A 60-year-old Navy veteran needed money fast. So he did what far too many people do in that situation and applied for a short-term “payday-type” loan. When all was said and done, he was charged well over 100 percent interest. Seriously. One major player in the industry offered a $2,600, 47-month loan, and sought a total repayment of $20,280.03! That’s a 204.94 percent annual percentage rate!
Most of us realize that short-term lenders make their nut on exorbitantly high interest rates, but states have systematically cracked down on these companies and capped the interest they’re allowed to charge. State regulators have had a good deal of success in recent years securing hefty settlements for citizens victimized under state usury laws.
But our Navy veteran friend wasn’t so lucky. He got his loans from the wrong companies, and the state Department of Banking had to tell him that they were powerless to assist him.
It’s hard to believe a company can so blatantly thumb its nose at the rules, but they have a secret and some Biglaw bigshots on retainer to fight tooth-and-nail to protect their lending practices….
* Bob McDonnell, former governor of Virginia, guilty of 11 counts of corruption. Maureen McDonnell guilty of 8. If only they’d gotten that severance motion. [Wonkette]
* The best way to catch drunk drivers is to give them something to crash into. [Legal Juice]
* Chaumtoli Huq, a former general counsel to the New York Public Advocate, has filed a federal lawsuit alleging that NYPD officers arrested her for waiting on the sidewalk outside a restaurant. She says she was targeted for being Muslim. [Gawker]
* In somewhat related news, Prawfsblawg pointed me to this interesting Slate piece on the effect that body-worn cams — the en vogue solution to police misconduct pushed by many including Huq’s old boss — really have on policing. [Slate via Prawfsblawg]
* Google paying $19 million to settle the FTC suit over kids making in-app purchases. It was going to be a $5 million settlement, but the FTC told Google that they would let them skip level 410 in Candy Crush if they kicked in another $14 million. [Washington Post]
* Some people have a problem with duct-taping kids to force them to take naps. Kids are growing up soft these days. [Lowering the Bar]
Seemingly every day, new types of wearable devices are popping up on the market. Google Glass, Samsung’s Gear, Fitbit (a fitness and activity tracker), Pulse (a fitness tracker that measures heart rate and blood oxygen), and Narrative (a wearable, automatic camera) are just a few of the more popular “wearables” currently on the market, not to mention Apple’s “iWatch,” rumored to be released later this year. In addition, medical devices are becoming increasingly advanced in their ability to collect and track patient behavior.
* The New York Court of Appeals put the hurt on defunct firms seeking unfinished business fees from former partners who left for greener pastures. Sorry, I didn’t follow ATL protocol: “Dewey think firms should collect unfinished business fees?” [WSJ Law Blog]
* We reported on the Tinder lawsuit yesterday. Here’s a collection of all the messed up texts involved. [Valleywag]
* Facebook’s lawyer is now calling the emotional manipulation study it recently conducted “customer service.” Dear Internet: Despite all your rage, you’re still just rats in a cage. [The Atlantic]
* Lawyer explains to court how people illegally implanted a silicon chip in her head. No word on her feelings about Mondays. [Tampa Bay Times]
* How much juice content did Coca-Cola think allowed them to market a product as juice? The answer will actually surprise you unless you really, really hate Coke. [PR Log]
* Defendants should not have access to the Internet because they could beat someone to death with an iPad. I guess. [Lowering the Bar]
* Mobile crammers settle for $10 million. The charge will appear on their next month’s phone bill. [Law and More]
* Like most things in life, the path to victory involves beginning from the KISS principle. [Katz Justice]
* Of all the over-the-top immigration control efforts in this country, arresting a couple in bed for not being “married enough” is one of the craziest. [Sun Sentinel]
* The American Bar Association, fresh off loosening its accreditation standards, is actually trying to dupe kids into thinking this is the best time to attend law school. Check out this ad. And if you want to play with it in Photoshop, that would be cool too…
Do you know where your data is? According to the Federal Trade Commission, the answer is “no.”
The agency wants Congress to intervene against data brokers – companies that collect personal information and resell it, mainly for marketing purposes. The FTC released a report on Tuesday of the top nine data brokers in the US and how most Americans don’t know that their personal information is being collected.
the FTC states that consumers may benefit from increased transparency into the operations of data brokers. It notes that data brokers collect and store billions of data elements covering nearly every U.S. consumer, in many cases without consumers’ knowledge. The FTC recommends that Congress consider enacting legislation to make data broker practices more visible to consumers and to give consumers greater control over the handling of their information by data brokers.
The data collected by firms like Acxiom, Datalogix and Corelogic range from the innocent (what sports you follow) to the personal (health and financial information) and everything in between (what kind of car you drive and general shopping habits).
* Are messenger bags unprofessional for lawyers? My firm bought us messenger bags with firm logos so this wasn’t a question for me. [Corporette]
* New carbon regulations on the horizon and industry is already gearing up for a fight. [Breaking Energy]
* FTC charging Jerk.com with deceiving customers. What a paradox, because if the FTC is right this seems like truth in advertising. [IT-Lex]
* Larry Klayman is suing the entity he founded, Judicial Watch, for defamation. Somehow Orly Taitz is involved. [South Florida Lawyers]
* Hey recent grads! Do you need to frame your shiny new diploma? Mountary is offering a 20 percent discount to ATL readers. Just enter the code “atl20″ at checkout. [Mountary]
* Bruce Allen Murphy has a new biography on Justice Antonin Scalia that proposes that far from forging a conservative Court, Justice Scalia’s actions have undermined building a conservative team of justices. Also he reminds us that Scalia was totally an affirmative action hire. Video after the jump…. [YouTube]
* This Term, both wings of the Court will be making originalist arguments because “slaveholders from 200 years ago said so” is the most compelling argument in our legal toolbox. [Constitutional Accountability Center]
* Yale Law grad Ronan Farrow, supposedly Woody Allen’s son, might really be Frank Sinatra’s son. Looking at him that… makes sense. [Vanity Fair]
* Looks like the FTC is finally going after patent trolls. Or would be if we still had a government. [Ars Technica]
* Based on the look and address, the Law Librarians blog appears to have left the Law Professor Blogs Network. It must have been too loud in there for the librarians. [Law Librarians]
* So… you’re saying lots of trial judges out there don’t understand hearsay? [The Legal Watchdog]
But this has started to change over the past few years, as managing partner Thomas Reid discussed in an August 2011 interview with Am Law Daily. In the August 2010 to August 2011 period, DPW hired a half-dozen prominent lateral partners.
And the lateral hiring spree continues (although not without the occasionalsnag). Let’s hear about Davis Polk’s latest high-profile hire, a new lateral partner at Paul Hastings, and an addition to the leadership of Orrick….
(1) Monopolies are generally illegal.
(2) Like baseball, patents make monopoly laws get a little funky.
(3) Courts really really really like to encourage settlements.
So, when two companies get together, and work out a settlement that makes a whole patent infringement lawsuit go away, and the only objection is that pesky Federal Trade Commission complaining that the settlement is anticompetitive, you can understand why a federal court could meditate on points (2) and (3) and dismiss that FTC complaint.
Yet, in FTC v. Actavis, the Supreme Court yesterday made it harder to settle some patent infringement suits, saying that sometimes a settlement of a lawsuit can be an antitrust problem.
Ed. note: The Asia Chronicles column is authored by Kinney Recruiting. Kinney has made more placements of U.S. associates, counsels and partners in Asia than any other recruiting firm in each of the past seven years. You can reach them by email: email@example.com.
Things have changed recently in Korea – a few of our US and UK client firms are looking, very selectively, for a lateral US associate hire. Until just recently, there was not much hiring like this going on in Korea, since US and UK firms started opening offices there. We have already placed two US associates in Korea in the past month at top firms. Most of the hiring partners we work with in Korea do not actively work with other recruiters.
If you are a Korean fluent US associate in London, New York or another major US market, 2nd to 6th year, at a top 20 firm, with cap markets or M&A focus (or mix), or project finance background, and you are interested in lateraling to Korea to a top US or UK firm, please feel free to reach out to us at firstname.lastname@example.org or email@example.com. Our head of Asia, Evan Jowers, was just in Korea recently, and Evan and Robert Kinney will be in Korea in a few weeks. We are in the process of helping several firms open new offices in Korea (a number of which are interviewing our partner level candidates) and also helping existing offices there fill openings.
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