Yesterday, the Securities and Exchange Commission rescinded its so-called “gag rule,” which for fifty years had prohibited a settling defendant from publicly denying the allegations in a settled SEC Enforcement action.[1] The policy shift has received significant media attention, but we believe it will have little effect on the experience of most individuals and entities facing SEC investigation, many of whom are keen to resolve an investigation and move on without drawing additional attention to themselves. But the change does create potential pitfalls for those trying to resolve SEC investigations, and heightens the need to think strategically when negotiating resolutions and pursuing public denials of wrongdoing. We have investigated, settled, and litigated numerous SEC enforcement investigations, both on behalf of the agency and in private practice. Outlined below are some of the potential knock-on effects we see from this policy change.

Continue Reading Deny With Care: SEC Rescinds Settlement “Gag Rule,” Creating Risks and Opportunities for Settling Defendants

In his first public remarks, delivered just days into his tenure, SEC Enforcement Division Director David Woodcock announced that he will “provide hands-on leadership” to make sure SEC Enforcement investigators “focus on the fundamentals,” which he defined as “protecting investors and safeguarding markets from real harm.”[1] In announcing his “back-to-basics” approach, Woodcock gave top billing not just to traditional scams, but also to cases involving financial reporting and private funds and investment advisers. Woodcock’s remarks and his prior tenure at the SEC—and our own work on recent and ongoing SEC investigations and resolutions—indicate that the agency will continue to pursue these often complex cases even when they do not find or charge fraud, perhaps to the surprise of commentators who prematurely announced the demise of SEC Enforcement.

Continue Reading New SEC Enforcement Director David Woodcock Outlines Enforcement Priorities, Including Focus on Financial Reporting and Private Funds

On April 20, 2026, the Securities and Exchange Commission (SEC) and the Commodity Futures Trading Commission (CFTC) (collectively, the Commissions) jointly proposed amendments to Form PF, which if passed, would increase certain reporting thresholds, eliminate certain filing and reporting obligations, and streamline various other requirements, with the goal of reducing reporting burdens while continuing to collect information needed for investor protection and systemic risk monitoring (the Proposal).

Continue Reading SEC and CFTC Jointly Propose Amendments to Reduce Form PF Reporting Burdens

California’s statute on Fair Investment Practices by Venture Capital Companies (the “VC Diversity Law”) was originally scheduled to come into effect in 2026, with an initial registration date of March 1, 2026 to self-identify as a venture capital company subject to reporting and initial substantive reports due on April 1, 2026.  However, on March 17, the California Department of Financial Protection and Innovation (the “DFPI”) announced that enforcement of the VC Diversity Law would be suspended, pending rulemaking and final regulations.  As a result, covered entities are no longer required to submit registrations or file reports by April 1, 2026.  The DFPI plans to spend several months seeking input from industry stakeholders before beginning a year-long formal rulemaking process.

Continue Reading California Diversity Reporting Law for Venture Capital Funds Pushed to 2027 (Or Later)

Fund valuation practices have been a recent focus of the SEC and, increasingly, federal prosecutors. Two enforcement actions settled in recent weeks make clear that the SEC is actively pursuing a broad array of valuation-related cases, from the use of allegedly inadequate methodologies to audit failures. In addition, private credit fund valuations are under pressures as lenders and other market participants have begun to mark down collateral values even where the funds have yet to do so themselves. Based on recent statements by senior SEC and DOJ leadership, and in view of recent headlines citing private credit risk, we expect more cases will follow.

Continue Reading Enforcers Target Fund Valuation Practices

On March 10, 2026, the Department of Justice (DOJ) announced its first Department-wide Corporate Enforcement and Voluntary Self-Disclosure Policy (CEP) for criminal matters, with the exception of antitrust. The CEP explicitly supersedes any previously-issued policies by DOJ components or U.S. Attorneys’ Offices (USAOs).[1] Deputy Attorney General Todd Blanche explained this change was part of DOJ’s commitment to “transparency and fairness” and the new CEP “creates incentives for companies to come forward and do the right thing when misconduct occurs.”[2]

Continue Reading DOJ Releases First Department-Wide Corporate Enforcement Policy

The following is part of our annual publication Selected Issues for Boards of Directors in 2026. Explore all topics or download the PDF.

Fiscal year 2025 was a year of extremes in terms of the number of enforcement actions brought by the Securities and Exchange Commission (SEC). During the first quarter of fiscal year 2025 (October through December 2024), the SEC reported a record-breaking number of enforcement actions.[1] However, for the remainder of the fiscal year, the SEC’s enforcement numbers significantly declined. Despite the reduction in enforcement actions seen in the second half of the year, there are early indications that enforcement under the second Trump administration is not disappearing but instead shifting focus. Public companies should expect continued SEC enforcement focused on fraud and harm to investors, and should remain mindful of the SEC Enforcement Division’s emphasis on voluntary report and cooperation.

Continue Reading The Shifting SEC Enforcement Landscape: 2025 Year-in-Review

The following is part of our annual publication Selected Issues for Boards of Directors in 2026. Explore all topics or download the PDF.

The past year brought significant changes to the Department of Justice (DOJ) following the changeover to the new administration in late January. New DOJ leadership shifted priorities toward areas more aligned with the broader goals of the administration, including investigations focused on violent crime, narcotics trafficking and immigration. We summarize key developments in DOJ’s white collar enforcement landscape, including the White Collar Enforcement Plan, important revisions to the Corporate Enforcement and Voluntary Self Disclosure Policy (CEP), the resumption of Foreign Corrupt Practices Act (FCPA) enforcement, heightened focus on trade and customs fraud and the multi-pronged approach to national security prosecutions, and the likely implications for in-house investigations and corporate compliance departments in the coming year.  

Continue Reading Significant Developments to DOJ Enforcement Priorities

On January 14, 2026, the French Senate approved a bill[1] extending the scope of legal privilege to consultations of in-house lawyers for the first time (the “Bill”).

Continue Reading France Formally Adopts Legal Privilege for Consultations by In-House Lawyers

Introduction[1]

In this three-part series, we first discuss the outlook for whistleblower programs in the United States under the new administration. Second, we review initiatives relating to whistleblower reports in other jurisdictions over the past year. Third, we address emerging issues and considerations for companies regarding whistleblower reports.

Continue Reading Whistleblowing in Focus: Recent Developments, Emerging Issues, and Considerations for Companies (Part Three: Looking Ahead)