The CDC instituted a partial eviction ban on September 4, 2020, when Trump was in office. The CDC ban is still in place as of the time of this writing. This eviction ban has been widely misunderstood. It makes it a crime for landlords to remove individual tenants with limited or no housing alternatives who (a) expect to earn less than $99,000 in 2021 (or $198,000, for joint tax return filers); (b) were not required to report income in 2020; or (c) received a stimulus check last year under the Coronavirus Aid, Relief and Economic Security (CARES) Act. There are additional hurdles that a tenant must face and certain paperwork which must be completed. If you want to know more about how it works, you can refer to our article on Eviction in the Time of COVID. While it is not, and never has been a blanket ban, it has certainly caused much consternation to those who rent properties. On May 5, 2021, a Washington DC federal judge declared the ban unconstitutional. Part of his decision stated "[i]t is the role of the political branches, and not the courts, to assess the merits of policy measures designed to combat the spread of disease, even during a global pandemic. " “The question for the Court is a narrow one: Does the Public Health Service Act grant the CDC the legal authority to impose a nationwide eviction moratorium? It does not.” You can read the opinion here . The Department of Justice immediately appealed the decision. This was not the first court to make this declaration. In February a Federal Court in Texas also struck down the CDC ban on similar grounds, stating that "[t]he court concludes that the federal government's… power to regulate interstate commerce... does not include the power to impose the challenged eviction moratorium." You can read the decision here . The Texas decision directly contradicts another Fifth Circuit decision out of Louisiana, which upheld the moratorium. It is one of several courts which have done so. There is currently a similar case working its way through the courts in New York. So where does that leave landlords right now? Unfortunately, likely in the same position. As these cases are being appealed, their rulings are stayed. Furthermore, it puts a landlord at risk to ignore the moratorium. Remember though, that contrary to common opinion there is not a blanket ban on evictions. Your best bet is to speak to an attorney who can assist with your eviction case, making sure you are in compliance with the law.

While the Arkansas legislature continues to do their best to undermine the will of the people of Arkansas by continuing to introduce largely failed bills to limit the use of medicine needed by many, there was one bright spot in this past legislative session. During COVID, governor Asa Hutchinson signed an emergency order allowing telemedicine appointments for patients for the purpose of receiving a doctor's approval for medical marijuana. Just to make sure the term telemedicine is clear, this is using Zoom or other video conferencing in order to assess a patient. If the highest echelons of the government and military can use such services to keep the nation safe, I believe that doctors can assess a patient in the same manner. However, the emergency order expired and it was back to in-person assessments only. Obviously, this leads to more hurdles and difficulty for patients. Senator Leding introduced Senate Bill 703, which became Act 1112 on May 3, 2021. This bill reinstated telehealth as an option for Arkansas doctors and patients. While this is now the law, it is up to the Arkansas Department of Health to release a statement or any updated policy. As of right now, the Department of Health website still states that telemedicine is prohibited. Generally, after the passage of a bill, it goes into effect after 90 days. If you would like to read the Act, it is here .

There is a lot of confusion surrounding the eviction process right now as it relates to COVID. People are wondering if they can be evicted and landlords are wondering how to recoup lost money from unpaid rent. They are not sure if evictions are even possible. There is NOT a federal or Arkansas moratorium on evictions across the board, however, there are some things that parties need to be aware of that can determine what can happen. CDC Moratorium . As of the time of this writing, the CDC moratorium has been extended to March 31, 2021. This moratorium was issued specifically by the CDC for the purpose of preventing the spread of COVID by evicting people from their homes. Contrary to misconceptions, there is an onus on the tenant to properly fill out an affidavit and submit it to the landlord. If the tenant fails to do this, they are not protected. Furthermore, there are some fairly specific things which much be plead in the affidavit and the tenant has to take active steps to find work or rental assistance. This affidavit is signed under penalty of perjury, so the tenant faces some risk in just signing off in hopes of getting a pass. Furthermore, one judge in Arkansas has already declared the CDC moratorium unconstitutional. My advice for landlords is to comply with the law if presented with an affidavit. If you fail to do so, you may be subject to a fine, not to exceed $100,000 and up to a year in prison and can go up from there if someone dies due to COVID from the eviction. More information about the specifics can be found here: https://www.cdc.gov/coronavirus/2019-ncov/downloads/eviction-moratoria-order-faqs.pdf CARES Act Moratorium. At the time of this writing, the FHA has extended its ban on evictions from properties secured by FHA-insured single family mortgages through March 31, 2021. Also, any government backed mortgages owned by Freddie Mac and Fannie Mae on single-family properties cannot evict tenants until at least February 28, 2021. To find out if your rental is covered by the Fannie Mae or Freddie Mac eviction bans, visit Fannie Mae and Freddie Mac and enter your address. You can also use the National Low Income Housing's federal eviction moratorium lookup tool to see if your address is covered by one of the federal eviction bans. The Consumer Financial Protection Bureau has an extensive list that could be helpful for landlords or tenants. It is located here: https://www.consumerfinance.gov/coronavirus/mortgage-and-housing-assistance/renter-protections/ If you find yourself needing help with an eviction or are facing problems, reach out to The Prater Law Firm, PLLC and we can help you!

Looking at different types of corporate entities can be confusing. Why are there so many and what do all of them mean? Before getting into the details, let’s start with a basic understanding of what a corporation really is. The word corporation is from the Latin corpus, which means body. In the eyes of the law, a corporation is a real person, an independent legal entity that is able to act like any living being; which means it can enter into contracts, own property and have debts and liabilities. The second thing to understand is that there are tax implications for each type, both at the state and federal level and this should have some bearing on the type of business that you should form. Now that we have a basic overview of what a corporation is, we will take a look at the specifics of the three most common corporate types for small businesses. C Corp is a bit of a misnomer. This is actually just a standard corporation and the earliest incarnation of a separate legal entity. It is often referred to as a C Corp in reference to section C of the IRS Code, which deals with corporation. Coincidence? I don’t know. Does anyone know the motives of the IRS? The Corporation provides personal protection from the debts of the entity, thus providing some personal insulation from risks of losing your assets in the event that the corporation goes under. There are more requirements to operate as a corporation and generally these can be somewhat burdensome to a small business without a fair amount of sophistication in regard to corporate requirements. However, they also have more options for growth and tax options. Corporations are formed under the laws of each state and are subject to corporate income tax at the federal and generally at the state level. In addition, any earnings distributed to shareholders in the form of dividends are taxed at individual tax rates on their personal tax returns. S Corp is short hand for small corporation. In a legal sense, from the perspective of corporate protections and liabilities, the S Corp is no different than the C Corp. The difference comes down to taxes. The S corporation allows income or losses to be passed through to individual tax returns, similar to a partnership. The rules for Subchapter S corporations are found in Subchapter S of Chapter 1 of the Internal Revenue Code. Generally, an S corporation is exempt from federal income tax other than tax on certain capital gains and passive income. It is treated in the same way as a partnership, in that generally taxes are not paid at the corporate level. An LLC is a limited liability company and was created as a more flexible and easy to maintain entity, which often makes them ideal for small businesses. Owners of an LLC are called members. Since most states do not restrict ownership, members may include individuals, corporations, other LLCs and foreign entities. Most states also permit “single member” LLCs, those having only one owner. The LLC also provides the same kind of protection as a standard corporation, so there are no drawbacks there. As for taxation, an LLC truly is a hybrid. The LLC can opt to be taxed at the corporate level or use pass through taxation. So which corporate entity is right for you? There is no correct answer. To really answer that question you need to discuss the particulars of your business goals with your attorney and accountant. Good luck on getting that business off the ground!