Although the federal Securities Acts do not expressly outlaw stock trading that exploits preferential access to “insider” information, the Securities and Exchange Commission (SEC) and courts have applied general language in those Acts to cover these situations. A very recent decision by the federal Court of Appeals for the Second Circuit marks the latest such expansion, in a case holding the “tippee” of insider information liable for profits he helped third parties create by trading on that information (SEC v. Contorinis).
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Tags:
Corporate Governance,
Business & Legal,
SEC,
SOX
People who are victims of a construction defect will seek as many defendants as possible to recover the costs of repairing and replacing the defects. Sometimes they will file one suit naming every possible defendant. Other times they will attempt to file separate suits against the various categories of defendants thinking it best to divide the defendants and then conquer them independently and thereby avoid excessive litigation costs.
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Corporate Governance,
Business & Legal,
Health & Safety,
Insurance,
Insurance Claims
Prosecutors rely on informants from time to time to identify wrongdoing and “make their cases.” But corporate fraud whistleblowers can face bleak futures: at best they may be ostracized from future promotions, at worst they may be terminated with no favorable recommendation. Section 806 of the Sarbanes-Oxley Act of 2002 (SOA) adds important protections for whistleblowers
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Corporate Governance,
Business & Legal,
SEC,
SOX
The US Environmental Protection Agency (EPA) administers a Worker Protection Standard (WPS) designed to protect workers exposed to agricultural pesticides. WPS is patterned after the Occupational Safety and Health Administration (OSHA's) Hazard Communication Standard (HCS) for workers in most industrial and commercial settings. EPA adopted the WPS in 1992, and just proposed its first revisions on February 20, 2014. Some of these changes incorporate revisions to HCS adopted by OSHA in 2012 (see my earlier blog), while others catch up on two decades of industrial hygiene and worker safety practices. Comments will be due 90 days after the proposal is published, with final approval to follow sometime later.
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Tags:
Business & Legal,
Employer Best Practices,
Health & Safety,
OSHA,
Employee Rights,
Environmental risks,
Environmental,
EPA,
Hazcom
The Fair Labor Standards Act (FLSA) was first enacted in 1938, to ensure “fair pay” for American workers. Sixty-five years later, it is invoked most often when minimum wage and overtime premium pay are under discussion. But it also includes a number of important secondary provisions—including one requiring employers and employees to determine which time at the workplace is considered “work” that must be compensated, and which is not.
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Corporate Governance,
Business & Legal,
Employer Best Practices,
Employee Rights
When filing insurance claims for cases involving extensive damage, consumers sometimes choose to hire a public adjuster (PA) to help them submit the claim to their insurer. The PA handles every detail of the claim, working closely with the policyholder and the insurer to obtain a prompt and reasonable settlement.
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Corporate Governance,
Business & Legal,
Insurance,
Insurance Claims
Canadian regulators are focusing their attention on facilitating development in the oil and gas industry, and they are also increasing the accountability of operators. Significantly, environmental liability insurance requirements are expected to increase for both pipeline and railway operators, reducing the extent to which governments and taxpayers cover the costs of cleanup and other damages caused by spills and accidents.
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Business & Legal,
Environmental risks,
Environmental,
Oil & Gas,
Insurance,
Insurance Claims,
Transportation,
Canadian
An investigation by the U.S. Occupational Safety and Health Administration (OSHA) found that New Prime Inc. retaliated against a truck driver by blacklisting him in the commercial transport industry after he sought medical attention for a work-related back injury. When he was given doctor’s permission to return to work he opted to seek employment with other motor carriers only to discover his attempts to do so had been sabotaged by his previous employer, New Prime Inc. OSHA has ordered the motor carrier company to pay the former employee $100,994.24 in back wages and damages and take other corrective action.
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Tags:
Business & Legal,
Employer Best Practices,
Health & Safety,
OSHA,
Employee Rights,
Hazcom
For the second year running, SEC activities during 2013 were dominated by its efforts to issue rules required by two major pieces of recent legislation:
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Tags:
Corporate Governance,
Business & Legal,
SEC,
Employer Best Practices,
Accounting & Tax,
Accountants,
JOBS Act
A recent change to rules around Proposition 65 lawsuits will make it easier for some businesses to avoid being prosecuted for infringement of the Safe Drinking Water and Toxic Enforcement Act. The alteration covers cases in which individuals allege inadequate warning signage regarding the release of substances known to cause cancer or birth defects or other reproductive harm. Such suits have proliferated under the legislation, embroiling business owners in costly legal battles.
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Tags:
Corporate Governance,
Business & Legal,
Health & Safety,
Environmental risks,
Environmental,
Hazcom
