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Articles Posted in Business Law

Does California Penal Code Section 496 Apply to Business Disputes?
Underwood Law Firm, P.C.

Recently, the California Supreme Court clarified that California Penal Code section 496 applies to business disputes. This is significant as Section 496 outlines penalties for someone who buys or receives stolen property, or property obtained through theft or extortion. (Penal Code § 496.) Of particular concern is 496, subdivision (c), which allows triple damages and…

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What is the proper venue for a trust (Probate Code section 17005)?
Underwood Law Firm, P.C.

Anytime a litigant wants to file a lawsuit, a threshold question is where the lawsuit should be filed. Specifically, the question is what county should get to hear the action. This process is called determining “venue,” and it can become quite a complicated endeavor. This is because the “correct” county for action will depend on…

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What is a Civil Harassment Restraining Order? (Code of Civil Procedure section 527.6) 
Underwood Law Firm, P.C.

A Civil Harassment Restraining Order is a type of restraining order used in California to stop a person from harassing or threatening another. However, the requirements for a civil harassment restraining order are slightly different than a typical restraining order. Essentially, a civil harassment restraining order is for the purpose of providing protection to a…

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When is it ‘unpracticable’ to continue a partnership? (Corp. Code § 16801(5))
Underwood Law Firm, P.C.

Partnerships are incredibly common business entities that many Californians enter on a regular basis, often to acquire and develop real estate over many years. Unfortunately, many fail to get off the ground, as mismanagement, poor spending, and bickering derail what may have been promising ventures. In these instances, a single partner can apply to have…

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What are the steps to dissolve a partnership (Corp. Code § 16801)?
Underwood Law Firm, P.C.

Partnerships are incredibly common business entities that many Californians enter on a regular basis, often to acquire and develop real estate over many years. But even the most successful arrangements must come to an end. Unfortunately, more often than not, the dissolution procedures “unwind” what may have been a series of cordial and respectful relationships…

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Are Attorneys’ Fees Available as Contract Damages? (CCP § 3300)
Underwood Law Firm, P.C.

Attorney’s fees are those fees owed by a client to an attorney who performed legal services on behalf of the client. In some cases, a court may order the losing party to pay the attorney’s fees of the other party. Whether attorney’s fees are available as damages depends on the nature of the action. In…

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How do you enter judgment on an arbitration award? (CCP § 1285)
Underwood Law Firm, P.C.

If the parties consent to arbitration, they decide to settle their dispute outside the confines and strict procedure of courtrooms. That said, arbitration awards are not automatically court judgments just because they resolve legal claims. On the contrary, arbitration awards are just contracts between parties and are not independently enforceable under the law. For that…

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What is a Joint Venture? (April Enterprises, Inc. v. KTTV (1983) 147 Cal.App.3d 805)
Underwood Law Firm, P.C.

In California, business enterprises can take many forms (LLCs, corporations, partnerships, etc.). But perhaps the most unique is the “joint venture,” a special entity that, more often than not, is imposed by courts as a matter of law. This is because a joint venture is simply an “undertaking by two or more persons jointly to…

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How do you create a partnership? (Corp. Code § 16101)
Underwood Law Firm, P.C.

The way a business is conducted depends on the entity used to conduct it. There are several entities one can form in order to conduct a business. One common entity used to conduct a business is a partnership. The formalities for creating a partnership are dependent on what type of partnership a person decides to…

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Is Reverse Veil-Piercing Permitted in California? (Postal Instant Press, Inc. v. Kaswa Corp. (2008) 162 Cal.App.4th 1510)
Underwood Law Firm, P.C.

No. In California, individuals often hide behind “corporations” that consist of a single shareholder. In so doing, they protect themselves from liability by utilizing a corporate form. This can be especially frustrating in lawsuits. Often, a plaintiff will receive a judgment in their favor, only to find the corporation they’ve sued has magically become bankrupt,…

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