Los Angeles – In the New Year, there are many benefits to opening or acquiring a subsidiary company. With the economy in the doldrums, it is possible to obtain control of another company with less investment than it would be to consolidate or merge. A parent company must only have a controlling interest in the new company.

Parent companies, also known as holding companies, and their subsidiaries are deemed separate legal entities, so the parent company’s assets are not exposed to creditors’ claims that could come against the subsidiary. Each subsidiary has its own management team and is responsible to the holding company for its own profits and losses. Underperforming subsidiaries can be sold off without tarnishing the parent company’s assets and credit ratings.

“Today’s marketplace is not easy to thrive in, so having a lawyer when starting a business or acquiring a new one can mean the difference in your bottom line,” said Anthony Spotora, Los Angeles business lawyer. “We go over specialized tax structuring advantages, how to limit personal liability and what documents are necessary to keep your company in good standing.”

The parent-subsidiary structure allows for decentralized management and fees. Their corporate identities can be very distinct, yet the holding company can benefit from positive recognition and at the same time offer specialized staff that can benefit the subsidiaries.

When it comes to taxes, a consolidated tax return can be done when the parent company owns at least 80 percent of the voting stock in the subsidiary. Losses from one subsidiary can be used to offset profits on another side of the business to decrease taxable income on the tax return.

The Law Offices of Spotora & Associates work with individual clients as well as corporate clientele that range from closely held corporations to Fortune 500 standouts. Anthony Spotora, Managing Attorney, counsels on the establishment and structuring of various legal enterprises, advising clients on business operations as well as legal and tax issues involved.

To learn more, visit https://www.spotoralaw.com/.

All eyes will be on Barbie versus the Bratz dolls when Mattel v MGA begins a new, three-to-four month federal courtroom battle in Santa Ana, Calif.

Mattel alleges that some of their employees were hired by MGA and encouraged to download Mattel documents before leaving their position to go to the competitor. Mattel also claims that several of their employees who were wooed by MGA helped start MGA’s Mexico division using safeguarded Mattel information and expertise.

Protecting a business’ trade secrets is essential no matter how big or small the company may be. Successful companies have proprietary techniques and information that oftentimes their competitors do not have. Trade secrets include business and marketing plans, pricing and customer lists, and research and development. Every business should have a plan to protect their trade secrets from theft or inappropriate disclosure, otherwise a business can compromise its long-term success and profits.

Business lawyers can help create confidentiality and non-disclosure agreements for employees, and any individual, investor or vendor that might deal with a business’ proprietary information should be required to sign them. It is also crucial to have rules for limiting access to proprietary information and documents. Make sure only those employees who must receive certain information have access to it, and secure these documents in locked file cabinets and/or password-protected online files, and mark them as confidential. Limiting photocopying and shredding documents after use can also help. And for visitors to a corporate headquarters, restrict their ability to bring in video cameras and recording devices, even if it means restricting them bringing in cell phones that have all these recording capabilities.

Businesses should also be wary when an employee quits his or her job. Supervision during an employee departures can ensure they are not removing proprietary info, and all passwords should be changed so they cannot log in at a later date to access high-level documents.

A good business attorney will create very specific nondisclosure agreements, ensure inventions and products stay the ownership of the company and protect the rights of the company without infringing on the rights of the employee. Businesses that are proactive will help prevent trade secrets from falling into the competitor’s hands.

Anthony Spotora is a Los Angeles entertainment lawyer and Los Angeles business attorney. To learn more, visit Spotoralaw.com.

Los Angeles – The LA based law firm, Spotora & Associates, P.C., long acclaimed as a “Unique Legal Boutique” and which curated The Virtual Lawyer, an innovative program and business model that methodically blends high-level legal services with technological advancements, has been sparking the interest of not only other attorneys and law firms, but attention has been further raised with top insurance heads.  Why?

When asked, Anthony Spotora, Managing Attorney to the firm shared, “[T]here is an overwhelming and common price gap in the legal industry between junior and senior counsel; so much so, many who are in need of legal help are begrudgingly left to accept the former, anxiously aware that they may get what they pay for.  Virtual Lawyer changed that, and more, and I guess we are doing something right. I have been repeatedly asked the same questions about our firm’s operations. First, from other attorneys; that seemed reasonable enough. However, when the heads of insurance brokerages also independently asked how we were accomplishing some of our objectives, I figured we might really be onto something.”  Spotora told us that he later learned that some of the inquiring attorneys attempted to replicate the firm’s business model.

In the end, the result of the firm’s inventive business model helps potential new clients get more affordable access to expert legal advice.  And while some of the firm’s operational methods remain confidential, the firm seems to believe the primary ideologies behind The Virtual Lawyer are simply based on an emergence of the inevitable “new-age” of law.

The firm’s services and operations notably get them regarded as a cutting-edge law firm and clients undoubtedly appreciate how the firm’s forward-thinking and subsequent implementation of available technologies provide them with both a financial and a service-quality advantage.

Spotora & Associates counsels on business, corporate, entertainment, and intellectual property laws. They also are broadly experienced in labor and employment laws, real estate matters, family law, and estate planning. From Fortune 500 companies to individuals, the firm is known for their dedication, innovation, and results-driven passion for the practice of law.

To learn more, visit https://www.spotoralaw.com/.