Understanding the Impact of the Supply Chain Act: Overview and Analysis

Nationwide Injunction Temporarily Halts Corporate Transparency Act BOIR Filing Requirements:What You Need to Know

Authored By:
Timothy Berg
Paul Cliff
Stephen Good
David McCarville
Zaki Robbins
Chris Walther
Doug Youmans
Jeff Zucker

As we expect you are aware, the Corporate Transparency Act (CTA) required that certain “reporting companies” organized before January 1, 2024, have to file Beneficial Ownership Information Reports (BOIRs) by January 1, 2025, and that reporting companies organized on or after January 1, 2024, file BOIRs within 90 days of their organization.  Questioning whether the CTA’s mandate that BOIRs be filed  is constitutional, on December 3, 2024, the U.S. District Court for the Eastern District of Texas issued a nationwide preliminary injunction temporarily halting enforcement of the aforementioned BOIR filing requirements. While we believe it is likely that the Department of Justice will appeal this decision before the end of year, unless and until the court of appeals acts, the safest course of action for those of you associated with “reporting companies” is to continue to prepare your BOIRs, but refrain from filing them unless the injunction is lifted.  That way, if the injunction is set aside, you will be ready and able to file on short notice.  On the other hand, if nothing happens and the injunction remains in place, you will not have disclosed the private, personal information about your beneficial owners the CTA calls for.  Nonetheless, if you still want to file your BOIRs while the injunction is in effect, there does not appear to be any prohibition to doing so.

Either way, if you want to proceed with your filings notwithstanding the injunction, or you want to prepare your BOIRs so they are ready for filing if the injunction is lifted, please let us know how we can help. 

CTA Q&A Sessions
To support our business community and address questions about the application, we will host the following Q&A sessions:
•    Monday, December 9 at 1:30 PST / 2:30 MST
•    Monday, December 23 at 1:30 PST / 2:30 MST

To register for one of the sessions, click on the date you would like to attend.  


Get MORE. Insights

Stay ahead in the legal world – subscribe now to receive the latest insights and news from Fennemore Law Directly in your inbox!