Main Menu

A recent published decision from the Kentucky Court of Appeals ruled on several issues in a long-running dispute between the corporate Trustee of a Trust and a minority of the Trust beneficiaries. The opinion noted that the beneficiaries had filed no less than four (4) lawsuits in Federal and Kentucky Courts since the dispute originally arose in 1998.  In this case, the minority beneficiaries lost again. However, the lower court’s award of approximately $2.7 million dollars in attorney fees and costs to the Trustee was set aside pending further review by the trial court of the legal bills incurred by the Trustee. 

A recent order of the Indiana Utility Regulatory Commission (“IURC”) sheds lights on the validity of municipal ordinances purporting to require utilities to pay the costs of utility relocations. The IURC voided a municipal ordinance that attempted to require utilities to pay relocation costs as being unreasonable and inconsistent with Ind. Code 8-1-2. In the Matter of the Complaint of Duke Energy, Cause No. 44804 (Ind.U.R.C. Jan. 23, 2019) (“Decision”).

On September 27, 2018, in Northern Kentucky Area Development District v. Danielle Snyder, the Kentucky Supreme Court held that an employer is prohibited from requiring an employee to enter into an arbitration agreement as a condition of employment within the state. As a result of Snyder, Kentucky became the only state in the nation to prohibit employers from terminating or refusing to hire an individual who would not agree to sign an arbitration agreement. (Jacqueline Pitts, Senate passes bill clarifying Kentucky’s policies on arbitration agreement, KY CHAMBER BOTTOM LINE, (Feb. 21, 2019)).

In February, the IRS issued both final and additional proposed regulations detailing how estates, trusts and their beneficiaries can qualify for the 20% income tax deduction for qualified business income received from partnerships, S corporations and proprietorships under Section 199A of the Internal Revenue Code. 

In an unpublished Opinion rendered in late 2018 by the Court of Appeals of Minnesota, the Court rejected in their entirety the claims asserted by a grandchild of the Settlors of a 2007 Irrevocable Trust.  The grandchild, a minor acting through his father with no legal counsel, asserted a variety of strong claims against the Trustee of the Trust, a prominent bank.  The dispute arose after the Settlors made a decision to cease funding the Trust further after doing so for nine (9) years. 

Posted in Estate Planning

The Tax Cuts and Jobs Act enacted in 2017 increased the federal estate and gift tax exemption to $11.18 million per person, effective for the period of 2018 through the end of 2025.  This same law provides that, starting in 2026, the gift and estate tax exemption will decrease to $5 million per person, plus inflation adjustments. 

Are rural water associations that provide both sewer and water services but only receive a federal loan pertaining to one of those services protected under federal statute from encroachment by other utilities? After the Supreme Court of the United States (“SCOTUS”) declined to take a case that would have resolved a Circuit split on this issue, the law remains unclear in most of the country, including Indiana.

This article first appeared in the Indianapolis Business Journal on January 25, 2019

Capital comes in many forms. Generally, it can take the form of debt (personal and bank loans, credit card debt) or equity (common stock, preferred stock, etc.). Debt is based on an obligation to repay; equity is a piece of the action.

Thank you for being a part of the authoritative policy discussions on issues impacting life and business in Indiana during the 27th Annual BGD Legislative Conference at the Indiana Convention Center on Dec. 12, 2018. The impressive lineup of speakers, including 25 elected officials, and a robust agenda helped make this year’s conference another premier event; thank you again to event sponsors Casino Association of Indiana, Inside INdiana Business, Indianapolis Bar Association Government Practice Section and Hannah News Service!

A recent Indiana Court of Appeals decision provides valuable practice pointers for municipalities considering the sale of their utilities. Municipalities that do not comply exactly with statute when selling a utility do not necessarily doom the sale. The Court of Appeals’ ruling in NOW!, Inc. v. Indiana-American Water Company, Inc., __ N.E.3d __, 2018 WL 6837732 (Ind. Ct. App. Dec. 31, 2018)[1], affirmed the Indiana Utility Regulatory Commission’s (“IURC”) order approving the sale of the City of Charlestown’s (“City” or “Charlestown”) water utility to a private utility.

RSS RSS Feed

Subscribe

Recent Posts

Categories

Contributors

Archives

Back to Page