Mary Goodblood grew up believing that she was the only daughter of Cash Goodblood. One day, 25 years after Cash died, and to no one’s surprise after the lucrative sale of the Goodblood family business was plastered on the front page of the local newspaper, Mary received a Facebook message from a woman named Désirée that said “Hi, I think your Dad is also my Dad. Do you want to exchange DNA?” After doing some research, Mary discovered that Désirée’s mom, Candy Onenight, had a very brief relationship with Cash long before Cash and Mary’s mom married. What should Mary do? If Désirée can first prove paternity – that Cash is her biological father – does she have a legitimate claim to share equally with Mary in Cash’s trust created from the sale of the Goodblood family business?

Continue Reading Illegitimate Heirs – Trust Language: “Hi, I Think Your Dad is also My Dad” – Part 2

Mary Goodblood grew up believing that she was the only daughter of Cash Goodblood. One day, 25 years after Cash died and ironically after the lucrative sale of the Goodblood family business was plastered on the front page of the local newspaper, Mary received a Facebook message from a woman named Desiree that said “Hi, I think your Dad is also my Dad. Do you want to exchange DNA?” After doing some research, Mary discovered that Desiree’s mom, Candy Onenight, had a very brief relationship with Cash long before Cash and Mary’s mom married. What should Mary do? Despite the fact that Cash is not listed as the father on Desiree’s birth certificate, does she have a legitimate claim to any of the Goodblood family wealth?

Continue Reading Illegitimate Heirs – Paternity: “Hi, I Think Your Dad is Also My Dad” – Part 1

Notice to tenant for eviction inside brown envelope and face mask on top.The Center for Disease Control’s (CDC) Eviction Moratorium confirms President Reagan’s quip that a government program is the “nearest thing to eternal life we’ll ever see on this earth.” As explained in my prior post, the CDC issued an order in September 2020 “temporarily” halting residential evictions , reasoning that it was necessary to combat the spread of the coronavirus (COVID-19). That moratorium was originally set to expire on December 31, 2020, but Congress extended it by one month. Before that congressional extension expired, the CDC—now acting under the Biden administration—twice extended the moratorium, with the latter extension due to expire on June 30, 2021.

After repeatedly stating that he lacked the authority to extend the Eviction Moratorium again, President Biden caved into pressure from progressive Democrats and did exactly that earlier this month. The President doubted that the new extension would pass “constitutional muster” but was hopeful that the legal challenges would provide more time to distribute congressional funds for rental assistance.

Like the prior versions, the latest version of the Eviction Moratorium generally prohibits the evictions of a residential tenant who expects to earn $99,000 or less in 2021 (or $198,000 if filing jointly) and signs a declaration stating that he or she has lost income, applied for government assistance, and would likely become homeless or forced to move into a more crowded living situation if he or she was evicted. But, unlike prior versions, the latest one does not ban evictions nationwide. Instead, it applies in counties that are “experiencing substantial or high levels of community transmission of [COVID-19].” This latest version is set to expire on October 3, subject, of course, “to revision based on the changing public health landscape.”

The upshot is that the Eviction Moratorium is in effect for over 90 percent of the country and nearly all counties in Texas. Check this map to determine whether it applies to your property. The courts, however, are split on whether the Moratorium is legal. The Supreme Court has not ruled on it yet, but there are strong indications that most of the justices believe that the CDC lacks the authority to halt evictions. Here’s what you need to know about the latest extension:
Continue Reading The CDC’s New Eviction Moratorium Extends the Uncertainty for Landlords and Tenants

child with sparkler and lighter

Andy Taylor’s seven-year-old son, Opie, discovers the fireworks that his father had purchased for Independence Day. He begins shooting them in a field behind their house. But Opie fails to extinguish one of the matches, which sets fire to the arid grass. Opie attempts to stomp it out but is unsuccessful. Terrified, he flees. The blaze continues to grow, spreading across the field to a nearby lumber yard. The fire consumes—and destroys—the lumber yard. Its owner looks to hold someone responsible, but is keenly aware that little boys lack the assets necessary to satisfy any judgment rendered against them. So the lumber yard’s owner considers suing Andy instead. Is Andy liable for his son’s negligence?
Continue Reading Blame the Parents: Liability for Children’s Torts

Female legs with 2 arrows and question mark, painted on the asphalt.On Father’s Day, Morgan Bux celebrated with her dad Big Daddy Bux and asked him to team up with her to buy the fast-growing Green Earth Air Conditioning and Heating, LLC in Buda from the Green Earth retiring owner Gaia. Morgan suggested to Big Daddy that he invest her inheritance in Green Earth and work with her to grow the business as part of his own retirement and estate planning. Big Daddy’s tax and estate planning lawyers outlined a plan. Morgan’s business consultant recommended the formation of a Green Earth advisory team to support her after the purchase and developed a long-term plan for management growth and business expansion. To complete the purchase, should Morgan buy the assets or Gaia’s membership interest in the Green Earth limited liability company? Often buyers would rather purchase the company’s asset while sellers prefer to sell the stock / membership interest in the entire company. Why is that? What would Morgan and Big Daddy prefer?
Continue Reading Buying Daughter a Business – Assets or Stock?

Yellow metal sign.Angelica Bux and her son Duke own a fast-growing, family business Blue Skies Air Conditioning and Heating, LLC in Cotulla Texas. Angelica plans to retire by selling Blue Skies to Duke to fund her retirement.  Their business consultant developed their near-term plan to expand and maximize their business’ value. More recently, their tax and estate planning lawyers outlined an effective tax transition plan and the formation of a Blue Skies’ advisory team to support Duke’s management after the sale. To complete the purchase, should Duke buy the assets or Angelica’s membership interest in the Blue Skies’ limited liability company? Often buyers prefer to purchase the company’s assets, and sellers would rather sell the entire company. Why is that? Does an inter-family sale affect their decision?
Continue Reading Selling Mom’s Business – Asset or Stock Sale?

Defaulting renter with facemask receives letter giving notice of eviction from home on wooden tableDrake Goodman and Patty Palmer lease a studio apartment to Carter Haynes. But Haynes has not paid rent since last May, when the shelter-in-place orders caused his fledging restaurant to go out of business. While sympathetic to Haynes’s plight, the loss of rental income has severely damaged Goodman and Palmer’s own finances, and they are growing increasingly desperate. Can they evict Hayes? Should they?
Continue Reading CDC’s Eviction Moratorium: Legal Limbo for Landlords and Tenants

open sign on business door

Reeling from months of governmental orders that required all restaurants to close their doors, Chez Quis was elated to re-open and welcome back its diners, even at a reduced capacity. But elation quickly turned to despair when Chez Quis learned that one of its longtime customers, Abe Froman, had sued the restaurant for allegedly contracting the coronavirus (COVID-19) while dining there. Has Chez Quis jumped out of the frying pan and into the fire?
Continue Reading Stay Shut Down or Be Sued? The Risk to Your Business from COVID-19 Premises-Liability Claims

laptop with envelope handshake

Before the pandemic, Ernest Bux’s niece Chit Bux signed a lease with Iona Mall in an upscale strip shopping center and hired a contractor to build out her dream business – a beauty salon “Cuts & Fluffs.” When Dallas County ordered businesses to shutter last spring, Chit’s “essential business” construction on her salon continued toward meeting the originally scheduled July 1st opening date – perhaps the worst time to open a high-touch, close-quarters beauty salon. Having dealt with other unsuccessful startups in that same space, Iona needed Cuts & Fluffs to succeed; Chit needed a different opening date – much later when people were less fearful of crowds. Chit called Iona, her contractor and her banker who was shepherding her SBA loan. Can Chit work something out with Iona without completely modifying her lease?
Continue Reading Can an Email Exchange Modify a Lease?

Tiger cubDriving through Oklahoma recently and watching Tiger King of late, Ernest “Big Daddy” Bux was intrigued that they are apparently 5,000 to 15,000 tigers in the United States and only 3,500 in the “wild.” Hearing that an 8-12 week old cub offered for “cub petting” in a roadside petting “zoo” could pay back over $1 million, Big Daddy decided that his Big Bux Ranch was big enough to add a roadside business and raise pet tigers. Does the State of Texas permit Big Daddy to keep pet tigers? Does Big Daddy have any liability for keeping them?
Continue Reading Tiger King 2.0: Is a Texas Roadside Zoo Permissible?