When It Sounds Too Good To Be True, It Usually Is
Client Alert | less than 1 min read | 02.14.06
Many of us were surprised in 2000 when the Court of Federal Claims found that state income taxes paid by the individual owner of a Subchapter S corporation were allowable state income costs of the corporation on contracts performed by the corporation. It comes as no surprise that the Court of Appeals for the Federal Circuit has reversed in Information Systems & Networks Corp. v. U.S. (Feb. 6, 2006), holding that, when state law follows federal law and imposes income taxes on the owners of Subchapter S corporations but not on the corporations themselves, the corporations are exempt from taxation and the tax paid by the individual owner is not an allowable cost of the corporation.
Insights
Client Alert | 5 min read | 07.28.26
Data Centers in the Crosshairs: The Plaintiffs' Bar Has Begun Filing New Claims Using Old Tricks
The rapid buildout of AI infrastructure has placed data centers at the heart of a new and expanding wave of class action litigation. Over the past several months, plaintiffs’ firms with significant experience in mass tort and environmental class actions have begun recruiting plaintiffs and filing lawsuits against data center operators, alleging that noise generated by their facilities — from cooling systems, diesel generators, and HVAC equipment — constitutes a public and private nuisance and reflects actionable negligence. Companies currently operating or constructing data centers near residential communities should treat this as a material and growing legal risk.
Client Alert | 2 min read | 07.24.26
GAO Finds That Challenge to Agency’s Failure to Comply With DFARS Requirement Comes Too Late
Client Alert | 3 min read | 07.23.26
