Publications

A commonly heard complaint about qualified retirement plans and §403(b) tax sheltered annuity programs is that when a plan administrative error is made, not only are there the costs of correcting the error (e.g., additional benefits for new participants), but there may also be retroactive income tax consequences, interest and penalties. In recent years, the […]

A special kind of irrevocable trust, known as a qualified personal residence trust (or QPRT), may enable you to transfer your residence to your children (or others) at a significantly reduced value for tax purposes, yet allow you to continue to live in the residence for as long as you wish. Setting Up a QPRT. […]

You are about to go to trial on a former employee’s discrimination claim that she was terminated because of her gender. With counsel, you have engaged in a cost-benefit analysis, considering how much back-pay she could get if she won, along with possible emotional distress damages. The total is high, but you have decided to […]

Although an employer has a right to inquire during a job interview as to whether an individual can do a job, an employer cannot ask questions that are likely to elicit information about whether an applicant has a disability. Accordingly, seemingly innocent questions might very well be illegal under the Americans With Disabilities Act (“ADA”) […]

Major pharmaceutical companies recently lost patent litigation battles involving blockbuster drugs. Patent Term for Prozac Reduced Eli Lilly & Co. lost almost two years of patent protection on its $1 billion Prozac® anti-depressant when a U.S. Court of Appeals held that an earlier expired patent covered the scope of a current unexpired patent. When a […]

When a negotiating a license or collaboration agreement for a early stage drug or discovery collaboration, the 10-15 years length of the royalty term seems like a long time in the future, especially if the drug will not even be launched for 5-10 years. However, as Lilly, BMS and others recently learned, every year can […]

Persons who own vacation houses or apartments in desirable locations often want to share the benefits of such properties with their children or other family members. Use of a limited liability company (LLC) may enable an owner to transfer interests in property to others at a significantly reduced tax cost and avoid family disharmony at […]

The White-Collar Defense and Internal Investigations Practice Group counsels clients on criminal, civil and regulatory investigations by federal and state governmental agencies, conducts internal investigations for corporations and other entities, and advises clients on internal compliance program. The practice includes health care fraud and abuse, trade secrets, securities, banking, investment advisor, environmental, government contracting, tax […]

In 1996, Congress enacted the Economic Espionage Act (“EEA”), which created federal criminal liability for the theft of trade secrets. Until that time, the theft of trade secrets was primarily a civil matter. In enacting the EEA, then, Congress departed from the tradition of state-prescribed trade secret laws and committed feudal resources to the fight […]

In United States v. Adlman,the United States Court of Appeals for the Second Circuit expanded the scope of the work-product doctrine. That doctrine protects against compelled disclosure of work-product, such as memoranda, analyses, investigations and reports, undertaken in anticipation of litigation. Prior to Adlman, several courts limited the doctrine to protect only those materials created […]

Since the passage of the Americans with Disabilities Act (ADA), employers have had to try to balance the sometimes conflicting rules under Connecticut’s Workers’ Compensation Act (Act) and the ADA without the benefit of any guidance from the government. Recently, however, the Equal Employment Opportunities Commission (EEOC) issued an “Enforcement Guidance” describing the interaction between […]

Appendices for 2004 Connecticut Property Tax Update

Split-Interest Inter Vivos Trusts – GRATs, GRUTs, QPRTs, CRATs and CRUTs Gifts made during one’s lifetime, whether to individuals or charities, are usually more tax efficient than testamentary gifts. Lifetime gifts allow one to remove not only the value of the gift from one’s taxable estate, but also any future appreciation in the value of […]

Even with recent steps taken by the FDA to “fast track” the new drug application and approval process, the period between application and approval remains lengthy. As a result, patent holders may be deprived of the full benefit of their patent. To remedy this loss of patent protection, many countries have adopted patent term extension […]

As Connecticut employers well know, they have been operating under archaic and what many feel to be unreasonable wage and hour laws. Particularly difficult to administer have been the rules addressing exempt employees. Most commonly the questions arise in the context of whether an employee falls within the wage and hour laws’ definition of exempt, […]

The 2004 legislative session was, once again, active and provided significant legislation for the utility and regulated industries. Among other things, the session extended the moratorium on electric and gas transmission line construction across Long Island Sound and made numerous changes to the statutes governing the Siting Council (“Siting Council” or “Council”). The following is […]

The federal Emergency Planning and Community Right-To-Know Act (EPCRA) requires hospitals and other healthcare institutions to submit annual Tier II reports which describe chemical inventories, management, and use. Such health-related facilities in Connecticut and elsewhere in New England should immediately take note that Region 1 of the United States Environmental Protection Agency (EPA) is considering […]

Thanks to all of who responded positively to my initial e-mail (update #1). As to those receiving this e-mail who didn’t respond, I’m keeping you on the list for now just in case you would like to receive these updates but haven’t had a chance to tell me so. If that’s the case, please let […]

Government agencies that provide financial and other types of incentives and assistance to affordable housing developers are increasingly incorporating “green building” standards, often developed by the private sector, into their programs and regulations. These standards generally incorporate specific construction, rehabilitation, and outfitting methods and/or materials intended to reduce a building’s energy use and environmental impact.

The United States Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) recently issued its Final Rule regarding Internet Applicants. It is imperative that employers who are government contractors familiarize themselves with the Final Rule. Particular attention should be paid to the actions that trigger record keeping requirements and what the OFCCP calls “consideration […]

Effective October 1, 2005, same sex couples in Connecticut will be able to obtain legal recognition as members of a civil union. Under the new law, “[p]arties to a civil union shall have all the same benefits, protections and responsibilities under law, whether derived from the general statutes, administrative regulations or court rules, policy, common […]

In a July 6, 2006 decision in the seemingly never-ending tobacco wars the Florida Supreme Court in Engle v. Liggett Group, Inc. managed to include some good news for each side. Industry defendants were pleased by the Court’s decision affirming an intermediate appellate court’s reversal of a July 2000 jury verdict awarding a class of […]

A grant of rights to a copyrighted work does not necessarily permit use of the copyrighted work in a digital or electronic form. Two recent judicial decisions illustrate the need for agreements to expressly indicate whether a grant includes digital and electronic media. In one case, Random House v. Rosetta Books, the District Court for […]

Generally, an “estate freeze” is any technique that allows a person to fix or “freeze” an asset’s value for estate and gift tax purposes at a given time, so that any future appreciation in value of the asset can pass to a recipient at no additional tax cost. In a sense, all outright gifts made […]

Estate freeze techniques range from simple installment sale arrangements to complex arrangements involving private annuities, “grantor retained annuity trusts” (GRATs) and “intentionally defective grantor trusts” (IDGTs). No one approach fits all situations. Installment Sales Perhaps the easiest way to freeze asset value for estate tax purposes is to simply sell the asset for its current […]

The Spring 1999 Estate Planning Advisory outlined the advantages of Family LLCs as a means of centralizing the management of real property while also allowing for the ownership of the property to be disbursed among family members. While that remains one of the primary uses, family LLCs can also be used to manage many other […]

Imagine that you go into work, pick up your mail, and discover a letterfrom CompuGlobal Mega Hypernet. The fine folks at CompuGlobal are takingthe time to inform you that if you don’t start giving them a percentageof your sales, they will be forced to sue you for infringing the claimsof their patent. “A patent, you […]

Love and affection can be sufficient motivation to make gifts. But savvy planners can also use lifetime gifts to significantly reduce future estate taxes. Care must be taken, however. The Internal Revenue Code and Connecticut law impose a gift tax on gifts in excess of $10,000 and on gifts of future interests. (Connecticut gift tax […]

Making gifts to minors can pose special challenges. While you can make an outright gift of cash or property to a minor, for obvious reasons that is not always a sensible thing to do. All states permit some form of custodial accounts for minors, which can often be the most economical way of giving gifts […]

Among the educational incentives created under the Tax Reform Act of 1997 are “qualified state tuition programs” that allow tax-deferred investment accounts to be set up by states that individuals can use for college expenses. Connecticut and a handful of other states (including New Hampshire and New York) have set up such programs. Basically, the […]