August 24, 2012
In this article we look at some of the issues concerning trustees and beneficiaries where a complaint is made about the performance of trust investments.
In recent years in particular, trustees will be excused for having had many sleepless nights, lying awake asking themselves such questions as:
- Is my fund exposed to any of the reported $50bn losses in Bernie Madoff’s Ponzi scheme?
- How much of the decline in global stock markets – $32trn from their 2007 peaks to mid 2009 – are in my fund?
- Does my fund have exposure to the $50trn market in CDOs that has now blown up with such spectacular effect? More…
August 23, 2012
The Central Bank of the Russian Federation adopted Instruction as of the 4th June, 2012 No.1238-I “On order of submission by residents and nonresidents to authorized banks of documents and information relative to conducting of currency operations, order of transaction passport formalization as well as order of currency operations’ registration by authorized banks and control for their execution” (hereinafter, «Instruction»).
The Instruction provides updated set of requirements to formalization of international transaction passport (hereinafter, “TP”), which is one of the primary measures of currency control in the Russian Federation; it was elaborated by the Central Bank of the Russian Federation further to provisions set out in section 1, article 20 of the Federal Law “On currency regulation and currency control” No 173-FZ, and is supposed to substitute the current instruction of the Bank of Russia as of the 15th June, 2004 No 117-I, as well as row of other normative acts of the Bank of Russia regulating issues of transaction passports formalization. More…
August 23, 2012
A recent consultation launched by the Scottish Government is seeking views from interested parties on proposals to introduce a no-fault compensation scheme for NHS claims in Scotland.
The proposals are based on recommendations made by an independent panel, the No-Fault Compensation Review Group, which was set up by the Health Secretary in 2009.
The Review Group’s report was published in February 2011 and recommended that the Government should consider establishing a no-fault scheme that would cover all clinical treatment injury, similar to the ‘no blame’ system in operation in Sweden.
August 22, 2012
by: D. Martin Stanberry and Donald S. Krueger
In the latest in a series of National Labor Relations Board (“Board”) decisions that expands its sphere of influence in non-unionized workplaces, a divided three-member panel of the Board found that an employer’s routine request that employees not discuss matters under investigation with their co-workers violated Section 8(a)(1) of the National Labor Relations Act because it “had a reasonable tendency to coerce employees.” Banner Health System 358 NLRB No 93 (July 30 2012)
In reaching its conclusion, the Board brushed aside the employer’s “generalized concern with protecting the integrity of the investigation.” The Board did suggest, however, that confidentiality may be appropriate, and lawful, if the employer can show: (1) the need to protect witnesses; (2) a likelihood that evidence may otherwise be destroyed; (3) the threat that subsequent testimony would be fabricated; or (4) the need to prevent a “cover-up.” Unfortunately, the Board offered no guidance as to what type of proof (general or specific, subjective or objective) is required to meet this burden.
August 22, 2012
My earlier post explored various real estate strategies frequently used in hospital M&A transactions. Each of those different approaches – using real estate assets to secure acquisition financing, increasing existing lines of credit, or monetizing the real estate assets through divestiture – reflect different objectives and opportunities. But, real estate is more than “location, location, location” and “strategy, strategy, strategy”—there must also be “value, value, value”. The real estate market itself is the lynchpin to establishing the value of individual properties, but the value of hospital properties is frequently affected by dynamics somewhat unique to hospitals. Often, a hospital will expand its footprint by purchasing multiple smaller parcels over the years. And, for many older hospitals, that can mean almost a century. Due to the multitude of smaller parcels and the lengthy time-span over which the properties may have been acquired, you may frequently find older title encumbrances that potentially affect the value of the hospital properties and, in turn, cause insurability concerns for many title companies. We see several re-occurring title issues in hospital M&A transactions.
August 22, 2012
by Wendy G. Marcari
A new progress report from the Minority Corporate Counsel Association (MCAA) reveals a significant increase in the number women general counsel among Fortune 500 companies. Women now hold the top legal position at 21% of Fortune 500 companies, reaching an unprecedented high of 108 women in 2011, up from 44 women in 1999 when MCCA began tracking this information. Six states account for half the list: California, New York, Texas, Illinois, New Jersey and Virginia. Women general counsel also are increasingly diverse; 16% of the group identified themselves as minorities.
August 22, 2012
The CIPD has published the results of recent research, which reveal that a third of UK companies are continuing to employ staff they currently don’t need in order to retain their skills. However, the research also found that these companies can’t continue to do this indefinitely, and redundancies will be inevitable if the economy doesn’t start to grow.
“This is a make or break moment for employers – unless growth picks up many will find that they cannot hold on to some workers any longer,” said Gerwyn Davies, Labour Market Adviser at the CIPD. “The tenacity with which employers are hanging on to skilled labour is a reflection of the high value they place on it and the damage they fear will be done to their businesses if they are forced to start making more redundancies.”
August 21, 2012
by Allen B. Roberts, Stuart M. Gerson, Frank C. Morris, Jr., and Michael J. Slocum
Our previous postings have noted the progression of decisions during the past two years by the U.S. Department of Labor (“DOL”) Administrative Review Board (“ARB”) that have liberally expanded substantive provisions of whistleblower statutes under its jurisdiction. Now, the ARB has enabled whistleblowers to maintain their administrative complaints and survive dismissal in circumstances where recital of the factual bases of their claims would be fatally deficient if filed in federal court instead of a DOL administrative proceeding. The currently constituted ARB has rejected the heightened pleading standards, announced by the U.S. Supreme Court and applicable in federal district courts, requiring that a complaint set forth sufficient factual allegations to “state a claim to relief that is plausible on its face.” Instead of that judicial standard, the ARB has elected to require that an administrative whistleblower complaint filed before the Occupational Safety and Health Administration (“OSHA”) and the DOL’s Office of Administrative Law Judges (“OALJ”) need only “give ‘fair notice’ of the protected activity and adverse action” in order to withstand a motion to dismiss; and complainants are afforded “sufficient opportunity to amend or supplement” a complaint that does not measure up in the first instance. Evans v. U.S. Environmental Protection Agency, ARB Case No. 08-059 (July 31, 2012).
August 21, 2012
The GoI is planning to distribute free medicines across India through Government hospitals as also making such medicines available through Government stores at a nominal price.
The GoI model is inspired by the “Medicines Supply Corporation’ established in the State of Tamil Nadu in India, which procures generic medicines in bulk at almost 1/20th of the market price, and supplies them to the in-house patients in the Government hospitals. The Central Government is planning to set-up a similar ‘Central Procurement Agency’ (“CAP”) to procure generic medicines in bulk and at cheaper rates, to be distributed across India in cooperation with the state governments. The CPA will also be responsible for specifying uniform standards for procurement of the medicines, and to monitor the procurement process.
This ambitious initiative of the GoI is expected to take a couple of years of pre-implementation planning.