EmergingEnterpriseCenter News

Foley Hoag Venture Perspectives - August 2010

Mon, 30 Aug 2010 12:57:00 GMT

Included in this Issue:

New England Series A Deal Activity
New England Series B and Later Round Deal Activity
Size of New England Q2 2010 Series A Transactions by Industry
Size of New England Q2 2010 Series B Transactions by Industry
The Numbers:Dave Pierson
Selected New England Series A Deals: Second Quarter 2010
Selected New England Series B and Later Round Deals: Second Quarter 2010
Selected New England Series A Deal Terms 2009-2010
Selected New England Series B and Later Round Deal Terms 2009-2010
The Activity Level Summary
- National Series A Deals by Industry
- National Series B and Later Round Deals by Industry

Employment Bulletin - August 20, 2010

Fri, 20 Aug 2010 16:39:00 GMT

On August 9, 2010, Massachusetts Governor Patrick signed into law an amendment to the state's workers' compensation statute which allows individuals to sue employers for violations of the statute. More specifically, the new law provides an incentive for individuals to seek recovery of any unpaid insurance premiums that are due for workers who are or who should be covered by the employer's workers' compensation insurance plan, including individuals misclassified as independent contractors. The law also permits a private attorney general's action if an employer fails to maintain any workers' compensation insurance. [more...]

Employment Bulletin - August 19, 2010

Thu, 19 Aug 2010 16:32:00 GMT

Buried in the newly-enacted Massachusetts Economic Development Reorganization law is a significant change to the state law regarding employee personnel records. The new law requires employers to give notice to employees when certain information is added to their personnel records. Employers must notify an employee within ten days of adding any information that has been used or may be used in the future to negatively affect “the employee’s qualification for employment, promotion, transfer, additional compensation or the possibility that the employee will by subject to disciplinary action.” [more...]

Employment Bulletin - August 17, 2010

Tue, 17 Aug 2010 16:32:00 GMT

Last Friday, President Obama signed into law the Emergency Border Security Supplemental Appropriations Act of 2010. The focus of this new law is an appropriation of more than $600 million to address immigration enforcement issues on the southwest border, including Arizona and Texas. However, at the same time, the law also significantly increases the fees for the H-1B and L visa programs for employers that are heavy users of those programs. [more...]

Dodd-Frank Financial Reform Act

Mon, 16 Aug 2010 10:23:00 GMT

In reviewing the recently enacted Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act), we found two very different sections worthy of brief note.

Small Issuers exempted from auditor certificates as to accounting controls.

SEC enforcement powers expanded against aiders and abettors and for foreign violators. [more... ]

FDA Recommends Actions to Improve Oversight of Medical Devices

Thu, 05 Aug 2010 14:05:00 GMT

On Wednesday, August 4, 2010, the Food and Drug Administration’s (FDA) Center for Devices and Radiological Health (CDRH) released for public comment two preliminary reports recommending steps to: (1) foster medical device innovation; (2) enhance regulatory predictability; and (3) improve patient safety. According to CDRH Director Jeffrey Shuren, MD, JD, the actions proposed in the reports represent “a blueprint for smarter medical device oversight” and are intended to advance CDRH’s responsibility to both protect and promote public health. The reports were prepared by two separate internal groups within CDRH, both convened in September 2009. [continues... ]

Further Guidance On The Revised Accredited Investor Standard

Wed, 04 Aug 2010 11:04:00 GMT

Title IV of the Dodd-Frank Wall Street Reform and Consumer Protection Act (the "Act") sets forth, among other regulatory changes, a revised net worth test for a natural person to qualify as an "accredited investor" for purposes of Regulation D under the Securities Act of 1933, as amended (the primary private placement exemption relied on by investment advisers managing private investment funds). The revised standard requires such an individual's net worth, or joint net worth with the spouse of that person, at the time of investment to be in excess of $1,000,000, excluding the value of the primary residence of such natural person. [more...]

Massachusetts Legislature Passes Permit Extension Act As Part of Economic Development Legislation

Tue, 03 Aug 2010 09:17:00 GMT

In the final hours of the session, the Massachusetts Legislature passed sweeping economic development legislation which included, as section 173, what has come to be known as the Permit Extension Act. The purpose of the Permit Extension Act is to recognize that the economic downturn has meant that projects that were otherwise “shovel-ready” may have difficulty in the short-run obtaining financing. If we want to help the economy get back on its feet, we shouldn’t make those projects have to go through the Massachusetts state and local permitting gauntlet again, just because the financing problems may have meant that permits would expire before the develop can get in the ground. [more... ]

Dodd-Frank Financial Reform Act - Key Corporate Governance and Executive Compensation Provisions

Tue, 27 Jul 2010 16:04:00 GMT

On July 21, 2010, President Obama signed into law the Dodd-Frank Wall Street Reform and Consumer Protection Act (the Dodd-Frank Act), arguably the most far-reaching package of financial regulatory reforms since the New Deal. The legislation restructures the regulatory framework for much of the U.S. financial system, and its effects will be most pronounced on the financial services industry.

However, the Dodd-Frank Act will affect all U.S. public companies by extending the federal regulation of matters relating to corporate governance and executive compensation. [more... ]

The Dodd-Frank Act: Non-Binding “Say-on-Pay” at Public Companies

Fri, 23 Jul 2010 10:48:00 GMT

Among the many elements of the massive Dodd-Frank Wall Street Reform and Consumer Protection Act are provisions applicable to public companies requiring defined “say-on-pay” votes. These are shareholder votes on

executive compensation generally, and
executive compensation relating to business combinations, known as “golden parachutes”.

In the United States, say-on-pay is advisory and not binding on a company’s board of directors. However, thus far in 2010, at least three companies have received negative say-on-pay votes from shareholders. Public companies would be wise to review their compensation programs with a view to how those programs will be perceived, particularly as explained in the Compensation Discussion and Analysis section of their proxy statements. [more...]