Articles Posted in Business Litigation

AdobeStock_230581609-1024x683The future is here, and it’s blockchain technology. Originally developed as a means of trading cryptocurrency, such as Bitcoin, blockchain technology is a digital system that allows digital information to be shared without being copied or altered. It does this by acting as a transaction ledger for digital dealings, registering every change, trade, and attempted access for anything secured through the blockchain. One of the many benefits of using blockchain technology as a medium for trading digital currency is the relative ease of 24/7 international trade. However, this comes with its own dangers when personal information, including personal financial information, changes hands over international borders.

Selecting a Blockchain Company

Blockchain technology is a private, not public, development. The technology typically isn’t owned by any one government or corporation, and as such, many digital providers offer their own variations of blockchain technology. Different developers build private (or public) cryptographic ledger (“blockchain”) systems and offer use of the same to digital industry providers. For example, last year Forbes compiled a list of emerging blockchain companies offering their own cryptographic ledger services. Examples of these companies include:

AdobeStock_197945004-300x178California stock corporations are owned by their shareholders who then elect directors.  Directors, in turn, elect officers who handle a corporation’s day-to-day management. Accordingly, shareholders hold influential positions in a corporation through their voting power.

California requires corporations issuing more than one class of shares to designate the classes and/or series of stock in its articles of incorporation. A stock corporation’s capitalization, or “cap,” table is a type of ledger that designates shareholders’ percentage ownership and equity value.

Most early shareholders know the equity value of their ownership, but as companies add investors, assets, and shareholders, the shareholder ownership structure can shift. This may result in a dilution of shares, changing the structure of shareholder ownership. These changes can lead marginalized minority shareholders to file major shareholder litigation disputing changes to the corporate ownership structure.  While dilution may not affect the financial value of shares, it can have a drastic impact on voting rights and ownership structure.

AdobeStock_279078466-300x188You’ve probably heard your grandfather complain that he did not patent the “mobile phone” he invented in 1942. If he had, he’d be a billionaire! Ideas come and go, but those who take the leap and protect those ideas often reap the benefits.

Intellectual property” (“IP”) is defined as a unique “product of human intellect” protected by law. Intellectual property can be both in physical form, an idea, or even a design. Algorithms, programming techniques, song lyrics, and books are all forms of intellectual property. Federal law protects intellectual property from being used by unauthorized parties. Protecting business’s intellectual property will help the business maintain the value and benefit from their intellectual property. IP law is complex, and you’ll need the assistance of a Mountain View IP attorney from Structure Law Group to protect your rights under federal intellectual property law.

Types of Intellectual Property

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Business law  frequently consists of contractual relationships. Contracts between business owners, shareholders, employees, clients, and vendors  are the very bones on which many businesses are formed. A single breach of contract litigation case in California, like a single broken bone, can cripple your entire business. For this reason, California law permits businesses to recover monetary damages for a breach of contract. Some damages are available by statutory law while others are specified in the contract. Strong business contracts can make or break your company. While you can’t prevent a breach of contract, you can often design contracts to maximum your position.

Litigating a Breach of Contract Case with a Los Angeles Litigation Attorney 

California Breach of contract litigation can get complicated, but a plaintiff Los Angeles Litigation Attorney must prove the following basic elements:

Avoiding the Most Common Business Lawsuits 

Defending against any lawsuit has the potential to sink a Silicon Valley start-up. You must defend against even frivolous litigation especially so in today’s fast-paced and ever-expanding startup industry. There is no way to bulletproof a business from all litigation, but there are ways to greatly reduce the likelihood of lawsuits and their financial impact on your business. The experienced business litigation attorneys at Structure Law Group, LLP can help advise and protect start-ups against business litigation before it happens. While you can’t protect against all litigation, you can protect against the most common legal complaints against businesses. Business attorneys commonly defend against the following lawsuits:

  1. Breach of Contract Claims – Sometimes start-ups enter into contracts that aren’t favorable, or they run out of funding to fulfill their obligations. The business lawyers at Structure Law Group can review and draft the terms of any proposed contracts and include certain protective indemnification and liquidated damage clauses to reduce the cost of or prevent litigation.

He may have looked the part, spoken well in the interview, and had the right experience. In fact, he seemed like a great fit for your company. It’s only after a few months that you realize why he was available in the first place. Employees who clearly engage in wrongful conduct such as sexual harassment, violation of company policies, or constant tardiness are often easier to terminate than employees who aren’t the right fit for the corporate environment. San Jose businesses may fear wrongful termination litigation after firing an employee for causing dissent among the staff or failing to embody corporate values. California, like most states, is an “at will” employment state. This means that absent a contract, you have the right to terminate an employee at any time and for any reason that doesn’t violate state or federal law.

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Avoiding Wrongful Termination Lawsuits in California – 2 exceptions to the rule

1. Although California is an “at will” employment state, there are two notable exceptions to this rule. First, an employee with an employment contract may be protected from a termination “without cause.” This means that there must be a justifiable reason for her termination as defined in the employment contract. The employee may also be entitled to certain notice and disciplinary warnings before termination. We can review any employment contracts at issue to ensure a termination complies with these provisions.

Fotolia_189107114_Subscription_Monthly_M-300x200Perhaps more so than any other kind of business structure, a partnership is heavily reliant upon the personal relationships among the partners. If those relationships are good, the partnership has a much better chance to function smoothly. If not, the personal nature of partnerships generally means that rocky personal relationships will lead to a rocky business relationship. All too often, partners join up based on prior personal relationships that were good, only to find they did not consider business philosophies before forming the partnership. Business differences can lead to personal differences, making it that much more unlikely that the partnership’s problems can be worked out.

Start Early to Avoid Partnership Disputes

Partnerships often are formed by people working in the same industry or friends who develop an idea together. They are common in the practice of law, as well as in a number of different small businesses. Partnerships are frequently a few individuals joining together to start a business. There are steps they should take to minimize the possibility of disputes. These steps include:

Fotolia_106115248_Subscription_Monthly_M-2-300x237Intellectual property is a valuable asset for a business. When a company licenses its IP out to other businesses, it can gain a competitive advantage and also reap the benefits of a lucrative, passive revenue stream.

When dealing with IP, most business owners immediately think of patents.  Patents cover inventions including processes, machines, compositions of matter, designs, and plants.  However, patents are only one type of valuable IP.  There are other types of intellectual property that can be licensed out to increase your business’s revenue.  These include:

  • Trademarks, which protect company or product names, as well as corporate logos, slogans, and other promotional materials; and

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An easement is a legal tool that gives someone else the right to use part of your land. Generally speaking, an easement does not give a party full ownership of that part of the property and instead, will include restrictions on how the party can use the land. Additionally, the property owner retains the right to use their land as they choose, as long as the use does not interfere with the easement holder’s rights.

One type of easement does restrict the property owner’s right to use the land – sometimes, they cannot use that part of their property at all once an easement is in place. These are called exclusive easements and, while they are rare, it is important to understand all implications of this type of easement before you ever grant one.

How an Exclusive Easement is Acquired

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Despite the fact that everyone is entitled to their day in the court, the reality is that most cases are resolved out of court.  Many clients will approach their lawyers with the hope that they will be able to quickly get in front of a judge and explain their story—a vision of American justice that is reinforced in popular media and Court TV.  However, getting to trial is a long process and most cases never make it to trial.  In most situations, the cases take earlier exit ramps, such as informal out-of-court settlement, mediation, arbitration, or is resolved by a ruling before trial.  Even if a case is set for trial, it is very common for the parties to settle on the eve of trial.

Often, the cheapest and most efficient way for a dispute to get resolved is for the attorneys to work on an out-of-court settlement.  This can occur at any point either before or after a lawsuit has been filed.  Under this track, attorneys informally negotiate a resolution.  If the parties agree to it, the attorneys will memorialize the resolution in a settlement agreement.  This is often the quickest way to resolve a case, as it does not require any third-party intervention—it only requires the parties to work together to settle their differences and capable counsel to guide the parties through the process.

In addition to out-of-court settlements, cases often get resolved with the help of a neutral third-party.  For instance, cases often go to non-binding mediation before they move on to trial.  Indeed, more and more courts are making mediation a mandatory step before allowing the case to move to trial.  During mediation, the parties present their case to a neutral third party whose job is to facilitate a settlement agreement by working with the parties and their attorneys as a go-between. Sometimes, cases may end up in front of a neutral third-party who has the authority to make a binding decision.  For instance, if the parties signed an agreement for binding arbitration, a private judge will make the final decision and the parties must live with the decision whether or not they are happy with it.  Arbitration is usually less costly and more efficient than going to trial.