In a surprising decision out of the Supreme Court, Nassau County, LCF Group, Inc. v Fields, a judge refused to confirm an arbitration award against the “borrower” of a Merchant Cash Advance “lender.” I think it is surprising because it is extremely hard to attack an arbitration award and the motion to confirm the award … Read More
You may have heard that there is a new law called the Corporate Transparency Act, which is a law that aims to prevent money laundering and the hiding of assets by oligarchs and other bad actors by requiring all beneficial owners of certain entities to report their identity and whereabouts. Now, on September 29, 2022, … Read More
LLC Managers have broad fiduciary duties when managing an LLC. Even when they are given “sole and absolute discretion” in the operating agreement to take certain actions for the LLC, they cannot exercise that right in bad faith, for personal gain, and in such a way as to deprive the LLC of a reasonably expected … Read More
What happens if you bring a lawsuit and the defendant does not defend themself, because either they fail to answer or fail to comply with a court order to participate in the litigation? You can move for a default judgment to get what you’re asking for, even if the defendant does not participate. But even … Read More
I’m all for saving money where you can, but using one of those do-it-yourself LLC operating agreements is what they call “penny-wise and pound foolish.” I have had many conversations with LLC members who have fallen out with the other LLC members. They usually want to know what their rights are. Then we look at … Read More
Buying a business via an asset sale means that you are not just buying THE Business as a concept; you are in fact buying all furniture, equipment, inventory, names, phone numbers, contracts, and everything else that makes the business operate. Your purchase agreement may state that you are buying “substantially all the assets of business … Read More
Any lawsuit has to be served on the opposing party. Some defendants try to get cute and hide from the process server or otherwise attempt to prevent service. Not a good idea in the long run. They will usually get you eventually. In a recent decision by the Supreme Court, New York County (Big Yuk … Read More
