head_VernickScottL

Scott  L. Vernick
Partner
svernick@foxrothschild.com

Philadelphia, PA
215.299.2860


A nationally ranked trial lawyer, Scott represents Fortune 500 companies in commercial litigation matters that focus on technology, intellectual property, health care, privacy and data security.  For a diverse range of clients, including First Data Corporation, Bausch & Lomb Incorporated and Merck & Co., Inc., Scott has tried cases in state and federal courts across the country, and before arbitral forums.

Scott ’s recent work includes:

  • Defending Euphrates, Inc. against derivative and other claims in New York state court.  The allegations involve both Euphrates and Chobani Inc., the well-known Greek yogurt company.
  • Defending First Data Corporation in U.S. District Court for the Eastern District of New York in a putative class action arising out of a merchant processing agreement.
  • Defense and prosecution of claims arising out of a “change of control” provision stemming from a business combination between Merck & Co., Inc. and Schering-Plough Corporation.  The case was settled after a multi-week arbitration administered by the International Centre for Dispute Resolution.

For seven consecutive years, Chambers USA has ranked Scott – also previously a BTI Client Service All-Star – as a leading litigation attorney in Pennsylvania.  According to Chambers, clients say Scott:

  • "is an indefatigable attorney - when it came to the crunch, he dug in and did what was needed."
  • "is one of those guys who understands that it's about moving your business forward. He is pragmatic and focuses on business resolution."
  • "emphasizes the importance of early assessment and constant assessment of the merits and weaknesses of a case. He's top-notch."

Over the past decade, Scott has developed a particular fluency in the rapidly evolving field of privacy and data security.  He routinely counsels multinational and mid-sized businesses on how to mitigate risk and overcome the challenges posed by the current state and federal enforcement environment.  For several years, Scott has contributed to the “Combating Cyberthreats” section to West/Thompson Reuters’s Data Security and Privacy Law guide.

Scott ’s broad litigation practice encompasses:

  • Licensing and technology transfer agreements
  • Intellectual property, trade secrets, restrictive covenants and unfair competition
  • Software and hardware technology service agreements
  • Merchant processing and electronic payments
  • Mergers, acquisitions and corporate changes-of-control
  • Government contracting and procurement
  • Commercial lending, FCRA, FDCPA and TIL

Scott serves as national trial counsel for First Data Corporation, and his clients include:

  • ARAMARK Corporation
  • Banc of America Merchant Services, LLC
  • Chase Paymentech Solutions
  • Coby Electronics Corporation
  • Coventry Health Care, Inc. 
  • GATX Corporation   
  • GlaxoSmithKline plc 
  • Hyatt Corporation
  • Magellan Health Services 
  • Open Solutions Inc.
  • Syneron, Inc.
  • Unisys Corporation  

Representative Matters

  • Giray v. Ulukaya, et al.  Case No. 652838 (NY Supreme Court, Manhattan 2012).  Defense of Euphrates, Inc.  The former wife of the founder of Euphrates, Inc. and Chobani, Inc. alleges that she is the majority shareholder of both Euphrates, Inc. and Chobani, Inc., and has filed derivative and other claims against Euphrates, Inc. for a diversion of corporate opportunity and breach of fiduciary duty.  
  • V eitch v. Davis, et al. Case No. 12-1918 (Berks County, PA 2012).  Defense of acquiring bank in a shareholder derivative action.  
  • Open Solutions Inc. v. Abington Savings Bank Case No. 3:11-CV-00831 (D. Conn. 2012).  Prosecution of breach of contract and unfair trade practices claims.  
  • Spread Enterprises, Inc. v. First Data Merchant Services Corporation, et al. Civil Action No. 11-CV-4743 (E.D.N.Y. 2011).  Defense of putative class action suit arising out of a merchant processing agreement.  
  • On behalf of a global pharmaceutical and vision care company, prosecution of claims arising out of a license agreement. (ICDR 2011).  
  • On behalf of a global pharmaceutical company, defense of a wrongful death action based upon allegations of failing to control access to toxic chemicals. (NJ Superior Court 2011).  
  • On behalf of a global pharmaceutical and vision care company, defense of claims brought by a non-practicing entity.  Multi-week arbitration. (ICDR 2009).  
  • Representation of nationwide debt collector in enforcement action brought by the FTC. (2011-2013).  
  • Representation of global hospitality company, global food services company and national restaurant franchisor in response to data security events.  
  • Centocor Ortho Biotech, Inc. v. Schering-Plough Corporation, et al. (ICDR 2009).  Defense and prosecution of claims arising out of a “change of control” provision stemming from a business combination between Merck & Co., Inc. and Schering-Plough Corporation.  Multi-week arbitration.  
  • Coventry Health Care, Inc., et al. v. Caremark, Inc. Civil Action No. 3:09-cv-1009 (M.D. Tenn. 2009).  Plaintiff Coventry alleged that Caremark improperly approved reimbursements for certain pharmacy claims submitted through the Department of Defense and for certain Medicaid claims for which Caremark billed Coventry.  
  • Elliott Green v. Bennett DeLoney & Noyes, P.C., et al., Civil Action No. 3:03-cv-05291-AET-TJR (D.N.J. 2003).  Defense of potential class action under the Fair Debt Collection Practices Act (FDCPA) and the Fair Credit Reporting Act (FCRA).
  • Public Consulting Group, Inc. v. Unisys Corporation (AAA).  Defense of claims based upon a teaming agreement.  Three week arbitration.
  • Southshore Baseball, LLC v. ARAMARK Sports and Entertainment Services, LLC (N.D. Ind. 2008).  Defense of a declaratory judgment action arising from a purported termination of a concession services agreement.  Motion for summary judgment in favor of ARAMARK.   
  • Medpro, Inc. and Physicians Information Services, et al. v. Syneron, Inc. et al. (D.N.J. 2008).  Defense of claims based on allegations of a denial of service attack and computer hacking.  
  • The Hartford Fire Insurance Company v. First Health Group, Corp. (AAA 2009).  Defense of claims based on allegations of incorrect payment of claims submitted to workers’ compensation provider network.  Deployed early case evaluation to reach a settlement.   
  • Jacob Apelbaum v. First Data Corporation, et al. (E.D.N.Y. 2008).  Defense of Section 1983 and defamation claims based on statements allegedly made to the United States Secret Service.  Summary judgment in favor of First Data Corporation.  
  • First Vietnamese American Bank v. STAR Networks, Inc., et al. (Superior Court of California 2008).  Defense of claims based on membership in an electronic payments network.  Deployed early mediation strategy to reach a settlement. 
  • HT of Highlands Ranch, Inc. v. Highline Capital Corp. (D.N.J. 2008).  Defense of claims under Racketeer Influenced and Corrupt Organizations Act, 18 U.S.C. § 1961, et seq.
  • Unilever Ice Cream v. Jack & Jill Ice Cream Co. (Bergen County, NJ 2008).  Defense of claims for fraud and breach of a distribution agreement.   
  • David Ney v. Open Solutions Inc. (E.D. Pa. 2008).  After four-day jury trial, defense verdict in connection with claim by former employee for unpaid sales commissions.  
  • John B., et al. v. Dave Goetz, Commissioner, Tennessee Dept. of Finance and Admin., et al. (M.D. Tenn. 2008).  Five-day e-discovery hearing devoted to ESI and cost-sharing issues.  
  • First Data Corporation v. Securityholder Representative of Peace Software International, Ltd. (2008).  Deployed early mediation strategy to resolve post-merger claim for fraud and accounting adjustments.  

Scott is a member of the firm’s Executive Committee and is the imme diate past Office Managing Partner of the Philadelphia office, the largest of the firm’s 17 offices.

Beyond Fox Rothschild

A recognized authority on privacy and data security, Scott is routinely quoted on these issues in outlets ranging from Forbes and Crain’s New York Business to Law360 and The National Law Journal. Scott’s commentary has also been featured in The Huffington Post and he has appeared on The O’Reilly Factor, Studio B with Shepard Smith and local ABC affiliates.

Honors and Awards

  • Named as one of the leading litigation attorneys in Pennsylvania, Chambers USA (2007 through 2013)
  • Selected to the 2009 BTI Client Services All-Star Team for Law Firms (2009)
  • Martindale-Hubbell "AV" rated
  • Included in a list of "Super Lawyers" by Philadelphia Magazine and Law & Politics Magazine (2006 through 2012)


News

Quoted: "First California Lawsuit Over Mobile Privacy Issue Crashes," Computer World (May 14, 2013)
Quoted: "As Data Breaches Rise, AGs Emerge as Primary Enforcers," Law360 (May 6, 2013)
Quoted: "Judge’s Privacy Putdown Lends Credence To Gov’t Snooping," Law360 (April 30, 2013)
Quoted: "Protecting Data From Inside and Outside Threats," Compliance Week (April 2013)
"How Manageable Data Breaches Go Bad ," Law 360 (March 28, 2013)
"Fox Bolsters Number of Attorneys Noted as Leaders in Their Fields by Chambers USA and Chambers Global," (March 2013)
Interviewed: "Steven Tyler: Paparazzi Problem in Hawaii Shouldn’t Be Ignored ," The Willis Report (March 8, 2013)
Featured : "To Catch a Hacker, Companies Start to Think Like One ," Law360 (February 15, 2013)
Featured : "As Sales of Drones Increase So Do Privacy Concerns ," WPVI-TV ABC News (February 11, 2013)
Featured: "Data Privacy: Television Interview," WPHL-TV (February 5, 2013)
Featured : "Data Privacy Day: Attorneys Call for Better Online Protection," ABC News Radio (January 28, 2013)
Featured : "Stormy Weather: The Pitfalls of Cloud Computing ," Philadelphia Business Journal (January 25, 2013)
Featured : "UK Fine Likely Just The Start of Sony’s Breach Woes ," Law360 (January 24, 2013)
Featured : "Privacy Regulation and Legislation to Watch in 2013," Law360 (January 1, 2013 )
Featured : "Wyndham Case Could Boost FTC Commish’s ‘Unfairness’ Fight ," Law360 (December 12, 2012)
Featured : "Cybersecurity Bill Defeat Won’t Turn Down Regulatory Heat ," Law360 (November 15, 2012)
Mentioned : "Judge Pauses Chobani Founder's Ex-Wife's $530M Suit ," Law360 (October 24, 2012)
Featured : "Sony Breach Plaintiffs' Green Light May Be Short-Lived ," Law 360 (October 15, 2012)
Featured: "Cyberinsurance: Products Mature But Still Underused," Risk Professional (September 27, 2012)
Featured: "Four Tips for Banks To Fend Off Mounting Cyberthreats," Law 360 (September 24, 2012)
Featured: "Judge Pares Hidden Fee Suit Against First Data, Wells Fargo ," Law 360 (August 22, 2012)
Featured: "Privacy or a Public Accounting?," The National Law Journal (August 20, 2012)
Featured: "Defining Reasonable Security," The Fraud Blog (August 2, 2012)
Featured: "Revived Suit Over Bank Security Measures Potentially Opens Door to More Cases," The National Law Journal (July 5, 2012)
Featured: "Senate Passes Legislation Requiring New Cars to Have Black Box Recorders by 2015," Fox News Radio Affiliates (April 23, 2012)
Featured: "How to Keep Your Data Safe in the Cloud," Crain's New York Business (April 13, 2012)
Featured: "No Privacy Act Emotional Damages Allowed, Split Supreme Court Rules in HIV Data Case," Bloomberg BNA (March 29, 2012)
Featured: "Chubb, Others Active In Cyberattack Insurance," Investor's Business Daily (March 14, 2012)
Featured: "Google's New Privacy Policy Takes Effect," Fox News Radio Affiliates (March 1, 2012)
Featured: "Fox Rothschild Significantly Increases Its Ranks of Attorneys Noted as Leaders in Their Fields by Chambers USA and Chambers Global," (February 28, 2012)
Featured: "Ethical Issues Raised About Nonlawyer Law Firm CEOs," Philadelphia Business Journal (February 17, 2012)
Featured: "How To Rein In The Riches Of Big Data," CMO.com (February 15, 2012)
Featured: "Will Decision on Monitoring Hit Employers?," Business Insurance (January 30, 2012)
Featured: "Google Announces Privacy Changes," Fox News Radio Affiliates (January 26, 2012)
Featured: "Balancing the Fight Against Piracy Versus Free Speech," The Willis Report (January 20, 2012)
Featured: "Anti-piracy Measures Bring Black Wednesday," The Philadelphia Inquirer (January 18, 2012)
Featured: "Monitors Raise Privacy Fear," Fox News Radio Affiliates (January 18, 2012)
Featured: "Why CMOs Need To Get Real About The Policy Implications Of Big Data," Forbes (January 10, 2012)
Quoted: "Appeals Court Says Some Claims May Proceed in Hannaford Data Breach Lawsuit," ComputerWorld (October 25, 2011)
Quoted: "Appeals Court Decision in Hannaford Data Breach Case Could Signal New Approach," Business Insurance (October 24, 2011)
Quoted: "Bad News for D&O Insurers?," Business Insurance (July 31, 2011)
Featured: "Legal Implications for Data Security Breaches," Tech Talk with Craig Peterson (July 24, 2011)
Quoted: "A Rouges Gallery of Threats to Web Privacy," The Philadelphia Inquirer (June 30, 2011)
Interviewed: "Supreme Court Strikes Rule Banning Violent Video Game Sale to Kids ," Fox News Radio Affiliates (June 28, 2011)
Interviewed: "Job Screening Agency Archiving all Facebook," Fox News Radio Affiliates (June 23, 2011)
"Fox Rothschild Increases Its Ranks of Attorneys Noted as Leaders in Their Fields by Chambers USA and Chambers Global," (March 17, 2011)
Mentioned: "Best in Law Blogs: Online Privacy in the Open - Who Cares About the Faux Fight?," LexBlog (March 7, 2011)
Interviewed: "Town Wants To Ban Facebook Comments?," FoxNews Radio Affiliates (February 8, 2011)
Interviewed: "Town Wants To Ban Facebook Comments?," Fox News (February 7, 2011)
Quoted: "Monitoring Communications? Know Legal Pitfalls," Business Insurance (February 7, 2011)
Quoted: "Google Puts a Whopping $20K on the Line to Crowdsource Chrome Security," TechNewsWorld (February 3, 2011)
Quoted: "Obama’s Move To Create Individual Internet IDs Causes Big Concerns," The Heartland Institute (January 31, 2011)
Quoted: "The Myth of Browser-Based ‘Do Not Track’," Internet Evolution (January 27, 2011)
Featured: "Fox Rothschild Named a “Go-To Law Firm” by American Lawyer Media," (December 16, 2010)
Interviewed: "Facebook Posts vs. Protected Speech," FoxNews Radio Affiliates (November 10, 2010)
Interviewed: "Understanding What Facebook Apps Really Know (FAQ)," CNET (October 25, 2010)
Interviewed: "Congress Questions Facebook Over Privacy," Fox News (October 19, 2010)
Quoted: "Data Breaches Remain High," Philadelphia Business Journal (September 17, 2010)
Featured : "J&J Stepping Up Fight Over Drug," The Wall Street Journal (September 7, 2010)
Interviewed: "United States v. Juan Pineda-Moreno," FoxNews Radio Affiliates (August 30, 2010)
Quoted: "Online Bank Fraud Lawsuits Force Banks To Reassess Security," SearchFinancialSecurity.com (August 17, 2010)
Interviewed: "Use of Profanity in Public v. Obscenity," FoxNews Radio Affiliates (May 17, 2010)
Interviewed: "Schwarzenegger v. Video Software Dealers Association," FoxNews Radio Affiliates (April 27, 2010)
Interviewed: "City of Ontario v. Quon ," FoxNews Radio Affiliates (April 20, 2010)
Interviewed: "Personal Business Safe at Work," Fox News (April 19, 2010)
"Fox Rothschild Attorneys Awarded Distinguished Chambers USA and Chambers Global “Leaders in Law” Rankings," (March 19, 2010)
Quoted: "Put a Lock on Your Customer Data," Productivity@Work (February 2010)
Quoted: "FBI Probes Cyber Attack on Citigroup ," WSJ (December 22, 2009)
Quoted: "Workplace IT Risks Getting Personal," Business Insurance (December 13, 2009)
Quoted: "Man Charged in Hacking; 130 Million Credit Card Records Hit," USA Today (August 18, 2009)
Quoted: "Vanessa Hudgens Nude Photos: Lawsuit Lurks for Those Who Post," ABCNews.com (August 7, 2009)
Interviewed: "Money For Breakfast," Fox News (January 22, 2009)
Featured: "Scott L. Vernick of Fox Rothschild Selected to the 2009 BTI Client Services All-Star Team for Law Firms," (January 13, 2009)


Publications

By : "Embrace the Drone,"
The Huffington Post (April 2, 2013)
 "Combating Shareholder Derivative Actions,"
Corporate Counsel (October 3, 2012)
By: "New Case Law Alters Landscape of Predictive Coding,"
Daily Business Review (September 19, 2012)
 "Predictive Coding: Three Things You Need to Know About This Year's Biggest Legal Tech Trend,"
The Huffington Post (August 15, 2012)
 "Guest Comment: Power of Predictive Coding ,"
Philadelphia Business Journal (August 8, 2012)
Co-authors: "Predictive Path,"
Law Technology News (August 1, 2012)
 "The Internet Privacy Debate Misses the Point,"
The Huffington Post (April 23, 2012)
 "Cover Your App: Five Lessons from Recent Data Breaches,"
The Huffington Post (January 25, 2012)
Co-author: "From the Experts: No Party? No Cry,"
The Legal Intelligencer (July 6, 2011)
Contributor: "Data Security and Privacy Law,"
Data Security and Privacy Law, 2011 ed. (West/Thomson Reuters) (2011)
Co-author: "From the Experts: No Party? No Cry,"
Corporate Counsel (June 29, 2011)
Co-author: "The Duty to Preserve In an Uncertain World,"
Corporate Counselor (May 2011)
Co-author: "Computer Fraud and Abuse Act,"
Litigation Department Alert (May 2010)
Co-author: "Employee Privacy and the Attorney-Client Privilege,"
Litigation Department Alert (April 2010)
Co-author: "Protecting Your Company's Trade Secrets and Confidential Information in Government Contracting,"
ACC Docket (October 2009)
Co-author: "Data Security - Litigation Update,"
Litigation Department Alert (March 2009)
Author: "Preserving Attorney-Client Privilege, Work Product Doctrine,"
The Legal Intelligencer (May 1, 2006)
Author: "Securing Attorney-Client Privilege,"
The Legal Intelligencer (March 01, 2006)
Author: "Be Aware of Ethical Responsibilities When You’re Moving from Firm to Firm,"
The Legal Intelligencer (January 01, 2006)
Author: "Avoiding Disqualification in Lateral Moves,"
The Legal Intelligencer (February 14, 2005)


Speaking Engagements/Events

Privacy And Data Security: Risk Management And Avoidance
Presented by: DELVACCA: Employment & Labor Committee - CLE Institute
Philadelphia, PA
March 4, 2010
Data Security Breaches: A First Response Checklist
(Presenter)
April 8, 2008