Corporate Update

  • New York Law Journal | Analysis

    The Small Business Reorganization Act of 2019 Makes a Timely Arrival

    By Barbara M. Goodstein | April 1, 2020

    In a moment of true prescience in light of current circumstances, last year Congress amended the U.S. Bankruptcy Code by enacting the Small Business Reorganization Act of 2019 (SBRA). The SBRA is the federal government's latest effort to make bankruptcy reorganization a more attractive option for small businesses, something particularly important given the potential crippling economic effects of the current pandemic. Barbara M. Goodstein discusses the Act in this edition of her Secured Transactions column.

  • New York Law Journal | Analysis

    Director Oversight in the Context of COVID-19

    By David A. Katz and Laura A. McIntosh | March 25, 2020

    In their Corporate Governance column, David A. Katz and Laura A. McIntosh discuss a number of considerations that need to be addressed by directors and senior management teams working together as they fulfill their oversight responsibilities during the COVID-19 pandemic.

  • New York Law Journal | Analysis

    A Short Primer on the New Law of Insider Trading

    By John C. Coffee Jr. | March 18, 2020

    In his Corporate Securities column, John C. Coffee Jr. writes: Practitioners, listen up! You need to unlearn much of what you think you know about the law of insider trading. That law is changing—and quickly. In addition, new legislation has passed the House by an overwhelming margin and could conceivably pass the Senate this year.

  • New York Law Journal | Analysis

    A Challenge to New Joint Employer Rules

    By Philip M. Berkowitz | March 11, 2020

    In this Employment Issues column, Philip M. Berkowitz discusses joint employer status and a number of recent changes on the issue, the upshot of which may be to reduce the number of federal employment related lawsuits and draw more of these claims into state courts, where the laws may be more favorably disposed toward employees, contractors, consultants, and similar workers.

  • New York Law Journal | Analysis

    Whistleblower Illuminates Abuse of Process in Criminal Cross-Border Matters

    By William F. Johnson | March 4, 2020

    Recent court cases and a DOJ whistleblower's memo have strongly suggested that prosecutors may be purposefully and wrongfully using the MLAT (mutual legal assistance treaty) request as a pretextual means of extending the statute of limitations rather than to obtain necessary evidence. In his Corporate Crime column, William F. Johnson explores the historical allegations of such misconduct, the potential for it to occur in the future, and what defense attorneys can do to protect their clients from it.

  • New York Law Journal | Analysis

    Seventh Circuit Holds Interim DIP Financing Order Is Enforceable and Prior to Reclamation Claims Under §546(c)

    By Corinne Ball | February 26, 2020

    In her Distress Mergers and Acquisitions column, Corinne Ball discusses a recent decision in which the U.S. Court of Appeals for the Seventh Circuit held that the lien of a debtor-in-possession lender in a Chapter 11 proceeding has priority over valid reclamation claims held by a trade supplier.

  • New York Law Journal | Analysis

    Bad Debt Deduction Denied to Guarantor: 'Baker Hughes v. United States'

    By Elliot Pisem and David E. Kahen | February 19, 2020

    The appropriate tax treatment is not clear where a taxpayer makes a payment not in respect of a guarantee of another person's debt obligation, but, rather, by reason of a guarantee of performance of some other sort of contractual obligation of another person. In their Taxation column, Elliot Pisem and David E. Kahen discuss a recent Fifth Circuit decision affirming a district court decision, in which a deduction was disallowed for an expenditure that was at least arguably of this nature.

  • New York Law Journal | Analysis

    Stockholder Derivative Litigation Update

    By Joseph M. McLaughlin and Shannon K. McGovern | February 11, 2020

    The Delaware Court of Chancery recently addressed a nearly unprecedented issue: the discovery and privilege implications of a special litigation committee's decision to hand over control of a company claim to a stockholder derivative plaintiff who initiated the claim and survived a motion to dismiss. As Joseph M. McLaughlin and Shannon K. McGovern discuss in this edition of their Corporate Litigation column, the framework established by the court to provide the plaintiff with the benefit of the SLC's work has expansive disclosure aspects and important boundaries to be understood by practitioners.

  • New York Law Journal | Analysis

    UCC Anti-Assignment Provisions and Partnership and LLC Interests, Revisited

    By Barbara M. Goodstein | February 5, 2020

    In mid-2018, the American Law Institute and National Conference of Commissioners on Uniform State Laws adopted amendments to the Official Text of UCC §§9-406 and 9-408 that would make those sections inapplicable to a security interest in a general partnership, limited partnership or limited liability company. Barbara M. Goodstein discusses those amendments in this edition of her Secured Transactions column.

  • New York Law Journal | Analysis

    Sustainability in the Spotlight

    By David A. Katz and Laura A. McIntosh | January 22, 2020

    In their Corporate Governance column, David A. Katz and Laura A. McIntosh discuss a governance initiative that, if successful, ultimately could have two significant effects on the ESG disclosure landscape: It may help generate a consensus as to common disclosure standards and, more importantly, it may increase the relevance of ESG disclosures to investors by heightening the quality, consistency, and impact of the information provided.

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