Speaker 1: This is Bloomberg Law. Some complicated international law issues here.
Speaker 1: What kind of docket is Chief Justice Roberts facing interviews
Speaker 1: with prominent attorneys and Bloomberg legal experts. Joining me is
Speaker 1: Bloomberg New Supreme Court reporter Greg Store, Neil Devon's professor
Speaker 1: at William and Mary Law School, and analysis of important
Speaker 1: legal issues cases and headlock. She's this essentially the fifth
Speaker 1: Circuit haunting. He has presided over a so called hot
Speaker 1: bench at the Supreme Court. Bloomberg Law with June Grosso
Speaker 1: from Bloomberg Radio. Welcome to Bloomberg Law and Bloomberg Radio.
Speaker 1: I'm Joe Short's living for June Grosso, coming up on
Speaker 1: the show Green Fraud. Why there will be such a focus?
Speaker 1: In two will also cover the fate of the jail
Speaker 1: where Jeffrey Epstein hanged himself, plus combating cybersecurity in the
Speaker 1: new year. But first we begin with legal ethics sanctions
Speaker 1: for Rudy Giuliani and other attorneys over dismissed election fraud
Speaker 1: lawsuits aimed at keeping Donald Trump in office. Topped Bloomberg's
Speaker 1: legal ethics headlines for one. Bloomberg Industry Group reporter Melissa
Speaker 1: Helen wrote the list. We went through her findings and
Speaker 1: looked back on the biggest legal stories in one. When
Speaker 1: it comes to ethics, let's start with the election lawsuits.
Speaker 1: Why was that the number one choice? It's an item
Speaker 1: that everyone can really associate with, not just attorneys. You know,
Speaker 1: we all took part in the election, and the aftermath
Speaker 1: was covered widely by the news media. The legal aspect
Speaker 1: of it is that attorneys can't file frivolous lawsuits, and
Speaker 1: Giuliani and some of the other attorneys who filed these
Speaker 1: lawsuits were found to have filed false in the saving
Speaker 1: statements with the course, they didn't back up their seats
Speaker 1: with facts, and they were therefore sanctioned and not lightly.
Speaker 1: This one is, as a reporter, really interested me, Melissa.
Speaker 1: It has to do with judicial disclosures following a Wall
Speaker 1: Street Journal report. Tell us what that report found and
Speaker 1: what's happened since. Sure, the report found that one thirty
Speaker 1: one judges heard cases in which they are family members
Speaker 1: helped stack in companies that were involved in the cases
Speaker 1: those judges oversaw. So the House earlier this month voted
Speaker 1: on the Courthouse Ethics and Transparency Act um. I think
Speaker 1: what really important about this is that if judges appear biased,
Speaker 1: our confidence in the rule of law is affected. And
Speaker 1: if we don't have faith in the jendas can carry
Speaker 1: out their duties ethically and responsibly, then the judiciary has
Speaker 1: a problem. Melissa Hailin's our guests. We're talking about the
Speaker 1: top ethics coverage stories of one that the one you
Speaker 1: have here again was somewhat new to me. Uh, mental
Speaker 1: health disparity as it relates to female attorneys. Talk to
Speaker 1: me a little bit about what that is, sure, and
Speaker 1: you know I've written a bit on mental health. It's
Speaker 1: very important in the legal profession because lawyers experienced alcohol
Speaker 1: use disorders at star higher rates than other professionals. Also,
Speaker 1: they have more significant mental health distress. Now, this particular
Speaker 1: study was was very surprising because it showed that women
Speaker 1: are suffering more than men. I believe the findings. UM
Speaker 1: cited that one third of the women screened versus one
Speaker 1: fourth of the men reported high risk drinking. I think
Speaker 1: there's a global problem right now. Everyone's been suffering these
Speaker 1: past two years from mental health distress through the pandemic.
Speaker 1: But so I think this story really is pertinent to everyone,
Speaker 1: not just attorneys. This next one caught my attention, and
Speaker 1: I find it fascinating because as it's you know, what
Speaker 1: was brought on by remote work in the pandemic, This
Speaker 1: whole issue of lawyers working from jurisdictions where they aren't licensed,
Speaker 1: that's a fascinating question. In general, In the past, attorneys
Speaker 1: were not allowed to work where they weren't licensed. Right now,
Speaker 1: anyone can work from anywhere and there's there's really no penalty,
Speaker 1: but lawyers could be held ethically liable for doing that. However,
Speaker 1: since the pandemic, a number of jurisdictions enacted either legislation
Speaker 1: or past advice ethics opinions, including I think New Jersey,
Speaker 1: the Columbia, Florida, and Pennsylvania, saying it's okay for attorneys
Speaker 1: to work where they live, even if they're not barred there,
Speaker 1: as long as they didn't hold themselves out to be
Speaker 1: able to practice the law of that jurisdiction. So, for instance,
Speaker 1: in New York, UM, a lot of attorneys work in
Speaker 1: a bar to New York but live in New Jersey.
Speaker 1: So now it's okay for them to be working from
Speaker 1: home in New Jersey as long as they're only practicing
Speaker 1: New York law. If that's where they're barred. It really
Speaker 1: reflects kind of a general shift in thinking about, you know,
Speaker 1: the legal professions, which really based on what clients and
Speaker 1: the consumers wants. It's fine for them where you know,
Speaker 1: it doesn't matter where their attorney is, as long as
Speaker 1: they're doing competent, diligent work. Melissa Helen as Augusta. She
Speaker 1: is a reporter with the Bloomberg Industry Group. Final question
Speaker 1: has to do with the big headlines of the year. Uh,
Speaker 1: this one has to do with the Varsity Blues case.
Speaker 1: What is the ethical question there? The ethical question really was,
Speaker 1: I suppose honesty. Um. Gordon Kaplan, he's a former had
Speaker 1: Wilkie far he was found to have engaged in misconduct
Speaker 1: when he paid seventy five dollars for his daughter to
Speaker 1: help gain admission into college. And I think, you know,
Speaker 1: I'm not sure whether he was the only only involved.
Speaker 1: There were celebrities. I think, you know, actors Lori Laughlin
Speaker 1: who are also involved and spent some time in jail.
Speaker 1: And Um, I think with Kaplan, what was significant was
Speaker 1: although he was suspended, he wasn't dis barred. I believe
Speaker 1: a number of attorneys thought maybe this was it was
Speaker 1: possible he would be this barred, but he did show.
Speaker 1: I remember reading the opinion remorse a lot of remorse
Speaker 1: for his actions, and it was believable. And this is
Speaker 1: a big thing in um and lawyer um discipline remorse
Speaker 1: and if you're if you're if the judges can believe
Speaker 1: that you feel bad about what you did, it's possible
Speaker 1: that your sanction will be a lessons. Melissa haman reporter
Speaker 1: with the Bloomberg Industry Group, appreciate you taking time and
Speaker 1: joining us on Bloomberg Law. Thank you for having me joke.
Speaker 1: There were a number of ransomware attacks in one and
Speaker 1: there's expected to be no shortage of them in two.
Speaker 1: Businesses will be grappling at them. Is they raise all
Speaker 1: sorts of legal issues. Veronica Glick is a partner at
Speaker 1: Mayor Brown's Washington, d C. Office and a member of
Speaker 1: the firm's national security and cybersecurity and data privacy practices.
Speaker 1: She joined me to discuss the growing threat. What does
Speaker 1: it look like to be attacked? And I guess if
Speaker 1: we broke it down by time, you know, the first hour,
Speaker 1: the first seventy two hours, the first week. Ransomware is
Speaker 1: a type of malware that locks up systems for the
Speaker 1: purpose of extortion. Handling these kind of incidents is very complicated.
Speaker 1: You're often managing a range of legal, technical, and reputational
Speaker 1: considerations on a very short time frame. One common misunderstanding
Speaker 1: is that in this first few hours you know what's
Speaker 1: going on, what data has been impacted, and maybe sharing
Speaker 1: that information with with regulators or consumers. That's actually quite rare.
Speaker 1: So in those first few hours, generally you're mobilizing your
Speaker 1: team and just making sure that you have very basic
Speaker 1: understanding of the facts and that your communications are secure.
Speaker 1: Within those first seventy two hours, you're still really just
Speaker 1: trying to get your arms around the fact. Some jurisdictions
Speaker 1: have a very quick timeline for notifications, so g DPR
Speaker 1: is a well known example of that. Some companies will
Speaker 1: be having those initial heads up communications with regulators, and
Speaker 1: there's some contractual notifications as well to have a quick
Speaker 1: turn and then again within that first seventy two hours,
Speaker 1: there it may make sense to communicate with law enforcement
Speaker 1: and have other certain external communications. But particular challenge with
Speaker 1: ransomware is depending on the deadline that the ransomware actors provided.
Speaker 1: At this point, already you may have to have a
Speaker 1: decision on the strategy around a gage with a threat
Speaker 1: actor and whether you're going to be communicating with them
Speaker 1: at this point. Veronica Glick is our guest. She's a
Speaker 1: partner at Mayor Brown's Wanting to d C office. She
Speaker 1: also serves on a pro bono basis as Deputy Chief
Speaker 1: Council for Cybersecurity and National Security to the US Cyberspace
Speaker 1: Silarium Commission, bipartisan commission established by Congress to develop a
Speaker 1: comprehensive strategy to defend the US from significant attacks and
Speaker 1: cyber space. Tell us about this commission and the work
Speaker 1: being done there. So it's been very inspiring to see
Speaker 1: a collaborative by partisan process in action that we've seen
Speaker 1: with the Hilarium Commission. It's truly impressive how many of
Speaker 1: the Commission's recommendations have moved forward into law or or
Speaker 1: making those steps. For those interested in this topic, I
Speaker 1: highly recommend taking a look at the report and subsequent
Speaker 1: white papers that the Commission has put forward. What are
Speaker 1: your thoughts about reporting requirements and or regulations? I mean,
Speaker 1: because so often, as we all know, when there is
Speaker 1: a ransomware attack, most times very few people ever learn
Speaker 1: about it right, and I think we can expect to
Speaker 1: see in addition to hyper cyber standards, increased cyber reporting
Speaker 1: and increased information sharing, there's the increased effort and attention.
Speaker 1: As you mentioned, ransomware has really ramped up, and there's
Speaker 1: attention to that issue now on reporting. Even though mandatory
Speaker 1: reporting requirements didn't make it into the n d a
Speaker 1: A this year, there appears to be by partisan support.
Speaker 1: So I think it's reasonable to expect that some requirements
Speaker 1: will be developed and those will most likely first apply
Speaker 1: to critical infrastructure in industries. Let's say with you know,
Speaker 1: the meat supplier JBS or the colonial pipeline, if we
Speaker 1: had some reporting requirements or regulations, what would have happened
Speaker 1: or could have happened or should have happened. There are
Speaker 1: right now some reporting requirements that apply depending on what
Speaker 1: sector you're in. This is not something completely new, it's
Speaker 1: more of an increasing trend. And practically speaking, what this
Speaker 1: means is going towards that very quick coordination that's required
Speaker 1: when a ransomware attack happens, so at the very outset
Speaker 1: when you're trying to gather information. In fact, whatever sector
Speaker 1: you're in should be aware of which agencies you should
Speaker 1: be reporting to if you meet that notification requirement. So
Speaker 1: it's important to be aware of the notification requirements trigger
Speaker 1: and who your point of contact would be at that agency. Okay,
Speaker 1: let's say we have ten ransomware attacks. How many of
Speaker 1: those ten are an employee clicking on an email or
Speaker 1: an attack meant they shouldn't click on, and how many
Speaker 1: our back end intrusions in practice, I think it's actually
Speaker 1: very hard to tell because a lot of its relies
Speaker 1: and self reporting. But from what we've seen a lot
Speaker 1: of the guidance coming out of cybersecurity firm and also
Speaker 1: from the government, So for example, to stop ransomware websites
Speaker 1: provides guidance. You'll see a combination of focus on some
Speaker 1: of those key steps and multifacro authentications, patching systems, but
Speaker 1: also employees clicking on phishing emails. Depends how you look
Speaker 1: at the numbers. It can vary based on the size
Speaker 1: of your business and the industry that you're in. However
Speaker 1: you look at it, fishing still appears to be quite
Speaker 1: a significant percentage of the initial intrusion points. As we
Speaker 1: look at two. Have we learned from the lessons of
Speaker 1: the past or not going forward. I think we continue
Speaker 1: to see ransomare attacks are increasing, but there's also an
Speaker 1: increased domestic and global effort to try to reduce this threat.
Speaker 1: That includes global law enforcement coordination, efforts to build stronger
Speaker 1: cyber resilience, and also improved information staring. Veronica Glick, partner
Speaker 1: at Mayor Brown in Washington, d C's office. We appreciate
Speaker 1: you joining us today on Bloomberg Law. Thank you very much.
Speaker 1: That's it for this edition of the Bloomberg Law Show.
Speaker 1: Remember you can always get the latest legal news on
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Speaker 1: produced by Eric Mallow for Bloomberg Radio. I'm Joe Shortsleeve.
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Speaker 1: next edition of Bloomberg Law right here on Bloomberg Radio.