CTA Injunction Update
Following the nationwide preliminary injunction against enforcement of the Corporate Transparency Act (CTA), on December 5, 2024 the US Department of Justice filed a Notice of Appeal of the court’s ruling in Texas Top Cop Shop, Inc., et al. v. Merrick Garland, Attorney General of the United States (Case No. 4:24-cv-478).
Pending the litigation’s outcome, FinCEN issued an alert stating it will comply with the court’s order. Reporting companies are not currently required to file beneficial ownership information reports with FinCEN but may nevertheless voluntarily submit beneficial ownership information reports with FinCEN. It is unclear what approach FinCEN will take to the extent the court of appeals stays the preliminary injunction yet this year, setting the compliance obligations back in motion. Where this occurs, companies could find themselves racing to comply with the January 1 filing deadline.
News from Scopelitis is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.
CTA Injunction Update
Following the nationwide preliminary injunction against enforcement of the Corporate Transparency Act (CTA), on December 5, 2024 the US Department of Justice filed a Notice of Appeal of the court’s ruling in Texas Top Cop Shop, Inc., et al. v. Merrick Garland, Attorney General of the United States (Case No. 4:24-cv-478).
Pending the litigation’s outcome, FinCEN issued an alert stating it will comply with the court’s order. Reporting companies are not currently required to file beneficial ownership information reports with FinCEN but may nevertheless voluntarily submit beneficial ownership information reports with FinCEN. It is unclear what approach FinCEN will take to the extent the court of appeals stays the preliminary injunction yet this year, setting the compliance obligations back in motion. Where this occurs, companies could find themselves racing to comply with the January 1 filing deadline.
News from Scopelitis is intended as a report to our clients and friends on developments affecting the transportation industry. The published material does not constitute an exhaustive legal study and should not be regarded or relied upon as individual legal advice or opinion.