Legislative, Regulatory & Legal

Washington, D.C. – President Obama reportedly wants to raise the maximum salary threshold for overtime eligibility for salaried employees. According to Reuters, Obama has directed the Labor Department to raise the current maximum salary level of $455 per week, which covers about 12% of all hourly employees.

Denver -- Quiznos on Friday filed for Chapter 11 bankruptcy protection to reduce its debt. The sandwich chain said it filed after reaching a deal to cut its debt by more than $400 million, or about two-thirds. Quiznos said it would continue operating while it works to implement a debt-restructuring plan and make operational improvements.

Washington, D.C. - The National Retail Federation (NRF) is publicly opposing any change in current regulations regarding overtime pay. In a prepared statement issued in response to reports that President Obama will propose a change in federal overtime rules, David French, senior VP for government relations for the NRF, said current overtime rules have been in effect for 10 years and are working.

Washington, D.C. -- The National Retail Federation (NRF) is urging Congress to pass legislation that would require online and remote sellers to collect state and local sales taxes, telling a House committee that lawmakers should level the playing field between local retailers and out-of-state competitors. David French, senior VP of the NRF, told the House Judiciary Committee in a letter that legislation is needed to end the sales tax disparity.

National Retail Federation SVP David French told the House Judiciary Committee in a letter this week that legislation is needed to level the playing field between local retailers and out-of-state competitors, as the NRF continues to push Congress to pass legislation that would require online and remote sellers to collect state and local sales taxes.

Melville, N.Y. – Sbarro LLC has reportedly filed for Chapter 11 bankruptcy protection for the second time since 2011. According to Reuters, Sbarro wants to reduce its debt by 80% via a pre-packaged reorganization that would allow it to exit bankruptcy before May 7, 2014.

Most of Sbarro’s creditors reportedly support the plan, which it said is necessitated by declining mall traffic and an unsustainable balance sheet. The plan requires court approval and Sbarro will reportedly also seek better offers from potential buyers.

Plano, Texas – Two major J.C. Penney Co. Inc. executives who left the company in April 2013 did so without receiving severance pay. According to a regulatory filing from Penney, neither former CEO Ron Johnson nor former chief talent officer Daniel Walker were paid any severance when they left the retailer.

According to reports, eBay is urging shareholders to reject a slate of board members nominated by activist investor Carl Icahn and instead support nominees picked by the company.

Reuters has reported that eBay is asking shareholders to re-elect existing directors CEO John Donahoe, company co-founder and managing director Fred Anderson, Intuit co-founder Scott Cook and former Agilent Technologies CEO Edward Barnholt.