David A.Applebaum

Partner

Houston + 1.832.239.3775

David Applebaum's practice focuses on energy industry enforcement, compliance, internal investigations, audits, litigation, regulatory, and policy matters. He regularly advises on proposed energy market transactions to mitigate enforcement risk from FERC (Federal Energy Regulatory Commission), CFTC (Commodity Futures Trading Commission), NERC (North American Electric Reliability Corporation), state public utility commissions (PUCs), antitrust enforcers, and RTO (Regional Transmission Organization) market monitors. David has successfully represented clients on a broad range of enforcement investigations and surveillance inquiries alleging market manipulation.

David is the former head of FERC's Division of Investigations, where he managed all aspects of the Division, including decisions on opening, conducting, and resolving investigations, settlements, enforcement actions, trials, and electric reliability inquiries. He also led the Division in coordination efforts with the CFTC on market manipulation investigations. During his government service, David was a member of the Office of Enforcement senior management team and was a key advisor to Commissioners' Offices and senior staff on enforcement matters.

Before FERC, David was in private practice, focusing on antitrust, class action, and financial services litigation for corporate clients.

David chairs the Energy Bar Association's Compliance and Enforcement Committee and frequently presents on enforcement topics at major industry conferences sponsored by the Energy Bar Association, Securities Industry and Financial Markets Association (SIFMA), S&P Global Platts, Futures Industry Association (FIA), Edison Electric Institute, the ABA, Energy Risk USA, and Society of Corporate Compliance and Ethics (SCCE).

David also actively participates in Jones Day's VetLex program, providing pro bono legal services to veterans.

Experience

  • Electric utility successfully resolves FERC investigation involving allegations of market manipulation and duty of candor violationsJones Day represented an electric utility investigated by FERC's Office of Enforcement for alleged market manipulation and duty of candor violations--referred to FERC by an RTO market monitor--involving the operation of several generation units.
  • Electric generation company successfully resolves FERC Enforcement investigation involving allegations of market manipulation, duty of candor, and tariff violationsJones Day represented electric generation company investigated by FERC for alleged violations concerning offers and derate practices in an RTO power market.
  • Major energy trade associations submit comments opposing FERC's proposed expansion of Duty of Candor ruleJones Day represented major energy trade associations in preparing and submitting comments opposing FERC's proposed expansion of its Duty of Candor rule.
  • FirstEnergy sells $2.4 billion minority transmission stake to BrookfieldJones Day represented FirstEnergy Corp. in its $2.4 billion sale of a 19.9% equity stake in its subsidiary FirstEnergy Transmission, the holding company for FirstEnergy’s three regulated electric transmission businesses.
  • Power trader successfully resolves FERC Enforcement investigation involving allegations of market manipulationJones Day represented a power trader in a FERC Enforcement investigation into whether the trader's physical and financial natural gas trades violated FERC's anti-manipulation rule. After extensive discovery and preliminary findings, FERC declined to take action against our client.
  • Power generation company successfully resolves FERC Enforcement investigation involving allegations of market manipulation, anticompetitive conduct, and tariff violationsJones Day represented a power generation company in a FERC Enforcement investigation into whether the company's offers into an RTO energy market were manipulative, anticompetitive, or otherwise violated a FERC tariff.
  • Major energy trade associations submit White Paper on enforcement policy to FERCJones Day represented major energy trade associations in preparing and submitting to FERC a White Paper on enforcement policy entitled "Enhancing the Transparency, Efficiency, and Fairness of the Federal Energy Regulatory Commission's Enforcement Program."
  • The following represents experience acquired prior to joining Jones Day.

    Represented natural gas traders, power traders, and other market participants in FERC market manipulation investigations.

    Represented market participants in inquiries led by FERC Enforcement's Division of Analytics and Surveillance.

    Represented energy sector clients in antitrust and energy-related litigation.

    Provided anti-market manipulation and FERC compliance training to natural gas and power traders, generators, and natural gas pipelines.

    Represented natural gas and power market participants in connection with FERC self-reports.

    Conducted due diligence in connection with client investments in energy firms.

    Additional Publications

    Publications Prior to Jones Day

    October 3, 2018
    FERC Market Manipulation Win Leaves Questions Unresolved, Law360

    April 6, 2018
    Another Court Upholds FERC Theory Of Market Gaming, Law360

    March 13, 2018
    FERC Practice and Procedure, Global Competition Review

    June 16, 2017
    FERC At 40: How It Became An Enforcement, Law360

    May 2017
    FERC Should Rescind Its Notice of Alleged Violations, George Washington Journal Energy & Environmental Law

    February 22, 2017
    Big Settlement Shows FERC's Pursuit Of Market Gaming, Law360

    October 6, 2016
    Maxim Settlement Reflects Expansive View Of FERC Rule, Law360

    September 8, 2016
    FERC's Continued Pursuit Of Individual Trader Liability, Law360

    2009
    Contributor, ABA Section of Antitrust Law, State Antitrust Practice and Statutes (4th ed.)

    June 2008
    Contributor, Joint Comments of the ABA on the Commission of the European Communities' White Paper on Damages Actions for Breach of the EC Antitrust Rules

    2007
    Contributor, Annual Review of Antitrust Law Developments (update)

    Spring 2004
    Coauthor, "Safer than a Known Way? A Critique of the FTC's Report on Competition and Patent Law and Policy,18 Antitrust 39

    2004
    Contributor, ABA Section of Antitrust Law, Mergers & Acquisitions: Understanding the Antitrust Issues

    Speaking Engagements

    • May 12, 2023
      Moderator, Energy Bar Association Annual Meeting, "FERC Enforcement: What Market Participants Ought to Know."
    • March 9, 2023
      Panelist, Energy Bar Association, Annual Enforcers & Defenders Forum.
    • February 24, 2023
      Houston Bar Association Webinar: A Clash of Two Congressionally Constructed Titans: FERC v. Bankruptcy Court Jurisdiction, Speaker
    • October 27, 2022
      Panelist, S&P Global Nodal Trader Conference, Trends in Compliance and Enforcement in Nodal Trading
    • August 4, 2022
      Panelist, FIA, Agency Deference No More? Lessons from West Virginia v. EPA
    • June 15, 2021
      Panelist, Energy Bar Association, FERC Enforcement: Recent Developments & What Lies Ahead In A New Administration
    • September 15, 2020
      Panelist, 19th Annual Compliance & Ethics Institute, Compliance in the Crosshairs: What the Courts Are Saying About Effective Compliance Practices in Compliance Officer Liability Cases
    • December 2019
      Panelist, Energy Bar Association Event, FERC Enforcement Roundtable
    • September 18, 2019
      Panelist, 18th Annual Compliance & Ethics Institute, What Do Regulators and Enforcement Staff Understand and Misunderstand About Compliance Programs and Compliance Culture.
    • July 2019
      Speaker, American Gas Association Legal Forum, FERC Investigations & Enforcement Post Energy Policy Act of 2005.
    • June 2019
      Panelist, FIA Commodities Symposium, Best Practices for CFTC and FERC Compliance Programs.
    • April 2019
      Edison Electric Institute (EEI) Webinar: What You Need to Know about the FERC Enforcement Process, Speaker

    Speaking Engagements Prior to Jones Day

    January 2019
    Panelist, FERC, CFTC and Private Compliance, Surveillance Enforcement Update, EUCI Financial Transmission, Congestion and Auction Revenue Rights Conference
    Baltimore, Maryland

    October 2018
    Moderator, S&P Global Platts Nodal Trader Conference, Market Manipulation: A New Era in FERC Enforcement? Lessons Learned from Recent Cases
    New York, New York

    May 2018
    Panelist, Energy Bar Association, Annual Meeting, FERC Enforcement 2018 and Beyond: Update, Analysis and Perspectives
    Washington, D.C.

    January 2018
    Panelist, ACI's 14 National Forum on Energy Trading Compliance and Regulatory Enforcement, A Guide to Relevant Agencies, Key Regulations, and Compliance Fundamentals
    Houston, Texas

    October 2017
    Energy Bar Association CLE Program, FERC Enforcement: Effectively Defending Investigations, Recent Developments, and Key Issues Facing the New Commission
    Houston, Texas

    April 2017
    Panelist, 30th Annual WSPP Joint Executive and Operating Committee Meeting, Enforcement in the Energy Industry
    Austin, Texas

    January 2017
    EUCI Conference, Financial Transmission Rights, The Future of FERC Enforcement and Its Implications on Broader FTR/CRR Portfolio & Transaction Management
    Washington, D.C.

    November 2016
    Guest Speaker, Deloitte Risk Council Meeting, FERC Enforcement: Updates and Trends
    Chicago, Illinois

    January 2016
    Panelist, ABA, Derivatives and Futures Law Committee Winter Meeting, Trends in Enforcement and Related Litigation
    Naples, Florida

    January 2016
    Speaker, Law Seminars International, Buying and Selling Electric Power in the West, FERC Anti-Market Manipulation Enforcement Trends
    Seattle, Washington

    July 2015
    Panelist, EUCI Conference, Financial Transmission Rights, What Trading Organizations Can Do to Proactively Manage Swaps Manipulation Risks
    Washington, D.C.

    May 2015
    Panelist, Energy Bar Association, 2015 Annual Meeting, Market Manipulation — Strategies and Trends in CFTC and FERC Enforcement
    Washington, D.C.

    March 2015
    Panelist, SIFMA Compliance and Legal Society Annual Seminar, Commodities, Futures and Energy Issues
    Phoenix, Arizona

    January 2015
    INGAA Compliance Forum, FERC Enforcement Developments
    Washington, D.C.

    June 2014
    Speaker, European Union's Agency for the Cooperation of Energy Regulators (ACER) Annual Conference, FERC Enforcement
    Ljubljana, Slovenia

    March 2014
    Panelist, SIFMA Compliance and Legal Society Annual Seminar, Commodities, Futures and Energy Issues
    Orlando, Florida

    October 2013
    Panelist, Edison Electric Institute's Dodd-Frank Compliance Forum, CFTC and FERC Compliance Issues
    Washington, D.C.

    May 2013
    Keynote Speaker, Energy Risk USA Conference, FERC Enforcement, Market Manipulation, Compliance, and Recent Developments
    Houston, Texas

    October 2012
    Speaker, Platts Nodal Trader Conference, FERC Enforcement Developments
    New York, New York

    May 2011
    Panelist, Edison Electric Institute's Dodd-Frank Compliance Forum, CFTC and FERC Compliance Issues
    Washington, D.C.

    April 2010
    Session chair and moderator for ABA Antitrust Section Spring Meeting panel, Changing Class Certification Standards
    Washington, D.C.

    November 2009
    Moderator, ABA Antitrust Section, Civil Practice and Procedure Committee's Brown Bag Program on E-Discovery
    Minneapolis, Minnesota

    2008 and 2009
    CLE presenter and contributor for class action segment of Minnesota Business Torts Deskbook
    Minneapolis, Minnesota