Legal Updates and Articles

Safety, Accidents and Investigations: Be Prepared for the Unexpected

As the economy moves forward in a slow recovery, employers vigilantly watch for new opportunities to cut costs. One sure way to reduce costs is to have a strong safety and health program (safety program). If you fail to have a strong safety program, you are exposing your company to potential increases in health care costs, penalties and fines, and lost productivity. Covering the basics in this area will protect your company and its employees.

Friedman Authors Article in ABA Health eSource Newsletter About DEA Audits

Lane Powell Shareholder Ron Friedman authored an article for the American Bar Association (“ABA”) Health Law Section’s monthly electronic newsletter ABA Health eSource’s October 2011 issue. The article, titled “DEA Audits: ‘Coming to a Theatre Near You,’” considers the increased challenges posed to pharmaceutical manufacturers, distributors, pharmacies and medical providers by Drug Enforcement Administration (“DEA”) audits.

Economic Development — Creativity is Key

When you Google the phrase “economic development” you get an interesting mix of various international councils and state agencies focused on economic development. At the time I did my search, the Portland Development Commission was among the top five hits. In fact, a variety of Portland sites held positions on the first Google page. Most interesting: the wide range of topics covered (from PDC’s cluster strategy to local sustainable infrastructure to rural development). What this means, from my perspective, is that economic development is limited primarily by our imagination.

H-1B Numbers May Run Out Before End of 2011: Quota for Master’s Degree Filled

Under immigration law, the H-1B program allows U.S. employers to hire foreign nationals in “specialty occupation” positions, which require a bachelor’s degree or the equivalent. Under current law, there is a cap on the number of new H-1B petitions that will be granted each federal fiscal year (“FY”). The quota for graduates with a master’s or higher degrees from U.S. universities already has been filled. Current trends suggest that the cap for all remaining H-1B numbers for FY2012 could be reached before the end of 2011. To avoid the cap and ensuing complications and processing delays, employers who would like to hire H-1B workers to begin employment before October 1, 2012, should plan to file soon.

Friedman and Peterson Author Article in ABA Criminal Litigation Section Newsletter About the Government’s Failed Prosecution of In-House Pharmaceutical Counsel

Ron Friedman and Michelle Peterson co-authored an article published in the American Bar Association’s (“ABA”) Criminal Litigation Section Fall 2011 Newsletter titled “Lessons from the Failed Prosecution of In-House Pharmaceutical Counsel.” The article discussed the Government’s failed prosecution of in-house counsel for GlaxoSmithKline (“GSK”).

Solar Energy Trends: The Growth of Solar Systems in the Residential and Commercial Marketplace

Recently, there was much hand wringing in the news over the bankruptcies of three United States solar manufacturers, Solyndra, Evergreen Solar and Spectra watt. What many casual observers don’t realize, however, is that the demise of those companies does not mean that the solar industry is crashing. To the contrary, the solar industry is booming, both domestically and internationally, driven in large part by the rapid entrance of Chinese solar manufacturing and the decrease in the cost of solar modules. In short, there has never been a better time to install a solar system on a home or business. In 2010, the number of solar installations more than doubled from 2009, enough to power more than 200,000 homes. Projections indicate that installations will again double in 2011 over 2010. The top 10 states for PV installation in 2010 were: California, New Jersey, Nevada, Arizona, Colorado, Pennsylvania, New Mexico, Florida, North Carolina and Texas. Although most solar installations were placed on existing homes and businesses, there is an upswing as well in the number of commercial and residential developments that are building solar into the project.

State Receiverships: A Banker’s Tool for Faster, Cost-Efficient Recovery on Troubled Loans

Receiverships have become increasingly popular tools for developing and implementing cost-effective and expeditious workout strategies for troubled loans. Washington’s Receivership Act, one of the best in the country, can be an effective tool for lenders.

NLRB Postpones Employee Rights Posting Requirement to January 31, 2012

In the September 22 Legal Update “Don’t Ignore NLRB Rules: Necessary Action by All Employers,” Lane Powell’s Labor and Employment Practice Group discussed the potential for the National Labor Relations Board (“NLRB”) to postpone implementation of the notice-posting rule, due to significant public concerns about the scope of the NLRB’s jurisdictional authority to require the posting. On October 5, the NLRB announced that it was postponing implementation of the rule, stating in its press release that the deadline had been postponed “in order to allow for enhanced education and outreach to employers, particularly those who operate small- and medium-sized businesses.” The new effective date for posting is January 31, 2012. We will keep you updated.

Seattle Employers: Get Ready for Paid Sick and Safe Leave

On September 12, the Seattle City Council passed an ordinance mandating paid leave for employees who perform work in Seattle. Mayor Mike McGinn signed the ordinance into law on September 23. According to press reports, “This bill is about ensuring healthier workplaces by preventing the spread of disease.” However, the ordinance casts a wide net, mandating paid sick leave when an employee’s family member is sick, as well as paid leave when an employee or his or her family member needs “safe time” because of domestic violence, sexual assault or stalking. And it broadly defines “family member” to include spouses, domestic partners, children, parents, parents-in-law and grandparents. According to the Greater Seattle Chamber of Commerce, the ordinance is “a complex, bureaucratic and prescriptive mandate” for employers.

Rising Challenges for Community Banks and Key Tips to Stay Ahead

Community banks face new hurdles each day. One big new skyscraper of a hurdle, the Dodd Frank Act, has over 3,900 pages of proposed and final rules which, laid end-to-end, would stand nearly three times the height of the Empire State Building.

New Law Helps Bankers Fight Exploitation of Vulnerable Adults

The Washington Department of Social and Health Services received 17,586 reports of vulnerable adult abuse in 2010. Twenty-six percent of those reports were about financial exploitation.

New Opportunities for Immigration Through Investment in the US May Be Expanding

The Director of the Department of Homeland Security, Janet Napalitano, and the Director of U.S. Citizenship and Immigration Services, Alejandro Mayorkas, are promoting “a series of new policy, operational and outreach efforts that will help fuel the nation’s economy and stimulate investment by making it easier for high-skill immigrants to start and grow companies and create jobs here in the United States.” Meanwhile, Congressman Zoe Lofgren introduced the Immigration Driving Entrepreneurship in America (“IDEA”) Act. The efforts to spur foreign investment are gaining interest and some traction.

Adopting and Complying With Green Practices — It’s More Than Just a Marketing Concept

After a summer of discontent, with legislative deals to make drastic cuts in federal and state budgets and the promise of continued forays to roll back or restrict climate change regulations, it might be tempting to think that clean tech and sustainability don’t have much of a future. But if you look at what’s been happening in the private sector, clean tech and sustainability are anything but dead. Indeed, more and more businesses large and small have been adopting those practices to save costs and to benefit the bottom line. It also happens to be a good way, particularly in the Pacific Northwest, for businesses to establish their green credentials with customers. Much of that credibility and cost savings can be easily lost if a company overstates or misstates the environmental benefits and exposes itself to claims of “green washing.”

Don’t Ignore NLRB Rules: Necessary Action by All Employers

Employers should pay close attention to recent activity by the National Labor Relations Board (“NLRB”), which is the federal agency charged with enforcing the National Labor Relations Act (“NLRA”). The NLRB recently adopted a rule that requires all employers to post a new workplace poster. In addition, the NLRB has issued welcome guidance for employers on disciplining employees for social media activities without running afoul of the NLRA.

Washington Supreme Court Upholds Validity of Sample Claim of Lien Form in the Lien Statute

The Washington Supreme Court has ruled that a Claim of Lien conforming to the sample form in the statute, even though the sample does not contain all the provisions required by the statute, is sufficient to make the claim valid. In Williams v. Athletic Field, Inc., issued on September 15, the Court took the opposite approach from the state Court of Appeals, which had invalidated a Claim of Lien because it lacked a proper acknowledgment required under the lien statute, RCW 60.04. In its decision reversing the appeals court and reinstating the Claim of Lien, the Court recognized that the statute is ambiguous with respect to the contents of and the persons authorized to acknowledge the validity of a lien claim, but chose to liberally construe the statute to achieve its intended purposes. While the Court’s ruling is a victory for pragmatism and substance over form, it also runs contrary to the oft-stated rule of strict construction of the lien statute and could raise questions about how other provisions in the statute will be construed in future cases.

Ten Things You Should Know About Patent Reform

The America Invents Act H.R.1249, passed the Senate on September 8, 2011, by an overwhelming vote of 89-9. It is long and complex, and will create significant changes to the U.S. patent system, which will have a wide ranging impact on both U.S. and foreign businesses. President Obama is expected to sign the bill into law as part of his recently announced job-creation initiative.

.Brand: New TLDs Are Coming — Are You Ready?

The Board of the Internet Corporation for Assigned Names and Numbers (“ICANN”) recently approved a plan to expand the availability of top-level domains (“TLDs”), enabling creative new TLDs, including private brands (e.g., .canon), communities (e.g., .catholic) and locations (e.g., .chicago). The TLD is the portion of a domain name to the right of the dot.

Creating a Safe Harbor From Immigration Liability

Immigration enforcement in the workplace has become a source of unprecedented liability for U.S. employers over the past three years.

Since 2008, U.S. Immigration and Customs Enforcement (ICE) has initiated thousands of audits to review companies’ records of I-9 employment eligibility, and has levied stiff penalties for violations.

Considerations for Banks Named as Parties in Eminent Domain Actions

Property that is subject to being acquired by eminent domain is often encumbered by one or more loans. Lenders are required to be joined as parties in condemnation actions under Washington law. The lender has the right to obtain counsel and participate in the case along with the property owner and any other parties who have an interest in the property. Condemnation cases have three phases: (1) adjudication of public use and necessity, (2) determination of just compensation to be awarded to the owner, and (3) payment of just compensation and transfer of title.

Handling Social Security No-match Letters — What Employers Need to Know

Receipt of any letter from the government about being out of compliance can cause alarm for a business. The Social Security Administration (“SSA”) recently resumed notifying employers of mismatches between an employee’s name and Social Security number (“SSN”), known as “No-Match” letters. A No-Match letter informs the employer that discrepancies exist between an employee’s name and Social Security number contained in SSA’s database, against those on the employee’s W-2 form. The purpose is to enable the SSA to allocate Social Security funds correctly.