Commission Approval for Subpoenas, but Says It Is Not ‘Walking Away’ From Enforcement

On March 10, 2025, the US Securities and Exchange Commission (SEC) adopted a final rule that will require a majority of the Commissioners to agree before the SEC formally opens an investigation. For the past 15 years, that...more

Federal Law Enforcement Recommends Encrypted and Ephemeral Messaging

In light of recent reports of cyberattacks on telecommunications companies, the FBI and the Cybersecurity and Infrastructure Security Agency (CISA) issued a series of reports and statements recommending secure communications,...more

SEC Announces FY2024 Enforcement Results, Including Record-breaking Financial Remedies

The Securities and Exchange Commission (SEC) recently announced its enforcement results for fiscal year 2024, during which the SEC obtained the highest amount of financial remedies in history—$8.2 billion, representing a 66%...more

DOJ Focuses on AI, Emerging Tech in Newly Issued Guidance Updates for Evaluating Corporate Compliance Programs

On September 23, 2024, the Criminal Division of the US Department of Justice (DOJ) issued an updated Evaluation of Corporate Compliance Programs (ECCP). The updated ECCP emphasizes that companies should address risks...more

SEC Remains Focused on Disclosure of Cybersecurity Incidents

Recent Securities and Exchange Commission (SEC) enforcement action and statements by SEC officials show that the Commission remains focused on disclosures regarding cybersecurity incidents. On May 21, 2024, Erik Gerding,...more

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