With legislation rapidly changing across the country, businesses are becoming increasingly concerned about how their companies will be impacted by new restrictions and regulations – and rightly so. 

In July 2022, Florida businesses filed a lawsuit against the state after governor Ron DeSantis passed the Stop WOKE Act, alleging it infringes on a company’s right to free speech. Here’s what to know and how to get help from a business litigation firm in Florida if your company has been negatively impacted by a new state law. 

What Is the Stop WOKE Act? 

The Stop WOKE Act (Stop Wrongs to Our Kids and Employees Act) is new legislation that prevents employers with 15 or more employees from mandating that their employees attend discussions in the workplace about critical race theory, Black history, and LGBTQIA+ issues. While employers are still free to host speeches, training sessions, and other educational activities on these topics in the workplace, they may not require employees to attend as a condition of employment. 

How Does This Legislation Hurt Businesses? 

Racism and sexism has been a long-standing issue in the workplace that should continue to be addressed. The injunction filed by attorneys representing Florida businesses suggest that the new legislation infringes upon their right to free speech and causes harm to the operation of their companies. 

Employers can no longer require employees to attend diversity and inclusion training, which businesses claim interferes with their ability to adequately prepare employees for the workplace.  

What Recourse Do Companies Have Against State Laws That Harm Their Businesses?

Companies that are unjustly affected by legislation can bring a lawsuit against the state if the legislation infringes on one of their constitutional or state rights. States may be ordered to compensate businesses for losses incurred under the unfair legislation. 

Contact Feinstein Real Estate Litigation & Business Law Now 

If your business has lost or will lose money as a result of state legislation, you may have legal recourse available to you if you suffered damages caused by laws that violate your constitutional rights to free speech, freedom of assembly, free press, and other rights afforded to businesses. 

Call Feinstein Real Estate Litigation & Business Law for more information or to get the legal help you need. Dial 954-767-9662 to make an appointment with our Fort Lauderdale business law and real estate litigation attorneys now.

What Types of Damages Are Available in Breach of Construction Contract Cases? 

When you hire a construction company to begin building your dream home, everything seems exciting and hopeful. However, a breach of contract from the construction contractor you hired can quickly put a damper on your dreams of custom homeownership. Here’s a look at what types of damages are available in breach of construction contract cases and what you can do to obtain the compensation you deserve after a construction company or contractor leaves you high and dry. 

Two Primary Types of Breach of Construction Contract Damages 

An owner that brings a claim against a construction contractor or company can choose to be reimbursed in one of two ways: 

1. The contract is considered void and the owner must be fully restored to their status prior to the beginning of the contract. This means the construction company must pay back some or all of the funds paid to them at the start of and/or during the project, less the quantum meruit value of work done to date. 
2. The contract must be affirmed and the owner must be compensated for the benefit they would have received if the contract had been completed as promised. This benefit can be compensated in a variety of ways, such as compensating the owner for cost to have the construction completed by another contractor. 

Cano, Inc. v. Judet, 2021

In the case of the Fourth District Court of Appeal in Cano, Inc. v. Judet, 2021 WL 4301625 (Fla. 4th DCA 2021), the appeals court ruled that the owner had the right to choose to be financially restored to their position immediately prior to signing the construction contract. Despite the defendant’s staunch opposition, the judge ruled that they are required to remit all payments made for the construction back to the owner after subtracting the quantum meruit value of the work the contractor did. 

Get Help From a South Florida Construction Dispute Attorney Today 

If you are a homeowner whose construction contractor has failed to meet their contractual obligations, you may have legal recourse. It’s critical to reach out to an experienced construction litigation law firm for assistance; inexperienced legal help may be no help at all. Call Feinstein Real Estate Litigation & Business Law for your consultation or to get answers to your questions about construction litigation by dialing 954-767-9662.

Arbitration rules that force parties to resolve disagreements through mediation rather than litigation, are commonplace in a variety of agreements, particularly commercial contracts. 

But what happens when one company decides to sue another, regardless of the fact that their agreement has an arbitration clause? The defendant’s response to the suit typically determines whether or not the case will be successful. Here’s what you should know. 

Arbitration Clauses May Be Used as a Defense  

Consider a case where two organizations committed to arbitrate any contract-related problems by putting an arbitration provision in their contract. Despite entering into the contract, one company later feels aggrieved and initiates litigation. 

In rebuttal to the lawsuit, the defendant’s counsel would most likely mention the arbitration clause as a defense to the proceedings, or they may inform the court of the arbitration agreement’s presence and urge the judge to dismiss the case.

But what happens if the defendant’s lawyer fails to mention the promise to arbitrate in their response to the dispute? Has the defendant’s liberty to arbitrate been forfeited as a result? 

It’s possible. While just responding to a lawsuit does not always imply a surrender of the desire to arbitrate, it can help to create the impression of litigation involvement, which courts have held to be sufficient to relinquish arbitral rights.

How Case Law Has Impacted Business Disputes Involving Arbitration Clauses 

The Sixth Circuit Court of Appeals has devised a two-part test for determining whether an individual’s or company’s actions amount to a renunciation of a contractual obligation to arbitrate disagreements. This test was created with the awareness that “waiver of the right to arbitration is not to be lightly inferred” due to the obvious substantial presumption in support of arbitration. Glazer v. Lehman Bros., Inc., 394 F.3d 444, 450 (6th Cir. 2005).

When to Bring a Business Litigation Lawyer On Board 

Arbitration provisions can be included in a variety of contracts. If you are involved in a contract dispute, especially if your agreement has an arbitration clause, it’s important to seek out the counsel of an experienced Florida business litigation lawyer. 

At Feinstein Real Estate Litigation & Business Law, we have the skills and expertise to provide you with comprehensive legal representation. Call today to book your consultation at 954-767-9662 (Fort Lauderdale), 561-981-6212 (Boca Raton,) or 305-728-5267 (Miami). Our team is available now to help.

You may have heard of an NDA in the course of doing business, especially if you’re a business owner or high-level manager. Here’s what you should know about NDAs, how they can help protect your company’s important information, and what to do if someone within your company breaks or violates the NDA. 

First, What Is an NDA? 

An NDA, or non-disclosure agreement, is a legal document signed by two or more parties that binds each party to an obligation of privacy and compels the undersigned to keep important, secret information secure. 

What Are NDAs Used For? 

Non-disclosure agreements are relatively common for businesses, particua for partnerships and joint ventures. An NDA can protect proprietary information, like secret restaurant formulas, new product blueprints, or marketing strategies. 

This means that the parties who agree to the NDA commit to not sharing this critical information with others, especially competitors who could use the data to appropriate products, services, or unique features that the business offers. 

How Do NDAs Get Broken? 

Unfortunately, NDAs can and do get broken. Sometimes this may be an accidental mistake, where a party lets something slip in conversation that they shouldn’t have. 

That said, NDAs can also be broken purposely in an effort to damage the business and its owner. This sometimes occurs when an employee has been terminated and are looking to “get back at” the company that let them go. 

What to Do If Your Business Partner Violates Your NDA 

If you suspect that your business partner or someone else at your company has violated an NDA they signed, the first thing you should do is review the contract itself. Often, non-disclosure agreements include protocol and remedies for violations in the document itself. 

Then, collect what evidence you can to trace how the information was released and who may have leaked it. Being able to prove your case beyond a shadow of a doubt can help you from being put on the hook for court costs and legal fees. 

Get Help From an Experienced South Florida Business Litigation Attorney Today 

A business partner or someone else you work with who has violated a non-disclosure agreement can be a significant hazard to your company and livelihood. Don’t wait to get experienced legal help with complex business litigation issues from an attorney you can trust. 

Contact the reputable and dedicated attorneys at Michael L. Feinstein, P.A,for a consultation by calling 973.635.4500. 

When starting a business, one of the first decisions you must make is the type of entity you will use to run your business. For many in Florida, the limited liability company or corporation is the most desirable because they offer protection of the business owner’s personal assets in the event that the business becomes liable for debts or damages. This separation of the corporation’s assets from those of the owner or shareholders is called the corporate veil.

If you own a corporation or LLC, you may feel impervious to lawsuits or creditors who may seek your personal assets because you have the protection of the corporate veil. However, it is important that you understand the limitations of that protection. In fact, you may not realize that certain actions by business owners or shareholders may dissolve the separation between you and your business.

What might pierce the corporate veil?

Running your business as a corporation or LLC offers you some security. If your business goes into debt, for example, you may not fear losing your home or personal savings. However, the corporate veil does not protect you in every circumstance. The term “piercing the corporate veil” refers to situations where the entity of the owner or shareholders and the entity of the business are no longer separate, placing the owner or shareholders at risk of personal liability. The following are examples of actions that may pierce the corporate veil:

• Mixing your personal finances with those of the business
• Using the business to commit fraud
• Acting egregiously by placing the corporation’s prosperity over the good of the public
• Using business funds for personal use, even as a loan
• Keep poor or inaccurate financial records
• Failing to pay state and federal payroll taxes
• Misusing business credit cards for personal use
• Using your personal assets as collateral for a business loan
• Signing contracts or loan agreements personally without the backing of the shareholders

If these or other circumstances exist and you are facing legal action, your personal property may be in jeopardy. As with most elements of business law, Florida’s statutes may be different from those in other states. You may also be dealing with matters of federal law. This is why, at the earliest sign that you may be at risk of personal liability, you would be wise to seek the advice of an attorney who has experience in state and federal litigation.

You may have always had the entrepreneurial spirit. From a young age, you may have had great ideas for school projects, taken the initiative to get tasks completed and even stepped into leadership roles whenever available. As you grew into an adult, you knew that you wanted to start your own business, which you did.

Now, you own multiple businesses and earn a generous income. While you still like the feeling of being in charge and having your ideas come to fruition, you know that any slip up could prove costly for any of your businesses. How can you stay on top?

Managing and delegating

You have likely already learned that you cannot oversee absolutely everything that goes on in your business ventures. This can seem a bit daunting at times because you may hold to the adage that if you want something done right you should do it yourself. However, that is not typically possible when it comes to successful business practices. Instead, you want to have a team of hand-picked individuals who can take over operations when needed.

Creating this team can take time as you will likely need to observe and find the employees or outside parties who have the drive, determination and work ethic to operate your business as you see fit. Fortunately, it can be done, and you can have a trusted team to keep your company running smoothly.

Stay updated

Of course, even if you have your trusted teams, you need to stay in the loop. As a result, it is important to have someone from each company bring you regular updates regarding operations, financial reports or even complaints. It is also wise to make in-person visits to your companies to ensure that everything is running smoothly and that you have not missed out on any important information.

Issues may arise

Running multiple businesses opens up many opportunities, but it may also open you up to a greater chance of facing legal issues. If another company claims that any of your businesses have violated the law, you will certainly want to handle that type of ordeal personally. Gaining information regarding the complaint, the laws involved and your legal options could help you maintain the integrity of your company and defend against allegations. To that end, having the help of an experienced Florida business litigation attorney could work in your favor.

The food delivery industry seems to be booming as various companies offer services solely for taking orders, picking up meals from restaurants and making deliveries. Many people in Florida and across the country take advantage of these services to avoid having to go out or to still get their food from their favorite restaurants that may only be offering take out or delivery. However, some restaurant owners are not too happy with how some services address their locations, which recently led to a lawsuit.

Reports stated that a restaurant owner in another state has filed a lawsuit against DoorDash for misrepresenting the restaurant in its app. Apparently, Lona’s Lil Eats has been listed as too far away or closed when prospective patrons attempt to use DoorDash to order food for delivery. The restaurant does not have a partnership with DoorDash, and representatives believe that DoorDash is intentionally misinforming patrons that the restaurant as too far away or closed when that is not the case.

The claims against DoorDash include posting this incorrect information as a way to coerce restaurants into partnering with the company and, in turn, paying fees and commission. Representatives for DoorDash stated that the company is still reviewing the lawsuit. The report did note that many services like DoorDash will include non-partner locations and provide service to those locations to show restaurants the benefits of working with them.

Feeling as if another company is intentionally sabotaging the chances of bringing in customers can be a significant blow. If Florida company owners believe that they are being subjected to such unfair practices by outside parties, they may want to determine whether the other parties are violating business-related laws. As this case shows, a lawsuit could be necessary to address this type of wrongdoing and to preserve the interests of a company.

Construction company owners undoubtedly want to have smooth projects no matter what they undertake. Of course, clients can be difficult to work with at times, and it is not unusual for serious issues to arise that negatively affect the project. In some cases, it may be necessary for construction litigation to take place if a client causes damages to a company.

It was recently reported that Validus Construction Services has filed a lawsuit against Disney Vacation Club in Florida relating to the remodeling of Disney’s Saratoga Springs Resort and Spa. The construction company was hired to oversee the renovations, which were supposed to span from April 2019 until November of that year. However, during the project, a fire code violation that had been unaddressed for over 15 years caused significant delays and additional costs for the project. Disney reportedly refused to provide extensions as requested by the construction company.

In April of this year, Disney terminated the contract with Validus without reason. Additionally, the owner of Validus, who is a woman, indicated that Disney employees harassed her with insulting and misogynistic comments. The lawsuit claims breach of contract and negligent misrepresentation.

It is common for construction projects to have millions of dollars at stake. When issues are found that delay and add costs to projects, company owners can face difficulties determining how to move forward. If clients are unwilling to find a resolution, additional problems can result. As this case shows, it may be necessary for construction litigation to move forward if Florida company owners are facing similar problems with clients.

Putting trust in another person is not always easy. For Florida business owners, trusting outside parties may be necessary when an owner needs certain business-related tasks handled that he or she cannot handle alone. Often, owners enlist the help of financial professionals, trustees, legal professionals and others to help ensure that the business operations run smoothly. If a party violates that trust by breaching his or her fiduciary duty, business litigation could be necessary.

Because putting important business matters in the hands of another party can be a bit disconcerting, most business owners utilize legally binding contracts before entering into a fiduciary relationship. These contracts can help protect the interests of everyone involved and ensure that the parties understand what is expected from the relationship. It can also act as proof for business owners who believe a fiduciary has breached his or her duty.

The downside to a fiduciary breach is that a company could sustain damages that seriously affect operations. Unfortunately, it may be some time before a business owner realizes it has happened. Luckily, owners do not simply have to accept that a trusted person violated that trust. Instead, they can work toward obtaining compensation for those damages.

Business litigation is often a useful means for holding parties accountable for their damages actions. Moving forward with a breach of fiduciary duty lawsuit may be necessary for Florida company owners who have ended up in such a difficult scenario. Fortunately, they can take steps to mitigate the damages done and to receive restitution for the wrongdoing by exercising their legal rights.

When businesses in Florida or elsewhere face accusations of deceptive practices, they are in a serious predicament. In some cases, the Federal Trade Commission could bring a lawsuit against a company if such practices are suspected. When companies have to defend against these allegations, understanding their legal options is necessary.

Yellowstone Capital LLC will certainly want to determine the best options for handling such claims after a lawsuit was recently filed against the company by the FTC. Yellowstone Capital offers merchant cash advances to small businesses that are unable to obtain loans through other means. These advances allow companies to obtain funds immediately, but they must pay back a higher amount. The FTC claims that the company used deceptive trade practices by advertising that personal guarantees and collateral were not needed for the loans, but the small business owners did have to sign a personal guarantee to repay the loans and offer collateral.

In addition to that claim, the FTC also alleges that Yellowstone continued withdrawing funds from companies even after their loans had been repaid. In some cases, thousands of dollars were purportedly taken from consumers’ accounts after full payment had already occurred. There was no comment from Yellowstone regarding the lawsuit provided in the report.

Allegations stemming from the FTC can have lasting repercussions for any business. This type of lawsuit can take a considerable amount of time and effort to defend against, so it is wise for parties facing such claims to gain reliable information about their options. Florida business owners who are facing similar predicaments may want to ensure that they have strong legal counsel to see them through such an ordeal.