Legislative, Regulatory & Legal

Washington, D.C. – The U.S. Secret Service has reportedly arrested a Russian national for hacking into consumer credit card data between February 2009 and October 2011. According to Fox Business News, Roman Valerevich Seleznev, 45, was arrested July 5 for hacking into the networks of unspecified U.S. companies.

New York -- The American Apparel saga continues, with the beleaguered chain receiving a notice of default from its longtime lender, Lion Capital.
   
The default notice was based on the claim that founder Dov Charney ceased to be CEO of the company, according to a regulatory filing with the Securities and Exchange Commission today. (Lion had a stipulation in its loan agreement, which was signed last year, stating that if Charney left the company, it would be in default.)
  


The National Retail Federation (NRF) has hired Paul G. Martino as VP and senior policy counsel, and has promoted Beth Provenzano to VP for federal government relations.

Martino and Provenzano will work with the NRF government relations department and focus on emerging public policy priorities, including data security, payments, mobile and e-commerce, privacy and patent reform.

Hoffman Estates, Ill. -- Sears Holdings announced today that Kristin M. Coleman will join the company as senior VP, general counsel and corporate secretary. Coleman most recently served as Brunswick Corporation's VP, general counsel and corporate secretary.

Coleman will be responsible for the oversight and leadership of Sears Holdings' legal business.

Sears Holdings has named Kristin M. Coleman as SVP, general counsel and corporate secretary. Coleman most recently served as Brunswick Corporation's VP, general counsel and corporate secretary.

Seattle – The Federal Trade Commission (FTC) has reportedly drafted a complaint against Amazon.com regarding what it says have been millions of dollars in unauthorized in-app purchases by children using Amazon devices. According to Reuters, the FTC wants to Amazon to make refunds of unauthorized child purchases of digital goods and services within existing apps downloaded by their parents, as well as compensate the FTC for court costs.

Plano, Texas – J.C. Penney has filed an appeal of a June 16 ruling by the New York State Supreme Court that it "tortuously" interfered with Macy’s 2006 contract with Martha Stewart Living Omnimedia when Penney entered into its own contract with Martha Stewart in 2011. In the ruling, Justice Jeffrey K. Oing said Macy’s failed to prove that it is entitled to punitive damages.

Minneapolis – The Securities and Exchange Commission (SEC) is reportedly investigating whether Target Corp. adequately protected its data and informed shareholders about the possible consequences relating to its fall 2013 data breach, according to Bloomberg. The report said that Target is one of several public companies that suffered a data breach which is being investigated by the SEC.

Camp Hill, Pa. – Rite Aid has reportedly settled a consumer protection suit filed by the district attorneys of San Diego, Riverside and Alameda counties for about $500,000. According to the Associated Press, the suit alleged that Rite Aid pharmacists failed to consult with customers who were filling new prescriptions or changing the doses of existing prescriptions, as required by California state law.

New York -- Target Corp. on Wednesday requested that customers no longer carry guns in its stores.

The retailer found itself embroiled in controversy when gun-rights activists in Texas and several other states chose Target stores to demonstrate their belief in the right to openly bear arms. In response, the chain came under heavy fire from groups such as "Moms Demand Action for Gun Sense" and others who expressed concern about firearms being carried into an environment where the shoppers are often accompanied by children.