THIS ISSUE'S HEADLINES

Kas R. DeCarvalho Sworn In to the Rhode Island District Court Bench

Home Buyers Beware! Revival of the Recorded Deed Scam

A Closer Look at How Artificial Intelligence Could Benefit Closely-Held Businesse


KAS R. DECARVALHO SWORN IN TO THE RHODE ISLAND DISTRICT COURT BENCH

In this special issue of Business Matters, we would like to congratulate Kas R. DeCarvalho on his confirmation to the Rhode Island District Court Bench! Judge DeCarvalho has spent more than 25 years advocating for legal justice, volunteering and giving back to our local community. Prior to being recommended, nominated and confirmed by Governor Dan McKee, the Rhode Island Senate, and the Rhode Island House, Attorney Carvalho was a Partner at PLDO and a valuable member of our Corporate & Business team. We thank him for his many years of service and look forward to his continued success as District Court Associate Judge. He is truly deserving of this opportunity!

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HOME BUYERS BEWARE! REVIVAL OF THE RECORDED DEED SCAM

Over the past year, we have received several questions from clients regarding letters they have received that are titled along the lines of “Recorded Deed Notice” or “Property Records.” The correspondence on its face appears to be official and many recipients believe that the letter is a bill from the county or local taxing authorities. The letters usually request that the recipient pay a fee between one hundred and two hundred dollars for official records and other information associated with the owner’s recently acquired real property.

This may be why the scam is successful, many new homeowners and recently domiciled Florida residents may not be aware that in certain states, including Florida, transfers of real property are a matter of public record, and the records are readily available through the local property appraiser and/or taxing authorities. The senders of these letters must be reviewing property transfer records and mailing similar correspondence to every new property owner.

Moving to a new state and purchasing real estate are exciting times for our clients, which leaves many owners susceptible to this and similar scams. The letters usually include the following disclaimer in a substantially similar form, “[Company] is not associated with any governmental agency. You can obtain a copy of your deed and other records from the county recorder in the county where your property is located.”

Unfortunately, most recipients do not review the disclaimer carefully enough to realize that the same records are available for a fraction of the cost.

The trigger for receiving a letter of this sort appears to be any transfer of real property, which is quite common for our estate planning clients and for those who have recently inherited real estate.

If you receive any letters requesting the payment of a fee for records associated with your real property, it is highly recommended that you contact your PLDO attorney to confirm that the correspondence is legitimate and to determine if there is an alternative method to obtain the records.

For more information about Trust and Estate Planning, please contact Peter S. Strobis, Senior Counsel and member of the firm’s Estate and Trust Planning, Administration and Litigation Team. Attorney Strobis can be reached in PLDO’s Boca Raton, FL office by calling 561-362-2030 or emailing pstrobis@pldolaw.com.

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Artificial Intelligence (AI) is here to stay, and it is already impacting our personal lives, as well as businesses of all industries and sizes. Many closely-held businesses are now leveraging AI platforms and data analytics to streamline operations and guide how decisions are made. There are multiple case studies and examples of how the use of AI is transforming the traditional business model and driving efficiencies that were not possible before, which should lead to higher levels of growth and profitability. AI is also expected to help even the playing field for smaller businesses that are trying to compete with larger corporations.

Closely-held businesses, including family-owned businesses, constitute a sizable portion of the global economy. Prior to the advent of AI and data analytics as a tool for improving operational efficiencies and decision-making, the small business segment of our economy faced unique challenges. The implementation of AI, which includes a range of technologies, such as robotics and data entry for customer support, could reduce manual efforts and lower operational costs. This, in turn, could enable the business owner to find strategic advantages in their respective industry. A perfect example of the use of AI by a closely-held business is using robots on the production line to enhance efficiency and improve quality control of the products being manufactured.

The collection and use of data enables the business owner to gain insight from the information that is collected. We have clients utilizing AI to optimize inventory management in the warehouse and forecasting the needs of its customers on a weekly and monthly basis. The use of AI to collect valuable customer data provides the owner with a powerful tool to make informed decisions that were once best-case projections. Small retailers can use analytics to inform decisions relating to customer demand, which would allow them to adjust inventory levels and eliminate waste.

Making decisions in a closely-held or family business prior to the introduction of AI was based upon historical data that may not have always been accurate or reliable. Data analytics provides the owner with an alternative that should be faster and more accurate, if used properly. Now, businesses can forecast future performance, identify growth opportunities and mitigate risks that may not have been identified previously. This new age tool should allow businesses to predict changes more accurately based on market conditions and trends. For example, the restaurant owner who leverages AI to improve staffing decisions could reduce labor costs and improve profit margins.

Notwithstanding the benefits of AI and data analytics, the closely-held business owner may confront challenges that include data privacy and an inability to find those skilled in its use. Employee training will become critical to ensure the effective use of AI, as will implementing cybersecurity measures to minimize the vulnerability of the company’s data.

AI automation and data analytics will continue to reshape how a business is operated, transform the decision-making process, and create new efficiencies. If businesses embrace these modern technologies, they could gain a competitive advantage and position the company for long-term sustainability. If you have questions or would like further information, please contact PLDO Principal Gary R. Pannone at 401-824-5100 or email gpannone@pldolaw.com.

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