On February 25, 2026, the U.S. Court of Appeals for the Fifth Circuit, in Bradford v. Sovereign Pest Control of TX, Inc., upheld a district court summary judgment decision that effectively nullified the FCC’s “prior express written consent” requirement for autodialed or prerecorded marketing calls to mobile numbers. The Fifth Circuit found that this
Use of AI Call Center Without Consent Not a Federal Wiretap Violation, Court Holds
As businesses increasingly deploy AI-powered call centers to streamline customer service, plaintiffs have turned to decades-old wiretapping laws to challenge these tools. In a recent decision, however, an Illinois federal district court held that use of an AI call analysis platform without caller consent does not violate the federal Wiretap Act because it falls within the statute’s ordinary course of business exception. Lisota v. Heartland Dental, LLC, 2026 WL 91667, at *6 (N.D. Ill. Jan. 13, 2026).
Navigating the new UN High Seas Treaty: Key Compliance Risks for Life Sciences Companies
On January 17th, 2026, the Biodiversity Beyond National Jurisdiction (“BBNJ”) Agreement, also known as the “High Seas Treaty”, entered into force. For the first time, companies that use marine genetic resources (“MGRs”) and digital sequence information (“DSI”) originating from areas beyond national jurisdiction may be required to share monetary and non-monetary benefits at…
AI and Legal Privilege: Key Takeaways from US v. Heppner
On February 10, 2026, federal district court Judge Jed S. Rakoff ruled from the bench in the Southern District of New York that the attorney-client privilege and the work product doctrine did not protect legal strategy materials that a criminal defendant generated using a generative AI tool, when he used a public version of the…
CISA Releases New Guidance on Assembling Multi-Disciplinary Insider Threat Management Teams
On January 28, 2026, the U.S. Cybersecurity and Infrastructure Security Agency (CISA) published a new resource on Assembling a Multi-Disciplinary Insider Threat Management Team. The guidance is intended to assist critical infrastructure stakeholders, which includes private sector entities across various sectors, with implementing an insider threat mitigation program that combines physical security, cybersecurity, personnel awareness, and community partnerships. Although framed for critical infrastructure, CISA’s guidance is relevant to a broader range of organizations, including those outside of critical infrastructure sectors—a point echoed in Covington’s 2025 insider threat webinar series, discussed further below.
FCC Opens Inquiry into Sports Broadcasting Practices and Marketplace Developments
The Federal Communications Commission’s (“FCC” or “Commission”) Media Bureau has launched a new Public Notice (the “Notice”) seeking public comment on sports broadcasting practices and recent marketplace developments, as the distribution of live sports programming continues to evolve across broadcast, cable, and streaming platforms.
For decades, live sports have been closely intertwined with broadcast television,…
EU CBAM – Commission Proposes Expansion to Complex Metal Products
In December 2025, the European Commission presented a proposal for a Regulation (“Proposal”) to extend the scope of downstream goods subject to the EU’s Carbon Border Adjustment Mechanism (“CBAM”), and provide flexibility to the Commission to exempt specific products in order address adverse market impacts and to adopt anti-circumvention measures. The…
EU CSDDD/CSRD Omnibus Published in Official Journal: Transposition, Delegated Acts, and Guidelines Are Next
On February 26, 2026, the European Union published Directive (EU) 2026/470 on the simplification of the Corporate Sustainability Due Diligence Directive (“CSDDD”) and the Corporate Sustainability Reporting Directive (“CSRD”) in its Official Journal, clearing the final step in the Omnibus I legislative process.
This blog post: (i) summarizes the substance of the final agreement on…
Senator Grassley Introduces Legislation Requiring Disclosure of Foreign Third‑Party Litigation Funding
By Alex Langton
Earlier this month, Senator Chuck Grassley (R-Iowa) introduced the Litigation Funding Transparency Act of 2026, which would impose significant new disclosure obligations on third‑party litigation funding in major federal civil actions. The bill applies to class actions, multidistrict litigation, and large coordinated federal proceedings involving one hundred or more cases. It reflects rising congressional concern…
FAR Council Issues Notice of Proposed Rulemaking to Implement Prohibition on Acquisition of Certain Semiconductors
On February 17, 2026, the Federal Acquisition Regulatory Council released a Notice of Proposed Rulemaking, proposing amendments to the FAR to implement Section 5949 of the FY23 National Defense Authorization Act (“NDAA”). Section 5949 prohibits executive agencies from obtaining semiconductor parts, products, or services traceable to certain named Chinese companies – currently, Semiconductor Manufacturing International Corporation (“SMIC”), ChangXin Memory Technologies (“CXMT”), and Yangtze Memory Technologies Corp (“YMTC”) – subject to limited exceptions. In accordance with the statute, the proposed amendments to the FAR would become effective on December 23, 2027. The proposed rule is not yet final and is open for public comment until April 20, 2026.