February 2012 archive

A Primer on Regression Analysis

Regression analysis is a statistical technique that is commonly used in litigation because of its unique ability to ascertain both liability and damages.  Specifically, litigation invariably involves questions of (i) whether event x caused event y, and (ii) if so, how much did y change because of x.  As regression is used more frequently among …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/a-primer-on-regression-analysis/

Is the NBA More Competitive After the Lockout?

The lockout shortened the NBA season by nearly two months while the number games was not proportionately reduced, resulting in a more compacted game schedule and shorter resting periods between games. Is it possible that the lack of rest equalizes the playing field (or court in this case) by rewarding young athleticism at the expense …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/is-the-nba-more-competitive-after-the-lockout/

Specificity in Contracts Can Avoid Future Disputes

 Contracts are often long and arduous to read, with excruciating detail and numerous defined terms that sometimes bear little resemblance to their “real world” usage.  And yet, when a problem arises and each side points to the contract to prove the superiority of their position, many items still become a subject of dispute (even if one side’s current …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/specificity-in-contracts-can-avoid-future-disputes/

First Circuit limits SOX whistleblower protection

In a February 3, 2012 Opinion, the First Circuit Court of Appeals reversed a Massachusetts District Court and held that, while the whistleblower protections of the Sarbanes-Oxley Act apply to employees of “public companies” (i.e., a company with registered securities or one that files reports under Section 15(d) of the Exchange Act), they do not …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/first-circuit-limits-sox-whistleblower-protection/

Oracle rejects $272 million and opts for a second damages trial

Oracle and competitor SAP went to trial over copyright infringement admitted by a now-closed TomorrowNow that SAP acquired. SAP acknowledged liability of their acquired company, and apologized for the infringement. In September 2011, a jury awarded Oracle $1.3 billion, but the U.S. District Court judge reduced the award, offering Oracle the opportunity to either accept …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/oracle-rejects-272-million-and-opts-for-a-second-damages-trial/

Recent tax case approves use of related party loans to reduce and fund estate taxes

The expected significant change in the estate tax at the end of 2012 should cause most affluent persons to engage in estate planning. Usually, this will involve an irrevocable trust. One issue that invariably arises is how a future estate tax will be paid for those assets that have not been removed from the estate. …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/recent-tax-case-approves-use-of-related-party-loans-to-reduce-and-fund-estate-taxes/

Mortgage Tax Relief on Debt Forgiveness Ending This Year!

Normally, when you receive any reduction in the amount of debt you owe someone it is a taxable event.  For example, if you owe someone $10,000 and the lender forgives $5,000 of that debt, that $5,000 is consider income and you have to pay tax on that amount.  Under the Mortgage Forgiveness Debt Relief Act …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/mortgage-tax-relief-on-debt-forgiveness-ending-this-year/

Government employees are compensated 16% more richly than their private sector counterparts

In a study released in January, the Congressional Budget Office (CBO) concluded that, on average, civilian federal employee compensation (including both wages and benefits spending) trumps that of the private sector. Except for individuals with a professional degree or doctorate, the imbalance held true at each education level, including (i) high school diploma or less, …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/government-employees-are-compensated-16-more-richly-than-their-private-sector-counterparts/

DOL’s ARB limits SOX whistleblower protections To U.S. employees

By a 3-2 vote, the Department of Labor’s Administrative Review Board (ARB) limited the jurisdiction of the Sarbanes-Oxley Act (SOX) whistleblower protection outside the United States. The case is Villanueva v. Core Laboratories, NV, ARB No. 09-108, ALJ No. 2009-SOX-6 (ARB Dec. 22, 2011) (en banc). The ARB received multiple amicus briefs setting out the …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/dols-arb-limits-sox-whistleblower-protections-to-u-s-employees/

IRS issues final regulations on taxation of personal injury damages

In late January, the IRS issued final regulations regarding the taxation of personal injury litigation damages. The regulations provide guidance regarding tax law changes included in the Small Business Job Protection Act passed in 1996. Specifically: Litigation settlements are excluded from gross income for damages received on account of physical injuries or sickness. Damages from …

Continue reading

Permanent link to this article: https://betweenthenumbers.net/2012/02/irs-issues-final-regulations-on-taxation-of-personal-injury-damages/