New Compliance Alert! The Corporate Transparency Act is Now in Effect

February 14, 2024

Effective January 1, 2024, all businesses conducting and engaging in business within the United States, have one more requirement to add to their list.   


The Corporate Transparency Act (“CTA”), was passed by Congress in 2021, and recently took effect January 1, 2024.


What is it? The Act requires businesses to report their “beneficial owners” to the government through a Beneficial Ownership Information (BOI) report. A “beneficial owner” is someone who owns 25% or more of the business or exercises substantial control over it. The reports are made to the United States Treasury Department’s Financial Crimes Enforcement Network (FinCEN), which has been tasked with maintaining a national registry of beneficial owners of the reporting companies.


Why was this passed? The Act is Congress’ attempt to prevent money laundering, terrorism financing, tax fraud, and other illicit activities including human and drug trafficking and securities fraud (aka prevent shell corporations and hiding money). While shell corporations are not illegal, they can be used to engage in activities that shield entities from legal liability, which is disfavored by the government and courts. Certain circumstances actually benefit from the use of a shell corporation, i.e. where companies seek to take advantage of doing business “offshore.” However, the “bad actors” who abuse this business structure have used such strategies for personal gain and, according to the government, hide from legal liability.


Who does it effect? The new reporting requirement affects all businesses, corporations, and LLCs, no matter how big or small. It also affects non-US entities that are registered to conduct business with any state or territory within the United States.


How do you comply? To remain in compliance with the reporting requirement, business must file the report by year end of 2024. If you create a business this year, 2024, but before January 1, 2025, you will have 90 calendar days after receiving notice of the company’s creation or registration to file the initial BOI report. Notice is actual notice received or public notice by the secretary of state, whichever is earlier. Failure to comply could lead to financial penalties or jail time. Such penalties include felony convictions, $500 daily (for every day of non-compliance) penalty up to $10,000, up to two years in prison. 


If your business has any questions on this topic or any other matters, please do not hesitate to contact the attorneys at The Royal Law Firm at 413-586-2288.

Brandon Calton admitted to the United States District Court of Connecticut

June 10, 2025
Brandon Calton is now admitted to the United States District Court, Connecticut! The Royal Law Firm is passionate about expanding our reach so that we can better serve our clients and their needs. Brandon is admitted in Massachusetts, the United States District Court of Massachusetts, and the United States District Court of Connecticut.

Federal Court Vacates EEOC’s “Abortion Accommodation Mandate” in PWFA

By Heather Child • June 9, 2025
On May 21, 2025, the U.S. District Court for the Western District of Louisiana struck down a provision in the Equal Employment Opportunity Commission’s (EEOC) final rule under the Pregnant Workers Fairness Act (PWFA), ruling that the agency exceeded its authority by requiring employers to accommodate elective abortions that are not medically necessary. Background Information: In June 2022, the U.S. Supreme Court issued a decision in Dobbs v. Jackson Women’s Health Organization, which overturned Roe v. Wade and eliminated the constitutional right to abortion. Congress passed the Pregnant Workers Fairness Act in December 2022, and it became effective in June 2023. The law requires employers with 15 or more employees to provide reasonable accommodation to qualified applicants or employees who have physical or mental conditions related to pregnancy, childbirth, or related medical conditions, unless doing so would cause significant difficulty or expense for the employer. In April 2024, The EEOC issued its final interpretation of the PWFA including abortion in the definition of “pregnancy, childbirth, or other related medical conditions” thereby requiring employers to provide accommodations related to abortion. In May 2024, the states of Mississippi and Louisiana sued the EEOC, arguing that the interpretation conflicted with the U.S. Supreme Court’s Dobbs decision and their respective state laws on abortion. In June 2024, Judge Joseph found that the EEOC exceeded its authority and issued a preliminary injunction postponing the effective date of the interpretation to provide accommodation for elective abortions until final judgment was entered in this matter. The final judgment was entered on May 21, 2025, that remanded the matter to the EEOC to revise the final rule and all related implementing regulations and guidances. Employer Takeaways: While employers are no longer (as of now) REQUIRED to provide accommodation for elective abortions, the remainder of the PWFA remains in full effect The decision to have or not have an abortion remains protected under Title VII The PWFA does not supersede state or local laws providing greater protection for pregnant workers. It is important to stay up to date on state regulations to ensure employers are complying with state laws. While it is still unclear how this ruling will impact employers nationwide, it is still important to continue to stay up to date on ever-changing legislation.  If your business has any questions on this topic or any other matters, please do not hesitate to contact the attorneys at The Royal Law Firm at 413-586-2288.