Immigration And Form I-9 Compliance Considerations In Mergers And Acquisitions

U.S. immigration laws are playing an increasingly significant role in corporate transactions, and the incoming presidential administration's expected emphasis on immigration enforcement highlights the importance of addressing these considerations during due diligence. A thorough due diligence process is a critical step for acquiring companies to enhance compliance with immigration laws, evaluate potential liabilities, and identify necessary pre-closing and post-closing actions for a smooth transition. One critical focus of immigration due diligence is assessing the acquired company's compliance with Form I-9 requirements.

During due diligence, the acquiring employer should review a representative sample of the acquired company's Forms I-9 to confirm they were correctly and timely completed and retained in compliance with immigration laws. It should also evaluate the I-9 processes and procedures of the acquired entity, its I-9 compliance policy, and steps taken to