Sheehey Sponsors Annual Chamber Celebration

Sheehey Furlong & Behm is pleased to continue its sponsorship of the Lake Champlain Regional Chamber of Commerce Annual Celebration. The celebration, now in its 113th year, brings together members of the Vermont business community for a night of celebration and connection. This year’s event reflects a new, more casual format allowing for more networking and connection among attendees. The festivities will be held on April 4, 2024 from 5:30 – 7:30 p.m. at the Hilton Burlington.

The Chamber, who hosts the event, strives to “power prosperity in the Lake Champlain region” through their work in the region, where they seek to promote a diverse visitor economy while celebrating the business community and nurturing emerging business talent.

Speaking about the event, Sheehey partner and Vice President of the Chamber Board, Heather Ross, stated, “The firm is proud to support the Chamber in its mission of promoting economic opportunity throughout Vermont.”

To learn more about the Chamber, you can visit their website, linked here.

Corporate Transparency Act – New Federal Reporting Requirement

A new federal reporting mandate became effective on January 1, 2024. The Corporate Transparency Act (CTA) requires “Reporting Companies” to report personal identifying information about the individuals who are “Beneficial Owners” and “Company Applicants” to the Financial Crimes Enforcement Network (FinCEN), a unit of the U.S. Department of the Treasury. FinCEN will maintain information gathered on a secure, non-public database for use by governmental authorities, certain financial institutions and financial regulators. This new requirement applies to limited liability companies, corporations, real estate holding companies, and more. All entities registered with a Secretary of State, which are not exempt from registration under the CTA, are now required to make these mandatory reports. Failure to file these reports can result in serious civil and criminal penalties.  This new federal report is in addition to, and not in place of, the annual reports customarily filed by entities with Secretary of State offices.

Generally, a Beneficial Owner is any individual who, directly or indirectly, exercises “Substantial Control” over a Reporting Company or owns or controls at least 25 percent of the Ownership Interests of a Reporting Company. Each Beneficial Owner of the Reporting Company must provide their full legal name, date of birth, current residential address, governmental identification information from a passport or driver’s license, and a copy of that identification document to FinCEN.

While some entities are exempt from the CTA beneficial ownership reporting requirements, many of the exemptions apply to companies in industries that are already heavily regulated (e.g. securities, banking, insurance), or to large companies.  Tax exempt non-profit corporations are expressly exempt from CTA beneficial ownership reporting requirements.

 

Reporting Requirements

Each Reporting Company must complete and file its initial report (BOI Report) online with FinCEN using the form that is accessible from the FinCEN website. Reporting Companies also have an ongoing obligation to timely update reporting information with FinCEN.  There is no filing fee associated with the online filing of a BOI Report.

 

Reporting Deadlines

Non-exempt entities created on or after January 1, 2024 have  90-days to file their initial BOI Report.  All non-exempt entities existing on or before December 31, 2023 have the entire 2024 calendar year to file their initial BOI Report.

 

Next Steps

Don’t wait!  All entities should review the requirements of the CTA and assess whether they are exempt from reporting. If reporting is required, Reporting Companies should file before the deadline to avoid penalties.

 

Visit FinCEN.gov  for reporting information and the latest updates on Beneficial Ownership Information reporting.

The transactional lawyers at Sheehey are prepared to assist our clients with questions about these new federal reporting obligations.

Sheehey Attorney Celebrates 35 Years

Sheehey Furlong & Behm is proud to honor firm principal Diane M. McCarthy on her 35th anniversary with the firm. Diane joined Sheehey as a paralegal in 1989. She then completed the Vermont Law Office Study Program, including a four-year clerkship under the tutelage of former firm principal Michael G. Furlong. Remembering his time as Diane’s mentor and beyond, Furlong commented, “It was my great privilege to work with Diane McCarthy for so many years — her start as a Sheehey paralegal, becoming a lawyer following the great Vermont tradition of reading law, and her growth into one of the most respected business lawyers in the State. Throughout, Diane has been a star and I could not be more pleased to recognize her many accomplishments.”

Diane passed the bar and joined the firm’s Real Estate team in 1997, becoming a principal of the firm in 2007. Over the course of her storied career at Sheehey, Diane has counseled clients in hundreds if not thousands of complex real estate, development, financing, and corporate transactions. Diane is always available to her clients, and is known for being extremely thorough, with an unparalleled focus and dedication to protecting her clients’ interests. In addition to growing a diverse practice, Diane served as the firm’s managing partner from 2011 until 2014 and leads the firm’s Transactional Team, encompassing both real estate and corporate services. Diane has been acknowledged for her work by The Best Lawyers In America, including being recognized as the 2024 Burlington Lawyer of the Year for Banking and Finance Law. She has also been recognized by New England Super Lawyers since 2020. In addition to her work with clients, Diane is a member of the Vermont Business Roundtable.

Firm principal Arline Duffy said of her colleague and friend, “I have known Diane McCarthy for over forty-five years, and she is the reason I joined this firm 15 years ago. She has been a tremendous mentor in all areas of transactional law and a role model in her dedication to providing our clients the highest quality legal work. Her leadership and commitment to the firm along with her creative problem-solving skills and deep legal knowledge exemplify what it means to be a lawyer at Sheehey. All of us at the firm are deeply grateful to have a colleague like Diane, and wish her the very best on this special anniversary.”