Recent Articles
Will Wall Street Executives Seek the Protection of the Fifth Amendment?
After the worst financial collapse since the Great Depression,
the finger-pointing has escalated in earnest. Major financial institutions
that participated in the subprime market or failed to accurately price
or rate the risks involved with mortgage-backed securities are now
scrambling to protect themselves from the outrage observed in the recent
congressional hearings and evidenced by many civil lawsuits. So far,
Wall Street executives have not asserted the Fifth Amendment, but as
multiple civil and possible criminal proceedings loom, will they? ... Read More
YOU'RE EXONERATED:
Exploring the “Sham Guaranty” Defense to Eliminate Liability Under a Guaranty
Lenders commonly require principals of a company to personally guarantee a real estate loan. While the business may be protected by California’s antidefiency statute, guarantors are not. Lenders also carefully draft guaranties to expressly waive or otherwise exclude defenses. In many cases, the only defense a guarantor may have to secure the protections of the California antideficiency statute is the “sham guaranty” defense. ... Read More
Business Pays for Court Delays
It's no secret that the California budget crisis has had, and will have, far-reaching implications for communities and businesses around the state. As legislators continue to struggle to close budget gaps, their actions are resulting in significant consequences for the legal community, with the impact on the state and local economies expected to be in the tens of billions of dollars. ... Read More
3-D Movies Fighting for Screen Time
With the recent flurry of 3-D films, there is great pressure on theaters because, currently, there are only approximately 3,500 3-D screens in place around the country. That's less than 10% of the total and not enough to accommodate two 3-D movies at the same time, let alone three or four.. ... Read More
Arbitration Enforced at Any Cost? Perhaps Not.
The pendulum may finally be swinging back. Recent court opinions, as discussed below, reveal a more guarded approach toward the once heralded arbitration process, as evidenced by judges’ greater willingness to vacate arbitration awards and carve out exceptions to contractual arbitration. ... Read More
When Seeking Pre-Trial Receivership for Solvent Companies Less May be More
Receivers may be appointed where a company is insolvent, in danger of becoming insolvent, winding up its affairs or a judgment debtor. However, did you know that prior to trial a plaintiff may seek a court-appointed receiver for a solvent, on-going business? ... Read More
Is Your Partner Using the Recession to Hide Fraud?
Tough economic times can sometimes be used to mask fraudulent activities. In times like these, minority shareholders who suspect improper activity by the majority should be more vigilant than ever. Often minority shareholders, especially those not involved in the business...Read More
An Arbitrator's Powers are Limited
There are differences between arbitration and litigation: An arbitrator has no authority to order an in camera review of information protected by the attorney-client privilege, the absolute work-product doctrine or the conditional work-product doctrine. Only a judge has the power to conduct any sort of review, and then only on materials subject to…Read More
How Final Are Arbitration Awards
For years, contractual arbitration awards have been subject to limited judicial review. Indeed, under State and Federal law, such awards could be challenged only on the grounds that they were procured by corruption or fraud or because the arbitrators exceeded their powers. Additionally, under Federal law, awards could be challenged on the ground that they were made in manifest disregard of the law …Read More
Are You Personally Liable for the Acts of Your Corporation?
Do you own a business as a corporation or an LLC, and think you’re insulted from personal liability? Think again. There are numerous ways that a shareholder of a corporation or a member in an LLC can be held personally liable for the acts of the entity…Read More
Avoiding Shareholder Litigation
Here are a few strategies that we have employed to deal with shareholder disputes…Read More
Litigation vs. Arbitration
Now that arbitration has matured, is it still the economical, efficient service its proponents claim it to be? The answer is decidedly mixed. Think back only 10 years ago when arbitration was the exception rather than the rule to resolving disputes. Then, arbitration’s quick results were a welcome relief from...Read More