Business Law

There is no perfect formula for valuing a business. A retail chain is valued differently from a law firm, which is valued differently from a start-up. Businesses that can be divided and sold have different values than ones which cannot. As a general rule, the value of a business comes down to this – what…

Quite often, after issues arise, individuals pointedly complain that the terms of a contract that they signed and entered are unfair and one-sided. After explaining how and why they trusted the business or individual who wrote the contract and asked or persuaded them to sign it, they believe that they should not be forced to…

There are a few standard types of business arrangements for commercial companies and nonprofits. Each of these have unique issues and guidelines for conducting their daily operations. The main types of business structures are: A sole proprietorship A partnership A limited liability company A corporation There are financial, tax, operational, and practical issues that govern…

Businesses need a plan for events beyond their control. This includes the death of owners in a business, the divorce of key personnel, an accident that causes an owner to become incapacitated, or other contingencies. When these events happen, the other owners and interested personnel in the business need to ensure their ownership interests are…

Businesses that fail to comply with federal and state laws that are designed to protect consumers and to ensure fair competition can be subject to lawsuits. These claims can be filed by the State Attorney General, the Federal Trade Commission (FTC) or by lawyers on behalf of consumers and competitors. Unfair or deceptive trade practice…

How much a business is worth is critical for several reasons. Anyone wishing to buy or sell a business needs to understand its value. The value of business is instrumental not just when buying or selling it, or a part of it, but also in obtaining loans, expanding the business, merging the business with another…

Not all commercial or business-to-business transactions go smoothly. When a transaction involves goods or products, as opposed to services, the Uniform Commercial Code (UCC) applies and controls the transaction. The UCC specifies the rules that govern disputes for business and commercial transactions involving goods.  Almost every state has adopted a version of the UCC.  Although…

America is a capitalist society; everyone can operate a business. He or she can do so with little fear of government interference, unlike in some countries. However, there are laws and regulations. Anyone can operate any type of business – for example, a sole proprietorship, a partnership, or a corporation. But starting a business is…

Virtually every day, Americans buy, sell, and/or consume products – cars, trucks, SUVs, foods, computers, cell phones, clothes, gas, and more.  Most transactions go smoothly, but some do not. When consumers, businesses, or buyers do not receive the benefit of the bargain, the law provides them with remedies.  The law of contracts, the Uniform Commercial…

Buying a business, big or small, is not necessarily simple. Generally speaking, there are two types of sales: a purchase of a company’s assets or a purchase of a company’s stock. An asset purchase occurs when potential buyers select and purchase certain assets, such as a business’s inventory, trade secrets, confidential information, client lists, office…