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Los Angeles Business Attorneys Offer a Brief Overview of Unfair Business Practices

Posted on Saturday, May 11th, 2013

Nearly every business owner has heard of the term “unfair business practices,” but what exactly does it mean?  We know that for the most part, companies and corporations operate in a manner that is honest and open; however, there are many businesses (in fact, more than you might think) that do not adhere to such standards.  Ultimately, when another company has no scruples and stoops to practices that are deceptive, it can be harmful to the success of your business, and even your future.  These harmful or deceptive practices are what are often referred to as unfair business practices.

Some examples of this include any act that would be considered unconscionable, and which could affect either business partners, consumers, or both such as misrepresentation, competition that is considered unfair, even fraud.  Perhaps a company has falsely promoted a product, claiming that it offers a certain benefit or contains a “magical” ingredient.  One business may engage in misrepresentation to disparage the services or products of another company.  Many people can be affected by these deceptive or unfair practices, including someone who pays for services that were rendered, an individual who buys products or goods from a company, even someone who works with a business in an advertising or promotional capacity.

The fact is, a business owner and his or her business can be put in a very precarious situation when another business practices in a way that is unfair; your company’s success could actually be in jeopardy.  Considering the competitive nature in many industries today, some participate in unfair business practices in order to get ahead, or literally try to harm a competing company’s reputation or brand.  However, a Los Angeles business lawyer can review the situation to determine if legal action should be taken.  At the Law Offices of Spotora & Associates, we are dedicated to helping business owners find the best resolution to the situation, and recognize the serious issues that can arise out of unfair business practices.

Business Dispute Arises Out of Soap Drama

Posted on Monday, May 6th, 2013

Soap opera buffs have no doubt heard the recent news that two long-running soaps, All My Children and One Life to Live, are back.  However, recently there has been a bit of “drama” going on behind the scenes that has resulted in Prospect Park filing a lawsuit against ABC for breach of contract.  According to news reports, ABC is being sued to the tune of $25 million for damages.  ABC allegedly borrowed characters from One Life to Live, and killed off two characters from All My Children, ultimately going beyond the parameters of the two companies’ agreement.

Before making any dramatic adjustments to storylines, ABC was to review these changes with and get approval from Prospect Park.  Additionally, ABC reportedly will not release URLs for the two soaps which is preventing Prospect Park from giving fans of the shows an opportunity to watch the soaps online before their re-launch.  The production company says that avid fans should not worry whether the re-launch of the programs will be delayed, however what’s on the mind of many people is why ABC has given the production company such a hard time.  Prospect Park believes that the television network is hoping to see the production company fail in the re-launch of the two popular soap dramas.

According to the Huffington Post, tension has been mounting for quite some time between ABC and Prospect, who contends that the production company gave permission to ABC to “borrow” characters from One Life to Live who would appear on General Hospital for a limited time.  The gist of the story was that these seven actors would be able to remain employed by portraying characters on GH while Prospect was ramping up for production of the online versions of AMC and OLTL.  Ultimately, Prospect Park is suing for breach of contract, saying that they did not get what they paid for, and that ABC did not deliver on their promise, that the television network engaged in egregious conduct.  It has also been alleged that ABC failed to transfer ownership of Allmychildren.com and Onelifetolive.com to Prospect.

As skilled Los Angeles business attorneys, we can only imagine how dramatic this lawsuit is likely to be; how it turns out is sure to be of interest to many.  We urge companies involved in contract disputes to contact our business law attorneys today for exceptional legal guidance and representation.

Dispute Between AMC, Disney Over Movie Proceeds Resolved

Posted on Tuesday, April 30th, 2013

On Thursday April 25, a dispute between the second-largest cinema chain in the nation, AMC Theatres, and Walt Disney was resolved.  With the highly anticipated release of Iron Man 3 this summer, Disney put up a fight, saying they desired a 3 percentage-point increase in the share of ticket sales proceeds.  While the terms of the deal between the two companies were not disclosed, an agreement was reached according to the Wall Street Journal.

Some have wondered whether the dispute would result in AMC Theatres being the only one offering Iron Man 3 up on its screens; Disney’s desire for more revenue from the sale of movie tickets has caused several large movie theater franchises across the U.S. to delay putting tickets on sale in advance.  On Thursday, Disney also reached an agreement with Regal Entertainment Group, the largest theater chain, and Cinemark Holdings over how revenues would be divided on upcoming movies.

According to the Wall Street Journal, Disney sent out a letter to theater owners requesting an increase in the shares at the box office approximately two weeks ago; this increase would amount to three percentage points.  News articles claim that Disney’s Marvel superhero franchise and upcoming re-launch of Star Wars emboldened Disney studio to make the move.

Iron Man 3 is scheduled to be released in theaters on May 3.  In pre-release surveys that have been conducted, it is expected that the superhero movie will rake in more than $100 million the opening weekend.

The Los Angeles business litigation attorneys at Spotora & Associates expect that the release of the movie next weekend will be well-covered by the media.  Hopefully all parties involved will now be satisfied with the percentage of revenues they receive.

Los Angeles Business Attorneys Highlight Employee Cyber Crime – and How to Fight It

Posted on Wednesday, April 24th, 2013

As in-the-know Los Angeles business attorneys, we know that the problem of employees committing cyber crimes is growing every year.  A single hacking attack implemented by an employee of Sony in 2011 cost the company more than $170 million.  Online businesses lose up to $7 million each day because of hacking according to the estimates of Richard Power, Computer Security Institute director.

Current or former employees commit most of these cyber crimes, which puts employee data, proprietary trade secrets and private client information at risk.  Thankfully, there are many tools that allow companies to take a proactive approach to these crimes.

Thoroughly screen potential employees. While this seems like a basic step, it is critical that you conduct a thorough screening of potential employees; this is a time when problems may be identified early on.  Look for the applicant’s reasons for leaving prior employers, and gaps in their work history.  Don’t just look at the individual’s references – actually CHECK them.

Have a security expert conduct an IT audit. Techniques related to hacking and other cyber crimes are evolving at a rapid pace.  In fact, an employee who is skilled could hack into your system in just minutes, gaining access to a substantial amount of private and confidential information.  Have audits performed by an IT expert on a regular basis.

Have an IT professional work with you to implement effective monitoring. An information technology expert can work with you to develop monitoring procedures that are beneficial for your business and environment.  Computer backup systems, remote monitoring of screens, and other procedures can work to prevent cyber crimes, or help contain the evidence should an employee hack into your system.  However, before you implement monitoring options you will want to consult an experienced Los Angeles business attorney to ensure that you won’t face legal issues down the road.

Notify employees that you have monitoring procedures in place. It is critical that you advise your employees that they should not expect privacy at work, and that you have the right as an employer to inspect voicemails, emails, computers and other property that belongs to the company.  Be sure that your employee handbook clearly outlines privacy policies, and the fact that any and all data regarding clients or you as an employer is strictly confidential.  In letting your employees know that they are being monitored, you will likely find that the odds of hacking or other cyber crimes decrease substantially.

It’s also important to encourage all of your employees to alert the company if they suspect misconduct in other employees.  Give them very clear instructions on how to go about this; you may even want to consider an anonymous way of reporting misconduct, so that employees are not reluctant to report their concerns.

At the Law Offices of Spotora & Associates, we understand that in a highly technical world where nearly every business has an online presence, risks are ever present.  As an employer, don’t let your company be the victim of cyber crime.

Los Angeles Business Attorneys Talk About Partnership Disputes

Posted on Wednesday, April 17th, 2013

As a business grows and evolves, some other the responsibilities, benefits and rights of those who are partners in the business can change, just as the business does.  It is critical when a business partnership is formed that these responsibilities, benefits, and rights are clearly set forth, so that all involved are clear on how each is working toward the common goal of all partners.  However, much like a marriage, sometimes things change, and one or more partners may feel that others are not living up to his or her end of the bargain.  Attitudes may change, as well as various aspects of the business itself.  Eventually, a dispute or disagreement may come about that places the viability and future of the business in jeopardy.

What are some of the common causes of partnership disputes?

Partnership disputes can arise out of issues within the business itself, or personal problems of particular partners.  Some of the issues that can arise in the business often relate to business debt, expansion, financial arrangements, retirement issues, employment problems, profit sharing, or the direction the company is going in.

Personal issues that may arise and cause a dispute or disagreement between partners include divorce, personal finance problems, marriage issues, injuries, illnesses, and more.  When a dispute arises,, it is important that partners come up with the most effective solution so that the result of the dispute is not the dissolution of the business.  While our Los Angeles business lawyers are skilled litigators, we believe that in cases involving partnership disputes, mediation may be a good alternative.

Why mediation?

Courtroom litigation is generally expensive, and in cases involving partnerships should usually be a last resort.  Mediation makes it possible for partners to remain in control of the situation and the results, while an impartial third party provides his or her ideas and suggestions for sorting out the issue in a somewhat friendlier environment.  A mediator can evaluate the situation, and hopefully help partners with amending agreements so that changes are reflected to all partners’ satisfaction.

At the Law Offices of Spotora & Associates our Los Angeles business attorneys are highly skilled in all business matters including partnership disputes, contracts, agreements, and mediation/litigation.

California Shoe Maker Sues Under Armour for Alleged Trademark Infringement

Posted on Tuesday, April 9th, 2013

Last month, Pacoima-based Gravity Defyer filed a claim against Under Armour Inc. in U.S. District Court alleging trademark infringement.  Gravity Defyer claims that Baltimore-based Under Armour knowingly used Gravity Defyer’s mark and name on its running shoes.

According to the claim filed in the Central District Court of California on March 14, the Gravity Defyer federally registered “G Defy” name and trademark have been infringed upon by the Micro G Defy running shoes manufactured by Under Armour.  The company goes on in the complaint to say that Under Armour purposely and knowingly used the company’s mark to draw attention to their product, and is asking the court to require that Under Armour not use the phrase “G Defy.”  Gravity Defyer is also seeking monetary damages in the suit, although an amount was not specified.

Gravity Defyer senior vice present and CFO Paul Coleman said in a statement printed in a news article at Baltimore Business Journal that “Our brand identities are a reflection of the promises we make to consumers every day.  Trademarks are an extension of that promise.”

In a March 25 press release, Gravity Defyer claimed that Under Armour purposely created a product name that sounds like Gravity Defyer’s own in an effort to mislead consumers who shop online through the use of social media, search engines, and other outlets.

Under Armour is a fairly well-known company, and it seems no stranger to lawsuits involving trademark infringement.  In February, Under Armour file a trademark infringement claim against sportswear giant Nike for allegedly infringing upon its slogan “I Will.”  The company also filed suit against BodyArmor Nutrition LLC of Beverly Hills in April of 2012, based on the use of the “Protect + Restore” phrase, the company’s name, and an interlocking logo.

The Law Offices of Spotora & Associates provides vigorous, effective legal representation for companies involved in business disputes including copyright and trademark infringement, breach of contract, unfair competition, theft of trade secrets, online disputes and more.  Contact our Los Angeles business litigation attorneys today for outstanding results.

Goth Rocker Arrested for Alleged DUI and Other Charges, Pleads Not Guilty

Posted on Monday, April 1st, 2013

Peter Murphy, lead singer of Goth group Bauhaus, pleaded not guilty on March 19 to charges of DUI, hit and run, and meth possession.  Murphy’s attorney, Robert Wilson, entered the plea for his client, who did not appear in Los Angeles County Superior Court.

Murphy allegedly fled to Los Angeles after rear ending a vehicle in Glendale.  According to news reports at the Glendale News Press, an eyewitness to the alleged crime blocked Murphy’s Subaru until police arrived.

Known as the “Godfather of Goth,” Murphy was placed in jail after being arrested by Glendale police on suspicion of DUI causing injury, possession of meth, and felony hit-and-run; he was held in lieu of $500,000.  The Goth rock movement is said to have been ignited by Bauhaus, a well-known group that recorded four albums over the span of the group‘s career.  Murphy is a native of Britain, and has a residence in Turkey.  While Judge Frederick Rotenberg did release Murphy on his own recognizance, he barred the musician from driving under “any condition” and from driving anywhere at all without permission from the court, because prosecutors feel Murphy may be a flight risk.

Initial news reports claim that the crash in which Murphy allegedly rear-ended another vehicle took place in Glendale at Goode and Central Avenues.  The individual who followed Murphy from Glendale to Los Angeles and blocked him in until police arrived said that he was afraid that Murphy’s driving may kill someone, according to Glendale police.  Murphy was said to be driving a Subaru Forester; the vehicle he allegedly rear-ended was a Mercedes.

Police said that Murphy denied he had been drinking alcohol the day of the accident, and that he had taken prescription depression medication.  Officers did not find the bag containing what they believed to be methamphetamine until they got inside the Los Angeles police patrol car where Murphy was detained.  Officers believed Murphy was attempting to get rid of the bag in the patrol car, although the defendant denied it belonged to him.

Los Angeles DUI attorneys know that while driving under the influence is one of the most common criminal offenses people are arrested for, it’s also one of the most difficult to defend.  These cases are often complex, and require the skill and experience of a capable lawyer who can successfully navigate the legal system and obtain a positive outcome.

While the Law Offices of Spotora & Associates do not condone driving after consuming alcohol or illegal substances, we do know that the punishment handed down is often far more severe than the actual crime.  Rely on our dedicated team for unsurpassed legal guidance and representation.

Los Angeles Business Litigation Attorneys Review the Elements of Libel and Slander

Posted on Monday, March 25th, 2013

In California, there is no one set of rules when it comes to defamation; it all depends on whether the individual who is claiming slander or libel is a public figure, or private figure, and whether the alleged lie that is being spread is a private or public matter.  As Los Angeles business litigation attorneys who deal with many issues regarding defamation involving private individuals and private matters, we want to educate business owners about the elements of libel and slander, a subject which is often highly misunderstood.

Many people believe that if they are simply repeating what another individual said, they are not responsible – but this is not true.  You can be sued for defamation regardless of whether you are the one who originally slandered someone else.  It is not a good idea to repeat any statement that another person tells you without investigating as to whether the statement is true, and even then it’s best to keep it to yourself.  Under California law, you must take “reasonable care” in determining whether a statement you repeat is in fact true or not.

The elements of defamation involving two parties who are private figures and which involve private matters are as follows:

The libelous statement must be made to someone other than the plaintiff.  If you tell an individual something that is not true about his or herself, it is not considered defamation; however, if you make a false statement (or tell a lie) about the plaintiff in a room or space where there are other people who hear it, it may be interpreted as defamation.

A slanderous statement must be clearly understood that it pertains to the plaintiff.  When you say something about someone in a vague manner, using a phrase such as “I’m not going to mention their name,” and the individual you are talking to has no idea who you are talking about, it is not defamation.  If, however, you are making a statement about someone in a vague manner as described above, but have literature or other identifying information you point to while making the slanderous statement, it may satisfy this element.

The statement you make about another individual must either injure that individual in his or her occupation, discourage others from associating with or dealing with that person, or expose the person to “contempt, shame, hatred, or ridicule.”  This is a critical element in determining whether you are guilty of defamation, as making a statement on its own without any of the above factors does not qualify as defamation.

Finally, the statement must be false in order for you to be found guilty of defamation.  Additionally, it must be proven that because of the false statement that was said in the presence of others, the plaintiff suffered some type of damage, whether to his or her profession, property, occupation, or business.

Libel and slander are areas of the law which are not clearly understood by most people.  If you are the victim of defamation, or have been accused of slander or libel, consult with the experienced and capable team of Los Angeles business lawyers at the Law Offices of Spotora & Associates.

Companies With Websites or Mobile Apps – Are You in Compliance in Terms of Providing a Privacy Policy for California Residents?

Posted on Monday, March 18th, 2013

As Los Angeles business attorneys who deal with many technology-related issues, we know that companies with a website or mobile app must provide a privacy policy that California residents who use your website can easily find if private information is collected from those visitors.  Without it, you could be facing huge fines.  In fact, companies that offer mobile apps so that smartphone and tablet users can more easily access their websites may face a fine of $2,500 every time a California user downloads a noncompliant app!

Phone LockWhat is a privacy policy, exactly?

Basically, a privacy policy explains to users how their personal information such as name, address, email address, and other personally identifiable information may be used by the business owner.  While there is no federal law in place at this time which requires a business to make a privacy policy available, California does have a state law that requires businesses that collect personal information from residents to post this policy in a conspicuous place. This law, known as the CalOPPA (California Online Privacy Protection Act, was enacted in 2004 and actually goes beyond the state’s borders, considering there are California residents who may access websites anywhere in the world that collect personal data.

What must be contained in your privacy policy?  In order to be in compliance with state and FTC standards along with CalOPPA, the following should be addressed in your privacy policy:

Whether cookies are used, and the type of information recorded

A clear outline of the personal information collected, and how this information is used, whether it is disclosed to third parties, and to whom

How your server and online operations are kept secure

How your visitors may opt out from having their information disclosed to third parties, and from receiving emails

How users of your mobile app/website may review their personally identifiable information and make changes to that information

The effective date of your privacy policy, and how users can learn of any material changes made to that policy

Whether personal information is collected from children who are younger than 13, and how parental consent is secured if so in compliance with the federal Children’s Online Privacy Protection Act.

While you may already have a privacy policy in place, most essential of all is that your company acts in accordance with the policy.  A deceptive privacy policy which does not accurately reflect the practices your company actually engages in can leave you facing prosecution by the Federal Trade Commission.  Lastly, your privacy policy should be written in a way that is clear and easy for the average individual to understand.

To ensure your privacy policy is clear and legally compliant, consider consulting with the Los Angeles business lawyers at Spotora & Associates.

Getting a Divorce is a Life Altering – and Taxing – Experience

Posted on Wednesday, March 13th, 2013

As experienced Los Angeles divorce attorneys, we understand that divorce can be a life-altering experience, even for the spouse who chooses to go separate ways.  It isn’t easy; if you are a woman, you may decide to change your last name.  Moving on is easier said than done, considering moving to a new location, child custody in some cases, spousal support, and even taxes.  As the old saying goes, “Nothing in life is guaranteed except death and taxes.”

There are many questions when you are involved in a divorce, and probably the last thing you think about is taxes.  You can be sure the federal government won’t forget about taxes!  Regardless of what is going on in your life, they want their fair share.  When you are in the process of getting a divorce, the way you are taxed may change.  It’s a good idea to discuss your situation with your tax preparer, as depending on your situation it may be to your advantage to:

File as married but separate

File as an individual

File together as a married couple

When it comes to spousal and child support, there are some solid federal rules in place regarding taxes.  Whichever spouse receives child support, that support is tax-free.  You are not required to pay taxes on the money you receive for the support of your child.  However, the exact opposite is true of spousal support.  If you are the recipient of spousal support, you are required to pay taxes on that support.

What about the spouse who pays child support and/or spousal support?  If you are the payor of spousal support, this may be used as a deduction on your federal income tax return; however, if you pay child support, these payments may not be used as a deduction.  Which spouse gets to claim the child or children as a dependent when it comes time to file taxes?  The parent who provides at least 50% of the support for the child/children during the specific tax year in question.  This can usually be determined by which parent the child lives with the majority of the time, even if the time is almost evenly split and the child/children live with one parent 50.01% of the time.

Divorce is a sticky situation, and tax matters even stickier.  In order to move on with your life as quickly and smoothly as possible, it is to your advantage to discuss these matters with a skilled and reputable Los Angeles divorce lawyer at the Law Offices of Spotora & Associates.