Provided by: Jennifer Kirschenbaum, Esq.
August 13, 2024
It took longer than expected, but a Texas judge did strike FTC created non compete ban. If we’ve spoken on the topic over the last few months you would have had an inkling this decision was coming. Reading the opinion, there are no great dicta nuggets to share, just an overriding message of overreach by an agency not authorized to create law; just authorized to interpret and assist in compliance.
Text here for interested readers (associates in training) -
https://www.uschamber.com/assets/documents/Order-Granting-SJ-Setting-Aside-Rule-Ryan-v.-FTC-N.D.-Tex.pdf
Next watch item on the list - Beneficial Ownership disclosures - which was statutorily created and less likely to be overturned. As the compliance date is coming up, we’ll be sharing more details.
https://www.fincen.gov/boi-faqs#A_2
A. 2. Why do companies have to report beneficial ownership information to the U.S. Department of the Treasury?
In 2021, Congress passed the Corporate Transparency Act on a bipartisan basis. This law creates a new beneficial ownership information reporting requirement as part of the U.S. government’s efforts to make it harder for bad actors to hide or benefit from their ill-gotten gains through shell companies or other opaque ownership structures.
[Issued September 18, 2023]
Require assistance with beneficial ownership disclosure? Taryn is on it. Email her here - TCrimi@kirschenbaumesq.com.
