This week, the Seventh Circuit reversed a conviction under the Anti-Kickback Statute (AKS) because the payments at issue—to advertisers—did not reflect an intent “to induce.” United States v. Sorensen, No. 24-1557 (7th Cir. Apr. 14, 2025). The advertisers, after all, wielded no influence over healthcare decisions. And advertising cannot be an AKS-prohibited “referral” in the
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Three Takeaways from the Trump Administration’s Latest Push for Shifts in Domestic Energy Production
On April 8, 2025, President Trump issued three executive orders reflecting the Administration’s push for increased domestic coal production. The orders point to the surge in electricity demand from data centers and other infrastructure required to support Trump Administration goals, including becoming a leader in artificial intelligence (AI), as a key rationale. Here are three…
Second Circuit Upholds District Court Ruling that FCA and AKS Scienter Is Not Present Where Defendant Previously Received Favorable HHS-OIG Advisory Opinions
This week, the Second Circuit upheld a dismissal from the Southern District of New York holding that a defendant did not fulfill the False Claims Act (“FCA”) or Anti-Kickback Statute (“AKS”) scienter requirements where the defendant sought and received favorable advisory opinions from the Department of Health and Human Services Office of Inspector General (“HHS-OIG”).…
States Propose New Indirect Source Rules Targeting Warehouse Emissions
A growing number of states are advancing indirect source rules (ISRs), making warehouse and related logistics operations responsible for reducing or offsetting air pollution from the vehicles that transport goods to and from the covered warehouses. California’s South Coast Air Quality Management District (SCAQMD) has already adopted Rule 2305 — affecting warehouses in the Los…
New York Proposes Mandatory Greenhouse Gas Reporting Rule
Last month, the New York State Department of Environmental Conservation (DEC) announced that it is considering a rule that would subject certain greenhouse gas (GHG) emissions sources to a mandatory reporting rule. This proposed rule aims to collect comprehensive emissions data from large GHG emitters across the state. Although the rule only proposes to impose…
Financial Entities in the EU: Time to Register Your ICT Third-Party Service Providers under DORA
The European Union’s (“EU”) Digital Operational Resilience Act (“DORA”) became effective on 17 January 2025. Since then, financial entities (such as banks, insurance companies and investment firms) and their ICT third-party service providers operating in the EU have been – directly or indirectly – subject to the new regime. One of the first key DORA…
Another “Super Year” for Activism
2024 was called a “super year” for political elections, with 72 countries and half the world’s population going to the polls. Incumbent political parties across the globe lost these elections at a dizzying rate as voters punished those seen as responsible for inflation and other economic woes. It was also a booming year for shareholder…
EU Commission Publishes AI Continent Action Plan and Seeks Input
On April 9, 2025 the European Commission adopted a communication on the so-called AI Continent Action Plan – its strategy to shape the next phase of AI development in Europe, with consultation to follow. The Commission’s declared objective is to transform the EU into a global leader in AI by fostering innovation, ensuring trustworthy AI,…
Fifth Circuit Concurrence Finds FCA’s Qui Tam Device Unconstitutional
The Fifth Circuit Court of Appeals recently vacated a $28.7 million verdict in a declined FCA qui tam because the district court improperly relied on the relators’ post-trial expert declarations to calculate damages. Writing separately in a concurrence, Judge Duncan also condemned the “constitutional flaws in the FCA’s qui tam device,” citing the logic of…
Texas Business Court Weighs In on Contractual Restrictions on Fiduciary Duties
Earlier this month, in one of the first opinions in which the newly established Texas Business Court has addressed the merits of a claim, the court granted in part and denied in part a motion for summary judgment in Primexx Energy Opportunity Fund, LP v. Primexx Energy Corporation. The opinion provides a first look…