The CFPB recently issued a bulletin advising of its expectations for oversight of business relationships with service providers, as defined in Dodd-Frank. The CFPB advised that it expects banks and non-banks to “have an effective process for managing the risks of service provider relationships.”

A recent Delaware Court of Chancery ruling suggests drafters of LLC operating agreements may want to consider establishing a process by which managers of LLCs can be deemed to act in good faith and avoid application of the implied duty of good faith.

To what extent can Iowa parents be liable for damages caused by their children? Generally, under common law, parents are not responsible unless the damages can be directly attributable to some action or inaction of the parent. Under the Iowa Parental Responsibility Act, though, parents may be liable for their children’s unlawful acts no matter how closely they are supervised or controlled.

On March 14 the Iowa Civil Justice Task Force released recommendations for reforming the state’s civil justice system, including a recommendation to establish specialized “business courts.” Before Iowa can launch a business court system, however, two important issues must be addressed.

The Nevada Supreme Court ruled in Weddell v. H2O, Inc., 128 Nev. Adv. Op. #9, (Nev. March 1, 2012) that a judgment creditor is like an assignee of a membership interest. The creditor is entitled to only the share of the distributions the member would otherwise have received. The managerial interest of the debtor remains with the debtor.