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by Kim, Lahey & Killough Law Firm
NewsDecember 5, 20240 comments

Texas Court temporarily blocks CTA nationwide

US Treasury FinCen logoCTA Breaking News:
Texas Federal Court Orders a Nationwide Preliminary Injunction Against the Corporate Transparency Act (“CTA”) – Enforcement of BOIR Filing Deadline Stayed

On December 3, 2024 the Federal District Court for the Eastern District of Texas issued a nationwide preliminary injunction against the Corporate Transparency Act and enforcement of the reporting rule that required you to file a Beneficial Ownership Interest Report (BOIR). Hence, if you were scrambling to get your BOIR report filed by the January 1, 2025 compliance deadline, you have just been granted a reprieve.

However, please note that a preliminary injunction is a temporary remedy until a court can make a final decision. A nationwide preliminary injunction does not preclude the Court of Appeals for the Eleventh Circuit in the Alabama case, NSBA v. Yellen, Case No. 5:22-cv-1448-LCB, from completing their review and issuing an opinion. We expect the CTA and BOIR reporting requirements may continue to evolve. Nonetheless, entities do not need to meet that CTA compliance deadline at this time.

We will continue to monitor developments with the CTA and the Reporting Rule and provide updates as they become available.

If you have concerns related to this topic or other business and corporate related matters, please contact your attorney or Emily Bohan or Tony Nolte with any questions.

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business law business operations corporate law
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