June 2012 Client Alerts

July 25, 2012

Authored by: Bryan Cave

What do video game, music, and free online telephone networks have in common?  If your employees use them they can lead to a FTC data security investigation.

Although the days of Napster and Gnutella may be over, the technology upon which those applications were based — peer-to-peer networks or “P2P” — is alive and well in modern-day programs that share video games and music.  As two recent Federal Trade Commission enforcement actions illustrate, companies that permit employees to use P2P applications — either knowingly or unknowingly — may face government investigations and possible liability.  To learn more, please click here to read the Bulletin published by the Data Privacy & Security Team on June 19, 2012.

FTC Cracks down on the Collection of Social Media Data For Employment Decisions

A survey released this year indicates that in some industries almost 40% of employers reviewed job candidates’ profiles on social media sites before making employment decisions.  Ordering a candidate’s social media history is, in many companies, becoming as routine as ordering a credit report or background check.  Most employers do not realize, however, that the Federal Trade Commission has taken the position that social media reports share something else with credit reports — they are covered under the privacy protections of the Fair Credit Reporting Act.   In June the FTC filed a lawsuit in the Central District of California against a company which marketed social media reports to employers to use as “a factor in deciding whether to interview a job candidate or whether to hire a job candidate after a job interview.”  To read more, please click here to read the Bulletin published by the Data Privacy & Security Team on June 14, 2012.

Record Settlement in a Sanctions Case Reached by ING Bank, N.V.

On June 12, 2012, ING Bank, N.V. settled alleged violations of U.S. trade sanctions with the U.S. Department of Treasury’s Office of Foreign Assets Control (“OFAC”) for a record $619 million penalty.  ING Bank’s violations of OFAC sanctions involved more than $1.6 billion worth of funds that were unlawfully routed through the United States despite U.S. sanctions.  To learn more about the allegations against ING Bank and the Settlement Agreement reached, please click here for the International Regulatory Bulletin No. 497 published June 13, 2012 by the International Trade Group.

Supreme Court Upholds Health Reform — Implementation Marches On

In a landmark 5-4 decision, the United States Supreme Court upheld key positions of the Patient Protection and Affordable Care Act.  To read more about the decision, please click here to read the Employee Benefits and Executive Compensation Client Service Group Alert published June 28, 2012.

Implications of Supreme Court Decisions on Health Reform

For a discussion of the consequences for plan sponsors of the Supreme Court’s decision on the constitutionality of the Patient Protection and Affordable Care Act, please click here to read the Employee Benefits and Executive Compensation Client Service Group’s Alert published June 26, 2012.

Chemical & Pesticide News

To learn more about regulatory changes relating to hazard communication, FDA oversight of cosmetics manufacturing and updates on FIFRA and TSCA enforcement by the EPA, please click here for the Spring 2012 issue of Chemical & Pesticide News published by the Environmental Client Service Group.

Bryan Cave Sports

To learn what’s necessary to build a great new sports facility (a mix of mastery of marketing, financing, design and diplomacy) please click here to read “The Birth of a Stadium” in the Summer 2012 issue of Bryan Cave Sports, published by the  Sports, Sponsorship and Event Venue Client Service Group.

Additional EU Restrictions on Exports to Syria

The EU issued regulations prohibiting the export of luxury goods to Syria from the EU or by EU nationals wherever located.  To learn more about the goods covered, please click here to read the Memorandum prepared by the International Trade Group on June 18, 2012.

New Jersey Bill Imposes Sanctions Against Iran

A New Jersey General Assembly committee approved a bill that would prohibit state and local government entities from entering into contracts with individuals or companies that engage in certain activities with respect to Iran.  For examples of goods and services covered and the authority cited for the measure, please click here to read the June 18, 2012 Memorandum published by the International Trade Group.

Proof of Standing in Federal court Class Actions

The Supreme Court’s opinion in Wal-Mart v. Dukes suggests that courts and litigants confronting the issue of absent class member standing in Rule 23 class actions should pay close attention to the role that the Rules Enabling Act plays in the analysis.  Please click here to read the Sedona Conference Paper – Absent Class Member Standing After Dukes.