Carole Albright, Managing Partner of Law Firm Carolinas, has been recognized by NC Lawyers Weekly as a 2024 Leaders in the Law Honoree. The award recognizes legal professionals who have gone above and beyond in their profession through contributions to the practice of law as well as service to the broader community. Carole is a Board Certified Specialist in Family Law as well as a Certified Parenting Counselor and is past Chair of the Family Law Section of the Greensboro Bar Association. She helped organize and lead the Course Planning Committee of the NC Family Law Specialists for its 2023 … Continue reading
SC: Foreclosure Bill Passed House, Now in Senate—Potential Impacts on Your HOASC:
As recently reported in previous articles, the South Carolina Legislature is considering a bill that impacts the ability of community associations to collect assessments from non-paying members of their communities. As originally drafted, the bill would have eliminated a community association’s ability to foreclose. However, the Community Associations Institute (CAI) and its South Carolina Legislative Action Committee (SC-LAC) worked closely with members of the SC House of Representatives to propose an alternative approach to the original bill. As a result, the proposed new law would require an additional hearing in the foreclosure process to ensure that homeowners are given ample … Continue reading
Department of Labor Issues Final Rule for Exemptions to Overtime
The Department of Labor (the “DOL”) has issued a final rule regarding overtime exemptions under the Fair Labor Standards Act (commonly referred to as the “FLSA”), which rule should be noted by employers and employees alike. The FLSA, which applies to most employers throughout the country and, indirectly, their employees, controls the classes or categories of employees that are exempt from overtime pay and what additional factors must be met before employers can avoid overtime payments. Today’s issuance of the new rule follows years of debate, announced rules, and litigation that saw the proverbial pendulum swing, at various times, from … Continue reading
FTC Votes to bar Most Noncompetition Agreements, But Don’t Throw Out Your Noncompete Yet!
The Federal Trade Commission (often referred to as the “FTC”) voted today to bar non-competition agreements or “noncompetes,” both retroactively (for all but top corporate officials and senior executives holding a policy-making position and making not less than $151,164 annually) and in the future. More specifically, employers would be prohibited from: entering into or attempting to enter into non-competition agreements with employees, workers and independent contractors; maintaining a non-competition agreement with workers, employees or independent contractors; or representing to a worker, contractor or employee that he is subject to a non-compete. Those employers with existing non-compete agreements in place for … Continue reading
Podcast on NC HOA/Condo Insurance Issues & Proposed Legislation
Joe Stewart, lobbyist for the Independent Insurance Agents of North Carolina (IIANC), had me on his recent IIANC Radio podcast to discuss North Carolina’s HOA and condo insurance statutes as well as legislative proposals that may be of interest. The 20-minute program can be found at HOA Statutes & Insurance Insights.
Spring Has Sprung! Is Your Community Association Ready?
Spring has sprung! Which means that community associations through North and South Carolina will begin seeing increased community traffic, amenity use (including use of playgrounds, pools, tennis and pickleball courts), and increased social events. So, is your community ready. Communities should consider the following: It is important to be ready for increased community use that the warmer weather will bring. Our North and South Carolina community association attorneys are happy to assist your community as spring rolls into the Carolinas.
Like to Use Emojis With Your Professional Contacts? Enjoy Your Lawsuit.
The use of emojis has become a daily form of communication without getting into a long telephone or text conversation. It conveys, or attempts to convey, information to an intended recipient certain actions, feelings, thoughts or intended actions of the sender towards someone or something. It can apply in private conversations or in mass communications such as social media platforms. What happens when the recipient of an emoji takes the meaning to be vastly different than the intention of the sender? The ramifications of such a miscommunication can result in costly lawsuits and thousands of dollars in attorney’s fees as … Continue reading
Reasons Realtors Need an Experienced Real Estate Attorney
Home sales almost always include purchase contracts with negotiated terms, legal jargon, and intricate procedures which are not always familiar to any particular buyer, seller, or realtor. From negotiating its terms to signing the contract which obligates the involved parties as to certain legal responsibilities, all parties involved deserve to understand the process. This understanding paves the way for a smooth transaction from the initial agreement to the final recording of the deed and funding. An experienced Law Firm Carolinas real estate attorney can assist in a variety of ways. Even though some or all of the parties might be … Continue reading
Federal Gift and Estate Tax Planning- Part 7 of 7: Advanced Planning with Charitable Trusts
Using a Charitable Remainder Interest Annuity or Unitrust (CRATs/CRUTs) and Charitable Lead Trusts (CLTs) Charitable Remainder Interest Annuity and Unitrust as well as Charitable Lead Trusts are vehicles for the charitably inclined that can provide significant income and estate tax benefits. Both charitable remainder trusts and charitable lead trusts are split interest trust where an annuity interest and a remainder interest are split among the grantor of the trust or other non-charitable beneficiaries and a qualified charity. CRATs and CRUTs Charitable Remainder Interest Annuity Trusts (CRATs) and Charitable Remainder Interest Unitrust (CRUTs) are the two types of charitable remainder trusts. … Continue reading
Federal Gift and Estate Tax Planning- Part 6 of 7: Advanced Planning with QPRTs
A Qualified Personal Residence Trust aka “QPRT” can be an effective gift and estate tax planning tool, especially in cases where an individual has a large amount of wealth of which a primary residence and secondary home make up a significant percentage. IRC Section 25.2702-5 governs the use of QPRTs. What property can be transferred to a QPRT? The IRS allows an individual to transfer no more than two residences (i.e. noncommercial property), including appurtenant structures and adjacent land for residential purposes (primary residence or secondary home) or interest therein to a QPRT. How is a QPRT structured? A QPRT … Continue reading
SC Legislative Update—Proposed Changes to H 3180 Could Impact HOAs
As recently mentioned here on March 28, 2024, the South Carolina Legislature is currently considering a bill that impacts the ability of community associations to collect assessments from non-paying members of their communities. As originally drafted, House Bill 3180 would have eliminated any HOA’s ability to foreclose its lien when someone didn’t pay their assessments. The Community Associations Institute (CAI) and its South Carolina Legislative Action Committee (SC-LAC) have worked closely with other members of the House, including Representative Weston Newton, to propose alterative solutions to the proposed bill. Through that collaboration, an amended version of the bill was proposed … Continue reading
Federal Gift and Estate Tax Planning- Part 5 of 7: Advanced Planning with IDGTs
Freezing and Reducing your Taxable Estate with Intentionally Defective Grantor Trusts (IDGTs) Likely the most effective and popular advanced planning techniques are the use of a Grantor Retained Annuity Trust (“GRAT”) or an Intentionally Defective Grantor Trust (“IDGT”). The general idea of both techniques is to transfer assets expected to appreciate in an amount that exceeds the current month’s Applicable Federal Rate or Section 7520 (120% of the AFR) rate and pass the excess growth to non-charitable beneficiaries, all while using little or none of the individual’s basic exclusion. In this part, I will discuss IDGTs. An Intentionally Defective Grantor … Continue reading
Who Was Robert and Why Do his Rules Rule?
Originally appeared as Who Was Robert and Why Do his Rules Rule? from the May 23, 2023 Presbyterian Outlook. As an attorney and professional parliamentarian, I’m sometimes asked, “Who was Robert and why do his rules rule?” It’s a timely question. Henry Martyn Robert, the original author of Robert’ Rule of Order, died 100 years ago on May 11, 1923. Since that time, versions of his parliamentary manual have come to dominate meetings. While other parliamentary manuals are available, Robert’s Rules of Order is the 800-pound gorilla of the parliamentary world. It is the most popular and easiest-to-locate book on meeting procedure. Most … Continue reading
Federal Gift and Estate Tax Planning- Part 4 of 7: Advanced Planning with GRATs
Freezing and Reducing your Taxable Estate with Grantor Retained Annuity Trusts (GRATs) Likely the most effective and popular advanced planning techniques are the use of a Grantor Retained Annuity Trust (“GRAT”) or an Intentionally Defective Grantor Trust (“IDGT”). The general idea of both techniques is to transfer assets expected to appreciate in an amount that exceeds the current month’s Applicable Federal Rate or Section 7520 (120% of the AFR) rate and pass the excess growth to non-charitable beneficiaries, all while using little or none of the individual’s basic exclusion. In this part, I will discuss GRATs, which are likely the … Continue reading
South Carolina Legislature Considering Two HOA Bills
Two bills, one dealing with the foreclosure process for homeowners associations and one dealing with HAM radios, have received attention from the South Carolina House of Representatives in the past weeks and are gaining momentum. On March 26, 2024, a subcommittee hearing took place at which both bills were considered. Here is some information about each: H.4549 (Amateur Radio Antenna Protection Act). This bill has had a number of Representatives add their names to the sponsorship of the bill, which is usually a sign that the bill has positive momentum. This bill may require all HOAs (which may include … Continue reading
Jim Slaughter Receives Lifetime Contribution Award for Association Work
Law Firm Carolinas’ partner Jim Slaughter received the Don Buck Lifetime Contribution Award at the recent 2024 Community Association Law Seminar in Las Vegas. The award recognizes attorneys who have demonstrated exceptional commitment to the community association industry. Jim is a past President of the national College of Community Association Lawyers as well as the North Carolina Chapter of the Community Associations Institute. He has written four books on association meeting procedure, including the recent Robert’s Rules of Order Fast Track. Here’s a recent announcement from the Community Associations Institute on the Award. Jim Slaughter presented with the Don Buck … Continue reading
Federal Gift and Estate Tax Planning- Part 3 of 7: Advanced Planning with ILITs
Creating and Irrevocable Life Insurance Trust aka ILIT The first advance planning technique I will discuss in this series of blogs and one of the simplest strategies is to have a life insurance policy held by an Irrevocable Life Insurance Trust aka an “ILIT.” While this strategy does not reduce the size of an individual’s taxable estate or estate taxes per se, it creates untaxed liquidity outside of their taxable estate to pay the taxes which may be due on the individual’s taxable estate. One question clients may have is why holding life insurance individually does not serve this same … Continue reading
Federal Gift and Estate Tax Planning- Part 2 of 7: Leveraging the Basic and Annual Exclusions
Maximizing Your Basic Exclusion The primary reason the vast majority of North Carolinians avoid estate tax is by simply using their basic gift and estate tax exclusion which is historically high. The 2024 amount is $13,610,000 per individual and $27,220,000 for a married couple who elects portability. Although some individuals may accomplish this without any planning, if an individual has a large estate, even if it is currently below the basic exclusion, there is simple planning which can leverage their basic exclusion. This leverage is due to the future growth of the gifted assets becoming removed from an individual’s taxable … Continue reading
Federal Gift and Estate Tax Planning- Part 1 of 7: The Unlimited Marital and Charitable Deductions
As discussed in prior blogs, North Carolina does not assess an estate or inheritance tax and the federal unified gift and estate tax exclusion as of 2024 is $13,610,000 per individual and $27,220,000 for a married couple who elects portability. Accordingly, the vast majority of North Carolinians do not have taxable estates. However, with the exclusion scheduled to sunset on January 1, 2026, and thereafter be greatly reduced to affect many more North Carolinians, I’d like to provide a summary of the most effective and popular strategies to reduce or eliminate gift and estate taxes. In part 1, I will … Continue reading
NC Community Association Legislative Update – February 28, 2024
House Select Committee on Homeowners’ Associations Issues Final Report Today (Wednesday, February 28) was the fourth and final meeting of the NC House Select Committee on Homeowners’ Associations. As a reminder, this Committee was created by House Bill 311 (see NC Community Association Legislative Update – May 9, 2023) and tasked with examining planned communities and condominium associations, including: The Committee was instructed to provide a final report to the General Assembly on its study, including any proposed legislation, on or before March 1, 2024, which it did through a 27-page report with eight main legislative recommendations. Law Firm Carolinas … Continue reading