Toikka Kraft Law Group LLP

Author name: Kristi Davis

Employee or Contractor? The $9.3M Lesson for Healthcare Staffing

Key Takeaways The Fourth Circuit Court of Appeals provided a detailed analysis of independent contractor classification using the McFeeley “economic realities” test. Simply consulting with legal counsel is insufficient to establish a good-faith defense. Employers must provide detailed information to their attorneys and take proactive action based on that advice. While the staffing agency’s healthcare

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DOJ Releases Memo on Legal Limits of DEI Initiatives

Released: July 30, 2025 The U.S. Department of Justice (DOJ) has issued updated guidance on how diversity, equity, and inclusion (DEI) initiatives may intersect with federal anti-discrimination laws—particularly for organizations that receive federal funding. The DOJ emphasizes that recipients of federal funds must comply with all applicable anti-discrimination laws, regardless of a program’s stated intentions

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Business and Legal Perspectives on the 2025 AI Action Plan

As of July 23, 2025, the White House has officially designated artificial intelligence not only a strategic priority, but a sweeping industrial, informational, and cultural revolution—one the United States fully intends to lead. The newly released AI Action Plan lays out this vision across three interconnected pillars: (1) Accelerating AI Innovation, (2) Building American AI

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Trump’s ‘AI Action Plan’ Earns Praise from U.S. Department of Labor

U.S. Secretary of Labor Lori Chavez-DeRemer and Deputy Secretary of Labor Keith Sonderling today expressed strong support for President Trump’s newly unveiled national strategy on artificial intelligence, titled “Winning the Race: America’s AI Action Plan.” The strategy was developed in direct response to the President’s January Executive Order, “Removing Barriers to American Leadership in Artificial

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Training AI on Human Work: The Legal Gray Zones of Fair Use

As generative AI technology continues to evolve, legal disputes over the use of copyrighted material to train AI models are intensifying. In the early wave of lawsuits, courts have taken differing positions on whether fair use can be used as a defense to copyright infringement. Meanwhile, other potential legal arguments—such as the right of publicity

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Analyzing the ‘No Tax on Overtime’ Rule and Its Issues

Signed into law on July 4, 2025, the One Big Beautiful Bill Act includes a major change for many hourly workers: the new “No Tax on Overtime” rule. Starting in 2025, eligible employees may benefit from federal tax relief on certain overtime earnings. However, the new provision also introduces compliance challenges for employers and areas

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Justices to Weigh ISP Accountability for Users’ Copyright Infringement

The Supreme Court of the United States has agreed to hear a case that could significantly impact the legal responsibilities of internet service providers (ISPs) in the context of copyright law. In Cox Communications, Inc. v. Sony Music Entertainment, Case No. 24-171 (Supr. Ct. June 30, 2025) (cert. granted), the Court will consider whether an

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Supreme Court Backs Trump Effort to Reduce Federal Government Jobs

On July 8, 2025, the Supreme Court of the United States granted the Trump administration’s request to stay a lower court ruling that had blocked President Donald Trump’s plan to downsize and restructure the federal workforce. The administration’s proposal includes major cuts to several key federal agencies that regulate labor and workplace safety, including the

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