On March 22, 2024, the Treasury Department published a proposed regulation relating to certain transactions involving Charitable Remainder Annuity Trusts (“CRATs”) investing in single premium immediate annuities (“SPIAs”). The rule would designate transactions seeking to exclude from income SPIA payments from a CRAT under Section 72(b)(2) of the Internal Revenue Code (the “Code”).

On February 16, 2024, the Treasury Department published a proposed regulation relating to new reporting requirements for certain transfers of residential real estate consistent with its rulemaking authority under the Bank Secrecy Act. The rule would require the filing of a Real Estate Report with the Financial Crimes Enforcement Network (FinCEN) after the transfer of residential real estate.

As a matter of first impression, the Fifth Circuit held that an oil-and-gas royalties class action belongs in federal court based on its interpretation that the “principal injuries” prong of the CAFA local controversy exception requires all plaintiffs sustain their principal injuries in the forum state. 

On March 11, 2024, Liskow lawyers Kathryn Gonski and Melanie Derefinko secured the denial of a motion to remand on improper joinder grounds and the dismissal of an intentional tort claim against Methanex, a major Louisiana plant owner, in Knight v. Turner Industries Group, L.L.C., et al., No. 23-469 (M.D. La.).

The United States District Court for the Northern District of Alabama ruled that the Corporate Transparency Act (CTA) is unconstitutional. Read more about the update here.

On February 15, 2024, Liskow lawyers Kathryn Gonski and Shannon Holtzman secured a unanimous, published United States Fifth Circuit Opinion in Shaw v. Restoration Hardware, Inc., affirming a Rule 12(b)(6) dismissal without leave to amend. 2024 WL 640246 (5th Cir. Feb. 15, 2024). Through this opinion, the Fifth Circuit reaffirmed the pleading requirements for breach of contract and quasi-contractual claims.

Since 2016 the Financial Crimes Network of the Treasury Department (“FinCEN”) has issued orders requiring title insurance companies to report certain non-financed residential real estate transactions to entities and trusts above a certain price threshold. These “Residential Real Estate Geographic Targeting Orders” or “GTOs” are limited to certain locations in the United States. 

The U.S. Department of Labor (“DOL”) has published its new final rule regarding whether workers are properly classified as employees, who are subject to the overtime and minimum wage protections of the Fair Labor Standards Act (“FLSA”), or independent contractors, who are not.

FinCEN published a notice of proposed rulemaking on September 28, 2023 and the final regulations were just promulgated on November 30, 2023 that would extend the initial filing period to 90 days. The new rule, along with the CTA, becomes effective on January 1, 2024.

Unfortunately, there are always people out there looking for new ways to steal our personal information.  The latest scam?  Sending ominous warnings that personal information must be filed immediately with bogus or non-existent entities pursuant to the Corporate Transparency Act.