Legal Articles

Litigation Holds and the Preservation of Relevant Information: Business Acumen and Good Management Practices in the Electronic Era

January 31, 2012 – 31 views

In the age of electronic information, there are two truths for owners of all-sized businesses: 1) even the best managed companies will find themselves in a business dispute from time to time; and 2) when such disputes occur and cannot be resolved without litigation, evidence which is relevant and discoverable in the litigation will undoubtedly be contained in the company’s electronic information systems. This article is intended to provide a short primer for business owners and managers on their companies’ legal obligations to preserve relevant information when disputes arise, the practices companies can undertake to ensure they fulfill those legal obligations, and the risks and possible consequences of failing to meet those obligations. Full Story 

Solving Disputes Is Good Customer Service

January 24, 2012 – 6 views

Having a process of negotiation and then mediation for your company to follow can lead to a positive client experience that saves time, money and relationships. Full Story 

Sales and Use Tax Exemptions for Nonprofits

January 24, 2012 – 34 views

“In this world nothing can be said to be certain, except death and taxes.” When Benjamin Franklin wrote this sardonic proverb to Jean-Baptiste Leroy in 1789, tax exemptions were likely few, and he certainly wasn’t talking about tax-exempt charities. Nowadays, the only things more pervasive than taxes are exceptions, deductions and exemptions from taxes. As for charities, not only are these entities potentially immortal in terms of their perpetual corporate existence, but they also have the keen ability to avoid most taxes. Full Story 

Protecting Your Customer Relationships in the BlackBerry Age

January 20, 2012 – 26 views

This article discusses how businesses can better protect their customer relationships in the BlackBerry age, in which customer contacts, names, addresses, phone numbers and other information are maintained on personal cell phones. This article explains how the element of the trade secrets test apply in the age of the BlackBerry and i-Phone and suggests some steps that a company owner or executive can take to protect trade secrets and preserve rights under the trade secrets act. Full Story 

How to Protect Your Business from Employees Who Leave

January 20, 2012 – 34 views

This article discusses the legal issues which arise when a key employee leaves a company, including the employee's duty of loyalty, non-competition, non-solicitation, non-recruitment and non-disclosure covenants, computer fraud and abuse statute, as well as corporate officer liability. Full Story 

Preview Of Coming Attractions: Enhanced Foreign Asset Reporting Rules On The Horizon

January 17, 2012 – 32 views

On the heels of the U.S. government’s global crackdown on the use of secret foreign bank accounts by U.S. taxpayers, the Internal Revenue Service is set to impose enhanced reporting requirements that will obligate U.S. taxpayers to annually disclose “specified foreign financial assets.” The IRS has issued Temporary Regulations which provide further guidance to taxpayers on the new foreign asset reporting rules that will take effect for the 2011 tax filing season. The latest requirements signal a new era in foreign asset reporting by U.S. taxpayers, and significantly expand the disclosure requirements in scope and type well beyond what was previously required to be reported on the Report of Foreign Bank and Financial Account or FBAR form. Full Story 

More Privately Held Companies Affected by International Reporting Requirements

January 10, 2012 – 39 views

Due to increasing globalization of businesses in the U.S. and around the world, more privately held U.S. businesses are expanding internationally. In a press release dated 9/13/2011, PricewaterhouseCoopers, LLP reported that “the majority (51%) of U.S.private companies surveyed for PwC US’ Private Company Trendsetter Barometer plan to do business abroad in the next one to two years, and 48% already have an international presence.” As companies doing business abroad seek to register or form subsidiaries in other countries, they should factor ongoing corporate compliance requirements into their decisions. Once outside the U.S., a company often needs to provide a great deal more information on annual reports filed with the company registrar than is required in the U.S., resulting in a lot more information becoming part of the public record. This is especially true for companies that are not publicly traded and have no SEC reporting requirements. Ensuring a good understanding of the annual compliance requirements is a necessary first step when deciding to form an entity or register it to do business outside the U.S. Full Story 

Nonprofit Corporate Compliance: Required Annual and Periodic Reports and the Consequences of Failing to Comply

January 3, 2012 – 44 views

To maintain corporate good standing status in most states, nonprofits are required to file annual or periodic reports with the Secretary of State, just like their for-profit counterparts. Though the forms and procedures are similar in every state, there is very little uniformity in how states handle due dates, fees, signature requirements, filing methods (paper vs. online) and additional filing requirements of other state agencies. Though the fees and financial penalties for failing to make these required filings are usually nominal, there are much more damaging consequences for failing to comply. Full Story