Clawbacks

Morning Docket

Morning Docket: 06.10.19

* The end of the Supreme Court’s current term is drawing near, and Justice Ruth Bader Ginsburg says that dark times may be ahead in terms of “sharp divisions” for some of the “most watched cases” with decisions yet to be announced. Uh-oh... [Associated Press] * Who is the real Attorney General Bill Barr? In this interesting profile, opinions vary wildly, with some calling him “closest thing [the Trump administration has] to Dick Cheney” and others referring to him as a “real danger.” [New York Times] * George Conway of Wachtell, husband of White House counselor Kellyanne Conway, has once again taken to Twitter to call out President Trump: “You would have been fired from any other job by now.” [The Hill] * Sedgwick wants its money back: After partners fled the firm prior to its demise, the bankruptcy estate is now hoping for $1.6 million clawback settlement to make things right. [Big Law Business] * Even though the lead plaintiff has dropped out in favor of arbitration, tech giant Google can’t seem to shake the lawsuit claiming the company is biased against conservatives, men, white people. [Mercury News]

By Staci Zaretsky
Morning Docket

Morning Docket: 09.28.16

* “It would have been disastrous for the whole country.” Following Ninth Circuit Judge Alex Kozinski's screening of "The People vs. Larry Flynt," the infamous smut peddler at the center of the film received a standing ovation after speaking to an audience about what would have happened if the Supreme Court hadn't ruled in Hustler's favor in the landmark First Amendment case. [WSJ Law Blog] * Wells Fargo CEO John Stumpf will forfeit $41 million in bonus and stock awards in the wake of the lender's sham accounts scandal. As we mentioned previously, the bank's board was looking to Shearman & Sterling for guidance on whether it would move forward with clawback actions against executives considering the severity of the misconduct and fraud that occurred. [CNN] * Sorry, Lynn Tilton, but the Supreme Court isn't going to rescue you: the "Diva of Distressed" applied to the high court for a stay of the Securities and Exchange Commission's action against her, arguing that the agency's use of in-house judges was unconstitutional, but the Court flat-out rejected her request, without even so much as a dissent. Tilton could be barred from further work in the securities industry. [Bloomberg] * Chelsea Grayson, who currently serves as general counsel of American Apparel, is moving up in the company to take on an even bigger and better role. She will assume the position of chief executive officer next month as the company considers a sale. She's guided the company through controversies in the past, so a potential sale should be no problem for this former Loeb & Loeb partner. Congratulations! [Big Law Business] * A former investigator for the Illinois Appellate Defender's Office is receiving a major windfall after alleging that she was forced to resign for complaining about a salary cut. Alice Washington is set to receive more than $1 million dollars for her retaliation claim, but State Appellate Defender Michael Pelletier says he plans to appeal the judgment due to the fact that he "cannot in good conscience settle with this woman." [ABA Journal] * Michael Fahy, lawyer turned firefighter, RIP. [New York Daily News]

By Staci Zaretsky
Morning Docket

Morning Docket: 04.12.16

* Howrey doing with all those profit clawbacks for unfinished business? The bankruptcy trustee for this defunct firm filed an appeal with the Ninth Circuit to determine whether his method of collecting cash for the insolvent firm's estate was legal, and in an amicus brief, the ABA has sided with the law firms being bilked for funds, saying such efforts must be nixed. [ABA Journal] * The Tenth Circuit dismissed a challenge to Utah's ban on polygamy that was brought by TLC's "Sister Wives" family, saying they didn't have standing to sue as they were no longer subject to a credible threat of prosecution. This will probably add fuel to the rumors that the show is on the verge of cancellation before Season 7. [WSJ Law Blog] * The SEC has charged Texas Attorney General Ken Paxton in connection to a stock scam involving tech company Servergy. Paxton allegedly assisted the company with raising investor funds, but never disclosed his commissions. With three pending criminal indictments and a bar complaint, this guy is batting 1000. [Dallas Morning News] * Reclaim Harvard Law protestors who have been occupying the school's student center claim that they found a voice-activated recording device in "Belinda Hall," and have interpreted this as an "intentional effort to surveil [their] movement." If your goal was to get people to listen to your message, consider this an achievement unlocked. [Observer] * If you're uncertain about your law school decision, you can certainly put down multiple seat deposits, but we're not sure why you would want to. By all means, start your legal education by putting yourself into debt -- you'll be off to a great start for the six figures of loans you'll have accumulated by graduation. [Law Admissions Lowdown / U.S. News]

By Staci Zaretsky
Non-Sequiturs

Non-Sequiturs: 09.30.15

* Is there a pattern of dishonesty in the Orange County, CA District Attorney's office? [New York Times] * Does a lack of SEC enforcement on clawback rules actually create a perverse incentive to manipulate earnings? [MarketWatch] * Shocking news: Men admire their own work more than women do. I know that sentence is full of gender norms, but sometimes it is what it is. [TaxProf Blog] * Is it ever okay for Biglaw associates to have privacy in the office? [What About Paris?] * What you need to know right now in the world of legal tech. [CodeX] * Thinking of using Google AdWords for your firm? Careful if you're bidding on opposing counsel's name, it could land you in ethical hot water. [Legal Profession Blog] * What are the biggest threats for your corporate data? [Bloomberg BNA]

By Kathryn Rubino
Bankruptcy

Morning Docket: 11.04.14

* “When a law firm is on a verge of insolvency, the last thing you want is for the most productive partners to leave.” The latest ruling in the Dewey & LeBoeuf case has Biglaw partners talking about “run[ning] for the exits.” [New York Law Journal] * Oh mon dieu! Thanks to a botched French translation of an English press release, the Cote d’Ivoire Bar Association may file criminal proceedings against two Orrick Herrington & Sutcliffe attorneys for fraud. [Am Law Daily] * Michele Roberts, the former Skaddenite who’s now the first woman to lead the National Basketball Players Association, thinks women need to learn how to develop business. [National Law Journal] * It seems that the dean of Brooklyn Law School has willingly signed up to be roasted by some of his students. This might be a bad decision on his part, but he’s a brave human being. [Brooklyn Daily Eagle] * What’s the “right” number of law schools to apply to, and how can you figure out what the “right” number is for yourself? It’s magic, plain and simple. [Law Admissions Lowdown / U.S. News & World Report]

By Staci Zaretsky
Bankruptcy

Morning Docket: 05.16.14

* Congrats to Diane Humetewa, the first Native American woman to serve as a federal judge in United States history. You’d think this achievement would’ve already been reached. [Arizona Daily Star] * When your case is compared to a law school exam, and the judge uses the number “bazillion” to describe the problems that could happen, it sucks to be you, Detroit. [DealBook / New York Times] * Dewey know when this failed firm actually went belly up? It’s liquidating trustee says D&L was insolvent in 2009, and wants $22.5 million from ex-international partners in his latest clawback suits. [Am Law Daily] * The managing partner of Seyfarth Shaw refers to his firm as the “Costco of corporate legal services” because it’s a place where you can “get more for less.” What’s the membership fee? [Chicago Tribune] * The Buffalo Bills filed a motion to dismiss the wage and hour suit put forth by the disgruntled members of its cheerleading squad, the Buffalo Jills. You better hope that motion survives the “jiggle test.” [CBS Sports]

By Staci Zaretsky
Bankruptcy

Morning Docket: 05.08.14

* Footnote fight! Justice Sonia Sotomayor has been clashing with quite a few of her fellow Supreme Court jurists lately, aside from Chief Justice John Roberts. She recently inspired the wrath of Justice RBG herself. [New York Times] * After months of being poked and prodded for cash, 60 former Howrey equity partners have reached clawback deals with bankruptcy trustee Allan Diamond, and it looks like a few of them agreed to pay pretty hefty sums. [Am Law Daily] * Here’s a headline we could’ve told you was coming: “The US lawyer bubble has conclusively popped.” It’s not a terribly good decision to attend now, but if you do, people who can’t pay you need your help. [Quartz] * Cutting law school tuition may be a good idea to attract more students, but in the long run, it could hurt the schools, says Moody’s. Aww, let us shed some tears for those poor law schools. [WSJ Law Blog] * Crim Law prof not guilty of… crime. Stephen Smith of Notre Dame Law was acquitted on a misdemeanor invasion of privacy charge, and the felony battery charge he faced was dismissed. [South Bend Tribune] * The University of Arizona will be the first school in the U.S. to offer a bachelor’s degree in law. The degree is being marketed to people who eventually want to have lots of law-related debt. [National Law Journal]

By Staci Zaretsky
Airplanes / Aviation

Morning Docket: 04.01.14

* Maybe things are getting better. Per the latest Law Watch Managing Partner Confidence Index, Biglaw partners have shown an uptick in confidence in the first quarter of 2014. [Am Law Daily] * Thanks to this ruling, Chevron can sue Patton Boggs over claims it engaged in fraud during the Ecuador case. Don’t worry, we’re sure the merger with Squire Sanders will be just fine. [Reuters] * Dewey know how much the latest clawback suit seeks from this failed firm’s ex-COO? About $9.3 million, for his “astronomically generous” employment contract. [WSJ Law Blog (sub. req.)] * No more “unfounded” filings for this unfound plane: A firm’s attempts to get documents from Malaysian Air to file a possible lawsuit have been thwarted by a judge, with the possibility of sanctions. [Bloomberg] * When your “concerned uncle” is writing to a pre-law adviser about your future when you haven’t even gone to college yet, you know you’re probably destined to be a gunner. [Law Admissions Lowdown / U.S. News]

By Staci Zaretsky