Regulatory Playbook

Trending Issues

SEC Ends Its Climate-Related Disclosure Requirements
04.01.2025

On March 6, 2024, the Securities and Exchange Commission (SEC) adopted final rules imposing new climate-related disclosure requirements on domestic and foreign registrants with respect to their annual reports and registration statements (Rules). Compliance was set to begin as early as the annual reports for December 31, 2025, for calendar-year-end issuers classified as large-accelerated filers.

Breaking Ground: The Trump Administration Invokes Emergency Powers in New Executive Order to Boost U.S. Critical Mineral Development
03.26.2025

On March 20, 2025, the Trump administration invoked emergency powers in an Executive Order (EO) entitled Immediate Measures to Increase American Mineral Production, aiming to accelerate domestic mineral mining and processing. The EO reiterates that onshoring domestic production—including for processing of minerals—is a priority component of the Administration’s broader government-wide efforts to strengthen the United States’ mineral supply chain.

New Federal Anti-Hazing Requirements for College Campuses
03.19.2025

Collection of Data Regarding “Hazing Incidents”: January 1, 2025
The federal “Stop Campus Hazing Act” (the Act) amends a subsection of the Clery Act by expanding the annual security report (ASR) reporting requirements and requiring covered colleges and universities to include statistics of “hazing incidents” which occurred within the school’s Clery geography and were reported to campus securities or local police agencies.

FinCEN Issues Order Imposing New Obligations on Money Services Businesses (MSBs) Operating Along the U.S. Southwest Border
03.18.2025

On March 14, 2025, the U.S. Department of the Treasury’s Financial Crimes Enforcement Network (FinCEN) issued a Geographic Targeting Order (GTO) in the Federal Register that will impose new obligations on many money services businesses (MSBs) and their agents as defined in the regulations that implement the Bank Secrecy Act (BSA). The GTO will require MSBs and, where applicable, their agents, located or performing covered transactions/services in any of 30 ZIP codes located in seven counties along the southwestern border in Texas and California to identify each transaction involving MSB services in amounts of $200 – $10,000 of cash or currency, capture the requisite information on a Currency Transaction Report (CTR), verify the identity of persons presenting such transactions, and file the CTR with FinCEN within 15 calendar days after the transaction occurred. Where warranted, Suspicious Activity Reports (SARs) also will need to be filed by the MSB.

Anti-DEI Executive Orders Are Enforceable, for Now, After Fourth Circuit Lifts Preliminary Injunction
03.17.2025

On March 14, 2025, the U.S. Court of Appeals for the Fourth Circuit granted the Government’s motion for a temporary stay of a district court’s nationwide preliminary injunction against two Executive Orders that target diversity, equity, and inclusion (DEI) initiatives (the Anti-DEI EOs). The stay, in the case NADOHE v. Trump, was granted pending resolution of the Government’s appeal of the preliminary injunction. The order states that the court will set an expedited briefing schedule for that appeal.

Forthcoming Enterprise-Wide and Egregious Violations from California’s Division of Occupational Safety and Health
03.17.2025

On March 25, 2025, the California Department of Industrial Relations will hold an advisory committee meeting to solicit input on proposed amendments to Division of Occupational Safety and Health (Cal/OSHA) regulations regarding so-called “enterprise-wide” and “egregious” violations.

U.S. Bankruptcy Court Confirms Nonconsensual Third-Party Releases May Be Recognized Under Chapter 15 of the Bankruptcy Code
03.14.2025

On June 27, 2024, the U.S. Supreme Court issued a long-awaited ruling regarding the validity of nonconsensual third-party releases in the chapter 11 plan of pharmaceutical company Purdue Pharma. In Harrington v. Purdue Pharma L.P., the Supreme Court held that absent consent from the affected claimants (i.e., holders of more than $40 trillion in mass tort claims), the Bankruptcy Court lacked the power to approve a plan provision releasing Purdue’s founders, the Sackler family, from such alleged liabilities. In reaching that result, the Supreme Court concluded that nonconsensual third-party releases fall outside the scope of section 1123(b) of the Bankruptcy Code, which limits the types of provisions a bankruptcy plan may include. It also reasoned that nonconsensual third-party releases contravene section 1141(d), which provides a “discharge” from liability only to a “debtor.”

U.S. Tariffs on Non-USMCA-Compliant Products Take Effect; Increased Tariff Rate on China Imposed
03.10.2025

Between March 4, 2025, and March 6, 2025, U.S. trade policy in North America changed course multiple times as the Trump administration initially implemented previously paused tariffs on imports from Canada and Mexico, and two days later, suspended tariffs on all Canadian and Mexican imports that meet the rules of origin for preferential tariff treatment of the United States-Mexico-Canada Agreement (USMCA). The Trump administration also increased across-the-board tariffs on imports from China to 20%, which remain in place. These measures, introduced through a novel use of the International Emergency Economic Powers Act (IEEPA), come after an initial 30-day delay in imposing tariffs on the North American trading partners on February 3, 2025.

Taxmageddon: What to Expect under Trump 2.0 and a GOP-Led Congress
03.10.2025

With the Trump administration and a Republican-controlled Congress now in office, significant changes to the U.S. economic landscape and tax policy are expected. Indeed, legislation to change tax policy and to implement accompanying budget cuts to “pay for” potential decreased federal tax revenues is the signature legislative agenda item for the Washington Republicans during the first year of President Trump’s second term. The key question surrounding the legislation is how comprehensive a tax plan Congress can pass given the small majorities held by Republicans in the House (only 2-3 votes, pending expected retirements) and Senate (4 votes), the procedures by which the legislation advances, the competing legislative priorities, and the already large federal budget deficit.

U.S. Bankruptcy Court Agrees to Enforce English Three-Step, with Third-Party Releases, Used by Mexican Auto Financer
03.10.2025

On February 24, 2025, U.S. Bankruptcy Judge Michael E. Wiles granted “recognition” of an English insolvency proceeding and enforced an order approving an English scheme of arrangement for a new shell entity created in England by its Mexican parent solely to effectuate an English restructuring that provides consensual and non-consensual third-party releases of the Mexican parent company, even though the new entity had little connection with England. In re Mega NewCo Limited, No. 24-12031 (MEW), 2025 WL 601463 (Bankr. S.D.N.Y. Feb. 24, 2025) (“in light of the support of all of the affected parties and their overwhelming consent to the English Scheme Proceeding and the approval of the Scheme of Arrangement, and the other factors that I have cited, I see no cause in this particular case to look past the form of the transactions or to pursue theoretical issues that no affected party wishes to pursue”).

Council on Environmental Quality Rescinds NEPA Regulations
03.07.2025

As was widely anticipated, the Council on Environmental Quality (CEQ) recently rescinded its National Environmental Policy Act (NEPA) implementing regulations, eliminating the uniform framework that has governed NEPA compliance for decades. CEQ’s Interim Final Rule, published on February 25, 2025, removes 40 C.F.R. Parts 1500–1508 from the Code of Federal Regulations, dismantling longstanding procedural requirements for federal environmental reviews.

The Battle of the Shipyards: USTR Proposals Would Require U.S.-Flagged and U.S.-Built Vessels, Impose Fees on Operators of Chinese Vessels
03.07.2025

On February 21, 2025, the Office of the U.S. Trade Representative (USTR) announced a proposal to: (i) require that exporters of U.S. goods use U.S.-flagged and U.S.-built vessels for an increasing percentage of their exports; and (ii) impose service fees on Chinese vessel operators and other operators that use or contract for the use of Chinese-built vessels. If finalized, this proposal could have significant impacts on the cost of transporting and exporting U.S. goods and impact the trade flows of many commodities and other products. USTR intends to finalize its proposal on or before April 17, 2025. The deadline for submitting written comments is March 24, 2025, the date of USTR’s scheduled hearing on the proposed relief. We highly encourage affected interested parties to submit comments on the proposal.

Second Circuit Affirms Priority Payment of Broker Fees Included in Aircraft Leases Utilizing the “Billing-Date Approach” Under Bankruptcy Code § 365(d)(5)
02.26.2025

Airlines will always need access to new aircraft to expand and replace their fleets. When an airline utilizes an intermediary, such as a broker, it must pay a commission to lease or purchase aircraft. Depending on the number of aircraft obtained, commissions may be very expensive, necessitating payments over time. But what happens if the airline files for bankruptcy before paying out the commissions? If not properly structured to be included as part of the lease payments, the broker may be left with an unsecured claim which may be paid with pennies on the dollar. However, if the fees are included as part of the rent under the lease, they may qualify as priority claims, until the lease is rejected.

Challenging Trump 2.0 En Masse Contract Terminations
02.24.2025

In recent weeks, the second Trump administration has begun en masse terminations of federal contracts for the government’s convenience-as-a-budget-cutting tactic. Contractors with the U.S. Agency for International Development have been most affected by this tactic, where the vast majority of the agency’s contracts have been terminated.

Federal Court Issues Preliminary Injunction against Anti-DEI Executive Orders
02.24.2025

On February 21, 2025, a federal court in Baltimore, Md., issued a nationwide preliminary injunction order against aspects of two Executive Orders that targeted diversity, equity, and inclusion (DEI) principles and programs in the private sector (the Anti-DEI EOs). The ruling came in a lawsuit filed by lead plaintiff the National Coalition of Diversity Officers in Higher Education (NADOHE). As explained in this Pillsbury client alert, the Anti-DEI EOs signed by President Trump on January 20 and 21, 2025, include directions to federal agencies to:

1. terminate all “equity-related” grants and contracts (the Termination Provision),
2. require all federal grant recipients and contractors to certify that they do not “promote DEI” programs that violate antidiscrimination laws, with potential False Claims Act liability for untrue certifications (the Certification Provision), and
3. identify targets for civil investigations into “illegal DEI” in order to deter voluntary private sector DEI programs (the Enforcement Threat Provision).

California v. Trump 2.0: Navigating Policy Collisions and Business Opportunities
02.13.2025

As President Trump embarks on his second term and California begins the second year of an already active legislative cycle, a high-stakes battle is brewing. The Trump administration’s aggressive deregulatory agenda is poised to clash with California’s stringent regulations in critical areas such as energy, environmental standards, taxation and artificial intelligence (AI) governance. This evolving landscape is already having impacts beyond the borders of California and presents both risks and opportunities for businesses operating across these dual regulatory frameworks.

California Governor Releases 2025 Budget Proposal to Move Banks and Financial Corporations to Single-Sales-Factor Apportionment
02.13.2025
On January 10, 2025, California Governor Gavin Newsom released his January Budget Proposal for the 2025 – 2026 fiscal year. Notably, Governor Newsom’s budget would increase tax revenue by requiring banks and financial corporations to move from an equally weighted three-factor formula, comprising property, payroll and sales factors, to a single-sales-factor formula for purposes of apportioning income to the state. Agricultural and extractive businesses would continue to use the three-factor formula. The proposed change would take effect immediately, beginning with tax year 2025. A copy of the trailer bill is available here.

Reshaped Priorities: Navigating Changes to FCPA and FARA Enforcement
02.13.2025
On February 10, 2025, President Donald Trump signed an Executive Order directing the Department of Justice (DOJ) to pause enforcement of the U.S. Foreign Corrupt Practices Act (FCPA), citing concerns over the competitive disadvantage that it imposes on U.S. businesses. Just days earlier, Attorney General Pam Bondi issued a memorandum signaling a narrowing of DOJ enforcement priorities with respect to the FCPA and Foreign Agents Registration Act (FARA). This alert provides an overview of the current state of FCPA and FARA enforcement, discussing the compliance implications of new DOJ policy for companies engaged in cross-border trade.

The Trump Administration Reinstates and Expands Section 232 Tariffs on Steel and Aluminum
02.12.2025
On February 10, 2025, President Trump issued two Presidential Proclamations reimposing and expanding tariffs on all steel and aluminum imports into the United States pursuant to Section 232 of the Trade Adjustment Act of 1962. These measures effectively supersede prior alternative arrangements, including tariff-rate quotas (TRQs) negotiated with key U.S. trading partners such as the European Union (EU), the United Kingdom (UK), Japan and others, while also revoking country-specific exemptions previously granted to Canada and Mexico. The Proclamations represent a substantial escalation of U.S. trade policy in the metals sector and reaffirm the national security rationale that underpinned the original Section 232 tariffs imposed in 2018.

White House Seeks Public Input on AI Action Plan: What Stakeholders Need to Know
02.12.2025
​On January 20, 2025, President Trump revoked Executive Order (EO) 14110, entitled “Safe, Secure, and Trustworthy Development and Use of Artificial Intelligence (AI),” which was issued by former President Biden and aimed at establishing a regulatory framework for AI oversight. On January 23, 2025, President Trump issued EO 14179, entitled “Removing Barriers to American Leadership in Artificial Intelligence,” that proposed the creation of an AI Action Plan.

Trump 2.0: The Future of the EU-U.S. Data Protection Framework and Trans-Atlantic Data Transfers
02.12.2025
The issue of transfers between the European Union or United Kingdom and the United States has long been fraught with turbulence. From the invalidation of Safe Harbor in 2015 to the downfall of Privacy Shield in 2020, each mechanism designed to ease the compliance burden of transatlantic data sharing has faced scrutiny culminating, more often than not, in legal challenges before the Court of Justice of the European Union (CJEU).

EPA Finalizes New Rule to Reduce and Reclaim Hydrofluorocarbons
02.11.2025
Prior to the Biden administration leaving office, EPA finalized another rule in its continued push to phase down the use of hydrofluorocarbons (HFCs) by issuing a final rule on October 11, 2024, to establish the HFC Emissions Reduction and Reclamation (ER&R) program. EPA’s new rule, discussed in more detail below, will significantly impact industries that rely heavily on commercial-scale refrigeration systems. Further, companies with facilities that rely on older systems may require more frequent equipment repair or replacement to comply with the rule.

California’s AI Laws Are Here—Is Your Business Ready?
02.07.2025
January 1, 2025, marked the start of a series of significant AI laws going into effect in California. California’s 18 new AI laws represent a significant step toward regulating this space, establishing requirements regarding deepfake technology, AI transparency, data privacy and use of AI in the health care arena. These laws reinforce the state’s desire to be a pioneer in this space. This article provides a detailed look at the enacted legislation, addresses compliance timelines and serves as a guide for businesses as they navigate compliance with California’s evolving AI landscape.

New DOJ–FTC Antitrust Guidelines for Business Activities Affecting Workers: Key Changes and Practical Takeaways
02.07.2025
On January 16, 2025, four days before the Trump administration took office, the Federal Trade Commission (FTC) and the U.S. Department of Justice (DOJ) jointly issued the Antitrust Guidelines for Business Activities Affecting Workers (the “2025 Guidelines”). These guidelines replace the prior October 2016 version, Antitrust Guidance for Human Resource Professionals, jointly issued by both antitrust enforcement agencies, in the final months of the Obama administration. The 2025 Guidelines update how the federal agencies assess business practices and agreements affecting workers under federal antitrust laws.