In recent months we have discussed litigation funding, specifically covering what litigation funding entails, whether such agreements are legal in different jurisdictions and the ethical issues surrounding litigation funding agreements. There’s an opportunity to continue the conversation as we keep a close eye on the Texas Legislative Session, just as we did last month with a recap of bills related to civil litigation. Members of the Texas House and Senate introduced bills relating to the disclosure of litigation funding in state court lawsuits. Continue Reading Could Litigation Funding Disclosure Be Coming to Texas?
Continuing to deliberate about when and how to exit from his family business, Big Daddy Ernest Bux, 65, considers yet another task on his checklist: Determine Exit Strategy. He’s already Identified Successors and Decision Makers, and Planned for Contingencies. Yet to be tackled are Establish Goals, Plan Entity Structure and Transfer, Complete Estate Planning, and Implement Document Maintenance and Control. Asking his banker last week about a new loan to expand his business, Big Daddy learned that his banker cannot give him a business loan without seeing a complete exit plan. How is an exit strategy different from last month’s thoughts on identifying successors? Continue Reading Family Matters: Can a Family Business Succeed Without a Written Exit Plan?
Realizing that at 65 it’s time to talk about succession of his family business – especially Buxboro State Bank, Big Daddy Ernest Bux identified his checklist: Identify Successions, Identify Decision Makers, Plan for Contingencies, Establish Goals, Plan Entity Structure and Transfer, Complete Estate Planning, Determine Exit Strategy, and Implement Document Maintenance and Control. To succeed, what does identifying successions and decision makers look like for Big Daddy’s family business?
The 86th Texas Legislative Session has been in swing for almost two months, so we thought now would be a good time to highlight some proposed legislation relating to civil litigation that may affect your business.
What if my Opponent Files a Claim in Arbitration After the Statute of Limitations Expires? Continue Reading Litigation-Related Legislative Bills that May Affect Your Texas Company
Realizing last month that, at age 65 he’s ready to think about his family business succession plan – especially for Buxboro State Bank, Big Daddy Ernest Bux identified his checklist: Plan for Contingencies, Establish Goals, Plan Entity Structure and Transfer, Complete Estate Planning, Identify Decision Makers, Identify Successors, Determine Exit Strategy, and Implement Document Maintenance and Control. Must Big Daddy’s family business have a contingency plan for divorce to succeed? Continue Reading Family Matters: Can a Family Business Succeed Without a Contingency Plan for Divorce?
This is the third installment in a series on litigation funding. The first article provided an overview of litigation funding. Last month’s installment focused on the legality of litigation funding. This article concentrates on potential ethical issues associated with litigation funding.
Should Courts Require Disclosure of Litigation Funding Agreements?
Finishing a best-year-ever 2018 and being questioned daily by his second wife Anna Nicole about making her children officers and owners of the family business Buxboro State Bank, Big Daddy Ernest Bux concludes, at 65 years old, that it’s time to think about a family business succession plan. What should Big Daddy do? Is he likely to succeed? Continue Reading How can a Family Business Succession Plan be Successful?
After several months of telling family and friends that his wedding venue business on Big Bux Ranch was for sale, Jeff Bux is contacted by his biggest competitor Hustler Plentee who also owns a wedding venue in the next town south of Buxboro. Hustler asks if Jeff will tote-the-note because his credit is maxed out at Buxboro State Bank, which is owned by Ernest “Big Daddy” Bux. Wanting to avoid a broker’s fee and an attorney’s time, and hoping that he might be able to get a job at the Bank, Jeff – uncharacteristically – asks his father for advice to help him sell it himself. Can Jeff sell his own business? If you were Big Daddy what would you say? Continue Reading Should an Owner Finance the Buyer of Their Business?
Earlier this year we covered how Jim Duncey, the majority owner and face of Duncey’s Caps, Inc., was involved in a car accident and arrested for DWI. While the company survived the initial PR crisis, its bottom line did not. Retail sales during the following quarter were down 20 percent. One of the Duncey’s major commercial customers also terminated its contract that produced $3 million in revenue annually. Things are so dire that the company is considering laying off half of its workers. But Duncey’s outside counsel is confident that the major commercial customer does not have the authority to terminate the contract early, and is lobbying Duncey’s to file a lawsuit that could result in $10 million in damages. Outside counsel advises Duncey’s that the commercial customer has enough assets to satisfy a judgment. But Duncey’s board is concerned that it cannot afford the cost of long and protracted litigation. The Board knows that the commercial customer will hire the best law firm in the country to defend the case. Duncey’s outside counsel suggests Duncey’s uses a litigation funder who will cover the law firm’s fees and the litigation expenses. What factors should Duncey’s Board consider when deciding whether to use a litigation funder? Continue Reading Could Corporate Litigation Funding Change Lawsuits?