Publications — Page 33 of 50 — Lindabury, McCormick, Estabrook & Cooper, P.C. Firm News & Events

ROI-NJ’s Cybersecurity Interview with Eric Levine

Published on: February 14, 2018 | by Eric B. Levine

Eric Levine, Co-Chair of Lindabury’s Cybersecurity & Data Privacy practice group was recently interviewed regarding the constant threat of cyberattack facing companies today. Eric says, “No matter how big or small your business, cybersecurity affects you. Companies need to anticipate that they will be a victim at some point, if they are not already. There are two types of companies out there: those that have been breached and those that have but just don’t know it.”

To read the full interview click here.

New Jersey Assembly Makes Headway on Bill to Eliminate Craft Brewery Tour Requirement

Published on: February 9, 2018 | by Lindabury, McCormick, Estabrook & Cooper, P.C.

Good news is a brew for New Jersey craft beer advocates. In February 2018, the New Jersey Assembly’s Agriculture and Natural Resources Committee paved the way for the introduction of Bill A2196, which would remove a current licensing rule requiring breweries and distilleries to provide a tour of their facilities before serving alcoholic beverages to consumers. Currently, breweries holding a New Jersey Limited Brewery License are prohibited from selling their brews at the brewery, unless patrons first complete a tour of the premises. This requirement applies to every customer, regardless of whether it is their first or fifteenth visit to a particular brewery, and failure to issue a tour can result in a hefty fine. If passed, Bill A2196 would be the latest step in a number of recent legislative changes aimed at easing New Jersey’s complex and stringent liquor laws.

New Jersey craft beer production has exploded over the past four years. As of February 2018, the New Jersey Craft Beer Association has identified ninety-eight breweries and brew pubs in the State of New Jersey, as well as twenty-four “startup” breweries in the process of obtaining licensing or permits. The growth of craft breweries in the State is in no small part due to a trend in Trenton towards loosening the State’s strict liquor laws by steadily expanding the rights for breweries with Limited Brewery Licensees.

Prior to 2013, breweries were limited to selling their products to licensed retailers and wholesalers. If a brewery was interested in establishing a tasting room, it would be required to obtain a special permit—issued by a different regulatory agency—that limited service to 4 oz. samples. Then, in December 2013, a noticeable shift in policy took hold when the Limited Brewery License was amended to consolidate these laws and permit the consumption of full-sized beers on the premises. The amendment permitted breweries to sell their brews on site for consumption, but only if such beverages were offered in connection with a brewery or distillery tour.

#MeToo: What’s An Employer To Do?

Published on: February 8, 2018 | by Lindabury, McCormick, Estabrook & Cooper, P.C.

The floodgate of sexual harassment allegations spawned by the #MeToo movement is evidence that employers are dropping the ball on fostering work environments free from inappropriate sexual behaviors. The good news is there are simple things an employer can do to prevent workplace harassment from occurring in the first place, and to potentially avoid liability should a suit be filed.

What Should Employers Do to Protect Themselves?

The courts have created a “safe harbor” defense in most instances for employers act reasonably to prevent and address incidents of workplace harassment. Employers may qualify for the defense if they undertake the following actions:

Practical Considerations for Attorneys and Trustees: Trust Decanting After Matter of Kroll

Published on: January 31, 2018 | by Elizabeth Candido Petite

The New York “trust decanting statute” (EPTL 10-6.6) was significantly revised in August 2011. Although commentary and analysis of the new statute appeared almost immediately from practitioners, it was not until late 2013 that the judiciary joined the conversation. In Matter of Kroll,¹ the Surrogate’s Court of Nassau County was faced with a challenge to a trustee’s exercise of appointing trust assets from a lifetime trust to a supplemental needs trust (SNT). The decision is noteworthy not only because it is the first to analyze the revised statute, but also because it serves as an important reminder for all trustees and attorneys to draft flexible trust instruments, to stay current with the needs of beneficiaries, and not to delay when changed circumstances necessitate a change to the trust.

A. Statutory Background

In 1992, New York was at the forefront of trust law when it enacted EPTL 10-6.6, which allowed trustees with unlimited discretion over distributions of principal to appoint trust assets to another trust. The statute was essentially unchanged for almost 20 years, during which time it became evident that the statute had limited applicability. The revised statute now permits all trustees, regardless of their scope of authority, to decant, but they must maintain certain provisions of the original trust in the new trust and cannot eliminate or reduce the interests of current beneficiaries.

2017 Tax Cuts and Jobs Act

Published on: January 25, 2018 | by Anne Marie Robbins

President Trump signed the Tax Cuts and Jobs Act (the “Act”) on December 22, 2017. The Act makes significant changes to the Internal Revenue Code, covering a broad range of income, corporate, and estate taxes. Most of the changes to the Code are effective as of January 1, 2018. Because of Senate rules requiring limits on legislation that increases the federal deficit, many provisions of the Act, including the estate, gift, and generation-skipping transfer (GST) tax provisions, will expire after December 31, 2025.

From an estate-planning perspective, some key takeaways are:

The federal estate, gift, and GST taxes have not been eliminated, as some had hoped. Instead, the exemptions have increased making it less likely that such taxes will be imposed on all but the wealthiest individuals. The base federal estate and gift tax exemption has been doubled to $10 million, indexed for inflation, for tax years 2018 through 2025. The effect is that a single person may now transfer, during life or at death, a total of approximately $11.2 million (the inflation-adjusted figure), or $22.4 million for a married couple. The GST tax exemption has also increased to a like amount.

Drafting Divorce Agreements to Address Life Insurance Obligations

Published on: January 23, 2018 | by Nicole A. Kobis

Nicole Kobis recently authored an article for the New Jersey Law Journal in which she provides insight to an often overlooked and extremely important task that needs to be addressed; obtaining and/or maintaining life insurance policies for each divorced spouse along with ensuring documentation is in place to allow each party access to the policies’ pertinent information.

To read the full NJLJ article click here.

Are Unpaid Internships Ready for a Comeback?

Published on: January 15, 2018 | by Lindabury, McCormick, Estabrook & Cooper, P.C.

In NJBIA’s recent article, Kathleen Connelly, a member of Lindabury’s Employment Law practice group, discusses the U.S. Department of Labor’s (DOL) new test to determine if a student intern is an employee, which may make unpaid internships a more viable option for employers.

“By no means is this a green light for employers to avoid their minimum wage and overtime requirements by masking their employees as unpaid interns,” Connelly said. “I think the best way to approach it is for the employer to stand in the shoes of the intern and craft the internship in such a way that it provides real value to the intern that is linked to the intern’s course of study.”

To access the full article click here.

DOL & NLRB Reverse Positions Seen As Anti-Employer

Published on: January 15, 2018 | by Lindabury, McCormick, Estabrook & Cooper, P.C.

The change in administrations has brought a series of reversals of the Obama era’s less than employer-friendly positions by the U. S. Department of Labor (DOL) and the National Labor Relations Board (NLRB or Board). This article highlights some of the favorable recent developments from these agencies that may be a harbinger of better things to come in 2018.

DOL REINSTATES 17 FAVORABLE OPINION LETTERS WITHDRAWN BY THE PRIOR ADMINISTRATION

For many, many years, the DOL issued official written Opinion Letters in direct response to employer questions regarding the interpretation and implementation of federal labor laws. Although they do not create law, Opinion Letters set forth the DOL’s position on how the Fair Labor Standards Act (FLSA) and other laws apply to very specific circumstances presented by employers seeking the DOL’s guidance. Under the FLSA, an employer who relies in good faith upon an Opinion Letter issued by the DOL is shielded from liability for violations of the minimum wage and overtime requirements of the FLSA, so long as the facts pattern surrounding challenged practice is identical to that contained in the relied-upon Opinion Letter.

Portability – Examination of a Predeceased Spouse’s Estate Tax Return

Published on: January 12, 2018 | by Anne Marie Robbins

In a recent case that is a cautionary tale to preparers of federal estate tax returns, the Tax Court held that the IRS was permitted to examine the estate tax return of the first spouse to die in determining the deceased spousal unused exclusion amount (DSUE) available to the estate of the surviving spouse. The result was an increase to the federal estate tax in the estate of the second spouse.

A husband died in 2012 and his estate reported his DSUE on form 706, the federal estate tax return, and elected portability of the DSUE to the surviving spouse. The IRS sent the husband’s estate a federal estate tax closing letter reporting the return was accepted as filed. When the wife died in 2013, her estate claimed the DSUE reported by the husband’s estate. As part of the examination of the wife’s federal estate tax return, the IRS also examined the 706 filed by the husband’s estate. Without determining a deficiency against the husband’s estate, the IRS reduced the amount of the husband’s DSUE by the amount of taxable gifts given by husband during his life. This reduction in the DSUE reduced the total exclusion available in the wife’s estate and resulted in an increase of the estate tax.

Several holdings by the court are noteworthy:

Governor Signs Legislation – Breastfeeding Is Now A Protected Category Under The New Jersey Law Against Discrimination

Published on: January 9, 2018 | by John H. Schmidt, Jr.

Effective Monday, January 8, the New Jersey Law Against Discrimination was amended to include breastfeeding as a protected status. As a result, an employer cannot refuse to hire, cannot discharge, and cannot treat someone adversely with regard to the terms, conditions or privileges of their employment because that employee is breastfeeding and needs workplace accommodations.

Additionally, the new law requires employers to provide reasonable accommodations to an employee who is breast feeding her infant child, including reasonable break time each day and a suitable, private room other than a toilet stall, in close proximity to the employee’s work area in which the employee can express breast milk for the child.