Hegwood Law - March 2020

DIGGING FOR THE TRUTH

FOIA Lawsuits That Changed How Americans Participate in Democracy

The Freedom of Information Act, commonly referred to as FOIA, has been a crucial part of the democratic system for decades. It was designed to improve public access to governmental records, but unfortunately, it does not always work as intended. In most cases, requests are only answered if a lawsuit is filed. Nevertheless, FOIA has had a crucial role in many high-profile legal cases. Here are a couple of the most significant ones in American history. A Journalist’s 16 Years in Court California-based journalist Seth Rosenfeld has had some serious contention with the FBI. In 1985, he filed his first lawsuit against the FBI for ignoring his requests for information about the Berkeley protests of the 1960s. The case was eventually settled in 1996, and Rosenfeld was awarded $560,000 in fees. In their settlement agreement, the FBI agreed to be more thorough with FOIA requests. Rosenfeld filed a second lawsuit in 2007 accusing the FBI of withholding information during former President Ronald Reagan’s presidency. Five years later, he was awarded $479,459 in attorney fees. Rosenfeld is known for having some of the longest-pending FOIA requests and

has received over 300,000 pages of FBI documents since the 1980s. The SCOMM Scandal

In a landmark FOIA settlement concluded in 2013, the federal government paid $1.2 million to settle a suit brought by several civil rights groups over the Secure Communities (SCOMM) Immigration and Customs Enforcement program. The litigation exposed a plan to create a multi-agency database focused on collecting DNA, a person’s gait, and iris scans. When evidence was uncovered during the litigation, governors of New York, Illinois, and Massachusetts tried to opt their states out of the program, but the Department of Homeland Security determined SCOMM mandatory, according to the Center for Constitutional Rights. The case also changed how the government is required to identify, collect, and produce data for all FOIA requests. Thanks to FOIA and these important cases, the people’s right to government information (and honesty) will continue to progress in America’s democracy.

WHAT DOES THE SECURE ACT MEAN FOR YOUR RETIREMENT?

The SECURE Act went into effect Jan. 1, 2020, and it is the most significant revision to retirement legislation in at least a decade. If you plan to leave an inheritance to a nonspouse beneficiary, you may want to revisit your estate plan. In the past, kids and grandkids could inherit money in an IRA either directly or through a trust, and then stretch out their withdrawals — and concurrent tax payments — for decades. Under the SECURE Act, though, nonspouse beneficiaries will be required to withdraw the full inheritance and pay taxes on it within 10 years, meaning that many people will be paying taxes on their inheritance during their prime working years. If you do not adjust your plan to account for this change, this could result in a real loss of intergenerational family wealth. The SECURE Act did more than just get rid of stretch IRAs, though. Some of the SECURE Act’s most major changes impact the age at which people are required to start taking distributions from their retirement

accounts. That age has been raised from 70 1/2 to 72 years of age, meaning retirement accounts will have more time to grow. What is more, working people can continue to make contributions to their IRAs for the duration of their income-earning years. The legislation also makes it easier for employers to offer annuities in their retirement savings plans and includes a lot of provisions meant to expand access to retirement accounts. To learn more about Hegwood Law Group and how we can help you adjust your plan to reflect the SECURE Act, visit HegwoodLaw.com.

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