The Fifth Circuit majority zeroed in on the “double-layered delegation” of the authority to set the tax rate for the universal service fund, which is used to subsidize phone and internet services for rural and low-income areas, as well as schools, hospitals and libraries, across the country. With the holding, the conservative Fifth Circuit did what the Sixth, Eleventh and D.C. circuits had declined to do in cases brought by the conservative nonprofit Consumers’ Research against the FCC raising this same issue.
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Simpson Thacher’s Houston Office Advised on KKR/T-Mobile Metronet Deal
Corporate partners Breen Haire and Shamus Crosby advised on the creation of a joint venture with T-Mobile to secure Metronet, along with its two million broadband customers across 17 states.
Updated with Q&A: Egan Nelson Boosts Commercial Litigation Practice with Mark Johansen from Reed Smith
Dallas commercial litigator Mark L. Johansen has moved to boutique law firm Egan Nelson, the firm announced this week. Johansen spoke with The Lawbook about his reasons for the move and a pending case he is considering removing to the new business courts.
Bonjour Bracewell: Houston Firm Opens in Paris
On the eve of the opening ceremony for the Paris 2024 Olympics, Bracewell announced it has recruited an 11-lawyer energy and infrastructure team from Norton Rose Fulbright to open its third international office.
Helmerich & Payne Buys KCA Deutag for $1.97B
A mostly Houston team from Kirkland & Ellis advised Tulsa-based buyer and A&O Shearman assisted the Scottish target, which would establish H&P as a global leader in onshore drilling.
Texas Law: New Business Courts Should Reject Prior Pending Cases
There have been reports of some confusion regarding whether cases pending in Texas state courts on Aug. 31 that otherwise satisfy the jurisdictional requirements of the Texas business court can be removed to the business court after it opens its doors on Sept. 1. The answer is clear. Attempts to remove these cases should be rejected by the business court.
The clear intent of HB19’s authors was that pending cases in Texas state courts should not be pulled and sent to the business court Sept. 1. With the small number of judges initially serving the business court, the limited history, precedent and resources of the business court when it opens, and the potential for constitutional challenge, it was recognized that the business court would not have the resources to respond to a possible avalanche of hundreds if not thousands of pending cases.
The First Half of 2024: The Role of Billion-Dollar Deals
Nothing says Texas M&A better than a billion-dollar deal. And in the first half of 2024, there were plenty of them.
Conn’s Taps Sidley to Lead Bankruptcy
The Texas discount furniture and appliance retailer filed for Chapter 11 bankruptcy protection Tuesday in the Southern District of Texas citing more than $1 billion in debts.
Recidivist Acquiror IDEX Buys Mott for $1B
Sidley, led out of Dallas, advised the publicly traded IDEX. Cooley assisted the employee-owned Mott, which fits the buyer’s “sweet spot” of highly engineered, configurable mission-critical components.
Proposed Anti-Money Laundering Rules and Other Requirements: Has the SEC Exceeded Its Authority in Regulating Private Funds?
In May, the Securities and Exchange Commission and the Financial Crimes Enforcement Network initiated rulemaking to enhance anti-money laundering compliance for certain SEC-Registered Investment Advisers and Exempt Reporting Advisers. The proposed rule was expected, following FinCEN’s February 2024 related notice that would add certain RIAs and ERAs as financial institutions subject to the Bank Secrecy Act. Taken in aggregate, these changes represent a new and more formalized regulatory wrapper for small funds, making compliance more prescriptive and resource-intensive. Recent decisions at the Fifth Circuit and the U.S. Supreme Court complicate matters further.