Venture capital financing activity in 2023 contracted for the second consecutive year in the face of rising interest rates, concerns regarding the trajectory of the economy and continued geopolitical tension.
VC-backed...more
On March 6, 2024, the U.S. Departments of the Treasury, Commerce, and Justice jointly issued a Tri-Seal Compliance Note titled “Obligations of Foreign-Based Persons to Comply with U.S. Sanctions and Export Control Laws”...more
On February 28, 2024, President Biden signed Executive Order 14117, “Preventing Access to Americans’ Bulk Sensitive Personal Data and U.S. Government-Related Data by Countries of Concern” (the EO), under the authority of the...more
3/4/2024
/ Advanced Notice of Proposed Rulemaking (ANPRM) ,
Biden Administration ,
China ,
Consumer Financial Protection Bureau (CFPB) ,
Data Transfers ,
Department of Homeland Security (DHS) ,
Department of Justice (DOJ) ,
Executive Orders ,
International Data Transfers ,
International Emergency Economic Powers Act (IEEPA) ,
Rulemaking Process ,
Russia ,
Sensitive Personal Information
The requirement to disclose material cybersecurity events under new Item 1.05 of Form 8-K takes effect today (other than for smaller reporting companies, for which the new requirement will take effect on June 15, 2024)....more
Navigating the expanding defense technology subsector of the emerging company ecosystem requires careful planning and execution.
Beyond putting together a trusted team and developing a uniquely marketable product, defense...more
11/28/2023
/ Capital Formation ,
Capital Raising ,
Corporate Financing ,
Defense Sector ,
Early Stage Companies ,
Entrepreneurs ,
Federal Contractors ,
Foreign Investment ,
Seed Financing ,
Small Business ,
Startups ,
Strategic Planning ,
Technology ,
Venture Capital
The Biden Administration has issued its long-awaited Executive Order on Addressing United States Investments in Certain National Security Technologies and Products in Countries of Concern (“EO”), which will create a new...more
8/11/2023
/ Advanced Notice of Proposed Rulemaking (ANPRM) ,
Biden Administration ,
China ,
Cybersecurity ,
Executive Orders ,
Foreign Investment ,
NAICS ,
National Security ,
Outbound Transactions ,
Popular ,
Proposed Regulation ,
Supply Chain ,
Technology Sector ,
U.S. Treasury
The Committee on Foreign Investment in the United States (CFIUS) reviewed a record number of transactions for national security risks in 2022: 440 covered transactions, up from 436 transactions in 2021, according to its...more
Following a series of public reports, the United States appears close to announcing a new regulatory process to scrutinize US “outbound” investment to countries presenting national security challenges. ...more
2/22/2023
/ Acquisitions ,
CFIUS ,
Compliance ,
Covered Transactions ,
Cross-Border Transactions ,
Foreign Investment ,
Mergers ,
NAICS ,
National Security ,
Office of Foreign Assets Control (OFAC) ,
Outbound Transactions ,
Popular ,
Regulatory Agenda ,
Regulatory Requirements
On September 15, 2022, President Biden signed an Executive Order (EO) identifying economic sectors that merit special attention for review by the Committee on Foreign Investment in the United States (CFIUS or the Committee)....more
9/20/2022
/ Biden Administration ,
CFIUS ,
Cybersecurity ,
Executive Orders ,
Foreign Direct Investment ,
Foreign Investment ,
Investors ,
National Security ,
Sensitive Personal Information ,
Supply Chain ,
Technology Sector
The Committee on Foreign Investment in the United States (CFIUS) is reviewing a record number of transactions for national security risks, according to a recently released Annual Report to Congress for Calendar Year 2021. ...more
On June 28, 2022, the FBI issued a Public Service Announcement (PSA) warning that fraudsters are using deepfakes to impersonate job applicants during online interviews and employing stolen Personally Identifiable Information...more
Fast-spreading disinformation and the growing ease with which believable deepfake media can be created are threats that are poised to accelerate a range of business dangers, particularly those related to reputational risk,...more
On March 9, 2022, the SEC proposed rules, by a 3-1 vote, that are intended to enhance disclosures about cybersecurity risk management, strategy, governance, and incident reporting by public companies. The proposed rules are...more
3/11/2022
/ Comment Period ,
Cyber Incident Reporting ,
Cybersecurity ,
Disclosure Requirements ,
Form 10-K ,
Form 8-K ,
Investment Adviser ,
Investment Companies ,
Proposed Rules ,
Publicly-Traded Companies ,
Regulation S-K ,
Risk Mitigation ,
Securities and Exchange Commission (SEC)
On October 27, 2021, the Federal Trade Commission (FTC) announced a newly updated rule under the Gramm-Leach-Bliley Act (GLBA) intended to require financial institutions to strengthen their data security safeguards to protect...more
11/1/2021
/ Cybersecurity ,
Data Protection ,
Federal Trade Commission (FTC) ,
Final Rules ,
Financial Institutions ,
Financial Services Industry ,
Gramm-Leach-Blilely Act ,
Personal Information ,
Risk Assessment ,
Safeguards Rule ,
Security Risk Assessments ,
Third-Party Service Provider
The US Department of Justice (DOJ) recently announced plans to use the False Claims Act (FCA) to pursue cybersecurity-related fraud by government contractors, subcontractors and grant recipients, including for providing...more
10/14/2021
/ Compliance ,
Cyber Crimes ,
Cyber Incident Reporting ,
Cybersecurity ,
Data Protection ,
Department of Justice (DOJ) ,
DFARS ,
False Claims Act (FCA) ,
Federal Contractors ,
Fraud ,
Subcontractors
On Wednesday, May 12, 2021, President Biden issued an ambitious and sweeping Executive Order focused on combating digital threats to US networks and infrastructure. The Executive Order on Improving the Nation’s Cybersecurity...more
5/17/2021
/ Biden Administration ,
Critical Infrastructure Sectors ,
Cybersecurity ,
Cybersecurity Information Sharing Act (CISA) ,
Department of Homeland Security (DHS) ,
Executive Orders ,
Federal Contractors ,
Information Technology ,
National Security ,
NIST ,
OMB ,
Supply Chain
WilmerHale podcast co-host and Partner John Walsh welcomes Partner Jason Chipman, who moderates a discussion between fellow WilmerHale lawyer Matthew Ferraro and special guest Nina Schick on “deepfakes”—using synthetic media...more
On March 10, 2021, the Federal Bureau of Investigation (FBI or Bureau) issued a Private Industry Notification (PIN) advising companies that “[m]alicious actors almost certainly will leverage synthetic content for cyber and...more
The administration of President-elect Joe Biden and Vice President-elect Kamala Harris will break sharply from the policies of the Trump Administration in many ways. But one area where we expect more continuity than change is...more
Assets Control (OFAC) and Financial Crimes Enforcement Network (FinCEN) each issued advisories addressing the risks associated with facilitating ransomware payments: the Advisory on Potential Sanctions Risks for Facilitating...more
On March 18, 2020, President Trump issued an executive order paving the way for the government to use the Defense Production Act (DPA) to prioritize and compel production of materials required to respond to the COVID-19...more
Disinformation and “deepfakes” pose growing threats to the private sector. Already, disinformation has been weaponized to harm brands, move markets, and undermine trust in companies and industries. One recent study estimated...more
3/13/2020
/ Artificial Intelligence ,
Audio Recording ,
Cyber Threats ,
Deep Fake ,
Employer Liability Issues ,
Extortion ,
False Evidence ,
Government Investigations ,
Harassment ,
Insurance Fraud ,
Market Manipulation ,
Photographs ,
Reputational Injury ,
Risk Mitigation ,
Video Recordings
On December 20, 2019, President Trump signed the nation’s first federal law related to “deepfakes.” Deepfakes are false yet highly realistic artificial intelligence-created media, such as a video showing people saying things...more
12/24/2019
/ Artificial Intelligence ,
China ,
Deep Fake ,
National Science Foundation ,
National Security ,
NDAA ,
New Legislation ,
NIST ,
Reporting Requirements ,
Russia ,
Technology
The US Department of the Treasury recently published for public comment two proposed regulations that will expand the jurisdiction of the Committee on Foreign Investment in the United States (CFIUS) and make substantive...more
9/27/2019
/ CFIUS ,
Covered Transactions ,
Critical Infrastructure Sectors ,
Cross-Border Transactions ,
Export Controls ,
FIRRMA ,
Foreign Investment ,
Proposed Regulation ,
Proposed Rules ,
Public Comment ,
Real Estate Transactions ,
U.S. Treasury
On May 15, 2019, President Trump issued an Executive Order (EO) declaring a national emergency and paving the way for a ban on the use of Huawei equipment and services in U.S. telecommunication networks. On the same day, the...more
5/17/2019
/ Bureau of Industry and Security (BIS) ,
China ,
Executive Orders ,
Exports ,
General Licenses ,
Imports ,
National Security ,
Savings Clause ,
Supply Chain ,
Telecommunications ,
Trade Relations ,
Trump Administration ,
U.S. Commerce Department ,
US Trade Policies