Nationwide Preliminary Injunction Halts Corporate Transparency Act (“CTA”) Reporting Requirements for Private Funds and Their Advisers

Nuri ShinFINCEN

As of December 4, 2024, the U.S. District Court for the Eastern District of Texas (the “Court”) has issued a nationwide preliminary injunction preventing the federal government from enforcing the beneficial ownership reporting requirements imposed by the Corporate Transparency Act (the “CTA”). The CTA, which became effective on January 1, 2024, imposes obligations on millions of entities (each, a “Reporting Company”), including private fund advisers …