Securities and Exchange Commission Adopts Final Fund of Funds Rule

On October 7, 2020, the Securities and Exchange Commission (SEC) adopted Rule 12d1-4 and other amendments under the Investment Company Act of 1940, as amended, which streamline and enhance the regulatory requirements for registered investment companies and business development companies to acquire shares of other funds in excess of the limits in Section 12(d)(1) of the 1940 Act.

Pennsylvania Raises Salary Threshold, Updates Duties Tests with New Overtime Rule

Effective October 3, 2020, the Pennsylvania Department of Labor & Industry (L&I) has updated Pennsylvania’s overtime rules to increase the salary threshold for qualifying under the Pennsylvania Minimum Wage Act (PMWA) as an exempt executive, administrative, and professional employee. The rule also brings the duties tests for executive, administrative, and professional workers into closer alignment with tests under the Fair Labor Standards Act (FLSA).

Court Addresses Arbitration Provision in Connection With Post-Petition Debtor Contracts

In Woodbridge Wind-Down Entity v. Monsoon Blockchain Storage, the U.S. Bankruptcy Court for the District of Delaware (the “Court”) addressed the enforceability of an arbitration provision in connection with a post-petition contract entered into by the debtors and a non-debtor counterparty. The Court first concluded that Paragraph 22(B) did provide for the arbitration of disputes under the APA. However, the Court then found that the Addendum represented the parties’ actual intent and that its language controlled. In light of the Addendum’s unambiguous language, the Court concluded that the parties did not agree to arbitrate claims under the APA.

The Antitrust Legacy of Justice Ruth Bader Ginsburg

Ruth Bader Ginsburg was a trailblazer on so many fronts. Her well-earned nickname “notorious RBG” is usually synonymous with gender equality, civil rights, and equal justice under the law. Her mark on the law is certainly indelible, and what she stood for as the second female Justice on the Court, (one who was deemed unworthy of any law firm job despite graduating first in her class from Columbia Law School) maybe even more so. But one area of the law in which her opinions in a most prolific career are rare, is that of antitrust.

The Compliance Monthly: Fraud Emerges as Telemedicine Surges – Compliance Guidance for Telemedicine Providers

Telemedicine providers should examine the type of conduct DOJ has recently
focused on and adapt their compliance systems accordingly. Providers should also consider the
cybersecurity dimension of a robust compliance system and ensure that their network is
protected from malicious cyber actors.

SEC Expands the Definition of Accredited Investor

SEC rules governing accredited investors are designed to protect individual investors from risks that could result from the lack of regulatory oversight associated with unregistered private securities offerings. By expanding the definition of “accredited investor,” the SEC has provided more investors with the opportunity to access alternative investments and given companies, private-equity firms, and hedge funds access to a larger pool of investors.

SEC Adopts Amendments to Regulation S-K Items 101, 103, and 105

Under the rule amendments, the SEC significantly revised public company business disclosure rules for the first time in more than 30 years. The amendments were crafted from a proposed rule released in August 2019 that was part of a comprehensive review by the SEC of the disclosure requirements per a study mandated by the JOBS Act.