On behalf of Klafter & Mason, L.L.C. posted in Business Litigation on Tuesday, March 12, 2013
Shareholders of Walt Disney Co. met earlier this month to vote whether to re-elect the company's board. The entire board was re-elected decisively, snuffing out a potential shareholder dispute.
At issue was a proposal by one investor that would have split the CEO and chairman jobs. Both roles are currently held by the same person, who has been praised for his management of the company. That management resulted in all-time stock records, which may have been responsible for his election to chairman in 2012.
On behalf of Klafter & Mason, L.L.C. posted in Business Formation & Planning on Friday, March 8, 2013
Starting your own business can seem challenging. However, it doesn't have to be as difficult as many believe. Running your own business will mean that there are a lot of considerations to make and one of the most important things to do before your business is up and running is to understand the legal requirements and issues involved with owning your own business.
Businesses often face legal issues at one point or another so it can be very helpful to have a basic understanding of these issues before a problem or concern arises. While not all business owners consult a business attorney, it may be beneficial to meet with an attorney to fully understand the legal implications of running your own business.
On behalf of Klafter & Mason, L.L.C. posted in Business Formation & Planning on Saturday, March 2, 2013
Congress is currently considering the Marketplace Fairness Act, a federal law that would require online retailers to collect local tax on product sales, no matter where the company is located. The bill was drafted in response to complaints from brick and mortar stores that online retailers like Amazon and others have an unfair advantage because they are not obligated to collect sales tax.
It does make sense that consumers in some states would opt to shop online so they don't have to pay sales tax, particularly for large purchases like electronics and appliances. While it seems that online giants like Amazon can certainly afford to collect tax, the bill would also affect small businesses, including those who fulfill orders for larger sites.
On behalf of Klafter & Mason, L.L.C. posted in Business Litigation on Saturday, February 23, 2013
Last week we talked about the use of criminal and credit histories in the hiring process. While federal law does not explicitly bar the use of this information for the purpose of hiring, relying on these records may leave employers vulnerable to discrimination claims. For example, policies that involve asking applicants about criminal histories may have a disparate impact on applicants of color.
Similar problems arise when applicants are asked about their credit scores or other financial history. Not only are these reports prone to inaccuracy, but they tend to have a disparate impact on minorities and women. In addition, many events that can affect credit ratings - such as cosigning a loan, identity theft, a death in the family or divorce - have no impact on an applicant's ability to do a job.
On behalf of Klafter & Mason, L.L.C. posted in Business Litigation on Wednesday, February 13, 2013
A recent panel of private and EEOC employment attorneys addressed members of the New Jersey business community about hiring practices. Their discussion focused on two potential minefields that may cause legal problems in the hiring process: applicants' criminal backgrounds and/or credit histories.
While Title VII does not explicitly bar discrimination on the basis of credit or criminal history, using such information to make hiring decisions - or asking for the information at all - could leave employers vulnerable to litigation.
On behalf of Klafter & Mason, L.L.C. posted in Chapter 11 on Friday, February 8, 2013
About three months ago Hurricane Sandy hit the east coast, leaving destruction in its wake. The damage affected millions of families. In addition to damaging homes, Sandy also took a toll on coastal businesses, battering their headquarters and immobilizing the people who make up their customer base.
Now the state of New Jersey is offering a helping hand to businesses affected by the storm. Governor Chris Christie recently announced a new grant program designed to help business owners recover and get back to work. After the storm, many local businesses petitioned the state government to provide grants for relief rather than loans. Now their requests have been granted.
On behalf of Klafter & Mason, L.L.C. posted in Mergers & Acquisitions on Friday, February 1, 2013
Purchasing a franchise may seem like a no-brainer, as you are buying into an existing business that has already seen some success. However, even a well-established brand is not a risk-free endeavor. Buying a franchise carries a fair amount of risk. There are a number of things you should consider before you start plotting your acquisition of a franchise.
First of all, review your franchise agreement carefully. It holds the key to just about every facet of your franchise, including your obligations and terms. It is important to know what you are getting into so you can determine if the franchise is a good fit for you.
On behalf of Klafter & Mason, L.L.C. posted in Business Formation & Planning on Friday, January 25, 2013
New Jersey lawmakers recently introduced a proposal to rethink and rework two economic incentive programs that affect business owners in the state. The Urban Transit Hub Tax Credit and the Economic Redevelopment and Growth program have been very successful and popular among business owners but may be changing.
According to New jersey Future, a Trenton-based nonprofit organization based on smart growth, both of these programs are important because they have location-based criteria that encourage business owners to conduct business in parts of New Jersey that have the sound infrastructure to support business.
On behalf of Klafter & Mason, L.L.C. on Thursday, January 17, 2013
Last week we discussed the recently-passed fiscal cliff bill and some of its potential drawbacks for small business owners. The legislation includes a number of tax increases that could affect both businesses and their customers. However, there are some benefits as well.
First, the legislation provides tax breaks for research and development. A tax break was extended by one year and applied retroactively to 2012. Employers will get tax breaks for 6 percent and 14 percent of their expenditures for R&D. This will not only save businesses money but promote innovation and enable them to develop new technology to drive their businesses.
On behalf of Klafter & Mason, L.L.C. on Friday, January 11, 2013
Over the past several weeks, news media have buzzed with updates on the "fiscal cliff." In the end, the President and lawmakers were able to reach across the aisle enough to reach a deal and avert what pundits and news anchors painted as certain financial doom.
But the implications of the resulting legislation may still be unclear for small business owners, for whom the stakes are high. While it is tempting to reduce the bill to either a win or a loss for your business, the reality is that it may have both benefits and drawbacks.
