A truly independent “Special Litigation Committee” or “SLC” wields enormous power in the context of derivative claims (more on these claims below). The SLC will either validate a derivative claim and recommend that it be pursued or settled or will recommend that it be dismissed. Since the company or corporation must adhere to the SLC’s determinations, and because of the
According to the U.S. Small Business Administration, small businesses make up 99.7% of U.S. employer firms, 64% of net new private-sector jobs, and account for 98% of firms exporting goods. Family-owned businesses contribute more than 57% of the GDP, employ more than 60% of the workforce, and are responsible for nearly 80% of all new job creation. Family businesses are
We previously looked at the factors analyzed in determining whether non-competes are enforceable. The healthcare industry has become extremely competitive in the delivery of high-quality and cost-efficient care to patients, in the recruitment of physicians by clinics and hospitals, and in the development of referral sources by physicians, clinics, and hospitals. Often, clinics or hospitals spend substantial money, resources, and
Are non-competes enforceable? This is a common question for business owners, employees contemplating switching jobs, and the business debating hiring a key employer of one of their competitors. And like most things in the law, the answer to the question depends on the facts of the situation. What is key, no matter what side of this question you find yourself
Previously, I examined the discovery process and how commercial litigation is often won or lost in discovery. But now you find yourself preparing for trial. So let’s look at how evidence plays a vital role in whether you win or lose at trial (and on appeal) and some of my suggested approaches. Good trial lawyers (and not those who call
While non-competes or restrictive covenants are disfavored in Minnesota, they remain a valuable tool for employers to protect legitimate business interests. Whether it be a high-level employee with access to proprietary information, a c-level employee that has a grip on the company’s goodwill, or ensuring that a trusted employee does not take the company’s confidential information on the way out,
When you go into business with one or more people, there is always a risk that the relationship will end badly. Whether you simply want to enforce your rights in the business or end it altogether, it is important to understand how the state law and internal documents affect your situation. It is especially critical to know how the form
FIDUCIARY DUTIES: Long ago, the United States Supreme Court held that majority shareholders “have the right to control; but when it does so, it occupies a fiduciary relation toward the minority, as much as the corporation itself or its officers and directors.” S. Pac. Co. v. Bogert, 250 U.S. 483, 487-88 (1919). But what about minority shareholders? Do they owe
Starting a business partnership can be an exciting time of planning and dreaming about your shared vision for the new venture. Even as you’re discussing the weaknesses in your business plan and threats in the market, it’s easy to ignore or shelf discussions about potential negative issues that may arise between the partners themselves. Noticeable differences aside, new business partners
Courts across the country, including Minnesota, Iowa, Wisconsin, and Arizona (Minnesota – Janssen v. Best & Flanagan, 663 N.W.2d 876 (Minn. 2003); Iowa – Oberbillig v. West Grand Towers Condominium Association, 807 N.W.2d 143 (Iowa 2011); Wisconsin – Einhorn v. Culea, 612 N.W.2d 78 (Wis. 2000); Arizona – United Dairymen of Arizona v. Schugg, 212 Ariz. 133 (Ariz. Ct. App. 2006)), “recognize the authority of corporate directors and want corporations to
A truly independent “Special Litigation Committee” or “SLC” wields enormous power in the context of derivative claims (more on these claims below). The SLC will either validate a derivative claim and recommend that it be pursued or settled or will recommend that it be dismissed. Since the company or corporation must adhere to the SLC’s determinations, and because of the
According to the U.S. Small Business Administration, small businesses make up 99.7% of U.S. employer firms, 64% of net new private-sector jobs, and account for 98% of firms exporting goods. Family-owned businesses contribute more than 57% of the GDP, employ more than 60% of the workforce, and are responsible for nearly 80% of all new job creation. Family businesses are
We previously looked at the factors analyzed in determining whether non-competes are enforceable. The healthcare industry has become extremely competitive in the delivery of high-quality and cost-efficient care to patients, in the recruitment of physicians by clinics and hospitals, and in the development of referral sources by physicians, clinics, and hospitals. Often, clinics or hospitals spend substantial money, resources, and
Are non-competes enforceable? This is a common question for business owners, employees contemplating switching jobs, and the business debating hiring a key employer of one of their competitors. And like most things in the law, the answer to the question depends on the facts of the situation. What is key, no matter what side of this question you find yourself
Previously, I examined the discovery process and how commercial litigation is often won or lost in discovery. But now you find yourself preparing for trial. So let’s look at how evidence plays a vital role in whether you win or lose at trial (and on appeal) and some of my suggested approaches. Good trial lawyers (and not those who call
While non-competes or restrictive covenants are disfavored in Minnesota, they remain a valuable tool for employers to protect legitimate business interests. Whether it be a high-level employee with access to proprietary information, a c-level employee that has a grip on the company’s goodwill, or ensuring that a trusted employee does not take the company’s confidential information on the way out,
When you go into business with one or more people, there is always a risk that the relationship will end badly. Whether you simply want to enforce your rights in the business or end it altogether, it is important to understand how the state law and internal documents affect your situation. It is especially critical to know how the form
FIDUCIARY DUTIES: Long ago, the United States Supreme Court held that majority shareholders “have the right to control; but when it does so, it occupies a fiduciary relation toward the minority, as much as the corporation itself or its officers and directors.” S. Pac. Co. v. Bogert, 250 U.S. 483, 487-88 (1919). But what about minority shareholders? Do they owe
Starting a business partnership can be an exciting time of planning and dreaming about your shared vision for the new venture. Even as you’re discussing the weaknesses in your business plan and threats in the market, it’s easy to ignore or shelf discussions about potential negative issues that may arise between the partners themselves. Noticeable differences aside, new business partners
Courts across the country, including Minnesota, Iowa, Wisconsin, and Arizona (Minnesota – Janssen v. Best & Flanagan, 663 N.W.2d 876 (Minn. 2003); Iowa – Oberbillig v. West Grand Towers Condominium Association, 807 N.W.2d 143 (Iowa 2011); Wisconsin – Einhorn v. Culea, 612 N.W.2d 78 (Wis. 2000); Arizona – United Dairymen of Arizona v. Schugg, 212 Ariz. 133 (Ariz. Ct. App. 2006)), “recognize the authority of corporate directors and want corporations to
