Force Majeure: Terminate a Contract During COVID-19 Pandemic

Recently, due to the COVID-19 pandemic, many parties to a commercial contract have been unable to perform their contractual duties and obligations under the contract. As a result, they desire to terminate the contract or the contractual relationship. If a party to a contract is unable to perform a required obligation under a contract there …

LLC – Distribution of Non-Cash Property – Disguised Exchange

There are five circumstances in which a distribution of property other than cash to a member can trigger gain recognition to a member or LLC. A ‘disguised exchange’ transaction can trigger one of the five circumstances where a member or LLC must recognize gain on a distribution of assets to a member. In general, distributions …

U.S. Trademark Search – Registration Process

The U.S. trademark registration process has several important steps. The first step is for the applicant to conduct a search of all current registered trademarks using the U.S. Patent and Trademark Office (USPTO) trademark registration database. The search usually consists of reviewing all registered trademarks which contain words, symbols or designs similar or identical to …

Small Business FAQ – Self Employment Tax & Business Expenses

How can I avoid paying self-employment and Social Security taxes on money I earn? You can’t. You can consider forming an S-corporation, and pay yourself a reasonable wage, which is taxed as regular employment income. With an S-corporation, you can take the rest of your net profits out of the company as dividends, which are …

Small Business FAQ – Employee or Independent Contractor?

I need to hire people to help with an upcoming project. Are they considered independent contractors or are they new employees? The amount of control you have over the workers you hire will indicate whether they should be classified as independent contractors or as employees. In general, if you tell your workers where, when and …