Tag:Journal of Regulatory Compliance
Who Owns the Airwaves? FCC Compliance and the Fight for Free Expression
The struggle to balance government oversight, corporate power, and free expression has placed the Federal Communications Commission (FCC) at the heart of America’s media debate. The FCC plays a central role in U.S. media regulation, overseeing licensing, national ownership limits, and broadcasters’ statutory “public interest” obligations. The FCC’s national television ownership rule prevents any one company from controlling stations that reach more than 39% of U.S. households. This mandate was designed to ensure that no single corporation could dominate the public airwaves. Yet, as recent events surrounding FCC Chairman Brendan Carr, Nexstar Media Group’s proposed $6.2 billion acquisition of Tegna Inc., and the temporary suspension of Jimmy Kimmel Live reveal, these safeguards are under mounting pressure. What began as a technical question of regulatory compliance has evolved into a broader confrontation over free speech, political influence, and the fragility of democratic guardrails in American broadcasting.
America’s Fractured Approach to AI Regulation
Federal efforts to promote artificial intelligence (“AI”) innovation by avoiding comprehensive regulation has prompted state legislatures to fill the regulatory void, creating a fractured regulatory landscape. This threatens the very innovation AI was meant to create in a global race towards general AI. Today’s AI systems are examples of Artificial Narrow Intelligence, trained to perform specific tasks but are unable to operate outside their defined parameters. In contrast, Artificial General Intelligence, or Strong AI, is a theoretical form of AI capable of apply prior knowledge and skills to new contexts, enabling it to learn and perform any intellectual task a human can without additional human training of the underlying models. This pursuit has driven unprecedented investment, technology corporations have poured billions of dollars into AI capital expenditures with this number only continuing to rise. Compliance teams are left scrambling to manage an increasingly complex regulatory environment that is evolving faster than legal departments and regulators can effectively manage.
Large Law Firms v. Small: A Two-Tier Professional Responsibility System
The legal profession has long emphasized a standard of professional responsibility. These rules have been “uniformly” applied to all licensed attorneys in the country. In practice, however, the realities of firm size can create what appears to be a two-tier system of professional responsibility. Large law firms operate under intense regulatory, reputational, and insurance oversight, while small firms and solo practitioners are often equipped with fewer resources which can expose them to disciplinary scrutiny more easily. These dynamics shape the ethical landscape of the legal profession.
Six Years Later – Is the Chicago Police Consent Decree Working?
Six years ago, the City of Chicago (the City) entered into a consent decree establishing a framework for sweeping reform of the policies and operations of the Chicago Police Department and the City. This major reform effort was initiated after Chicago police officers shot and killed 17-year-old Laquan McDonald in 2014. Chicago’s consent decree is aimed at addressing concerns in several areas, especially police accountability and officer misconduct. Oversight is done by the Independent Monitoring Team, which reviews and assesses the City’s compliance. After almost six and a half years, the City is nowhere close to fulfilling the requirements. Even worse, Chicagoans have little faith that the City will ever reach full compliance.
Breaching the Last Bastion of the Human Psyche: Neural Data as Biometrics
Earlier this year, the New York Times reported on the proposed Colorado Privacy Act and the impact it would have on neurotechnology which uses “neural data” and already has noteworthy support within programming communities. What the Colorado Privacy Act aims to address are not the labs and medical studies conducted within clinics, but how it may be used within a consumer context. The Colorado Privacy Act does more than Illinois’ pioneer Biometric Information Protection Act (BIPA).
Generative AI- The Next Frontier in Fighting Financial Crime
Artificial intelligence (AI) is the latest tool in a financial institution’s arsenal to restrict the flow of money being channeled to fund illegal activities worldwide. As criminals get more innovative and sophisticated in using the latest technology to evade detection of their financial crimes, financial institutions must follow suit and utilize similar technology to root out these crimes or risk facing regulatory sanctions. Money laundering generally refers to financial transactions in which criminals, including terrorist organizations, attempt to disguise the proceeds of their illicit activities by making the funds appear to have come from a legitimate source. However, this is not a new phenomenon. Congress passed the Bank Secrecy Act (BSA) in 1970 to ensure financial institutions follow a set of guidelines known as KYC (Know Your Customer/Client) to detect and prevent money laundering through their systems.
No Post Hoc Justification for Submitting False Claims
On June 1, 2023, in a unanimous opinion, the United States Supreme Court ruled in United States et al. ex rel. Schutte et al. v. Supervalu Inc. et al. and United States et al. ex rel. Proctor v. Safe-way, Inc. that the scienter element of the False Claims Act (FCA) refers to a defendant’s knowledge and subjective beliefs. Supervalu and Safeway knew they were charging government health insurance programs more for prescription drugs than what they usually and customarily charging regular customers, in violation of the FCA.
Regulatory Implications of the FTC’s Proposed Ban on Noncompete Clauses
The landscape of post-termination benefits and rights for employees is continuously evolving. In recent developments, the Federal Trade Commission (FTC) has proposed a rule that could significantly change the dynamics of the job market by seeking to ban noncompete clauses. This proposal impacts businesses and employees and intersects with other regulatory frameworks, calling for an integrated perspective on its implications.
Florida’s War on “Woke” – First Amendment Concerns and the Stop “W.O.K.E” Act
Florida recently passed the “Stop W.O.K.E” Act (Senate Bill 147 / House Bill 7) (The “Act”), effectively banning public colleges in the state from using funds on diversity, equity, and inclusion (DEI) programs. Florida’s governor and current Presidential candidate, Ron Desantis, defines W.O.K.E as “Wrongs to Our Kids and Employees”. The passing of this legislation follows another highly controversial piece of legislation passed earlier this year, Florida’s “Don’t Say Gay” bill, that largely bars Florida educators from discussing LGBTQIA+ topics with students. Governor Desantis has led an aggressive campaign against academic freedom to combat a perceived “woke indoctrination in [U.S] schools, that is a road to ruin for this country”. The implementation of this legislation brings up valid concerns regarding the First Amendment rights of the State’s educators and population at large.
New Rule Proposed by the EPA to Clean Up Coal Waste in the Midwest
On May 18, 2023, the Environmental Protection Agency (EPA) proposed a new rule to address the concern of a previous loophole that allowed pits of coal ash to sit inactive and unmonitored. The new proposed rule was created in response to the August 21, 2018 opinion by the U.S. Court of Appeals for the District of Columbia Circuit in Utility Solid Waste Activities v. EPA.