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ARTICLE · 09 MARCH 2016

Impact Of Immigration On Corporate Transactions- U.S. Perspective

Whenever a corporate transaction involves a business whose employees include foreign nationals, a proper HR due diligence is necessary.

IndiaImmigration

Whenever a corporate transaction involves a business whose employees include foreign nationals, a proper HR due diligence is necessary.  Most work visas for foreign nationals are employer specific, changes in a company's structure could put the validity of the work visa into question. Dismissing immigration due diligence could potentially lead to employees losing their jobs and lawful status in the U.S., not to mention penalties and sanctions that a company could face.  Inheriting immigration glitches in a corporate transaction is no longer a mere inconvenience for a company and immigration consequences should be taken seriously.

There are immigration issues that apply to most corporate transactions-stock or asset acquisitions, mergers, consolidations, initial public offerings, spin-offs, restructuring and the relocation of an employer or its employees.  For instance, take the case of an acquisition where a Japanese executive on a L-1A visa (granted to intra-company

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