Insights

On October 1, 2026, Judge Brian M. Cogan of the U.S. District Court for the Eastern District of New York denied NYP’s motion to dismiss a consolidated antitrust complaint brought by three self-funded union health plans. The ruling is significant for two reasons. First, it demonstrates that plaintiffs can successfully allege market power against hospital systems even in the absence of traditionally high market shares. Second, the court’s reasoning closely tracks the arguments advanced by the DOJ in its Statement of Interest filed in the case: that market power need not be established through market share alone and can be shown through direct evidence such as supracompetitive pricing, and that exclusionary conduct and rival foreclosure are not required elements of a Section 1 claim. The recent decision validates the government’s legal theories and could enhance the viability of the DOJ’s parallel action against NYP, which is currently proceeding in the Southern District of New York.

The rapid buildout of AI infrastructure has placed data centers at the heart of a new and expanding wave of class action litigation. Over the past several months, plaintiffs’ firms with significant experience in mass tort and environmental class actions have begun recruiting plaintiffs and filing lawsuits against data center operators, alleging that noise generated by their facilities — from cooling systems, diesel generators, and HVAC equipment — constitutes a public and private nuisance and reflects actionable negligence. Companies currently operating or constructing data centers near residential communities should treat this as a material and growing legal risk.

On July 6, 2026, the U.S. Department of Justice (DOJ) and the U.S. Department of Homeland Security (DHS) published an Interim Final Rule (IFR) setting up a new federal framework that allows state, local, Tribal, and territorial (SLTT) law enforcement and correctional agencies to detect, track, and, in some cases, disable or seize drones. The rule directly affects SLTT agencies looking to stand up counter-drone programs, as well as drone and counter-drone technology companies whose products will be subject to federal review and approval. Although the IFR bypassed the Administrative Procedure Act’s standard notice-and-comment process on good cause grounds — citing the statutory 180-day deadline and urgent public safety needs — the rule is already legally binding and effective as of July 1, 2026. The Departments are nonetheless accepting post-promulgation comments through September 4, 2026.