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Karen L Brady

Karen Brady’s Answers

60 total

  • Please advise on business law suit

    We in 2005 my husband and I sold our shares of our business in Georgia to our business partner b/c my husband got a job offer in North Carolina. While we were in business we had a lease on video equipment to monitor the building. In 2006 our busin...

    Karen’s Answer

    To correct my previous answer: You may want to contact an attorney in Georgia, not North Carolina, as it appears from your facts that the lease was entered into in Georgia.

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  • Please advise on business law suit

    We in 2005 my husband and I sold our shares of our business in Georgia to our business partner b/c my husband got a job offer in North Carolina. While we were in business we had a lease on video equipment to monitor the building. In 2006 our busin...

    Karen’s Answer

    You will want to contact a business attorney who does litigation in North Carolina. I am assuming from what you don't say that no one had the landlord remove your husband from the lease liability when your husband left the business. The change in business ownership may not be a deciding factor in your husband's liability to the leasing company. However, your husband may be able to seek reimbursement from the former business partner or the new company owners if they benefited from the equipment. An attorney who hears all the facts and reviews the paperwork will be able to give you a more definitive answer.

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  • How would someone know if my company is a corp if they don't search the EIN number?

    I am going to contract with a company that wants me to incorporate. I am a sole proprietor right now. Someone told me they won't check and not to do it if I don't want to. I don't want to do the wrong thing. If they don't check, would they be ...

    Karen’s Answer

    My experience differs from Ms. Tamanini's. I have worked with several sole proprietors who have been requested or required to form corporations in order to contract with other companies. Sometimes a company wants to do work with only companies and not individuals because they want there to be no doubt that the individual cannot be considered an employee for purposes of unemployment compensation, workmen's compensation, tax or similar concerns.

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  • How would someone know if my company is a corp if they don't search the EIN number?

    I am going to contract with a company that wants me to incorporate. I am a sole proprietor right now. Someone told me they won't check and not to do it if I don't want to. I don't want to do the wrong thing. If they don't check, would they be ...

    Karen’s Answer

    The Pennsylvania Department of State has a searchable computer database of corporations formed in Pennsylvania. If you tell the company that you have formed a corporation, the company can check the name of your alleged corporation in that database.

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  • Is a person who invests money into an LLC entitled to be paid back if no loan agreement was ever created or signed?

    I am the sole member of an LLC. A friend put money into the LLC. No paperwork was ever created or signed stating that I need to repay this investment. When the LLC filed taxes in 2008, he insisted on being listed as a partner (and is listed as one...

    Karen’s Answer

    I think you need to see a local business attorney who specializes in business disputes. Your investor may be able to claim that you are taking contradictory positions here. If this was an "investment" and not a loan, then what did he get for his investment? He may be able to argue that his investment was to make him a member/partner in the LLC. Since you didn't make him a member, then he may argue that you either didn't comply with the terms of the investment or that it was just a loan. Because you have a problem if he makes either argument, you should take his claims seriously and speak to an attorney.

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  • In order to protect personal assets such as a residence, a Living Trust would have to be established how many years in advance

    in order to protect the assets legally from medicare and or medicaid? Thanks for your help.

    Karen’s Answer

    It depends on what you mean by "protect." The typical trust most people mean when they say Living Trust is a revocable trust, meaning you can revoke it or make changes to it any time. Because of that feature, Living Trusts will not protect your assets from creditors, no matter how long they have been in effect. Usually they will also not be effective by themselves in planning for Medicaid eligibility. (Medicare is not dependent on what your assets are or where they are held-- Medicare is available to almost every U.S. citizen-resident over 65 and some other persons under 65).

    An irrevocable trust can be set up for asset protection or Medicaid eligibility. For Medicaid protection the look back period is 5 years. Consult a local elder law attorney because there may be some techniques in addition to or instead of an irrevocable trust that can plan for Medicaid eligibility during the 5 year lookback.

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  • Llc buyout

    how is an llc's value determined for a partner buyout if there is a defaulting event does this change the payout how much money does it cost the seller to get this information

    Karen’s Answer

    I am assuming that by "defaulting event" you mean an event that is described in the operating agreement that triggers a right to purchase another member's interest. The means of determining the sales price is usually described in the operating agreement. If the operating agreement doesn't provide guidance, the general rule will usually be fair market value. Unless the buyer and seller agree on the fair market value, there may need to be an appraisal by a qualified business appraiser.

    There are tax consequences depending on the purchase price and the structure of the sale. Given the many variables and consequences, you should consult a local business attorney.

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  • In FL, if there is a will do the assets need to go through probate to have property transferred to the surviving spouse?

    The only assets are Tenants in Common Properties. If the Will states all goes to the surviving spouse does this asset need to go through probate in order for the interest to pass to the surviving spouse.

    Karen’s Answer

    I am not licensed to practice law in Florida. However, general principles of probate law provide that a will does not avoid probate. Rather, the will is the set of instructions on how a probate is to be handled unless a provision of the law supercedes those instructions. From the facts you describe, there will need to be a probate.

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  • I am looking for an attorney to write letters on several issues for my business?

    How do I go about finding an attorney with reasonable fees to send letters. I would prepare the letters, just need them sent under an attorney cover.

    Karen’s Answer

    Here on www.avvo.com you can find a number of attorneys under the lawyer search tab. You can search by the type of law the attorney practices (e.g. business) and then view how they charge (fixed fee, hourly, etc.). Asking a question on this forum won't be as efficient as looking in the lawyer search section.

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  • Llc operating manager

    if there was a special meeting of members in an llc and a sole member was voted as operating manager by all members what powers does the member have there is an operating agreement how long would the member hold this duty

    Karen’s Answer

    The operating agreement should provide a description of the manager's duties and authority as well as the term of the manager's position. The operating agreement may provide that the manager's authority is unlimited in some matters, such as signing contracts of a limited value, but limited in other matters, such as selling the company. The operating agreement usually will also provide details as to whether the manager is to serve until replaced by the members or only for a specific period of time. If you don't find the answers you are looking for in the operating agreement, you may want to consult with a local business attorney to help you determine the default provisions of your state law.

    Good luck.

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