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Good morning. The FDA could exercise its power to delay or soften any court order against regulatory approval for a pill used in the most common form of abortion in the U.S., experts tell Reuters. Plus, J&J’s lawyers are heading to the U.S. Supreme Court; the Stanford Law official who admonished a Trump-appointed judge is on leave; the SEC is suing a few celebs over crypto; and firms in India worry about attorney poaching after a new rule allowing foreign firms to set up offices. Thanks for reading! Let’s go.
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The FDA has the power to delay or soften the blow of any court-ordered ban or reconsideration of approval of a pill that is the most common form of abortion in the United States, our colleagues Julia Harte, Gabriella Borter and Brendan Pierson report.
Trump-appointed U.S. District Judge Matthew Kacsmaryk in Amarillo, Texas, is weighing U.S. regulatory authority, and how he could reverse approval of a long-established drug. At a hearing last week, the judge raised the possibility of a limited ruling, keeping the drug on the market but re-imposing some restrictions lifted by the Biden administration. Any ruling in the case is expected to be appealed to the 5th Circuit.
Even if higher courts upheld a decision against the FDA, the agency could help prevent the drug mifepristone from being immediately withdrawn from the market, experts told Reuters. What happens next will depend on whether Kacsmaryk finds he has the authority to overrule the FDA’s decision. Some of the FDA’s options could be politically and legally risky for the agency and mifepristone suppliers. If Kacsmaryk orders mifepristone’s approval withdrawn, experts said the FDA would have a countermove: It could choose not to enforce the ban. The FDA declined to comment on the litigation or its next steps.
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- India’s move to allow foreign law firms to establish offices there is set to shake up its legal services industry, with local firms fretting that star performers could soon be poached and predicting that fees will shoot higher to retain them. The new rules said foreign law firms can open offices in India to offer M&A and corporate advisory services as well as to handle arbitration disputes for foreign clients. (Reuters)
- Nearly all of the major American bar associations for underrepresented groups have a woman president this year, the latest sign of demographic change in the U.S. legal profession. Among the women-led groups are the National Bar Association, which is the largest organization of Black U.S. lawyers; the Hispanic National Bar Association; and the National Asian Pacific American Bar Association. (Reuters)
- Brown Rudnick and Austrian multinational construction company Christof Industries Global are dropping dueling multimillion-dollar claims stemming from their long-soured attorney-client relationship. A joint filing in Boston federal court did not contain details on any settlement, and attorneys for both sides did not immediately respond to requests for comment. (Reuters)
- Progressives are voicing concern that Republicans are slowing the judicial nomination process down by withholding “blue slips” supporting potential new judges in their home states. Only two candidates for lifetime positions as judges appeared before the most recent Senate judiciary panel for its first nominations hearing in five weeks. (Reuters)
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That’s the overall drop in lateral hiring at law firms in 2022, a slowdown after a supercharged 2021, according to new data from the National Association for Law Placement. Lawyer moves between firms in 2021 saw 111% increase in 2021. The decline last year was driven by a drop in demand for associates, NALP found in its annual look at law firm lateral hiring. The number of lateral associate moves fell 20% last year as compared with 2021, when such hires increased 149%. Lateral partner hiring increased nearly 6% in 2022.
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Plaintiffs’ firms are making increasing use of websites like ClassAction.org to connect with prospective clients in class actions, mass torts and mass arbitration. So far, critics don’t seem to have given these websites as much attention as old-school TV ads by plaintiffs firms. So Alison Frankel’s attention was piqued when she noticed a motion to quash a Robinhood subpoena for information about a plaintiffs firm’s communications with ClassAction.org, including information about prospective clients that the firm, Berger Montague, opted not to use as name plaintiffs in a spam text class action against the trading platform. If Robinhood manages to squeeze secrets from the website, Frankel says, other defendants will likely follow.
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“Modern First Amendment law does not treat every setting as a public forum where a speech free-for-all is allowed.“
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—Stanford Law School Dean Jenny Martinez, who wrote a 10-page public letter detailing the school’s response to the March 9 protest of 5th Circuit Judge Stuart Kyle Duncan, when dozens of students disrupted a speech Duncan was set to deliver at an event hosted by the Stanford chapter of the conservative Federalist Society. The letter said Stanford Law administrators did not enforce the school’s speech policy, which prohibits shutting down speakers through heckling. The letter also said the school’s associate dean for diversity, equity and inclusion, Tirien Steinbach, who addressed Duncan and students during the event and said the judge’s presence was painful for some students, is currently on leave.
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- Delaware Superior Court Judge Eric Davis concluded a two-day hearing in the $1.6 billion defamation lawsuit by Dominion Voting Systems against Fox Corp over vote-rigging claims aired by Fox News, but did not immediately rule on requests by both sides that he decide the case in their favor without moving to a full trial. (Reuters)
- Bankrupt crypto exchange FTX reached a deal to recover more than $400 million in cash from Modulo Capital, pulling back 97% of the money that FTX companies sent to the hedge fund in 2022. Bahamas-based Modulo agreed to pay $404 million in cash and give up its claim to $56 million in assets held on FTX’s crypto exchange. (Reuters)
- U.S. District Judge George Daniels in Manhattan said he will allow shareholders, represented by a team from Glancy Prongay, to sue Chinese e-commerce company Alibaba over its statements that it did not violate anti-monopoly or unfair competition laws despite its practice of requiring merchants to choose only one distribution platform. But Daniels dismissed all claims against Alibaba founder Jack Ma, including some that accused him of insider trading. (Reuters)
- A federal judge in Detroit certified class actions for drivers in 26 states who accused General Motors of producing faulty transmissions for about 800,000 vehicles from the 2015 to 2019 model years. Drivers said the transmissions made vehicles shudder and caused “harsh shifts.” GM declined to comment. (Reuters)
- New federal protections for an endangered species of prairie chicken would unnecessarily hamper cattle grazing and oil drilling in Texas and nearby states, according to lawsuits filed by Texas Attorney General Ken Paxton and associations representing Permian Basin oil drillers and ranchers. The lawsuits asked a federal court in Midland, Texas, for an order vacating Endangered Species Act protections for the bird, known as the lesser prairie chicken. (Reuters)
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- Jenner hired Chicago-based partner Jim Reiland, former chief legal officer of real estate company CA Student Living. He joins the firm’s real estate transactions team. (Reuters)
- Dechert will add partner Sam Kay to its financial service and investment management practice in London from Travers Smith. (Reuters)
- McDermott brought on transactions partners Shaalu Mehra in Silicon Valley and Matthew King in Los Angeles. Mehra joins the firm from Pillsbury Winthrop, and King was previously at Gibson Dunn. (McDermott)
- Gordon Rees added healthcare partners Jason Winslow and Blair Keltner to the firm’s St. Louis office. They join from Hinshaw. (Gordon Rees)
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Correction: Tuesday’s edition of The Daily Docket incorrectly described the role of Ann Batlle, a new partner at Morgan Lewis who is an adviser to charitable organizations on legal and tax issues.
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