Sophisticated Buyer Beware: Updates to the Economic Loss Rule in Tennessee
Discussion has re-emerged in Tennessee regarding the economic loss rule, a judicially-created remedy that precludes contracting parties from pursuing tort remedies for purely economic losses arising out of a contractual relationship. On August 2, 2021, the Tennessee Supreme Court issued an opinion, addressing an issue of first impression in Tennessee—whether fraud is an exception to the economic loss rule.
Secured Lenders Fail to Manage the Risk of “Springing Liens” at Their Peril
“Springing liens” are first priority statutory liens on property that spring into existence when certain obligations remain unpaid. Springing Liens can attach to real estate, for example, when the following obligations are not paid: taxes, condominium association dues, or claims for construction labor or materials.
Updating Project Financing Options — Post-Pandemic
As the pandemic begins to ease and everyday life is moving toward normalcy, whatever that may be, the pace of the economy’s resurgence, in the words of Federal Reserve Chairman Jerome Powell, “… is about to accelerate much more quickly than anticipated with output approaching its pre-pandemic level.” Capital investment, especially in distressed economic communities, will be needed more now than ever, to enable for-profits and non-profits to start and grow businesses, accelerate job growth, and lessen economic hardships triggered by COVID-19.
Amendments to the Bankruptcy Code Impact Lessors Post COVID-19
With available vaccines and lifted restrictions, restaurant capacities have increased, moratoriums are ending, and handshakes abound. This return to normalcy comes along with the need to address the ongoing impact of COVID-19 and legislation enacted in response. For example, the Coronavirus Aid, Relief, and Economic Security (CARES) Act’s amendments to the Bankruptcy Code will have an impact through at least December 2022.
Kentucky Joins Growing Number of States Allowing Student-Athletes to Receive Name, Image, Likeness (NIL) Compensation
With Governor Andy Beshear’s June 24, 2021 Executive Order, Kentucky joins a growing minority of states allowing student-athletes to receive compensation for the use of their name, image, and likeness (NIL). Effective July 1, the Order applies to student-athletes at all postsecondary institutions in Kentucky.
“No Company is Safe” — White House Urges Private Sector to Act Now in Hardening Defenses Against Growing Ransomware Threats
Following the most recent slew of high-profile ransomware attacks, the White House deputy national security adviser for cyber and emerging technology, Anne Neuberger, issued an open letter to the private sector urging action to increase cyber defenses to match the nation’s increasing ransomware threat.
Common Billing Errors that Land Medical Providers on the Government’s Radar
Medicare and Medicaid billing mistakes can result in fraud investigations with serious, long-lasting consequences. Providers may be required to pay back up to three times the amount they were paid for improperly billed services. In addition, if the government finds that the improper billing was intentional, providers can face criminal charges, the loss of professional licenses, and exclusion from participation in Medicare and Medicaid.
CMS Has Begun to Enforce the Price Transparency Rule Against Hospitals
The Centers for Medicare & Medicaid Services (CMS) has recently begun to send warning letters to hospitals that are not in compliance with the recently effective price transparency rule. This warning comes on the heels of CMS’s audits of a sample of hospitals in January.