Category: Business Corporate


Mitigation Strategies for Florida Employment-Related Disputes

Mitigation Strategies for Florida Employment-Related Disputes

Jan 4, 2024

Business operations are dynamic, and employment-related disputes are an unfortunate reality that companies need to be prepared to address. When disputes go unaddressed, it is possible the issue will elevate to one of corporate litigation, tarnishing the reputation of the company and potentially causing financial strain. Once you share your employment-related concerns with a Tampa business & corporate law attorney, they can discuss strategies for mitigation with you.

Mitigating employment-related disputes is essential for Tampa businesses, because productive employee relationships are essential to maintaining a positive working environment. Additionally, investing in staff members can protect a businesses reputation and help them avoid costly litigation. Some strategies to consider include the following.

While employment-related disputes can be a significant challenge for Tampa businesses, know that implementing proactive strategies and maintaining clear policies now can help you mitigate the risk of corporate litigation.

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Posted in Business Corporate · By HD Law Partners

What Florida Businesses Need to Know About Contract Disputes

What Florida Businesses Need to Know About Contract Disputes

Dec 20, 2023

Legal contracts serve as the foundation for numerous Florida business transactions, agreements, and collaborations. While many of these are drafted and finalized with ease, there are other situations where disputes arise, even with the most meticulously drafted contracts.

While occasional contract disputes are an inevitable aspect of the Florida business landscape, that does not mean business owners have to become experts in Florida business law. Instead, engaging the services of a knowledgeable Tampa business & corporate law attorney is a proactive step you can take to mitigate the risks associated with business relationship unrest.

Whether through careful contract drafting, alternative dispute resolution methods, or litigation, a business lawyer serves as a valuable ally in safeguarding the interests in any of the following situations.

When questions arise, consider consulting with a skilled lawyer.

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Posted in Business Corporate · By HD Law Partners

Differences Between State and Federal Corporate Litigation

Differences Between State and Federal Corporate Litigation

Nov 15, 2023

When faced with a corporate dispute, business owners, stakeholders, and their legal representatives need to consider whether the case should be pursued within the state or federal court system. There are key differences between these two options, and a Tampa business & corporate law attorney will listen carefully to the details of your situation and help you make an informed decision regarding next steps.

Jurisdictional Thresholds and Procedural Rules

A primary difference between state and federal corporate litigation is the jurisdictional threshold, which determines where a case can be filed. Within state courts a wide range of cases are handled, but they typically have lower jurisdictional thresholds than cases pursued in federal courts. These thresholds make it easier for smaller disputes to be resolved at the state level.

On the other hand, in order to file a corporate litigation case in federal court certain qualifications must be met, such as the case involving parties from different states or the issue at hand being one that is a federal dispute. Additionally, the dispute amount must exceed a certain threshold, which can vary depending on the type of case that is headed to the federal court system.

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Posted in Business Corporate · By HD Law Partners

Navigating Shareholder Disputes and Legal Strategies for Resolution

Navigating Shareholder Disputes and Legal Strategies for Resolution

Nov 1, 2023

Shareholder disputes are faced by businesses throughout the country, and Florida is no exception. These disputes can disrupt the operation of a company, leading to financial losses. To connect with a solution, discuss the details of your situation with a Tampa business & corporate law attorney. Legal professionals are available to guide you through shareholder disputes in order to promote the continuity of a business.

When disputes are interfering with the success of a business, it is essential to take action. If you are experiencing any of the following common shareholder disputes, a legal professional can give you a clear understanding of your rights, obligations, and possible resolution paths.

One or more shareholder disputes can lead to friction within a company. This can make it difficult for the organization to move forward.

In many cases, a seasoned Florida lawyer can facilitate negotiation and mediation to help the involved parties reach a mutually agreeable solution. When possible, this approach can preserve valuable business relationships. Plus, it is often faster and less costly than litigation.

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Posted in Business Corporate · By HD Law Partners

How to Prove Breach of Contract

How to Prove Breach of Contract

Sep 1, 2023

In business communities around the world, legal contracts are the foundation of agreements and transactions. While these contracts can smooth business dealings, there can be complex disputes if one of the parties involved fails to uphold their end of the bargain.

But if you believe someone has not abided by the terms outlined in a business contract, it can’t simply be your word against theirs, you need to prove breach of contract. You don’t have to do this on your own, there are experienced Tampa business & corporate law attorneys who can effectively represent your interests and protect your rights under Florida law.

Demonstrating Failure to Fulfill Contractual Obligations

If you believe another party or person breached a contract, you must be able to demonstrate that they failed to fulfill their contractual obligations. Usually the type of breach will be designated as material breach and minor breach. A material breach occurs when a party fails to perform a significant portion of the contract and a minor breach refers to a partial or immaterial failure to perform. This distinction is vital as it will influence what legal course of action is possible next.

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Posted in Business Corporate · By HD Law Partners

Differences Between a Lawyer and an Attorney

Differences Between a Lawyer and an Attorney

Jul 13, 2023

When it comes to legal matters, the words lawyer and attorney are often used interchangeably, but there are differences between the two that are important to understand if you are pursuing legal counsel.

Bring your legal questions to a Tampa business & corporate law attorney. When you have a Florida business dispute or other legal issue, hiring an attorney with experience matters.

The Difference Between a Lawyer and an Attorney

A lawyer is someone who has completed law school and has a law degree. A lawyer may or may not be licensed to practice law in Florida or any other US state. An attorney, on the other hand, is someone who not only has a law degree but has also been admitted to the bar and is authorized to practice law.

A simple way to think about it is to remember that all attorneys are lawyers, but not all lawyers are attorneys. To become an attorney, a lawyer must pass the bar exam and meet other requirements, such as completing a certain number of years of legal experience.

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Posted in Business Corporate · By HD Law Partners

Why You Would Need A Florida Corporate Litigation Attorney

Why You Would Need A Florida Corporate Litigation Attorney

May 30, 2023

Business owners have to juggle a lot of responsibilities, including entering into contracts that support their goals and committing to legal agreements, including documents connected to employee relations, operators, suppliers, and other professional contacts.

These contracts and any disputes surrounding these agreements often require the skilled expertise of a Tampa business & corporate law attorney. Legal professionals have the background Tampa area business owners need to secure legally binding contracts to avoid future disputes and address conflicts, should they arise.

Business disputes can come about for a variety of reasons, including contract disputes, trademark infringement, and intellectual property challenges. Because contracts are a fundamental part of business operations, they play an integral role in business relationships. It is common for disputes to arise when one party fails to live up to their end of the bargain. In these situations, a Florida corporate litigation attorney can help protect the interests of your business. Also, they can negotiate a favorable resolution.

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Posted in Business Corporate · By HD Law Partners

3 Interesting Facts About Business Litigation In Florida

3 Interesting Facts About Business Litigation In Florida

May 16, 2023

Any individual or company that is trading goods and services to make a profit is generally referred to as a business. There can be specificities surrounding the definition of a business depending on the location of the organization, but most enterprises in Florida that are running in order to make money are businesses, whether they are large or small, family run or not.

Florida is home to many businesses, and as is true with a lot of human interactions, disputes are common. When they happen, lean on the expertise of a Tampa business & corporate law attorney. Lawyers can help you in many different ways, depending on your specific situation, and are familiar with many interesting elements of Florida business law, including the following three facts.

Fact #1 – Florida is Known for Its Complex Business Litigation Cases

The state of Florida has a reputation for complex business litigation cases, many high-profile cases have made headlines in recent years. Some well-known cases have been between global corporations and have involved complex legal issues, such as patent infringement, breach of contract, and antitrust violations. With so many large corporations headquartered in Florida, it’s no surprise that the state has become a hotbed of complex business litigation activity.

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Posted in Business Corporate · By HD Law Partners

Arbitration And Contract-Related Disputes

Arbitration And Contract-Related Disputes

Mar 29, 2023

There are a range of rules within commercial contracts, including specific agreements connected to arbitration. Often there is language that pushes the parties to use arbitration or mediation to resolve any disagreements, it is a way for businesses to avoid litigation.

In some situations it is still possible for a defendant to file a contractual lawsuit, depending on the situation. For instance, there are circumstances in which an arbitration clause itself could be used to build a defense. Talk to a Tampa business and corporate law attorney about your objectives.

Scrutinizing Arbitration Provisions Within a Contract

Companies and their legal departments include arbitration provision within their contracts because they want to avoid going to court and being involved in long-running, expensive legal disputes. If you want to bring your dispute to court, one of the first things your attorney will do is fully review the arbitration provisions within the contract in question.

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Posted in Business Corporate · By HD Law Partners

Can A Lawyer Help Me Dissolve My Business?

Can A Lawyer Help Me Dissolve My Business?

Feb 22, 2023

There are times when a Florida business comes to an end. Even with the best planning and securing of investors, there are situations when the business is not thriving as much as the business partners had hoped or one partner has simply decided they have to move away from the relationship for their own reasons.

Hardships and partner differences that are irreconcilable put a lot of stress and strain on the business itself and the partners involved. When it is time for you to end a business partnership and close the doors of your business, talk to a Tampa business & corporate law attorney. Business assets need to be analyzed along with any outstanding debts. Protect yourself and your future, hire a lawyer to look after your interests.

Handing Issues with Precision and Care

It is normal to have a lot of questions when facing a business dissolution. Your concerns could include one of more of the following.

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Posted in Business Corporate · By HD Law Partners

Breach Of Contract Disputes

Breach Of Contract Disputes

Dec 7, 2022

Managing disagreements is often part of doing business. When things are going well, situations can be handled through compromise and ongoing communication. But, of course, there are times when communication will not settle an issue and you need to assert your legal rights. This could be true for you if someone you have been doing business with has broken a contract. If you believe you are in a breach of contract situation, talk to a Tampa business & corporate law attorney.

Timing is important, there are time limits on defending and enforcing your rights during a contractual dispute. Sometimes court is required when losses have been significant and in the state of Florida you only have five years from the breach date to file suit. This five year period is referred to as the statute of limitations, it is rare to have this deadline extended. Getting started as soon as possible could help you secure the outcome you are seeking.

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Posted in Business Corporate · By HD Law Partners

Protecting Your Company’s Intellectual Property

Protecting Your Company’s Intellectual Property

Dec 6, 2022

If you own and run a successful business, you likely have intangible assets that you need to retain in order for you and your team to thrive, such as intellectual property. After all, you may have company secrets connected to how your product is made. There are covenants in place along with protections under the state of Florida’s uniform trade secret act, which shields confidential secrets from theft.

Legal action is possible if your trade secrets were stolen by employees, customers, vendors, or another individual or party. Talk to a Tampa business & corporate law attorney about next steps.

Seeking monetary recovery is possible if trade secrets have been stolen, but the business owner who had information misappropriated needs to prove there was fault. The process can become likely as the defendant will probably take steps to evade responsibility once they are accused as well.

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Posted in Business Corporate · By HD Law Partners

Business Disputes And Arbitration

Business Disputes And Arbitration

Aug 25, 2022

If you are pursuing legal action in connection with a business contract dispute, it is possible there is a provision in the contract to move toward arbitration. An alternative to traditional litigation paths, arbitration has some similarities to mediation in that there is a neutral third party who reviews documentation, listens to arguments, and gives their opinion. An arbitrator’s decision is binding.

Legal issues can weigh down profits and productivity of organizations. If you are a Florida business owner and you have found yourself in the middle of contractual disputes, you need a Tampa business & corporate law attorney to guide you through your legal options. Take care of any problems as soon as possible so you can put the legal dispute in the rearview mirror.

Pros and Cons of Arbitration

Before agreeing to the process and moving forward with arbitration, understand the advantages and disadvantages. Because whether mandatory arbitration is included in the contract in question or not, you need to know what to expect so you can prepare for the process and the possible outcomes.

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Posted in Business Corporate · By HD Law Partners

How “Restrictive Covenants” Work In Florida

How “Restrictive Covenants” Work In Florida

Jul 25, 2022

Employment is usually “at-will” in Florida. In other words, an employer is free to fire an employee, or an employee is free to quit and seek employment elsewhere. In many cases, a former employee will find work with another firm that is a direct competitor with the former employer.

Some employers want to protect themselves from this situation by having their key employees sign employment contracts with restrictive covenants. Common examples of such covenants include non-compete, non-solicitation, and nondisclosure clauses. But are such restrictive covenants actually enforceable in Florida?

The short answer is “yes.” Section 542.335 of the Florida Statutes does expressly state that a contract containing one or more restrictive covenants may be enforceable provided they are “reasonable in time, area, and line of business.” So what exactly does that mean?

The Rules Governing Non-Compete and Non-Solicitation Agreements

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Posted in Business Corporate · By HD Law Partners

Can A Florida Limited Liability Company Be Held Responsible For The Personal Debts Of Its Members?

Can A Florida Limited Liability Company Be Held Responsible For The Personal Debts Of Its Members?

May 11, 2022

The most common reason for a person or group of persons to form a limited liability company (LLC) or corporation is to protect their personal assets from business creditors. In other words, if the business is sued, any judgment can only be collected against the assets owned by the business entity itself and not the individual owners.

But what about the reverse? If a member of an LLC has personal debts, can that creditor go after the business? The answer to these questions largely depend on the type of LLC we are talking about. Historically, you needed at least two “members” to form an LLC. But in recent years every state, including Florida, has amended their laws to permit the formation of LLCs with a single member. This allows many self-employed people to form a separate legal entity for their work.

Florida Has Special Rules for Single-Member LLCs

With a multi-member LLC, Florida law limits a creditor’s options for collecting an unpaid personal debt to seeking what is known as a “charging order.” This is basically a lien against the debtor member’s interest in distributions from the LLC. In multi-member LLCs it is common for the company to make periodic distributions of profits to members. With a charging order, a personal creditor can basically claim that money to satisfy the member’s debt.

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Posted in Business Corporate · By HD Law Partners

How Federal Preemption May–Or May Not–Impact A Breach Of Contract Lawsuit

How Federal Preemption May–Or May Not–Impact A Breach Of Contract Lawsuit

May 4, 2022

The federal nature of our legal system means there are situations where a federal law may override or “preempt” a state law. This can, in turn, significantly affect the rights of private parties to civil litigation whose disputes are covered by such laws. Indeed, the question of whether preemption applies can itself lead to litigation.

Airline Faces Customer Class Action Over “Exit Fees”

A recent decision from the U.S. 11th Circuit Court of Appeals, Cavalieri v. Avior Airlines CA, provides a case in point. This case arose from a dispute over an extra fee added to an airline ticket. The defendant airline argued that federal law preempted any state breach-of-contract claim arising from the sale of said tickets.

Here is some additional background. The defendant operated flights from Miami to Venezuela. The tickets sold for said flights are a legal type of contract known as a “contract of carriage.” Here, the plaintiffs said they purchased their tickets for a certain price, only to be later told they needed to pay an additional $80 “exit fee” before boarding their flights.

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Posted in Business Corporate · By HD Law Partners

What Happens When LLC Members Deadlock Over A Business Decision?

What Happens When LLC Members Deadlock Over A Business Decision?

Apr 22, 2022

A limited liability company (LLC) provides a flexible mechanism for one or more people to form a business with protection from personal liability for business debts. Unlike a corporation, where shareholders often play no role in the day-to-day management of the business, an LLC may be structured so as to give the individual owners (known as “members”) direct control over management.

Of course, this can pose some challenges as well. For example, what if you have four members in an LLC and there is a 2-2 deadlock over an important business decision? Every LLC should have an operating agreement, which is a contract between the members, to detail how issues of governance should be handled. But even then, if the operating agreement requires a majority vote of the membership, what is the remedy for a deadlock?

Again, a well-drafted operating agreement should anticipate and provide for such contingencies. Here are a few examples of mechanisms for breaking a deadlock between LLC members:

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Posted in Business Corporate · By HD Law Partners

When Can You Bring a Lanham Act Claim Against a Competitor for False Advertising?

When Can You Bring a Lanham Act Claim Against a Competitor for False Advertising?

Feb 7, 2021

If you can prove that your competitor’s advertising is false, untrue, or misleading, you may be able to bring a claim under the Lanham Act. Specifically, you could sue your competitor under 15 U.S. Code § 1125 (the Lanham Act) to:

If your competitor has engaged in false advertising, contact a Tampa business attorney at HD Law Partners immediately.

Your competitor may violate the false advertising section of the Lanham Act when it uses any oral or written statements that are likely to mislead consumers in an attempt to influence their buying behavior.

The following types of advertisement can contain false or misleading advertising:

Also, you can sue your competitor under the Lanham Act if they use trademarks that confuse or deceive consumers.

In order to bring a false advertising claim under the Lanham Act, you must establish the following elements:

If you prevail in your false advertising claim under the Lanham Act, you can obtain an injunction preventing your competitor from continuing to use or spread false advertising.

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Posted in Business Corporate · By HD Law Partners

What is Covered Under Business Interruption Insurance in Florida?

What is Covered Under Business Interruption Insurance in Florida?

Nov 27, 2020

If you are like most business owners, you will do all it takes to protect your business at all costs. However, under certain circumstances, you may be unable to protect your business from unexpected events such as a natural disaster or pandemic.

Every business owner must consider purchasing business interruption insurance to protect their company from the unexpected extra expenses and loss of income. However, you need to understand what is covered under business interruption insurance before investing in it.

Business interruption insurance is a coverage that can help replace the income your business loses in the event of physical damage or covered loss. This type of insurance is very popular among business owners in Florida because the Sunshine State is no stranger to hurricanes that cause devastating damages and financial losses to businesses.

Your business may benefit from having business interruption insurance coverage because you need to be prepared for the unexpected. If you own or operate a business in Florida, having business interruption insurance is almost a necessity because of the hurricane season.

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Posted in Business Corporate · By HD Law Partners

Protect Yourself And Your (Small Or Big) Business

Protect Yourself And Your (Small Or Big) Business

Mar 28, 2020

One of the main reasons that people create a legal entity for their business, such as a corporation or a limited liability company, is for liability protection. That is to say, such entities shield individual owners or directors from personal liability for actions taken by the business as a whole. An aggrieved party can therefore only seek monetary damages against the entity itself.

To strengthen this concept, American law has long recognized a principle known as the business judgment rule. This basically states that a judge (or jury) should not second-guess business decisions made by the directors or managers of a company, presuming they acted in good faith and within the scope of their legal authority. For example, a person cannot sue the individual members of a corporation’s board of directors simply because he disagrees with a business decision made by the board as a whole.

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Posted in Business Corporate · By HD Law Partners

Breach of Contract Claims for Commercial Landlords & Businesses During COVID-19: Will Force Majeure Be of Help?

Breach of Contract Claims for Commercial Landlords & Businesses During COVID-19: Will Force Majeure Be of Help?

Mar 21, 2020

One issue that has already come up in a number of contexts due to the coronavirus pandemic, including when it comes to business and landlord-tenant breach of contract claims, is the force majeure clause, or the provision in contracts which excuses non-performance of some contract obligations if certain unforeseeable events occur which makes fulfilling these obligations impossible (usually known as “acts of God”). Historically, these clauses have included earthquakes, floods, hurricanes, and sometimes also labor disputes, strikes, wars, etc.

However, some commercial tenants are now arguing that COVID-19 constitutes a “force majeure” event that makes fulfilling their rent obligations impossible, while many businesses have been and continue to argue that they cannot fulfill their contract obligations due to COVID-19 creating extraordinary and unforeseeable events.  These events and circumstances include workers unable to show up for work, having to close down facilities, states mandating social distancing, supply chains abroad shutting down, etc. There is no question that the courts will be filled with these disputes once that they are up and running again.

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Posted in Business Corporate · By HD Law Partners

Registering A Business Trademark

Registering A Business Trademark

Jan 9, 2020

As attorneys who regularly assist clients here in Florida with trademark disputes, we also help to counsel clients on registering a business trademark. A business’ trademark is essential in identifying its “brand” and protecting its goods and services, both in terms of another company using that brand and all of the various legal implications that can accompany this issue. A brand may also be associated with very valuable intellectual property that needs to be protected. Registering your trademark provides you with exclusive legal rights and protects others from copying it, and once your trademark is registered, it does not expire. Having a trademark attorney assist you is crucial in ensuring that this is done correctly and in accordance with the law.

As defined by the United States Patent and Trademark Office, trademarks are words, symbols, phrases, designs, or all of the above that identifies the source and distinguishes it from others. Note, however, that the name of a business is not necessarily the trademark, and may not be registerable. Trademarks are often used to refer to both goods and services even though, technically, a service mark protects services.

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Posted in Business Corporate · By HD Law Partners

McDonald’s Wins Largest Adjudicated Case in the History of National Labor Relations Board & Sets Precedent for Franchise Business Model

McDonald’s Wins Largest Adjudicated Case in the History of National Labor Relations Board & Sets Precedent for Franchise Business Model

Jan 4, 2020

In December, McDonald’s Corp. won a major battle in a multiyear legal battle with labor unions concerning alleged corporate labor violations at its many franchise restaurants. The ruling absolves the company of any direct responsibility as a joint employer when it comes to contracted labor, indicating that, without strong evidence that companies directly control the workers, they cannot be held liable for any labor violations that the franchise is involved in. According to the agency judge on record, this was the “largest case ever adjudicated in the history of the National Labor Relations Board.”

Labor unions started filing charges related to unfair labor practices against the company in 2012, claiming that it retaliated against employees for participating in union activities, including protests and strikes. Their argument in the case was that the national company shares control over workers in the franchise restaurants, and should therefore share in the liability.

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Posted in Business Corporate · By HD Law Partners

Why S Corporate Status Makes Sense for A Number of Small Businesses

Why S Corporate Status Makes Sense for A Number of Small Businesses

Dec 5, 2019

Most business owners choose to initially choose to form as a sole proprietorship because it costs less and there is less bureaucracy. However, many also switch to either a C corporation or a limited liability company (LLC) at some point in order to benefit from additional protections.

While we have previously discussed the advantages of having an S corporation, we have not specifically discussed why small businesses may want to initially form as an S corporation, which provides a number of unique benefits, especially to startup companies. Below we discuss the characteristics and benefits of each classification:

C corporations provide the most protection from liability for both shareholders and business owners because they allow the businesses to exist as separate entities. Because the C corporation is a legally separate entity, any legal repercussions have no bearing on the individual owner(s)’ personal assets. It also offers a significant amount of flexibility when it comes to buying and selling stock shares, offering employees stock options, and allowing for an unlimited number of shareholders; amongst other benefits. While dividends are taxable as income, business expenses, employee benefits, and retirement plan expenses are tax deductible to the company. C corporations can be costly due to a number of filing fees that must be paid, and the steps to form a C corporation can also be elaborate. Specifically, the following is required:

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Posted in Business Corporate · By HD Law Partners

Where New Technology Could Place Your Business at Risk

Where New Technology Could Place Your Business at Risk

Dec 18, 2018

While new technology is expected to solve a number of our problems–from reducing human error to growing the global economy–it is also expected to have a significant effect on corporate liability, commercial litigation, insurance litigation, and product liability claims. As the industry grows in complex technology, companies and insurers need to make sure that they consult the right attorneys so that they ensure that their claims processing is up-to-date because, as cyber risk liabilities increase, so too does liability for manufacturers, suppliers and providers.

Take, for example, liabilities surrounding cyber security and the increasing digitalization of society: liability and litigation is becoming more and more complex and technical, especially as data protection rules become stricter and carry stiffer penalties in response to governments trying to bolster cyber security and protect privacy. An accident no longer involves just two people, but manufacturers, software providers, and other third parties, all requiring that insurance claims handlers and other experts understand specific algorithms involved in order to determine the cause of accidents.

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Posted in Business Corporate · By HD Law Partners

Commercial Landlords & Tenant Bankruptcy

Commercial Landlords & Tenant Bankruptcy

Mar 27, 2018

Tenants filing for bankruptcy is less of an issue for residential landlords, but an increasingly frustrating problem for commercial landlords as we get further into 2018. As a result, it is important—now more than ever—that commercial landlords know what their rights are when it comes to how tenant bankruptcy affects lease agreements.

Rules: Before & After Filing for Bankruptcy

First and foremost, it is crucial to understand that, once a tenant files for bankruptcy, landlords and other parties are prohibited from taking any action against the tenant (i.e. debtor) unless it is first approved by the bankruptcy court. However, if a tenant is in default prior to filing for bankruptcy, and the landlord takes every step required under state law to terminate the lease before they file, the lease is then not subject to the tenant’s bankruptcy case. This is because it is the act of the tenant filing for bankruptcy that imposes an automatic stay against any actions by landlords and other parties (where actions are any activities involving collecting, demanding, or otherwise seeking to recover amounts due).

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Posted in Business Corporate · By HD Law Partners

When Your Business Cannot Reopen After The Storm

When Your Business Cannot Reopen After The Storm

Dec 5, 2017

One of the hardest hit areas near Irma’s landfall was Goodland, Florida, where the hurricane not only damaged properties, but permanently “condemned” several businesses, including several local restaurants. As a result, many businesses now have to look for new locations, and some are even collecting donations to rebuild in the community.

While many Floridians have committed themselves to helping some of their favorite establishments reopen by donating funds, many others wonder why these restaurants are facing hard times like these, given that all of them had insurance policies. Isn’t rebuilding as simple as filing an insurance claim?

Many who suffered damages from the recent storms felt that they had done their due diligence by having homeowners or windstorm coverage, as well as flood insurance.

However, having the insurance is just the beginning: filing the claims can turn into a full-time job, as business owners find themselves having to document every single loss and trying to negotiate fair settlements. Trying to do so with the assistance of an insurance attorney can inevitably spell lower payouts and difficulty getting back on your feet again. In addition, many restaurant businesses found that there were thousands of dollars in food costs that were not covered by insurance.

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Posted in Business Corporate · By HD Law Partners

Battle Emerges Over Arbitration Clauses in Business Contracts with Consumers

Battle Emerges Over Arbitration Clauses in Business Contracts with Consumers

Oct 6, 2017

Many are concerned about the new arbitration rule issued by the Consumer Financial Protection Bureau, which is set to go into effect in September. The rule would prohibit consumers from agreeing to use arbitration to remedy any disputes they have with credit card companies and banks.

As a result, in July, the U.S. Senate Committee on Banking, Housing, and Urban Affairs announced that it will file a Congressional Review Act Joint Resolution of Approval in the Senate, disapproving of the rule. Florida Senator Marco Rubio is one of the original co-sponsors of the resolution expressing disapproval.

Arbitration Clauses in Consumer Contracts

Banks and other financial firms typically include language in consumer contracts blocking individuals from filing class action lawsuits and instead funneling any disputes over credit cards and similar accounts into private arbitration. In this context, arbitration tends to be more cost-efficient and often deters people from filing frivolous lawsuits against credit card and banking companies.

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Posted in Business Corporate · By HD Law Partners

The Legal Ramifications of Lax Oversight at Wells Fargo

The Legal Ramifications of Lax Oversight at Wells Fargo

Jun 12, 2017

Wells Fargo has received its fair share of public scrutiny lately due to lax oversight and various legal violations associated with overseeing banking practices and the bank’s sham accounts scandal. Starting around 2004, internal investigations revealed an increase in “sales gaming cases,” whereby bankers were moving money into and out of customer accounts in order to make sales goals. All in all, it is estimated that Wells Fargo employees opened approximately 1.5 million bank accounts and applied for more than 560,000 credit cards that may not have been authorized by customers.

Perhaps most disturbingly, bank executives (most notably, the former chairman/chief executive officer and former head of the retail branch network) swept evidence of these practices under the rug, claiming that there were no serious, negative repercussions for customers. Many employees also reported feeling significant pressure to engage in these practices in order to meet sales goals.

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Posted in Business Corporate · By HD Law Partners

Florida Court of Appeals Upholds Protection of Insurance Company’s Trade Secrets

Florida Court of Appeals Upholds Protection of Insurance Company’s Trade Secrets

May 1, 2017

On Monday March 20th, a Florida appeals court sided with State Farm Florida concerning a dispute over whether insurance policy information can technically be considered a “trade secret” shielded from public disclosure. Insurance policy information frequently contains confidential business information which, if viewed by other companies, could provide them with a competitive advantage. While insurance companies have long been required to file such information with the government through the Quarterly and Supplemental Reporting System, companies like State Farm have sought to keep this information confidential (i.e. not disclosed to the public) precisely because the information could be used by competitors if made public.

After a Leon County circuit judge agreed with State Farm on this issue last year, the Office of Insurance Regulation (OIR) decided to appeal it in an effort to release the information to the public. However, on Monday, the three-judge appellate panel disagreed with the OIR that keeping the information confidential would harm consumers, undermine transparency, and increase the OIR’s administrative burden.

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Posted in Business Corporate · By HD Law Partners

Eleventh Circuit Confirms Businesses Protected From Tort Liability in Some Product Liability Cases

Eleventh Circuit Confirms Businesses Protected From Tort Liability in Some Product Liability Cases

Apr 11, 2017

The Eleventh Circuit (which includes Florida) recently confirmed a rule early codified into contracts law known as the Economic Loss Rule, which prohibits a plaintiff from recovering under a torts-based claim (such as a claim for negligence) when a product defect fails to cause personal injury or property damage.

Although the Florida Supreme Court had previously strengthened the scope of the Economics Loss Rule, this recent case brought before the Eleventh Circuit demonstrates that parties still attempt to hold manufacturers and other businesses responsible for negligence when it is clear that contract law bars such a claim. Because of this risk, it is wise for businesses to build specific safeguards into legal contracts in order to avoid certain disputes.

The Economic Loss Rule

The Economic Loss Rule has long-prevented parties from bringing a tort claim when a product defect or failure only causes damage itself (i.e. results in economic loss) but does not cause harm or injury to an individual or their property. When this happens, any party who wishes to sue a manufacturer or business must sue under breach of contract, but not under product liability claims.

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Posted in Business Corporate · By HD Law Partners

U.S. Supreme Court to Decide On Legality of Arbitration Clauses in Business and Employment Contracts

U.S. Supreme Court to Decide On Legality of Arbitration Clauses in Business and Employment Contracts

Feb 14, 2017

On January 13th, the U.S. Supreme Court agreed to hear a case that could have national, broad implications for all employers and businesses, especially those who utilize employment contracts to mandate that any disputes be raised via arbitration rather than in court, and on a one-by-one basis (i.e. the opposite of class action). The decision will also affect countless other businesses, as not only are arbitration clauses present in many employment contracts, but also in many service- and various consumer-based contracts, such as those for nursing homes, cell phones, credit cards, and others.

Some experts predict that the Court will uphold the ability for private companies to establish this kind of requirement in employment contracts, not only because that is in accordance with the general freedom to contract, but also because the Court already ruled (in 2011) that the Federal Arbitration Act favors arbitration and allows companies to set these types of limits (see AT&T Mobility v. Concepcion).

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Posted in Arbitration · By HD Law Partners

Serial Claimants Exploit the Americans with Disabilities Act (“ADA”) and Cripple Florida Businesses

Serial Claimants Exploit the Americans with Disabilities Act (“ADA”) and Cripple Florida Businesses

Nov 30, 2016

According to a recent news investigation, a law designed to help give the disabled access in the state of Florida is potentially being used for abusive reasons. Specifically, one man in particular has allegedly filed more than 1,000 lawsuits against local Florida businesses for supposedly violating the Americans with Disabilities Act (ADA), without even first bringing his concerns to the business owners and asking that they make specific changes to their accommodations (or even being a patron of the business itself).

In fact, many business owners claim that there are “ADA testers” filing various costly lawsuits—many of them over violations that have been called trivial, such as the height of a toilet paper dispenser being—and in doing so, potentially abusing the system for a cash payout.

The ADA is designed to prevent employers from discriminating against hiring someone due to a disability, and mandates that businesses make reasonable accommodations such that the disabled have access to their facilities. Many have now pointed out that this second requirement is very difficult to comply with because of how specific it is currently worded in terms of the permissible heights of toilet paper dispensers and other amenities, for example. Because of this, they say, even advocates of the disabled have failed to find anything that is 100 percent compliant with the ADA.

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Posted in Business Corporate · By HD Law Partners