While we certainly enjoy reviewing a contract before there is a dispute, the reality is that many contracts are not reviewed by legal counsel. For various reasons, people opt to do it themselves. With that in mind, here is a short list of rules to live by and contract clauses to always scrutinize.
What is an Exculpatory Clause? Today, virtually every form contract contains an exculpatory clause. An exculpatory clause is a clause in the contract that strictly limits the liability of one party. For example, if you rent skis from a local ski shop, the contract may contain an exculpatory clause limiting the liability of the ski […]
Are you involved in a dispute over money or property? Are you sure that you in the right? Either way, be careful. Giving that property to another person may not resolve the dispute. Keeping the property can expose you to breach of contract, theft, conversion and a host of other claims. In this situation, interpleader may be the answer.
Jobs are hard to come by these days. Colorado employers routinely request Colorado employees to execute noncompete and nondisclosure agreements. The general rule is that Colorado noncompete agreements are not enforceable except for certain limited but important exceptions.
Piercing the corporate veil is when a court reaches through a business entity and finds the owners, officers or employees liable for actions taken by the business. Business owners and officers want to know whether they are personally liable for business liabilities. The answer depends upon the facts and circumstances of each situation.
Trade secret and confidentiality agreements are typically reserved for high paying jobs or jobs in fields requiring certain expertise. However, it is not just salespeople, managers and executives that possess confidential information. Employers may want to consider having all employees execute trade secret and confidentiality agreements to protect valuable company information.
Thinking about buying or selling a business? Colorado is full of entrepreneurs and startup companies feeding their ideas and powering the local economy. Many of these companies are up for sale along with established companies with track records of success. To successfully buy or sell a business takes a combination of intelligence, skill and on occasion, a good dose of luck.
If in business long enough just about all companies are faced with a customer or vendor who does not fulfill his end of the contract. When that occurs, it is important to understand the mitigation of damages rule.
Mediation or arbitration clauses are found in just about every standard contract these days. These alternate dispute resolution clauses should be carefully reviewed before including the clause in any contract.
A wise woman once explained to me the difference between a tax and a fee. “A tax”, she said with a provocative smile, “is a payment of money to the government, and in return, the government provides you with various services.” “Now a fee, well, that is very different. A fee is what you pay to the government when you use the services that your taxes provide.” And so it goes. The most recent “fee” to see an increase is the one charged by your local Colorado clerk and recorder.