Kaufman and Canoles



District Court Upholds ESOP Stock Cash-Out Feature for Terminated Employees
Tharaldson Motels, Inc. ("TMI") is a holding company that owns and operates hotels in 36 states. TMI adopted an ESOP in 1998, which, by the end of 1999, had acquired 100 percent of TMI's stock. Prior to 2005, the governing plan documents required plan participants who terminated employment to elect either an immediate cash distribution or a reinvestment of their stock balance in a stable value account; the plan did not allow participants to retain their balances in TMI stock after termination of employment.
By Richard C. Mapp III

Private Client Services Update - It's For the Kids: Creation of a Children's Trust
There are many reasons why estate planning clients choose to create trusts. Until the "repeal" of the federal estate tax in 2010, trusts were used to capture and shelter the estate tax exemption amount of the first spouse to die.
By Sarah E. Messersmith and Private Client Services

Real Estate Strategies Update - "Inverse Condemnation" Explained
Eminent domain or condemnation relates to the power of the government and certain authorities to take title to property needed for a public purpose. While eminent domain has received plenty of attention in the last several years in the wake of the Kelo case, what is a property owner to do when the government fails to exercise its power of eminent domain, yet property is "taken" or "damaged" by a public works project or the enactment of some regulation or restriction?
By Mark A. Short and Real Estate Strategies Group

Private Client Services Update - Important Reminder for 'Small' Charitable Organizations
Certain small charitable organizations subject to the Form 990-N filing requirement that fail to submit the form by May 15, 2010, will have their tax exempt status automatically revoked.
By David Kamer and Private Client Services

Sex[t]ual Harassment – Do Employers Need a Text Messaging Policy?
Sex[t]ing: (a portmanteau of sex and texting) is the act of sending sexually explicit messages or photos electronically, primarily between mobile phones. Sex[t]ing seems to be an ever increasing phenomenon. Whether it be between Tiger Woods and one of his mistresses or Bob and Mary in Accounting, these messages are the new frontier in both flirtation and sex[t]ual harassment.
By Scott W. Kezman

The News on Noise
Patrick H. O'Donnell was featured in the May 2010 issue of Airport Revenue News.
By Patrick H. O'Donnell

Private Client Services Update - 2010 Virginia Legislative Update
The 2010 regular session of the Virginia General Assembly resulted in several important changes to trusts and estates law, which will become effective July 1, 2010. Below are some of the more notable changes.
By William L. Holt and Private Client Services