On March 1, 2024, the U.S. District Court for the Northern District of Alabama, Northeastern Division, entered a final judgment in the case the National Small Business United v. Yellen case (No. 5:22-cv-01448). The Court found that the Corporate Transparency Act was unconstitutional and may not be enforced against certain parties to the case. This decision is a significant development for small businesses across the nation, highlighting the ongoing debates over the reach of federal regulatory power and its impact on business operations.
This judgment may not relieve you or your company of all compliance obligations under the CTA.
Should you have any questions about the CTA or how this judgment may affect you, please don’t hesitate to reach out to a member of your Shaw Lewenz legal team.