Easements: Six Basic Questions to Answer During Due Diligence
During due diligence, purchasers of commercial properties almost invariably discover easements burdening the property they are interested in acquiring. Although there are different methods of establishing easements, here we deal primarily with easements established by express grant (i.e. in writing). Perhaps most common are easements granting an abutter, utility company or other third party rights […]
Insider Trading 2.0: The Expanded Definition of Insider Trading
Insider trading focuses on the impropriety of obtaining and trading on material nonpublic information, or providing such information to another person in breach of a duty of trust and confidence. Recently, however, Eric T. Schneiderman, the New York State Attorney General, vowed to expand that definition to include what he calls “insider trading 2.0.” By cracking […]
When you make your charitable contributions, remember your Uncle Sam
The Government needs help. It cannot balance its books. It spends more than it takes in. Maybe if we all contribute a little bit we can reduce that deficit. Not so fast. In an opinion issued on January 27, 2014, GAO said that the U.S. Treasury Department violated the voluntary services prohibition of the Antideficiency […]
Unprecedented Health Care Fraud Enforcement Actions Expected in 2014
Fraud has long plagued the health care industry. It has been estimated that between 10 and 20 cents of every dollar spent on health care goes toward paying for fraudulent claims. Over the past several years, health care fraud has reached an all-time high. Last week, the U.S. Department of Justice announced that health care fraud cases amounted […]
A “Bad Investment” Involving Beanie Babies
Who doesn’t remember the adorable plush toys of the nineties known as Beanie Babies? To say they were ubiquitous is to understate the plain fact that Beanie Babies were everywhere. Kids loved them, parents hated them, and collectors thought they would strike it rich when—one day—that Benny the Bull Beanie Baby could be sold to […]
What’s playing at jail this week?
The owner of a New York janitorial company that had a contract to clean about 27 movie complexes won’t be watching any weekend matinees for the next 90 days. Instead, he’ll be in jail. According to a press release by the New York State Attorney General, Royal Commercial Cleaning, owned by Mr. Jose Hector Hernandez […]
Bankruptcy Court Action Unavailable to Lender Seeking Property Rents
A recent decision of the U.S. District Court for the District of New Jersey, upholding an order of the United States Bankruptcy Court for the District of New Jersey, reinforces a 1995 case holding that in most situations, neither a lender nor a trustee in bankruptcy may look to the Bankruptcy Court to pursue claims […]
Staying out of the news and away from controversy are not things Kim Dotcom does well. Staying out of court, however, seems to be one of his primary talents. Dotcom is, of course, best known as the flamboyant creator of the file-sharing website Megaupload. In a recent interview, Sixty Minutes deemed Dotcom “Hollywood’s Villain”—a cheeky nod to both […]
“Too Big to Jail?” Don’t Count on a DPA
After the criminal prosecution of Arthur Andersen in 2002, which decimated the storied accounting firm, the Justice Department seemed to shelve its indictment power in favor of deferred prosecutions—at least, where large companies were concerned. The reasoning was simple. A criminal indictment, or a guilty plea, would spell the end for a bank or a […]