David Fagan

January 29, 2021, Covington Alert

On January 20, 2021, U.S. presidential power transferred—peacefully—to Joseph R. Biden. Presidential transitions historically have brought near-term uncertainty for parties undertaking mergers and acquisitions in the United States, particularly transactions subject to review by the Committee on Foreign Investment in the United States (CFIUS). It typically takes ...

January 22, 2021, Covington Alert

On January 19, 2021, the Department of Commerce (“Commerce”) published an Interim Final Rule to implement provisions of Executive Order 13873, “Executive Order on Securing the Information and Communications Technology and Services Supply Chain” (May 15, 2019) (the “ICTS Order”).  Unless suspended by the Biden Administration, the Rule will go into effect 60 days ...

January 12, 2021, Covington Alert

On January 9, 2021, China’s Ministry of Commerce released the Rules on Counteracting Unjustified Extraterritorial Application of Foreign Legislation and Other Measures, which took effect immediately. Specifically, the Rules are designed to “counteract” the extraterritorial application of “foreign [i.e., non-Chinese] legislation” or “measures” when such ...

September 22, 2020, Covington Alert

On September 15, 2020, the Department of the Treasury, as chair of the Committee on Foreign Investment in the United States (“CFIUS”), published in the Federal Register a final rule (the “Final Rule”) amending the requirement to file with CFIUS certain transactions involving U.S. businesses that produce, design, test, manufacture, fabricate, or develop one or ...

September 21, 2020, Covington Alert

On September 19, 2020, China’s Ministry of Commerce ("MOFCOM") issued regulations that provide new details on the government’s plans for an “Unreliable Entity List” first proposed in May 2019.

August 20, 2020, Covington Alert

The Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) released its Annual Report to Congress regarding its review of certain transactions involving foreign investment during 2019. The current Annual Report was released just two and a half months after the previous Annual Report, covering 2018, demonstrating the Committee has ...

June 9, 2020, Global Policy Watch

It has been publicly reported that discussions are underway within the Trump Administration for a coordinated interagency initiative to remove key industrial supply chain dependencies from overseas, especially China, and redouble efforts to secure such supply chains in the United States. While this initiative proceeds alongside ongoing efforts to secure supply ...

June 9, 2020, Covington Alert

It has been publicly reported that discussions are underway within the Trump Administration for a coordinated interagency initiative to remove key industrial supply chain dependencies from overseas, especially China, and redouble efforts to secure such supply chains in the United States. While this initiative proceeds alongside ongoing efforts to secure supply ...

June 4, 2020, Covington Alert

The UK has, in recent years, been one of the most attractive and open climates for foreign direct investment (“FDI”). Whilst the UK’s net FDI inflows have fallen significantly since 2016, it remains, as of 2018, one of the highest ranked countries in the world by FDI inflows. However, the UK Government’s power to scrutinise and intervene in FDI transactions ...

May 29, 2020, Covington Alert

On May 27, Secretary of State Michael Pompeo certified to Congress pursuant to the Hong Kong Human Rights and Democracy Act of 2019 that "Hong Kong does not continue to warrant treatment under United States laws in the same manner as U.S. laws were applied to Hong Kong before July 1997." In a statement, Secretary Pompeo attributed this action to the announced ...

May 21, 2020, Covington Alert

On May 21, 2020, the Department of the Treasury, as chair of the Committee on Foreign Investment in the United States (“CFIUS”), published in the Federal Register a proposed rule (the “Proposed Rule”) that would amend the requirements to file with CFIUS certain transactions involving U.S. businesses that produce, design, test, manufacture, fabricate, or develop ...

May 19, 2020, Covington Alert

The Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) released its Annual Report to Congress regarding foreign acquisitions of, and investments in, U.S. businesses reviewed by CFIUS in 2018. The Committee also released a table reflecting data on the total number of formal reviews (not declarations) in 2019.

May 6, 2020, Covington Alert

On May 1, President Donald Trump signed an executive order on “Securing the United States Bulk-Power System” (the “Order”) that gives the Department of Energy new authorities to block or mitigate certain transactions involving bulk-power system electric equipment designed, developed, manufactured or supplied by a “foreign adversary” based on national security ...

April 29, 2020, Covington Alert

The day we have all been expecting has finally come — CFIUS filing fees are going into effect on May 1, 2020. As discussed in our earlier alert, on March 4, 2020, the Department of the Treasury (“Treasury”) issued a proposed rule regarding CFIUS filing fees, which were authorized under the Foreign Investment Risk Review Modernization Act of 2018 (“FIRRMA”). ...

April 15, 2020

WASHINGTON—Cybersecurity Docket has named David Fagan and Ashden Fein to its “Incident Response 30” for 2020. The list features “30 of the best data breach response lawyers in the business.” Mr. Fagan co-chairs the firm’s Data Privacy and Cybersecurity Practice. He has counseled companies on responding to some of the most sophisticated documented cyber-based ...

April 8, 2020, Covington Alert

On Saturday, April 4, 2020, the White House released the long-awaited Executive Order (“EO”) formalizing the “Team Telecom” Process, titled the “Executive Order on Establishing the Committee for the Assessment of Foreign Participation in the United States Telecommunications Services Sector” (“the Committee”). This EO provides, for the first time, formal ...

April 7, 2020, Corporate Counsel

David Fagan is quoted in Corporate Counsel regarding the impact of coronavirus on CFIUS. Mr. Fagan says, “It is not that CFIUS is closed, but there is an impact on CFIUS too, and you have to factor that into your planning.” He adds that the increasing delays mean that parties that proceed to close a transaction on the basis of a “no action” to a declaration ...

April 1, 2020, Covington Alert

The scope and scale of recent events is almost inconceivable. All of us —including the Committee on Foreign Investment in the United States (“CFIUS”) — are sailing in uncharted waters. That said, while we may not have all of the answers, we are able to share some insights from the CFIUS front lines regarding how the challenges presented by the COVID-19 pandemic ...

March 9, 2020, Covington Alert

As we reported this past Friday, on March 6, 2020, President Trump issued only the sixth Executive Order (the “Order”) in history formally prohibiting the acquisition of a U.S. business by a foreign person, pursuant to the authorities that allow the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) to review foreign mergers and ...

March 4, 2020, Covington Alert

Filing fees — one of the long awaited (and dreaded) innovations of the 2018 Foreign Investment Risk Review Modernization Act (FIRRMA) that has transformed the Committee on Foreign Investment in the United States (CFIUS) — have finally arrived. For more than 30 years, transactions could be submitted to CFIUS for review without a fee payable to the federal ...

January 14, 2020, Covington Alert

The institutional transformation of the Committee on Foreign Investment in the United States (“CFIUS” or “the Committee”) that commenced more than two years ago with the introduction in Congress of the Foreign Investment Risk Review Modernization Act (FIRRMA) now is largely complete with the issuance of the highly anticipated final regulations implementing ...

December 9, 2019

The Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) released its Annual Report to Congress regarding foreign acquisitions of U.S. businesses reviewed by CFIUS in 2016 and 2017, a combined report covering the final year of the Obama administration and the first of the Trump administration. The report also reflects the crucial ...

November 27, 2019, Covington Alert

The Department of Commerce (“the Department”) has issued a proposed rule implementing the May 15, 2019 Executive Order entitled “Securing the Information and Communications Technology and Services Supply Chain,” which we previously analyzed here. Once finalized and effective, the regulations will govern the process and procedures that the Secretary of Commerce ...

April 2020

  For over 30 years, the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) focused on a narrow subset of M&A transactions and investments. That era is coming to an end.  Covington is monitoring developments:  CFIUS Publishes Final Rule Governing Mandatory Filing Requirements for Critical Technology Businesses, Covington ...

September 27, 2019

Last week the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) issued its proposed final regulations (“Regulations”) to implement its expanded authorities under the Foreign Investment Risk Review Modernization Act of 2018 (“FIRRMA”). In doing so, CFIUS bifurcated the rulemaking process, proposing one set of regulations to govern ...

September 24, 2019

This briefing discussed proposed CFIUS reform regulations to implement the Foreign Investment Risk Review Modernization Act (FIRRMA).

September 20, 2019

For over 30 years, the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”) focused on a narrow subset of M&A transactions and investments. That era is coming to an end. On Tuesday of this past week, CFIUS issued its anticipated proposed final regulations (“Regulations”) to implement the Foreign Investment Risk Review Modernization ...

September 10, 2019

The U.S. Department of the Treasury is expected to issue soon proposed regulations implementing the Foreign Investment Risk Review Modernization Act (“FIRRMA”), legislation enacted in August 2018 that reformed the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”). FIRRMA transformed CFIUS’s authorities, but many of the most ...

August 28, 2019, Covington Alert

On August 23, 2019, President Donald J. Trump tweeted: "Our great American companies are hereby ordered to immediately start looking for an alternative to China, including bringing . . . your companies HOME and making your products in the USA."

July 12, 2019

PALO ALTO—Covington advised Argo AI, LLC, a technology platform company that is working with leading automakers to deliver a fully integrated self-driving system, in the deal announced today with Volkswagen AG and Ford Motor Company. Volkswagen will be making a $2.6 billion investment, becoming Argo AI’s second investor and building upon a $1 billion investment ...

May 23, 2019

WASHINGTON—Covington is representing Alion Science and Technology Corporation in a recently announced deal to sell its Naval Systems Business Unit to Serco Inc. for $225 million. The sale, subject to certain regulatory approvals, is expected to close in the second half of 2019. Headquartered in McLean, VA, Alion delivers advanced engineering, IT and, operational ...

May 16, 2019, Covington Alert

We are writing to provide an update on two important developments in U.S. national security-based regulation of trade: (1) a new, potentially expansive Executive Order on information and communications technology supply into the U.S. market, and (2) the Department of Commerce’s action to add Huawei to the Entity List.

May 7, 2019, Covington Alert

We are writing to provide an update on the current trends and operations of the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”). Approximately nine months after the enactment of the Foreign Investment Risk Review Modernization Act of 2018 (“FIRRMA”) and six months into the Critical Technology Pilot Program (“the Pilot ...

April 5, 2019

NEW YORK—Covington represented IFM Tre, Inc. in its sale to Novartis for a $310 million upfront cash payment and up to $1.265 billion in milestone payments (for a total of $1.575 billion). IFM Tre develops chemically distinct systemic, gut-directed, and CNS-penetrant drug candidates to address several indications triggered by NLRP3, including metabolic, ...

April 5, 2019

WASHINGTON—Covington advised Elbit Systems of America, LLC, a subsidiary of Elbit Systems Ltd., in its definitive agreement with Harris Corporation for the acquisition of Harris' Night Vision business for a purchase price of $350 million. The closing of the transaction is subject to receipt of regulatory approvals. Elbit Systems Ltd. is an international high ...

March 2019, The American Lawyer

The American Lawyer has recognized Covington in its 2019 Dealmakers of Year.

March 27, 2019

WASHINGTON—The American Lawyer has recognized Covington among its 2019 “Dealmakers of the Year.” The annual feature highlights “the lawyers behind the most significant work” in deal making, and this marks the second time the firm has received this distinction in the last three years. In March 2018, Covington helped Qualcomm, Inc. secure a U.S. Presidential ...

January 30, 2019

PALO ALTO—Covington advised South Korea-based SK Holdings in its $100 million investment in Kinestral Technologies, Inc. The Series D funding round was led by SK Holdings and included existing Kinestral investors like 5AM Ventures, Alexandria Real Estate, Capricorn Investment Group, and Versant Ventures.  Headquartered in the San Francisco Bay Area, Kinestral ...

December 13, 2018, Covington Alert

The first EU-level rules on the screening of foreign direct investment (FDI) are about to be agreed. These do not provide for the direct screening of FDI by the institutions of the Union, but rather create a framework for national initiatives and the exchange of information, and impose certain obligations on Member States to ensure a certain harmonization of any ...

December 12, 2018

WASHINGTON—Law360 has named four Covington partners as MVPs in their respective practice areas. The awards single out lawyers from across numerous practice areas based on their success in high-stakes litigation, complex global matters, and record-breaking deals. The Covington lawyers recognized as Law360 MVPs are: Shara Aranoff, International Trade. Ms. ...

December 5, 2018, Covington Alert

Earlier this year Congress passed and President Trump signed the Foreign Investment Risk Review Modernization Act (“FIRRMA”), transformational legislation reforming the operations of the Committee on Foreign Investment in the United States (“CFIUS”).

October 23, 2018, The National Law Journal

David Fagan is quoted in The National Law Journal regarding a CFIUS pilot program which will require short-form notices of foreign investments involving critical technology in 27 industries, including defense, telecommunications and metal production. The pilot program could bring an unprecedented number of transactions under the purview of CFIUS.   Mr. Fagan ...

October 17, 2018, The Diplomat

The Diplomat featured David Fagan in a Q&A regarding the effects of the Foreign Investment Risk Review Act of 2018 on U.S.-China commercial relations. Mr. Fagan noted the national security rationale of the new law, how U.S. companies should incorporate FIRRMA into their deal making, and how FIRRMA will affect U.S. companies seeking to attract foreign direct ...

October 11, 2018, Covington Alert

Summary On October 10, the U.S. Department of the Treasury, as chair of the Committee on Foreign Investment in the United States (“CFIUS”), issued interim rules (the “Interim Rules”) that update the CFIUS regulations to address certain definitional and procedural aspects of the Foreign Investment Risk Review Modernization Act (“FIRRMA”) and, for the first time, ...

August 13, 2018, Covington Alert

Earlier today, President Donald Trump signed into law the Foreign Investment Risk Review Modernization Act (FIRRMA) as part of the John S. McCain National Defense Authorization Act. As we have previously reported, FIRRMA will transform the jurisdiction, authority, and operation of the Committee on Foreign Investment in the United States (CFIUS). Our previous ...

July 25, 2018, Covington Alert

Summary  For over a year, we have reported to our clients as the U.S. government considered and developed legislation that would fundamentally reform the operations of the Committee on Foreign Investment in the United States (CFIUS). That effort has been driven by concerns about risks arising from evolving foreign investment composition and business ...

June 27, 2018, Covington Alert

We write to report on two important developments regarding the Foreign Investment Risk Review Modernization Act (FIRRMA), a bi-partisan effort to reform the Committee on Foreign Investment in the United States (CFIUS), and the broader policy debate within the U.S. government on regulatory mechanisms to address foreign investment, particularly from China. On June ...

June 19, 2018, Global Policy Watch

As the Senate approaches the end of its debate on the National Defense Authorization Act for Fiscal Year 2019, provisions of the bill regarding access to and review of information technology code deserve close attention.  These sections, if enacted, would significantly impact Department of Defense contractors and also would affect matters associated with ...

June 13, 2018

WASHINGTON—On June 9, 2018, Genworth Financial, Inc. ("Genworth") announced that the Committee on Foreign Investment in the United States ("CFIUS") had cleared its $2.7 billion acquisition by China Oceanwide. Covington represented Genworth in securing CFIUS approval, which is the largest China-related transaction approved in the Trump Administration. Reuters ...

May 23, 2018, Covington Alert

Summary We are writing to report the latest developments related to legislative reform of the Committee on Foreign Investment in the United States (“CFIUS”). On Tuesday, May 22, 2018, the Senate Committee on Banking, Housing, and Urban Affairs (“Senate Banking Committee” or “SBC”) held a markup of S. 2098—the Foreign Investment Risk Review Modernization Act ...

May 23, 2018, Law360

David Fagan is quoted in a Law360 article regarding potential changes to a draft bill that could alter the CFIUS process. According to Fagan, the first draft of the Foreign Investment Risk Review Modernization Act (FIRRMA) also ensnared outbound transfers of technology even in situations that do not involve an acquisition of a U.S. company, like what may happen ...

May 16, 2018, Covington Alert

We are writing to report on the current status of the Foreign Investment Risk Review Modernization Act (“FIRRMA”), legislation to reform the Committee on Foreign Investment in the United States (“CFIUS” or the “Committee”). FIRRMA, a bill introduced by Senator John Cornyn (R-TX) in the Senate and Congressman Robert Pittenger (R-NC) in the House, seeks to ...

May 8, 2018, Covington Alert

It has been publicly reported that the Trump Administration is considering invoking the International Emergency Economic Powers Act (IEEPA) to further regulate—and in certain areas potentially preclude—Chinese direct investment in the United States, beyond the authorities exercised by the Committee on Foreign Investment in the United States (CFIUS). The prospect ...

May 1, 2018

WASHINGTON—Covington advised Elbit Systems Ltd. in its $120 million acquisition of the assets and operations of the privately owned U.S. company, Universal Avionics Systems. Elbit Systems is an international high technology company engaged in a wide range of defense, homeland security, and commercial programs throughout the world. Universal Avionics is a ...

April 30, 2018, Covington Alert

We are writing to report on the latest Congressional hearing related to reform of the Committee on Foreign Investment in the United States (“CFIUS”). On April 26, 2018, the Digital Commerce and Consumer Protection Subcommittee of the House Committee on Energy and Commerce (the “Subcommittee”) held an open hearing entitled “Perspectives on Reform of the CFIUS ...

April 17, 2018, Covington Alert

We are writing to report on the latest Congressional hearing related to reform of the Committee on Foreign Investment in the United States (“CFIUS”). On April 12, 2018, the Monetary Policy and Trade Subcommittee of the House Committee on Financial Services (the “Subcommittee”) held an open hearing entitled “H.R. 4311, the Foreign Investment Risk Review ...

March 15, 2018

WASHINGTON—Covington secured a U.S. Presidential order compelling Broadcom Limited to “immediately and permanently abandon” its proposed hostile takeover of its client Qualcomm, Inc. The order was based on findings by the Committee on Foreign Investment in the United States (CFIUS) that Broadcom's takeover "threatens to impair the national security of the United ...

March 8, 2018, Global Policy Watch

On February 15, 2018, House Foreign Affairs Committee Chairman Ed Royce (R-CA) introduced bipartisan legislation—the Export Control Reform Act of 2018 (“ECRA”)⸺to modernize U.S. export control regulation of commercial and dual-use items. The bill is co-sponsored by the committee’s ranking Democratic member, Eliot Engel (D-NY). The proposed legislation seeks to ...

March 8, 2018, Covington Alert

On February 15, 2018, House Foreign Affairs Committee Chairman Ed Royce (R-CA) introduced bipartisan legislation—the Export Control Reform Act of 2018 (“ECRA”)⸺to modernize U.S. export control regulation of commercial and dual-use items.

January 26, 2018, Covington Alert

We are writing to report on the latest significant developments in the effort to reform the Committee on Foreign Investment in the United States (“CFIUS”). On January 25, 2018, the Senate Committee on Banking, Housing, and Urban Affairs (“Senate Banking Committee” or “Committee”) held an open hearing entitled “CFIUS Reform: Administration Perspectives on the ...

January 22, 2018, Covington Alert

On January 18, 2018, the Senate Committee on Banking, Housing, and Urban Affairs (“the Committee”) held a hearing to consider the Foreign Investment Risk Review Management Act (FIRRMA), a bill introduced by Senator John Cornyn (R-TX) in the Senate and Congressman Robert Pittenger (R-NC) in the House to reform the Committee on Foreign Investment in the United ...

January 18, 2018, National Security Law Today

David Fagan appeared on National Security Law Today to discuss "CFIUS 101: Foreign Control and U.S. Oversight."

January 17, 2018

WASHINGTON—Brian Williams has joined Covington as a Senior Advisor in the firm’s Cross-Border Investment and National Security practice. Mr. Williams draws on over 20 years of public and private sector experience advising on issues at the intersection of national security, technology, and law. A non-lawyer, he led multi-agency analyst teams that authored the ...

January 11, 2018, Covington Alert

We are writing to share our report of two Congressional hearings held this week that are relevant to the ongoing legislative discussion concerning potential reform of the Committee on Foreign Investment in the United States (CFIUS).

December 15, 2017, Covington Alert

We write to offer our perspective on two developments relevant to the Committee on Foreign Investment in the United States (“CFIUS”).

November 17, 2017, Inside Privacy

The White House released on November 15, 2017 the Vulnerabilities Equities Policy and Process for the United States Government (“VEP”) — the process by which the Government determines whether to disseminate or restrict information about new, nonpublic vulnerabilities that it discovers.  This release was motivated by criticism following the allegations that ...

November 8, 2017, Covington Alert

Earlier today, Senator John Cornyn (R-TX), the second-highest-ranking Republican in the Senate, introduced a bill to reform the authority and operation of the Committee on Foreign Investment in the United States (“CFIUS”). The bill is co-sponsored by Senator Dianne Feinstein (D-CA) and Senator Richard Burr (R-NC), the Chairman of the Senate Select Committee on ...

November 1, 2017

WASHINGTON—Covington represented CenturyLink in its acquisition of Level 3 Communications in a cash and stock transaction valued at approximately $34 billion. The acquisition closed today. The firm assisted Century Link in obtaining regulatory approvals by the Federal Communications Commission and state public utilities regulators, and in national security ...

October 3, 2017, Commercial Dispute Resolution

David Fagan is quoted in a Commercial Dispute Resolution article regarding how companies are bracing for cyber attacks. According to Fagan, cybersecurity is “a one-way ratchet: all constituents, whether customers, regulators, business partners, claimant counsel and finders of fact, are increasingly aware of and focused on the risk [which] arises from operating ...

September 21, 2017, Covington Alert

The Committee on Foreign Investment in the United States (“CFIUS”) this week released its long-awaited Annual Report to Congress regarding foreign acquisitions of U.S. businesses reviewed by CFIUS in 2015. The report provides important data that yields insights into the types of transactions the Committee reviewed and the Committee’s treatment of those ...

September 18, 2017, Covington Alert

Last week, in his annual State of the European Union Address, the President of the European Commission Jean-Claude Juncker called out cybersecurity as a key priority for the European Union in the year ahead. In terms of ranking those priorities, President Juncker placed tackling cyber threats just one place below the EU leading the fight against climate change, ...

September 14, 2017, Covington Alert

We are writing to provide our perspective on two significant developments involving the Committee on Foreign Investment in the United States (“CFIUS”).

September 8, 2017, Covington Alert

On August 18, 2017, the General Office of China’s State Council released to the public new guidance regarding the regulation of outbound investment. The guidance is set forth in a notice, dated August 4, 2017, forwarding “guiding opinions” (the “Opinions”) from the National Development and Reform Commission (“NDRC”), Ministry of Commerce (“MOFCOM”), People's ...

June 23, 2017, Covington Alert

We are writing to provide our perspective on recent developments regarding the Committee on Foreign Investment in the United States (“CFIUS”), including the plans of Senator John Cornyn (R-TX) to introduce significant legislation to reform CFIUS, and the operation of CFIUS in the first six months of the administration of President Donald Trump.

May 17, 2017, Covington Alert

Last Friday may mark the start of a new era in cyber crime. The first worldwide ransomware attack, commonly dubbed “WannaCry,” emerged on May 12. The malware is believed to have infected more than 300,000 computers in 150 countries to date. A cyber criminal or ring of criminals, taking advantage of an exploit made available by the ShadowBrokers hacker group that ...

May 3, 2017, Covington Alert

On May 2, 2017, the Cyberspace Administration of China (“CAC”) released the final version of the Measures on the Security Review of Network Products and Services (Trial) (“the Measures”), with an effective date of June 1, 2017 (official Chinese version available here). The issuance of the Measures marks a critical first step toward implementing China’s ...

February 28, 2017

WASHINGTON—Covington represented semiconductor manufacturer Intersil Corporation in its $3.2 billion sale to Japan’s Renesas Electronics Corporation. The firm advised Intersil on aspects of the transaction involving Committee on Foreign Investment in the United States (CFIUS), Foreign Ownership, Control, or Influence (FOCI), trade controls, and government ...

February 23, 2017, China Daily

China Daily highlights Covington’s client alert, CFIUS and Foreign Direct Investment Under President Donald Trump, in an article regarding efforts by lawmakers to strengthen the government’s scrutiny of Chinese investment in the U.S. According to the CFIUS Practice Group alert, "while the legislative landscape in the new Congress is still being defined, there is ...

February 21, 2017, The Wall Street Journal

The Wall Street Journal highlights Covington’s client alert, CFIUS and Foreign Direct Investment Under President Donald Trump, in an article regarding efforts by lawmakers to strengthen the government’s scrutiny of Chinese investment in the U.S. According to the CFIUS Practice Group alert, there is "a greater chance now than at any time in the last decade of ...

February 7, 2017, Covington Alert

On February 4, 2017, the Cyberspace Administration of China (“CAC”) released the draft Measures on the Security Review of Network Products and Services (“the draft Measures”) for public comment (official Chinese version available here; Covington’s translation of the draft Measures is here). The comment period ends on March 4, 2017.

2005-present

Mr. Fagan has given numerous speeches and presentations on these matters.

December 5, 2016, Covington Alert

Acting on the recommendation of the Committee on Foreign Investment in the United States (“CFIUS”), President Barack Obama issued an Executive Order on Friday, December 2, prohibiting the acquisition of the U.S. business of Aixtron SE (“Aixtron”) by a company ultimately owned by investors in China. This is the first time that a President formally has utilized ...

November 22, 2016, CFR Backgrounders

David Fagan is quoted in a CFR Backgrounders article regarding foreign investments and U.S. national security. Commenting on the CFIUS review process, Fagan says, “It’s like a full physical, performed by a battery of doctors that run every conceivable test.”

October 20, 2016, Covington Alert

On October 19, 2016, the Board of Governors of the Federal Reserve System (Federal Reserve), Office of the Comptroller of the Currency (OCC), and Federal Deposit Insurance Corporation (FDIC) (collectively the “Agencies”) released a joint Advance Notice of Proposed Rulemaking (ANPR) requesting public comment on enhanced cybersecurity standards that would apply to ...

July 21, 2016, Law360

David Fagan and Stephen Surdu are quoted in a Law360 article regarding the launch of Covington’s new Cybersecurity Incident Response Team in conjunction with the arrival of Surdu and Jenny Martin. According to Fagan, “We’re a big firm with clients that span the globe. They can’t control when they have incidents, and you can get calls on a Friday afternoon from ...

July 18, 2016

WASHINGTON—Covington has formed an enhanced team of lawyers and advisors to provide cybersecurity incident response services to clients, highlighted by Stephen Surdu, who formerly led the professional services group of Mandiant, joining the team as a Senior Cybersecurity Advisor.  Through the formation of the Cybersecurity Incident Response Team with members on ...

May 31, 2016

WASHINGTON—Chambers USA has selected Covington for its 2016 Award for Excellence in International Trade. The Award for Excellence in International Trade is presented at Chambers USA’s annual awards dinner and awarded to one law firm. The award coincides with the release of the Chambers USA 2016 guidebook, in which Covington received a top-tier ranking nationally ...

May 23, 2016, CDR News

Timothy Hester, Carl Bildt, and Sebastian Vos are quoted in a CDR News article regarding the arrival of Carl Bildt as a Senior Policy Advisor in the firm’s global Public Policy and Government Affairs practice. According to Vos, “In ever more complex regulatory regimes, the implementation of such regulation will often be very important. In this context, what the ...

April 13, 2016, China Daily

David Fagan is quoted in a China Daily article regarding Chinese direct foreign investment in the United States. According to Fagan, the economies of China and the United States are truly intertwined. "In turn, the economic relationship that can be forged through investment is not just something that is economically beneficial. The relationships that can develop ...

March 28, 2016

WASHINGTON, DC - The American Lawyer has named Covington partners Mark Plotkin and David Fagan as “Dealmakers of the Year.” The annual feature showcases “the lawyers behind the most significant work” in dealmaking. In its profile of Mr. Plotkin and Mr. Fagan in the magazine’s April 2016 issue, The American Lawyer praises the pair’s strategy that steered ...

March 2016, Cyber Security Law & Practice

February 22, 2016, Covington Alert

January 25, 2016, The Lawyer

David Fagan is quoted by The Lawyer in an article discussing the continued vulnerability of companies to data breaches and targeted cyber attacks. Fagan, commenting on cyber-related litigation, states, “Up until now, in the US, there has been little cyber-related litigation because it is very difficult to quantify the level of damage done – I can imagine the ...

December 14, 2015

WASHINGTON, DC, December 14, 2015 - The National Law Journal has named Covington partner David Fagan as one of its “Cybersecurity & Data Privacy Trailblazers.” The list profiles 50 lawyers “who have helped make a difference in the fight against criminal cyber activity and towards adding much needed layers of data security in an increasingly digital world of ...

November 9, 2015, Inside Privacy

As we reported on October 27, the U.S. Senate passed the Cybersecurity Information Sharing Act (“CISA,” S. 754).  If enacted into law, CISA would, among other things, establish a voluntary framework for the sharing of cybersecurity threat information between and among the federal government and private entities.  CISA must now be reconciled with two similar...… ...

October 13, 2015, Main Justice

David Fagan is quoted in this Main Justice article on the tentative settlement in litigation between Ralls Corp. and the CFIUS. Fagan calls it a “perfect storm for litigation” but also one that “falls outside the normal margins of most CFIUS cases.” He states that, “The Ralls case should not be viewed as emblematic for investors.”

October 13, 2015

WASHINGTON, DC, October 13, 2015 - Covington addresses the critical issue of how to manage risks associated with third-party outsourcing in Navigating the Digital Age: The Definitive Cybersecurity Guide for Directors and Officers. Published in collaboration with Palo Alto Networks and the New York Stock Exchange, the book provides boards, executives and ...

October 2015, Navigating the Digital Age: The Definitive Cybersecurity Guide for Directors and Officers

September 17, 2015

SHANGHAI, September 17, 2015—China Law & Practice named Covington "International Firm of the Year - Life Sciences" at its annual awards ceremony. The leading Chinese legal publication also named Hui Xu a "Rising Star" in regulatory and compliance law and recognized the firm for its role in its "Deal of the Year," Lenovo’s acquisition of IBM's server ...

September 11, 2015, Covington Alert

August 12, 2015, The Cybersecurity Law Report

June 9, 2015, Inside Cybersecurity

Covington's David Fagan and Susan Cassidy have authored this article for Inside Cybersecurity. 

June 9, 2015, InsideCounsel

May 22, 2015

NEW YORK, May 22, 2015  — Covington advised European telecommunications company Altice S.A. (Euronext ATC) in a $9.1 billion deal to acquire a controlling stake in Suddenlink, the seventh largest cable operator in the U.S.  Under the terms of the agreement, Altice will enter the U.S. cable television and broadband market by acquiring 70 percent of the share ...

April 8, 2015, The Cybersecurity Law Report

Covington's David Fagan is quoted regarding cybersecurity: "Companies 'should have a process in place to categorize vendors in terms of levels of risk and then they should apply assessment from that basis,' Fagan said. The first step should be to 'assign a risk classification to them. And that should track to what kind of assessment you provide.'"

March 3, 2015, Covington E-Alert

February 23, 2015, The Hill

David Fagan is quoted in this article regarding cybersecurity: David Fagan, a partner with Covington & Burling, said clients’ needs have evolved over the past five years when it comes to cybersecurity.  “[The] Target and Sony [hacks] captured the minds and also the fears of a lot of boards of directors and executives,” Fagan said. “As a result, in-house ...

February 19, 2015, Inside Counsel

February 19, 2015, Inside Counsel

Covington's David Fagan, James Garland and Kurt Wimmer have authored this article on questions that in-house counsel should be able to answer about his or her organization’s legal and business cybersecurity risk profile: "In the wake of the much publicized North Korean cyber-attacks against Sony — as well as recent favorable rulings for the plaintiffs in class ...

January 15, 2015, Inside Privacy

On Tuesday, President Obama announced his proposal for legislation that would encourage sharing of cyber threat information between the public and private sector by shielding private entities from liability for sharing information on cyber threats. The White House has since released the text of the proposed bill, which includes limitations on liability for ...

May 2015, National Defense

David Fagan is quoted in this article.

December 23, 2014, Inside Privacy

State legislators have recently passed a number of bills that impose new data security and privacy requirements on companies nationwide. The laws include new data breach notification requirements, marketing restrictions, and data destruction rules. Below is an overview of the new laws and amendments that will go into effect on January 1, 2015. Amendments to...… ...

December 22, 2014, Covington E-Alert

December 1, 2014

WASHINGTON, DC, December 1, 2014 — Law360 named Covington & Burling partner David Fagan a “most valuable player” in international trade law. Law360’s “MVP of the Year” awards recognize lawyers who have had successes in complex global matters, high-stakes litigation, and record-breaking deals in the past year. In its profile of Mr. Fagan, Law360 highlighted his ...

November 18, 2014, Law360

Covington partners David Fagan, Doug Gibson, Paul Schmidt and Robert Wick were named Law360 MVPs in their respective practices.

November 10, 2014, Inside Privacy

By David Fagan and Sumon Dantiki Recently several media outlets reported that the New York State Department of Financial Services (“NYDFS”) sent a letter to many of the nation’s banks, regarding the “level of insight financial institutions have into the sufficiency of cybersecurity controls of their third-party service providers.”  The letter requested financial ...

October 1, 2014, Inside Cybersecurity

Covington's David Fagan and Marialuisa Gallozzi are quoted in this article regarding a symposium co-hosted by Covington & Burling and George Washington University's Cybersecurity Initiative titled "Cybersecurity for Government Contractors." "That is the bubble that we're sitting on at this moment," said Covington and Burling insurance attorney Marialuisa ...

August 22, 2014

WASHINGTON, DC, August 22, 2014 — The Committee on Foreign Investment in the United States (CFIUS) has cleared Lenovo Group’s bid to acquire International Business Machines’ x86-based server business in a $2.3 billion acquisition. Covington & Burling represented Lenovo in securing CFIUS approval. David Fagan, Mark Plotkin, Stuart Eizenstat and Jonathan Wakely ...

July 31, 2014, Global Policy Watch

Senate Judiciary Chairman Patrick J. Leahy introduced a new version of the Uniting and Strengthening America by Fulfilling Rights and Ensuring Effective Discipline Over Monitoring Act of 2014 (the “USA FREEDOM Act” or “Act”) in the Senate on Tuesday, more than two months House of Representatives passed a version of the bill that omitted several...… Continue ...

July 31, 2014, Global Policy Watch

On July 28, 2014, the U.S. House of Representatives (“House”) passed three cybersecurity bills, the National Cybersecurity and Critical Infrastructure Protection Act of 2014 (H.R. 3696) (“NCCIP Act”), the Critical Infrastructure Research and Development Advancement Act (H.R. 2952) (“CIRDA Act”), and the Homeland Security Cybersecurity Boots-on-the-Ground Act ...

July 30, 2014, Inside Privacy

Senate Judiciary Chairman Patrick J. Leahy introduced a new version of the Uniting and Strengthening America by Fulfilling Rights and Ensuring Effective Discipline Over Monitoring Act of 2014 (the “USA FREEDOM Act” or “Act”) in the Senate on Tuesday, more than two months House of Representatives passed a version of the bill that omitted several...… Continue ...

July 30, 2014, Inside Privacy

By David Fagan, Richard Hertling, and Sumon Dantiki On July 28, 2014, the U.S. House of Representatives (“House”) passed three cybersecurity bills, the National Cybersecurity and Critical Infrastructure Protection Act of 2014 (H.R. 3696) (“NCCIP Act”), the Critical Infrastructure Research and Development Advancement Act (H.R. 2952) (“CIRDA Act”), and the ...

July 23, 2014, Inside Privacy

By David Fagan and Susan Cassidy As an indicator of the continuing focus of government authorities on cybersecurity breaches and potential notification requirements, certain contractors for the federal government may soon face new rapid reporting requirements for successful network penetrations.  Specifically, President Obama signed the 2014 Intelligence ...

July 21, 2014, Global Policy Watch

On July 14, the U.S. Court of Appeals for the District of Columbia Circuit decided Ralls Corporation v. Committee on Foreign Investment in the United States — the first ruling by a federal circuit court on a CFIUS case.  Ralls, a U.S. company owned by two Chinese nationals, sued CFIUS in connection with an order by...… Continue Reading

July 18, 2014, Covington E-Alert

May 9, 2014, Covington E-Alert

April 15, 2014, Covington E-Alert

April 11, 2014, Covington E-Alert

February 13, 2014, Inside Privacy

By Jim Garland, David Fagan, and Alex Berengaut On January 27, 2014, the Attorney General and Director of National Intelligence announced that the U.S. government will allow Internet companies and telecommunications providers to disclose more information about government demands for customer data in national security investigations.  The government’s new ...

February 13, 2014, Covington E-Alert

January 21, 2014, Covington E-Alert

December 20, 2013, Covington E-Alert

November 21, 2013, Covington E-Alert

November 21, 2013

WASHINGTON, DC, November 21, 2013 — Washingtonian magazine has named 34 Covington & Burling attorneys as “Best Lawyers” in its December issue. The biennial list, compiled by the magazine’s editorial staff, identifies leading lawyers in the Washington area. Of the hundreds of “Best Lawyers” identified in the issue, Washingtonian spotlights 14 leading Washington ...

November 18, 2013

WASHINGTON, DC, November 18, 2013 — The Federal Communications Commission has unanimously approved a request by the Coalition for Broadcast Investment to relax a long-standing cap on foreign investment in broadcast companies. Covington & Burling represented the coalition in a two-year effort to secure greater opportunities for foreign investment in broadcasting ...

November 4, 2013, Covington E-Alert

October 25, 2013, Covington Advisory

October 24, 2013

WASHINGTON, DC, October 24, 2013 — The U.S. Chamber of Commerce yesterday released a significant report, co-authored by Covington & Burling, assessing the opportunities for Chinese participation in the U.S. infrastructure sector. The other co-authors were the economic research and advisory firm The Rhodium Group and the strategic advisory firm Sphere Consulting. ...

October 8, 2013, Law360

October 2013, U.S. Chamber of Commerce

9/27/2013

WASHINGTON, DC, September 27, 2013 — Covington & Burling and George Washington University’s Cybersecurity Initiative yesterday co-hosted a program that examined the growing threat of economic and cyber espionage and the need to protect trade secrets. In conjunction with the event, Covington and GW’s Cybersecurity Initiative released an issue brief on the legal ...

9/27/2013

WASHINGTON, DC, September 27, 2013 — Marisa Lago, assistant secretary for international markets and development at the U.S. Treasury Department, addressed a symposium held at Covington & Burling earlier in September about trends in Chinese foreign direct investment in America. The symposium, co-hosted with the China General Chamber of Commerce, examined the ...

September 4, 2013, Covington E-Alert

July 2013, Global Trade & Customs Journal

April 25, 2013, Law360

March 27, 2013

WASHINGTON, DC, March 28, 2013 — Rep. Mike Rogers, chairman of the House Permanent Select Committee on Intelligence, and former Homeland Security Secretary Michael Chertoff addressed the complexity of cybersecurity threats at a program sponsored by Covington & Burling and The Chertoff Group. Mr. Chertoff is senior of counsel at Covington and chairman and founder ...

March 2013

February 21, 2013, Law360

February 14, 2013, Covington E-Alert

2/13/2013

WASHINGTON, DC, February 13, 2013 — The Committee on Foreign Investment in the United States (CFIUS) on Tuesday approved CNOOC Ltd.’s bid to acquire the U.S. assets of Canadian energy company Nexen Inc. It was the final regulatory hurdle in the $15.1 billion acquisition, the largest overseas investment ever by a Chinese company. Covington & Burling represented ...

December 27, 2012, Covington E-Alert

October 31, 2012, Inside Privacy

By Alex Berengaut On Monday, October 29, the Supreme Court heard oral argument in Clapper v. Amnesty International (No. 11-1025), a challenge brought by the American Civil Liberties Union (ACLU) against the FISA Amendments Act (FAA) of 2008.  The FAA amended the Foreign Intelligence Surveillance Act (FISA) of 1978 by authorizing new procedures for electronic...… ...

October 1, 2012, Covington E-Alert

June 15, 2012

WASHINGTON, DC, June 15, 2012 — In testimony before the U.S.-China Economic and Security Review Commission on Thursday, June 14, Covington & Burling partner David Fagan identified key issues slowing investment by China in the U.S. Mr. Fagan also addressed the nation’s evolving trade and investment relationship with China, focusing on bilateral investment issues ...

June 14, 2012, Testimony before the U.S.-China Economic and Security Review Commission

June 14, 2012, U.S.-China Economic and Security Review Commission

David Fagan testified before the Commission.

June 11, 2012

WASHINGTON, DC, June 11, 2012 — Chambers USA recognized 106 individual Covington & Burling lawyers and 46 Covington practice areas in the 2012 Chambers USA: America’s Leading Lawyers for Business guidebook released on June 7, 2012. Many of the 106 Covington lawyers ranked by Chambers USA were recognized in multiple categories, resulting in a total of 131 ...

May 21, 2012, Corporate Counsel

May 2, 2012

SAN FRANCISCO, May 2, 2012 — Covington & Burling LLP advised the University of California, Santa Cruz on the creation of a national, federally-financed bioinformatics database. The database will serve as a secure repository for storing, cataloging, and accessing cancer genome sequences, alignments, and mutation information from leading cancer-related projects ...

April 16, 2012, Main Justice

David Fagan was interviewed for this article.

March 19, 2012

LONDON, 19 March, 2012 — Covington & Burling LLP received 46 individual mentions and 20 practice mentions in the Chambers Global 2012 edition. The guidebook, which ranks lawyers globally by pan-regional and country practice area, is designed to identify the most skilled legal practitioners based on the qualities most valued by clients. The Covington lawyers ...

October 17, 2011, Covington Advisory

6/10/2011

WASHINGTON, DC, June 10, 2011 — In presenting Covington & Burling LLP with the Chambers USA Award for Excellence in International Trade on June 9th, Chambers noted how the firm’s “comprehensive team covers the complete spectrum of international trade matters and clients benefit from the close-knit and interdisciplinary approach of the department's various ...

June 10, 2011

WASHINGTON, DC, June 10, 2011 — Covington & Burling LLP received 123 individual mentions and 45 practice mentions in Chambers USA 2011. The guidebook, which ranks lawyers by state and national practice area, is designed to identify the most skilled legal practitioners based on the qualities most valued by clients. Here are the Covington lawyers and practices ...

June 9, 2011

WASHINGTON, DC, June 10, 2011 — Covington & Burling LLP received 92 individual mentions and 32 practice mentions in the Legal 500 US 2011 edition.  Legal 500 reviews the strengths and strategies of law firms in more than 90 countries in Europe, the Middle East, Asia, North and South America, and the Caribbean. Here are the Covington lawyers and practices ...

June 2011, E-Commerce Law & Policy

April 20, 2011, Financial Times

April 7, 2011

WASHINGTON, DC, April 7, 2011 — Three practices at Covington & Burling LLP have been nominated for the 2011 Chambers USA Awards for Excellence. The firm received team nominations in the antitrust, insurance, and international trade categories. The awards recognize the firm’s pre-eminence in key practice areas and significant achievements over the past 12 months, ...

June 23, 2010

WASHINGTON, DC, June 23, 2010 — Covington & Burling LLP received 85 individual mentions and 23 practice mentions in the Legal 500 US 2010 edition. Legal 500 reviews the strengths and strategies of law firms in more than 90 countries in Europe, the Middle East, Asia, North and South America, and the Caribbean. Here are the Covington lawyers and practices ...

June 16, 2010

WASHINGTON, DC, June 16, 2010 — Covington & Burling LLP received 112 individual mentions and 44 practice mentions in Chambers USA 2010. The guidebook, which ranks lawyers by state and national practice area, is designed to identify the most skilled legal practitioners based on the qualities most valued by clients. Here are the Covington lawyers and practices ...

June 7, 2010, Columbia FDI Perspective

May 13, 2010

WASHINGTON, DC, May 13, 2010 — Montreal-based CGI Group Inc. has announced an agreement to acquire Stanley Inc., headquartered in Arlington, Virginia, in a transaction valued at $1.07 billion. Covington & Burling LLP is advising Stanley on the national security and export control aspects of the transaction. Stanley is a provider of information technology ...

April 21, 2010, Covington Advisory

4/8/2010

WASHINGTON, DC, April 8, 2010 — Three partners at Covington & Burling LLP have been selected as “Rising Stars” by Law360. The online legal publication describes each of the partners as one of the 10 best lawyers under the age of 40 in his respective practice area. Named as “Rising Stars” are David Fagan in international trade, Seth Safra in employment, and Paul ...

March 1, 2010, Covington E-Alert

2010, Investing in the United States: Is the US Ready for FDI from China?

10/1/2009

WASHINGTON, DC, October 1, 2009 — Covington & Burling LLP today announced that ten of its lawyers have been elected to the firm’s partnership effective today. The new partners practice in the corporate, litigation, and regulatory fields. The ten new partners and their practices are as follows:  Marney Cheek (International) represents companies and trade ...

October 2009, Covington Report

Fall 2009, The Secure Times

September 2009, India Business Law Journal

June 2009, Data Protection Law & Policy

June 12, 2009

WASHINGTON, DC, June 12, 2009 — Covington & Burling LLP received 100 individual mentions and 40 practice mentions in Chambers USA 2009. The guidebook, which ranks lawyers by state and national practice area, is designed to identify the most skilled legal practitioners based on the qualities most valued by clients. Here are the Covington lawyers and practices ...

May 2009, Deloitte

January/February 2009, America in Russia

February 2009, Data Protection Law & Privacy

January 29, 2009, Legal Week

January 14, 2009, Shanghai Daily

January 7, 2009, Vale Columbia Center

12/2/2008

NEW YORK, NY, December 2, 2008 — Roche and Memory Pharmaceuticals have announced a definitive merger agreement for Roche to acquire all the outstanding shares of Memory Pharmaceuticals. Covington & Burling LLP advised Memory Pharmaceuticals on the deal, valued at approximately $50 million. Roche, headquartered in Switzerland, is one of the world’s leading ...

8/7/2008

WASHINGTON, DC, August 7, 2008 — On August 5, Intercell AG completed its acquisition of Iomai Corporation (now known as Intercell USA, Inc.) in a deal that will create a leading traveler’s vaccine portfolio. Covington & Burling LLP advised Intercell on the transaction. Intercell is a growing biotechnology company which focuses on the design and development of ...

August 20, 2007, The Lawyer

June 2006, BNA International World Data Protection Report

February 1, 2006, in Monograph on the Committee on Foreign Investment in the United States (Critical Infrastructure Protection Program, George Mason University School of Law)

June 2005, China Law & Practice