Law, disrupted Law, disrupted

John is joined by Jesse Bernstein, Partner in Quinn Emanuel’s New York Office and Co-Chair of the Securities Litigation Practice.  Jesse explains that the term “securities” applies not only to stocks and bonds, but arguably to any situation where a group of investors place their resources into a common entity where they expect to make profits from the efforts of others.  He describes the sources of securities law, including state blue sky laws, the Securities Act of 1933 (which focuses on initial issuances), the Securities Exchange Act of 1934 (which focuses on intentional misrepresentations in securities transactions and the Private Securities Litigation Reform Act of 1995 (which sought to curb perceived abuses in securities litigation by raising the pleading standards required to establish scienter and creating a safe harbor for forward looking statements).  They discuss the Supreme Court’s recent ruling in Moab Partners v. Macquarie Infrastructure that pure omissions of material fact are not actionable under Rule 10(b)(5) because the rule only covers affirmative misstatements.  Jesse then explains how a Quinn Emanuel team obtained a jury verdict last year in Elon Musk’s favor in a rare securities class action trial on a $12 billion claim based on Mr. Musk’s tweet about taking Tesla private.  He describes the arguments made concerning materiality and loss causation that ultimately led to the victory.  Finally, they discuss upcoming issues in securities law including how the Macquarie decision will impact cases. 


Podcast Link: Law-disrupted.fm
Host: John B. Quinn
Producer: Alexis Hyde
Music and Editing by: Alexander Rossi

John is joined by Dr. Hamed Merah, Chief Executive Officer of the Saudi Center for Commercial Arbitration (SCCA) and Nasser Alrubayyi, Managing Partner (KSA), Co-Chair Middle East & North Africa Practice .  They discuss commercial arbitration in the Kingdom of Saudi Arabia and the recent impact of the Saudi Center for Commercial Arbitration. Dr. Hamed explains SCCA’s mission to establish a world class center with full case management services where foreign parties will feel comfortable submitting their disputes to a diverse roster of accomplished, impartial independent arbitrators. Although almost half of the SCCA’s caseload is construction related, it also adjudicates cases involving banking, capital markets, intellectual property, media, and the pharmaceutical industry.  They discuss how legislation in the last five years has removed restrictions on Saudi governmental entities submitting disputes to arbitration to the point that arbitration with the SCCA is now the default option in contracts between governmental entities and foreign parties. Nasser explains that parties are increasingly moving from ad hoc stand-alone arbitration procedures to institutional arbitration through the SCCA because the SCCA is the quicker and more cost efficient option. Dr Hamed also describes a recent study concluding that more than 90% of the SCCA’s awards have been upheld when challenged in annulment proceedings.  Finally, they discuss how arbitration with the SCCA is becoming more popular in technical cases, IP cases and construction disputes.


Podcast Link: Law-disrupted.fm
Host: John B. Quinn
Producer: Alexis Hyde
Music and Editing by: Alexander Rossi

John is joined by Professor Song Sang-Hyun, retired Professor of Law at Seoul National University and former President of the International Criminal Court.  Professor Song explains the origins of the Korean civil justice system which is based upon the German system by way of Japan.  He discusses  how after World War II, American Army officers drafted many of Korea’s statutes and, in the past two decades, American law in fields such as corporate law, shipping and aviation law, antitrust law, securities regulations, intellectual property, and class action lawsuits have increasingly influenced Korean law.  They then discuss Korean pretrial practice which does not involve voluminous document discovery or any depositions and often involves the trial judge also acting as a mediator.  Professor Song explains some of the unique aspects of Korean trial practice including Korea’s recent adoption of juries that render advisory decisions on disputed facts and that cases average less than a year from filing through trial.  They also discuss that the loser must pay the winner’s attorneys’ fees, although, in practice, courts tend to award less than all the fees incurred.  Finally, they discuss some of the emerging issues in Korean law including labor, environmental and privacy law as well as the protection of personal information.


Podcast Link: Law-disrupted.fm
Host: John B. Quinn
Producer: Alexis Hyde
Music and Editing by: Alexander Rossi

John is joined by Eytan Liraz, the Principal of Eytan Liraz & Co. Law Offices, one of the foremost business litigation firms in Israel.  Eytan explains some of the unique aspects of business litigation in Israel, including that Israel has more lawyers per capita than any other country on earth, that aggressive litigation is a common and accepted business strategy, and that Israel has far more class action lawsuits than other countries, including lawsuits where the complaints are literally copies of class action complaints that have been filed in the U.S.  He also explains the three phases that each lawsuit goes through: (1) the initial phase in which the claimant files a statement of claim raising its main arguments and elements of proof and the defendant files a statement of defense containing its arguments and proof, (2) the pretrial phase in which limited discovery and any preliminary motions take place and all evidence and expert opinions are filed with the court, and (3) the interrogation phase in which the parties are allowed to conduct cross-examinations of the adversary’s witnesses.  Cases are usually decided within one year and four months of the first filing.  Finally, they discuss the impact the events of October 7 have had on litigation in Israel including the number of lawyers who are not available due to military service, the entire court system shutting down for two months and the general effect, now dissipating, of people being unusually reluctant to litigate.


Podcast Link: Law-disrupted.fm
Host: John B. Quinn
Producer: Alexis Hyde
Music and Editing by: Alexander Rossi

John is joined by Courtney Bowman, the Global Director of Privacy and Civil Liberties at Palantir, one of the foremost companies in the world specializing in software platforms for big data analytics. They discuss the emerging trends in AI regulation.  Courtney explains the AI Act recently passed by the EU Parliament, including the four levels of risk it assesses for different AI systems and the different regulatory obligations imposed on each risk level, how the Act treats general purpose AI systems and how the final Act evolved in response to lobbying by emerging European companies in the AI space. They discuss whether the EU AI Act will become the global standard international companies default to because the European market is too large to abandon. Courtney also explains recent federal regulatory developments in  the U.S. including the framework for AI put out by the National Institute of Science and Technology, the AI Bill of Rights announced by the White House which calls for voluntary compliance to certain principles by industry and the Executive Order on Safe, Secure and Trustworthy Development and Use of Artificial Intelligence which requires each department of the federal government to develop its own plan for the use and deployment of AI.  They also discuss the wide range of state level AI legislative initiatives and the leading role California has played in this process.  Finally, they discuss the upcoming issues legislatures will need to address including translating principles like accountability, fairness and transparency into concrete best practices, instituting testing, evaluation and validation methodologies to ensure that AI systems are doing what they're supposed to do in a reliable and trustworthy way, and addressing concerns around maintaining AI systems over time as the data used by the system continuously evolves over time until it no longer accurately represents the world that it was originally designed to represent.


Podcast Link: Law-disrupted.fm
Host: John B. Quinn
Producer: Alexis Hyde
Music and Editing by: Alexander Rossi

John is joined by Christopher Bogart, CEO, Director and Co-Founder of Burford Capital, the largest litigation funding firm in the world.  They discuss the use of AI and data science in litigation funding decisions. Chris explains that while AI is currently not advanced enough to make decisions on whether to fund a case, advances in data science now allow litigation funders to improve their decisions by examining enormous amounts of public data to find meaningful facts such as accurate damage ranges that are often buried deep in individual case dockets. Chris also identifies the key data points used to evaluate whether to fund a case, including the legal theory of the case, the counsel representing the parties, the judge or arbitrator presiding over the case, and the likely time to reach an outcome.  Finally, John and Chris also discuss other ways that AI is impacting the legal profession including the use of AI to provide real time assistance in cross examination, the use of AI by courts in Singapore and Connecticut to adjudicate low value routine matters and traffic violations, and how AI has enabled smaller firms to expand into areas of litigation they previously could not handle such as large antitrust cases by automating the review and processing of millions of pages of documents.
 


Podcast Link: Law-disrupted.fm
Host: John B. Quinn
Producer: Alexis Hyde
Music and Editing by: Alexander Rossi