• During Facebook CEO Mark Zuckerberg’s Senate grilling yesterday over the Cambridge Analytica scandal, his legal and lobbying teams sat right behind him, including General Counsel Colin Stretch, Associate General Counsel for Compliance Pearl Del Rosario, and Chief Privacy Officer Erin Egan. (Bloomberg) (National Law Journal)

• Facebook often turns to Cooley LLP for its litigation matters, but Gibson, Dunn & Crutcher LLP is representing the company in the rising number of privacy and securities suits over the scandal. (Bloomberg Law via BLB)

• An insurer for defunct firm Dickstein Shapiro filed a lawsuit against the firm and its insurance policy holders, seeking to escape liability for part of a $64 million malpractice verdict awarded in 2014 against a now-deceased Dickstein partner. (American Lawyer)

• Uber Technologies Inc.’s $10 million proposed settlement with women who sued the company over gender pay disparities is raising some questions about how it treats sexual harassment claims. Outten & Golden class-action employment lawyer Jahan Sagafi, who represented two Uber engineers in the case, called the settlement an “excellent result,” but he also said class members’ lack of enthusiasm about the harassment part of the case gave him pause about taking it. (Bloomberg)

• Apple Inc. was ordered to pay VirnetX Holding Corp. $502.6 million by a federal jury in Texas which found that the iPhone maker infringed patents for secure communications. But VirnetX may not have long to savor its win. (Bloomberg via BLB)

• As Tesla Motors confronts its thorny legal problems, its top lawyer is Todd A. Maron, a 2003 graduate of New York University School of Law and a former divorce attorney for Telsa CEO Elon Musk. (BLB)

• The London offices of Rupert Murdoch’s Fox Networks were raided by investigators from the European Commission, kicking off a wide-ranging probe of anti-competitive behavior related to sports rights. (Bloomberg)

• O’Melveny & Myers hired former federal prosecutor Nicole Argentieri as a partner in its white-collar defense and corporate investigations group. (BLB)

Lawyers and Law Firms

• The FBI raid on the office of Michael D. Cohen—personal attorney to President Donald Trump—puts an end to Cohen’s brief relationship with Big Law. (BLB via Bloomberg Law)

• SEC Chairman Jay Clayton, a former M&A partner at Sullivan & Cromwell, said one of the biggest surprises of his first year heading the agency has been learning about the levels of fraud surrounding initial coin offerings and penny stocks. “The fraudsters flocked to the new and attractive space. I guess that shouldn’t surprise me, but it does…” (Bloomberg)

• Sharon Fast Gustafson, the former Jones Day lawyer who is Trump’s general counsel nominee for the Equal Employment Opportunity Commission, faced questions about LGBTQ rights, sexual harassment, wellness programs, and forced arbitration, during her Senate committee hearing yesterday. (Bloomberg Law)

• The Senate started floor debate yesterday on Trump’s third nomination to the National Labor Relations Board, Morgan Lewis partner John Ring. If confirmed as expected, the management-side lawyer would swing the five-member board back to a 3-2 GOP majority. (Bloomberg Law)

• Lawyer Richard O. Gates’ “disruptive, abusive, and undignified” behavior when passing through courthouse security screening got him barred six months from practicing before a Virginia federal bankruptcy judge, or even entering the courthouse during that time. (Bloomberg Law via BLB)

Laterals, Moves, Law Firm Work

• Baker McKenzie said veteran tax and employment lawyer Michael Jaffe joined the firm as counsel in New York. Jaffe spent 30 years at PwC France Tax and Legal in Paris, and a little more than a year as a partner at Taylor Wessing, in both Paris and New York. (BakerMckenzie.com)

Legal Market

• Michigan State University’s ties to former Olympic gymnastics doctor Larry Nassar could cost it more than the $109 million that Penn State paid to 35 sexual abuse accusers of assistant football coach Jerry Sandusky, according to a report. Michigan State faces more than 250 Nassar victims and it has already been billed $9 million by law firms, an amount likely to rise. (Bloomberg)


• Fake news threatens U.K. businesses with reputational damage as well as falling sales and share prices, adding to the growing risk from cyber attacks facing companies, according to a report. (Bloomberg)

Compiled by Rick Mitchell and edited by Tom Taylor.

Rick Mitchell, a writer and journalist in France since 1995, is Bloomberg Law’s special correspondent for France and the OECD. He writes the Big Law Business Wake Up Call. Email Rick at rmitchell_ic@bna.com and send news for consideration to BigLawBusiness@bna.com.