(Part III of III) Part one of this three-part series presented the description of Clary Hood, Inc. (“CHI”) and the description of the tax litigation concluded in the Hood decision. Part two of this series summarized the Tax Court’s analysis and conclusions regarding the reasonableness of executive compensation issues in this matter. This third and final discussion summarizes the Tax Court’s analysis and con ...

Survey Evidence in Food and Beverage False Labeling Class Actions With false labeling class actions on the rise, rigorously designed surveys can provide contextual clues needed to explain how the “reasonable consumer” makes purchasing decisions. The authors of the article discuss the importance of surveys to establish a basis for causation and damages, and several legal decisions on the very issue. With fal ...

(Part II of III) Part one of this three-part series summarized the facts regarding Clary Hood, Inc. (“CHI”) and the basis for the litigation. This second article focuses on the Tax Court’s analysis of the reasonableness of compensation issue in the Hood decision. Introduction The U.S. Tax Court decision in Clary Hood, Inc. v. Commissioner[1] provides important practical guidance to private companies and to ...

How many clients will you gain or lose this year? A rough gauge of those figures might come from identifying whom among your client or referral bases is passively or actively loyal to you or your firm. Author Rohit Bhargava has written about this concept and understanding it presents two massive opportunities for your practice. The author of this article shares the insight gained from Rohit Bhargava. How ma ...

(Part I of III) This article about excess compensation is comprised of three-parts. Part one summarizes the facts regarding Clary Hood, Inc. v. Commissioner and the U.S. Tax Court’s holding. Part two of this series describes the Tax Court’s analysis and conclusions regarding the reasonableness of compensation issues. Part three describes the Tax Court’s analysis and conclusions regarding Section 6662 penalt ...

FTC Proposes Rule to Ban Non-Competes On January 5, 2023, the Federal Trade Commission (FTC) issued a Notice of Proposed Rulemaking (NPRM) that, if adopted, would functionally serve as a complete ban on non-compete clauses and contractual provisions or employment policies that have a similar effect with limited exception. The 60-day comment period runs through March 7, 2023. On January 5, 2023, the Federal ...

Their Changing Roles and Responsibilities The Frye and Daubert decisions shook the legal world and the standards enunciated also shook the valuation world. In this article, the author shares some recent Maryland developments and surmises that there may be more changes coming that will affect the role of lawyers, judges and experts. In my 30 years as a Judge on three different Maryland Trial Courts and the l ...

An Additional Consideration for Business Valuation and Forensic Accountants When Valuing a Company The Biometric Information Privacy Act (BIPA), 740 Ill. Comp. Stat. 14/1 et seq., is not just for Google and Facebook. While the technology giants have been sued for allegedly violating BIPA, so too have countless other companies. In the last few years, plaintiffs have sued hundreds, if not thousands, of compan ...