Scott Lewis speaks to the Ohio Business Broker's Association: http://ping.fm/41KlZ

Scott Lewis speaks before the Ohio Business Brokers Association

Scott M. Lewis, a partner with the Cleveland law firm of Meyers, Roman, Friedberg & Lewis and Chair of the Firm’s Business Practice Group, gave a presentation entitled “Help Me Help You: Overlap and Interplay between the Business Broker and the Mergers and Acquisitions Attorney” on July 29th at an Ohio Business Brokers Association (OBBA) meeting. Mr. Lewis has written extensively on this subject and was recently featured in two publications—The Cleveland Metropolitan Bar Journal (cover story, Jan. 2009, “Beware the One-Stop Shop Business Broker”), http://www.meyersroman.com/0109-MRFL-CMBJ-REPRINT.pdf, and the Cleveland Jewish News, http://www.clevelandjewishnews.com/articles/2009/05/21/news/business/legal_matters/doc4a0c30d188ab1651760087.txt).
His general business and mergers and acquisitions practice includes the representation of closely held, small to middle market companies from inception through recapitalization or sale.

FTC Delays enforcement of the Red Flags Rule: 30 days more to comply. http://ping.fm/IBXbT

Red Flags Rule Delayed

Please be aware that on July 29, 2009, the Federal Trade Commission (FTC) announced that it will further delay enforcement of the Red Flags Rule until November 1, 2009 . The purpose of the delay is to give the FTC time to further educate businesses about compliance and to provide additional guidance on which businesses are covered by the Rule. We will keep you updated on the Rule as the information is finalized.

For the full text of the press release and for more information on the FTC’s Education Campaign on the Red Flags Rule, please visit: http://www.ftc.gov/opa/2009/07/redflag.shtm

Red Flags Rule: How to comply by August 1, 2009 http://ping.fm/maWWQ

Client Alert: Red Flags Rule mandates compliance by August 1, 2009

Client Alert

FTC PULLS OUT THE “RED FLAGS” TO COMBAT IDENTITY THEFT – NEW LEGAL REQUIREMENTS

The Federal Trade Commission (FTC) has issued a new rule requiring all financial institutions and “creditors” to implement programs to detect, prevent and mitigate instances of identity theft. This “Red Flags Rule” goes into effect as of August 1, 2009.

Requirements of the Rule

The Rule requires that all financial institutions and creditors develop, implement and administer an Identity Theft Prevention Program (the “Program”), which must include four basic elements:

First, the Program must include reasonable policies and procedures to identify the “red flags” of identity theft that may arise in the day to day operation of your business. Red flags are suspicious patterns or practices, or specific activities, that indicate the possibility of identity theft. For example, if a customer has to provide some form of identification to open an account, an ID that appears to be fake would be a “red flag” for your business.

Second, the Program must be designed to detect the red flags that you’ve identified as arising in your business. For example, if you’ve identified fake IDs as a red flag, you must develop procedures to detect possible fake, forged or altered identification.

Third, the Program must spell out appropriate actions you’ll take when you detect red flags. For example, the protocols to follow once you have detected a fake ID (e.g., confiscating the fake ID and contacting authorities).

Fourth, because identity theft is an ever-changing threat, the Rule requires you to address how you plan to re-evaluate the Program periodically to reflect new risks that have arisen related to identity theft.

The Rule also sets out requirements on how to incorporate the Program into the daily operation of your business. Your board of directors (or a committee of the board) must approve the initial written Program. If your company does not have a board of directors, the Program must be approved by the president, chief operating officer, or another appropriate senior-level employee. The Program must state specifically who is responsible for implementing and administering it, and must provide for appropriate staff training. If you outsource or subcontract parts of your operations, the Program must address how your company will monitor the compliance of all contractors.

Who Must Comply with the Rule?

The Red Flags Rule applies to “financial institutions” and “creditors.” The Rule requires you to conduct a periodic risk assessment to determine whether or not you have any “covered accounts.”

“Financial Institutions”

The Rule defines “financial institution” as including: (i) all banks, savings associations, and credit unions, regardless of whether they hold a transaction account belonging to a consumer; and (ii) any other person or organization that directly or indirectly holds a transaction account belonging to a consumer. Accordingly, all banks, savings associations, and credit unions are covered by the Rule as “financial institutions,” whether or not they hold a transaction account belonging to a consumer.

“Creditors”

The definition of “creditor” is broad and includes any businesses or organizations that regularly defer payment for goods or services or provide goods or services and bill customers later. Thus, utility companies, health care providers, telecommunications companies and even some professional service providers are all among the entities that may fall within this definition, depending on how and when they collect payment for their services. The Rule further defines “creditor” as one who regularly grants loans, arranges for loans or the extension of credit, or makes credit decisions. This would include finance companies, mortgage brokers, real estate agents, automobile dealers, and retailers that offer financing or help consumers get financing from others, like by processing credit applications. Finally, the definition also includes anyone who regularly participates in the decision to extend, renew, or continue credit, including setting the terms of credit. For instance, a third-party debt collector who regularly renegotiates the terms of a debt would also fall within the definition of “creditor.”

“Covered Accounts”

Once you have concluded if your business or organization is a financial institution or creditor, you must determine whether you have any “covered accounts.” The definition of this term under the Rule points to two categories of accounts, and requires you to examine both existing and new accounts in determining whether your business has any “covered accounts.” The first type of “covered account” is a consumer account you offer your customers that is primarily for personal, family or household purposes that involves or is designed to permit multiple payments or transactions. For instance, a credit card account, mortgage loan, automobile loan, margin account, cell phone account, utility account, checking account and/or savings account is a “covered account.”

The second type of “covered account” includes “any other account that a financial institution or creditor offers or maintains for which there is a reasonably foreseeable risk to customers or to the safety and soundness of the financial institution or creditor from identity theft, including financial, operational, compliance, reputation, or litigation risks.” Thus, this type of “covered account” would include small business accounts, sole proprietorship accounts, or single transaction consumer accounts that may be vulnerable to identity theft. Unlike consumer accounts designed to permit multiple payments – which are always “covered accounts” under the Rule – other types of accounts will only be considered “covered accounts” if the risk of identity theft is reasonably foreseeable.

In determining whether or not accounts are covered under the second category, consider how they are opened and accessed. For instance, if an account can be accessed remotely (such as through a telephone or computer) there could be a reasonably foreseeable risk of identity theft. The risk analysis should include consideration of any actual instances of identity theft.

If your business has no covered accounts, it is not required to have a written Program. However, it is important to conduct a periodic re-evaluation of the services and accounts provided by your company to determine whether or not you have acquired any covered accounts.

Penalties for Non-Compliance

Once enforcement begins on August 1, 2009, financial institutions and creditors may be subject to penalties of $2,500 per violation of the Rule.

This Client Alert is a summary only, prepared for general informational purposes, and is not an exhaustive description of the Red Flags Rules. Nothing in this letter is intended or is to constitute a legal opinion or legal advice of the undersigned or Meyers, Roman, Friedberg & Lewis.

If you would like to discuss how these changes affect you or your business, or for a fuller description of the new Red Flag Rules, please contact:


Sarah M. Duffy, Esq. or John R. Seeds, Esq.
Meyers, Roman, Friedberg & Lewis
28601 Chagrin Blvd., Ste. 500

Cleveland, Ohio 44122
(216) 831-0042 ext. 191 (216) 831-0042 ext. 174
sduffy@meyersroman.com , jseeds@meyersroman.com

Lawyers threaten suit over Red Flags Rule: http://ping.fm/WABW4

ABA threatens to sue over the Red Flags Rule

The ABA has promised to sueif the FTC does not exempt lawyers from the Red Flags Rule. The Red Flags rule is an effort to protect against identity theft. At the heart of the issue is the exceptionally broad definition of creditors, which makes any service provider billing at the end of the month for services performed in the previous month a "creditor," subject to extensive, and expensive regulations. With these regulations, the FTC hopes to identify potential "red flag" internal areas of vulnerability in creditors, and then create policies for detection and prevention of identity theft. The ABA argues that attorneys were never the kind of "creditors" the law sought to regulate. See the article:

http://www.abajournal.com/weekly/aba_to_sue_if_ftc_wont_exempt_lawyers_from_id_theft_rules

Read about market basket freeze: http://ping.fm/Mn1Qr

Market Basket Freeze in Skilled Nursing

Just read: CBO: market-basket freeze for skilled nursing could add up to billions in savings



http://www.mcknights.com/CBO-market-basket-freeze-for-skilled-nursing-could-add-up-to-billions-in-savings/article/139823/



Let me know what you think.

What do you think?: Women Take Time Off for Kids at Their Peril Interesting read: http://ping.fm/m7AON

Brent Shelley presents for Cleveland Music Industry Panel: tips on survival in the music industry http://ping.fm/JOOBi

Brent Shelley presents at the Cleveland Music Industry Panel

Brent A. Shelley, a business and corporate law attorney with Meyers, Roman, Friedberg & Lewis in Cleveland, OH, will be a speaker and panelist in a program (Cleveland Music Industry Panel) presented by Modern Revival Media on Saturday, August 8th from 10:00 am – 1:00 pm in the Auditorium of the Cleveland Metropolitan Zoo.

This interactive event for musicians, bands, solo artists and music industry professionals will provide information on strategies and solutions to get ahead in this competitive arena. Brent's practice focuses on internet and e-commerce law; entertainment law; and copyright, trademark and intellectual property law, areas that are essential to protect and facilitate professional survival in the music and entertainment industry.

Brent will be lending his experience to help navigate the difficult and often confusing subject of forming and establishing a solid legal foundation to build a successful enterprise in the industry. Please join us for what promises to be an exciting and informative program. For more information and tickets, go to: http://clevelandmusicpanel.eventbrite.com/

Northeast Ohio is the next Green Power Powerhouse

Northeast Ohio is the next Powerhouse in Green Power. Euope is well advanced in the development of alternative energy, and the United States is slowly but surely recognizing the serious need for the development of new Green energy. No matter the political reasoning, be it independence from foreign fuel sources, a desire to develop new industry, a need to save the planet, or all of the above, green initiatives and the businesses that develop around them are here, and Northeast Ohio is the perfect storm of opportunity.

Our natural resources have inspired the development of a rapidly growing wind turbine industry. At this time, every part of a wind turbine is manufactured and available within 100 km of Cleveland, Ohio, along with a skilled labor force for the manufacture and maintenance of those turbines. Several European wind power companies are considering Ohio, and in particular Cleveland to establish manufacturing, service, distribution and sales facilities including a wind farm in Lake Erie. Offshore projects have also started in Atlantic City New Jersey and in New York, all within a 1 hour airplane flight from Cleveland.

We are the next powerhouse in Green Power. Investors in all industries, including alternative energy, wind power, solar power, medical technology, polymers, technology and manufacturing have come to Northeast Ohio to establish their business and technologies and are receiving assistance through business incubators. The incubators provide offices and resources to help establish and develop new businesses and technologies in Ohio and the United States. For your medical and health care industry clients, the Cleveland Clinic, University Hospitals, BioEnterprise, Case Western Reserve University, the University of Akron and other academic institutions are resources your clients can use for raising capital and for research and development and commercialization of products and technology.

Let us know how we can help. We are all part of a global network now and we are ready willing and able to share contacts, information and expertise to develop Northeast Ohio into the Powerhowse of Power. If you have questions or comments about Green Inititives here Northeast Ohio, write back, or call Peter Brosse in our office.

Check out this great SlideShare presentation on eMarketing Techniques. Click on the link below http://mlhommedieu@blogspot.com

Social Online Networking Slideshare Presentation

I saw Brad Kleinman of WorkSmart eMarketing speak at the Hudson Chamber of Commerce meeting yesterday. It was a great presentation and he was kind enough to upload the slide show for us.

heck out this great SlideShare presentation on LinkedIn titled Hudson Chamber of Commerce - eMarketing Techniques. Click on the link below to view the presentation.
http://tinyurl.com/lqslmo

Online social networking is getting a lot of attention these days -- what do you think?