Alerts

Headlines that Matter for Companies and Executives in Regulated Industries

Though the House of Representatives passed the Secure and Fair Enforcing Banking Act (“SAFE Banking Act” or “the Act”) on April 19, 2021, the bill was dropped from the final version of the larger China COMPETES ACT last week after it failed to muster the requisite support in the Senate.

The US Supreme Court has held that airline cargo loaders who load and unload cargo from planes that travel across state lines are exempt from the Federal Arbitration Act (FAA) because they belong to a “class of workers engaged in foreign or interstate commerce.”

Companies are facing enormous social, cultural, and political issues, from the reversal of Roe v. Wade and a focus on LGBTQ laws to the recent massacre in Buffalo, racial and social justice issues are once again at the forefront.

Large companies often have numerous divisions, each focusing on a unique aspect of the corporate mission for the benefit of the entire enterprise. There are situations, however, in which the parent company decides it is beneficial to “spin-off” one of these divisions from the rest of the company.

Longstanding concerns on Capitol Hill about certain “outbound” activities conducted by U.S. companies and investors, particularly in the technology sector, both in China as well as outside of China with a China nexus, have given rise to significant legislative developments this year.  

California employers do not have to pay applicants for time or expenses related to taking a pre-employment drug test, when the employer made hiring contingent on passing the test, according to a recent decision. 

In an issue of first impression for the jurisdiction, the Bankruptcy Court for the Northern District of Illinois has ruled that a subchapter V debtor “substantially consummated” its plan by paying less than $1,500 in distributions to creditors and, as a result, could no longer modify the plan.

The Ohio State University has successfully obtained a trademark registration for the word “THE,” which has been the university’s moniker and rallying cry at sporting events for decades. The trademark registration covers “clothing, namely, t-shirts, baseball caps and hats.

Medical marijuana has been legal, in the District of Columbia, since 2010. And since 2015, the City has permitted adults to use marijuana recreationally. Earlier this month, the City Council went further by unanimously passing a bill to protect many marijuana users against adverse job actions.

During the Trump administration, the National Labor Relations Board was not known for advancing immigrant worker rights. That changed last year, when Jennifer Abruzzo became its general counsel.

The California Privacy Protection Agency (CPPA) published California Privacy Rights Act (CPRA) proposed regulations (Regulations) on May 27, 2022. The Regulations provide helpful insight into the CPPA’s vision for the CPRA and help to better prepare businesses.

Headlines that Matter for Companies and Executives in Regulated Industries

CMS recently imposed Civil Monetary Penalties against two Georgia hospitals for failing to comply with the 2021 Price Transparency Rule, which requires hospitals to publish the standard costs of their items or services on a public website. 

The interactive tools that the metaverse offers are a perfect complement to a crucial component of the sports industry: fan engagement. And with an influx of industry players establishing a presence in the metaverse, the way we consume sports may transform sooner than we think.

Over two decades ago, in Brown v. Brody, 199 F.3d 446, 457 (DC Cir. 1999), the DC Circuit held that an employer that discriminatorily denies or forces an employee to accept a job transfer violates Title VII only if the employee suffers “objectively tangible harm,” like reduced pay or benefits. 

On June 7, 2022, the Fourth Circuit Court of Appeals unanimously held that the exceptions to discharge found in section 523(a) of the Bankruptcy Code, which ordinarily exclusively apply to individual debtors, also apply to small business corporate debtors in chapter 11 bankruptcy under subchapter V.

The President signed legislation raising the eligible debt ceiling for Subchapter V of Chapter 11 to $7,500,000. Small businesses with up to $7,500,000 in noncontingent, liquidated debts are eligible for relief under Subchapter V for another two years.

On June 14, 2022, the US Securities and Exchange Commission (SEC) released an order charging private equity adviser Energy Capital Partners Management, LP (ECP) with Investment Advisers Act violations in connection with a 2018 take-private transaction.

The US Department of Health and Human Services’ (HHS) declaration that COVID-19 remains a public health emergency (PHE) will continue through July 15, 2022, and is expected to be renewed again through October 13, 2022.

Parties can ask district courts to compel persons within the courts’ respective districts to provide evidence in aid of proceedings before “a foreign or international tribunal.” A longstanding question has been whether §1782 extends to private international commercial arbitration.

On March 30, 2022, the US Securities and Exchange Commission, in a three-to-one vote of its commissioners divided along political lines, approved the issuance of proposed rules regarding special purpose acquisition companies.

On June 16, 2022, New York Governor Hochul signed New York City Housing Authority (NYCHA) Public Housing Preservation Trust Act A7805D/S9409A into law (Trust Act). The Trust Act creates the New York City Housing Authority Public Housing Preservation Trust (Trust).

“Metaverse” is no longer a mere buzzword. Many industries are discovering and developing applications for the Metaverse, and the pharma and biotech industry is no different.

US Customs and Border Protection (CBP) UFLPA Operational Guidance for Importers (CBP Guidance) was published on June 13, 2022 to assist importers in preparing for the UFLPA rebuttable presumption that goes into effect on June 21, 2022.