Archive for February, 2018

Upcoming speeches: Pitt Law, IU-Bloomington

Pittsburgh and Indiana readers! I will be giving talks about gerrymandering and redistricting reform this Thursday (Pittsburgh) and Mar. 20 (Bloomington, Ind.). Details of the lunchtime talks:

Feb. 15: Pitt Law School Federalist Society chapter, with Duquesne Law Prof. Will Huhn.

Mar. 20: Indiana University Maurer School of Law Federalist Society chapter.

If you’re a longtime reader and would like to see if we could grab coffee, email editor at overlawyered dot com.

Relatedly, I’m pleased to report that my piece on politicians, voters, and gerrymandering is the lead essay in the latest Cato Policy Report, and that it’s now online.

Pharmaceutical roundup

“Colorado: Where Anyone Can Squelch Political Speech”

“Colorado’s byzantine system of campaign and political finance regulations not only [turns] a blind eye to First Amendment concerns, but actively incentivizes politically motivated, retaliatory litigation. Colorado is unique in being the only state to effectively outsource enforcement of its campaign finance regulations by allowing ‘any person who believes’ that campaign finance laws are being violated” to initiate litigation by filing a complaint. Now a court is considering an outside group’s motion to seal the records of one such case. Opening up such proceedings to public scrutiny could work to counteract abuse by documenting the law’s chilling effect and its use to squelch the speech of opponents, as in the case at issue, in which a local citizen found herself denounced to authorities after buying a newspaper ad commenting on a slate of candidates in a school board election. [Trevor Burrus and Meggan DeWitt on Cato objection, jointly with Reason Foundation, in Holland v. Williams]

ABA sticks up for lawyers’ and clients’ privacy

In the name of curtailing money laundering and the risk of terrorist finance, Sens. Chuck Grassley (R-Iowa), Dianne Feinstein (D-Calif.) and Sheldon Whitehouse (D-R.I.) have introduced a bill that would require extensive reporting on the ownership of small corporations and limited liability companies. Provisions of the law “would regulate many lawyers and law firms as financial institutions under the Bank Secrecy Act,” notes the ABA Journal, and require them “to gather extensive beneficial ownership information on businesses when they incorporate. The information would be held and disclosed on request to many governmental agencies and financial institutions.” The businesses themselves would also face direct reporting and regulatory burdens.

The ABA is opposing provisions in this bill on the ground that they would infringe on traditional attorney-client privilege. “Concerns about erosion of attorney-general privilege have played a role in resisting numerous bad regulatory and prosecutorial initiatives in recent years,” I write in a new Cato piece. “Now if only the rest of us who are not lawyers could get someone to stand up so effectively against the government on behalf of our privacy interests.”

“Trump proposes biggest civil service change in 40 years”

This could be major: President Trump may be set to propose the biggest civil service changes in 40 years, with goals of flushing underperformers in the federal workforce and boosting pay-for-performance. “Trump is using the VA Accountability Act, which gave the Secretary of Veterans Affairs greater authority to fire and discipline workers, as a model. The White House says that law has resulted in the dismissal of 1,470 employees, the suspension of 443, demotions for 83 others last year.” The head of the American Federation of Government Employees charged that Trump was “interested in political revenge by firing people” and that his proposal “wipes out due process rights for employees.” Currently 99.7% of federal employees get the satisfactory rating (“fully successful”) needed to qualify for stepwise pay increases as well as cost-of-living. [Gregory Korte, USA Today] My City Journal take on the perennial challenge of civil service reform, back when, is here.

“Detroit just banned Airbnb without anyone knowing it”

Infuriating: Detroit says it will take a pause for legal review before enforcing a new zoning ordinance that would ban homeowners through much of the city from accepting AirBnB rentals. The ordinance would interpret rentals as home-based businesses, which are disallowed in residential zones, and on its face appears to prohibit taking in even friends or relatives to share quarters if the person pays rent. Following a public outcry, the city council put out word that it does not intend to ban AirBnB and will amend the ordinance if necessary to avoid that. [Tom Perkins/Metro Times, Robin Runyan, Curbed Detroit, Deadline Detroit]

Liability roundup

Banking and finance roundup

  • D.C. Circuit’s en banc decision upholding constitutionality of CFPB disappointing but not surprising. On to SCOTUS [Ilya Shapiro, Aaron Nielson, Jonathan Adler]
  • Big thinking under way at the SEC could replace securities class action sector with free contract: “The SEC should authorize mandatory arbitration of shareholder class action lawsuits” [Bainbridge, Benjamin Bain/Bloomberg News (noting that broker dealers have long been free to use arbitration clauses)]
  • Milberg Weiss founder Melvyn Weiss dies at 82 [ABA Journal, our coverage over the years of Weiss and his firm, @PaulHorwitz (“Give generously, and to the right people, so that your NYT obit can be a glowing apologia despite a few inconvenient facts.”)]
  • Here come the shareholder derivative suits over sleazy-boss #MeToo scandals [Kevin LaCroix] “NERA: 2017 Securities Suits Filed at ‘Record Pace'” [same]
  • Rogoff rebuttals: “More Evidence of the High Collateral Damage of a War on Cash” [Lawrence White, Cato, earlier] “Money as coined liberty” [David R. Henderson]
  • Quotas/targets for percentages of women, disabled and indigenous persons on Canadian corporate boards? [Terence Corcoran/Financial Post, more]

Concert booker not liable for patron’s injury

“The Alabama Supreme Court says a man can’t go forward with his lawsuit against a company involved in booking a death metal concert where he was injured.” The plaintiff said he was thrown to the ground during the Mobile event and suffered serious spinal injuries. “The decision says ICM Partners received a $250 commission for booking the band but had no other involvement.” [Insurance Journal; compare successful claims against advertisers, broadcasters, and others following the 2003 Rhode Island Station Nightclub fire]