Wells Fargo’s New General Counsel Builds Team by Raiding Banks

Change is coming to Wells Fargo & Co. The financial services giant, already coping with layoffs and upheaval in its compliance unit, recruited a pair of former legal chiefs from TD Bank and Santander in recent months. Now the company is looking to fill out the rest of its law department leadership.

Barclays Raid: Wells Fargo confirmed that Emma Bailey, Americas general counsel at Barclays in New York, will join the company in September as a deputy general counsel. Bailey will report to Wells Fargo’s new general counsel Ellen Patterson.

Executive Changes: Two other deputy general counsel—Bevelyn Coleman and Suzanne Alwan—are retiring from Wells Fargo. The company said it’s looking to hire at least three more new deputy general counsel as part of a legal group restructuring under Patterson. Brian Baxter has the story.

COMPLIANCE

California Privacy Law Enforcement Risk Grows With New Rules
Less than a week after the landmark California privacy law’s final rules took effect, companies face a greater risk of being targeted for possible violations.

Facebook, Google Data Sent From EU Violates Privacy, Group Says
Companies that send data from the European Union to Facebook Inc. and Alphabet Inc.‘s Google violate the bloc’s privacy law because the information is subject to U.S. surveillance, privacy advocates alleged.

ANALYSIS: Will GDPR Report Cards Prompt Easier Implementation?
The introduction of the European Union’s General Data Protection Regulation (GDPR) held a lot of promise and boasted a lofty goal: Promote a common privacy culture throughout Europe. More than two years later and despite reports revealing some progress, issues and concerns remain about the GDPR’s implementation and enforcement.

Uber, Lyft Take Worker Fight to Ballot Box After Court Win
Uber Technologies Inc. and Lyft Inc. were spared in a California appeals court last week from being forced to comply with a state law that, they say, would upend their business models. But the relief will be temporary.

A #MeToo Lesson for CEOs: Being a Creep Puts Stock Price at Risk
The MeToo movement has cleansed several corporations of notorious sexual harassers. If that’s not enough to get creeps in the C-Suite and elsewhere in the company to amend their ways, here’s something else for them to consider: This type of behavior can do serious damage to the stock price.

On-and-Off Leave for Working Parents in Limbo as Schools Restart
Working parents face uncertainty about their right to use federally guaranteed paid leave at their discretion, thanks to a recent court ruling that muddled the issue as a new school year begins and Covid-19 infections persist.

Tennessee Governor Signs Covid-19 Business Liability Shield
Tennessee joined at least 10 other states in broadly limiting liability lawsuits related to Covid-19 exposure, under legislation Gov. Bill Lee signed into law.

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• Bloomberg Law is constantly adding enhancements to the Coronavirus In Focus page.

PRACTITIONER INSIGHTS

INSIGHT: Robust Compliance Plans Can Limit PPP False Claims Act Liability
Businesses that took on Paycheck Protection Loans to help weather the Covid-19 economic storm need to understand their potential liabilities under the False Claims Act. Selendy & Gay attorneys offer pointers, like implementing a robust compliance plan, adopting reasonable interpretations of rules, and conducting fast internal investigations of whistleblower complaints.

INSIGHT: Gig Economy Workers Deserve Better Protections
Gig economy employees, like those working for Uber and Lyft, are entitled to the same labor protections that many of us take for granted. Brian Chen, attorney with National Employment Law Program, says the tide is turning in the courts and the theory that these workers benefit from “flexibility” and “freedom” is facing a reckoning.

INSIGHT: Up in Smoke? Attacks on Marijuana Farming Under RICO
Private plaintiffs are increasingly using the citizen-suit provision of the RICO Act to attack marijuana farmers. Randy D. Gordon, a partner at Barnes & Thornburg LLP and executive professor at Texas A&M University School of Law, examines the implications of these civil cases and impact on marijuana cultivators.

BUSINESS & PRACTICE

Plaid Picks Up Former CFPB Legal Chief as New Top Lawyer
Plaid Inc., a fintech company poised to be absorbed by Visa Inc., has hired former Consumer Financial Protection Bureau general counsel Meredith Fuchs to serve as its legal chief.

Cannabis Companies Tap Top Lawyers as CEOs Amid Legal Challenges
A pair of in-house lawyers with high hopes for legal cannabis products are moving up in the C-suite, while a longtime health and fitness industry legal chief has found a home in the legal weed space.

Legal Tech ‘App Store’ Reynen Court Releases Version 2.0
The legal tech “app store” that has enlisted almost 20 major law firms as backers has released a second version of its platform.

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• Bloomberg Law’s In Focus: Legal Operations page has been updated to enhance navigation for subscribers to the service. Fundamental categories with dropdown guidance are now clearly identified under Practical Guidance on the left side of the page. More categories will be added in the coming months.

LEGAL NEWS

Noncompete Agreements Face Scrutiny From Courts Amid Pandemic
Even with unemployment at 70-year highs during the Covid-19 pandemic, employers continue going to court to enforce noncompete agreements and prevent former employees from taking new jobs.

Bayer to Pay $1.6 Billion to End U.S. Suits Over Contraceptive
Bayer AG agreed to pay $1.6 billion to resolve most of the U.S. litigation over its now-withdrawn Essure contraceptive device, which some women said caused excessive bleeding and pelvic pain or failed to prevent pregnancies.

Goldman Completes Deal With Malaysia to End Complaint Over 1MDB
Goldman Sachs Group Inc. and Malaysia signed an agreement to finalize the bank’s $3.9 billion settlement over the 1MDB scandal.

Uber Ex-Security Chief Charged With Covering Up Data Hack
Uber Technologies Inc.’s former chief security officer Joseph Sullivan was charged with covering up a 2016 data breach that compromised the personal information of 57 million drivers and users.

Minus Musk, Tesla Board Gets Court Nod for SolarCity Settlement
Tesla Inc. directors, with the notable exception of Chief Executive Officer Elon Musk, won court approval for a $60 million settlement of derivative claims by shareholders who say they were defrauded when the electric vehicle maker acquired another Musk-affiliated company, SolarCity, for $2 billion in 2016.

PwC Age Discrimination Class Action Settlement Approved by Court
An agreement for PricewaterhouseCoopers LLP to pay $11.6 million to settle class action claims it discriminated against older job applicants was preliminarily approved by a federal court in California, which said the settlement appears fair and reasonable.

CORPORATE GOVERNANCE

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