NEWS

Client Alert: Force Majeure in the Shadow of the Iran War: What Contract Holders Must Do Right Now

In the last ten days, the Iran war and the closure of the Strait of Hormuz have moved from geopolitical risk to operational crisis. QatarEnergy has declared force majeure on LNG deliveries. Major oil and gas producers have suspended shipments. Tankers have been struck or stranded. For companies holding supply, delivery, and commercial contracts with Middle East delivery obligations touching upon the Strait of Hormuz, the question is no longer whether to engage force majeure — it is whether your clause will hold under scrutiny, and whether you have already missed the window to invoke it.

NEWS

Client Alert: Supreme Court Rules President Lacks Authority to Impose Tariffs Under IEEPA

• The Supreme Court ruled that IEEPA does not authorize the President to impose tariffs in a 6-3 decision.
• The Supreme Court did not address how tariffs will be refunded to importers. Resolution of that process will now be in the hands of the lower courts.

NEWS

Client Alert: The Fifth Circuit Clarifies “Limited Partner” for Self-Employment Tax Purposes

• The Fifth Circuit held that a “limited partner” for purposes of the self-employment tax means a partner in a state law limited partnership who has limited liability. 
• The court rejected the IRS’s “passive investor” interpretation and instead held that generally, a limited partner with limited liability under state law qualifies for the exclusion from the self-employment tax on the partner’s share of partnership income. 
• The Fifth Circuit’s decision could lead to a potential circuit split, ultimately setting up the issue for consideration before the Supreme Court. 

NEWS

Client Alert: Good Intentions, Hidden Risk: How to Structure Resident Programs Safely

Many communities are seeing an increase in resident-led initiatives designed to help neighbors. Initiatives include assisting with minor household tasks, walking pets during illness, providing transportation to appointments or helping with light maintenance such as replacing filters or batteries. These efforts reflect the best of community living. However, when not properly structured, they can create unintended liability exposure for community associations.