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Appeals Business Ownership

Sheppard Mullin Richter & Hampton LLP

California Court of Appeal Rules That Partial Sale of Business Can Bind Seller-Owner to a Noncompetition Agreement

In Samuelian v. Life Generations Healthcare, LLC, — Cal. App. 5th —, 2024 WL 3878448 (Cal. App. Aug. 20, 2024), the California Court of Appeal answered two long outstanding questions of California law concerning the...more

Butler Snow LLP

LLCS & Jurisdictional Allegations in the Fifth Circuit: It’s Membership, not Ownership

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By now, attorneys practicing in the Fifth Circuit should know that if a case is in federal court on the basis of diversity jurisdiction, they must ensure that the record supports the diversity of citizenship requirement, lest...more

Patton Sullivan Brodehl LLP

Alter Ego — No Single Factor is Determinative

Alter ego liability is again the flavor of the day... As previously covered, the alter ego doctrine allows a court to disregard a corporate entity (including LLCs) and hold the individual owners liable for claims against...more

Patton Sullivan Brodehl LLP

Alter Ego Liability for LLC Managers: the Facts Matter

Alter ego liability is a frequent topic covered in The LLC Jungle — see here for a list of all prior “alter ego” related posts. The alter ego doctrine allows a court to disregard a corporate entity (including LLCs) and...more

Bass, Berry & Sims PLC

First Circuit Decision Could Disrupt Business Ownership in Cannabis Industry

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The First Circuit Court of Appeals recently released a published opinion that held that the Dormant Commerce Clause of the United States Constitution applies to cannabis laws and regulatory regimes. The cases are Northeast...more

Sheppard Mullin Richter & Hampton LLP

California Court of Appeal Clarifies that a Derivative Plaintiff Must Demonstrate Both “Contemporaneous” and “Continuous”...

In Sirott v. Superior Court, 2022 Cal. App. LEXIS 389 (Cal. App. May 5, 2022), the First Appellate District of the California Court of Appeal (Humes, J.) analyzed the ownership requirements a plaintiff must satisfy to pursue...more

Seyfarth Shaw LLP

Tesla Scores Another Victory in Virginia and Deals a Blow to Representational Standing

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Overshadowed by the outbreak of the COVID-19 pandemic, Tesla in early March quietly racked up another win that will allow it to continue the direct sale of new motor vehicles to consumers in Virginia. On March 3, 2020, the...more

Pullman & Comley, LLC

“THAT'S NOT FAIR!” How Soto v. Bushmaster Changed the Interpretation of the Connecticut Unfair Trade Practices Act to Permit...

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Next year marks 47 years of the Connecticut Unfair Trade Practices Act, or “CUTPA,” codified at Connecticut General Statutes §42-110a, et seq., and originally passed in 1973. They have been an eventful 47 years indeed. ...more

Patton Sullivan Brodehl LLP

An LLC And Its Owner Are Not the Same Legal “Person”

A limited liability company (LLC) is a popular form of business entity. One of the main reasons for forming any business entity is to limit liability. In general, without a showing of “alter ego” liability, a business owner...more

Patton Sullivan Brodehl LLP

“Reverse Veil Piercing” to Reach an LLC’s Assets

“Piercing the corporate veil” — also referred to as “alter ego” liability — is a familiar concept under California law. Ordinarily, a corporation or other entity (such as an LLC) is considered a legal entity separate and...more

Allen Matkins

Court Holds No "Continuous Director" Status Required Under Nonprofit Law

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The California Supreme Court has imposed a continuous ownership requirement for shareholder derivative suits under California Corporations Code Section 800. Grosset v. Wenaas, 42 Cal. 4th 1100 (2008). Thus, a shareholder must...more

Farrell Fritz, P.C.

Top Ten Business Divorce Cases of 2018

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I’m very pleased to present my 11th annual list of this past year’s ten most significant business divorce cases. This year’s list includes four important appellate decisions, including one likely to stand as a landmark...more

Fisher Phillips

The “E” Is Not For Employer

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When I speak with employers about the onerous obligations under ERISA and the court decisions that followed, I frequently tell them that the “E” in ERISA stands for “employee,” not employer. It’s good to keep this in mind...more

Holland & Knight LLP

OHA Clarifies Negative Control Restrictions – But Do The New SDVOSB Regulations Limit Its Impact?

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Between new regulations from the Small Business Administration (SBA) and decisions from the SBA's Office of Hearings and Appeals (OHA), the limits of acceptable actions by small business owners set on maintaining their small...more

Farrell Fritz, P.C.

Corporate Frankenstein “Partnership to Form a Corporation” Lives Another Day

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Lawyers are famous for arguing seemingly inconsistent positions at the same time. We practitioners lovingly refer to the technique as “arguing in the alternative.” The famous Texas trial lawyer, Richard “Racehorse” Haynes,...more

Farrell Fritz, P.C.

Delaware Contractarian Principles Prevail in Appeal Over Deceased Ace Hotel Founder’s LLC Interest

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The sudden death of Alexander Calderwood, the brilliant but troubled co-founder of the Ace brand of hotels, resulted in some fierce litigation between Calderwood’s estate and Calderwood’s LLC co-member over the nature of his...more

Bradley Arant Boult Cummings LLP

Recent Rulings on “Family Limited Liability Entity” Election Create Traps for the Unwary

Although every LLC, limited partnership or other pass-through entity doing business in Alabama, and even those simply organized under Alabama law, are subject to an annual business privilege tax (BPT), certain entities can...more

Nossaman LLP

Agencies Cannot Make Conditional Final Offers of Just Compensation in Condemnation Actions

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In California eminent domain cases, a property or business owner is entitled to recover litigation expenses (attorneys' fees and expert costs) when the public agency's final offer of compensation is unreasonable and the...more

Katten Muchin Rosenman LLP

Introducing Personal Liability Into Corporate Negligence: An Analysis of the Trek Leather Decision

Are you an owner or officer of a small or midsize business? An import or trade compliance professional? Someone whose job responsibilities include some aspect of the process of importing merchandise into the United States,...more

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