New Jersey Business Law eNewsletters

New Jersey Pharmaceuticals

When a prominent New Jersey pharmaceuticals company opened and started manufacturing a topical skin cream, the effort was more complex than just a typical business start up. The principals of the new company had recently sold a very similar multi-million-dollar company in the same part of New Jersey. Legal discussions ensued between the new company and the other business now owned by a different group of principals. Because of the wording of non-compete agreements in the sale of the sold business and because of carefully crafted business formation documents, the group’s new business is legally enacted. Careful planning of the initial business structure permitted this success. It will likely take some effort, however, before the group reaches the sales levels of the old business. New Jersey Business Formation Individuals forming businesses in New Jersey need to take specific steps to abide by state rules and regulations. The primary obligation of…
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New Jersey Business Marketing Plans

A New Jersey drug manufacturer maintained a marketing plan to maximize sales efforts for the company. However, the marketing plan violated federal rules in the industry in which it operated: pharmaceuticals. The company had a marketing plan to promote the prescription medications it produced for purposes other than the main purposes of those drugs. It is within New Jersey and federal rules for physicians to prescribe medications to patients that may not be their primary intended usages. But it is against federal law for pharmaceutical companies to promote these drugs for use in ways that are not their primary and approved usages. The company settled civil claims in the issue that cost the company hundreds of millions of dollars. In addition, the company claimed as part of the settlement that its promotional and marketing practices violated federal law. New Jersey Business Zoning When a business is starting a new facility…
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What Is Reverse Discrimination?

Put simply, reverse discrimination is discrimination against members of a non-minority or historically “advantaged” group. Examples of reverse discrimination in the workplace include: Hiring applicants from racial and ethnic minority groups over equally or more qualified majority applicants for no other reason than an applicant’s minority status Promoting employees from racial and ethnic minority groups over majority employees with more seniority or experience for no other reason than an employee’s minority status Hiring or promoting women over equally or more qualified men based solely on gender Refusing to hire or firing employees under age 40 in order to hire employees over age 40 In the United States, reverse discrimination is a controversial topic, particularly when it comes to affirmative action. Some view affirmative action policies as a form of reverse discrimination, while others see affirmative action as a necessary means to attain and retain minority employees who have been historically…
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The Importance of NJ Succession Planning

Succession planning is a vital part of any organization or business that wants to decrease costs and increase efficiency. However, only 30% of hospital executives, among others, consider succession planning procedures in their organization to be effective. Thus, the Board should make succession planning and implementation as a prioritized function of its organization. Studies have been done and without succession planning, bad hiring decisions cost $2.4 million for a $100,000-per-year employee and $12 million for a $500,000-per-year executive. Even if it costs only $3 million for a $500,000-per-year executive, bad executive planning succession will cost a company dollars that could be spent elsewhere to boost and in some cases save their market share. Therefore, every New Jersey business that is looking out for their bottom line should consider New Jersey succession planning methodologies for executives or it may cost the business, shareholders and other stakeholders much more than the cost…
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