Category: Commercial Litigation

​​For decades, Texas business owners have relied on the assumption that if the contract allows it, the courts will enforce it. However, a recent and significant ruling from the Texas Business Court has added nuance to this rule. The court recently weighed in on a dispute involving drag-along rights and whether those rights can be…

​​When the Securities and Exchange Commission (SEC) initially created Rule 14a-8 in 1942, it was intended to ensure shareholders had a voice in how a company was run by requiring that qualifying shareholder proposals be included in the proxy materials ahead of a shareholder meeting. In recent decades, Rule 14a-8 has been criticized because clever…

​​The Security and Exchange Commission was established as a regulatory body to protect investors from misconduct. This role can become complicated as companies and investors sometimes feel misalignment in their goals and values. This type of conflict was demonstrated in a case that led to the Fifth Circuit’s Court of Appeals ruling to affirm the …

​​The Fifth Circuit Court recently ruled that companies in bankruptcy can sell their legal rights to recover certain payments made before filing (avoidance actions) to outside parties. This decision, made on January 22, 2024, in Briar Capital Working Fund Capital, L.L.C. v. Remmert (In Re South Coast Supply Company) applies not only to preference actions…

​​Under the new Corporate Transparency Act, after January 1, 2024, business owners are required to submit important ownership information to the Financial Crimes Enforcement Network (FinCEN), a bureau of the U.S. Treasury. Both new and previously established businesses are mandated to report and face hefty fines and penalties for missing important deadlines. As an aid…