Insights Archives — Page 2 of 51 — Lindabury, McCormick, Estabrook & Cooper, P.C. Firm News & Events

Federal Transfer Tax Exemptions for 2026

Published on: February 11, 2026 | by Anne Marie Robbins

As a result of the 2025 tax legislation passed in July of last year, there has been a significant increase in the estate, gift, and generation-skipping transfer tax exemptions to $15 million effective January 1.

The increase means that in 2026, an individual may make gifts during life or at death totaling $15 million without incurring gift or estate tax, and a married couple will be able to transfer $30 million of assets free of transfer taxes.

The annual gift tax exclusion provided by Code section 2503 remains at $19,000 per donee (or $38,000 if spouses elect gift-splitting).

Common Divorce Myths in New Jersey: What the Law Really Says

Published on: February 2, 2026 | by James McGlew, II

When someone is considering divorce, misinformation often creates unnecessary fear. Social media, online forums, and well-meaning friends frequently repeat outdated or incorrect assumptions about how divorce works in New Jersey. The result is confusion, increased anxiety, and poor decision-making at a time when clarity matters most.

Over the past several decades, particularly since the 1980s and accelerating through statutory reforms in the 2000s and 2010s, New Jersey divorce law has evolved significantly. For people in their 30s, 40s, and early 50s, much of what they “know” about divorce is often based on how divorces worked for their parents or grandparents. Courts today place far greater emphasis on settlement, fairness, and practical outcomes, rather than rigid rules or outdated assumptions. Yet many myths persist, often making an already difficult process more stressful than necessary.

Below are some of the most common misunderstandings and what New Jersey law actually requires.

New Jersey Employment Law Update for 2026

Published on: January 29, 2026 | by Joshua L. Weiner, Gozde Celik and Ashlin Miller

As tends to happen at the end of a Governor’s term in office, a bevy of bills were signed into law this month by outgoing Governor Phil Murphy. Among them were two that have the potential to change the landscape of employment law in New Jersey.

Amendments to the NJ Family Leave Act

On January 17, 2026, a bill was signed into law amending New Jersey Family Leave Act (NJFLA) that will greatly increase the number of employees entitled to its protections. The amendments, which take effect July 17, 2026, broaden the scope of employers subject to the statute and lower the eligibility thresholds for employees.

2026 Employment Law Update: Key Developments Affecting Compliance in the Workplace

Published on: January 20, 2026 | by Lisa Gingeleskie, Joshua L. Weiner and Gozde Celik

As we enter into 2026, a number of state, local, and federal employment law changes are taking effect which impact employer compliance and expand employee rights. These developments create new obligations that employers should be aware of as they review workplace postings, leave policies, hiring practices, scheduling procedures, and anti-discrimination safeguards for the year ahead.

New Jersey

Updated Family Leave Insurance Posting

New Jersey Minimum Wage Increase Reminder

Published on: January 2, 2026 | by Ashlin Miller and Joshua L. Weiner

New Jersey employers are reminded that the state minimum wage will increase again in 2026 in accordance with the New Jersey Minimum Wage Act, which requires the New Jersey Department of Labor and Workforce Development to set the statewide minimum wage each year based on any increase in the Consumer Price Index (CPI) data provided by the U.S. Bureau of Labor Statistics. Effective January 1, 2026, New Jersey’s statewide minimum wage will increase from $15.49 to $15.92 per hour for most employees. For small employers (those with fewer than 6 employees), the minimum wage increases from $14.53 to $15.23 per hour.

As the new year approaches, employers should take steps to prepare for the wage increase by reviewing and updating current pay rates so that they reflect the updated CPI-adjusted minimum wage.

NJ Ruling Allows Employees to Keep Most Workplace Claims Out of Arbitration

Published on: January 2, 2026 | by Ashlin Miller and Joshua L. Weiner

On December 26, 2025, the New Jersey Appellate Division determined that sexual harassment claims, if plausibly pled, could keep an entire employment lawsuit out of arbitration, including any non-sexual harassment claims asserted by a plaintiff. In the consolidated cases of McDermott v. Guaranteed Rate, Inc. and Rivera-Santana v. CJF Shipping, LLC, the Court addressed the scope of the federal Ending Forced Arbitration of Sexual Assault and Harassment Act of 2021 (EFAA), which prevents employers from forcing employees into private arbitration for claims of sexual assault or harassment. The Court determined that if an employment lawsuit includes a viable sexual harassment claim, any pre-dispute arbitration agreement is unenforceable not just as to the sexual harassment claim, but any non-sexual harassment claim that the plaintiff included as part of the lawsuit.

Both cases involved a multiclaim employment dispute filed by former employees. The trial court had originally ordered the parties to arbitrate all the non-sexual harassment claims asserted by the plaintiff under the terms of an arbitration agreement but found the arbitration agreement unenforceable as to plaintiff’s sexual harassment claim which the court permitted to proceed separately in court. The Appellate Division reversed in both cases, holding that courts are prevented from bifurcating the sexual harassment and non-sexual harassment claims. The Court reasoned that the language of the EFAA renders pre-dispute arbitration agreements unenforceable as to all claims in a multiclaim dispute where a plaintiff has pled a viable claim involving sexual harassment. The decision follows the approach of a majority of state and federal courts which have applied the EFAA broadly.

Impact on Employers:

A Greener Garden State: Human Composting Legalized

Published on: October 10, 2025 | by Elizabeth Engert Manzo

On September 12th, 2025, Governor Murphy legalized “natural organic reduction” making New Jersey the 14th state to permit the composting of human bodies as an alternative to traditional burial or cremation. While the Board of Mortuary Science has yet to issue regulations which will govern the process, funeral businesses are expected to become licensed and start offering this service, also known as “controlled supervised decomposition,” by July 2026.

Advocates state that human composting is environmentally friendly because it does not use toxic embalming chemicals, uses less energy, and releases less carbon into the atmosphere than cremation. It also requires less land and leaves less of a carbon footprint than traditional burial.

Human composting uses a closed reusable vessel, along with other organic materials, to encourage natural decomposition over a 30 to 45 day process. Approximately 1 cubic meter of nutrient rich soil is created to support the ecosystem. Safety protocols, consumer protections, as well as how and where the transformed soil can be utilized will be clarified in the regulations.

Third Circuit Restricts Employers’ Use of Computer Fraud and Abuse Act Against Employees

Published on: September 8, 2025 | by Joshua L. Weiner and Gozde Celik

Background

The Third Circuit recently ruled that an employee’s violation of workplace cyber policies does not amount to “unauthorized access” under the federal Computer Fraud and Abuse Act (CFAA). In NRA Group, LLC v. Durenleau, the company sued two former employees for sharing passwords and accessing systems in violation of company policy, arguing that this triggered CFAA liability. The Court disagreed, finding that the CFAA was intended to target true “hacking” of protected computers, not policy breaches by employees who already had system access. The Court explained that if mere policy violations triggered the CFAA, millions of everyday employees could be treated as criminals.

Why This Matters for Employers

How H.R. 1 Reshapes Estate Planning for Individuals, Families, and Business Owners Alike

Published on: July 30, 2025 | by Elizabeth Candido Petite

The recent enactment of H.R. 1, commonly known as the “One Big Beautiful Bill Act,” or the “Act,” which has been signed into law, includes a critical provision that permanently and significantly increases the federal estate and gift tax exemption amounts. This will have a profound impact on wealth transfer strategies and may require the review and updating of existing estate plans.

For years, families and their advisors have navigated the complexities of fluctuating tax laws, often planning around temporary provisions and sunset clauses. This new law provides a welcome measure of certainty and offers opportunities for high-net-worth families and owners of closely held businesses to refine their legacy plans.

The Game-Changer: A Permanent Increase in Exemption

Estate Planning for Business Owners: Avoiding Family Disputes

Published on: July 8, 2025 | by Elizabeth Candido Petite

When the founder of a family-owned business passes away, the impact can be both financial and personal. Even successful companies can face significant conflict if there isn’t a clear plan for how ownership and control will transfer to the next generation. This risk is particularly high when some children are actively involved in the business while others are not.

For example, one child might be managing job sites, handling bonding, or overseeing client relationships, while their siblings may have different responsibilities at the company or no involvement in the business. If the owner dies and leaves the business equally to all children, disagreements about leadership, control, pay, and profit distribution can quickly harm both the business and family relationships.

Fortunately, with proper planning, these conflicts can be avoided.