Resources

Client Alerts, News Articles, Blog Posts, & Multimedia

Everything you need to know about BMD and the industry.

Corporate Transparency Act Update

Client Alert
December 27, 2023

For a more detailed overview on the CTA, and the changes business owners should expect at the turn of the calendar, click here. A webinar providing further explanation can be viewed here, which was presented December 7.

The Corporate Transparency Act (“CTA”), with an effective date of January 1, 2024, is set to impose strict reporting guidelines on business owners throughout the country.  The below provides a brief update on two aspects of the CTA ahead of its effectiveness next week.

Access and Safeguards Final Rule

On December 21, 2023, the Financial Crimes Enforcement Network issued the final rule setting forth the access and security guidelines (the “Access Guidelines”) related to the CTA.

The Access Guidelines detail six categories of authorized recipients who may access the beneficial ownership reporting information reported by business owners pursuant to the CTA (collectively, “BOI”): (i) federal agencies engaged in national security, intelligence, or law enforcement activity; (ii) state law enforcement agencies; (iii) foreign law enforcement agencies; (iv) financial institutions facilitating compliance with customer due diligence requirements under applicable law; (v) federal functional regulators assisting financial institutions under (iv) above; and (vi) Department of Treasury officers and employees.

Even if an agency is an “authorized recipient” under the Access Guidelines, that agency must satisfy several security and confidentiality requirements to ensure the proper protection of BOI after its receipt.  These recipient agencies are then further prohibited from re-disclosing BOI, unless one of eight enumerated circumstances is present.  Disclosure in violation of the Access Guidelines carries civil penalties in the amount of $500 for each day a violation continues or has not been remedied, and criminal penalties of not more $250,000 or imprisonment for not more than 5 years, or both.

Trend Amongst Service Professionals

Throughout the rulemaking process, it has become clear that the varying levels of analysis required for a given business’ compliance with the CTA is the “practice of law.”  Ohio Revised Code § 4705.07(A)(3) prohibits any person who is not licensed to practice law in the State of Ohio from committing any act that is deemed to be the practice of law.  Actions in contravention of R.C. § 4705.07 carry steep civil penalties.

Recognizing the legal components of the CTA, numerous professional associations throughout the country, including the American Institute of Certified Public Accountants, the Ohio Society of CPAs, and the BDO Alliance USA, have advised their membership to consider speaking with legal counsel for their liability risks associated with CTA reporting.

Service providers should direct their clients to consult with an attorney concerning their reporting obligations under the CTA to avoid any liability for the unauthorized practice of law.

For questions regarding the CTA and how your business should prepare for the new mandatory reporting, please do not hesitate to contact BMD Member Blake Gerney (brgerney@bmdllc.com) or BMD Attorney Jacob Davis (jrdavis@bmdllc.com).

 

Business & Corporate LawEmployement LawCorporate Transparency ActBlake R. GerneyJacob R. DavisBeneficial Ownership Information Reporting
Client Alert

Name, Image, and Likeness Agreements in Healthcare

November 14, 2025For example, some healthcare providers have begun to utilize "Name, Image, and Likeness" agreements to promote the brand they have created through their healthcare practice.  We have seen the most healthcare NIL activity with longevity and wellness providers, as well as orthopedics.Client Alert

Compounding GLP-1 Drugs - Recent Updates

November 13, 2025Recent guidance from the Ohio Board of Pharmacy (“BOP”) indicates that providers should generally use the FDA approved GLP-1 drug, rather than a non-FDA approved compounded version of the medication. Importantly, if a GLP-1 drug is commercially available, it cannot be copied through compounding. Currently, compounded copies of Tirzepatide and Semaglutide are not permitted.Client Alert

Top Compliance Risks for Ohio Med-Spas in 2025

November 11, 2025The Ohio Board of Pharmacy has increased inspections of med-spas holding Terminal Distributor of Dangerous Drugs (TDDD) licenses, with many facing enforcement actions in 2025. Common issues include purchasing from unlicensed distributors, improper drug storage, inadequate recordkeeping, and insufficient prescriber oversight. Understanding these risks and maintaining compliance can help protect your practice from penalties and license suspension.Client Alert

Pre and Postnuptial Agreements | Necessary, Maybe, What Happened to Forever?

November 7, 2025Both Florida and Ohio now allow clients to enter into a prenuptial or postnuptial agreement prior to marriage or after marriage (Ohio previously did not allow postnuptial agreements). Both documents have statutory guidelines that must be followed in terms of execution and financial disclosure.Client Alert

DHS Ends All Employment Authorization Auto-Extensions

October 29, 2025Effective October 30, 2025, DHS ends all automatic work authorization renewals. The 540-day extension applies only to renewals filed before this date, and there is no grace period for expired EADs filed on or after October 30. Employers must audit EADs, train staff, ensure I-9 compliance, and plan for work authorization gaps. Penalties for noncompliance can be severe.
Older posts