Welcome to A&O Shearman's Need-To-Know Litigation Weekly, which analyzes notable U.S. decisions, orders and developments each week in areas of Securities Litigation, Government/Regulatory Enforcement, M&A and Corporate Governance, Antitrust Litigation and IP Litigation. This weekly newsletter is intended to supplement our various publications and thought leadership concerning these important substantive areas.
Securities Litigation
Washington District Court Declines To Dismiss Putative Class Action Against Coffee Retailer
On November 19, 2025, Judge John H. Chun of the United States District Court for the Western District of Washington pared the allegations in a putative class action asserting claims under the Securities Exchange Act of 1934 against a global coffee retailer and certain of its current and former executives. Garbaccio v. Starbucks Corp., ––F. Supp. 3d––, 2025 WL 3228275 (W.D. Wash. 2025).Read More
Southern District Of New York Denies Leave To Amend Putative Securities Class Action Complaint Against Software Company
On November 7, 2025, Judge John G. Koeltl of the United States District Court for the Southern District of New York denied a motion for leave to amend a putative securities class action complaint asserting claims against a software company (the “Company”) and certain of its officers (the “Individual Defendants”) under Sections 10(b) and 20(a) of the Securities Exchange Act of 1934 (the “Exchange Act”) and Rule 10b-5 promulgated thereunder. In re Adobe Inc., No. 23-cv-9260 (S.D.N.Y. Nov. 7, 2025). Read More
Government/Regulatory Enforcement
FINRA Fines Brokerage Firm $10M for Lavish Gifts and Entertainment
On November 3, 2025, the Financial Industry Regulatory Authority (“FINRA”) announced a $10 million sanction against a brokerage firm for alleged violations of its gifts, non-cash compensation, and entertainment rules. According to FINRA, firm representatives provided excessive gifts and entertainment to brokerage firm personnel and created inaccurate and misleading internal records to hide the misconduct.Read More
Fifth Circuit Judge Renews Scrutiny Of FCA’s Qui Tam Constitutionality
On November 3, 2025, the United States Court of Appeals for the Fifth Circuit affirmed the dismissal with prejudice of an action under the False Claims Act (“FCA”) against an inpatient-rehabilitation facility. See United States v. Encompass Health Rehab. Hosp. of Pearland, No. 25-20093 (5th Cir. 2025).Read More
M&A and Corporate Governance
Delaware Court Of Chancery Finds Cancellation And Repurchase Of Shares Unauthorized For Failure To Adhere To Corporate Formalities
On September 9, 2025, Vice Chancellor J. Travis Laster of the Delaware Court of Chancery issued a post-trial decision in favor of plaintiffs with respect to a conversion claim in an action brought by two co-founders of a startup who alleged that defendants, two other co-founders, including the CEO, and the Company wrongfully deprived them of their shares. Foley v. Session Corp., C.A. No. 2023-0186-JTL (Del. Ch. Sept. 9, 2025).Read More
Delaware Chancery Court Grants Partial Judgment On Post-Acquisition Earnout Payments, Finding They Were Not Conditioned On Compliance With Other Provisions
On July 31, 2025, Vice Chancellor Lori W. Will of the Delaware Court of Chancery granted partial judgment on the pleadings on a breach of contract counterclaim asserted by defendant, the former majority owner of two intellectual property insurance underwriting companies that were sold to a risk management company (the “Buyer”), in his individual capacity and also as the representative of the sellers (the “Sellers’ Representative”) in a post-acquisition dispute.Read More
Antitrust Litigation
Minnesota Court Grants In Part And Denies In Part Motion To Dismiss Granulated Sugar Antitrust MDL
On October 15, 2025, Judge Jerry W. Blackwell of the United States District Court for the District of Minnesota granted in part and denied in part defendants’ motions to dismiss a multidistrict litigation alleging a conspiracy to fix prices and exchange competitively sensitive information among granulated sugar producers. In re Granulated Sugar Antitrust Litig., MDL No. 34-3110 (JWB/DTS).Read More
Meta “Holds No Monopoly” And Defeats FTC Antitrust Lawsuit
On November 18, 2025, the United States District Court for the District of Columbia entered judgment for Meta Platforms, Inc. (“Meta”), denying the Federal Trade Commission’s (“FTC”) request for a permanent injunction, holding that the agency failed to prove Meta currently holds monopoly power in the FTC’s alleged relevant product market.Read More
Intellectual Property Litigation
Federal Circuit Grapples With Standard For Judicial Correction Of Patent Claim Language
On November 12, 2025, the U.S. Court of Appeals for the Federal Circuit (“CAFC”) reversed and remanded the claim construction decision of the U.S. District Court for the Southern District of Texas that invalidated for indefiniteness several claims of U.S. Patent No. 10,794,122 (“the ’122 Patent”). Canatex Completion Solutions, Inc. v. Wellmatics, LLC, No. 2024-1466, __ F.4th __ (Fed. Cir. Nov. 12, 2025).Read More
Federal Circuit Continues Its Strict Review Of Genus Claims And Reverses Lack Of Written Description Verdict
In Duke University v. Sandoz Inc., No. 2024-1078, __ F.4th __ (Fed. Cir. Nov. 12, 2025), the Federal Circuit reversed a judgment of the United States District Court of Colorado, and held the sole, infringed claim invalid for lack of written description because the specification broadly discloses billions of prostaglandin compounds without representative species or adequate “blaze marks” to the claimed subgenus.Read More