Business Law Blog

Whether you started the business yourself or are “next generation,” selling a family-owned business is usually an experience that can bring both excitement and anxiety. Here are 12 tips to help you focus on the exciting parts:

Twelve Tips in Preparation

1. Before you go to market, do a preliminary valuation analysis.

On Wednesday, May 5, 2021, the U.S. Securities and Exchange Commission (“SEC”) instituted an administrative proceeding under Rule 102(e) of the SEC Rules of Practice against Seth P. Levine, Esq., a 52-year-old New Jersey attorney (also admitted in New York) residing in Teaneck, Bergen County, New Jersey, regarding charges of fraud through his LLC.» Read More

On Thursday, April 29, 2021, the U.S. Securities and Exchange Commission (“SEC”) charged eight public companies for failing to disclose (in requests for permission to file periodic disclosure reports including financials late) that the delays were caused by anticipated restatement or correction of previously filed financial statements.» Read More

This is a supplement to our prior articles regarding the phasing out of LIBOR (see “LIBOR Is Fading Away” and “LIBOR Is Fading Away; But, Perhaps, Not as Quickly as Thought“). For decades, lenders have extended credit facilities, both large and small, using LIBOR-based interest rates and documents relating to these facilities.» Read More

On March 8, 2021, the Depository Trust Company (“DTC”), the Fixed Income Clearing Corporation (“FICC”), and the National Securities Clearing Corporation (“NSCC”) (each a “Clearing Agency” and collectively the “Clearing Agencies”) filed with the U.S. Securities and Exchange Commission (“SEC”) a proposal to amend the investment policy for each Clearing Agency.» Read More

One of the priorities announced in the 2021 Examination Priorities Report of the U.S. Securities and Exchange Commission’s Division of Examinations (“EXAMS”) is a review of robo-advisory firms that build client portfolios with exchange-traded funds (“ETF’s”) and mutual funds. EXAMS notes that these clients are almost entirely retail investors without investments large enough to support the costs of regular human investment advisers.» Read More

On March 4, 2021, the U.S. Securities and Exchange Commission (“SEC”) announced the formation of a “Climate and ESG Task Force” in the Division of Enforcement to identify and prosecute misconduct in selling Environmental, Social, and Corporate Governance (“ESG”) products and strategies.» Read More

On Monday, March 29, 2021, the Division of Examinations (“EXAMS”) of the U.S. Securities and Exchange Commission (“SEC”) issued a Risk Alert on “Compliance Issues Related to Suspicious Activity Monitoring and Reporting at Broker-Dealers.” EXAMS is concerned that broker/dealers and mutual funds are failing to meet their obligations as “financial institutions” subject to monitor and report to the Financial Crimes Enforcement Network (“FinCEN”) Division of the U.S.» Read More

On Wednesday, April 7, 2021, the U.S. Securities and Exchange Commission (“SEC”) issued Release No. 34-91492 publishing a Proposed Rule Change by NASDAQ to amend the requirements for listing ADRs on each of NASDAQ’s Global Select AND Global Markets.» Read More

On Wednesday, March 17, 2021, the Municipal Securities Rulemaking Board (“MSRB”) proposed new Rule G-46 to codify the “fair dealing …obligations” of “solicitor municipal advisors” (“SAM’s;” not to be confused with Surface to Air Missiles). The MSRB Notice states that municipal advisors generally and SAM’s, in particular, were not subject to regulatory oversight until the Dodd-Frank Act was passed in 2010 in response to the Great Recession of 2007-2009.» Read More