NYC co-op & condo boards catch a break as Corporate Transparency Act faces legal limbo
Herrick partner, Andrew Freedland, was quoted in a Brick Underground article discussing the uncertainty with the Corporate Transparency Act (CTA). The CTA, which would require U.S. condo and co-op boards to disclose some information about building owners to the federal government, was put on pause again on Dec. 27th amid an ongoing lawsuit claiming the act is unconstitutional.
Boards should stay prepared to comply with the CTA's requirements, if they haven’t done so already, said Andrew. The U.S. Court of Appeals for the Fifth Circuit court will hear arguments about the case at the end of March, but there’s a chance the Supreme Court could take up the case sooner.
"If the Supreme Court doesn’t step in before March 25th, then we’re going to have to wait to see what the decision of the Fifth Circuit is," Freedland said. "And that could come anytime after March 25th."