Mitchell Silberberg & Knupp

Will Semiannual Reporting Soon Be a Reality for Public Companies?

Adult banking analyst in eyeglasses working at sunny office on laptop while sitting at wooden table.Businessman analyze document in his hands.Graphs and diagramm on notebook screen.Blurred background.

Photo credit: iStock.com/Pinkypills

By Blake Baron & David Gordon

Last week, the President said that in his discussions with the business community on ways to improve the business ecosystem, one particular idea was raised as a means to bolster business: move to a six-month financial reporting calendar from the current quarterly one.

Now, there is an argument to be made for such a move. One could say this would help deter “short-termism,” seeing as how companies would no longer need to focus on meeting analyst expectations on a quarterly basis at the expense of longer term thinking (not to mention this would save businesses time and money). In addition, some executives view quarterly reporting as one of the hindrances to going public and/or maintaining public company status and, as a result, have already been advocating for changes to be made to the current reporting schedule. (more…)

New Federal Act Amending Dodd-Frank Also Seeks to Help Startups

business concept money of glass and growht small tree

Photo credit: iStock.com/lovelyday12

By Mark Hiraide & David Gordon

In late May, President Trump signed the Economic Growth, Regulatory Relief and Consumer Protection Act. Although the president and many Republican members of Congress had threatened to repeal and replace Dodd-Frank, the new law’s actual changes are relatively minor. The new law rolls back some of the post-financial crisis legislation enacted in 2010, particularly for smaller community banks and credit unions. But it largely leaves intact the core framework of Dodd-Frank.

Less publicized but worthy of attention is the new law’s Title V—Encouraging Capital Formation, which amends the Securities Act of 1933 and Investment Company Act of 1940 with regard to early stage companies. Like the amendment to Dodd-Frank, the new law’s amendments to the federal securities laws are modest.  (more…)

City of Los Angeles “Bans the Box”

December 15, 2016

Written by Erica Parks

Los Angeles Mayor Eric Garcetti has signed into law the “Fair Chance Initiative,” which prohibits employers from asking applicants about their criminal histories “at any time or by any means,” including on job applications, “unless and until a conditional offer of employment has been made.” The new law, which can found here, goes into effect January 1, 2017 and will apply to employers with 10 or more employees working in the City of Los Angeles (individuals who work in the city at least two hours on average each week are counted) and city contractors. There are limited exceptions to the law, such as for positions that require employees to carry firearms and for positions working with minors. Once the new law goes into effect, Los Angeles will become the latest in a growing number of jurisdictions, including over 100 cities and counties and about 23 states, that have adopted similar “ban the box” laws, including New York City, as we alerted you last year.