This is still a developing matter. On December 23, 2024, the Fifth Circuit issued an order that has the effect of reinstating FinCEN’s ability to enforce the CTA and the looming December 31 deadline to file reports for any required entity formed prior to January 1, 2024. FinCEN has yet to update its website with
On December 3, 2024, the U.S. District Court for the Eastern District of Texas entered a preliminary injunction suspending enforcement of the Corporate Transparency Act (CTA) and its implementation of regulations nationwide.[1] Shortly following the ruling, the Department of Justice filed a notice of appeal to the U.S. Court of Appeals for the Fifth Circuit.[2]
Continue Reading Corporate Transparency Act (CTA) Enforcement On Hold After Court Ruling
Congratulations to John Joyoprayitno, CEO of Alafair Biosciences, on being named one of Austin’s Best CEOs by the Austin Business Journal. This award is a testament to John’s outstanding leadership, dedication to innovation, and significant contributions to the Austin business community.
John’s journey to success is inspiring. He’s a proven leader with a track
On January 1, 2024, the new reporting requirements under the Corporate Transparency Act (the “CTA”) took effect in the United States. The CTA, aimed at increasing corporate transparency and combating financial crimes, requires “reporting companies” to file Beneficial Ownership Information Reports (“BOIRs”) with the Financial Crimes Enforcement Network (“FinCEN”), disclosing certain beneficial ownership information. This requirement applies to most domestic and foreign entities doing business in the U.S., including limited liability companies, limited partnerships, corporations, and similar structures (each a “Reporting Company”).
Continue Reading Upcoming Deadline: Corporate Transparency Act Filings
Join Winstead attorneys Burke McDavid and Page Patrick as they discuss significant Corporate Transparency Act (CTA) exemptions for private fund managers, their affiliated management entities, and advised funds. The presentation covers exemptions that can shield these entities from the CTA’s otherwise extensive reporting requirements. Listen Here
The U.S. Department of Labor’s (the “DOL”) amendment to the qualified professional asset manager (“QPAM”) prohibited transaction class exemption 84-14 (the “Exemption”) went into effect on June 17, 2024. Current QPAMs must send a one-time email notice to the DOL no later than December 14, 2024, in order to rely on the Exemption (see below).
Continue Reading Update to the Qualified Professional Asset Manager Exemption (QPAM)
When a company is in the process of pursuing a transaction involving the acquisition or merger of another company, one of the first negotiable documents encountered will likely be a non-disclosure or confidentiality agreement (“NDA”). This is a document that will dictate how a company will handle confidential information during the due diligence process (and
On January 1, 2024, Congress enacted the Corporate Transparency Act (the “CTA”) as part of the Anti-Money Laundering Act of 2020 and its annual National Defense Authorization Act. Every entity that meets the definition of a “reporting company” under the CTA and does not qualify for an exemption must file a beneficial ownership information report
For nearly all companies, but particularly companies in the technology sector, the intellectual property (“IP”) they create are the crown jewels of the business. Without the IP, the company has nothing to sell. Of course, the IP does not form out of thin air—someone has to create it. That “someone” is the company’s founders, as well as employees and contractors hired by the company. Accordingly, companies should have an approved form of Proprietary Information and Inventions Assignment Agreement (often referred to as a “PIIA” or an “IP Assignment Agreement”) executed by each of its founders on formation and each future employee and contractor upon hiring or engagement.
Continue Reading IP Assignment Agreements: Protecting Your Company Today and Saving Yourself from Headaches Tomorrow
It’s commonplace for commercial contracts to contain arbitration clauses. But should they? The answer to this question depends on several factors, such as anticipated cost, the importance of confidentiality, the importance of third-party discovery, and whether you prefer (or want to avoid) a jury trial.
Continue Reading To Arbitrate or Not to Arbitrate? That is the Question