Development impact fees, a common tool used by local governments to fund public infrastructure and services, play a crucial role in the process of urban and suburban growth. These fees are levied on developers in conjunction with new construction or revitalization projects to offset the costs associated with increased demand for roads, schools, utilities and other amenities necessitated by development. In other words, they are used to soften the “impact” that the new development is going to bring to the infrastructure already in place.
The FTC has made its position on violations of “Made in USA” standards clear, and Williams-Sonoma received an expensive repeat reminder. On Thursday, April 25, the agency announced a settlement with the home goods retailer, directing it to pay an unprecedented civil penalty of $3.175 million for violating a 2020 FTC order requiring the company to clearly and accurately identify which products are, in fact, made in the USA. “Made in USA” denotations, as pointed out by the FTC, are more than formality: rather, to label something as “Made in USA,” the business must adhere to specific criteria – namely, that the product’s final assembly or processing, and all significant processing, takes place in the US, and that all or virtually all ingredients or components of the product are made and sourced in the US.
In January 2023, the FTC announced a proposed rule that would ban employers from imposing noncompetes on employees. After collecting over 26,000 public comments during the 90-day notice and comment period, the FTC announced a special Open Commission Meeting set to take place on Tuesday, April 23, 2024 to discuss the implications of the proposed rule. While closed to public comment, the public is still able to view the meeting via webcast.
On April 1, 2024, California’s Assembly Bill No.1228 (“AB 1228”) took effect, making the state’s fast food workers the highest paid in the United States. However, uncertainty regarding precisely who is covered under the new law has left some employers reeling, as the stakes for complying with California’s Labor Code remain as high as ever.
In the realm of commercial leasing, the fine print of contracts can often hold significant consequences for both landlords and tenants. One area where contention often arises is with exculpatory clauses, which routinely aim to absolve landlords from responsibility for injuries or damages suffered by tenants or third parties, even if those harms result from the landlord’s negligence or failure to maintain premises adequately. However, the efficacy of exculpatory clauses becomes blurred when confronted with hazards such as asbestos, a notorious carcinogen found in many older commercial buildings, including some retail properties.
Artificial intelligence (“AI”) is often touted as the latest transformative technology set to revolutionize the commercial real estate industry. This may seem like grandstanding, but the hype is real. AI is already being implemented by law firms and their clients to streamline business processes. AI, however, is ultimately a tool and whether tools make our lives easier or harder often depends on if we use them safely. This blog post examines some of the ways in which AI is used in commercial real estate and potential pitfalls with broad implementation.
In a speech before the Yale Law School February 2024, SEC Chair Gary Gensler had AI top of mind. Interrupted only by a colorful collection of movie references, Chair Gensler focused almost the entirety of his remarks on AI and the SEC’s corresponding regulatory duties. Chair Gensler addressed the risks associated with AI while cautioning reporting companies to avoid “AI washing” and making boilerplate AI disclosures that are not particularized to the company. The speech nicely underscores the SEC’s two-fold, and at times juxtaposed, concerns about the important emerging technology.
On March 6, 2024, by a party-line vote of 3-2, the US Securities and Exchange Commission (SEC) adopted final rules (entitled “The Enhancement and Standardization of Climate-Related Disclosures for Investors”) requiring most public companies to disclose climate-related information in registration statements and annual reports filed with the SEC. The SEC first proposed climate disclosure rules in March 2022, and the proposal has been a source of much debate and controversy, generating over 24,000 comment letters, more than any regulation in the history of the SEC.
Earlier this year, New York Governor Kathy Hochul signed S.B. S1048A into law (which we reported about here) requiring sellers that impose credit card surcharges to post the total price, inclusive of the surcharge, on the item. The law is aimed at preventing consumers from being misled when making a purchase using their credit card. Governor Hochul recently announced guidance to help businesses better implement the law’s requirements. The guidelines, which include an informational video as well as a one page brochure, provide three affirmative ways companies may comply with the ...
Virginia is currently one of just two states, along with Mississippi, without state-court class actions. But in the most recent legislative session, the General Assembly passed Senate Bill 259, which would create a class action mechanism in Virginia state courts. Under Virginia law, the governor can sign the bill, veto it, do nothing (which permits it to become law)—or he can propose amendments to the bill, which would then be sent back to the General Assembly at the “veto session” in April. The governor could veto the bill—or, in the alternative, he could propose an amendment to protect Virginia businesses from the threat of outrageous statutory damages claims under the Virginia Consumer Protection Act.
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