Report from Counsel, Author at Ross Law Firm Ltd.

Some bequests that ‘look’ equal really aren’t

09/29/2015 by Report from Counsel

When you’re deciding how to divide your assets among multiple heirs, it’s very important to consider who will pay your estate’s debts out of their share. Two bequests that look equal in theory might be very different in practice once debts are taken into account. Generally, when a person dies, his or her outstanding debts … Read more

Social media: New issues for business

08/17/202009/29/2015 by Report from Counsel

Social media is a relatively new field, and the law is just beginning to catch up with all the issues that are being raised for businesses.

Here’s a quick checklist of concerns. It’s by no means exhaustive, which is why a thorough legal review of a company’s social media practices is always a good idea.

Do you look at employees’ (or job applicants’) personal social media accounts? These days, many employers want to keep tabs on their workers’ social media presence. Employers want to get out ahead of problems, such as employees bad-mouthing the company on Twitter or posting confidential information on Facebook.

Remarrying? Always consider a prenup

08/17/202009/29/2015 by Report from Counsel

People who are remarrying after a death or divorce should almost always strongly consider having a prenuptial agreement.

When prenup agreements first became popular a generation ago, most people thought of them as a way for wealthy people to protect themselves in case they were marrying a gold digger. Today, however, prenups don’t have the same connotation. They’re often used as a straightforward financial and estate planning tool, especially by mature couples who are entering into a second marriage.

The number one reason that people enter into prenups

Supreme Court alters estate planning for gay couples

09/29/2015 by Report from Counsel

The Supreme Court’s recent ruling extending same-sex marriage throughout the U.S. has changed the estate planning landscape for gay couples.

The biggest change, of course, will be for couples living in states that didn’t recognize same-sex marriage before the decision. But the ruling is also important for couples in states that previously permitted same-sex marriage, because in the past, their estate planning had to take into account the fact that they might travel, own property, or retire in a state that didn’t recognize their union. This is no longer true.

For example, in the past, couples who resided in a “non-marriage” state couldn’t take advantage of the federal law that says a person can leave an unlimited amount of assets to a spouse in a will without being subject to the federal estate tax. And they couldn’t take advantage of another provision that allows one spouse to “inherit” the other’s unused estate tax exemption.

‘Longevity insurance’ sales are growing fast

08/17/202009/29/2015 by Report from Counsel

There’s a new product on the market called “longevity insurance.” This is really just a new name for an old concept, the deferred annuity. Unlike most annuities, which are purchased with a lump sum and begin paying out soon afterward, these policies typically don’t begin paying anything until some 10 or 20 years after you … Read more

Supreme Court gay marriage ruling affects employee benefits

09/29/2015 by Report from Counsel

The U.S. Supreme Court’s recent decision extending same-sex marriage to every state will have a big effect on many employee benefit programs.

Prior to the ruling, most states (and the federal government) recognized same-sex marriage. If all of your employees live in states that previously recognized gay marriages, then no changes are required. But if any of your employees live in previously “non-marriage” states, then the ruling will make a difference.

If some of your workers live in “non-marriage” states and you previously offered benefits to same-sex spouses, then for any employees in those states who have a same-sex spouse, you’ll need to adjust their state tax withholding to the “married” rate, and you may need to adjust their withholding to reflect the fact that spousal health benefits will no longer be subject to state tax.

‘Comparative advertising’ was close to the line but okay

08/17/202009/29/2015 by Report from Counsel

The Schick razor company recently complained to the National Advertising Division (an ad industry regulatory body administered by the Better Business Bureau) about ads created by the Dollar Shave Club. Schick believed the ads accused name-brand razor companies of engaging in price-gouging and ripping off customers by charging extra for useless features. One Shave Club … Read more

Businesses may be in more trouble for data breaches

08/17/202009/29/2015 by Report from Counsel

Two years ago, retailer Neiman Marcus suffered a data breach that resulted in some 350,000 customers having their credit card information compromised. About 9,200 of those customers ended up with fraudulent credit card charges.

That’s bad enough – but Neiman Marcus was then sued in a class action by customers who didn’t have any fraudulent charges on their cards. These customers said Neiman Marcus should nevertheless compensate them for the time and money they had spent on credit monitoring and other efforts to prevent fraud as a result of the hack.

Amazon sued for directing people to competing products

08/17/202009/29/2015 by Report from Counsel

A company called Multi Time Machine makes high-end military-style watches. It refuses to sell them on Amazon. If you search for the company’s watches on Amazon, you’ll get a long list of competing watches. Is this illegal? Possibly, according to a federal appeals court in San Francisco, which allowed a lawsuit against Amazon. If you … Read more

IRS explains mortgage interest deduction for multiple owners

08/17/202009/29/2015 by Report from Counsel

As a general rule, you can deduct home mortgage interest on your federal income taxes, as long as you itemize deductions. This sounds simple enough, but it can get complicated if a home is owned by more than one person. Recently, the IRS provided an explanation of how this works. According to the IRS, the … Read more