Seyfarth Shaw LLP

A recent decision of the Illinois Motor Vehicle Board (the “Board”) reinforces why auto manufacturers need to ensure they have a proactive process in place to address the timely renewal of expiring dealer agreements. Based on the Board's recent decision, OEMs cannot and should not assume that the terms of an expired dealer agreement remain enforceable, particularly when the issue is being decided by a dealer board, as one OEM…

In a rapid-fire response, the Ryan Court in the Northern District of Texas this morning denied Plaintiff and Plaintiff-Intervenors’ Expedited Motion for Limited Reconsideration of the Scope of Preliminary Relief, and Plaintiff and Plaintiff-Intervenors’ Motion for Expedited Consideration of their Motion for Limited Reconsideration of the Scope of Preliminary Relief (for more on these motions, see here). In a three-sentence Order, the Court provided no explanation except that Plaintiff and…

Commentary:  The Court ruled on Wednesday, July 3, what most of the legal community already believed: that the FTC lacked the substantive rulemaking authority to issue a nationwide ban on non-competes between employers and workers. Nevertheless, the  ruling itself is not likely one that anyone expected.    On the one hand, the Court enjoined the FTC Rule, holding that “the text, structure, and history of the FTC Act reveal that…

About the Program: Much has happened in the ten years since our national Wage and Hour Litigation Practice Group wrote ALM’s authoritative Wage & Hour Collective and Class Litigation treatise. We are excited to continue our informative webinar series to discuss—in bite-sized increments—the past decade’s most important changes to the federal and state employee pay litigation landscape. The final installment of our “Time Well Spent” webinar series will focus on…

This 4th of July, look up and you might notice something spectacularly different lighting up the night sky. The days of stunning displays that relied solely on the crackle and pop of fireworks are numbered. In a remarkable twist of technology, drone light shows are offering a breathtaking alternative. Imagine a fleet of hundreds, even thousands, of drones, each equipped with vibrant LEDs, dancing in perfect harmony. They swoop, swirl,…

In honor of Independence Day, we're revisiting our discussion with Cindy Cohn, executive director at the Electronic Frontier Foundation (EFF). For many years, Cindy has been a champion for civil liberties in the digital space. In our conversation, she spoke about the EFF's history and mission, as well as the human rights issues she focuses on today. We hope you enjoy the holiday this week. We will return next week…

On May 17, 2024, the District of Columbia Office of Tax and Revenue (OTR) published a notice summarizing the District of Columbia’s current policy regarding the recordation and transfer tax treatment of an assignment of a lease, including a ground lease, with a term of at least 30 years (including renewals). This is the first official statement by OTR regarding the taxation of assignments of long-term leases, including ground leases.…

To bring Hong Kong’s Foreign-Sourced Income Exemption (FSIE) regime in line with the European Union’s updated guidance on FSIE regimes promulgated in December 2022, the Inland Revenue (Amendment) (Taxation on Foreign-sourced Disposal Gains) Ordinance 2023 was enacted on 8 December 2023 to refine Hong Kong’s FSIE regime with effect from 1 January 2024, under which, subject to certain carve-outs and reliefs, the scope of assets in relation to foreign-sourced disposal…

Seyfarth Synopsis: PAGA reform has officially been introduced in the state Assembly and Senate! The language of the bills were released detailing the most substantive changes to PAGA in its 20-year history. The bills have numerous provisions that benefit California employers, including imposing more restrictive standing requirements for plaintiffs, codifying the need for manageability of PAGA claims, and reforming the penalty structure, along with several other changes detailed below. On…

Amendments to the Company Law of the People's Republic of China (the “New Company Law”) were passed on December 29, 2023, and will come into effect on July 1, 2024.  The New Company Law consists of 15 chapters and 260 articles, with substantial additions and modifications of around 70 articles compared to the current Company Law, which comprises 13 chapters and 218 articles. The main revisions are categorized into: (1)…

Trade associations representing independent repair facilities have become strong advocates for expanding right to repair laws to increase member access to vehicle telematics data. These efforts have created uncertainty for auto manufacturers, most recently in Maine, where state legislators failed in their effort to amend that state’s right to repair statute in response to a popular ballot referendum passed in November 2023 intended to address the incorporation of telematics into…

Seyfarth Synopsis: Expanding a law enacted in 2022, New York’s legislature passed another bill that seeks to limit warehouse-related injuries by requiring employers to establish and implement an injury reduction program, evaluate certain jobs for ergonomic injury risks, correct risk factors, and provide injury reduction training. Background: New York State’s Commitment to Warehouse Worker Protection In 2022, New York State passed the Warehouse Worker Protection Act (2022 WWPA). The 2022 WWPA requires…

Seyfarth Synopsis: Governor Newsom announced that a deal has been made to reform PAGA and take the PAGA initiative off the ballot in November. The Governor’s announcement provides some highlights of what the reform package will include; however, the language of the proposed bill is expected in the coming days. Yesterday, Governor Newsom announced that legislative leaders and business and labor group had reached an agreement on reforms to PAGA.…

Seyfarth Synopsis: Are you ready for it? The record-smashing icon, Taylor Swift, may have taken her tour to Europe, but that doesn’t stop new laws from cropping up back home. The Los Angeles County Board of Supervisors passed the Fair Work Week Ordinance on April 9, 2024, which is set to go into effect on July 1, 2025, for retail employers located in the unincorporated areas of Los Angeles County.…

By Kristina M. Launey & Minh N. Vu Seyfarth Synopsis: Plaintiffs filed 2,794 website accessibility lawsuits in federal court in 2023 – a 14% decrease from 2022.  After 2022’s record-setting year for website accessibility lawsuits filed in federal court, the 2023 filings dropped by 14%.  The total number of lawsuits filed in federal court alleging that plaintiffs with a disability could not use websites because they were not designed to be accessible and/or…

About the Program Join us for the third installment of our DEI Webinar Series: "Developments and Strategies in the Current Landscape of DEI Programs." During this third installment, Seyfarth attorneys explore common DEI programs and practices, including the effects of recent cases and developments. The webinar examines the structure and logistics of these programs, as well as common challenges to implementation. Our experienced panel will analyze different types of DEI…

About the Program: Italy, Spain and France have seen many changes in the employment law landscape within the last year. Seyfarth’s Italy, Spain and France qualified international employment law experts, Sofia Bargellini, Ana Cid and Laurence Harvey Wood, look forward to sharing some recent developments in their upcoming 45 minute webinar. These international employment law specialists will give an overview of hot topics and upcoming regulations within Europe. Topics will…

Terry Vlisidis, Unsplash By: Kevin M. Young Seyfarth Synopsis: With the DOL’s new overtime exemption rule weeks from taking effect, employers must consider the impacts of reclassifying exempt employees. Some potential impacts are obvious, others not so much. Proactive, thoughtful planning is key for employers to navigate these waters for their business and impacted employees alike. With the U.S. DOL’s final overtime exemption rule taking effect in a few weeks,…

Thursday, June 13, 20243:00 p.m. to 4:00 p.m. Eastern2:00 p.m. to 3:00 p.m. Central1:00 p.m. to 2:00 p.m. Mountain12:00 p.m. to 1:00 p.m. Pacific About the Program Workplace political speech poses unique challenges for employers, particularly in a polarizing U.S. election year, and amid political demonstrations worldwide.  Employers must balance employees’ rights with the interests of the organization, within a maze of intersecting federal and state laws.  The challenges are…

NEW YORK – (June 3, 2024) –  Seyfarth Shaw LLP announced today the arrival of partner John Domby to the firm’s Real Estate department in Charlotte, NC. Domby joins Seyfarth from Katten Muchin Rosenman LLP where he was a partner in its real estate finance and lending practice. “John is another key step in our strategic plans to grow our national real estate practice and Charlotte office,” said Paul Mattingly, national…

About the Program: Join Us for the second installment of our Diversity, Equity, Inclusion, and Belonging (“DEIB”) Webinar Series: “Strategic Approaches for Conducting DEIB Reviews” This micro-webinar series is designed to support employers as they navigate, refine, and enhance their DEIB programs within the current legal, societal, and cultural landscape. During the second session of our webinar series, Seyfarth attorneys will delve into the best practices and strategic approaches for…

We are still waiting for a formal ruling on the Andersen v. Stability AI defendants’ second round of motions to dismiss, but so far it’s looking like most of the case may be allowed to proceed to discovery. The judge heard oral arguments on May 8, 2024 in this case involving image-generating AI software, a day after issuing a tentative ruling seeming to give the plaintiffs a chance to try…

We are thrilled to announce the release of the Chambers Trade Secrets 2024 Global Practice Guide, a comprehensive resource providing the latest insights and legal updates in the field of trade secrets law. Authored by leading experts in the industry, including Seyfarth Shaw LLP’s very own Robert Milligan and Dawn Mertineit, this guide is an invaluable tool for professionals navigating the complex landscape of trade secrets, computer fraud, and non-compete…

What do I need to know? New criminal laws in the UK will make companies more vulnerable to criminal prosecution for the acts of their employees and agents than ever before. The Economic Crime and Corporate Transparency Act 2023 (“ECCTA”) introduces two significant changes to the criminal law in the UK, making it easier for prosecution agencies to hold companies accountable for the actions of their employees. Those changes are…

The Federal Trade Commission (“FTC”) and the Antitrust Division of the Department of Justice (“DOJ”) announced on Thursday, May 23, that they are expanding their search for businesses using “roll up” strategies to consolidate competitors and reduce competition across the U.S. economy. Previously, the agencies had primarily focused their efforts on the healthcare industry, but this latest joint Request for Information invites members of the public to submit “examples” of…

What You Need to Know: On May 6, 2024, the Connecticut legislature passed a bill (HB No. 5005) amending a number of key aspects of the Connecticut statewide Paid Sick Leave Law. The bill was signed into law by Governor Ned Lamont on May 21, 2024. Some of the notable substantive amendments to Connecticut Paid Sick Leave include (a) expansions of which employers are subject to the law, which individuals…

The last several months have seen rapid changes in the employment and workplace health and safety space. With such dynamic movement, and then lots of commentary on each of these changes, it’s easy to view all these changes as one big jumble of puzzle pieces. And it can be hard to know what the whole jigsaw looks like. As Chris Gardner and I mentioned last year in our blog post,…

Seyfarth Synopsis: On May 17, 2024, Colorado Governor Jared Poils signed Colorado SB 24-205, making Colorado the first state to enact broad legislation regulating employers’ use of AI to make “consequential decisions.” Colorado SB 24-205 broadly covers a wide range of AI applications, including employment, and incentivizes AI risk management practices that have long been the subject of discussion by regulators at the federal, state, and international level. For many applications,…

Seyfarth Synopsis: Maryland Governor Wes Moore has signed into law a bill that will expand Maryland employers’ pay transparency obligations.  Effective October 1, 2024, employers must disclose in public or internal job postings a good faith wage range and a general description of benefits and other compensation offered for the position.  In the absence of a posting, an employer must affirmatively disclose the same information to applicants before discussing compensation…

By: Rania Abboud For many highly skilled international workers, securing an H-1B visa in the United States can be elusive. With this year’s lottery results announced, employers find themselves exploring alternative strategies to retain invaluable talent. Among these strategies is the consideration of relocating talent to Canada, where a range of enticing options await. Exploring Canadian Alternatives: LMIA-Exempt Work Permits: Canada offers a variety of LMIA-exempt work permits that could…

Seyfarth Synopsis: The California Supreme Court concluded that the “good faith” defense applies to claims seeking to impose penalties under California Labor Code section 226. An employee must show that an employer’s failure to comply with section 226(a) was both knowing and intentional in order to establish an entitlement to penalties. Naranjo v. Spectrum Security Services. The Facts Gustavo Naranjo, filed a putative class action on behalf of Spectrum employees…

Seyfarth Synopsis: On April 23, 2024, the Department of Labor released its latest attempt to amend its 1975 “fiduciary rule” and seven prohibited transaction class exemptions issued between 1975 and 2020 that investment advice fiduciaries have relied in connection with sales of common investment products like securities, mutual funds and annuities. These amendments have already been challenged in court, and it remains to be seen whether it will be “third…

Special Purpose Entities in Commercial Real Estate Transactions Corporate structures in commercial real estate transactions can often be very complex and involve layers of entities. Special purpose entities that are bankruptcy remote (“SPEs”) are frequently used in commercial real estate loans to limit certain risks associated with a bankruptcy filing involving a borrower or its property. This applies to loans originated by CMBS (commercial mortgage-backed securities), agency (Fannie Mae and…

AddressSeyfarth Shaw Hong Kong OfficeSuite 3701 & 3708-3710, 37FEdinburgh Tower, The Landmark15 Queen’s Road CentralCentral, Hong Kong Tuesday, 21 May 2024 (HKT)8.30 – 9.00 a.m. Check-in and Breakfast9.00 – 10.00 a.m. Roundtable10.00 – 10.30 a.m. RefreshmentsBreakfast will remain available during the roundtable CostThere is no cost to attend, but registration is required. REGISTER HERE About the Programme In recent years, privacy and cybersecurity consistently hit the top of legal leaders’…

Seyfarth Synopsis: On April 29, 2024, the Department of Labor published extensive guidance on the use of artificial intelligence in hiring and employment. While the guidance is addressed to federal contractors, all private-sector employers using or considering using artificial intelligence should pay attention. The guidance makes clear that long-standing nondiscrimination principles fully apply to AI and outlines “Promising Practices” designed to mitigate AI risks in employment, including the risk of…

By: Matthew J. Gagnon Seyfarth Synopsis: In its seminal decision, Bostock v. Clayton County, Georgia, the Supreme Court held that discrimination on the basis of sexual orientation or gender identity is tantamount to discrimination on the basis of sex. Employers are just beginning to grasp the wide-ranging impact that decision will have on the American workplace. The reasoning of this decision: that to treat an employee differently because of the sex…

Last week on April 23, 2024, the FTC adopted a final rule that would effectively ban non-compete agreements in the context of employment relationships when the rule becomes effective on September 4, 2024, absent a stay or injunctive relief.  The rule would render unenforceable a broad array of employment-based non-competition agreements.  It would also require that employers provide notice to workers that certain non-competition agreements already entered into will not…

Seyfarth Synopsis: In Mobley v. Workday, the EEOC filed an amicus brief supporting a class-action plaintiff's theory that a Human Resources software company could be directly liable for employment discrimination allegedly caused by the vendor's artificial intelligence tool under theories that the organization was acting as an employment agency, indirect employer, or agent of the employer. Employers, HR vendors and service providers, and AI developers should take note because even…

On April 23, 2024, the FTC announced its Final Non-Compete Clause Rule (“Final Rule”), which bans post-employment non-compete clauses between employers and their workers. The Final Rule becomes effective 120 days after being published in the Federal Register (Effective Date).[1] As of the date of this paper, the Final Rule has not been published in the Federal Register. Key Provisions Scope: The Final Rule prohibits an employer from entering into,…

On April 18, 2024, the Financial Crimes Enforcement Network (FinCEN) released further guidance regarding to Corporate Transparency Act compliance (CTA) by updating and expanding the Beneficial Ownership Information Reporting Frequently Asked Questions regarding the Beneficial Ownership Information (BOI) Reporting Rule (FAQs). Importantly, the updates provide insight on BO access by foreign governments, law enforcement and financial institutes. 1. Understanding Beneficial Ownership Reporting A beneficial owner is an individual who either…