More states are working on comprehensive consumer privacy laws that could impact how companies share data, there have been more ransomware and supply chain attacks and there’s news of a messaging app used as a Trojan horse by the FBI. My colleagues Kevin Scott and Donna Ruscitti explain in their August Privacy and Security Roundup.
Preparing for PPP loan reviews and appeals: Avoiding potential pitfalls
More than $800 billion in Paycheck Protection Program (PPP) loans were approved over the life of the program that was created by the Coronavirus Aid, Relief and Economic Security Act (CARES Act) to support small businesses in payroll and certain non-payroll expenses during the pandemic. Some or all of the funds may be forgiven. My colleagues Brad Hughes and Carrie Garrison explain in this Porter Wright Law Alert the forgiveness process, how to appeal a decision and other potential issues.
Updated CDC mask guidance: What it means for employers
Last week, the CDC updated its guidance regarding masks for individuals fully vaccinated against COVID-19. My colleague Jourdan Day explains the new guidelines for masks, social distancing, travel and what they mean for employers in this Employer Law Report blog.
The American Rescue Plan Act: What employers need to know
President Joseph Biden signed The American Rescue Plan Act earlier this month. The measure provides $1.9 trillion in funds for individuals and businesses in response to the COVID-19 pandemic. For employers, there are many key provisions to be aware of. My colleague Jyllian Bradshaw explains in this Employer Law Report blog.
For public companies, the time to update executive compensation practices is now: Final regulations issued under IRC Section 162(m) and American Rescue Plan Act further expands class of covered employees
At long last, the Department of the Treasury and Internal Revenue Service published final regulations to explain how changes to Internal Revenue Code Section 162(m) under the Tax Cuts and Jobs Act of 2017 (TCJA) affect the deductibility (or lack thereof) of compensation in excess of $1 million paid to covered employees. For the most part, the final regulations did not change any prior guidance.
Federal Corporate Transparency Act requires companies to disclose beneficial owner
Most companies established or registered to do business in the U.S. do not have to disclose or report their ownership information—but that is about to change. The recently-enacted Corporate Transparency Act, which went into effect Jan. 1, 2021, requires certain companies to report their beneficial owner(s) to the U.S. Department of Treasury’s Financial Crimes Enforcement Network (FinCEN).
Better late than never? COVID-19 appropriations package addresses key issues in Paycheck Protection Program redux
On Dec. 20, 2020, U.S. Congress authorized a second wave of COVID-19 relief by way of a second significant stimulus package. The bill was in limbo until it was finally signed into law a week later. The 5,593-page bill features enhanced unemployment payments and direct cash payments to Americans nationwide, and it also makes several adjustments to the Paycheck Protection Program (PPP).
My colleagues Jack Beeler and Cat Rice explain the second wave of this program, what differs from the first wave, eligibility, forgiveness and much more in this Porter Wright Law Alert.
Paycheck Protection Program loan necessity questionnaire
Borrowers of Paycheck Protection Program (PPP) loans – together with their affiliates – who have loans in excess of $2 million and seek loan forgiveness will potentially need to complete necessity questionnaires according to the Small Business Administration. There are separate forms for for-profit and non-profit businesses and will likely affect 52,000 borrowers.
My colleagues Jack Beeler, Cat Rice and Jack Meadows explain the purpose and questions asked in these questionnaires in this law alert.
SEC proposes exemptions from registration for finders
The Securities and Exchange Commission (SEC) has proposed a limited and conditional exemption from broker registration for natural persons, referred to as “finders,” who seek to help non-reporting, private companies raise capital from accredited investors in exempt offerings, subject to certain conditions. Generally, persons who effect transactions in securities for the account of others cannot do so through interstate commerce unless the person is registered with the SEC. There has long been ambiguity about when or if finders, who seek to bridge the gap between businesses and investors by identifying potential investment opportunities, must register as broker-dealers with the SEC.
My colleagues Emily Cunningham and Ryan Steele explain the proposed exemption in this Federal Securities Law Source blog.
Changes of ownership and PPP loans
The U.S. Small Business Administration (SBA) has released a long-anticipated procedural notice related to changes of ownership in an entity that has received a Paycheck Protection Program (PPP) loan. While this guidance was released to all SBA employees and PPP lenders, it is relevant for PPP borrowers looking to undergo a change of ownership, as well as for buyers and sellers of PPP borrowers. My colleagues Jack Beeler and Jack Meadows explain the notice in this Porter Wright Law Alert.