The U.S. Securities and Exchange Commission has been attentive to “AI-washing,” wherein public companies or other regulated entities make misleading or false claims in an effort to benefit from investor interest in AI-related technologies. 

We comment on these trends in our article here.

On April 15, 2024, Securities and Exchange Commission Division of Enforcement Director Gurbir Grewal delivered remarks during a Program on Corporate Compliance and Enforcement Spring Conference 2024.  He addressed artificial intelligence (“AI”) and the concept of “AI-washing,” wherein public companies make overly positive, misleading or false claims in an effort to benefit from investor interest

The Securities and Exchange Commission (the “SEC”) has adopted new rules that require public companies to disclose substantial information about the material impacts of climate-related risks on their business, financial condition, and governance (the “Final Rules”).  The SEC says that “climate-related risks, their impacts, and a public company’s response to those risks can significantly affect

The year already began with a stir—a divided SEC adopted final rules addressing the treatment of special purpose acquisition companies (SPACs). The SEC took into account only a number of the issues raised by market participants during the comment period (see our Legal Update here). But there’s much more to come. Despite some recent

The New York Stock Exchange (“NYSE”), through the NYSE Regulation staff, has issued its annual Listed Company Compliance Guidance Memo for 2024 (“Memo”), which informs NYSE-listed companies of new matters, including the following:

  1. Recovery of Erroneously Awarded Compensation. NYSE Listed Company Manual’s (“LCM”) Sections 303A.14 and 802.01F require listed companies to have in place

On January 24, 2024, the US Securities and Exchange Commission (the “SEC”) adopted new rules and amendments to existing rules and forms (the “Final Rules”) addressing (i) the treatment under the securities laws of special purpose acquisition companies (“SPACs”) in connection with their IPOs and their subsequent business combination transactions (“de-SPAC transactions”) with target operating

This practice note discusses the Holding Foreign Companies Accountable Act (the HFCAA), which affects the securities of certain foreign companies listed on U.S. markets and requires them to submit documentation and disclosures to the SEC and the PCAOB. The HFCAA aims to address the regulatory challenge posed by Chinese law that prevents the PCAOB from

This practice note discusses market trends on how public companies disclose their political contributions, or “political spending,” as part of their environmental, social, and governance (ESG) issues. The note provides sample disclosures from recent periodic reports and analyzes the potential benefits and risks of political spending for public companies. The note also examines the increasing

This practice note discusses market trends in 2023 relating to climate change disclosures by public companies, which are linked to environmental, social, and governance (ESG) issues. It provides sample disclosures on how climate change affects or may affect their operations and gives recommendations for preparing and enhancing such disclosures. The note covers the SEC’s proposed

This practice note provides guidance on the disclosure of cybersecurity risks and incidents that public companies should include in their offering materials and periodic reports filed with the Securities and Exchange Commission (SEC). The practice note explains the SEC’s focus and rulemaking activities on cybersecurity issues, such as the 2018 interpretive guidance on disclosing material