Recent months have brought important business, legal and regulatory developments. We analyzed Fenwick’s client alerts and rounded up the most popular ones with our readers—on topics that include steps companies are implementing in the wake of the Equifax data breach, everything you need to know about patent venue guidance post-TC Heartland, California’s new employment law, CEO pay ratio and new index provider rules, and more.
Equifax Breach: 3 Immediate Steps Leading Companies Are Taking To Respond
By James Koenig, Tyler G. Newby, Hanley Chew and Kenia Rincon • September 22, 2017
Equifax announced in September that it had suffered a data breach exposing personal information of individuals in the United States, Canada and the United Kingdom. Read more about the most important steps companies are taking in response to the breach and the six additional common practices that companies are embracing to further enhance their cyber detection, response and mitigation.
Federal Circuit Provides Much Needed Patent Venue Guidance Post TC Heartland
By David Tellekson, Bryan A. Kohm, Melanie L. Mayer, Ph.D., Reilly Stoler and Jonathan T. McMichael • September 22, 2017
In a ruling that gets to the heart of where patent lawsuits are filed and limits a plaintiff’s ability to shop for a more favorable legal venue, the Federal Circuit issued a landmark venue decision setting forth the standard for determining what constitutes a “regular and established place of business” under 28 U.S.C. § 1400(b). Following the U.S. Supreme Court’s decision in TC Heartland v. Kraft Foods earlier this year, after which it became apparent that courts lacked sufficient guidance regarding what constitutes a “regular and established place of business,” the Federal Circuit’s precedential opinion in In re Cray Inc. provides new guidance. Read our full analysis.
New Index Rules Likely to Significantly Impact Tech Companies with Multi-Class Capital Structures
By Jeffrey R. Vetter and Ran Ben-Tzur • August 4, 2017
In response to investor concerns regarding an increase in the number of technology companies that have been implementing multi-class capital structures, index providers S&P Dow Jones, FTSE Russell and MSCI have adopted or proposed new rules that will likely have a significant impact on technology companies that are contemplating or have implemented these capital structures. In this article, we summarize how the rules impact technology companies with multi-class capital structures.
Top SCOTUS Cases Tech Companies Should Watch – Fall 2017 Preview
By various authors • September 29, 2017
The new U.S. Supreme Court term features a patent venue case that could be a game changer for many companies and a host of other cases that may affect how tech and life sciences businesses deal with personal data, how they treat internal “whistleblowers” and whether they can enforce arbitration in employee disputes. In this article, we analyze the significance of the most important SCOTUS cases for tech and life sciences companies.
CEO Pay Ratio Rule: New SEC Advice Helps Companies Prepare to Comply
By Elizabeth A. Gartland and Scott P. Spector • September 22, 2017
Companies need to make their first CEO pay ratio disclosure in their 2018 proxy statements (with limited exception). The U.S. Securities and Exchange Commission on Sept. 21 issued interpretive guidance to assist companies in efforts to comply with the pay ratio disclosure requirement comparing the compensation of the company’s CEO to that of the company’s “median employee.” In this article, we summarize what you need to know to meet the upcoming deadline.
New California Laws Prohibit Employers From Asking About Salary History
By Daniel J. McCoy • October 20, 2017
In a continuing effort to combat pay discrimination, Governor Jerry Brown recently signed AB 168 into law. Beginning January 1, 2018, all California employers are prohibited from seeking, by any means, salary history from an applicant for employment. Read the full article.
Recent Tax Court Decision in Crestek – a Cautionary Tale for U.S. Companies with Foreign Subsidiaries
By William R. Skinner • August 29, 2017
In a ruling with tax implications for U.S. corporations with foreign subsidiaries, the U.S. Tax Court has held that transactions between a U.S. parent company and its controlled foreign corporations constitute “United States property” and must be included in the parent company’s gross income. Read more about how the decision in Crestek v. Commissioner serves as a reminder of issues that should not be overlooked in ongoing cash management and financial transactions between a U.S. affiliate and its CFCs. Read the full article.