Unfortunately, there is no surefire way to entirely fail-proof a business. As referenced in Forbes, the Wall Street Journal, Gallup, and countless other sources, small business failure rates range from 30-80% depending on the industry and length of time considered.

What Causes Businesses to Fail

While the actual percentage of businesses that fail varies according to industry and length of time in business, there are common threads of what causes businesses to close their doors. Gary Brownlee of the Indiana Small Business Development Center reported that the number one cause for a business’ demise was incompetence. Factors contributing to this cause included:

• Overextending by living beyond the means of the income generated by the business
• Poor planning
• Emotional pricing products or services
• Unpaid taxes
• Inadequate information regarding financing requirements
• Record-keeping skills below par for running a business
• Uninformed decisions involving pricing related to the industry

These factors are preventable by making sound decisions and investments at the start of a business. Researching how to properly manage and maintain these factors is certainly one of the most important investments a small business owner or start-up can make. Specifically, when it comes to planning a business the old saying by Benjamin Franklin, “An ounce of prevention is worth a pound of cure,” is true. Imagine how much pain and heartache can be avoided with a little preventative maintenance up front.

Poor Legal Planning Leads to Business Disputes

As mentioned above, one a major contributor to business failure is poor planning. This includes not just business planning, but also legal planning. We have seen many small businesses fail as a result of disputes or conflicts between shareholders or partners. Hiring a qualified business attorney from the outset is one of the most sound investments that can be made in starting a business. Legal advice, well-conceived and thoughtfully drafted agreements, and proper documentation of the legal structure of a business will help prevent disputes or conflicts in the future.

If you are a small business owner, or considering starting a business, contact the experienced business litigation attorneys at Atlanta based Brownstein & Nguyen.

A personal injury attorney is often asked for help with injury claims after a traffic stop involving drunk or drugged driving. National statistics indicate that this type of impairment results in car crashes more often at night than during the day. On weekends, fatal crashes are more often related to drunk or drugged driving than other types of traffic accidents.  Statistics on this subject indicate that more than thirty percent of drivers involved in serious traffic incidents are alcohol impaired.

Personal Injury Claims

A personal injury case is managed by a personal injury attorney, who investigates the matter, handles insurance claims, and, if necessary, files and prosecutes a lawsuit in court to recover just compensation for an injury victim. The following information is important for potential legal claims following any traffic accident:

• Sadly, drunk driving is a national epidemic. A motor vehicle crash involving an impaired driver and injuries typically leads to a personal injury claim handled by a personal injury lawyer.
• A personal injury lawyer can help determine liability in a motor vehicle accident or wreck case, based on available information and evidence. Sometimes the attorney will use the services of an accident reconstructionist. Who is at fault needs to be quickly assessed in order to meet specific statute of limitations rules that apply in each jurisdiction.
• The proper and full amount of damages incurred by an injured party must be determined as part of any insurance claim filed with the at-fault driver’s liability insurance carrier or in any lawsuit filed in court. An experienced personal injury attorney is trained to build and document a case for damages.
• The amount of compensation paid to the victim of motor vehicle negligence varies with the unique circumstances of each situation. Remember, just as no two people are exactly alike no two cases are either.

Fault in Personal Injury Claims

In most vehicle wreck cases, there will be an accident or incident report prepared by a police officer, indicating who the officer believes to be at fault and if that person has been charged with a traffic offense. However, in most cases the criminal charge is not admissible in a personal injury lawsuit, which is a civil matter. Some jurisdictions, such as Georgia, have modified comparative negligence laws that may be applied. This means that each party to a motor vehicle incident may be assessed a percentage of fault. The amount of fault assessed by an automobile insurance carrier or jury is adjusted according to the evidence, and determines the amount of damages each party might be responsible for.

Atlanta personal injury attorneys Brownstein & Nguyen are experienced in handling serious personal injury claims following impaired driving crashes. Driving while intoxicated or impaired is illegal, and drunk and drugged driving can carry severe consequences including felony criminal charges depending on the injuries caused. At Brownstein & Nguyen, we hope that all drivers (and passengers) drive and ride safe this holiday season!

Nike and Adidas are fierce competitors in the world of athletic gear. Like no other companies, they understand design, marketing and strategies needed to gain and keep market share as the top athletic gear providers in the world. For these industry giants, shoes are much more than rubber and laces, and contracts are much more than just paper – they are important business assets. Given the news of the recent lawsuit filed by Nike against three of its former design employees, employment agreements are especially important in the ultra-competitive area of apparel design employment.

In a 50 page lawsuit filed in the Circuit Court of the State of Oregon, Nike claims that Denis Dekovic, Marc Dolce, and Mark Miner are in breach of their employment contracts with Nike. After the three designers ended their employment with Nike, they went to work for the apparel brand’s arch-rival Adidas. In addition to breach of contract, Nike alleges that the three are also guilty of breach of duty of good faith and fair dealing, breach of duty of loyalty, misappropriation of trade secrets, tortious interference with current and prospective contractual and economic relations, fraud in the inducement, conversion or replevin, and civil conspiracy. In all, Nike is seeking up to $10 million in damages as a result of the allegations.

While only time will reveal the outcome in this lawsuit, there are two important reminders for employers and employees to take away from the situation. What are those reminders? The first is simple – careful reading. A contract should always be read closely; it should not be simply skimmed, scanned, and signed. The provisions and language in many non-compete agreements that apparel designers, software engineers, doctors, and numerous other professionals are asked to sign are complex. It is best to have an experienced business and employment lawyer read through these agreements to make sure that all the provisions are thoroughly understood and agreed to before signing.

Second, is careful consideration. An agreement must be fully digested and understood before entering into a contract for employment. When agreeing to work for a company, it is important to remember that no one can predict the future. And while, thinking through the scenarios of “what if” may not be pleasant, it is vitally important to consider multiple scenarios as they may play a role down the road. For example, what if you sign an employment agreement containing a broad non-compete and you later have to relocate due to your spouse’s job. Would the non-compete agreement restrict your ability to work under those circumstances? This is but one example of numerous factors that are worth considering as you seek legal counsel in an effort to fully understand an employment agreement so that you will not find yourself facing a breach of contract lawsuit.

If you are in faced with signing an employment contract and would like the legal expertise necessary to sign your agreement with confidence, contact the experienced Atlanta business lawyers at Brownstein & Nguyen. Likewise, if you are a business owner in the process of recruiting talent to fill positions in your Atlanta start up or small business and want to make sure your company’s non-compete agreement is legally binding, please contact our business law offices today.

With a population of just under 4,000 in the 2010 U.S. Census, the Village of Chester in New York is a quaint historical community. Since 2005 a developer has been trying to bring a new housing development to the Village. According to the developer, BT Holdings, this would mean new jobs, a tax windfall, and more housing for seniors, empty nesters, young couples, and families. But the development has been stalled for nearly ten years due to a zoning battle that has cost the developer $2.6 million pursuing approvals for the project .

In November 2014, the Village of Chester once again denied zoning for the development. After this last denial, BT Holdings filed a lawsuit against the village claiming a breach of contract. The attorney representing the village maintains that “[n]o breach had occurred because the village had signed no agreement with BT Holdings.”

The key issue in the case will be whether or not an agreement was reached between BT Holdings and the village regarding approval for the development. Although no written agreement was signed, the developer will try to prove there was an oral or implied agreement. While in some cases oral contracts are legally enforceable, they can be difficult to prove. It is highly recommended that anyone entering into a business transaction of any sort should have a written contract drafted and negotiated by a business attorney.

In any case involving a breach of contract that is proven, there are three main legal remedies that might apply: damages, rescission, and specific performance.

Damages

When a breach of contract takes place, it is possible for one party to seek compensation for financial harm or damages that may have occurred as a result of the breach. Damages typically may only be sought for definite losses, as future losses can be speculative and not easily determined. Examples of definite damages that may be claimed include actual out-of-pocket business expenses, legal expenses, and lost wages or revenues related to the breach of contract.

Rescission

When a court determines that rescission is the appropriate remedy for a breach of contract, the original contract is rescinded. If the contract is canceled, the law will serve to return the non-breaching party to their original position as if the contract never existed. This may result in the return of compensation paid by the non-breaching party.

Specific Performance

In some cases, a court will require that certain duties required under the contract be performed by the breaching party. While not applicable in all cases, specific performance may apply where monetary damages for a breach are inadequate to completely restore the party seeking to enforce the contract. One example in which specific performance might be required includes the sale of real property for an agreed-upon price.

When a dispute arises involving a contractual agreement, it is best to seek legal support from an experienced business litigation attorney. The attorneys of Brownstein & Nguyen will meet with you and determine if a breach of contract has occurred, and advise you regarding your legal rights and the best course of action to take. Our Atlanta business lawyers have a proven track record of reaching the best possible results in contract dispute situations. Contact Brownstein & Nguyen for your legal business needs.

HR compliance concerns for small businesses

Small businesses owners often neglect equally important legal affairs when they focus on the main aspects of their business. One of the key neglected areas is Human Resource management and legal compliance. Considering that HR deals with other people’s affairs, there are numerous federal and state laws that impact the employer-employee relationship. Over the years, these business laws have grown to regulate businesses as well as to protect employees. Here are highlights of key compliance areas that deserve attention from business owners.

Workplace litigation

Various laws and government agencies focus on workplace discrimination, including discrimination based on race, ethnicity, gender and sexual orientation. A small business owner needs to have in place mechanisms and policies designed to prevent discriminatory practices in the workplace. Doing do is a first step in avoiding potentially costly wrongful termination and discrimination lawsuits. The legal costs and distraction associated with such cases can cripple, or even be fatal, to a small business. In addition, small business owners should provide extensive training for management on employment discrimination and harassment.

Compliance with Benefits Laws

Many federal and state laws and regulations govern employee benefits including health, disability, life and other insurance benefits as well as retirement plans. These laws and regulations are complicated, and can create a serious compliance headache for small business owners. Even managing benefits for a small number of employees requires expert advice and guidance. Business owners who offer benefits to employees must comply with numerous requirements including government filings, test conduction, and provision of required notices and documents to employees.

Expert guidance

One point of distress for small business owners is the combination of managing all of these tasks. Often, the owner, especially during the start-up, is the manager, human resources manager, sales executive, and customer service representative. A small business owner should focus on the main business elements such as sales and management. As a result, human resource issues often take a back seat. However, with HR often requiring expensive training for proper execution, it is important that it does not take a back seat. While the HR generalist may attend to basic human resource responsibilities, full compliance requires a solid understanding of labor relations, information systems, compensation and benefits, training, and staffing. Limited training is not an excuse when the small business owner is facing litigation due to non-compliance.

The Atlanta law offices of Brownstein & Nguyen are experienced in assisting small business owners with their legal responsibilities. Contact business litigation attorney Jay Brownstein for a consultation today regarding your small business concerns.