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Client Advisories
03.05.2024
Does Your NJ LLC Have a Limited Duration?
If your New Jersey limited liability company (LLC) was formed prior to March 18, 2013, you should check your LLC’s certificate of formation to see if it has a limited duration of 30 years. If so, you will need to amend the certificate to give your LLC a perpetual life. Otherwise, your LLC may be automatically dissolved after 30 years.
Client Advisories
02.26.2024
In a deliberate move to widely expand victim protection in New Jersey, the state Legislature amended the Sexual Assault Survivor Protection Act of 2015. In order to highlight the significant changes, the Legislature renamed the act to the Victim’s Assistance and Survivor Protection Act (“VASPA”). VASPA is now codified and went into effect on January 1, 2024.The VASPA amendments now allow for an individual to pursue the entry of a restraining order if that person is subjected to stalking or cyber-harassment. Stalking is more specifically defined in the Act, but can be summarized to include incidents of repeatedly maintaining a visual or physical proximity to a person, either directly or indirectly by any action, method or device. Cyber-harassment is also more specifically defined in the Act, but can be summarized as conduct that occurs in an online capacity with the purpose to harass another.With this series of amendments, it is evident the Legislature understands the impact stalking and cyber-harassment has on its victims. This is further reflected in the jurisdictional parameters within the Act, including the Act’s handling of the location of both alleged victims and possible defendants across state lines. As such, the Legislature took this Act a step further by significantly limiting any jurisdictional issues as it relates to both alleged victims and possible defendants. More specifically, VASPA states in order for a New Jersey Court to have jurisdiction, only one of the following need be true:
Client Advisories
02.06.2024
Client Advisories
01.23.2024
Governor Murphy Signs NJ Legislation Protecting Consumer Data
On January 16, 2024, Governor Murphy signed legislation protecting New Jersey consumer privacy rights and data (S332/A1971). Under the legislation, website owners and online providers are required to notify their customers and website visitors of their data collection, processing, and disclosure practices, in addition to providing New Jersey consumers with the option to opt-out of collection and disclosure. New Jersey is the 13th state to pass a comprehensive privacy law granting consumers greater control over their data. Below is a summary of the law’s key provisions.
Client Advisories
01.10.2024
New Jersey Legislature Passes Comprehensive Consumer Privacy Bill
On January 8, 2024, the New Jersey legislature passed the state’s first comprehensive consumer privacy bill, Senate Bill S332. S332 follows in the footsteps of other comprehensive state consumer privacy laws and aims to protect consumer personal data, which is broadly defined under the bill as “information that is linked or reasonably linkable to an identified or identifiable person,” but excluding de-identified data and publicly available information. As a general matter, the bill grants New Jersey consumers many of the same rights afforded to consumers in states with comprehensive privacy laws, including California, Washington, Colorado, Connecticut, Utah and Virginia. However, there are notable distinctions between S332 and the patchwork of state privacy laws currently in effect, making nationwide compliance difficult to implement. The following alert provides a summary of S332 and some of its key provisions.
Client Advisories
12.04.2023
Understanding Your Obligations Under the Corporate Transparency Act
A new federal law, the Corporate Transparency Act (“CTA”), becomes effective on January 1, 2024. The CTA requires more than 30 million privately-held companies to register with the federal government and disclose certain information about itself and its owners and management. It applies to companies formed in the U.S. as well as companies formed outside the U.S. and registered to do business in the U.S. There are significant civil and criminal penalties on companies, senior management and owners who fail to comply with the CTA. BACKGROUND The CTA was enacted into law as part of the Anti-Money Laundering Act of 2020, which is itself part of the National Defense Authorization Act for Fiscal Year 2021 (“NADA”), 31 U.S.C. § 5336. The CTA was enacted by Congress on January 1, 2021 by overriding then-President Trump’s veto of the NADA. The CTA aims to help prevent and combat money laundering, terrorist financing, corruption, tax fraud, and other illicit activity. The CTA is administered by the U.S. Department of Treasury’s Financial Crimes Enforcement Network (“FinCEN”). FinCEN has published rules implementing the CTA (the “Rules”). The Rules require certain corporations, limited liability companies, and other similar entities to disclose specific identifying information about two categories of individuals: (1) the beneficial owners who own or control such entities, and (2) the company applicants who form or register them. FinCEN will use the information to maintain a database available to law enforcement authorities and financial institutions.
Client Advisories
10.27.2023
New Jersey Board of Public Utilities Takes New Action on Community Solar Petitions
The New Jersey Board of Public Utilities (BPU) approved four Community Solar PY2 project petitions granting deadline extensions due to unforeseeably long interconnection delays, which “were systemic, unforeseen and unforeseeable by the Petitioners, and wholly outside of their control.” The Board granted relief for these projects by waiving the rules that require PY2 projects to be complete and submit post-construction documents before the November 4, 2023 deadline. The Board found that full compliance with these rules would adversely impact New Jersey ratepayers and permitted an extension of time for these projects to remain in the Community Solar Program and in the TI Program to receive TRECs if the projects submit all required documents within four months after the necessary upgrades to interconnect the projects are complete.
Client Advisories
10.09.2023
USEPA Finalizes Rule Requiring Reporting of PFAS Data Under Toxic Substances Control Act (TSCA)
On September 28, 2023, the United States Environmental Protection Agency (USEPA) finalized a new rule under the Toxic Substances Control Act (TSCA) that requires companies to report the manufacture or import of any per- and polyfluoroalkyl substances (PFAS) since 2011, including products containing PFAS. USEPA’s announcement on the final rule can be found here. TSCA provides USEPA with the authority to require reporting, record-keeping and testing, and impose restrictions related to chemical substances and/or mixtures.
Client Advisories
08.10.2023
CMS Proposes New Regulations Impacting Hospice Agencies
New IDR Process and Special Focus Program Being Implemented for Hospice
Client Advisories
07.26.2023
NJ DOH to Revoke Seven COVID-19 State of Emergency Health Care Facility Waivers
Most recently, as per its website, the NJ DOH will revoke seven health facility waivers as of August 13, 2023. They are:
Client Advisories
07.11.2023
The United States Supreme Court issued a major decision at the end of its 2022/2023 Term, which will have far-reaching implications on any employer who tries to force employees to work on their day of religious observation (whether the Sabbath or otherwise). On June 29, 2023, in a rare unanimous decision, in Groff v. DeJoy, the U.S. Supreme Court set a new higher bar before an employer can force an employee to work on a day of religious observation. Going forward, employers will now face a bigger hurdle before they can force employees to work what is typically a weekend day, when most religious observances take place.
Client Advisories
07.10.2023
New York Aims to Become the Fifth State to Join the Non-Compete "Ban" Wagon
The New York State Assembly reconvened last month and passed a bill (A01278B) banning all non-compete agreements which, if enacted, would prohibit almost all new employee non-compete agreements, regardless of salary level or job function. Strikingly, the proposed legislation does not contain an exception for situations involving the sale of a business. The law will be applicable to contracts entered into or modified on or after the law’s effective date and does not void existing non-compete agreements. The bill and its Senate counterpart (S3100A) are currently in limbo, awaiting further action from New York Governor Kathy Hochul, who may request the bills be sent to her for execution, or instead request further amendments. If signed, the law would take effect 30 days thereafter.
Client Advisories
07.05.2023
As the term ends for the Supreme Court, there have been several opinions issued recently that have garnered public attention. However, one decision may have flown under the radar that could have significant implications on businesses and where they can be sued: Mallory v. Norfolk Southern Railway Co.
Client Advisories
06.06.2023
NLRB Signals Intent to Invalidate Many Employee Non-Compete Agreements
The National Labor Relations Board (NLRB)’s General Counsel, Jennifer Abruzzo, sent a strong signal that the Board will be attempting to invalidate many employee non-compete agreements, as part of its power to enforce the National Labor Relations Act (“NLRA”). Although it remains to be seen if this position will be upheld in litigation, the message is clear that the NLRB plans to try and invalidate most employee non-compete agreements entered into with non-supervisors or non-managers.
Client Advisories
05.22.2023
The Minnesota Legislature last week passed a new law rendering void and unenforceable all future covenants not to compete with an employee or independent contractor, except for agreements entered into in connection with the sale or dissolution of a business. When signed into law by the Minnesota Governor, Minnesota will join California, Oklahoma and North Dakota, as states to outright ban employment related non-compete agreements ("noncompetes"). We’ve previously written about similar efforts underway in other states to do the same.
Client Advisories
04.11.2023
CMS Proposes to Expand Disclosure of Ownership Requirements for Skilled Nursing Facilities
On February 15, 2023, the U.S. Department of Health and Human Services issued a new proposed rule to implement portions of Section 6101 of the Patient Protection and Affordable Care Act (Affordable Care Act). This comes 12 years after initially proposing transformative changes to the disclosure of information requirements for nursing home facility ownership.
Client Advisories
03.21.2023
Pennsylvania is Considering Banning All Non-Competes for all Healthcare Practitioners
On March 15, 2023, Pennsylvania State Senators Brooks, Cappelletti and Kane introduced the Healthcare Practitioner Non-Compete Act (Senate Bill No. 521) which, if enacted, would render any healthcare non-compete agreement unenforceable in Pennsylvania, for all healthcare practitioners and groups. But, there is a catch—the Act only applies if the healthcare practitioner is dismissed. There is another catch—the term “dismissed” is not defined in the Act. This could lead to litigation over the issue of whether “dismissed” includes an employee who was fired with cause, without cause, or constructively terminated forcing the employee to leave without being “dismissed.” It remains to be seen whether any of those scenarios would constitute “dismissed” rendering the non-compete agreement unenforceable under the Act.
Client Advisories
03.16.2023
NJDEP Issues Administrative Order Revamping NRD Settlement Policies and Practices in New Jersey
On March 14, 2023, New Jersey Department of Environmental Protection (NJDEP) Commissioner Shawn LaTourette issued Administrative Order 2023-08 (AO 2023-08) regarding Natural Resource Restoration Policy. AO 2023-08, which can be found here, is another step in the evolution of the natural resource damage (NRD) enforcement in New Jersey. The Order seeks to, among other things, “improve” NJDEP's “policies and practices for voluntarily resolving potential NRD liabilities with responsible parties” by incorporating mechanisms for NRD assessment into the site remediation process.