State laws govern formation of a limited liability company (LLC). Differences from state to state relate mostly to filing requirements. If you’re thinking about forming an LLC for your new business, the structure and advantages are basically the same across all jurisdictions. An LLC is well-suited to smaller businesses, but you can form one for almost any business endeavor other than banking or insurance.
Intellectual property isn’t tangible. Although it’s not typically something that you can hold in your hands, it belongs to your business just the same. It’s as real as any piece of equipment. A variety of laws protect it against theft by other businesses or individuals.
Business can be a dog-eat-dog world. Often, there’s stiff competition between companies. They compete for things like market share, selling more of their goods to the public than a competitor or maybe for government contract work.
How does a business keep its edge against the competition? It’s common for employers to require their employees to sign a non-compete contract. In fact, you may have signed one when you were hired, or when took a promotion. There may have been one in your severance package. If you’re being laid off or changing jobs, you should know if you have non-compete and what it means.
You hoped it would never happen, but in the back of your mind, you knew it could: Your small business is being sued. Whether it has been filed by a current or ex-employee, client, vendor or even another business, a lawsuit against your company will likely cost you a lot of money… whether you win or lose. It’s normal to feel overwhelmed, upset, and indignant, but if you want to keep your business and it’s reputation intact during this time — it’s important to handle every step of the process carefully.
For businesses with more than one owner, the importance of a buy-sell agreement cannot be overstated. Events such as the death, incapacity, retirement or even divorce of one of the owners (“Triggering Events”) can sink a business if the owners have not entered into a buy-sell agreement. Unfortunately, most small business owners do not have this vital agreement in place.
Most employees in this country work at will. This means they can quit at any time, with or without notice, and their employer can fire them at any time, with or without notice, for any reason that is not illegal. If you have an employment contract, however, it might change the at-will employment relationship.
An estate plan for your business can control the transfer of your business or its value to the next generation. Estate planning allows you to make gifts, ensure business continuity, and avoid taxes. Your plan of action will depend upon whether you want to transfer control of your business interest before or after death and whether you are transferring a functional business to a successor or liquidating your interest and giving the proceeds to beneficiaries.
Any day you get served with a lawsuit is not a good day for your business. You cannot ignore the lawsuit without suffering a judgment against your business, and you know that defending the lawsuit will involve an uncertain amount of time and money. However, by taking immediate action and an active role in the defense, you increase your chances of achieving your best possible resolution of the lawsuit.
Drafting contracts is one of the pleasures of practicing law. But if your contract ends up in court, your handiwork will surely be tested by your opponent’s skilled lawyers attacking every paragraph, sentence and word. This article provides fifty simple tips for writing the contract that is so clear that no one will want to litigate it.
These tips apply to writing all kinds of agreements: real estate sales contracts, employment contracts, equipment leases, prenuptial agreements, property settlement agreements. They even apply to stipulations and settlements in litigation. Wherever clarity and simplicity are important, these tips will guide you there.
In the United States, employers have a great deal of freedom to lay off employees. Nevertheless, laying off employees is regulated by law. Employers that do not follow those rules in a clear, unbiased layoff policy run the risk of lawsuits.