View Post

What To Do When “Equal Participation” Equals Deadlock

In Contracts by Joseph TurnerLeave a Comment

Absent language to the contrary in an Operating Agreement, “equal participation” means all partners have equal rights and authority to participate in the management of the business. This means each partner has one equal vote when it comes to decision making. Obviously, this can get tricky when you have an equal number of partners. So, what do you do when …

View Post

“Garden Clause” vs. a Non-Compete

In Contracts, Non-Compete Agreements by Jake GoldsmithLeave a Comment

A garden clause and a non-compete clause can both be valuable tools for a company, and they are somewhat similar, so they are sometimes confused. Both clauses concern an employee who is leaving the company, but there are some fundamental differences between the two. What is a Garden Clause? A garden clause typically provides for a notice period for termination …

View Post

Adverse Possession

In Contracts, Dispute Resolution by Kameron KramerLeave a Comment

When I purchased my home, my neighbor’s hot tub was situated on my property line.  I went ahead and closed on the purchase of my home (20 years ago) with the hot tub sitting on my property and forgot about it.  I am now concerned that when the time comes that I want to sell my house, or my neighbor …

View Post

Consent & Contracts

In Contracts by Larry DonahueLeave a Comment

Consent is an important element to a contract.  It is required by both parties that are entering into a contract.   Consent happens when the parties named in the contract acknowledge that they agree with the terms outlined in the contract. While consent is required for a contact to be binding, there are instances when consent or the lack there of, …

View Post

Consideration in Contracts

In Contracts by Kameron KramerLeave a Comment

We all know that business deals involve careful consideration of company finances, risk, and potential gain. But the contracts underlying those deals involve another form of consideration—something that demonstrates each party has a stake in the outcome. In fact, contracts are only legally binding if there is consideration (along with an offer and acceptance, as discussed in previous blogs). In …

View Post

Promissory Notes

In Contract Disputes, Contracts by Kameron KramerLeave a Comment

Promissory notes can be helpful in so many different situations, but what exactly are they and what do you need to look our for when dealing with them?  In it’s simplest terms, a promissory note is an IOU.  It includes the terms of the agreement, specifically the amount owed, how and when it is to be repaid, and default terms.  If you’ve ever …

View Post

Contract Tip: Understanding the Offer

In Business Tips, Contracts by Larry DonahueLeave a Comment

Contract law can be a confusing mess, especially for busy business leaders. It pays, however, to know some of the basics of contract law in running a business. Such basic knowledge will help avoid potential liability or disaster down the road. If you don’t already know what a contract is, it is a “bargained for exchange of value” between two …

View Post

Are Non-Compete Agreements Enforceable in New Mexico

In Non-Compete Agreements, Trade Secrets by Larry DonahueLeave a Comment

The quick answer is “yes,” provided they are “reasonable” and provided they do not restrict certain professions that are statutorily protected. It can be difficult for a business to gain a competitive advantage over their competition. Many successful companies rely on trade secrets to create a product or service that is better for consumers than a competitor’s, but if an …