Already Have Life Insurance? Why an ILIT May Be Worth It
Estate planning now faces state-level estate taxes, especially in New York where the exemption is $7.35 million and a 5% overage triggers tax on the entire estate. Life‑insurance death benefits are generally includable in the decedent’s gross estate under IRC 2042, potentially increasing tax liability. An irrevocable life insurance trust (ILIT) can remove ownership incidents, keeping proceeds out of the taxable estate, but transfers within three years risk inclusion under IRC 2035. Practitioners advise purchasing policies directly within the ILIT to avoid the three‑year rule.
New Frontiers in Fund Finance: Strategy, Regulation and Liquidity, May 2026 - Central Bank of Ireland Removes Prohibition on Irish...
The Central Bank of Ireland has removed the prohibition on Qualifying Investor Alternative Investment Funds (QIAIFs) guaranteeing third‑party obligations, effective 5 May 2026, following the transposition of AIFMD 2.0. Previously, Irish funds could not act as guarantors, forcing cascading pledge structures in fund‑finance...
A Patent Holder's Silence Can Be Deafening: Key Takeaways From Fraunhofer V. Sirius XM
The Delaware district court affirmed Sirius XM's equitable estoppel defense, barring Fraunhofer's infringement claims over four multicarrier‑modulation patents. The court found Sirius relied on Fraunhofer’s silence during a long‑standing partnership and on its own documented licensing practices. The decision completes...
Canada, Cuba, and New U.S. Sanctions
On May 1, 2026 the White House issued an executive order that blocks Cuban officials and entities across energy, defense, metals, finance and security sectors, and bars U.S. persons from dealing with their property. The order also empowers the Treasury...
Connecticut’s Dram Shop Law: When Bars and Restaurants Can Be Held Liable for Drunk Driving Accidents
Connecticut’s Dram Shop Act imposes strict liability on any licensed venue that serves a visibly intoxicated patron, allowing injured victims to sue the establishment for damages caused by the patron’s subsequent drunk‑driving crash. To succeed, plaintiffs must prove the seller,...
Tennessee’s New Restrictive Covenant Legislation: Key Changes and Employer Action Items
Tennessee lawmakers have passed HB 1034, a restrictive covenant reform set to take effect on July 1, 2026. The bill bars non‑compete agreements for employees earning under $70,000 annually and establishes rebuttable presumptions on duration—two years for most workers, three years for distributors,...
The FTC Blows the Whistle: First-Ever Enforcement Inquiry Into College Sports Agents Under SPARTA
On Jan. 12, 2026 the FTC issued its first enforcement inquiry under the Sports Agent Responsibility and Trust Act (SPARTA), asking 20 Division I schools for agent contract disclosures and notification records. The probe follows the Supreme Court’s *NCAA v. Alston* decision and the...
U.S. Issues First Designations Under Cuba EO 14404
On May 7, 2026, the U.S. State Department and Treasury issued the first sanctions under Executive Order 14404, designating Cuba’s military‑run conglomerate GAESA, its president Ania Guillermina Lastres Morera, and the metals joint venture Moa Nickel for blocking. The designations place these...
CFPB 1071 Final Rule Issued on Small Business Lending Reporting Requirements
On May 1, 2026 the Consumer Financial Protection Bureau issued a final rule implementing Section 1071 of the Consumer Financial Protection Act, setting a new compliance deadline of January 1, 2028. The rule narrows the reporting scope by excluding merchant cash advances, agricultural...
The Littler Annual Employer Survey Report - May 2026
Littler’s 14th Annual Employer Survey, based on responses from over 300 senior executives, lawyers and HR leaders, finds AI governance and data‑privacy compliance now top workplace‑policy concerns for U.S. firms in 2026. The shift follows last year’s focus on DEI...
Right of First Refusal and Right of First Offer: What Are They and Why Should You Care?
Rights of first refusal (ROFR) and rights of first offer (ROFO) are restrictive covenants that let a designated holder purchase a property before the owner can sell to others. A ROFR permits the owner to market the property and negotiate...
Packaging EPR Reports Due May 31: What Producers Need to Do Now
Producers of packaging must file state‑specific extended producer responsibility (EPR) reports by May 31, 2026, with California extending the deadline to June 1 for its annual and baseline supply filings. The Circular Action Alliance (CAA) administers reporting portals for six states, while California...
Vice Chair of Supervision Bowman Signals a Broader Supervisory Push on Consumer Fraud
Federal Reserve Vice Chair for Supervision Michelle Bowman told the Women in Housing and Finance Symposium that consumer fraud is evolving into a systemic supervisory, payments‑system, and financial‑stability issue. She cited a Fed survey showing 21% of U.S. adults experienced...
An Income Tax Play for Professional Athletes
The article examines how state "jock taxes" hit professional athletes when they change teams via free agency or trades. It outlines the historical rise of these taxes, from California’s 1991 lawsuit to Washington’s 9.9% millionaire levy on a single duty...
"Subject to Contract" Negotiations and the Formation of Binding Agreements
The Technology and Construction Court held that a November 8, 2024 letter between GMC Utilities Group and Sumitomo Electric created a binding escrow arrangement despite the parties’ “subject to contract” label. The court concluded the “subject to contract” condition was waived because...
2025 ABA Private Target M&A Deal Points Study: What's Market?
The American Bar Association’s 2025 Private Target M&A Deal Points Study examined 139 purchase agreements closed in 2024 and early 2025. It reveals that purchase‑price adjustment escrows now appear in 58% of deals, while representation‑and‑warranty insurance (RWI) is referenced in...
OSC and AMF Enter Into Cross-Listing Agreement with AMF France
The Ontario Securities Commission, AMF Québec and AMF France have signed a cross‑listing agreement that took effect on April 16, 2026. The pact creates a coordinated review process for companies seeking to list securities in both Canada and France, assigning dedicated regulator...
“Free of Cost Forever” Did Not Take the Royalty Owners Where They Wanted to Go
The Texas Supreme Court ruled in Fasken Oil & Ranch Ltd. v. Puig that a deed describing a royalty as “free of cost forever” does not shift the valuation point downstream. The court held that the royalty is calculated at...
SALEFORM 2025: A Modern Rewrite for Vessel Deals in a New Global Reality
The Norwegian Shipbrokers’ Association and BIMCO have released SALEFORM 2025, a modernised standard‑form memorandum for vessel sales that updates the 2012 version. It introduces an escrow‑agent framework, mandatory KYC documentation, and a new termination right to address escrow onboarding delays. The...
Conditional Assignment or Drill‑to‑Earn: How Assignment Language Shapes Farmout Litigation
The Texas Business Court’s March 27, 2026 decision in May v. Ineos USA Oil & Gas LLC clarified that the key to farmout disputes is whether the farmee received a vested interest at closing. The court found that the assignment’s present‑tense language...
Nonprofit Political Activity in an Election Year: What Organizations Need to Know
Election season forces nonprofits to revisit federal tax rules that separate permissible issue advocacy from prohibited political campaign activity. 501(c)(3) charities face an absolute ban on any candidate support or opposition, while 501(c)(4), (c)(5) and (c)(6) groups may engage in...
Saudi Arabia Opens Main Market Access to All Foreign Investors While Retaining Key Ownership Controls
Saudi Arabia’s Capital Market Authority eliminated the Qualified Foreign Investor regime and the swap framework, allowing all foreign investors to invest directly in Main Market shares and convertible debt. The reforms, announced on Jan 6 2026 and effective Feb 1 2026, require investors to...
![[Video] AI Today in 5: May 5, 2026, The Affordable AI Edition](/cdn-cgi/image/width=1200,quality=75,format=auto,fit=cover/https://jdsupra-static.s3.amazonaws.com/profile-images/og.2237_4849.jpg)
[Video] AI Today in 5: May 5, 2026, The Affordable AI Edition
The latest episode of AI Today in 5, hosted by compliance expert Tom Fox, spotlights five AI developments reshaping multiple sectors. Nquiry, an AI‑powered regulatory intelligence platform, promises near‑instant compliance answers. Bloomberg highlights China’s low‑cost large‑language models—DeepSeek, Qwen, Moonshot—pressuring U.S. AI firms....
UK/EU/International ESG Regulation Monthly Round-Up – April 2026
April 2026 saw a wave of ESG regulatory activity across the UK, EU and beyond. The UK FCA opened a voluntary ESG‑ratings pilot with applications due 13 May, while DEFRA delayed biodiversity net gain (BNG) for nationally significant infrastructure projects and...
June 1, 2026 FCC EEO Deadlines for Stations in AZ, DC, ID, MD, MI, NV, NM, OH, UT, WV, WY,...
The FCC has set a June 1, 2026 deadline for radio and television stations in twelve jurisdictions to file an Annual EEO Public File Report covering recruitment activity from June 1, 2025 to May 31, 2026. The report must be posted on each station’s website and...
UK Equity Capital Markets Insights — May 2026
The FCA has launched Consultation Paper CP26/14 proposing to remove the seven‑day waiting period that currently separates the publication of an FCA‑approved prospectus from connected analyst research on UK IPOs, and to lift the ban on pre‑mandate analyst‑issuer communications. The...
It’s Not Over Until…The Court Says So
On March 12, 2026 the Texas Court of Appeals ruled in Zarvona Energy LLC v. Black Stone Minerals that two southeast‑Texas oil‑and‑gas leases remained in force despite a 90‑day production lapse and ambiguous continuous‑development language. The court deemed the lease’s habendum and...
Pung V. Isabella County: Will The U.S. Supreme Court Accept An Invitation To Upend Tax Foreclosures Across America?
The U.S. Supreme Court heard oral arguments in Pung v. Isabella County, a case challenging whether owners of homes sold in tax foreclosures deserve compensation based on fair market value. The Michigan property was appraised at $194,000 but auctioned for...
The Friday Five: Five ERISA Litigation Highlights - May 2026
The latest "Friday Five" highlights five recent ERISA long‑term disability rulings. A California court upheld a Massachusetts choice‑of‑law clause in a 1972 policy, reinforcing contractual autonomy. Courts affirmed administrators’ rights to recoup overpayments and to conduct de novo reviews when decisions...
Cure Mechanics Meet Cayman Capital Call Securitization, May 2026 - Securitisation of Capital Call Facilities Under Cayman Law
Fund‑finance lenders are increasingly using securitisation of capital‑call facilities to free regulatory capital and tap broader funding markets. The structures rely on Cayman Islands SPVs that are bankruptcy‑remote and can issue notes on the Cayman Islands Stock Exchange, qualifying for...
OFAC Issues New and Updated General Licenses Authorizing Venezuelan Energy Sector Activities Involving Venezuelan-Origin Oil, Gas, and Petrochemical Activities
The U.S. Treasury’s Office of Foreign Assets Control (OFAC) issued General License 52 and amended licenses 46B, 48A, 49A, and 50A, widening permissible activities for U.S. entities in Venezuela’s oil, gas and petrochemical sectors. GL 52 authorizes established U.S. firms to engage...
ICE Raises I-9 Enforcement Standards and Broadens Its List of Fines
On March 17, 2026 ICE issued new guidance that expands the list of substantive I‑9 violations, turning several previously minor errors into fine‑eligible offenses. Fines now range from $288 to $2,861 per form, and violations can trigger additional enforcement actions....
OCC Responds to the District Court’s Decision in Illinois Bankers Association V. Raoul by Issuing Interim Final Actions Addressing State...
On April 24, 2026 the Office of the Comptroller of the Currency issued an interim final rule amending 12 CFR § 7.4002 and an interim final order preempting Illinois’s Interchange Fee Prohibition Act (IFPA). The rule clarifies that national banks may assess and...
CCPA Employee Data Rulemaking Could Reshape Employer Privacy Compliance in California
The California Privacy Protection Agency launched preliminary rulemaking on April 20, 2026 to address employee‑data obligations under the CCPA. The agency is soliciting stakeholder input on privacy notices, data practices, and workers' rights requests, with comments due by May 20, 2026. While the final...
Home Health & Hospice M&A in 2026: Why the Market Has Reset and What Buyers Want Now
Home health and hospice M&A activity is rebounding in early 2026, but buyers are imposing stricter underwriting standards. Valuations have shifted from peak‑era multiples to performance‑based pricing, with EBITDA add‑backs limited to 12‑15% and multiples ranging 10‑15× EBITDA for strong...
Cure Mechanics Meet Cayman Capital Call Securitization, May 2026 - An Actual Cure or Delaying the Inevitable? Acceleration Cure Provisions...
Acceleration cure provisions in NAV financing give sponsors a limited window to inject capital or sell assets before lenders can enforce security. The effectiveness of these provisions hinges on the sponsor’s monetisation plan, the scope of lender approval rights—consultation versus...
Tempus AI Faces Class Action Cases for Collection of Genetic Information in Acquisition
Tempus AI’s acquisition of Ambry Genetics for $600 million has sparked multiple class‑action lawsuits alleging the company transferred and used hundreds of thousands of customers’ genetic data without written consent. Plaintiffs claim the transfer violated the Illinois Genetic Information Privacy Act...
Czechia Charts Its Own Course on Pay Transparency Directive Transposition
Czechia’s draft law to transpose the EU Pay Transparency Directive introduces a mandatory, documented remuneration system for all employers by 1 January 2027, well before the broader pay‑gap reporting obligations that start on 1 January 2028 for firms with 150 or more staff. The...
You Got Served – Now What? An Employer’s Primer on Wage Garnishment Notices and Orders
Employers are increasingly encountering wage garnishment notices as the practice climbs nationwide. A garnishment requires a court or agency order before any earnings can be withheld, and the amount depends on the employee’s disposable income and the debt type. Federal...
Recent Developments for Directors - April 2026
Boards are expanding oversight to include capital strategy, AI use, cybersecurity, shareholder proposal exclusions, and activist pressures. Capital structures now demand continuous board monitoring as financing sources diversify beyond banks to private credit and hybrid instruments. AI-generated communications are increasingly...
Plea Agreement in Multi-Year Bid Rigging Scheme Reinforces Administration Efforts to Root Out Fraud Within and Against the Federal Government
A former U.S. Air Force Contracting Officer’s Representative pleaded guilty to a nine‑year scheme that inflated Department of Defense IT contracts by at least $37 million. He fabricated Independent Government Cost Estimates, inserted unnecessary materials and labor, and used a shell...
Leaves of Absence: Managing Statutory Entitlements and Human Rights Obligations in Alberta
Alberta employers must navigate two parallel legal regimes when granting job‑protected leaves: the Employment Standards Code sets statutory entitlements, while the Alberta Human Rights Act imposes a duty to accommodate employees whose leave needs relate to protected grounds. After a...
Shareholder Proposals and ESG at a Crossroads: What Boards Should Know After the 2026 Proxy Season
The SEC staff’s decision to withhold most shareholder‑proposal exclusion no‑action letters during the 2026 proxy season left boards to decide exclusions under Rule 14a‑8 without clear guidance. Directors responded by adopting a risk‑based framework that emphasizes process oversight, litigation readiness, and...
Client Alert: Virginia Data Center Tax Reform – Key Implications for Real Estate Developers
Virginia’s 2026 General Assembly tackled a wave of data‑center legislation, but the $1.9 billion‑annual sales‑tax exemption remains unresolved after a brief special session. Lawmakers passed bills that shift energy‑cost recovery to large‑load facilities, impose new siting and noise assessments for projects...
Wallet to Wall Street: CFTC and SEC Staff Chart Parallel Paths for Noncustodial Crypto Access
Federal regulators have clarified that non‑custodial crypto‑wallet providers can operate without registering as introducing brokers or broker‑dealers, provided they act solely as passive interfaces. The CFTC issued a March 2026 no‑action letter to Phantom Technologies, allowing its wallet to route...
Despite Potential Pitfalls, an LSO Can Give Your Firm Needed Liquidity
Law firms are increasingly adopting Legal Services Organizations (LSOs) to tap private‑equity capital while retaining attorney ownership. An LSO pairs the firm with an affiliated services entity that provides technology, marketing, finance and other back‑office functions under a fair‑market‑value agreement....
A Smart Path to PCAOB Compliance
Audit teams face a 14‑day PCAOB submission window where traditional evidence collection methods—screenshots, PDFs, and manual exports—risk losing context and authenticity. Native web‑application preservation captures the entire audit platform in its original state, preserving data, metadata, and workflow relationships. Hanzo’s...
Disabled by Association: California Federal Courts Consider Whether FEHA Supports Workplace Accommodations Based on Another Person's Disability
In 2025 three California federal district courts—Acosta, Head and De Wit—held that the state Fair Employment and Housing Act (FEHA) can require employers to engage in the interactive process and provide reasonable accommodations for employees who are caretakers of disabled...
DOJ Reclassifies Medical Marijuana to Schedule III: Key Implications for Florida and National Cannabis Operators
The U.S. Department of Justice has reclassified state‑licensed medical marijuana from Schedule I to Schedule III, the most significant federal cannabis reform in five decades. The change applies only to FDA‑approved cannabis products and state‑run medical programs, leaving adult‑use and illicit markets...
Direct Payments Within the Supply Chain – Financial Support of Suppliers in Crisis
Supply-chain disruptions often stem from a financially distressed contractor who cannot pay its upstream supplier, threatening downstream production. Buyers may intervene by making direct payments to the upstream supplier, but such payments risk reversal under insolvency avoidance actions. Properly structured...