Archive for the ‘Business and Corporate Law’ Category

The trending practice in restaurants of charging a fixed percentage at the end of each bill has been met with pushback from customers. Customers may not recognize that the charge benefits customers because it keeps food costs reasonable. As the cost of food, labor, and supplies rise, it is hard for restaurants to stay profitable while keeping their menu prices reasonable. One way restaurants keep food costs reasonable is by applying a service charge to offset the increasing costs of maintaining a restaurant.   Restaurant owners and hoteliers need to understand the law surrounding the issue so that when met with… read more »

The U.S. District Court for the Eastern District of Texas in Smith et al. v. U.S. Department of Treasury, et al., 6:24-cv-0036 (E.D. Tex), decided that the beneficial ownership information (“BOI”) reporting requirements under the Corporate Transparency Act (“CTA”) are back in effect. On January 24, 2025, we reported in our article “Enforcement Of The Corporate Transparency Act Still On Hold” that the CTA was on hold due to a nationwide injunction issued by Judge Kernodle of the Eastern District of Texas, despite the Supreme Court ruling on January 23, 2025. On February 5, 2025, the U.S. Department of Justice… read more »

Pennsylvania Certificate of Annual Registration Effective December 31, 2024, the Pennsylvania Department of State increased the annual registration fee for domestic and foreign registered limited liability partnerships (“LLPs”), limited liability limited partnerships (“LLLPs”), and restricted professional companies (“RPCs” and “PLLCs”). What are the costs for filing? The annual registration fee for RPCs and PLLCs has increased to $700.00 per licensed professional member, as long as that member is licensed to practice the professional service in PA and resides in PA.  The annual fee for LLPs and LLLPs has increased to $470.00 for each general partner if the partner is a… read more »

CGA Law Firm is pleased to announce the addition of Summer M. Pannizzo to our firm as an associate attorney. Summer joins our business law, estate administration and planning, and real estate practice groups, bringing a fresh perspective to the team. Summer earned her Juris Doctor from Widener University Commonwealth Law School, where she distinguished herself by obtaining a Business Law Certificate and participating in the Wayne State Transactional Competition. Her involvement in Moot Court, Trial Advocacy, and Mock Trial demonstrates her commitment to honing her advocacy skills. During her time at Widener, Summer showcased her dedication to community service… read more »

Recent activity regarding the Corporate Transparency Act has resulted in no change in its enforcement. The United States Supreme Court issued a decision on January 23, 2025, lifting a nationwide stay on the enforcement of the Corporate Transparency Act. This decision comes after a roller-coaster of events in December over the scope of the stay issued in Texas Top Cop Shop, Inc. v. McHenry. Regardless of the Supreme Court’s decision, the enforcement of the Corporate Transparency Act is still being halted. Currently, reporting companies are not required to file their Beneficial Ownership Information but may voluntarily report. Summary of Events… read more »

CGA Law Firm is pleased to announce that Attorney Beth J. Kern has been unanimously elected as a Shareholder. Beth has quickly established herself as an integral member of CGA Law Firm, contributing her expertise to the Municipal, Business, Employment, Real Estate, and Estate Planning Practice Groups. “I am extremely excited that Beth will now be a Shareholder at CGA. Beth has demonstrated that she is able to effectively work with our clients in her areas of expertise to provide exceptional legal advice and be a trusted counselor. In addition, Beth has been willing to use her expertise to assist… read more »

On December 3, 2024, the Eastern District of Texas Federal Court issued a nationwide preliminary injunction against the Corporate Transparency Act (CTA) in the case of Texas Top Cop Shop v. Garland et al. This decision effectively suspends the enforcement of the CTA, which had mandated companies to report beneficial ownership information to FinCEN. Judge Mazzant delivered a scathing critique of the CTA, asserting that it likely exceeds Congressional authority and infringes upon state jurisdiction over corporate regulation. The court highlighted the substantial financial burden on businesses, with compliance costs estimated to surpass $22 billion in the initial year alone…. read more »

This is an update to our January 16, 2024 article titled “The Corporate Transparency Act and Beneficial Ownership Information Reporting”. At the beginning of this year, the Corporate Transparency Act (“CTA”) became effective. The CTA is intended to aid law enforcement in combating illicit activity, such as money laundering and terrorist financing, conducted through anonymous shell companies. It does so by mandating certain entities, primarily small or medium size businesses, to report “beneficial owner” information to the Financial Crimes and Enforcement Network (“FinCEN”). The CTA authorizes FinCEN, a Bureau of the US Treasurer Department, to collect, protect and disclose this information… read more »

Business owners in Pennsylvania should take note of a significant new change to corporate law that will be effective starting in 2024. Act 122 has replaced Pennsylvania’s traditional decennial corporate filing requirements with new annual reporting obligations. Failing to comply with the new regulations may result in administrative repercussions for entities. Below are some frequently asked questions to help you navigate these changes: Pennsylvania’s Act 122 requires annual reports from all organizations including but not limited to: Corporations Limited liability Companies (LLC) Most Partnerships Non-profit corporations Registered foreign entities (out of state companies registered to do business in Pennsylvania). Starting… read more »

“Caveat emptor” was frequently applied to commercial transactions in the past. Caveat emptor is a Latin phrase that translates to “let the buyer beware”. It was a warning to those buying, primarily goods, that they should do their own research and ask pointed questions of a seller before making a purchase. Modern laws concerning the purchase and sale of goods often provide protection in that regard. However, investigating and asking questions remains valuable, even when obtaining services. These days, many legal services are available online. But they are not as helpful or inexpensive as they might seem. For example, you… read more »