Shearman And Sterling

Shearman & Sterling is firmly committed to helping clients achieve their business objectives. With a focus on our clients’ changing needs and goals, we deliver a wide range of materials and services to keep them up to date and informed.

Perspective

Sanctions Round Up: Second Quarter 2022

August 22, 2022

With the war in Ukraine raging on, the U.S. continued to escalate its sanctions response against Russia.  The U.S. announced extensive trade and investment bans that prohibit U.S. persons from making any “new investment” in the Russian Federation, and imposed additional blocking sanctions on Russia’s largest banks and Russian elites. With the future of a revived JCPOA still in doubt, the U.S. resumed sanctions against Iran’s energy sector, taking aim at sanctions evasion networks tied to its state-owned oil company.

Perspective

Fed Imposes New Roadblock on Banks’ Crypto Activities

August 16, 2022

Today, the Fed announced a new procedural requirement for banks seeking to engage in crypto activities. Going forward, a bank must provide formal notice to its lead supervisory contact at the Fed “prior to engaging in any crypto-asset-related activity.” This notice requirement applies to all bank holding companies, savings and loan holding companies, and state-chartered member banks.

Perspective

ESG Ruling Sends Out Warning to UK Parent Companies

August 16, 2022

Partner Jonathan Swil (London-Litigation), counsel Mehran Massih (Munich-Environmental), counsel Edward Taylor (Hong Kong-International Arbitration) and senior associate James Matthews (London-Litigation) co-authored an article for Law360 titled “ESG Ruling Sends Out Warning to UK Parent Companies.”

Perspective

Inflation Reduction Act: Key Green and Blue Hydrogen and CCUS Provisions

August 12, 2022

The House U.S. Congress has passed, as of today, the Inflation Reduction Act (“IRA” or the “Act”), which is expected to be signed into law by President Joe Biden very soon. The IRA is one of the biggest investments in clean energy in history and a major step towards reducing the United States’ greenhouse gas emissions.

Perspective

Emergency Arbitration in Mainland China: A New Dawn?

August 11, 2022

Partner Emmanuel Jacomy (Singapore-International Arbitration) and Counsel Edward M. Taylor (Hong Kong-International Arbitration) co-authored an article for the July edition of Asian Dispute Review titled “Emergency Arbitration in Mainland China: A New Dawn?”.

Perspective

US, EU And UK Increase Pressure on Russia with Further Sanctions

August 10, 2022

Since late February 2022, the United States, the European Union and its member states, the United Kingdom, and many others—including Japan, Australia, New Zealand, Taiwan and Canada—have imposed sweeping new sanctions on Russia in response to its invasion of Ukraine.

Perspective

The Book Minimum Tax, Pillar 2 and Creditable Foreign Income Taxes

August 05, 2022

As discussed in our alert earlier this week, the recently announced proposed reconciliation package—the Inflation Reduction Act of 2022, H.R. 5376—would impose a new 15% minimum tax on the adjusted financial statement income of “applicable corporations” (the “Book Minimum Tax”). If enacted, the Book Minimum Tax would take effect for taxable years beginning after December 31, 2022, and apply to corporations (other than S corporations, RICs and REITs) that report average book profits over $1 billion over a three year testing period, determined on a group-wide basis.

Perspective

Damages Claims in the Competition Appeal Tribunal – Where Have We Come From And Where to Next?

August 01, 2022

Will 2022 be seen as the year in which the gates finally opened for damages claims in the Competition Appeal Tribunal (CAT)? If so, some might say it has been some time in the making. The CAT originally was best known as the forum for appealing decisions of the U.K.’s primary competition authority (the Competition and Markets Authority (CMA)). However, changes brought about by the Consumer Rights Act 2015 (CRA) enabled the CAT to hear a wider range of private damages claims.

Perspective

Inflation Reduction Act of 2022: New Corporate Book Minimum Tax and Changes for Carried Interests

August 01, 2022

On July 27, 2022, Senators Manchin and Schumer announced that they agreed to a proposed reconciliation package, the Inflation Reduction Act of 2022, H.R. 5376. If enacted, the Bill would finance climate programs, expand the Affordable Care Act through 2025, and allow Medicare to negotiate prescription drug prices. While the majority of the tax-related changes in the Build Back Better Act, H.R. 5376, are not included in the current draft of the Bill, the Bill would meaningfully change the current taxation of corporations and carried interests.

Perspective

UK Financial Services and Markets Bill 2022

August 01, 2022

The recently published Financial Services and Markets Bill (FSM Bill) is intended to recast the U.K.’s regulatory architecture post-Brexit. It was introduced to Parliament on 20 July 2022. The Bill implements the outcomes of the Future Regulatory Framework Review, which assessed whether the U.K. financial services regulatory framework is fit for purpose and able to support future growth, particularly in light of challenges such as Brexit and climate change, as well as several other initiatives such as the Wholesale Markets Review and stablecoin regulation.