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Business Attorney in Los Angeles

New Definitions Aimed at Promoting Capital Formation and Investment

Posted by Posted in Compliance & Securities
The U.S. Securities and Exchange Commission (the “SEC”) effectively redefined what it means to be an “accredited investor” and “qualified institutional buyer” after it adopted amendments in Rule 501(a) under Regulation D and Rule 144A of the Securities Act of 1933, as amended (the “Securities Act”). The SEC issued a statement indicating that it adopted these amendments as part of a larger effort to simplify, harmonize, and improve the exempt offering framework under the Securities…
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business lawyer in Los Angeles

The Potential Penalties Employers May Face in a Retaliation Claim

If you are a business owner, the ability to effectively interact with and manage your employees is critically important for the long-term success of your business. This is especially true if an employee departs, or is terminated, and the relationship takes a negative turn. It is essential not to act out of emotion and instead operate with the best interests of the business in mind. Why is this so important? Taking certain actions against an…
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business lawyer in Los Angeles

Resolving Business Disputes Outside of the Courtroom

Posted by Posted in Risk & Asset Protection
One of the biggest fears many business owners have is the threat of costly and length litigation. Why? Even when a business prevails in a lawsuit, the financial impact of litigating the case could be enough to force the business to close or reduce dramatically in size and scope.  The concerns related to cost and time are big reasons why a large percentage of business owners strongly prefer resolving legal disputes through alternative forums and…
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Business lawyer in Los Angeles

Considering a Limited Liability Partnership?

Posted by Posted in Entity Formation & Structure
If you are looking to start a professional business with another individual (oftentimes a close friend, colleague, etc.) in California, one of the first issues that needs to be addressed is whether it makes sense to create a limited liability partnership  (an “LLP”) or go with another structure like a professional corporation.  If you decide to form an LLP, it can provide your partnership with an opportunity to build and maintain a strong working partnership…
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The Dangers of Piercing the Corporate Veil

Posted by Posted in Risk & Asset Protection
Many business owners choose to incorporate their business to avoid personal liability for the debts and liabilities of the business. When done properly, the business is a separate and distinct entity from its owners. However, if the owners are not careful with certain corporate formalities and fail to adequately capitalize the company, a third party may be able to “pierce the corporate veil,” which would shatter the protection of the corporate structure. To the extent…
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Arbitration Clause

Should You Have an Arbitration Clause in Your Agreement?

Posted by Posted in Contracts & Agreements
Many types of contracts have an arbitration clause, but should you include one in yours? Arbitration is a type of dispute resolution that happens outside of the courtroom when two parties come to a crossroad over a contract dispute. The ruling of an arbitrator can have the same weight as the ruling of a judge. Arbitration can be either voluntary or mandatory, which comes with advantages and disadvantages. Hence, it is of utmost importance that…
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