MSLaw Blog

On July 26, 2022, the Montgomery County Council unanimously passed ZTA 22-02, which allows for additional height and development flexibility for research and development (“R&D”) and medical/scientific manufacturing facilities in the Commercial Residential, Life Science Center, Employment Office, and Moderate Industrial zones. For qualifying properties, subject to Planning Board approval, the ZTA allows for additional height and flexibility for R&D and medical/scientific manufacturing facilities as follows: On properties where the maximum zoned height is 100 feet or less, building height for

In a stunning decision that has the potential to change the way independent private schools operate, a federal district judge recently ruled in Conrad v. Baltimore Lutheran High School Association d/b/a Concordia Preparatory School that an education institution’s § 501(c)(3) tax exemption constitutes “federal financial assistance” that brings private independent K-12 schools under the auspices of Title IX. To say that this decision is a “game changer” for private schools is an understatement, as the implications are wide and far-reaching. A similar

For those of you who may have missed this important update, Maryland law now requires employers with 15 or more employees to permit the use of existing accrued paid leave for bereavement purposes. Effective October 1, 2021, Maryland’s Flexible Leave Act (“MFLA”) was amended to allow employees to use paid leave for bereavement purposes related to the death of an immediate family member. For purposes of bereavement leave, “immediate family member” is broadly defined as the employee’s spouse, parent, or

Over the past year, we have reported on the new wave of laws enacted and proposed in various states requiring consumer-like disclosures in commercial financing transactions. These state laws are often titled “Commercial Finance Disclosure Laws.” New York and California are two states that have enacted similar CFDLs. Those laws will not go into effect until regulations are finalized. California recently published final implementing regulations on June 9, 2022, and it is anticipated that New York is not far behind.

More and more, employers have considered using surveillance within the workplace, whether it is to prevent theft, measure productivity, or simply monitor what employees are doing when they are on the clock. While these are legitimate business concerns, employers should be mindful of varying state laws on surveillance and an employee’s reasonable expectation of privacy.  An employer has a legitimate interest in maintaining an efficient and safe workplace operation. However, this interest is not without limitation. One aspect of that interest is

On June 14, 2022, the Montgomery County Council introduced ZTA 22-05, which proposes substantial revisions to Montgomery County’s Sign Ordinance. The intent of the ZTA is to remove inefficiencies from the sign review process and clarify the regulatory status of certain types of signs. Key changes proposed include: Allowing the Department of Permitting Services to approve changes to canopy signs without the need to amend the applicable Site Plan. Providing the Planning Board authority to approve residential entrance signs without further approvals

J-1 exchange visitors, often Foreign Medical Graduates ("FMGs"), who receive graduate medical education or training in the U.S. are subject to the two-year foreign residence requirement under Section 212(e) of the Immigration and Nationality Act ("INA"). This requirement means that, upon completion of medical training, the J-1 physician must return to their country of nationality (or country of last permanent residence) for a period of at least two years in the aggregate before becoming eligible for certain nonimmigrant work visas, such

On June 24, 2022, the U.S. Supreme Court decided Becerra v. Empire Health Foundation and resolved a split between the U.S. Courts of Appeal for the 6th, 9th and District of Columbia Circuits in favor of how the Department of Health and Human Services (“HHS”) determines disproportionate share hospital (“DSH”) payments. The Medicare program accounts for the costs incurred by hospitals that serve a higher proportion of low-income patients by making DSH payments to those hospitals. The Medicare program calculates the DSH payment

Our earlier blog post, “Companies Should Know Benefits and Risks of ESG Reporting,” provided an overview of the Environmental, Social and Governance (“ESG”) metrics, why these metrics are important to companies and shareholders, and what some of the risks are of reporting ESG goals and the results of ESG improvement initiatives. Not surprisingly, over the last few months, it has become even more apparent that ESG initiatives are not just a “flash in the pan.” Companies should treat ESG as

A recent change in Virginia law may impact many individual taxpayers. Effective for taxable years beginning on or after January 1, 2022, individual taxpayers who make estimated income tax payments must submit all payments electronically if: Any estimated tax payment exceeds $1,500; Any extension payment exceeds $1,500; or The total anticipated income tax liability in any taxable year exceeds $6,000. These requirements apply to all payments, including any payments for estimated taxes, extension payments, and any other amounts related to an individual return, made

In our earlier post, Public and Regulatory Attention to Forever Chemicals is at an All-Time High, we discussed the expected and upcoming regulation of per- and polyfluoroalkyl substances (“PFAS”). Another chemical expected to see further federal regulation and enforcement action that should be on the radar of many companies is ethylene oxide (EtO). EtO is a flammable, colorless gas that is used to sterilize equipment and products that cannot be otherwise sterilized using steam or extreme heat, such as medical components,

As is now well known both inside and outside of the legal community, the Supreme Court of the United States recently decided Dobbs v. Jackson Women’s Health Organization, where the Court analyzed a Mississippi law that restricted pre-viability abortions. The Supreme Court upheld the Mississippi statute and overturned the constitutional right to abortion established in the 1973 landmark case, Roe v. Wade. The Court emphasized that the precedent set in Roe and affirmed in Planned Parenthood v. Casey was “egregiously

In a significant regulatory change that will impact real property transactions and loan financings, the Maryland Department of the Environment (MDE) joins a handful of states that requires the reporting of historical petroleum contamination above applicable cleanup standards or action levels if discovered or detected while conducting environmental due diligence investigations. The revised regulation at COMAR 26.10.08.01.B took effect on June 13, 2022. The regulation now imposes upon the environmental consultant or person conducting an environmental site assessment and/or the owner of

On May 13, 2022, the Miles & Stockbridge Labor, Employment, Benefits & Immigration practice group presented its twentieth annual Hot Topics in Employment Law seminar to clients from throughout Maryland and beyond. Topics covered included remote work; tax issues, FMLA, and federal and state leave laws; and the myriad issues raised on a day-to-day basis with Human Resources professionals, including coronavirus and mental health concerns, and more. Here are some highlights: Hidden Dangers of Remote Work Meg Manchester presented the potential tax consequences

On May 4, 2022 a Temporary Final Rule (TFR) published by the US Citizenship and Immigration Service (USCIS) of the Department of Homeland Security (DHS) increased the automatic extension period for certain categories of work authorization to up to 540 days. This is a welcome relief for certain categories of foreign nationals who are at risk of losing work authorization due to USCIS’s processing delays.  Below is a summary of this important rule: Who: This rule applies to foreign nationals whose employment

The newly imposed deadline is fast approaching for Government Contractors required to develop annual Affirmative Action Plans (AAPs) to certify that they have in fact created such plans. Supply and service federal contractors and subcontractors who meet the designated jurisdictional thresholds for creating AAPs will need to register and certify by June 30, 2022 via the Department of Labor’s Office of Federal Contract Compliance Programs (OFCCP) online Contractor Portal that they have created annual AAPs under all of the laws that

Per- and polyfluoroalkyl substances (“PFAS”) are everywhere these days. And not just in consumer products that we use every day or in drinking water and soils, but also in the news. This is because the science around PFAS tells us that these “forever chemicals” represent an emerging concern. The short-term and long-term risks are still being evaluated, but studies show that exposure at certain concentrations can be detrimental to human health and the environment. The evolution of laboratory techniques so

Maryland will join the nine states and the District of Columbia in enacting its own paid family and medical leave. Maryland Sen. Antonio L. Hayes (D-Baltimore City) and Del. Kris Valderrama (D-Prince George’s County) sponsored the Time to Care Act of 2022 (the “Act”).  On March 31, 2022, Senate Bill 275 (the Act) passed the legislature and was submitted to Governor Hogan, who ultimately vetoed the bill on April 8, 2022. However, on April 9, 2022, legislators in the Maryland General Assembly

Maryland will join the nine states and the District of Columbia in enacting its own paid family and medical leave. Maryland Sen. Antonio L. Hayes (D-Baltimore City) and Del. Kris Valderrama (D-Prince George’s County) sponsored the Time to Care Act of 2022 (the “Act”).  On March 31, 2022, Senate Bill 275 (the Act) passed the legislature and was submitted to Governor Hogan, who ultimately vetoed the bill on April 8, 2022. However, on April 9, 2022, legislators in the Maryland General Assembly

The Supreme Court has recently taken the challenge of assessing the scope and breadth of workplace arbitration provisions under the Federal Arbitration Act (“FAA”) in Viking River Cruises, Inc. v. Moriana, and Southwest Airlines Co. v. Saxon, both of which stand to have far-reaching impacts for employers seeking to resolve disputes with employees outside of court. The Viking River Cruises case involves a controversy between Viking and its employee Angie Moriana. Ms. Moriana signed an arbitration agreement in which she and

On March 24, 2022, Washington’s Silenced No More Act (formally known as Engrossed Substitute House Bill 1795) was signed into law by Governor Jay Inslee. As a result, Washington has become the second state to declare certain nondisclosure and nondisparagement provisions in employment and independent contractor agreements illegal. California passed its own version of the Silenced No More Act last year. The Washington Silenced No More Act is scheduled to take effect on June 9, 2022. Once enacted, the law will

U.S. Citizenship and Immigration Services (USCIS) published a final rule on March 30, 2022 that will increase access to its premium processing service, under which applicants for certain immigration benefits can obtain expedited processing by paying additional fees. Through the new rule, USCIS seeks to address the budget shortfalls, backlogs, and ever-increasing processing times that have plagued the agency and frustrated applicants, especially during the Covid-19 pandemic. USCIS intends to introduce the increased access to premium processing in the following

Mandatory arbitration agreements for all employment claims will no longer be enforceable under a newly passed law. On March 3, 2022, President Biden signed the Ending Forced Arbitration Act (the “Act”), which invalidates previously agreed upon arbitration clauses to resolve sexual harassment or sexual assault disputes, a bill that had previously passed with wide bipartisan support in the House and Senate. Now, regardless of when an arbitration agreement was signed, mandatory arbitration will not be enforced for claims that arise

On February 24, 2022, the Fourth Circuit restored a $1,186,975.00 arbitration award for a North Carolina securities wholesaler (“Warfield”) who alleged that his former employer ICON Advisers Inc. (“ICON”) unlawfully fired him without cause. Warfield v. Icon Advisers, Inc., No. 20-1690, __ F.4th__, 2022 WL 552029, (4th Cir. Feb. 24, 2022). North Carolina, like most states in the United States, is an at-will employment jurisdiction. At-will employment means that an employer can terminate an employee at any time for any

Last month, we reported on Maryland Senate Bill 825 and its companion House Bill 1211. The Senate Committee on Finance recently proposed material changes to Senate Bill 825, and the bill passed the Senate as modified. House Bill 1211 has since been withdrawn. As introduced, Senate Bill 825 titled “Consumer Credit – Commercial Financing Transactions” contains legislation substantially similar to the Commercial Finance Disclosure Law (CFDL) passed in New York last year. (N.Y. Fin. Serv. Law § 801 et seq.). Patterned

It is standard practice today for real property purchasers to conduct an Environmental Phase I Environmental Site Assessment (“Phase I ESA”) or otherwise satisfy the All Appropriate Inquiries (“AAI”) requirement “in accordance with generally accepted good commercial and customary standards and practices” prior to completing a property transaction. Fulfilling the AAI requirement helps real property purchasers to qualify for certain defenses to liability for cleanup costs under the Comprehensive Environmental Response, Compensation, and Liability Act (“CERCLA”) as a contiguous, bona

The rise in demand for clean and renewable energy is driving the need for available rooftop space to employ solar energy systems. Because development costs have drastically decreased and the regulatory climate has become even more favorable over the last few years, we have seen a significant increase in commercial building owners and energy developers seeking ways to access and utilize solar energy resources. This can be accomplished in a variety of ways. The most traditional model is for property owners

Spent lead ammunition at outdoor shooting ranges remains a significant environmental topic, as accumulated lead can pose a threat to human health and the environment if best management practices are not implemented in a timely fashion to minimize the impact. Lead contamination is a known issue in the shooting community, remains an issue at ranges in many states, and has resulted in several recent major, sometimes multi-million dollar, remediation efforts. In 2021, the owners and operators of a Maryland shooting

You may have heard the term “ESG” before. It has been used with increasing frequency for a few years, but the term and ESG-minded business practices have gained more traction over the last year or so. ESG stands for three factors—environmental, social, and governance. The ESG factors can be broken down to a set of non-financial metrics and standards that a company’s operations try to achieve and that socially conscious investors use as a framework to identify material risks and

Highlights This Miles & Stockbridge alert provides a summary of the latest sanctions and developments regarding the ongoing situation in Ukraine. In response to Russia’s continued war operations and military attacks throughout Ukraine, the U.S. government and its allies imposed many more sanctions and new export control restrictions in the past week, specifically targeting Russian financial institutions, Russian state-owned enterprises, Russian elites,  and several of Russia's critical industrial sectors. In response to the Russian invasion and continued war operations throughout Ukraine, the U.S.

This is an update to our prior blog posts regarding Federal and Maryland State tax deadlines. The Comptroller recently announced that Maryland individual taxpayers who pay estimated quarterly taxes may defer payments for the first and second quarters of tax year 2022 until July 15, 2022. This announcement aligns with the Comptroller’s earlier announcement extending the State’s individual income tax filing and payment deadline for tax year 2021 to July 15, 2022. Details regarding the State’s automatic extension for filing 2021

Yesterday (February 24th) as part of the broader response to Russia’s invasion of Ukraine – the White House announced strict export controls as part of the Biden Administration’s strategy to “squeeze Russia’s access to finance and technology for strategic sectors of its economy for years to come.” (President Biden’s remarks are found here.)  Those controls are part of a Final Rule “Implementation of Sanctions Against Russia Under the Export Administration Regulations (EAR)” (unpublished PDF version is found here) which, although

Earlier this month, Maryland State Senator Benjamin K. Kramer introduced Senate Bill 825 titled “Consumer Credit – Commercial Financing Transactions.”  Although not obvious from the bill’s title, it contains legislation substantially similar to the Commercial Finance Disclosure Law (CFDL) passed in New York last year. (N.Y. Fin. Serv. Law § 801 et seq.).  Patterned after New York’s CFDL, the Senate proposal would require certain providers of commercial financings to disclose consumer-like loan information, similar to certain federal Truth-in–Lending Act disclosures

(Click here to read about revisions for 2023.) On January 21, 2022, the Federal Trade Commission (“FTC”) announced the annual revisions to the applicable thresholds under the Hart-Scott-Rodino Antitrust Improvements Act of 1976, as amended (the “HSR Act”). These revisions were published in the Federal Register on January 24, 2022 and will apply to all transactions closing on or after February 23, 2022. The new minimum size of transaction threshold has been adjusted upward from $92 million to $101 million. Under the

Federal supply and service contractors and subcontractors have long been required to create and maintain written affirmative action plans (“AAP”) if they meet certain contracting thresholds. Unless and until a contractor was audited by the U.S. Department of Labor’s Office of Federal Contract Compliance Programs (“OFCCP”), however, there was no real mechanism for the government to confirm that contractors were in compliance with these obligations. Even though contractors are required to certify compliance in order to contract, OFCCP’s experience through

Nearly one year ago to the date, I wrote in my blog post that the “the path to qualifying in [for the O-1A visa classification] is far from transparent.” At that time, I noted that the request for evidence (“RFE”) rate was on an upward swing in this temporary, non-immigrant visa classification. Today, we are pleased to discuss the Biden Administration’s recent steps to increase clarity and predictability for foreign nationals seeking this classification, with a focus upon those in

On November 17, 2021, DoD published a notice of proposed rulemaking in the Federal Register, which formally announced the launching of the Cybersecurity Maturity Model Certification (CMMC) 2.0 framework. Among other things, version 2.0 streamlines the framework from 5 levels to 3 levels, scales back the requirement that all 300,000 contractors within the defense industrial base (DIB) obtain third party certification, and provides DoD additional flexibility by allowing for the limited use of Plans of Action & Milestones (POA&Ms) and

The federal False Claims Act results in a host of interesting relator claims. This one caught my eye. In United States of America v. Intermountain Healthcare, Inc., Case No. 2:20-cv-00372-TC-CMR (U.S. Dist. Ct. D. Utah 1/28/2022), the relator alleged that anesthesiologists participating in his medical group often spent time during surgeries playing on their phones or other personal electronic devices. Some allegedly watched football, others paid bills. Naturally, the relator alleged that the anesthesiologists were not paying attention to their

Medical providers often are left confused by the incredibly complex statutory and regulatory body of law implemented by the Centers for Medicare and Medicaid Services (CMS). Without further administrative guidance, providers are left to their own conclusions with regard to what CMS intended. Unfortunately, sometimes these decisions lead to expensive and time-consuming False Claims Act litigation brought by relators, who disagree with the provider’s interpretation. In a recent decision, the Fourth Circuit offers some well-deserved protection from False Claims Act actions

Federal Corporate and Individual Income Tax Deadlines The federal filing deadline for 2021 for calendar year end corporate income tax returns (IRS Form 1120) and individual income tax returns (IRS Form 1040) is Monday, April 18, 2022 for most taxpayers. This is a result of Washington D.C.’s Emancipation Day holiday on April 15th. By law, for tax deadline purposes, the IRS recognizes the District of Columbia’s legal observation of holidays in the same manner as federal holidays. For those taxpayers who

In late 2020, the IRS issued a notice confirming imminent proposed regulations that would allow certain tax strategies to avoid the individual $10,000 state and local tax (“SALT”) deduction limitation of the Tax Cuts and Jobs Act (“TCJA”, P.L. 115-97 (Dec. 22, 2017)). (Notice 2020-75). This notice cited a 1958 revenue ruling that allowed a partnership to subtract a local tax in calculating its net income to its partners, thereby holding that partners who use the standard deduction without itemizing

We reported last year on New York’s newly enacted commercial finance disclosure law and the legislature’s quick pivot thereafter, expanding the law’s reach to all loans up to $2,500,000 - a change from the previous limitation of $500,000. As we discussed in our prior post, the commercial finance disclosure law (CFDL) requires certain providers of commercial financings to disclose consumer-like loan information, similar to certain federal Truth-in–Lending Act disclosures that are made to consumers in consumer loans. Since our last report,

Why Maryland Collectors of Consumer Debts Need to Be Concerned About Convenience Fees A recent Fourth Circuit Court of Appeals decision may have sweeping implications across the consumer debt collection industry in Maryland. In Alexander v. Carrington Mortgage Services, LLC, the Fourth Circuit held that a mortgage loan servicing company violated the Maryland Consumer Debt Collection Act and the Maryland Consumer Protection Act by charging debtors a convenience fee for making a one-time payment online or by phone, when the agreement

When can a data breach can get worse? When the process of notifying victims creates a second breach. Take the example of a cancer treatment center that recently paid $425,000 to settle allegations that included a faulty notification process following a breach. The story provides an important lesson. One Breach Leads to Another It began with a spear phishing attack. Employees at the facility fell victim to the attack and their email accounts were compromised. The result: protected health information and other

As we reported last year, the Dodd-Frank Wall Street Reform and Consumer Protection Act (Dodd-Frank Act), among other things, required the Consumer Financial Protection Bureau (CFPB) to adopt regulations governing the collection of certain small business lending data. Section 1071 of the Dodd-Frank Act amended the Equal Credit Opportunity Act (ECOA), as follows: “in the case of any application to a financial institution for credit for [a] women-owned, minority-owned, or small business, the financial institution shall – (1) inquire whether

On January 19, 2022, Maryland Comptroller Peter Franchot announced an extension for the State’s individual income tax filing and payment deadline for tax year ending 2021. The announcement was made via a virtual news conference with a news release following shortly thereafter. Instead of tax filings and payments being due on April 18, 2022, the new automatic deadline is July 15, 2022. Taxpayers will not need to request an extension; instead both resident and nonresident taxpayers shall receive the automatic

After hearing oral argument on January 7, 2022, on January 14, 2022, the Supreme Court issued a  ruling staying the Biden administration’s vaccine or testing mandate for large employers. As many doubtless know, on September 9, 2021, the Biden administration announced a sweeping six-pronged plan aimed at addressing the pandemic, which included a requirement that all employers with 100 or more employees have their employees vaccinated or tested weekly for COVID-19. In setting forth his plan, the president charged the Occupational Safety and Health

It happens so often. An individual voluntarily talks with law enforcement agents in an effort to appear cooperative, but the prosecutor later labels the statements as incriminating “admissions.” Whether made before or after arrest, such statements prove compelling evidence. For example, during a recent trial, the prosecutor successfully argued to the jury that a Harvard professor unquestionably made false statements to government agencies because “the defendant himself has said that he did” during an interview. Example of the Harvard Professor Federal agents

What You Need to Know The injunction on the ETS has been lifted and the rules are currently in effect OSHA has offered a brief non-enforcement holiday for violations OSHA will not enforce regulations until January 10 OSHA will not issue citations for employers taking good faith steps to get into compliance prior to February 9 Petition for a further stay has been filed with the SCOTUS Friday evening, the 6th U.S. Circuit Court of Appeals delivered a welcome decision to the Biden Administration and dissolved

With the new collection agency rule of the Consumer Financial Protection Bureau (“CFPB”) having taken effect on November 30, 2021,1 we thought we could help round out your understanding of the collection agency laws by providing an overview of the licensing of collection agencies by the states. Every state does not license, register, issue permits, or require some kind of “approval-related filing” (herein, a “license”) for collection agencies. Thirty-four states now license collection agencies, with California being the newest state to license