Category Archives: Data Analytics

Beware the Tariff DDP Trap: Managing Hidden Import Liabilities Before They Bite

by Jonny Frank and Jerry McAdams 

Photos of authors

Left to right: Jonny Frank and Jerry McAdams  (photos courtesy of StoneTurn Group, LLP)

Looking to mitigate tariffs, companies are purchasing foreign products through Duty Paid (“DDP”) transactions marketed by foreign suppliers as turnkey solutions.  DDPs promise efficiency but often deliver exposure. Under U.S. law, the importer—not the supplier—remains legally responsible for accurate customs declarations, tariff payments, and regulatory compliance. When suppliers cut corners or game the system, the importer inherits the fallout, including potential Customs Border Protection (“CBP”) penalties, DOJ criminal prosecution and False Claim Act (“FCA”) exposure.

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Future-Proofing Private Equity and Venture Capital: Leveraging AI for Strategic Advantage and Higher Returns

by Sabrina Hannam, Ibe Imo, Shana Sharan, and Ash Buonasera

Left to right: Sabrina Hannam, Ibe Imo, Shana Sharan and Ash Buonasera (photos courtesy of Boardswell)

In the high-stakes world of private equity, venture capital, and technology, a silent revolution is underway, transforming the very essence of how firms operate and compete. It’s a story not of human titans clashing in boardrooms, but of a new collaborator—Artificial Intelligence (AI)—that is rewriting the rules of engagement for human capital management. Once a tool for streamlining simple tasks, AI has evolved into a “digital colleague,” capable of autonomous decision-making and strategic support that extends far beyond the traditional confines of talent acquisition. This shift is challenging long-held practices and heralding an era where success is no longer solely defined by human intuition but by a symbiotic relationship between bold leadership and intelligent machines. Continue reading →

California Adopts New Employment Al Regulations Effective October 1, 2025

by Arsen Kourinian, Ruth Zadikany, and Remy N. Merritt

Left to right: Arsen Kourinian, Ruth Zadikany, and Remy N. Merritt (photos courtesy of Mayer Brown)

The California Civil Rights Council (CRC) recently announced that it has finalized regulations that clarify how California’s anti-discrimination laws apply to the use of artificial intelligence (Al) and automated decision systems (ADSs) in employment decision-making (the “Regulations”). The Regulations provide that the use of an ADS (including Al) in making employment decisions can violate California law if such tools discriminate against employees or applicants — either directly or due to disparate impact — on the basis of protected characteristics (including race, age, religious creed, national origin, gender, and disability).

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Federal Judicial Conference to Revise Rules of Evidence to Address AI Risks

by Avi Gesser, Jim Pastore, Matt Kelly, Gabriel Kohan, and Jackie Dorward

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From left to right: Avi Gesser, Jim Pastore, Matt Kelly, Gabriel Kohan, and Jackie Dorward (photos courtesy of Debevoise & Plimpton LLP)

As the first quarter of 2025 draws to a close and we look ahead to the spring, important changes to the Federal Rules of Evidence (“FRE”) regarding the use of AI in the courtroom are on the horizon. Specifically, the Federal Judicial Conference’s Advisory Committee on Evidence Rules (the “Committee”) is expected to vote on at least one AI-specific proposal at its next meeting on May 2, 2025. The Committee has been grappling with how to handle evidence that is a product of machine learning, which would be subject to Rule 702 if propounded by a human expert.

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Lessons Learned: One Year of Form 8-K Material Cybersecurity Incident Reporting

by Charu A. Chandrasekhar, Erez Liebermann, Benjamin R. Pedersen, Paul M. Rodel, Matt Kelly, Anna Moody, John Jacob, and Talia Lorch 

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Top (left to right): Charu A. Chandrasekhar, Erez Liebermann, Benjamin R. Pedersen, and Paul M. Rodel. Bottom (left to right): Matt Kelly, Anna Moody, John Jacob, and Talia Lorch. (Photos of courtesy of Debevoise & Plimpton LLP)

On December 18, 2023, the Securities and Exchange Commission’s (the “SEC”) rule requiring disclosure of material cybersecurity incidents became effective. To date, 26 companies have reported a cybersecurity incident under the new Item 1.05 of Form 8-K (“Item 1.05”). After over a year of mandatory cybersecurity incident reporting, we examine the key trends and takeaways.

Key Takeaways from a Year of Cybersecurity Incident Reporting on Form 8-K

In early 2024, companies filed a flurry of Forms 8-K under Item 1.05, which stated that the relevant cybersecurity incidents did not have material impacts on the companies’ financial conditions or results of operations. These disclosures were in response to the SEC’s rules requiring that cybersecurity incident disclosures include a description of “the material aspects of the nature, scope, and timing of the incident, and the material impact or reasonably likely material impact on the issuer, including its financial condition and results of operations.” Following these disclosures, the SEC clarified its expectations for cybersecurity incident reporting in a statement issued by the Director of the SEC’s Division of Corporation Finance (the “Statement”), as well as through several comment letters issued by the Staff of the SEC (the “Staff”) to companies which filed Item 1.05 Forms 8-K.

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Explaining Credit Scores – The ECJ Rules on Automated Credit Assessments

by Katja Langenbucher and Kevin Bauer

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Left to right: Katja Langenbucher and Kevin Bauer (photos courtesy of authors)

A little over a year ago, the SCHUFA tightened the requirements for credit scoring under the EU GDPR. On February 27, the Court handed down further instructions on providing scored consumers with “meaningful information about the logic involved” as required by Art. 15(1)(h) of the GDPR.

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Children’s Online Privacy: Recent Actions by the States and the FTC

by Amber C. Thomson, Howard W. Waltzman, Kathryn Allen, and Megan P. Von Borstel

Photos of authors.

Amber C. Thomson, Howard W. Waltzman, Kathryn Allen, and Megan P. Von Borstel (Photos courtesy of Mayer Brown)

As the digital world becomes an integral part of children’s lives, state legislatures are placing greater emphasis on regulating how companies handle children’s personal information. This article explores the recent developments in state and federal children’s privacy legislation, examining how states are shaping the future of online safety for minors and shedding light on amendments to the federal Children’s Online Privacy Protection Act.

As social media companies and digital services providers increasingly cater to younger audiences, state legislatures are placing greater emphasis on regulating how companies handle children’s personal information. This Legal Update explores the recent developments in state and federal children’s privacy legislation, examining how states are shaping the future of online safety for minors and shedding light on amendments to the federal Children’s Online Privacy Protection Act (“COPPA”).

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Use of Artificial Intelligence in CFTC-Regulated Markets

by Marc Gilman

Photo of the author

Photo courtesy of the author

On December 5, 2024, the U.S. Commodity Futures Trading Commission (the “CFTC,” or the “Commission”) staff issued an advisory related to the use of artificial intelligence (“AI”) by CFTC-registered entities and registrants (the “Advisory”). In tandem, two CFTC representatives – Chairman Rostin Behnam and Commissioner Kristin N. Johnson – released statements supporting the Advisory and offering thoughts about the current and future implications of AI on CFTC registrants. This blog post will summarize the contents of the Advisory as well as the related statements of the CFTC representatives to collect a set of practical considerations for designing CFTC compliance programs to meet evolving regulatory expectations for the use of AI. 

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Sweeping AI Legislation Under Consideration in Virginia

by Beth Waller and Patrick Austin

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Beth Burgin Waller and Patrick J. Austin (photos courtesy of Woods Rogers Vandeventer Black PLC)

Virginia, a leader in technology and privacy related regulations, is methodically examining artificial intelligence legislation.  In particular, significant legislation establishing a regulatory framework for high-risk Artificial Intelligence (AI) systems is currently being considered by the Virginia General Assembly’s Joint Commission on Technology and Science (JCOTS). JCOTs – a permanent legislative agency that studies and develops technology and science related policies in Virginia – has held several hearings on the topic in an effort to hear expertise related to AI issues and has formed an AI specific Subcommittee.  The JCOTS AI Subcommittee is considering two pieces of legislation that would govern the use of high-risk AI systems by public entities and private sector entities.

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AI Judgment Rule(s)

by Katja Langenbucher

Photo of Professor Katja Langenbucher

Photo courtesy of author

In an upcoming paper, I explore whether the use of AI to enhance decision-making brings about radical change for legal doctrine or, by contrast, is just another new tool. The essay submits that we must rethink the law’s implicit assumption that (and how) humans make the decisions that corporate law regulates. If there is movement in implicit assumptions about how people make decisions, legal rules need review.

Decision-making is the cornerstone of corporate life and of keen interest to a variety of scholarly disciplines. They range from rational-actor theories over behavioral approaches to neuro-economics and psychology. The law has its own theories on decision-making. Many are normative and specify decision procedures and outcomes. In addition, the law rests on implicit theories of decision-making: A legal rule will look different if, for instance, it assumes either that decision-making follows optimal choice patterns or that heuristics and biases guide human decisions.

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