Keep your finger on the legal world's pulse

A federal judge has dismissed a lawsuit from the Trump administration aimed at blocking Los Angeles' sanctuary city law. U.S. District Judge Fernando M. Olguin ruled that allegations that the city ordinance violates the intergovernmental immunity doctrine by regulating and discriminating against the federal government were “insufficient to establish that the Ordinance violates the intergovernmental immunity doctrine.” The ordinance prevents city resources from being used for immigration enforcement, and aims to encourage victims and witnesses of crime to report incidents without fear of deportation. L.A. City Attorney Hydee Feldstein Soto celebrated the ruling, saying: “This order reinforces the well-established principle that local governments have the authority to decide how to use their personnel and resources.” The Trump administration has until July 3 to file an amended complaint.

 

Los Angeles Times

U.S. News

10 Metrics Every Law Firm Needs

Understanding your firm's financial performance is essential for making informed decisions and driving sustainable growth. But with so much data available, which numbers really matter?  

In this guide, we highlight 10 key financial metrics every law firm should be tracking, from lock-up and cashflow to profitability and utilization rates. These indicators provide valuable insight into the health of your business, helping you identify trends, improve efficiency and make better strategic decisions.  

Whether you're looking to strengthen financial management, improve cash collection or boost profitability, tracking the right metrics can give you the clarity needed to move your firm forward with confidence.  

Discover the metrics that matter most and how they can help support your firm's long-term success.

Download the guide

 

Writing for Bloomberg Law, Ford Motor general counsel Steven Croley says in-house teams are increasingly leaning on their law firms for tips on what AI to use - and what to avoid. Firms have traditionally sought to spread best practices among their clients, and now they need to proactively use AI to do that, writes Croley, who says that Ford is searching for firms that use AI to deliver on what the carmaker needs, and backing away from those that don’t.

 

Bloomberg Law

Powerful AI models that are capable of devastating cyber attacks on governments and companies may succeed within months, according to the leaders of intelligence agencies from the Five Eyes nations – Australia, Canada, New Zealand, the U.S. and the U.K. A rare joint warning by the alliance said that while AI “would help us improve cyber defense over time, it also accelerates the speed, scale, and sophistication of cyber threats . . . Frontier AI models are anticipated to exceed current industry expectations, fundamentally transforming both offensive and defensive cyber capabilities. The timeline is not years, it is months.” The Five Eyes agencies added: “In this environment, cyber resilience is integral to advancing business continuity, market confidence, and long-term value . . . Cyber risk can no longer be treated as a purely technical issue. This is a core business risk and leadership responsibility.”

 

Financial Times

The Register

The Guardian

A federal judge has blocked the Trump administration from allowing five states to restrict Supplemental Nutrition Assistance Program (SNAP) recipients from using benefits to purchase sugary foods and drinks, ruling that the U.S. Department of Agriculture (USDA) exceeded its legal authority. U.S. District Judge Amy Berman Jackson found that federal law does not permit the USDA to approve state waivers banning SNAP purchases of products such as soda and candy. The ruling sided with plaintiffs from Colorado, Iowa, Nebraska, Tennessee, and West Virginia, who argued the restrictions would reduce access to food and negatively affect people managing health conditions, including diabetes and allergies. The USDA defended the policy and indicated it intends to continue pursuing restrictions on SNAP purchases of certain foods. Meanwhile, advocates for the plaintiffs described the decision as an important victory for low-income households that rely on the program, which provides monthly food assistance to approximately 42m Americans.

 

The Hill

New York Times

Reuters

Amazon employees who publicly criticized the rapid expansion of AI data centers and called for stronger regulation are being investigated by the company, according to a complaint filed with Seattle officials. The workers testified before the Seattle City Council ahead of a temporary moratorium on new large-scale data centers, arguing that the industry's AI-driven infrastructure buildout carries significant social and environmental costs. The complaint alleges Amazon's actions were intimidating and may violate local protections against discrimination based on political ideology. Amazon said it respects employees’ right to express personal views but is examining whether staff breached company policies by appearing to speak on the company's behalf.

 

CNBC	The New York Times

Coca-Cola is facing a pivotal legal showdown with the IRS in a tax dispute worth more than $20bn, centered on how the company allocates profits between its U.S. operations and overseas subsidiaries. The case, which will be heard by a federal appeals court in Miami, stems from IRS challenges to Coca-Cola’s transfer-pricing arrangements, under which highly profitable foreign concentrate manufacturing operations in countries including Ireland, Mexico and Brazil receive a significant share of the group's profits. The IRS argues that too much profit has been allocated overseas and too little reported in the U.S., reducing the company’s tax bill. The dispute relates initially to tax years 2007-2009, but the implications extend far beyond those years because Coca-Cola continues to use the contested methodology.

 

Wall Street Journal

The U.S. Department of Labor has instructed states to take immediate action against fraud, waste, and abuse in their unemployment insurance programs, warning that failure to comply could result in withheld administrative funds. "We are officially putting governors on notice," said Acting Labor Secretary Keith Sonderling. The department highlighted issues such as poor oversight and outdated technology, which have allowed fraud to thrive, particularly in states including California, Illinois, and New York. The Government Accountability Office estimated that fraud constituted between 11% and 15% of unemployment payouts from April 2020 to May 2023. The Labor Department plans to issue further directives in the coming weeks as part of a broader effort to address fraud in state-federal programs.

 

U.S. News

Lauren Friedman has joined Mayer Brown as a partner in its litigation and dispute resolution practice, leading the international arbitration sector in New York. With a focus on complex commercial and investment treaty disputes, Friedman advises U.S. clients on arbitrations governed by New York law related to cross-border transactions and foreign investments. Previously, she was with King & Spalding.

 

Bloomberg Law

Law

An AI law firm has won a case in an English court. Tamires Camal Taquidir, a freelance HR consultant, paid the firm, Garfield AI, about £400 ($530) to send a legal letter and then issue court proceedings over an unpaid debt of £7,000 ($8,110). The case is believed to be the first time a trial has been won using an AI lawyer not only in the U.K. but globally. Garfield AI co-founder, Philip Young, said: “This is a landmark moment . . . for access to justice. For too long, businesses have been forced to write off debts because the cost, time and stress of litigation made pursuing them uneconomic.” He added: “AI did not replace the judge, the barrister or the legal system. What it did was make the process more accessible, more efficient and more affordable.”

 

Financial Times

The Daily Telegraph

City AM

The Guardian

Venezuela's national oil company, Petróleos de Venezuela SA (PDVSA), has engaged Greenberg Traurig to assist with contract negotiations as it faces a critical regulatory deadline in August. Greenberg Traurig confirmed its advisory role, stating: “Greenberg Traurig is advising PDVSA in connection with prospective oil contracts and related legal and regulatory compliance.” The hiring comes amid efforts to revive Venezuela's oil industry following the easing of sanctions by the Trump administration, which has left PDVSA struggling to navigate complex negotiations with potential partners.

 

Bloomberg Law

Research from Gallup has found that U.S. tech workers who use artificial intelligence (AI) at least monthly have a significantly lower risk of being laid off, with a predicted probability of 6% compared to 18% for infrequent users. The study surveyed over 23,000 workers and found that AI adoption is becoming crucial for job security. The link between AI use and job security held even after accounting for factors including age and education, according to the researchers. Outside the tech sector, infrequent AI users also face a greater layoff risk than their peers, Gallup said, though the gap is smaller.

 

Straits Times