Business is More Exciting Than Any Game

Fraud in the inducement is a tort that is based on a fraudulent misrepresentation made by one party to a contract that the other party reasonably or justifiably relies upon to its detriment. But what if the party to a contract that is allegedly injured by a false statement made by the other contracting party has agreed in the contract that it is not relying on any representation made by the other party. This kind of clause is sometimes called a no-reliance clause or a "big boy" clause. Today's episode is part of a series entitled "Stronger than Oak!" The "Stronger than Oak!" series is focused on contract issues. This episode discusses fraudulent inducement and no-reliance clauses and whether they are or might be enforceable in the right circumstances in Tennessee.

One of the most unsettling things that can happen to any business is to find itself the subject of an IRS audit. You're sorting your mail, and you stop when you see an envelope containing the tell-tale signs that it is a letter from the IRS. With shaking hands, you open the envelope only to find a notice that your business' tax return for a recent year is under examination by the IRS. Yikes! Your day just went from sunny to rain. What's the first thing you should do when you get that dreaded IRS audit notice? Listen to this episode of Business is More Exciting Than Any Game to get some helpful tips on what your next steps should be.

It is imperative that small businesses are both careful and thorough in their tax analysis before they classify their workers as either employees or independent contractors. Because the stakes are exceedingly high, and the IRS is aggressive and proactive when it comes to worker misclassification audits of small businesses. So, today, Einstein's Theory of Taxability focuses on just what steps all small businesses should take to ensure they've done their due diligence in properly classifying their workers--on the front end, before a problem arises. But if a problem does arise, and the IRS comes calling, there may be hope if the business can qualify for what is called "Section 530" relief. The specific requirements for Section 530 eligibility are discussed. If you've enjoyed the podcast, please leave a rating and review on Apple Podcasts or wherever you get your favorite podcasts. You can learn more about DPS Legal Counsel at its website: https://dpslegalcounsel.com Again, thanks for listening!

Taxpayers who seek to claim deductions for ordinary and necessary expenses paid or incurred in carrying on a trade or business or for the production or collection of income or for the management, conservation, or maintenance of property held for the production of income must show a profit motive. Without a profit motive behind the activity, in general, a taxpayer is barred from claiming deductions for activities not engaged in for profit under Section 183(a) of the Internal Revenue Code. The big issue is whether an activity is a trade or business (or one for investment) or is rather merely a hobby. A recent Tax Court case illustrates the difference between a profit motive and a hobby.  

The USPTO's Trademark Trial and Appeal Board issued a decision recently in a case involving a trademark application for the word mark "Purple Rain" in connection with an energy drink, filed by a company unrelated to the late performer, Prince. Prince's estate filed an opposition to the trademark based on the proposed trademark creating a false suggestion of a connection to Prince. In a fascinating decision, the TTAB agreed with Prince's estate and so the opposition to the proposed trademark registration was successful. Today's episode of Business is More Exciting than any Game discusses what business entrepreneurs can learn from this decision.

LLCs are probably the most popular choice for a business entity for small businesses to operate in the U.S. Many LLCs only have a single member, but many more have multiple members. One of the inevitable events in life is death. So, what happens to an LLC when one of the members dies? There are consequences to the LLC itself, to the other members, and the family of the deceased member. This podcast discusses the importance of taking the inevitability of death into account at the beginning of an LLC.

Business deals and transactions often start with what is known as a "letter of intent." Other names for this foundational business document is a "memorandum of understanding" or a "term sheet." But what is a letter of intent really? And more importantly, is it a binding contract? Listen to today's episode of Business is More Exciting Than Any Game to learn more.

Trademarks are among a business' most valuable and important assets. But before a business rushes to file a trademark application without thinking of the problems that could ensue, businesses should always take 3 key steps before starting the trademark application process. In certain specific cases, a 4th step may be called for. These steps to take before filing a trademark application with the U.S. Patent and Trademark Office are discussed in detail in this podcast. This is an important podcast for all businesses that want to protect their valuable trademark assets without causing themselves unnecessary problems down the road.

If you're in the process of picking a flagship trademark for your business or professional practice, then you need to understand the degrees of distinctiveness of various types of trademarks and why that is important to you and your business. Listen to today's podcast episode to learn more about trademarks that are generic, descriptive, suggestive, arbitrary or fanciful (and why it matters to you).

Some of a small business's most valuable assets are its intellectual property, including its trademarks. But careless trademark licensing can put a business's trademarks at risk. Without a proper measure of quality control over the goods and services sold by a trademark owner's licensees, the trademark owner jeopardizes the validity of its trademarks. Listen to today's podcast episode to learn more about avoiding a trademark abandonment through careless trademark licensing.

Entrepreneurs and small business owners (particularly those whose business involves content creation) need to know the basics of copyright registration. Listen to today's podcast to learn more.  

On April 14, 2020, the Small Business Administration published a new Interim Final Rule that provides helpful guidance for self-employed individuals who operate businesses as sole proprietors. The new SBA Interim Final Rule explains how much a self-employed person who operates a business but who reports his or her net self-employment income on Schedule C of Form 1040 is eligible to borrow under the Paycheck Protection Program. The new Rule also explains how much that self-employed borrower can "pay" himself or herself with the loan proceeds as replacement compensation and also how much of the loan can be forgiven and what type of documentation will be required to qualify for loan forgiveness. Finally, the new Interim Final Rule clarifies the type of documentation an applicant for a PPP loan who is a self-employed person must provide to the bank in order to qualify for a PPP loan. This podcast episode discusses how a self-employed business owner with no employees can document his or her PPP loan application, how much the borrower is eligible to borrow under the program, how much the borrower may wish to borrow, and how loan forgiveness works.

Entrepreneurs who pursue their business dreams through online retail sales, whether their goods are tangible products or digital information downloads, MUST understand the concept of "economic nexus" in order to avoid a potential sales tax problem down the road. Listen to today's episode to learn more.

With much of the country on lockdown at present due to the COVID-19 pandemic, small business owners may be thinking of ways to prepare their businesses for a strong recovery once the lockdowns end. But what can business owners do from home to prepare for the future? Well, one thing that can be done is to look into whether the business might want to start the ball rolling on protecting a trademark that is expected to come online in the future, at some point after business gets back to the normal. Today's podcast discusses Intent to Use Trademarks, and why now may be a good time to look into increasing a small business' portfolio of protected trademarks for the time when business gets cranking again and the business may want to start marketing products and services with one or more fresh trademarks.

Many businesses are founded and operated by equal co-owners. But what if there is a dispute about a significant business decision? How can it be handled when each of the owners has an equal ownership interest and vote in the business? And what happens to a business where there is a deadlock between the co-owners? Businesses with two owners who each have a 50% ownership interest must confront this issue head-on. This podcast discusses the problem that sometimes arises and how businesses can deal with it at the outset by including specific provisions in their operating agreements.