There are many things a business owner can do from the get-go to improve their chances of a favorable outcome in the debt collection process. The most important tip is to start out on the right foot. Get a contract before you start work for any client- regardless of how small the transaction may be. Now when I say, get …
What To Do When “Equal Participation” Equals Deadlock
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 …
Non-Competes and Franchise Agreements in New Mexico
I cannot tell you how many franchisees I know come to me a couple years after having signed an agreement desperate to get out of it. Franchisors love to make fantastic promises about growth and potential, but when you look at the fine print, what you’ll learn is they place all the risk on the franchisee – and make it …
Adverse Possession
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 …
Consent & Contracts
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, …
Consideration in Contracts
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 …
Lease to Own Agreements
When it comes to real estate, lease to own agreements sound like a great idea when you may not have a large down payment available, or you are unable to secure a mortgage. Oftentimes, you anticipate the ability to come up with a large down payment down the line, but you want to purchase a property now. If that’s the …
Promissory Notes
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 …
Contract Tip: Understanding the Offer
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 …
Are Non-Compete Agreements Enforceable in New Mexico
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 …
