A federal district court in Texas has issued a landmark decision postponing the enforcement of the Corporate Transparency Act (the “CTA”). The Court held that the CTA exceeds Congress’ power and is therefore likely unconstitutional. As a result, reporting companies are no longer required to comply with the CTA’s January 1, 2025, reporting deadline. As a reminder, the CTA imposed reporting requirements on many small businesses, requiring the “beneficial owners” of reporting companies to submit sensitive information to the federal government. In its ruling, the court highlighted that this reporting constituted an overreach into state-regulated corporate formations and raised concerns about potential violations of privacy and constitutional protections.
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The American Privacy Rights Act is unlikely to get through Congress this year, but more and more State privacy laws are coming into effect. Three privacy laws (Texas, Florida and Oregon) kicked in July 1, Montana’s privacy law comes into effect October 1, and five more State privacy laws (including Delaware and New Jersey) are effective in January 2025. #americanprivacyrightsact #stateprivacylaws #privacylaw
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On December 3, 2024, a Federal judge in Texas issued a nationwide preliminary injunction blocking enforcement of the Corporate Transparency Act’s (“CTA”) Reporting Rule and staying the compliance deadline. Frantz Ward Partner Hans Larsen shares that while companies that have already filed to meet the CTA requirements do not need to take any further action at this time, companies that have not yet filed can choose not to file pending the outcome of any appeal should they determine it be the safer option. Read more: https://lnkd.in/gHJ4SkW7
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We’ve all heard the news: a federal judge in Texas ruled the Corporate Transparency Act (CTA) unconstitutional and issued a nationwide injunction stopping enforcement—for now. With this ruling, it seems unlikely the original December 31, 2024 filing deadline will hold. The CTA has sparked a lot of debate since it was introduced—about privacy, compliance burdens for small businesses, and transparency in corporate ownership. This ruling only adds to the conversation (& confusion?) What do you think about the CTA? Was it a step in the right direction, or does this ruling highlight deeper concerns? I’d love to hear your thoughts. If you’re following this closely, I’ve put together a resource for updates as the situation develops: https://lnkd.in/eq_FyVit.
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A federal district court in Texas has issued a landmark decision postponing the enforcement of the Corporate Transparency Act. As a result, reporting companies are no longer required to comply with the CTA’s January 1, 2025, reporting deadline. Read more at https://ow.ly/fltm50UkqVr
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To keep #districts accountable and transparent, "First Amendment Auditors," or individuals who lawfully record and document government proceedings, exercising a legal compliance loophole, can impact your district or board meetings. While their stated aim is noble – shining a light on potential government missteps – their methods can be disruptive, raising questions about privacy and decorum. Learn more here: https://hubs.li/Q02qNLd30 #californiaschools #k12 #californiaeducation #schooldistricts
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On August 2, 2024, Illinois Governor J.B. Pritzker signed SB 2979 into law. The bill amends the Illinois Biometric Information Privacy Act (BIPA) by limiting the number of claims that can be brought under the law’s private right of action and updating the law’s definition of “written release” to include “electronic signature.” In this Byte Back blog, David Stauss provides a summary of these two changes. Read more: https://lnkd.in/gKcxkgKw #BiometricPrivacy #PrivacyLaw
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After intense discussions, a Texas court stopped the Corporate Transparency Act (CTA) nationally. Previously, businesses anticipated meeting the strict CTA reporting deadline of January 1, 2025. But due to a court's preliminary injunction, over 32 million small businesses avoided these exhaustive requirements. 𝗪𝗵𝗮𝘁 𝗵𝗮𝗽𝗽𝗲𝗻𝗲𝗱? A lawsuit contesting the CTA's constitutionality by NFIB led to this decision. They argued Congress overstepped, impacting First and Fourth Amendment rights. Concerns centered on privacy invasion and harmful burdens. The result was a stay on small businesses filing beneficial ownership reports until further notice. This case highlights the tug-of-war between regulatory measures and constitutional rights. Recently, the Wyoming Secretary of State welcomed this relief for businesses. 𝗧𝗵𝗲 𝗹𝗲𝘀𝘀𝗼𝗻? Stay informed. Regulatory landscapes can change overnight, impacting business operations profoundly #Advince #JudicialImpact #BusinessRegulations #ConstitutionalRights #SmallBusinessRelief #LegalUpdates
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A federal district court in Texas has issued a landmark decision postponing the enforcement of the Corporate Transparency Act. As a result, reporting companies are no longer required to comply with the CTA’s January 1, 2025, reporting deadline. Read more at https://ow.ly/fltm50UkqVr
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