Blogs

Business and Financial Services

Tax Law: IRS Announces New Settlement Procedure for Workers Misclassified as Independent Contractors

The IRS introduced a new Voluntary Classification Settlement Program in 2011 that allowed employers to reclassify workers previously treated as independent contractors without facing the full penalties that normally accompany worker misclassification. In this Bean, Kinney & Korman article published in BKK Business Law News, the analysis explains that eligible employers could pay a reduced amount equal to roughly 10 percent of the employment taxes that otherwise would have been due for the most…

November 1, 2011

Bankruptcy, Restructuring and Creditors’ Rights

Bankruptcy – Not Necessarily an End to Construction Payments

Bankruptcy filings can create immediate disruption on construction projects, but they do not necessarily eliminate all avenues for payment recovery. In this Bean, Kinney & Korman article published in the BKK Construction & Land Use Newsletter, Juanita F. Ferguson explains that construction professionals still may have several important protections available even after a bankruptcy petition is filed. The article notes that while the Bankruptcy Code’s automatic stay generally prevents creditors…

September 1, 2011

Business and Financial Services

Non-Competition Agreements and Independent Contractors

Virginia courts traditionally analyze non-competition agreements in the employment context, but cases involving independent contractors raise additional questions because the parties are not in a typical employer-employee relationship. In this Bean, Kinney & Korman article published in the BKK Business Law Newsletter, James V. Irving explains that Virginia courts in 2011 enforced several non-compete agreements against independent contractors where the restrictions were narrow, reasonable, and…

September 1, 2011

Employment Law

Part II of II: Legal Considerations When Terminating An Employee

This is part II of my post from Friday. The following procedures provide a basic template that you can tweak to fit your company. Step One—Verbal Warning. Have the employee’s supervisor discuss with the employee the problem that has occurred and the corrective measures that need to be taken. Have another manager sit in on…

August 29, 2011

Business and Financial Services

Importance of Corporate Formalities

Corporations and LLCs provide valuable liability protection, but that protection can be lost if the owners fail to follow basic corporate formalities. In this Bean, Kinney & Korman article published in the BKK Business Law Newsletter, James V. Irving explains that businesses should maintain annual reports, preserve a registered office and agent, hold meetings when required, keep minutes and records, separate business and personal finances, and document major corporate decisions. The article…

July 1, 2011

Business and Financial Services

Tax Law: Tax Consequences of Contributing Property to a Corporation

Contributing appreciated property to a corporation can create significant tax consequences depending on whether the transferor maintains sufficient control of the company after the transaction. In this Bean, Kinney & Korman article published in the BKK Business Law Newsletter, Ronald A. Feuerstein explains that no gain or loss is generally recognized when property is transferred solely in exchange for stock and the contributing parties collectively control at least 80 percent of the…

July 1, 2011

Employment Law

The Pregnancy Discrimination Act Requires Equal Treatment

The Pregnancy Discrimination Act requires that employers treat pregnant employees the same as non-pregnant employees who suffer from some injury or sickness that occurred outside of work. In our last post, we reviewed the D.C. Fire Department’s change to their pregnancy policy. In this post we take a look at what the Pregnancy Discrimination Act…

June 29, 2011

Employment Law

When are Employee Pregnancy Policies Considered Unequal Treatment?

Earlier this week, D.C. Fire and Emergency Medical Services Department changed its policy regarding pregnant firefighters. The change limits pregnant firefighters to 30-days of light duty during and after pregnancy. Tom Sherwood from NBC 4 in Washington, DC reports: In a move to cut overtime and other administrative costs, the department is now limiting pregnant…

June 24, 2011

Construction

Fixing the Construction Problem Apparently Does Eliminate Insurance Coverage

A Virginia federal court has ruled that by proactively replacing defective drywall rather than waiting to get sued and found liable, a contractor was left without liability insurance coverage. This decision should send shivers down the spine of not just contractors, but also owners and developers. The builder, Dragas Management, built 70 houses in the…

June 22, 2011

Employment Law

Department of Labor Releases “DOL – Timesheet” App for iPhone

The Wage and Hour Division of the Department of Labor recently released a timesheet application on the Apple iTunes store. On May 9, 2011, “DOL – Timesheet” became available for download. The application allows employees to keep track of hours worked and amount of pay owed including overtime. Through the app, employees are able to…

June 8, 2011