Topics covered in this issue include:

  • Virtual Currencies are commodities: Federal CourtA further piece of the regulatory puzzle for virtual currencies appears to be falling into place, as a federal court rules on the question of whether such currencies are commodities and subject to regulation by the Commodity Futures Trading Commission.
  • Litigation Funding: An Increasingly Popular Investment VehicleLitigation funding has grown in popularity among U.S. alternative asset managers, as demand from litigants has increased. For investors, the scale and timing of potential returns are attractive, although increasing regulatory and legislative scrutiny is an area to watch.
  • Crypto: What the Regulators Are Planning to Do

    In an Oct. 24, 2018, article, HFMCompliance recapped the key terms, issues and takeaways from Kramer Levin’s seminar, Legal Issues in Cryptocurrencies for Funds, which was held on Oct. 10. The panel discussion, led by Corporate partners Christopher S. Auguste and Kevin P. Scanlan, gave a brief introduction to cryptocurrencies and their underlying technology, as well as a primer on legal and regulatory issues.

  • New York State Issues Final Sexual Harassment Guidance Documents and Extends Training DeadlineAs we previously reported, effective Oct. 9, 2018, New York State employers are required to adopt and distribute a written sexual harassment prevention policy and annually conduct interactive sexual harassment prevention training. N.Y. Labor Law Section 201-G lists the specific minimum standards that must be included in an employer’s sexual harassment prevention policy and training, and authorizes the Department of Labor to consult with the Division of Human Rights to create a model sexual harassment prevention policy and model sexual harassment prevention training program.
  • SEC Report Warns of Potential Internal Controls Enforcement Actions Against Cyber Fraud VictimsOn Oct. 16, the Securities and Exchange Commission (SEC) issued an investigative report warning that public companies victimized by cyber fraud could also face enforcement action for violating federal securities laws by failing to maintain sufficient internal accounting controls. While the SEC earlier this year issued interpretive guidance for public companies concerning the disclosure of cybersecurity risks and incidents, last week’s report stresses the importance of companies having a sufficient system of internal controls to prevent cyber fraud.