In the Marketplace
March 29, 2006
Highlights of the latest equipment leasing news from around the country.
Legislative Update
March 29, 2006
At its Feb. 15, 2006 Board Meeting, the Financial Accounting Standards Board affirmed decisions on the remaining issues concerning the proposed FASB Staff Position FAS 13-a, 'Accounting for a Change or Projected Change in the Timing of Cash Flows Relating to Income Taxes Generated by a Leveraged Lease.' These issues had been discussed at the Board's Feb. 8 educational meeting.
Computer Forensics Docket Sheet
March 29, 2006
Court Weighs Defendant's Use Of Data-Wiping Software, Finds Proof Of Willful Destruction Alleging that the defendant infringed on its motion-picture copyright, the plaintiff sought a permanent injunction, attorneys' fees and costs, and money damages. After uncovering the defendant's alleged activities by tracing his Internet protocol address, the plaintiff was granted access to the defendant's computer and hired a Kroll Ontrack computer-forensics expert to conduct an examination. The expert determined that, after wiping all data off…
Smart Discovery
March 29, 2006
The explosion of electronic documents in business, and the corresponding and increasing mass of e-discovery associated with litigation, have put pressure on litigators and possible parties to litigation to find the most effective means of reducing costs.<br>Although the review phase is receiving a lot of attention because of the high cost of per-document view (or any measurable quantity) that can easily be racked up, the smart bet is that the first mile on the discovery journey ' the collection and initial processing ' is the first, and very a important, place to look for savings.
Litigation
March 29, 2006
Recent rulings of interest to you and your practice.
Like Kind Exchange for Equipment Leasing
March 29, 2006
Competitive pressures in the Equipment Leasing Industry continue to build into 2006. Although industry surveys project a healthy 7% to 8% growth in overall leasing volumes from 2004 to 2006, readily available capital continues to drive down returns as well as margins, especially for the best credit customers. In reaction to these competitive pressures, savvy lessors are increasingly taking advantage of a tax strategy involving the implementation of a Like Kind Exchange ('LKE') Program. LKE Programs enable equipment lessors to systematically avoid current recognition of taxable gain on the disposition of tax leased equipment and defer the requisite payment of state and federal income tax.
When Same-Sex Relationships End
March 29, 2006
Same-sex couples may enter into legally recognizable relationships in various states in the country. While only Massachusetts extends the right to marry at this time, several other states have extended marriage-like rights and responsibilities to these couples by way of a domestic partnership, civil union or reciprocal beneficiary relationship. In addition, many couples cohabit, and mix their income and assets, without any formal legal agreement, recognition or protection. Of course, some relationships end. In the event a relationship with commingled assets or income ends, there may be a transfer of cash or property between members of the couple. Depending upon the manner in which the transfer is characterized, any transfer between a same sex couple may have taxable consequences. Even if a same-sex couple receives recognition of their relationship at the state level, such recognition is not available at the federal level because of the federal Defense of Marriage Act (DOMA). Accordingly, same-sex couples will need to face the complex matter of potential tax ramifications resulting from the agreements they have made upon such dissolution of their relationship relative to their assets and income.
Effectively Categorizing e-Mails And Attachments
March 29, 2006
During an electronic-document review, attorneys may come across an e-mail message that is responsive to the document request that they received. But here's how one of those many thorns pops out to put a pain in the side of litigators reviewing documents: What if that e-mail has an attachment, and what if the attachment is not responsive? How should the review team code the attachment ' should it be identified and then labeled as responsive or as non-responsive? Should the e-mail message be produced by itself, or should the e-mail and the attachment be produced together?
Consultants and Role Delineation
March 29, 2006
Retaining a mental-health professional to review the work of an evaluator and possibly to testify concerning deficiencies in the evaluator's methodology only makes tactical and economic sense if the mental-health professional has the necessary expertise and, if called upon to testify, will be perceived by the court as credible in spite of the fact that s/he has been retained by one side in an inherently adversarial proceeding. The reviewer's role is to educate the court.
