In Bushansky v. Soon-Shiong, 2018 S.O.S. 2627, the plaintiff, Stephen Bushansky, filed a shareholder derivative action on behalf of a nominal defendant, NantKwest, Inc. The trial court dismissed the suit based on a forum selection provision in NantKwest’s certificate of incorporation that named Delaware as the forum for shareholder derivative actions. The forum selection clause required that the parties file any disputes in Delaware, “subject to the court’s having personal jurisdiction over all indispensable parties named as defendants.”
Enacted in 1994, the California Residential Mortgage Lending Act (CRMLA) became effective in 1996. The California Assembly formulated the CRMLA as an alternative to existing regulations that licensed lenders under existing law including the California Finance Lenders Law (CFLL). The purpose of the CRMLA was to provide a licensing law specifically intended to regulate mortgage bankers and their primary functions of originating and servicing residential mortgage loans.
In February of 2018, the State Regulatory Registry, LLC (the “Registry”) reached out seeking public comment on proposed changes to the NMLS Mortgage Call Report, which provide information about a licensed mortgage business enterprise’s financial condition, loan activities, and loan origins. However, the Registry issued a notice in June stating that the implementation of planned changes to reporting requirements for the Nationwide Multi-state Licensing System has been delayed.
The Secure and Fair Enforcement for Mortgage Licensing Act of 2008 (SAFE Act) requires all state mortgage licensees to submit a report of financial condition and loan activity to the NMLS. The California Finance Lenders Law (CFLL) and the California Residential Mortgage Lending Act (CRMLA) both contain provisions related to reporting requirements for licensees, including rules related to Mortgage Call Reports, annual reports, special reports detailing servicing activity, and audit reports. Fannie Mae or Freddie Mac Sellers/Services or Ginnie Mae Issuers must submit an Expanded Mortgage Call Report.
A recent study shows that many small and medium-sized enterprises/businesses (SMEs, SMBs) are unprepared for the General Data Protection Regulation (GDPR) that took effect on May 25, 2018. The consequences may be costly financially as the GDPR replaces the entire body of existing data protection laws throughout Europe and significantly effects how companies handle, protect and profit from data.
In Airs Aromatics v. CBL Data Recovery Technologies, 2018 S.O.S. 2612, filed May 23, 2018, CBL Data Recovery Technologies, Inc. (CBL) appealed an order denying its motion to set aside a default judgment entered in favor of Airs Aromatics, LLC (Airs). CBL argued that because the trial court awarded damages above the amount demanded in the complaint, the default judgment was void pursuant to § 580 (a) and § 585 (c) of the California Code of Civil Procedure.
The California Residential Mortgage Lending Act (CRMLA) defines “trust funds” as funds that a licensee collects and holds on behalf of another while making or servicing a mortgage loan. Licensees must place the funds in a non-interest-bearing account with a federally-insured depository institution.
Blockchain technology has been in the news consistently for more than a year. This technology has the potential to transform many industries, including those that are multiply diverse. A blockchain provides a means of creating and maintaining an immutable and transparent database and ledger that may be distributed and shared by authorized users. Because of its many benefits, blockchain is increasingly becoming used in the practice of law.
The California Residential Mortgage Lending Act (CRMLA) was enacted in 1994 and went into effect in 1996. The CRMLA was enacted as an alternative to the existing laws licensing lenders under the Real Estate Law and the California Finance Lenders Law (CFLL), with the purpose of providing mortgage bankers with a licensing law specifically intended to regulate their primary functions of originating and servicing residential mortgage loans.
Gibson, the iconic Nashville-based guitar company filed for bankruptcy relief under Chapter 11 in Delaware on May 1, 2018. The filing occurred as a result of the manufacturer’s failed efforts to convert itself into a musical lifestyle company. Gibson manufactures guitars, banjos, and mandolins and its subsidiary, Baldwin, manufactures pianos. Gibson’s guitars include the Les Paul, SG, J-45, and Hummingbird. However, the company believed that expanding into electronics and creating a music-based lifestyle brand was the key to continued growth. This belief turned out to be a costly mistake.