Businesses must protect themselves from a variety of potential sources of legal and financial liability, simply to function in the modern marketplace. In addition to old threats like taxes, lawsuits, or natural disasters, a new kind of threat has made itself known: cyber attacks. Businesses that do not take proper precautions to protect against a cyber attack can face a number of potential issues, including the following: Continue reading “The Potential Business Consequences of a Cyber Attack”
Category: Business Law
What is an Executive’s Fiduciary Duty to Their Company?
Every executive working for a corporation, regardless of the corporation’s size, has a fiduciary duty to their company. This duty is not merely some high-minded principle about company loyalty. It is a legal responsibility that can invite serious problems if an executive is not careful and violates it. But what exactly is the fiduciary duty, and how might an executive violate it? Continue reading “What is an Executive’s Fiduciary Duty to Their Company?”
OSHA Issues Guidance on Unvaccinated and At-Risk Employees
The Occupational Safety and Health Administration (OSHA) has issued new guidance that dictates how employers should handle unvaccinated and at-risk employees. These guidelines are meant to help employers who are adjusting to having a partially vaccinated workforce, especially those who are transitioning back from remote work to working at an office. Employers should be mindful of this guidance, especially as it might affect their own liability in the event that an employee becomes infected with COVID on the job. Continue reading “OSHA Issues Guidance on Unvaccinated and At-Risk Employees”
Delaware Court Rules in Favor of “Reverse Veil Piercing”
The Delaware Chancery Court has issued a ruling that endorses the theory of “reverse veil piercing,” which is the practice of reaching down into a parent company’s subsidiaries to obtain compensation for harms committed by the parent company. This novel theory has broad potential implications for businesses around the country, especially larger businesses that own numerous subsidiaries. It is especially bad news for companies that may have counted on their corporate structure to protect their assets from legal or financial liability. Continue reading “Delaware Court Rules in Favor of “Reverse Veil Piercing””
Five Potential Benefits to Reorganizing Your Business
The question of how to organize your business may seem banal and bureaucratic, something that does not have a real impact on the day-to-day operation of your company. However, without realizing it, your business organization may be making a major impact on whether your company succeeds or fails. Here are five potential benefits you can get from reorganizing your business: Continue reading “Five Potential Benefits to Reorganizing Your Business”
When is it Time to Get a Business Divorce?
The term “business divorce” may seem inappropriate at first glance, but anyone who has been in conflict with a business partner knows how difficult that can become. A business divorce is used to dissolve or reorganize a business when a partner, member, or co-owner in a business wants to leave and less drastic measures are not available. And just like with a regular divorce, there are signs that a business divorce might be what you need to resolve your issues in your business: Continue reading “When is it Time to Get a Business Divorce?”
SCOTUS Rules in Favor of Google in Copyright Dispute
In a 6-2 decision, the Supreme Court of the United States has ruled in favor of Google in its multi-billion dollar copyright lawsuit with Oracle. The lawsuit involves a dispute over code used for Google’s Android operating system, in which Oracle alleged Google had illegally copied its own code. However, the Supreme Court found that Google’s use of Oracle’s code fit under the “fair use” exception of copyright law, protecting it from any copyright claims. Continue reading “SCOTUS Rules in Favor of Google in Copyright Dispute”
Dietary Supplement Manufacturer Pays $53 Million for Deceptive Marketing
In what has been described as the largest class action settlement against a dietary supplement company, Reckitt Benckiser LLC has agreed to pay $53 million for deceptive marketing related to one of its products. The dietary supplement industry as a whole has seen increased scrutiny over the past decade, due to controversy over claims made about the health benefits they provide. The settlement shows that manufacturers of dietary supplements may need to be more careful about their advertising, or else face future deceptive marketing claims. Continue reading “Dietary Supplement Manufacturer Pays $53 Million for Deceptive Marketing”
New Law Outlaws Anonymous Shell Companies
The recently passed National Defense Authorization Act (NDAA) contained, among other things, a provision known as the Corporate Transparency Act (CTA) that will ban anonymous shell companies across the United States. This measure has been long sought after by anti-corruption activists, who consider it to be a major step in fighting money laundering and other shady business practices. Both current and future business owners should be aware of what this new law will require of them and how it may affect their businesses. Continue reading “New Law Outlaws Anonymous Shell Companies”
Five Things to Do When You Are Considering Bankruptcy
Due to the coronavirus pandemic, bankruptcies are up all across the United States. Individuals and businesses alike have struggled due to COVID-19, with many people losing their livelihoods due to the economic impact of the pandemic. If you are one of the people affected by this pandemic, you may have already considered bankruptcy. Before you file for protection, though, there are five things you should do: Continue reading “Five Things to Do When You Are Considering Bankruptcy”
