Articles Posted in Uncategorized

by

24B9CBEC-41CE-499E-8870-A246114F14FD-300x300For Chicago-area business owners, January 1, 2026 is shaping up to be a deceptively important date. There is no single headline-grabbing law taking effect. Instead, several Illinois and federal changes arrive at once, quietly affecting hiring practices, payroll, employee benefits, business expenses, and tax planning. These are exactly the kinds of changes that tend to create problems when they are discovered too late.

One of the most significant developments involves the use of artificial intelligence in employment decisions. Beginning January 1, 2026, Illinois law treats misuse of AI in employment as a potential civil rights violation. Employers using AI tools for recruiting, resume screening, interview scoring, scheduling, performance evaluations, or similar decisions must ensure those tools do not produce discriminatory results. The focus is on outcomes, not intent. Even well-meaning employers can face exposure if automated systems disproportionately affect protected classes. The law also requires notice to employees when AI is used in covered employment decisions, making it important to understand how HR software actually functions.

Another change affects payroll practices for nursing mothers. Illinois now requires that

Continue reading

by

F5A24B8C-CF4E-4965-AD33-BCA9434EB73E-300x300Effective Date: January 1, 2026

The Illinois Receivership Act will take effect on January 1, 2026, transforming how courts, creditors, and distressed businesses handle asset protection and management across the state. This new legislation provides expanded legal tools for addressing financially distressed assets, ensuring greater consistency and transparency in receivership proceedings.

Scope of the Act:

Continue reading

by

https://www.businessattorneychicago.com/files/2025/09/What-Illinois-Business-Owners-Should-Know-About-the-One-Big-Beautiful-Bill-Act-copy.png-300x300.pngTransfer on Death Instruments, or TODIs, have become a popular estate planning tool in Illinois. They allow real estate to pass directly to named beneficiaries when the property owner dies, all without the need for probate. But what happens if the deceased

owner had unpaid debts and the property transferred through the TODI is the only substantial asset? Can creditors go after the property? Do beneficiaries have to pay off those debts? Under Illinois law, the answer isn’t as simple as many assume.

A TODI is a legal document that enables a property owner to designate someone to receive real estate automatically at death. It’s similar to naming a beneficiary on a bank account or life insurance policy, but it applies to real property, often a primary residence.

Continue reading

by

https://www.businessattorneychicago.com/files/2025/08/What-Illinois-Business-Owners-Should-Know-About-the-One-Big-Beautiful-Bill-Act.jpg-300x300.jpgA New Era of Tax Policy for Business Owners

On July 4, 2025, the One Big Beautiful Bill Act (OBBBA) was signed into law, ushering in sweeping changes to the federal tax code. While the law has drawn national attention for its b

roader political implications, it contains several key provisions that Illinois business owners should take seriously. These changes affect everything from depreciation schedules and pass-through deductions to employer tax credits and employee compensation planning.

Continue reading

by

https://www.businessattorneychicago.com/files/2025/08/Untitled-design.jpg-300x300.jpgSmall business owners and startup founders now have a powerful reason to take another look at Qualified Small Business Stock (QSBS). A new federal law, the One Big Beautiful Bill Act, signed on July 4, 2025, makes QSBS more valuable than ever for growing companies and their stakeholders.

These changes give business owners, employees, and early investors more flexibility and larger tax breaks when selling shares. Whether you’re raising capital, attracting top talent, or planning an exit, this law could have a direct impact on your bottom line.

What Changed And Why It Matters

Continue reading

by
Freelancer-300x251

Employee or Freelancer?

Is a person who works for your business financially dependent on you, or can they potentially independently profit based on their skill set? Will they be part of your company indefinitely? Do they perform a central, daily, integral role? Do you dictate when, where and how they work? Do you limit their ability to work for others? Can the person apply what they do to other endeavors, widening their market reach and leading to other revenue streams?

Small businesses and other employers will need ask themselves this set of questions and consider the “totality of the circumstances” in determining whether to classify people who work for them as employees or independent contractors, in a rule change published by the U.S. Department of Labor’s Wage and Hour Division on January 10, set to take effect March 11.

Continue reading

by
Chicago Small Business Lawyer

Small Business Pandemic Survival Information

The $900 billion pandemic relief package included relief for Small Businesses.  The updated programs are intended to make it easier for small business owners to apply and gain funds.

The Small Business Administration (“SBA”) approved $5 billion in new Paycheck Protection Program (“PPP”) loans on January 19 and expanded the network of lenders who can make the loans.  At least $25 billion is being set aside for Second Draw PPP Loans to eligible borrowers with a maximum of 10 employees or for loans of $250,000 or less to eligible borrowers in low or moderate income neighborhoods.  More info is available on the SBA Website here.

Continue reading

by
Sexual-Harrassment-Training-300x251

State Requires Sexual Harassment Prevention Training

If you’re a small business owner and you haven’t trained your employees on sexual harassment prevention, you have until December 31 to stay in compliance with Public Act 101-0221, which amended the Illinois Human Rights Act to require such training this year and every year hereafter.

This recent law mandated that the Illinois Department of Human Rights put together a model training program for sexual harassment prevention, which the department has made publicly available to employers online.

Continue reading

by
George Bellas Chicago Business Lawyer George Bellas answers questions for business owners.

Employment Issues in the Pandemic

Employees who decline to show up to a physical work location based on a city, state or doctor’s coronavirus-related health order are protected from employer retaliation under a newly passed City of Chicago ordinance.

Chicago-based businesses, defined as those with physical facilities in the city, or subject to its licensing requirements, must not take adverse actions against any employee following the  COVID-19 dictates of the Chicago mayor, city Department of Public Health, governor of Illinois, or their own treating healthcare provider.

Continue reading