Category: Thought Leadership

UPDATE: FinCEN Responds to Preliminary Injunction on CTA Enforcement

As we shared in our client alert last week, on December 3, 2024, the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction in Texas Top Cop Shop, Inc., et al. v. Garland, et al., temporarily halting enforcement of the Corporate Transparency Act (“CTA”) and its beneficial ownership information (“BOI”) reporting requirements.

In response, FinCEN announced it will comply with the Court’s order for as long as it remains in effect, noting that during this time reporting companies are not currently required to file BOI reports and will not face penalties for failing to report while the injunction remains in effect. Voluntary submissions, however, are still permitted.

What This Means for You:

No Immediate Filing Requirement: The preliminary injunction stays all BOI reporting requirement deadlines for now. Reporting companies are momentarily relieved of reporting obligations.

Litigation Ongoing: As expected, the Department of Justice filed a Notice of Appeal on behalf of the Department of the Treasury, signaling the government’s intent to challenge the court’s decision. The ultimate status of the injunction and the CTA remains uncertain, pending further court rulings or guidance.

Preparation Still Recommended: While filing is currently paused, reporting companies should nevertheless continue assessing their BOI reporting requirements and gathering necessary information to ensure readiness if the injunction is lifted. FinCEN has not yet provided guidance on how much time reporting companies will be granted to file their BOI reports if the Texas District Court’s injunction is lifted and how quickly enforcement of the CTA would resume.
Next Steps

We advise clients to monitor this matter closely and maintain preparation for potential filing requirements. Our team is actively tracking developments and will provide updates as the matter evolves. To read more on the recent CTA preliminary injunction in Texas Top Cop Shop, Inc., et al. v. Garland, et al., visit here.

If you have specific questions or need assistance with your compliance strategy, please do not hesitate to contact the BG CTA Team:

Lorren Patterson – lpatterson@baileyglasser.com

Paul-Kalvin Collins – pcollins@baileyglasser.com

Japera Parker – jparker@baileyglasser.com

Client Alert: Protecting Children Online on Universal Children’s Day

Today is Universal Children’s Day, celebrated on November 20th each year to promote international togetherness, awareness among children worldwide, and improving children’s welfare.

In the article, “Protecting Children Online on Universal Children’s Day,” Sharon Iskra, Bailey Glasser partner and leader of our Institutional Abuse & Neglect team, encourages us to celebrate by reflecting on all the wonders of childhood: the innocence, joy, curiosity, and energy, but realizing the hazards to today’s children, especially online, where children can be trapped and manipulated through child sexual abuse materials (CSAM).

“It’s up to every one of us to protect kids, whether they’re our own or those we encounter through work or friends. Child safety IS your business – and at Bailey Glasser, it’s our business too,” Sharon writes.

One of the best things we can do to protect a child is to be a genuinely safe person of trust for them. Practice these fundamentals as appropriate in the context of your relationship with a child:

1. Parents/caregivers, talk to your children regularly and in age-appropriate ways about online safety.
2. Empower children, teach them to trust their instincts and repeat to them that if something doesn’t seem right or frightens them, take it to a safe adult right away.
3. Teach body integrity and self-worth.
4. Remind children that adults are supposed to protect children, and children are supposed to be children.

Read the full article to learn more tips about how to be a person of trust for children, how to protect them from CSAM, and for nationally sourced resources on how to begin talking to your child.

Learn more information on Sharon Iskra by visiting here.

#UniversalChildrensDay #CSAM #Onlinesafety #Abuse #Neglect #BaileyGlasser #ClientAlert

Nick Johnson to Lead Session During NBI CLE on “Resolving Boundary Disputes in Virginia”

Nick Johnson, Bailey Glasser’s Corporate, Commercial Litigation, and Criminal Practice Area Leader, will be speaking at NBI’s CLE Webinar on “Resolving Boundary Disputes in Virginia” on Wednesday, October 9th. Nick will lead the session titled, “Oil, Gas, and Mineral Rights Disputes: Employing the Top Methods,” sharing his invaluable experience in complex mineral development and boundary resolution.

With a practice spanning high-stakes litigation over agreements like mineral development, financial derivatives, and partnership contracts, Nick also advises energy clients on complex environmental, reclamation, and permitting compliance issues.

Nick’s most recent victory includes a major win for interstate commerce and constitutional law, where his team secured a summary judgment for Foresight Coal Sales, declaring Kentucky’s SB 257 unconstitutional and enjoining the Public Service Commission from enforcing the law—an important step forward in Foresight’s long-standing battle against discriminatory practices in interstate commerce.

To learn more and register for the event, visit here.

For more information on Nick Johnson, visit here.

Join Bailey & Glasser, LLP in Celebrating Juneteenth Freedom Day 2024

Join Bailey & Glasser, LLP in celebrating Juneteenth Freedom Day 2024.

While the Emancipation Proclamation of 1863 officially freed enslaved persons in the South, the proclamation could not realistically be enforced in any location where the Confederacy remained in control, including the westernmost state of Texas. It was not until Union soldiers led by Major General Gordon Grange arrived in Galveston on June 19, 1865 – more than two months after the Confederate Army surrendered – that the state’s enslaved residents finally learned slavery had been abolished.

Join Bailey & Glasser, LLP in celebrating Juneteenth Freedom Day 2024.

While the Emancipation Proclamation of 1863 officially freed enslaved persons in the South, the proclamation could not realistically be enforced in any location where the Confederacy remained in control, including the westernmost state of Texas. It was not until Union soldiers led by Major General Gordon Grange arrived in Galveston on June 19, 1865 – more than two months after the Confederate Army surrendered – that the state’s enslaved residents finally learned slavery had been abolished.

For Black Americans, gaining the full rights of citizenship—and especially the right to vote—was central to securing true freedom and self-determination. “Slavery is not abolished until the Black man has the ballot,” Frederick Douglass famously said in May 1865. While the 15th Amendment passed in 1869 gave Black men the right to vote, they were still largely kept from voting due to literacy tests, poll taxes, and campaigns of violence designed to marginalize the Black vote across the South and thereby silence their voices in the political realm.

In 1965, President Lyndon B. Johnson signed the Voting Rights Act into law, designed to remove barriers to political participation by racial and ethnic minorities, with Sections 2 and 5 being two provisions that brought new protections to voters across the country. Litigation over the scope and coverage under the Voting Rights Act hasn’t ceased since its passage, reflecting the ongoing strife and struggle over the fundamental ability to vote – a founding principle of this country.

In a Democracy Docket article, “Sounding the Alarm: The 8th Circuit’s Discordant Note on Voting Rights,” Martin Luther King III, leader of the organization Drum Major Institute, and Bailey Glasser lawyer Paul-Kalvin Collins draw attention to the 2023 ruling by the United States Eighth Circuit Court of Appeals that bar private litigants from bringing lawsuits under Section 2 of the Voting Rights Act, “the very bulwark against racial discrimination in voting.”

Earlier this year, the Eighth Circuit denied an appeal to review a previous three panel ruling finding that federal law does not allow private groups and individuals — who have for decades brought the majority of lawsuits under Section 2 of the Voting Rights Act — to sue because that law does not explicitly name them. Only the head of the Justice Department, the panel found, can bring these kinds of lawsuits. This decision is the first of its kind, with other federal courts weighing in on this issue, including the U.S. Supreme Court, opposing this decision or favoriting private plaintiffs in Section 2 cases.

The article warns of the ruling’s impact on the safeguards of voting rights and the “potential reverberations through the foundations of our democracy.” To read the full article visit here.

The nonprofit Drum Major Institute, first founded by Rev. Dr. Martin Luther King Jr. in 1961, continues his fight for justice and equality. “Together, as drum majors for justice, we can ensure that the dream of Dr. King endures, and the Voting Rights Act remains a potent instrument in the pursuit of a more equitable and inclusive America.” Learn more about DMI here.

For more information on lawyer Paul-Kalvin Collins, visit here.

#Juneteenth #FreedomDay #Diversity

BG Lawyer Bryce Tish Publishes Note in Drake Law Review

Congratulations to BG lawyer Bryce Tish on the publication of his note in the Drake University Law Review, titled “Such Good Boys: The Dogmatic Casting Alert and Probable Cause for Drug Sniffing Dogs.” Bryce is a member of the firm’s Consumer Protection Practice Group, and is in our Iowa office.

“Police canines are very smart and highly trained—but just like humans, they make mistakes,” Bryce writes in the note’s summary. “As a matter of constitutional principle, it would be better to err on the side of caution and require a hard alert as opposed to a casting alert by a drug-sniffing dog—especially when someone’s liberty and freedom are at stake.” This Note addresses the circuit split between the Eleventh and Fifth Circuit Courts of Appeals on what kind of dog alert—a hard or casting alert—gives rise to probable cause and a subsequent warrantless search and argues that hard alerts should be required for probable cause to search a vehicle.

This note was selected by Bryce’s law school peers for publication in the Spring 2024 edition of the Drake Law Review. And the handsome dogs featured in the image above are Bryce’s dogs Randy and Ruby.

To read the full Note, please visit here.

To learn more about Bryce Tish, please visit here.

#LawReview #BaileyGlasser #Thoughtleadership

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