Blog, Employment Law, Government Practice, News
Families First Coronavirus Response Act’s Impact on Municipalities and Government Entities
INTRODUCTION On March 18, 2020, President Trump signed into law the Families First Coronavirus Response Act (the “Families First Act” or “Act”) which takes effect on April 1, 2020. The Families First Act includes two significant provisions mandating most employers to make sick leave and expanded family leave payments available to employees impacted by the coronavirus disease 2019 (“COVID-19”). Those provisions are the Emergency Paid Sick Leave Act and the Emergency Family and Medical Leave Expansion Act (the “EFMLEA). The Families First Act is applicable to private sector employers with less than 500 employees[1] and all local government employers[2] with one or more employee. As such, all governmental entities such as townships, counties, municipalities, school districts, fire districts and other political subdivisions are subject to the mandates under the Families First Act. The Act provides refundable payroll tax credits to private employers to ease the burden associated with these paid leave requirements. Unfortunately, these tax credits cannot be claimed by any entity, agency or instrumentality of State or local government. This memorandum briefly summarizes the impact the Families First Act will have on our governmental clients throughout the state. OVERVIEW The Emergency Paid Sick Leave Act applies to all employee leaves taken from April 1, 2020 through December 31, 2020. All governmental employers with one or more employee are required to provide two weeks (up to 80 hours) of paid sick leave for employees meeting the COVID-19 related criteria described below. Employees unable to work due to a bona fide need to care for an individual…
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Blog, News
Announcing Our 2019 Best Lawyers
We are pleased to post that the following attorneys from the firm have been selected to the The Best Lawyers in America (2019 Edition). Banking and Finance Law Jay P. Kennedy Madalyn S. Kinsey James G. Lauck Bankruptcy and Creditor Debtor Rights / Insolvency and Reorganization Law Jay P. Kennedy James A. Knauer Closely Held Companies and Family Businesses Law Brian C. Bosma Corporate Compliance Law David E. Wright Environmental Law Gregory P. Cafouros Government Relations Practice Brian C. Bosma Litigation – Banking and Finance Jay P. Kennedy James G. Lauck Litigation – Bankruptcy James A. Knauer
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Appearances, Business, Corporate Law, Events
Acquisitions of Privately Held Companies
KGR partner Brian Bosma authored Representing Buyers and Sellers in Acquisitions of Privately Held Companies for a Continuing Legal Education seminar, and is making the paper available for download here. The paper informs the reader of issues typical faced by attorneys in purchase and sale transactions. It is not intended to be a comprehensive treatise on asset or stock purchase sales or procedures, but does provide a basis for discussion with a qualified professional and informs the reader of issues to be aware of and to discuss with a qualified professional to determine how they apply to the reader’s situation. The paper is not to be considered as legal advice or as a substitute for legal advice, and it is not intended to create, nor does it create, an attorney-client relationship. We encourage you to download the paper and learn about: The attorney’s role: The various roles an attorney plays in business and real estate transactions as well as the preparation necessary to fulfill the roles and be knowledgeable in diverse areas of the law and skilled at recognizing issues requiring special expertise and assistance. Setting client expectations: Understanding the client’s needs and identifying the nature of the engagement. Drafting transaction documents: A well drafted agreement ensures the parties deal with and resolve problems initially and prevents disagreements and closing delays. The drafting process requires identifying the details of the transaction, controlling the process, using forms when appropriate, drafting with clarity (identifying the seller and purchaser, defining terms, outlining the transaction, client review, and revisions and…
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Introducing “The Best Lawyers in America”© 2018
Congratulations KGR Attorneys Listed in “The Best Lawyers in America”© 2018 Best Lawyers is the definitive guide to legal excellence and selections are based solely on peer review. Corporate Counsel magazine has called Best Lawyers “the most respected referral list of attorneys in practice.” KGR is extremely proud of our recent recipients. Brian C. Bosma was recently selected by his peers for inclusion in The Best Lawyers in America 2018 for Closely Held Companies and Family Business Law. This is Mr. Bosma’s first recognition by Best Lawyers in this field. With an extensive background in engineering, business, law and government, Mr. Bosma’s practice is concentrated in the areas of complex business and municipal transactions, municipal finance and environmental matters. He chairs the Business and Government Practice Groups of Kroger Gardis & Regas, and serves as general or special counsel to dozens of municipalities and business entities throughout the State of Indiana. An engineering graduate of Purdue University, Mr. Bosma represents both public and private sector clients in real estate and construction projects, public sector joint ventures and redevelopment matters. Representative Bosma has served as a member of the Indiana House of Representatives since 1986 in numerous leadership capacities, including currently serving as the Speaker of the House since 2010. Mr. Bosma is a founding director of Bosma Industries for the Blind and serves as the Chairman of the Bosma Visionary Opportunities Foundation. This marks the tenth year that Jay Kennedy was selected by his peers for inclusion in The Best Lawyers in America 2018. Jay was…
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11th Hour Federal Court Injunction Blocks New FLSA Overtime Rules
Blog, Corporate Law, Employment Law
New Overtime Regulations to Take Effect December 1, 2016
On March 13, 2014, President Obama issued a memorandum directing the Department of Labor (DoL) to update the regulations that define which “white collar” employees are protected by the overtime standards of the Fair Labor Standards Act (FLSA). On May 28, 2016, the DoL issued its Final “Overtime” Rule, which more than doubles the previous salary threshold for determining which employees are entitled to overtime. Prior to the rule change, only white collar workers making less than $23,660 annually (or $455 per week) were entitled to overtime if they worked over forty (40) hours per week. Under the new rule, white collar employees making less than $47,500 annually (or $913 per week) will be entitled to overtime when working over forty (40) hours in a week. The DoL has estimated that the new overtime rules will be extended to 4.2 million workers. Subject to the implementation of a Court Injunction as requested by more than 20 State Attorneys General, the new regulations are scheduled to take effect on December 1, 2016. Employers should begin planning for the change now. Who is Impacted? The new rules also do not change the classification of job duties that make an employee exempt from the FLSA. Rather, the new rules primarily affect those employees who are properly classified as executive, administrative or professional employees, and whose salary is between the old threshold and the new threshold.The new regulations require a worker to satisfy three criteria to be exempt from overtime requirements. First, they must be paid on a salary basis…
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Eleventh Amendment Prevents Suit Against Indiana For FLSA
The Seventh Circuit Court of Appeals recently held in Nunez v. Indiana Department of Child Services that Indiana may not be sued for alleged violations of the Fair Labor Standards Act (“FLSA”). Two employees of Indiana Department of Child Services (the “Department”) sued the Department for violation of FLSA alleging that the employees had not been paid for overtime they were required to work. The trial court dismissed the lawsuit, holding that Indiana was immune from suit pursuant to the Eleventh Amendment (which provides “The Judicial power of the United States shall not be construed to extend to any suit in law or equity, commenced or prosecuted against one of the United States by Citizens of another State, or by Citizens or Subjects of any Foreign State”). In short, the Eleventh Amendment prevents private suits against states in federal court. The United States Supreme Court held in 1999 that the FLSA did not abrogate immunity, but that states could consent to suits for violation of the FLSA. Alden v. Maine, 527 U.S. 706 (1999). A waiver of immunity can occur in any of 3 circumstances: When a plaintiff seeks prospective equitable relief against a state official, when Congress abrogates immunity through legislative enactment (which did not occur with FLSA per Alden), or when a state waives immunity and consents to suit. The plaintiffs claimed that Indiana had waived immunity and consented to suit. First they claimed a waiver within the Indiana Code which contains a statute of limitations for contract claims against the state. However, the Seventh…
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Indiana Political Subdivisions Must Adopt New Policies by July 1, 2016
Beginning July 1, 2016, Indiana Code § 5-11-1-27 (HEA 1264-2015) imposes a number of new requirements on all political subdivisions in Indiana that will significantly change the manner in which these entities operate. It is critical that each unit of local government takes action prior to July 1, 2016 to ensure that it will remain in compliance and receive budget approval from the Indiana Department of Local Government Finance (DLGF) later this year. Specifically, the new law requires, among other items, the following: (1) The legislative body of a political subdivision must develop and adopt a “system of internal controls” and ensure appropriate training of all personnel concerning the internal control system. (2) The fiscal officer of a political subdivision must certify annually that required and procedures are in place and that all personnel with access to funds have received training on the procedures. (3) The state board of accounts (SBOA) must issue a comment in its examination report if internal controls and procedures are not adopted or personnel have not received training. (4) The governing board of the entity must self-report uncorrected violations to the DLGF. (5) The DLGF may not approve the political subdivision’s budget or supplemental appropriations if the political subdivision has failed to adopt internal controls and procedures or train personnel. (6) Additional reporting and follow up requirements are required upon the discovery of the misappropriation of political subdivision funds. While the new law makes other changes to the operations of local units of government, the above will have the most immediate…
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