On August 19, 2020, the IRS urged employers to exercise caution in selecting their payroll service providers (“PSPs”) following ongoing concerns that some disreputable PSPs may fail to deposit employment taxes, leaving businesses vulnerable to unpaid payroll taxes as well as penalties.
August 2020
Exploring the IoT Landscape: Highlights for the Upcoming ABA IoT Institute
On five consecutive Wednesdays beginning on September 2nd, the ABA will hold its 5th Annual IoT Institute, together with a session called Data, Data Everywhere, and Not a Chance to Think, addressing the intersection of the Internet of Things (IoT) and Artificial Intelligence (AI). Covington was scheduled to host the IoT Institute in…
The FEC Appears to be Exercising its Powers Without a Quorum
Over the past 10 days, the FEC has been quietly exercising authority reserved for when at least four Commissioners vote in favor of an action. Since July 3, however, the FEC has only had three Commissioners. This activity raises consequential questions about the FEC’s ability to act without a quorum, and presents important concerns about…
AI Standards Update: NIST Solicits Comments on the Four Principles of Explainable Artificial Intelligence and Certain Other Developments
The National Institute of Standards and Technology (“NIST”) is seeking comments on the first draft of the Four Principles of Explainable Artificial Intelligence (NISTIR 8312), a white paper that seeks to define the principles that capture the fundamental properties of explainable AI systems. NIST will be accepting comments until October 15, 2020.
In February…
South Africa Eases COVID-19 Restrictions with the Transition to Alert Level 2
On August 15, 2020, the Minister of Cooperative Governance and Traditional Affairs (COGTA) announced the extension of the national state of disaster. The national state of disaster was declared under Government Gazette No 43096 of 15 March 2020 (and extended by Government Gazette Nos 646 of June 5, 2020 and 765 of July 13, 2020),…
Final CCPA Regulations Take Effect With Modification; Extension of Employee and Business-to-Business Exemptions Advances
Two developments in the past week will likely have a significant impact on businesses subject to the California Consumer Privacy Act (“CCPA”): the long-awaited CCPA regulations have been finalized and put into immediate effect with modifications, while at the same time it seems increasingly likely that the exemptions for employees’ and business-to-business contacts’ data will…
FDA Issues Final Guidance on Multiple Function Digital Health Software and Other Devices
On July 28, 2020, FDA announced the publication of a final guidance on Multiple Function Device Products: Policy and Considerations that outlines FDA’s evolving approach to the regulation of multiple function device products, including software.
The concept of “multiple function” products was introduced by the 21st Century Cures Act (“Cures Act”) of 2016, which added…
UK ICO publishes guidance on Artificial Intelligence
On July 30, 2020, the UK Information Commissioner’s Office (“ICO”) published its final guidance on Artificial Intelligence (the “Guidance”). The Guidance sets out a framework for auditing AI systems for compliance with data protection obligations under the GDPR and the UK Data Protection Act 2018. The Guidance builds on the ICO’s earlier commitment to enable…
[Updated] If the Acting DHS Secretary Was Unlawfully Selected, What Does that Mean for DHS Procurements?
The Government Accountability Office (“GAO”) released a decision on Friday finding that the Department of Homeland Security (“DHS”) followed the wrong order of succession after Secretary Kirstjen Nielsen resigned in April 2019. As a result, the Acting Secretaries who have served since then were invalidly selected. In particular, GAO has questioned the appointments of Acting…
Federal Circuit Rejects Government’s Waiver and Jurisdiction Defenses, Paving the Way for a CAS Showdown at the Court of Federal Claims
Earlier this week, the Federal Circuit issued a decision in The Boeing Company v. United States that clears the way for resolution of Boeing’s substantive challenge to a controversial FAR provision that can give the government windfall recoveries in Cost Accounting Standards (CAS) matters. The Federal Circuit decision is notable for three reasons. First, in…