News + Insights

Trick or Treat Contracts: Avoiding AI Vendor Horror Stories

Written By Angela P. Doughty, CIPP/US, AIGP

Ed. Note: This is the fifth article in our series, “Conjuring Competitive Advantage: An AI Spellbook for Leaders,” focused on unlocking AI for business with practical steps and insights. Read Part 1,&…

The Ethics Cauldron: Brewing Responsible AI Without Getting Burned

Written By Angela P. Doughty, CIPP/US, AIGP

Ed. Note: This is the fourth article in our series, “Conjuring Competitive Advantage: An AI Spellbook for Leaders,” focused on unlocking AI for business with practical steps and insights. Read Part 1,…

From Pumpkin to Pie: Transforming Raw AI Potential into Results

Written By Angela P. Doughty, CIPP/US, AIGP

Ed. Note: This is the third article in our series, “Conjuring Competitive Advantage: An AI Spellbook for Leaders,” focused on unlocking AI for business with practical steps and insights. Read Par…

Building AI Guardrails: Keeping the Ghosts of Bad Governance at Bay

Written By Angela P. Doughty, CIPP/US, AIGP

Ed. Note: This is the second article in our series, “Conjuring Competitive Advantage: An AI Spellbook for Leaders,” focused on unlocking AI for business with practical steps and insights. Read Part 1 here, Part…

Exorcising AI Myths: What's Really Haunting Your Business

Written By Angela P. Doughty, CIPP/US, AIGP

Ed. Note: This is the first article in our series, “Conjuring Competitive Advantage: An AI Spellbook for Leaders,” focused on unlocking AI for business with practical steps and insights. Read Part 2, …

Mind the Gap: How Insurance Shortfalls Can Put Your Business at Risk

Written By Olivia G. Lewis and Emily G. Massey

Many businesses assume that once insurance is in place, they are fully protected. In reality, policies often contain gaps where coverage is limited or excluded altogether. Those blind spots can translate into costly expos…

The Voice Behind the Brand: Who Owns What You Hear?

Written By Erica B. E. Rogers

One of the best ways to pass the time driving to the mountains or beaches is a good podcast. Podcasting has created commercial and creative opportunities for individuals to capitalize on their distinctive voices. From jou…

Crossing the Bridge: Copyright Trolls

Written By Angela P. Doughty, CIPP/US, AIGP

In today's digital landscape, businesses of all sizes face an increasingly common threat: demand letters from firms specializing in mass copyright enforcement. Companies have built business models around identifying and p…

Data Security and National Security: Are You the Weak Link?

Written By James W. Norment and Mayukh Sircar, CIPP/US

Why Federal Law Enforcement Believes Foreign Adversaries Can Harm the U.S. by Exploiting Your Tech and Data International cybercrime is not new.  As a business owner in today's interconnected economy, you know all ab…

Stay Ready So You Don't Have to Get Ready: Initial Tips to Navigating OSHA Inspections

Written By Justin T. Hill

As maximum Occupational Safety and Health Administration ("OSHA") penalties continue to increase on an annual basis, the importance of being prepared for an OSHA inspection should be a growing priority for businesses. …

Budget Stalemates, Helene Relief and Shrimp Trawling: The Themes that Shaped the 2025 Long Session of the NC General Assembly

Written By Whitney Campbell Christensen and Marley H. Peterson

The North Carolina General Assembly entered the 2025 Long Session in January, motivated to enact additional Hurricane Helene relief and a new state budget. Lawmakers successfully enacted two substantial Helene relief pack…

What to Do When Someone Steals Your Trade Secrets: A North Carolina Business Owner's Action Plan

Written By Isabelle M. Chammas, Angela P. Doughty, CIPP/US, AIGP, and Gavin B. Parsons

Your worst nightmare has become a reality: A former employee has taken your confidential information to a competitor. Maybe you've noticed unusual patterns in lost business, or perhaps another employee tipped you off abou…

Federal Appellate Court Enjoins NLRB Proceedings, Concluding the NLRB’s Structure Is Likely Unconstitutional

Written By Chris S. Edwards and Avery J. Locklear

In Space Exploration Technology Corp. v. NLRB, No. 24-50627 (5th Cir. 2025) (“SpaceX”), the U.S. Court of Appeals for the Fifth Circuit affirmed a district court’s preliminary injunctions that halted seve…

Why Your Employees Are Your Biggest Trade Secret Risk (And What NC Business Owners Can Do About It)

Written By Will Oden, Gavin B. Parsons, and Hayley R. Wells

In today's digital workplace, protecting your company's trade secrets has never been more challenging. While external cyber threats make headlines, the reality is that your biggest risk often comes from within. For North …

Your Most Valuable Business Asset Might Not Be What You Think: Trade Secrets for NC Business Owners

Written By Gavin B. Parsons, Joseph A. Schouten, and Mark S. Wigley

In today's digital age, your company's most valuable assets might not be the equipment on your factory floor or the inventory in your warehouse – they might be the confidential information stored on your servers.&nbs…

Hurricane Preparedness: Essential Legal Topics for North Carolina Business Owners

Written By Emily G. Massey and Michael J. Parrish

Hurricane season presents significant legal and operational challenges for North Carolina businesses. Whether it's a hurricane hammering your business, floodwaters threatening your property, hail damaging crops, or ice st…

One Big Beautiful Bill: How are North Carolina Tax-Exempt Organizations Affected?

Written By David P. Heeren and Steven B. Long

The One Big Beautiful Bill Act ("Act") has passed Congress and has been signed into law by President Trump. There are a host of wide-ranging changes coming to the Internal Revenue Code ("Code") under the Act, including ch…

Employer Wellness Programs – Legal Landscape of Staying Compliant

Written By Avery J. Locklear

Employer-sponsored wellness programs are designed to promote healthier lifestyles through health screenings, fitness incentives, and/or lifestyle coaching. In recent years, such programs have become increasingly popular, …

Risky Business: What Lawyers Who Fight Insurance Companies Want You to Know About Your Business Insurance Portfolio

Written By Allen N. Trask, III and Amy H. Wooten

We are attorneys and don’t sell or broker insurance. Yet, we’re writing to alert business owners of a direct threat posed by a “set it and forget it” approach to insurance coverage. Why? Because w…

Tick Tock, Tick Tock: Employers Face Final EEO-1 Component Filing Deadline

Written By X. Lightfoot

The clock is ticking for covered employers to submit EEO-1 Component 1 reports. The U.S. Equal Employment Opportunity Commission (EEOC) opened the 2024 EEO-1 Component 1 data collection on May 20, 2025. The deadline for c…

Cyber Liability Insurance: Is It Worth It?

Written By Mayukh Sircar, CIPP/US and Amy H. Wooten

Cybersecurity incidents and cybercrime are on the rise in every sector of industry and against businesses and organizations of all sizes. In connection with the increase in the number of incidents and attacks, the scope a…

Preventing Trade Secret Theft: Proactive Strategies for In-House Counsel

Written By Gavin B. Parsons, Mayukh Sircar, CIPP/US, and Devon D. Williams

Ed. Note: This is the last in a series of articles taken from Gavin Parsons' CLE presentation for the North Carolina Bar Association's Antitrust and Complex Business Dispute CLE Program presented on Thursday, January 30, 2…

Maximizing Recovery in Trade Secret Cases: A Guide to Damages and Remedies

Written By Isabelle M. Chammas, Michael J. Parrish, and Gavin B. Parsons

Ed. Note: This is the fourth in a series of articles taken from Gavin Parsons' CLE presentation for the North Carolina Bar Association's Antitrust and Complex Business Dispute CLE Program presented on Thursday, January 30,…

Navigating Wetlands in Coastal North Carolina Real Estate Development

Written By Amy P. Wang

The landscape of coastal real estate development in North Carolina has undergone a seismic shift following major regulatory changes over the last few years. For developers eyeing coastal properties, understanding the rece…

Litigating Trade Secret Cases: A Strategic Guide for In-House Counsel

Written By Edward J. "Trip" Coyne, III, E. Bradley Evans, and Gavin B. Parsons

Ed. Note: This is the third in a series of articles taken from Gavin Parsons' CLE presentation for the North Carolina Bar Association's Antitrust and Complex Business Dispute CLE Program presented on Thursday, January 30, …

Understanding Trade Secret Misappropriation: A Guide for In-House Counsel

Written By Alexander C. Dale, Gavin B. Parsons, and Mark S. Wigley

Ed. Note: This is the second in a series of articles taken from Gavin Parsons' CLE presentation for the North Carolina Bar Association's Antitrust and Complex Business Dispute CLE Program presented on Thursday, January 30,…

Trade Secret Protection in 2025: What In-House Counsel Need to Know

Written By Gavin B. Parsons, Joseph A. Schouten, and Ryan K. Simmons

Ed. Note: This is the first in a series of articles taken from Gavin Parsons' CLE presentation for the North Carolina Bar Association's Antitrust and Complex Business Dispute CLE Program presented on Thursday, January 30, …

Basic but Important Considerations for Corporations—Both For-Profit and Non-Profit: Understanding Director and Officer Liability Insurance

Written By Gavin B. Parsons and Amy H. Wooten

Insurance commonly referred to in the insurance industry as "directors and officers" or "D&O" insurance is insurance that is payable to directors and officers of a corporation, or to the corporation itself, as indemnif…

Corporate Transparency Act Shakeup: Domestic Companies off the Hook, Foreign Entities Still Reporting

Written By Adam M. Beaudoin and Matthew A. Jones

In a significant change to the Corporate Transparency Act ("CTA"), the Financial Crimes Enforcement Network ("FinCEN") has announced that U.S.-based companies are no longer required to report beneficial ownership informati…

New Workplace Policies Employers Should Consider

Written By Genesis E. Torres

As the workplace landscape continues to evolve, employers must stay ahead of emerging challenges by implementing thoughtful and proactive policies.  In 2025, three key areas stand out as critical for fostering a posi…

Corporate Transparency Act Enforcement Suspended Once Again!

Written By Adam M. Beaudoin and Matthew A. Jones

On March 2, 2025, the U.S. Treasury Department announced it would not enforce any penalties or fines associated with the Beneficial Ownership Information ("BOI") reporting rule, a key requirement under the Corporate Transp…

Data Privacy Insights Part 2: The Most Common Types of Data Breaches Businesses Face

Written By Angela P. Doughty, CIPP/US, AIGP

As part of Data Privacy Awareness Week, Ward and Smith is spotlighting the most common types of data breaches that businesses encounter. In Part 1, we explored the industries most vulnerable to cyberattacks, highlighting …

Data Privacy Insights Part 1: North Carolina Ranks High in Cybercrime Complaints

Written By Angela P. Doughty, CIPP/US, AIGP

With Data Privacy Awareness Week underway, there's a renewed focus on the importance of securing data. The FBI's Internet Crime Complaint Center (IC3) report sheds light on the growing threat of cybercrime, both nationall…

Key Employment Law Issues Employers Need to Watch in 2025

Written By S. McKinley Gray, III

As the United States enters a new administration, changes in workplace regulations and enforcement priorities are on the horizon. For employers, this means staying prepared for potential shifts in federal policies, height…

Essential Reading for Employers: Labor and Employment Highlights of 2024

As 2024 draws to a close, we’re revisiting some of the standout articles written by our labor and employment attorneys this year. These pieces provided valuable insights and practical guidance for employers navigati…

Corporate Transparency Act Update: Filing Requirements Reinstated

Written By Adam M. Beaudoin and Matthew A. Jones

Editor’s Note: This article has been revised to include the latest updates regarding the Corporate Transparency Act (CTA). On December 26, 2024, the Fifth Circuit Court of Appeals' merits panel overturned its previou…

Part 2 in Heatwaves of Drama: A Case Study in "What Not To Do" for Southeastern HR Professionals

Written By Justin T. Hill and Avery J. Locklear

Ed. Note: Read Part 1 of Heatwaves of Drama Here Ward and Smith Labor and Employment attorneys presented an interactive case study during their annual Employment Law Symposium to provide insights on how the leaders of a h…

Part 1 in Heatwaves of Drama: A Case Study in "What Not To Do" for Southeastern HR Professionals

Written By Avery J. Locklear and Grant B. Osborne

In the first installment of our two-part series covering Ward and Smith’s 2024 Employment Law Symposium, three Ward and Smith attorneys illuminated a variety of Human Resources issues by placing a spotlight on a fict…

Securing Your Legacy: How Marital Estate Rights and Divorce Impact Your Estate Plan

Written By William S. Durr, Melody J. King, and Zachary F. Lamb

Once married, spouses acquire a number of rights in and to the estate of the other spouse.  Marital estate rights create the potential for catastrophic consequences should a spouse pass away at a time when the partie…

Death and Taxes for North Carolina Business Owners

Written By Jennifer V. Boyer and Matthew W. Thompson

Changing tax laws, political uncertainty, and the whole family at Thanksgiving can take us on a roller coaster ride of ups and downs.  But savvy business owners (and their estate planning counsel) know that – in…

Turning Back Overtime – Texas Judge Strikes Down Salary Threshold Increase

Written By S. McKinley Gray, III and Avery J. Locklear

A federal judge in Texas struck down the U.S. Department of Labor's ("DOL") rule that drastically increased the minimum salary thresholds for bona fide executive, administrative, and professional employees (the "EAP Exempt…

Marriage, Divorce & the Family Business: Protecting the Family Business from Divorce

Written By William S. Durr and Melody J. King

One's ownership in a closely held business (often a family business) may be affected by a separation or divorce. In many situations, the business will be joined as a party in an equitable distribution lawsuit. "Equitable …

Fiery Debates: Current Challenges in the Modern Workplace

Written By Will Oden and Hayley R. Wells

Five Ward and Smith attorneys provided guidance on a number of legal issues with implications for the workplace, including politics, budgets and elections, Diversity, Equity and Inclusion (DEI), changes to the minimum sala…

Avoid the Hot Seat: An Interview with the NLRB

Written By Justin T. Hill and Devon D. Williams

At Ward and Smith’s recent annual Employment Law Symposium, two attorneys from the firm’s labor and employment group, Grant Osborne and Genesis Torres, interviewed Shannon Meares of the National Labor Relations…

Legal Showdown Continues: FTC Appeals Court Ruling Against Non-Compete Ban

Written By S. McKinley Gray, III and Genesis E. Torres

In late August, the Federal Trade Commission ("FTC") indicated that it likely would appeal the Texas District Court's ruling, which blocked the FTC's Non-Compete Rule nationwide. True to its word, the FTC has appealed the…

Navigating the Aftermath of Hurricane Helene in Western North Carolina

Written By Michael J. Parrish and Allen N. Trask, III

We have compiled a series of past articles designed to help you navigate the aftermath of Hurricane Helene more effectively. From understanding insurance claims to safeguarding your community, we offer these resources to …

Agritourism in North Carolina: Balancing Revenue Growth with Legal Compliance

Written By Allen N. Trask, III and Hayley R. Wells

Agritourism is now a vital part of the agricultural economy in North Carolina. More and more farmers are turning to agritourism as a way to diversify and balance their revenue streams. This trend is largely a response to …

A Short Refresher On Discrete Legal Issues During Natural Disasters

Written By Will Oden and Genesis E. Torres

As they say, an ounce of prevention is worth a pound of cure.  In that spirit, what follows are certain pay and leave issues employers may confront during times of natural disaster – all of which are better to …

Think Twice — Avoiding Waiver of the Attorney-Client Privilege Through Issuance of a Press Release

Written By Isabelle M. Chammas and Joseph A. Schouten

Imagine that your company has just been sued by a competitor for patent infringement, deceptive advertising, unfair competition, or any number of other business torts. The news of the lawsuit has been reported in various …

What! My Flood Policy Doesn’t Cover Flood Damage?! This, and Other Pitfalls of NFIP Flood Insurance Policies

Written By Michael J. Parrish and Amy H. Wooten

Congress created the National Flood Insurance Program (the "NFIP") to help make flood insurance more affordable in areas prone to flood damage.  FEMA oversees the program and writes the terms of the Standard Flood In…

A Win for Employers: Judge Blocks FTC’s Non-Compete Ban Nationwide

Written By Genesis E. Torres and Devon D. Williams

On Tuesday, August 20, 2024, Judge Ada E. Brown, a United States District Judge for the Northern District of Texas, delivered a nationwide victory to businesses and employers across the country when she granted Ryan LLC (a…

What Are My Benefits? Decoding a Long-Term Disability Insurance Policy in North Carolina

Written By Emily G. Massey

To be insured against a loss or some other event, we pay premiums to an insurance company. If a loss or triggering event actually occurs, we expect our insurance company to compensate us according to our insurance policy.…

Commercial Real Estate Sellers: Hire Your Own Attorney!

Written By J. Drake Brinkley

Does a seller of commercial real estate really need an attorney?  I get asked this question often, and the resounding answer is "yes!" Often, sellers of commercial real estate assume they can rely on the buyer's atto…

Serving Up Compliance: How the Hospitality Industry Can Remain Compliant with Changing Laws and Regulations

Written By Avery J. Locklear

The hospitality industry is a fast-paced sector that juggles a myriad of issues from high worker turnover to shortages of workers.  In addition to these inherent challenges, the industry must also comply with a multi…

Breaking Up is Hard to Do: Practical Advice for Exiting an LLC

Written By Lee C. Hodge and Olivia G. Lewis

Cutting ties with business partners is a delicate and often complex process. Whether driven by irreconcilable differences, strategic shifts, or personal reasons, disengaging from business partners requires careful conside…

The Toils of Heirs Property and Agriculture in North Carolina

Written By Jane Francis Nowell and Peter B. von Stein

The farmland of North Carolina cradles not only agricultural abundance but also a significant legal challenge: heirs property (also commonly known as "heirs' property" or "heir property"). This designation arises when lan…

Closely Held Businesses: You Make the Plan, or a Plan Will Be Made For You

Written By Merrill G. Jones, II and Zachary F. Lamb

Who is the Better Planner for Your Affairs: You or the State? Planning for the succession of a closely held business is a lot like making a will. An individual has the opportunity to make a will that directs how the indiv…

Having the Talk: How Employers Should Prepare for Difficult Disciplinary Situations

Written By S. McKinley Gray, III and Justin T. Hill

Every employee hired is expected to be a team player and integrate into the employer's culture to cultivate success. However, nearly all employers find out at some point that new hires do not always work out as planned.&n…

FTC: Three Enforcement Actions and a Ruling

Written By Angela P. Doughty, CIPP/US, AIGP and Mayukh Sircar, CIPP/US

In today's digital landscape, the exchange of personal information has become ubiquitous, often without consumers fully comprehending the extent of its implications. The recent actions undertaken by the Federal Trade Comm…

Decoding Success: A Discussion of the In-House Experience

In a question and answer session moderated by Ken Gray, leader of Ward and Smith’s Labor and Employment Practice Group, two in-house attorneys from prominent North Carolina businesses shared real-world advice on a va…

FTC Charges Forward with Sweeping Non-Compete Ban

Written By Genesis E. Torres, Hayley R. Wells, and Devon D. Williams

On April 23, 2024, the Federal Trade Commission ("FTC") narrowly voted (3-2) to issue a final rule banning almost all non-compete agreements nationwide.  The rule is set to take effect 120 days after it is published …

Raising the Rate: DOL Expands Overtime Protections to Millions of Workers

Written By S. McKinley Gray, III and Avery J. Locklear

On April 23, 2024, the U.S. Department of Labor ("DOL") announced a final rule that will increase the Fair Labor Standards Act's ("FLSA") minimum salary threshold for overtime exemptions (the "2024 Rule"). Starting July 1…

Be Sure to Insure: 10 Types of Business Insurance Coverage to Consider

Written By Adam M. Beaudoin and Olivia G. Lewis

When it comes to protecting your business, having the right insurance coverage is crucial, but how do you know what types of coverage you need? The first step is understanding some of the key different types of insurance …

"You Can't Say That!" Or Can You? Words of Protest on Company-Provided Apparel Under the National Labor Relations Act

Written By Grant B. Osborne and Genesis E. Torres

Few governmental agencies can require private employers to permit their employees to say things on the job, in the presence of customers and co-workers, that employers don’t like. But the National Labor Relations Boa…

How Should Two or More People Own Property? Does It Matter?

Written By Justin M. Lewis

When two or more people purchase property, they rarely consider how they should take title to the property, and this could be a big mistake.  When two or more people (whether spouses, romantic partners, friends, or b…

Protecting Your Family Business for When Marriages End

Written By Merrill G. Jones, II and Zachary F. Lamb

Love may be eternal, but all relationships on this earth are guaranteed to end at some point. In fact, we know with certainty that every marriage is going to end in one of two ways, either by death or divorce.  For b…

Deciphered Insights: Labor and Employment Legal Considerations

Written By Devon D. Williams

Five Ward and Smith attorneys provided updates related to employment law, including non-compete agreements, unionization efforts, pregnancy laws, and overtime rules for exempt employees, during the firm’s recent In-H…

The #AD Vantage Point: Navigating the FTC Endorsement Guides, Part III

Written By Lilian L. Faulconer and Erica B. E. Rogers

As a reminder, the FTC Endorsement Guides describe how the FTC evaluates whether certain advertisements are false and misleading under Section 5 of the FTC Act.  Businesses should care about the FTC Endorsement Guide…

The Wait Is Over! The USDOL's 2024 New Rule on Independent Contractor Classification Under the FLSA

Written By X. Lightfoot

On January 10, 2024, the U.S. Department of Labor ("DOL") issued a final rule to provide guidance to employers in determining whether a worker should be classified as an employee or an independent contractor under the Fair…

FAQ: A Guide to Why and When You May Need an Insurance Counseling and Recovery Attorney to Review Your Insurance Policy

Written By Allen N. Trask, III and Amy H. Wooten

Insurance policies hold immense significance for business owners and professionals, as they can be a safety net for life's unexpected curveballs and can also assist business owners and professionals with proactive planning…

New Year, (Potentially) New Rules?

Written By Emily G. Massey and Genesis E. Torres

Sometimes, the only constant is change.  This New Year is no different.   In 2023, we saw several developments in labor and employment law, including federal and state court decisions, regulations, and administr…

Top 10 Articles for Businesses in 2023

Written By Merrill G. Jones, II

As we eagerly anticipate the New Year, it's time to reflect on the most impactful articles that captured the attention of businesses in 2023. This year, Ward and Smith attorneys provided invaluable insights into a wide ra…

Ward and Smith: Our Highlights of 2023

Written By Laura V. Hudson

As we reflect on the past year, it's evident that 2023 has been remarkable for Ward and Smith. We've welcomed new team members, launched new practice groups, and been recognized in some pretty rare air, if we do say so ou…

Top 10 Articles for Employers in 2023

Written By James A. Wilson

Our Labor and Employment Group works hard to ensure our clients hear all the critical employment law news, trends, and insights. They know our clients want actionable, practical information and deliver it regularly.  …

Top 10 Most Popular Articles of 2023

Written By Joanne H. Badr and Joseph A. Schouten

As we approach the New Year, it's time to reflect on the articles that have most resonated with readers throughout 2023. Ward and Smith attorneys have provided valuable insights into various legal considerations. Here are…

The NLRB on What Employers Get Wrong

Written By Emily G. Massey and Genesis E. Torres

At Ward and Smith’s recent annual Employment Law Symposium, two attorneys from the firm’s labor and employment group, Grant Osborne and X. Lightfoot, interviewed Shannon Meares, a regional attorney with the Nat…

An Interview with EEOC Director Tom Colclough

Written By S. McKinley Gray, III and X. Lightfoot

Attendees of Ward and Smith’s recent annual Employment Law Symposium received insights on key employment law developments in an interactive discussion between Emily Massey, a labor and employment attorney, and Tom Co…

Did We Accidentally Create a Franchise?

Written By Olivia G. Lewis and Erica B. E. Rogers

Venturing into the world of licensing may allow business owners to dip their toes into brand expansion without plunging into the complexities and legal requirements of franchising.   License agreements appeal to fast…

Proactive Policies: Navigating Ethical Challenges and Legal Compliance for Employer

Written By Avery J. Locklear

For employers, ethical issues can shake up every aspect of an organization.  Scandals can be detrimental to an organization's success and its public perception.  Particularly, in recent years, misconduct tied to…

Off the Bench: Understanding the Name, Image, and Likeness (NIL) Arena

Written By Whitney Campbell Christensen and William S. Durr

In an exclusive webinar produced by Ward and Smith, two attorneys coached participants through the changing landscape of Name, Image, and Likeness (NIL). In addition to reviewing new guidance recently published by the NCA…

Navigating the Latest Employment Law Developments: What Employers Need to Know

Written By Will Oden and Grant B. Osborne

Five Ward and Smith attorneys offered timely updates on religious accommodations, professional licensing, pregnancy laws, remote work, and independent contractor rules during the firm’s recent annual Employment Law S…

The Corporate Transparency Act: Your Questions, Answered

Written By Adam M. Beaudoin and Matthew A. Jones

Confused by what you've read about the Corporate Transparency Act? You're not alone. Read on to learn what it is, who it applies to, what it will do, and the requirements for compliance. What is the Corporate Transparenc…

Plaintiffs Attorneys on What Employers Should Know Today

Written By X. Lightfoot and Avery J. Locklear

In a discussion led by employment law attorney Will Oden, two experienced North Carolina employment attorneys who represent employees shared insights on their respective practices representing employees, and best practices…

Purchases and Sales of an Incorporated Business: Asset Acquisitions and Stock Sales

Written By John D. Perry

There are two primary ways to structure the taxable purchase and sale of an incorporated business.  The parties may engage in an asset acquisition, in which the buyer purchases assets directly from the target corpora…

Healthy Financial Planning: Factoring in the Rising Costs of Insurance Premiums

Written By Isabelle M. Chammas and Eric J. Remington

As part of their financial planning and risk-management practices, business owners should regularly take stock of their insurance to ensure that they have the right types and amounts of coverage. In doing so, business own…

How Fast Can I Franchise? Hold On a Minute

Written By Arthur J. DeBaugh and Olivia G. Lewis

Are you a small business owner who has considered franchising your business? Franchising can be a great way to expand your company's physical presence, grow your revenue, and increase your brand recognition.  But be…

The EEOC Issues a Proposed Rule Regarding the Pregnant Workers' Fairness Act

Written By S. McKinley Gray, III and Avery J. Locklear

On August 11, 2023, the U.S. Equal Employment Opportunity Commission ("EEOC") issued a Notice of Proposed Rulemaking ("NPRM") to implement the Pregnant Workers Fairness Act ("PWFA").  PWFA went into effect on June 27,…

The Buck Stops with You: Artificial Intelligence, Employment, & Title VII of the Civil Rights Act

Written By Grant B. Osborne and Mayukh Sircar, CIPP/US

"I am putting myself to the fullest possible use, which is all I think that any conscious entity can ever hope to do." – HAL 9000, 2001: A Space Odyssey The Rise of Artificial Intelligence in the Workplace Computer…

NLRB Turning Up the Heat Over Employee Handbooks

Written By S. McKinley Gray, III and Avery J. Locklear

In the midst of one of the hottest summers on record, the National Labor Relations Board ("NLRB" or the "Board") is putting the heat on employers.  In a recent decision issued on August 2, 2023, the NLRB has assumed …

Just in the Nick of Time: Form I-9 Remote Inspections to Continue

Written By Justin T. Hill

On July 21, 2023, the Department of Homeland Security ("DHS") announced a new final rule establishing a remote option for employers to inspect employee documents in compliance with I-9 employment verification requirements …

Don't Set It and Forget It: Taking Inventory of Your Insurance Should Be a Recurring Business Practice

Written By Olivia G. Lewis and Amy H. Wooten

Benjamin Franklin penned the oft-quoted phrase, "In this world, nothing is certain except death and taxes."  It is true that death and taxes are certainties of this life, but so too is the fact that neither the risks…

SCOTUS Raises Bar for Employers Confronted by Employees' Requests for Religious Accommodation

Written By Avery J. Locklear and Grant B. Osborne

The U.S. Supreme Court, in a unanimous opinion issued yesterday in Groff vs. Dejoy, changed the standard that most employers must consider and apply when deciding how to deal with – and when they may lawfully reject …

Trail Magic: Social Media and Employment Agreement Live Action Role-Playing

Written By Whitney Campbell Christensen and Justin T. Hill

Three Ward and Smith attorneys shared insights on the legal implications businesses should consider when entering into a promotional contract with a social media influencer. During the discussion, the attorneys covered to…

Commentary on Franchising Myths from the FTC

Written By Arthur J. DeBaugh and Olivia G. Lewis

Drive down almost any busy street, and you'll see numerous examples of well-known franchises, from McDonald's to Ace Hardware. You may have considered opening a franchise and wondered about the potential rewards and risks…

Has Your Business Attorney Met Your Estate Planning Attorney?

Written By Richard J. Crow and Zachary F. Lamb

Every business should have documentation that confirms its ownership, management, and governance structures. If the business has more than one owner, the documentation should address transfers of ownership interests and c…

Stronger Together: Labor and Employment Update

Written By Devon D. Williams

In a seminar focused on recent updates to labor and employment laws, Will Oden, of Ward and Smith’s labor and employment practice group, provided an overview of employee and independent contractor classification guid…

Confidentiality and Non-Disparagement Agreements with Non-Supervisory Employees: New Limitations from the NLRB

Written By S. McKinley Gray, III and Grant B. Osborne

The National Labor Relations Board ("NLRB") has recently declared a limit on parties' contractual rights that many private employers (and, for that matter many, of their employees) may find distressing. Employers and empl…

On the Grid: Data and Privacy Protection Act

Written By Mayukh Sircar, CIPP/US

In a presentation by Ward and Smith attorney Angela Doughty, In-House Counsel Seminar attendees received an overview on a variety of topics relevant to privacy and data security, including current state regulations, the po…

Whose Business is it Anyway? A Business Succession Case Study

Written By Jane Francis Nowell

Three Ward and Smith attorneys provided an overview of succession planning, estate planning, divorce, and the separation of assets. The seminar — A Business Succession Case Study — used an interactive presenta…

What Say Ye, FTC: The FTC Deems Non-Competes Unfair Competition

Written By Justin T. Hill and Avery J. Locklear

On January 5, 2023, the Federal Trade Commission ("FTC") proposed a rule that would ban non-compete agreements between employers and workers on the basis that non-compete clauses are unfair methods of competition.  W…

Deed Warranties and Why They Should Matter To You

Written By Dana M. Lingenfelser

You're negotiating to buy a piece of real estate and your attorney tells you that the seller is proposing to give you a "Special Warranty Deed" in exchange for all of the money you will pay.  Special Warranty Deed - …

“I Always Feel Like, Somebody’s Watching Me”: How the NLRB General Counsel Proposes to Curtail Employer Surveillance

Written By S. McKinley Gray, III and Avery J. Locklear

On October 31, 2022, National Labor Relations Board ("NLRB") General Counsel, Jennifer A. Abruzzo, published a memorandum outlining a new framework she intends to use to advocate for restricting overreaching employer surve…

Brisk Briefings: Quick Hitter Legal Updates

Written By William S. Durr and Alexandra E. Ferri

At their recent Construction Conversations and Closely Held Business Briefing event, several Ward and Smith attorneys provided an overview of privacy and data security, rules associated with name, image and likeness use fo…

Does Your Organization Use Non-Compete, Non-Solicitation, and Nondisclosure Provisions? Employer Best Practices for Restrictive Covenants in NC

Written By X. Lightfoot and Emily G. Massey

It is no hidden secret that many employers use various restrictive covenants to protect their trade secrets, confidential information, goodwill, and customer relationships.  For example, employers often use non-compe…

Time is of the Essence: A Conversation with the EEOC

Written By Devon D. Williams

Participants in Ward and Smith's Employment Law Symposium received updates on topics important to the EEOC, from jurisdictional issues and governmental agency partnerships to documentation procedures, pronoun use, and reta…

Labor Unions and "Protected Concerted Activity:" What Private Employers – Unionized or NOT – Need to Know in 2022

Written By Grant B. Osborne

Employers, it seems, can't catch a break these days. They build businesses. They take risks. They face increasing supply costs, supply-chain problems, interest rates, and staff-shortages. Yet they create jobs and provide …

So You Want to Start a Business? 10 Legal Steps to Create a Successful Business Entity

Written By Lee C. Hodge and Olivia G. Lewis

Once you have a business idea, creating a business entity may seem daunting from a legal standpoint. However, setting up your business with thoughtful consideration and guidance will pay off over time, as you can structur…

Update to EEOC's Position on Mandatory COVID testing

Written By Will Oden

On July 12, 2022, the Equal Employment Opportunity Commission ("EEOC") updated its guidance regarding COVID-19 workplace viral screening testing.  The EEOC's original position on COVID-19 workplace viral screening te…

No Closure on Pay Disclosure: How Pay Transparency May Affect Your Company

Written By Justin T. Hill

Over the past two years, pay transparency laws have quickly spread and become a topic of state legislatures nationwide.  As pay transparency laws continue to proliferate across the United States, employers will need …

Subchapter V Debt Ceiling Restored to $7.5 Million

Written By Lance P. Martin

In a welcome feat of bipartisanship, Congress passed a bill to restore the Subchapter V debt limit to $7.5 million, and President Biden signed it into law on June 21.  Subchapter V of Chapter 11 of the Bankruptcy Cod…

Not So Fast: Limits of "Settlement Negotiation" Protections

Written By Isabelle M. Chammas and Joseph A. Schouten

Understanding How and Why "Settlement Negotiations" May Be Used Against You To promote honest and open discussions in resolving disputes, courts have adopted rules to specifically safeguard the information disclosed and e…

Data Privacy Part 1: The New Currency Businesses Should Protect and Here's How

Written By Angela P. Doughty, CIPP/US, AIGP

This is Part 1 of 2 in a series. Data is king in today's digital economy. The estimated net worth of this global data market is forecast to hit nearly $235 billion by 2026, meaning collecting and sharing personal informat…

Dust Off Your Template Employment Agreements

Written By Emily G. Massey

Ed. Note: This article was updated to reflect President Joe Biden's recent signing of the Ending Forced Arbitration of Sexual Assault and Sexual Harassment Act of 2021 into law on March 3, 2022. Mandatory Arbitration and …

Getting Rid of the Misnomer: The Risks Behind the Term "1099 Employee"

Written By Justin T. Hill

While many employers use the term "1099 employee" as a means to distinguish independent contractors from the company's W-2 employees, no such term exists from a legal standpoint.  In fact, in addition to being inacc…

Déjà Vu: Sixth Circuit Court of Appeals Dissolves Stay of OSHA COVID-19 "Emergency Temporary Standard" for Large Employers

Written By Chris S. Edwards, S. McKinley Gray, III, and Grant B. Osborne

Robert F. Kennedy, Jr. observed that democracy is messy and hard. The serial legal battle over COVID-19 and what the federal government can and should make employers do about it illustrates the point. Late on Friday, Dec…

Once More, with Feeling: Fifth Circuit Re-Affirms Stay of ETS and Then Loses Jurisdiction of the Case

Written By Chris S. Edwards, S. McKinley Gray, III, and Grant B. Osborne

Litigation usually proceeds at a maddeningly glacial pace. Not this time. The Past The Occupational Safety and Health Administration's ("OSHA") well-publicized and controversial Emergency Temporary Standard ("ETS") was i…

U.S. Court of Appeals Puts Brakes on OSHA COVID-19 "Emergency Temporary Standard"

Written By S. McKinley Gray, III and Grant B. Osborne

It's a case of "Get Ready, Get Set … Wait!" On Saturday, November 6, the U.S. Court of Appeals for the Fifth Circuit, in response to a lawsuit filed last Friday by various plaintiffs including the Attorney General …

Knock Your Socks Off: A Conversation with EEOC Leaders

Written By Hayley R. Wells

This is the first in a series of articles summarizing key topics discussed at Ward and Smith's Fall Employment Law Update Webinar. Mandatory vaccinations, harassment and retaliation charges, and guidance and enforcement p…

Busy as a Bee: LARPing a day in the life of HR

Written By Hayley R. Wells

Three Ward and Smith labor and employment attorneys walked through a series of challenging, real-world scenarios that many employers are facing. The webinar, part of Ward and Smith’s 2021 Virtual Employment Law Symp…

Show Me The Money! Wage and Hour Requirements Applied to COVID-19 Testing Time

Written By Will Oden

Recently, several of our clients have asked us whether they are required to compensate their employees for time spent going for the COVID-19 test. Fortunately, the United States Department of Labor ("USDOL") has issued so…

Biden Administration To Require COVID-19 Vaccinations for Large Employers

Written By Will Oden and Hayley R. Wells

President Biden announced at a press conference at 5:00 p.m. on September 9, 2021, a new, six-pronged national strategy to combat COVID-19 while keeping businesses and schools open.  A link to the Plan can be found h…

"Emergency Use" No More: FDA Approves First COVID-19 Vaccine

Written By Grant B. Osborne

There was a time in which employers and employees weren’t vexed with viruses, vaccines, and their respective duties and rights. That seems like a long time ago, but it wasn’t. The World Health Organization dec…

Back Into the Woods: NC Order Mandates Measures for State Employees and Encourages Businesses to Take Similar Actions

Written By X. Lightfoot

On July 29, 2021, Governor Roy Cooper issued Executive Order No. 224 (the "Order"), which implements additional safety measures for workers at Cabinet agencies in the state and strongly encourages private businesses and or…

Company Names vs. Trade Names: Understanding the Legal Difference

Written By Norman J. Leonard

So you did all the hard work that was necessary to get a new business off the ground.  And you formed a new business entity with the Secretary of State to conduct that business, such as a corporation or limited l…

"The JAB, or Your JOB": Mandatory Vaccinations in the Private Workplace

Written By Grant B. Osborne

We are all tired of the slowly-abating but persistent pandemic. And more than ready to get back to "normal." But employers' efforts to encourage or require employees to return to work present many challenges, such as thos…

One Year Later: Have Employers Taken Stock Following Bostock?

Written By Emily G. Massey

This week (specifically June 15, 2021) marked the one-year anniversary of the U.S. Supreme Court's landmark decision in the case of Bostock v. Clayton County, which outlawed sexual orientation or transgender status em…

The Carrot, Not the Stick: May Employers Legally Offer Employees Incentives To Get Vaccinated?

Written By X. Lightfoot and Will Oden

Last month, the Department of Health and Human Services – Centers for Disease Control and Prevention ("CDC") updated its COVID-19 guidance for fully vaccinated individuals.  The updated guidance provided that f…

The FFCRA Trap: Employers Must Consider Retaliation Even After the FFCRA

Written By S. McKinley Gray, III and Justin T. Hill

While the light at the end of the tunnel is visible, the darkness of the COVID-19 pandemic still looms over employers.   Over the last few weeks, states across the nation began taking steps to reduce the restrictions…

Website Compliance: Key Costly Legal Risks Every Business Should Consider

Written By Angela P. Doughty, CIPP/US, AIGP and Erica B. E. Rogers

A recent statistic posted by Sweor states that 75% of consumers admit to making judgments on a company’s credibility based on the company’s website design. During COVID, many companies were forced to digitize …

Struggling Hotels Can Provide Turn-Down Service, Can't Be Turned Down for Subchapter V Bankruptcy

Written By Lance P. Martin

Subchapter V of Chapter 11 of the Bankruptcy Code, which took effect in February 2020, creates a more streamlined and less expensive Chapter 11 reorganization path for small business debtors.  It has proven popular d…

Media Mention: Will Oden Discusses 'Working with Vaccines' with the Wilmington Business Journal

A thorny legal topic for employers centers on mandatory COVID-19 vaccines. It's an issue our labor and employment attorneys have discussed time and time again with several news outlets. Recently, the Wilmington Busin…

To Encourage Landlords to Work with Struggling Tenants, Congress Removes a Powerful Weapon Wielded by Bankruptcy Trustees

Since the COVID-19 pandemic began, many tenants have seen their revenues plummet or disappear entirely as a result of state and local regulations on whether they could operate, when, and at what capacity.  Many comme…

Congress Extends Higher Debt Ceiling for Small Business Bankruptcies

Written By Lance P. Martin

We previously informed you that if you are a small business that needed to file bankruptcy to save your company, then you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.  The new s…

A Farewell to the Current Gift and Estate Tax Exemption?

Written By John R. Sloan

We recently wrote about a window of opportunity to take advantage of the rising estate and gift tax exemption before it sets. It is becoming clearer that the window may be shutting fast.  The opportunity to take…

So Much for "9 to 5": Employers' Consideration of Employees' and Applicants' Conduct Outside of Work

Written By Grant B. Osborne

"And the sign said, 'Long-haired freaky people … need not apply.'"  – Signs, Five Man Electrical Band, Good-byes and Butterflies (1970) Arbitrary judgments are as old as humanity itself. Law evolved in p…

Thousands Hacked: New Cyber-Attacks Affect Organizations Big and Small

Written By Angela P. Doughty, CIPP/US, AIGP

Friday afternoon, reports surfaced that a foreign nation had compromised newly-discovered flaws in the Microsoft Exchange Server email software and breached the cybersecurity efforts of more than 60,000 known victims. Unl…

The Exemption Also Rises (But Could Set Soon)

Written By John R. Sloan

The amount that you can give to your children during life or leave to them after death estate tax-free currently is at a historically high level.  As of January 1, 2021, an individual can give or leave $11.7 million …

More Breathing Room for Commercial Tenants in Bankruptcy

Written By Lance P. Martin

The Consolidated Appropriations Act of 2021 ("CAA") took effect on December 27, 2020.  The mammoth spending and COVID-19 pandemic relief bill contains provisions related to commercial real estate leases in bankruptcy…

Supreme Court to Secured Creditors: "Hold on Loosely, But Don't Let Go."

Written By Lance P. Martin

Filing a bankruptcy petition automatically halts efforts to collect prepetition debts from the debtor outside of bankruptcy.  This "automatic stay" is a command to halt action, and creditors violate it at their own p…

Year in Review: New Roles, New Faces, and Growth at Ward and Smith in 2020

Looking back, it's clear none of us knew the extent of the change that was to come in 2020. We sent a firmwide email on March 13 letting our team know we would all be working remotely until March 27. We wanted to reassure…

PPP Loans, Episode Two – Is the Sequel Worth Watching?

Written By William S. Durr

Too often sequels disappoint.  Consider these bombs - Caddyshack II, Jaws – The Revenge, Mall Cop 2, Major League II, and I could go on.  But every once in a while a movie sequel hits a home run – Go…

Flexibility in the Face of COVID-19: When Culture and Technology Align

Written By Angela P. Doughty, CIPP/US, AIGP

We didn't know what we would be asked to do during the pandemic, or how flexible we would all need to become to continue work during this unusual year. Here are just a few examples of how Ward and Smith has aligned our te…

Year in Review: Ward and Smith's Top Articles of 2020

Written By Laura V. Hudson

Over the past tumultuous year, Ward and Smith attorneys authored more than 190 articles to help our clients stay abreast of ever-changing COVID-19 impacts. That quantity of writing is unprecedented, and led to an inc…

How to Maintain a Positive Company Culture During COVID-19

Written By Will Oden

Culture eats strategy for breakfast, or so we've been told by Mr. Drucker and others.  Coincidentally, I wholeheartedly agree.  So, how does leadership maintain, let alone improve, its company culture in the fac…

Web-Based Businesses and Other "Remote Sellers" Beware – A Morass of Sales Tax Obligations Are Upon You

Written By Richard J. Crow

Sales Tax Obligations — Businesses with a Physical Presence in a State It should come as no surprise that almost all states require businesses with a physical presence in a state and that sell goods or services in t…

We’ll See How "Temporary": U.S. Department of Labor Issues New Temporary Rule Interpreting Families First Coronavirus Response Act of 2020

Written By Grant B. Osborne and Hayley R. Wells

"Nothing is so permanent as a temporary government program." - Milton Friedman The federal "Families First Coronavirus Response Act of 2020" ("FFCRA" or the "Act") became law on March 18, 2020. It was enacted into la…

Questions Raised by the PPP Loan Necessity Questionnaire

This article addresses a forthcoming update to the Paycheck Protection Program that is subject to change.  It is not intended to give, and should not be relied upon for, legal advice in any particular circumstanc…

Political Speech in the Workplace (And What – If Anything – To Do About It)

Written By Justin T. Hill and Grant B. Osborne

Politics could hardly be more conspicuous these days. A monumental presidential election looms on the horizon, and it seems that everyone has an opinion. Many who do have jobs and bring those opinions into the workplace. …

Regulatory Booze Blues

Written By Hayley R. Wells

Imagine that we are not in the midst of a global pandemic and that you are on vacation at a charming brewery, somewhere on the West Coast, or maybe up in New England. You are out on the patio enjoying the brewery&rs…

What Do You Get When You Cross a $137,000 Cartier Necklace and a Debtor With Selective Amnesia? A Chapter 11 Trustee.

Written By Lance P. Martin

When a debtor files bankruptcy under Chapter 11, the bankruptcy court does not automatically appoint a trustee.  Unlike Chapter 7, where the court appoints a trustee to investigate the debtor's assets, liquidate asse…

"Don't Tread on Me": Customers' Religious Objections to Mandated Use of Face Masks in the Era of COVID-19

Written By Grant B. Osborne

The COVID-19 pandemic has challenged businesses and employers in ways that few thought possible just six months ago. Untold millions have lost jobs, and vast numbers of businesses have been forced to close in an attempt t…

PPP Loan Forgiveness Denied – An Overview of the PPP Loan Review Decision and Appeal Process

Written By William S. Durr

Nearly six months after the creation of the Paycheck Protection Program ("PPP"), many borrowers are ready to submit their PPP loan forgiveness applications or have already submitted them.  Although lenders and borrow…

COVID-19 Update: Reopening Your Business, House Bill 118, and Executive Order 163

Written By James W. Norment

In a series of Executive Orders, the most recent of which is Executive Order 163 dated September 1, 2020, Governor Roy Cooper implemented a "Safer at Home Phase 2.5" COVID-19 response plan.   While certain businesses…

Five Things to Consider When Selling Your CBD Business

Written By Merrill G. Jones, II

For many business owners, the intended exit strategy is to sell to a competitor or a larger company, thereby taking advantage of the upside on the value they have created through years of diligent and hard work building a …

Can a Business Owner Reorganize Guaranty Obligations Under Subchapter V?

Written By Lance P. Martin

We have previously informed you that if you are a small business that needed to file bankruptcy to save your company, then you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.  The …

Panelists Talk Diversity and Inclusion From Personal and Professional Perspectives

Written By Emily G. Massey

Two panelists and an employment attorney delved deep into some of the tricky issues that companies can face as they seek to strengthen their diversity, equity, and inclusion efforts, as well as the challenges that uncons…

For Employers: Understanding the Supreme Court's Title VII Ruling

Written By X. Lightfoot and Devon D. Williams

Understanding the Supreme Court’s Narrow Title VII/LGBTQ Ruling On June 15, 2020, the Supreme Court of the United States (“SCOTUS” or the “Court”) ruled in Bostock v. Clayton County, Geo…

Controlling Expenses in Small Business Chapter 11 Cases

Written By Lance P. Martin

We previously informed you that if you are a small business that needed to file bankruptcy to save your company, you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.  Subchapter V w…

Leases, Bankruptcy, and Coronavirus: Force Majeure Edition

Written By Lance P. Martin

Many businesses in bankruptcy or heading that way – particularly retail establishments – face an uncertain future as states and cities impose closures and phased re-openings.  If you lease your office, st…

Seeing Through the Fog: Obtaining a Grower’s License in Uncertain Times

Written By Tyler J. Russell and Allen N. Trask, III

If all of the recent upheavals in the law and regulations for hemp have left you confused about how to get a hemp grower's license, you are not alone.  Law and regulation have been moving at a rapid pace in this area…

COVID Quarantine + Surge in eCommerce = … ADA Discrimination Claims?!

Written By Angela P. Doughty, CIPP/US, AIGP

While much about COVID-19 and its long-term impact on businesses and the economy is unknown, its effect of a worldwide increase in a reliance on digital means to engage in business transactions is undeniable and unlikely t…

An Employee Cannot be Fired, or Otherwise Discriminated Against, for Being Gay or Transgender

Written By X. Lightfoot and Hayley R. Wells

Today, the Supreme Court of the United States ("SCOTUS") decided in Bostock v. Clayton County, Georgia that the protections of Title VII of the 1964 Civil Rights Act ("Title VII") extend to individuals who are discriminate…

Zooming Through a Summer Associate Experience at Ward and Smith

Written By Melissa Forshey Schwind

[ Ed. Note: This article is authored by our 2020 Summer Associate Lily Faulconer.] Strong mentor relationships with highly respected attorneys and the promise to be an integral part of cutting-edge work in each of the fir…

Howdy Partner: A Trail Guide for Promoting an Employee to Co-Owner

Written By Jennifer V. Boyer

It is a particularly thorny question – one faced by owners of businesses both large and small:  Is it time to promote this employee to co-owner? Panelists at our 2019 Closely Held Business Summit recently noted…

New Forgiveness Flexibility for PPP Borrowers

Written By William R. Lathan, Jr.

On June 3, the United States Senate approved the "Paycheck Protection Program Flexibility Act of 2020" (H.R. 7010).  The new law was signed by the President and became effective on June 5.  This law amends the C…

COVID-19 Eviction Moratoriums: Need-To-Know Information for NC Landlords and Tenants

Written By Eric J. Remington

The Coronavirus Aid, Relief, and Economic Security (CARES) Act was passed by Congress and signed into law by President Trump on March 27, 2020.  The CARES Act provided immediate economic assistance for American worke…

Is it Time to "Use it or Lose it?"

Written By Jennifer V. Boyer

In the wake of COVID-19, we may see significant statutory changes to the federal estate, gift, and generation-skipping transfer tax exemptions.  Spousal Lifetime Access Trusts and other planning techniques provide opp…

A Few Unanswered Questions About PPP Loan Forgiveness

Written By William R. Lathan, Jr.

[Ed. Note: On June 5, the PPP Flexibility Act of 2020 was signed into law addressing some of the issues mentioned in the article below. For a guide on the changes now in effect, click here.] As we reported in a previ…

Reopening After COVID-19: What Business Owners Should Know

Written By Allen N. Trask, III

Back to business doesn't mean back to normal. As COVID-19 lockdown restrictions begin to ease, business owners are grappling with new challenges and are being forced to make tough decisions in an environment of great unce…

A Few Questions Answered – SBA Issues PPP Loan Application and Additional Interim Final Rules

Written By William S. Durr

Over the last six weeks, PPP loan borrowers understandably had a multitude of questions about the loan forgiveness process.  After all, without forgiveness, the PPP loan is nothing more than just another business deb…

Returning to Work in a Pandemic: What Employers Need to Know

Written By Angela P. Doughty, CIPP/US, AIGP

Restrictions are lifting, businesses are reopening, and corporate counsel face a slew of novel legal considerations as they guide their companies through post-lockdown operations. During a May 14 webinar for the Research …

NC Modestly Moves into Phase 2: What NC Businesses Need to Know

Written By Kristin D. Mitcham

North Carolina Governor Roy Cooper and Dr. Mandy Cohen, Secretary of the North Carolina Department of Health and Human Services ("NCDHHS"), conducted a press conference at 5:00 p.m. on May 20, 2020, where they outlined the…

How Outdoor Sports and Recreation Operations Can Protect Themselves in a Post COVID-19 Environment

Written By Kristin D. Mitcham

There is a world history of pandemics that, at one point or another, crippled civilizations or dynasties.  In America's more recent history, our country has experienced the Spanish Flu (1918 – 1920), the Asian F…

Update: SBA Creates New PPP Safe Harbor Rule, Extends Deadline to May 18

[Ed. Note: This article has been updated to address FAQ 47, published on May 13, which extends the original safe harbor deadline to May 18 for PPP borrowers to return their loans.  The deadline extension is …

"Do I Need to Return My PPP Loan?" SBA Extends Safe Harbor Deadline to May 18

Written By William S. Durr

[Ed. Note: The safe harbor deadline has been updated to reflect FAQ 47, published on May 13, which extends the original safe harbor deadline to May 18 for PPP borrowers to return their loans.  The deadline e…

Replacing the Clean Water Rule – Is the Dance Really Over?

Written By Amy P. Wang

On April 21, 2020, the United States Environmental Protection Agency ("EPA") and Army Corps of Engineers ("Corps") completed step two of the two-step "repeal and replace" process ordered by President Trump in 2017 by publi…

COVID-19 Closed My Business. Can I Still Reorganize in Bankruptcy?

Written By Lance P. Martin

We previously informed you that if you are a small business that needed to file bankruptcy to save your company, then you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.  The new s…

PPP Loan Proceeds: Forgive, Pay and Forget it, or Not?

Written By William S. Durr and James W. Norment

Much has been written about the benefits of the PPP loan program.  With the second round of funding, roughly $660 billion in PPP loans will be distributed to approved applicants.  Approximately 3 million sma…

Business Law Lessons from the Tiger King

Written By Alexander C. Dale

[Spoiler alert – This article discusses events documented in the Netflix series and is based on the content of the shows.] In this time of deep fear and heavy unrest about the novel coronavirus, COVID-19, the world …

The PPP and Health Care Enhancement Act of 2020: Get Ready for Round 2

Written By Joanne H. Badr

The Paycheck Protection Program ("PPP") and Health Care Enhancement Act of 2020 ("PPP Act") was signed into law on April 24, 2020. The $484 billion PPP Act has been enacted with the goal of replenishing the PPP with appro…

Didn’t See That Coming: Unexpected Results of FFCRA Paid-Leave "Temporary" Regulations

Written By X. Lightfoot, Emily G. Massey, and Grant B. Osborne

The world continues to combat the devastating COVID-19 global pandemic.  Many businesses have been forced to lay off and/or furlough untold numbers of valued employees. Still, many employers are able to continue opera…

Can the New Small Business Chapter 11 Save Your B&B or Airbnb?

Written By Lance P. Martin

We previously informed you that if you are a small business that needed to file bankruptcy to save your company, you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.  Subchapter V wa…

Is an NC Coronavirus Bail Out Coming? When & How We Expect the NCGA to Provide Relief to Businesses & Individuals

Written By Whitney Campbell Christensen

As we find ourselves facing a massive global health crisis and sudden economic downturn, many North Carolinians are looking for relief from their government. Congress has acted.  What about the North Carolina General…

Employer's Recordkeeping Requirements For Leave Requests Under the FFCRA

Written By Hayley R. Wells

On April 6, 2020, the United States Department of Labor ("DOL") issued its Temporary Rule promulgating regulations to implement the leave entitlements authorized by the Families First Coronavirus Response Act ("FFCRA"). T…

Significant Paycheck Protection Program Guidance for Franchisees, Hotels, and Lenders

Written By Joanne H. Badr

The Small Business Administration ("SBA") has guaranteed over one million loans under the Paycheck Protection Program ("PPP") through April 13, 2020. Over 4,600 lenders throughout the U.S. have been tasked with serving as …

If You File a Schedule C, Take Note: SBA Offers Guidance for Self-Employed PPP Loan Applicants

Written By Joanne H. Badr

From April 3 through April 14, 2020, the Small Business Administration ("SBA") has guaranteed over one million loans under the Paycheck Protection Program ("PPP"). Over 4,600 lenders throughout the U.S. have been tasked wi…

Governor Adds New COVID-19 Social Distancing Regulations for Retailers

Written By Amy H. Wooten

As North Carolina citizens and businesses approach the third week of access, travel, and gathering restrictions, Governor Roy Cooper has now issued an Executive Order which implements additional restrictions aimed primaril…

Updated Business Affiliation Rules: Key Information for Paycheck Protection Program Borrowers

Written By Joanne H. Badr

In the last few days, the Small Business Administration ("SBA") has published further guidance on the Paycheck Protection Program ("PPP") Business Affiliation Rules, which we attempt to summarize below. You can find …

New Paycheck Protection Loan Guidance for Businesses and Lenders

Written By Joanne H. Badr

The CARES Act was passed into law on March 27, 2020, and on April 2, 2020, the Small Business Administration ("SBA") published its guidance on the new legislation's Paycheck Protection Program ("PPP"). SBA's Interim Guide…

Loan Modification and Reporting During the COVID-19 Crisis

Written By Lance P. Martin

We reported that, on March 9, 2020, the Federal Reserve, Office of the Comptroller of the Currency, Federal Deposit Insurance Corp., Consumer Financial Protection Bureau, National Credit Union Administration, and Conf…

The New Normal – Teleworking Challenges and Solutions

Written By Emily G. Massey

The COVID-19 pandemic has turned the world upside down, and staying home has become the new normal.  (For Instagram users, the #stayhome hashtag has 10.5 million posts!)  Whether to comply with a local stay-at-h…

The CARES Act Provides Additional Relief to Consumer Debtors in Bankruptcy

Written By Thomas C. Wolff

The Coronavirus Aid, Relief, and Economic Security Act ("CARES Act") was enacted on March 27, 2020.  The CARES Act provides relief for the widespread economic hardship caused by the coronavirus ("COVID-19").  Al…

Help for the Hemp Industry in the COVID-19 Crisis

Written By Tyler J. Russell and Allen N. Trask, III

The last month has been difficult for everyone, to say the least.  The hemp industry as a whole has faced tremendous economic pressures and worries for months.  Businesses continue to operate under regulatory un…

Treasury Department Releases Vital Paycheck Protection Program Information

Written By William S. Durr

The much-anticipated CARES Act provided for the Paycheck Protection Program, which is meant to help small businesses both retain their employees and meet their rent and other operating expenses during the COVID-19 pandemic…

Employer's Alert: Third Round of Informal Guidance and FAQs on the FFCRA Issued

Written By Emily G. Massey and Devon D. Williams

We have written previously about the U.S. Department of Labor's ("USDOL") informal guidance and FAQs addressing compliance with the Families First Coronavirus Response Act ("FFCRA").  While we are adjusting to our co…

FFCRA Health Care Providers Exemption: New Guidance Published

Written By Emily G. Massey and Grant B. Osborne

We previously posted that the "health care provider" exemption from the obligation to provide "paid sick time" and paid "public health emergency leave" under the Families First Coronavirus Response Act of 2020 ("FFCRA") wa…

North Carolina's Stay-At-Home Order: What Do You Need to Know?

Written By James W. Norment

On Friday, March 27 Governor Roy Cooper issued a statewide Stay-At-Home Order (Order). It will take effect at 5:00 p.m. on Monday, March 30, 2020, but the Governor expects North Carolinians to start following it sooner if…

COVID-19 Update for Employers: New Key Guidance

Written By X. Lightfoot and Hayley R. Wells

On March 25, 2020, the U.S. Department of Labor's Wage and Hour Division ("WHD") published its initial guidance to provide compliance assistance for employers related to the application of the benefits and leave entitlemen…

Impact of COVID-19 on Force Majeure and Rent Abatement in Commercial Leases

Written By Kristin D. Mitcham and Allen N. Trask, III

Many businesses have suffered greatly in the wake of the measures taken to slow the spread of COVID-19.  One immediate impact is the flood of requests from commercial tenants to their landlords for rent reduction or …

Enhanced Unemployment Assistance Under the CARES Act

Written By William S. Durr

As the pandemic rages on, the number of North Carolina workers applying for unemployment benefits is staggering.  Between March 16, 2020 and the end of the day on March 25, 2020, the N.C. Division of Unemployment Sec…

Will Your Business Need a Re-Entry Certificate in the Event of a NC Shelter-In-Place Order?

Written By James W. Norment

It will not for a statewide shelter-in-place order, at least according to guidance from the N.C. Department of Public Safety (DPS).  However, each local order is different and each jurisdiction will direct its law en…

The CARES Act and the Healthcare Industry

Written By Leigh A. Wilkinson

This week, the U.S. Senate passed the "Coronavirus Aid, Relief, and Economic Security Act" (the "CARES Act") to respond to the COVID-19 crisis.   The House is set to vote on Friday, and the passage of the CARES Act a…

CARES Act Raises Small Business Bankruptcy Debt Ceiling to $7,500,000

Written By Lance P. Martin

We previously informed you that if you are a small business that needed to file bankruptcy to save your company, then you may be able to take advantage of Subchapter V of Chapter 11 of the Bankruptcy Code.  The new s…

CARES Act: Providing Payroll Relief to Employers in Response to COVID-19

This week, the U.S. Senate passed the "Coronavirus Aid, Relief, and Economic Security Act" (the "CARES Act") to respond to the COVID-19 crisis.  The House is set to vote on Friday, and the passage of the CARES Act ap…

SBA Allows Scanned Copies of Documents During COVID-19 Crisis

Written By Lance P. Martin

The SBA permits SBA Lenders to use electronic signatures on SBA forms and other documents requiring signatures on 7(a) and 504 business loans provided they comply with Standard Operating Procedure 50 10.  But with so…

COVID-19 Relief Package to Include Small Business Loans

Written By Joanne H. Badr

On March 25, 2020, the U.S. Senate unanimously voted to advance legislation titled Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act") to respond to individuals, families, and businesses affected by the co…

COVID-19 Tax Alert – The Tax Man Lends a Helping Hand

Written By Lee C. Hodge

As we all adjust to the "new normal" of social distancing and working remotely, Congress is very close to passing its phase 3 legislation (called the Coronavirus Aid, Relief, and Economic Security Act (the "CARES Act") to …

Alert: Congressional Leaders Strike Deal to Bring Financial Help to the Nation, Details Unknown and the Deal Is Not Yet Law

Written By James W. Norment

As our entire way of life is being disrupted by the COVID-19 public health crisis, Congress moved closer to some sort of federal help on Wednesday, March 25. The COVID-19 relief bill being debated in the Senate h…

Preparing for an Uncertain Future: Is Your Business Ready to Tackle Important Legal Issues Raised by a Shelter-in-Place Order?

Written By James W. Norment

These are challenging times.  Businesses, nonprofits, and public entities are changing their operations more rapidly than many ever thought possible.  And certainly battling an unseen and so far unpredictable vi…

SPECIAL ALERT: Governor Roy Cooper Shutters More Businesses and Extends K-12 Public School Closure

Written By William S. Durr

On March 23, Governor Roy Cooper signed Executive Order 120 ("Order"). The Order extends the in-person closure of the public K-12 schools in North Carolina until May 15.  The Order further limits mass gatherings &nda…

Understanding the New "Fast-Pass" Small Business Bankruptcy Process

Written By Lance P. Martin

With COVID-19 and the attempts to contain it causing cataclysmic business interruption, many small businesses may find themselves on the brink of insolvency.  While we hope that lenders, landlords, suppliers, and fed…

"Hold On, Help Is on the Way:" U.S. Senate Passes Second COVID-19 Relief Bill

Written By Emily G. Massey, Will Oden, and Devon D. Williams

On March 18, 2020, the United States Senate passed a second round of relief legislation as a result of the Covid-19 pandemic, this time to provide relief to American employers.  The measure passed with 90 senators vo…

What the EEOC Wants You to Know About the ADA, the Rehabilitation Act, and COVID-19

Written By Emily G. Massey

On March 18, 2020, the Equal Employment Opportunity Commission ("EEOC") published its "Q&A About the ADA, the Rehabilitation Act, and COVID-19."  The Q&A confirms much of what we gleaned from previous EEOC gu…

Servicing SBA Loans During the COVID-19 Crisis

Written By Lance P. Martin

With COVID-19 shutting down whole swaths of the economy, the SBA has issued a notice to SBA 7(a) Lenders and 504 Certified Development Companies (CDCs), reminding them of their unilateral authority to provide borrowers wit…

Gov. Roy Cooper Orders Restaurants and Bars to Close Dine-In Service, Announces New Help for Unemployed

Written By X. Lightfoot and Devon D. Williams

Today, March 17, 2020, Governor Roy Cooper announced a new Executive Order ("EO") to close all restaurants and bars to dine-in customers.  The EO still allows those businesses to continue operations through takeout a…

Contagion: Practical Advice for NC Employers in the Face of Coronavirus Disease

Written By Grant B. Osborne

The world seems to have shifted beneath our feet – to have become alien and dangerous. That's no doubt true, but we've been here before. More than 100 years ago, soon after the end of World War I, we encountered the…

EPA Can Help You Keep It Clean in a World with COVID-19

Written By Amy P. Wang

Virus-killing myths, like gargling salt water, are floating around as fast as toilet paper has flown off the grocery store shelves.  When those shelves are restocked, what is effective for cleaning surfaces in reside…

Federal Regulators Urge Banks to Work with Borrowers Affected by the Coronavirus

Written By Lance P. Martin and Thomas C. Wolff

In the last week, COVID-19 has upended the normal routines of daily life in America.  While the health and safety of all Americans is the paramount concern, the economic impact is a reality that cannot be ignored. On…

Leaders Share Wisdom, Experience From Running Companies

Four business leaders discussed how they relate to competitors in their industry, their most important job as leaders, succession planning, motivation, and other topics at Ward and Smith's 2019 Closely Held Business Summit…

Thanks for the Tip: U.S. DOL's Proposed Rule and Potential Enhanced Availability of "Tip Pools"

Written By X. Lightfoot and Grant B. Osborne

The Fair Labor Standards Act of 1938 ("FLSA"), for decades, has permitted employers to pay some workers a lower minimum hourly wage than would otherwise be due if the workers receive at least a minimum amount per month in …

March 31 Deadline to Amend 403(b) Retirement Plans Approaches

Written By Steven B. Long

Employer sponsors of 403(b) retirement plans have until March 31, 2020, to amend their plan documents to comply with Internal Revenue Service (IRS) rules stating what provisions must be contained in those documents.  …

NC Business Court Clarifies Exception to Rule that LLC Members Do NOT Owe Fiduciary Duties to One Another

Written By Luke C. Tompkins

One of the hallmarks of limited liability companies ("LLCs") is that members of an LLC ordinarily do not owe fiduciary duties to each other or to the company itself.  Generally speaking, a fiduciary duty is an obliga…

Supreme Court Rules "Now or Never" to Appeal Stay Relief Denials

Written By Lance P. Martin

Under the Bankruptcy Code, filing a bankruptcy petition automatically halts efforts to collect pre-petition debts from the debtor outside of bankruptcy.  This is the "automatic stay," and it is a command, not a sugge…

Real-Life Lessons on How Mid-Sized Companies Handle Ownership Transitions

Written By Jennifer V. Boyer

Business consultant Karen Albritton and attorney Deana Labriola, along with Ward and Smith attorney Matt Thompson, all with personal experience in a variety of companies, discussed several of the tricky…

Tearing Up the Litmus Test: Potential Problems with Testing Employees for Marijuana Use

Written By Emily G. Massey, Allen N. Trask, III, and Devon D. Williams

Picture this: You are a law-abiding citizen. You observe the speed limit (or, at least, stay within five MPH of it), you don’t cheat on your taxes, and you most certainly do not take illegal drugs. Those values perm…

FDA Issues Warnings to 15 Companies for Illegally Selling Products Containing CBD

Written By Tyler J. Russell and Allen N. Trask, III

On November 25, 2019, the U.S. Food & Drug Administration ("FDA") published a press release, published a revised Consumer Update, and announced the issuance of new warning letters to 15 companies for illegally selling …

Hemp’s Storied Past – and (Potentially) Bright Future – in North Carolina

Written By Tyler J. Russell and Allen N. Trask, III

Hemp has long held a prominent place in our nation's agricultural history.  Hemp was a staple crop in Colonial America. It was present on both Thomas Jefferson and George Washington's plantations. Ships of that era, …

Lifetime Transfers of Family Business Interests: An Estate Tax Planning Opportunity in Uncertain Political Times

Written By Peter B. von Stein

When a family business owner's goal is to ultimately pass ownership of the business on to the next generation, business succession planning and the owner's estate planning are inextricably linked.  The most difficult…

USDA Establishes National Domestic Hemp Production Program

Written By Tyler J. Russell and Allen N. Trask, III

On October 31, 2019, the United States Department of Agriculture ("USDA") published its Interim Final Rule establishing the nation's Domestic Hemp Production Program, and providing regulations on testing, sampling, and the…

Live-Action Role-Playing — The Challenges of Working With Family Members

Written By Will Oden

Leaders of closely held businesses got an opportunity to view a family-owned enterprise as an outsider would, instead of their usual position inside a company. Ward and Smith's 2019 Closely Held Business Summit featured a…

Reminder to North Carolina Employers: Take Time to Thoughtfully Craft Your Restrictive Covenants!

A recent decision of the North Carolina Court of Appeals serves as an important reminder to avoid the temptation to overreach when seeking to protect your customer relationships. Restrictive covenants prohibiting competit…

How to Write an Effective SBA Litigation Plan

Written By Lance P. Martin

When an SBA loan goes into default, the SBA requires a lender to commence litigation when the lender concludes that (1) defensive action is necessary to protect the collateral or ability to collect from the obligor or (2) …

Can an Employee be Fired for Being Gay or Transgender?

Written By X. Lightfoot

HR Professionals will soon know the answer to this question.  The United States Supreme Court is preparing to settle a contentious debate on employee protections under federal employment discrimination laws.  On…

How Companies Must Tackle the 4 M’s to Grow Through ‘No-Man’s Land’

Written By Zachary F. Lamb

Businesses trying to grow through the stage where they're too big to be small businesses, but not large enough to be big businesses, must focus on four key factors to be successful. That's what Doug Tatum, chairman of New…

So You've Been Watching (and Cringing at) HBO's "Succession?"

Written By Jennifer V. Boyer and Richard J. Crow

Let's discuss some less-dramatic exit options for business owners (when they want to step away). You may not run a global media conglomerate, but even closely held business owners (and perhaps especially closely held fami…

A Win for Hemp in Court, and What it (Might) Mean for North Carolina

Written By Tyler J. Russell and Allen N. Trask, III

The hemp and cannabidiol ("CBD") industries today face substantial uncertainty, and they lack clear Federal rules, regulations, and guidance within which governments and businesses can safely operate. That dearth of guida…

Is it Time to Review Your Succession Plan Documentation?

Written By Merrill G. Jones, II and Zachary F. Lamb

Business succession and estate plans are made based on circumstances existing at the time they are put in place.  Though skillful attorneys strive to prepare comprehensive documents that take into account all reasona…

Hemp Crop Insurance Update: "Whole-Farm" Coverage to Include Hemp

Written By Allen N. Trask, III

The unavailability of crop insurance for hemp has long been a source of frustration and risk for growers in North Carolina, especially in the wake of recent disaster events like Hurricane Florence.  On August 27, the…

DEA Recognizes Legality of Hemp

Written By Tyler J. Russell

On August 26, 2019, the U.S. Drug Enforcement Agency (or "DEA") issued a public notice that formally – and, finally! – expresses the agency's acknowledgment that hemp and hemp-derived substances are legal and a…

New Law More than Doubles Chapter 12 "Family Farmer" Debt Limit

Written By Lance P. Martin

On Friday, August 23, 2019, the President signed into law the Family Farmer Relief Act of 2019.  The Act increases the debt limit used to determine whether a family farmer is eligible for relief under Chapter 12 of t…

NC Legislative Update: Hemp Legislation Passes House; Headed Back to Senate

Written By Whitney Campbell Christensen, Tyler J. Russell, and Allen N. Trask, III

On August 21, the North Carolina House of Representatives voted, by a narrow margin, to advance Senate Bill 315 – North Carolina Farm Act of 2019.  While not the only issue addressed, hemp features prominently …

Where There’s Smoke, There’s Fire: The Raging Legislative Battle Over Smokable Hemp

Written By Tyler J. Russell and Allen N. Trask, III

Hemp and its derivatives – including hemp-derived cannabidiol ("CBD") – were previously classified as Schedule I controlled substances under the Controlled Substances Act of 1972 ("CSA").  That changed in…

Supreme Court Sets Standard for Bankruptcy Discharge Violations

Written By Lance P. Martin

When your customer is in bankruptcy, there are two major no-nos that you must remember.  First, don't violate the automatic stay, which prevents a creditor from attempting to collect a debt while the debtor is in ban…

Industry Update: USDA Aims to Release Hemp Rules by August

Written By Tyler J. Russell and Allen N. Trask, III

Hemp was decriminalized with the passage of the Agriculture Improvement Act of 2018, a.k.a. the "2018 Farm Bill."  While the 2018 Farm Bill decriminalized hemp and distinguished it from marijuana, it did not resolve …

Construction Conference Insights: Industry Leaders Lay the Foundation for Success

Three construction industry executives with nearly a century of experience among them freely shared the lessons they had learned and the keys to their companies’ success in the closing panel of Ward and Smith’s…

Top 10 Estate Planning Mistakes & How to Avoid Making Them

Written By Virginia S. Carter and Eldridge D. Dodson

As estate planners, we have seen it all over the years.  What we have learned is that people make some common mistakes.  Whether due to procrastination, lack of follow through, or ignoring their own mortality!&n…

Hemp News: Updates on Interstate Travel, Interstate Commerce, and Crop Insurance

Written By Tyler J. Russell and Allen N. Trask, III

The Transportation Security Administration (TSA) recently changed its policy on hemp-derived products. Products and medications that contain lawfully produced hemp-derived cannabidiol (CBD) are now permitted on flights.&n…

Live Action Role Playing — A Day in the Life of HR

Written By Devon D. Williams

Attendees at Ward and Smith’s 2019 Employment Law Symposium got a taste of the legal twists and turns that any human resources professional could face: Employee vs. independent contractor questions, social media poli…

USDA Accepting Plant Variety Protection Applications for Hemp

Written By Erica B. E. Rogers

In April 2019, the U.S. Department of Agriculture ("USDA") announced that it will accept plant variety protection applications from breeders of seed-propagated hemp. This is a major step forward for the industry and will …

Can I Get Sued Over a Court-Authorized Foreclosure?

Written By Lance P. Martin

If a Clerk of Court authorizes a foreclosure sale and the trustee sells the property, can a borrower or other aggrieved party later sue to nullify the foreclosure sale or recover damages caused by the foreclosure?  I…

Avoiding Commercial Lease Disputes – Clearly Reflecting the Intent of the Parties is Key!

Written By Eric J. Remington

A commercial lease symbolizes a consensual relationship between parties that can be enduring and rewarding, or short-sighted and emotionally and financially taxing. Entering into a clearly drafted lease agreement at the o…

Construction Conference Insights: How to Lower Legal Risk

Written By Ryal W. Tayloe

Three Ward and Smith attorneys provided detailed advice on how firms in the construction industry can lower their legal risk in the opening panel at the 2019 Ward and Smith Construction Conference. Attorneys Devon William…

Trademarks and Hemp-Derived Cannabidiol: Brand Protection for CBD Products

Written By Norman J. Leonard

Cannabidiol (commonly referred to as "CBD") has been in the news for several years now, due to its touted health and wellness benefits. This is especially the case since the Agricultural Act of 2018, or AIA, became law in…

Pray for a Good Harvest, but Keep at Your Plow – And Know Enough Employment Law to Stay Out of the Ditch

Written By Grant B. Osborne

Employers in agribusiness face the same risks as those in any other business, but perhaps more than most if faced with frequent employee-turnover and employees with little loyalty to those for whom they work. Former emplo…

Are the Bankruptcy Courts Available for the Cannabis Industry?

Written By Lance P. Martin

Since 2012, ten states and the District of Columbia have legalized marijuana for adult recreational use.  Another 23 states have legalized some form of medical marijuana use.  At the federal level, the Agricultu…

Trends from the Industrial Hemp Summit

Written By Tyler J. Russell and Allen N. Trask, III

This week, we attended the Industrial Hemp Summit in Danville, VA.  The quality of the event, the information shared, and the people in attendance were incredible.  Although the topics of discussion and educatio…

Who Gets What When a Real Property Lease Terminates?

Written By Justin M. Lewis and Allen N. Trask, III

Who gets what when a lease of real property is over?  This is a question that can be problematic for both landlords and tenants.  If the tenant installed additional improvements or made alterations to the premis…

NC CBD Companies Take Notice: NC Dept. of Agriculture Issues CBD Advisory

Written By Tyler J. Russell and Allen N. Trask, III

The Agriculture Act of 2018 legalized hemp and hemp-derived cannabidiol, or "CBD," on the Federal level by removing both substances from the definition of "marijuana" under the Controlled Substances Act of 1972. But, that…

In-House-Counsel Seminar Insights: Ethics and Professional Responsibility in the #MeToo Era

Ward and Smith employment law attorneys Ken Gray and Emily Massey gave corporate attorneys at the firm’s 2018 In-House Counsel Seminar a refresher in the law and ethics surrounding employment discrimination and workp…

Hey, Careful, Man, There’s a Beverage Here! TTB, CBD, and the Production of Beer

Written By Tyler J. Russell and Allen N. Trask, III

So you brew beer? Cool.  So you want to brew a beer with cannabidiol?  Even cooler.  Don’t know what cannabidiol is?  That's ok.  You probably know it as "CBD" – the highly popular can…

When a Chapter 11 Plan is Absolutely Dead on Arrival

Written By Lance P. Martin

Recently, we discussed In re CHL, a case involving a real estate developer in Chapter 11. We focused on the importance of the Disclosure Statement as a prerequisite to a debtor's ability to move forward with a plan of reo…

In-House Counsel Insights: What In-House Counsel Need to Know About Blockchain

Written By Whitney Campbell Christensen

A trio of blockchain experts helped corporate attorneys attending Ward and Smith’s 2018 In-House Counsel Seminar understand the ins and outs of blockchain technology. Ward and Smith attorney Trip Coyne moderated a d…

In-House Counsel Seminar Insights: How General Counsel can Successfully Collaborate with Outside Attorneys

Written By Richard J. Crow

Three senior in-house attorneys discussed best practices for collaborating with outside counsel during a panel discussion at Ward and Smith’s 2018 In-House Counsel Seminar, with a focus on leveraging technology, cont…

"We'll Just Kick Him Out!" Member Discipline and Expulsion in Private Clubs

Written By Ryal W. Tayloe

Most private country clubs and social clubs are nonprofit corporations governed by North Carolina's Nonprofit Corporation Act found in Chapter 55A of the North Carolina General Statutes. Specifically, N.C. Gen. Stat.…

There's a New Sheriff in Town: The Food and Drug Administration's Move to Regulate CBD

Written By Tyler J. Russell and Allen N. Trask, III

Hemp has wide commercial application and appeal with a viable market for nearly every part of the plant, from the seeds, to the roots, to the flower.  And with the passage of the Agriculture Improvement Act of 2018 (…

The End of Hemp Prohibition

Written By Tyler J. Russell and Allen N. Trask, III

On Thursday, December 20, President Donald J. Trump signed into law the Agriculture Improvement Act of 2018 ("Farm Bill"). "Farm bills" are adopted by Congress from time to time to reauthorize and modify USDA programs tha…

You Can't Play Hide-And-Go-Seek in Chapter 11

Written By Lance P. Martin

In a Chapter 11 bankruptcy, the debtor attempts to reorganize its affairs in a Chapter 11 Plan.  When the debtor files its proposed Plan, it must also file a Disclosure Statement providing creditors and claimants wit…

Employer Survival Toolkit for Natural Disasters and Inclement Weather

Written By Emily G. Massey

One month after North and South Carolina experienced the devastating effects of Hurricane Florence, many people and businesses are still suffering from the aftermath. The businesses that were not affected or have since re…

Oden's "Top 4" Issues for Employers for 2018 (So Far)

Written By Will Oden

What follows are the "Top 4" issues or some variation/combination (in no particular order) that I have discussed with employers so far in 2018. Some may seem like common sense for the more seasoned Human Resource Director…

Industrial Hemp News Update: DEA Reschedules CBD Therapy

Written By Tyler J. Russell and Allen N. Trask, III

As we have written before, the legal world of cannabis-derived products is dynamic and uncertain. The current uncertain environment was born in the wake of legalization for medical or recreational marijuana in a handful o…

Dodd-Frank Revisions Benefit Private Companies: Congress Doubles Enhanced Disclosure Trigger for Equity Compensation Awards Under Rule 701

The Economic Growth, Regulatory Relief, and Consumer Protection Act (the "Act") hit national news channels in late May 2018 due to its sweeping relief from provisions of the 2010 Dodd-Frank Wall Street Reform and Consumer …

Making and Keeping Your Mark: Hemp Brand Protection in a Brave New World

Written By Erica B. E. Rogers, Tyler J. Russell, and Allen N. Trask, III

For North Carolinians, hemp is here. The federal legalization of hemp grown under state-sanctioned research programs in the Agricultural Act of 2014, combined with the myriad uses of hemp, including cannabidiol (aka, "CBD…

Ward and Smith’s 2018 Employment Law Symposium: Real-Life Lessons in Diversity in the Workplace

Written By S. McKinley Gray, III

This is the last in a series of articles summarizing key topics addressed at the Ward and Smith, P.A. 2018 Employment Law Symposium held in Wilmington, North Carolina.  During a session on diversity in the workplace…

Tranquil Beaches and Simple Trademarks … and the Dangers Swirling Below

Written By Angela P. Doughty, CIPP/US, AIGP and Erica B. E. Rogers

Trademark clearance and registration—sounds like an additional legal expense, right? Unfortunately, this potential cost is the reason many individuals and businesses forgo the trademark clearance and registration pr…

Key 2018 Legal Updates for Employers: Report from Ward and Smith's 2018 Employment Law Symposium

Written By Emily G. Massey

This is the third in a series of articles summarizing key topics addressed at the Ward and Smith, P.A. 2018 Employment Law Symposium held in Wilmington, North Carolina. Ward and Smith's 2018 Employment Law Symposium kicke…

Family Affair: Potential Problems with Family-Owned Businesses

Written By Merrill G. Jones, II and Zachary F. Lamb

Some of the most heartbreaking situations we see in our closely-held business and estate practices are families torn apart over differences in dealing with family-owned businesses.  When there are problems with famil…

Employment Law Symposium: Preventing and Dealing with Workplace Harassment

Written By Will Oden

This is the second in a series of articles summarizing key topics addressed at the Ward and Smith, P.A. 2018 Employment Law Symposium held in Wilmington, North Carolina.   Sexual harassment i…

California Passes Strictest Data Privacy Law in the Nation—Even Businesses Outside of California Could be Affected

Written By Angela P. Doughty, CIPP/US, AIGP

California has now enacted the strictest data privacy law in the nation. The Consumer Right to Privacy Act of 2018 ("California Privacy Act"), which is set to go into effect on January 1, 2020,  seeks to give consume…

In Chapter 7, Lowballing Your Assets Can Cost You Your Bankruptcy Discharge

Written By Lance P. Martin

The United States Court of Appeals for the Fourth Circuit—which covers North Carolina—recently decided a case that will have bankruptcy debtors thinking twice about how they complete their bankruptcy Petition a…

Employment Law Symposium Insights: Dealing with Workplace Discrimination

Written By Devon D. Williams

This is the first in a series of articles summarizing key topics discussed at Ward and Smith's 2018 Employment Law Symposium. Recently, Thomas M. Colclough, deputy district director of the United States Equal Employment …

Supreme Court Update: Merchant Rights and the Masterpiece Cakeshop Case

In 2015, the United States Supreme Court issued its landmark decision in Obergefell v. Hodges, ruling that the Fourteenth Amendment precludes states from prohibiting the marriage of same-sex couples.  In the past thr…

Industrial Hemp: Go for the Boom, Avoid a Bust!

Written By Tyler J. Russell and Thomas C. Wolff

While relatively new to North Carolina's farm economy, industrial hemp is gaining traction as a promising cash crop. Interest and acceptance are growing among market participants, both inside and outside of our state.&nbs…

Choice of Entity for the Closely Held Business—Comparing LLCs and Subchapter S Corporations

Written By Lee C. Hodge

While the Internal Revenue Code ("Code"), Subchapter C Corporation ("C Corp") will be the proper choice of entity for some closely held businesses (particularly in light of the federal tax reform package that became effect…

GDPR: Everybody's Doing It—Shouldn't You?

Written By Angela P. Doughty, CIPP/US, AIGP

In just a few short days, on May 25, 2018, supervisory authorities in the European Union ("EU") will begin enforcement of the EU's General Data Protection Regulation ("GDPR"). The GDPR is a regulation enacted by the EU to…

What Could Go Wrong? The Importance of Business Succession Planning

Written By Merrill G. Jones, II and Zachary F. Lamb

Most business owners expect that their company will continue to operate after they stop working. However, successfully transitioning control of a business rarely occurs without thoughtful planning.  Consideration mus…

Protecting Important Assets of your Growing Business: The Value of Non-Compete Agreements and Trade Secret Protection

Written By Norman J. Leonard

You have a great idea for a product or service and dream of putting that idea to work by starting a business. Once your dream has become reality, however, and your business starts to grow, it will not be successful for ve…

Hemp Horizon: Time for Growth?

Written By James W. Norment and Allen N. Trask, III

The Legal Commercialization of Industrial Hemp in North Carolina North Carolina is an agricultural power house. The state's farmers contribute over $80 billion to the economy every year and grow all sorts of crops—l…

Tax Reform – What Does it Mean for You and Your Business?

Written By Lee C. Hodge and Steven B. Long

Let's face it—the Internal Revenue code (the "Code") and the reams of regulations that implement the Code can be very complex. However, most individuals and business owners want to take advantage of every tax maneuve…

Social Hosts Beware: "One More for the Road?" May Be a Bad Idea

Written By Grant B. Osborne

Everyone was having such a good time, too . . . The company was hosting its annual holiday party.  The company had arranged to hold the event that Saturday night in a hotel ballroom.  Moods were festive, especia…

The EEOC on Pregnancy, Reasonable Accommodation, and Religion

Written By Emily G. Massey

Recent Views from the EEOC Charlotte District Office Thomas M. Colclough, Deputy District Director of the Equal Employment Opportunity Commission (EEOC) Charlotte District, spoke on October 6th at Ward and Smith's Labor &…

Issues to Consider in Rights of First Refusal

People often talk about giving or getting a Right of First Refusal ("ROFR") in real estate transactions.  But what is a ROFR?  A simple definition might be: If the owner of the property decides to sell the prope…

Senate Bill 155: The Brunch Bill - Expanded Version

Written By Justin M. Lewis

UPDATE: North Carolina Governor Roy Cooper officially signed the bill into law on Friday, June 30, hours after this article was published. A few months ago, we provided a summary of North Carolina House Bill 500 and how i…

Succession Planning—Bet the Farm on It

Written By E. Bradley Evans, Matthew W. Thompson, and Peter B. von Stein

Despite recent trends toward consolidation in the agricultural industry, farming generally remains a family affair.  According to the United States Department of Agriculture, 98% of all farms in the United States are …

Here Today, Gone Tomorrow: the Allures and Legal Considerations of Pop-Up Shops

Written By Joanne H. Badr

For years now, a new type of retail merchant has been "popping up" everywhere.  Short-term, temporary retail events, or "pop-ups," serve as a marketing strategy for retailers and entrepreneurs looking to extend their …

The North Carolina Business Court Evolves

Written By Edward J. "Trip" Coyne, III

Three Things You Need to Know to Be Up to Date Business courts are not so-named because they favor businesses, but because they are specifically designed to improve a state’s business environment by providing a foru…

Why Do You Need a Buy-Sell Agreement for Your Closely Held Company?

Written By Merrill G. Jones, II

Why do you need a Buy-Sell Agreement for your closely held company?  In a nutshell, your business partner might die, become disagreeable, or just simply lose his or her mind, and you need a set of rules to resolv…

Being Dismissive: The Realities of Having a Lawsuit Dismissed

Written By Allen N. Trask, III and Jeremy M. Wilson

We often hear the phrases "frivolous case" or "thrown out of court," and, as these sayings imply, we make broad assumptions about the procedural and substantive validity of a lawsuit based on our subjective (and …

How Non-Probate Assets Can Affect Your Estate Plan: A Few Cautionary Tales

Written By Virginia S. Carter and Peter B. von Stein

When you think about the control of your possessions and assets after your death, you probably think of a Will and probate.  A Will is a written, legally enforceable declaration that states how you wish your assets to…

Real Estate Developers - Proper Planning is Key to Maximizing The After-Tax Return on a Development Project

Written By Lee C. Hodge

Before starting a new development project, residential and commercial real estate developers should focus on properly structuring the acquisition and development of the property to minimize taxes.  Proper planning on …