Archive for 2011

The Battle Between Jean Back Pocket Designs Highlights Trademark Dilution Concerns

Jeans are big business with people wanting to be seen in the latest trends and willing to shell out hundreds of dollars to look good in a pair. So it comes as no surprise that the Levi Strauss v. Abercrombie & Fitch back pocket design lawsuit is going through so many twists and turns.

In February, the Ninth Circuit Court of Appeals denied the U.S. District Court for the Northern District of California’s analysis of the Trademark Dilution Revision Act (“TDRA”), thus allowing Levi Strauss another chance to debate its claims that Abercrombie is trying to mimic Levi’s famous arch design on the jean back pocket.

The Ninth Circuit asserts that the Trademark Dilution Revision Act does not only mandate that a design must be “identical or nearly identical”, but for a dilution claim to be valid, the plaintiff must show six factors, including the prevalence of similarity and that a junior mark is “likely to impair the distinctiveness of the famous mark.” Soon enough, the District Court will be hearing the case again since the Ninth Circuit deemed Levi’s has enough of a claim.

Levi’s has been selling blue jeans since the 1870s and its trademarked “Arcuate” back pocket design with two connecting arches has always been a strong visual identifier for the brand and its wearers. Jeans with this back pocket design equal an estimated 95 percent of Levi’s sales and in the last 30 years raked in $50 billion in revenue. In 2006, Abercrombie began using a “Ruehl” design with two less-pronounced arches that Levi feels dilutes their stitching mark.

Apparel companies and businesses in general spend tons of money and lots of creative effort to have their brands stand out from the competition. The lawsuit brings up questions of how the courts will rule for similar design and logo concepts. In this instance, will the courts allow all jean companies to use arches, therefore diluting this identifier in infinite ways? Some say it is akin to letting other computer companies use the sign of the bitten apple, diminishing the power of a visual cue that a company has cultivated for its own benefit in the public’s consciousness.

The TDRA requires that a company alleging dilution by blurring of the designs show an overwhelming degree of dilution. The ruling can compensate for likely, not necessarily actual, dilution and separately, injunctive relief.

The six factors include the:

degree of similarity between the mark or trade name in question and the famous mark

– degree of inherent or acquired distinctiveness of the famous mark

– extent to which the owner of the famous mark is engaging in substantially exclusive use of the mark

– degree of recognition of the famous mark

– whether the user of the mark or trade name in question intended to create an association with the famous mark

– any actual association between the mark or trade name in question and the famous mark

The Ninth Circuit court drew a line in the sand to follow the rationale of the TDRA and not any pre-TDRA rulings that required marks to be substantially similar to seek dilution decisions.

“The degree of similarity between the Ruehl and Arcuate marks may be insufficient to support a likelihood of dilution, but that conclusion can come only after consideration of the degree of similarity in light of all other relevant factors and cannot be determined conclusively by application of an ‘essentially the same’ threshold,” said Kenneth F. Ripple, Senior Ninth Circuit Court Judge.

In California, Los Angeles intellectual property attorney Anthony Spotora is paying close attention to how the case will be decided. This case as well as other business needs show that legal counsel is crucial early on for a brand. From trademarks, copyrights, product launches, and contractual agreements, an experienced attorney can help protect a company’s rights from the start-up stages to ensuring its assets are safeguarded each and every day.

The Law Offices of Spotora & Associates defends clients’ intellectual property rights throughout California, the U.S., and abroad. They are known for their senior-level counsel and personalized attention to give each client exceptional results.

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

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Entertainment Attorneys are a Band’s Best Asset

Music festivals are becoming huge moneymakers over single concerts. Rolling Stone reports that festivals are booming because fans are willing to pay $250 to $500 to see 130 artists versus watching only a solo show.

Big music acts and up-and-coming stars can rake in quite a bit of income playing at festivals such as the upcoming Coachella Music Festival in southern California. Especially when backed by ample marketing budgets and social media, it is no wonder the festival sold out in three hours. Now it remains to be seen if the 2013 festival tops this year’s record number of 255,000 fans.

Behind the scenes, one of the most important players for musicians and bands is an entertainment lawyer. With big festivals and large venues, bands will want to be prepared to sign performance agreements and oftentimes need an experienced entertainment attorney to ensure they understand the agreement and that their rights are being upheld. An attorney can be vital to negotiating the payment terms, merchandising agreements, cancellation clauses, permissible video and audio recording equipment, and ensure the band will not be liable for any and all damages that could occur while performing in the venue.

Most musicians might not love this side of the business, so that is why getting legal counsel early on can leave the business of entertainment to the attorney and the band can continue focusing on its creative output. Legal counsel shows everyone a band deals with that they are professionals and are serious about what they do. Attorneys are great at looking over the necessary agreements and any side contracts for loopholes and further enforcing contract terms when other parties decide not to meet the stipulations agreed to beforehand.

Beyond big festivals and concerts, entertainment attorneys can provide guidance on management agreements, recording contracts, copyright and trademark matters, licensing and royalty agreements, and endorsements and partnership contracts, just to name a few. Some entertainment attorneys can also give clients business planning and career advice. The music business is full of horror stories about bad promoters, shoddy venues, and broken promises, so a good entertainment lawyer can help a band through the complex music industry.

A hands-on entertainment lawyer is a key part of a band’s success. It takes a team approach to make it big in the music industry, so having a lawyer who will be proactive with all the other team players – agents, booking agents, record labels, and other key contacts – will only increase a band’s buzzworthiness and chances of financial success.

In California, Los Angeles entertainment lawyer Anthony Spotora has many years of experience with bands, musicians, songwriters, record companies, and music publishers. The Law Offices of Spotora & Associates has extensive music industry contacts and a reputation for individualized attention and dedication to helping creative individuals thrive in the music business.

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

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Piercing the Corporate Veil via the Alter Ego Theory Can Devastate Shareholders

Liability protection is one of the biggest advantages to incorporating a business. When forming a corporation, LLC, or similar entity, a “corporate veil” is formed that creates a separation between the entity and personal shareholder assets. In some instances, courts will pierce this protection and hold shareholders personally liable for the debts and liabilities of the corporation, if the shareholders are found guilty of having misused the corporation as their alter ego.

Many lawsuits apply the legal theory of the “alter ego” wherein the corporate entity is shown to be a sham and/or an alter ego of one or more individuals that have brought on injurious conduct and who essentially utilized the entity as a blanket to hide behind. Oftentimes this allegation comes into play when a corporation’s assets or insurance are inadequate to pay debts or claims. The shareholders can become personally liable.

In California, two requirements must be met to pierce the corporate veil:

1) Unity of Interests – the shareholders in question must have treated the corporation as their alter ego; and

2) Inequitable Result – the shareholders sanctioned fraud or injustices.

A step-by-step process is commonly used to examine and ultimately determine if alter ego liability is appropriate in a lawsuit. The landmark case of Associated Vendors Inc. v. Oakland Meat Packing, Co. spells out the steps to determine the severity of their actions:

1. Did the individual(s) act in bad faith?

2. Did the individuals contract with one another with the intent to avoid performance by using a corporate entity to shield against personal liability?

3. Did the individuals divert assets from a corporation by or to a stockholder, other person, or entity to the detriment of creditors?

4. Is the corporation dominated by a few key individuals?

5. Is the same office or business location used by the individuals and corporation?

6. Did the individuals and the corporation employ the same attorney?

7. Did the individuals use the entity to procure labor, services and merchandise for another person or entity?

8. Did the individuals fail to adequately capitalize the corporation?

9. Did the individuals fail to maintain minutes or adequate corporate records?

10. Will there be an inequitable result if the court fails to pierce?

A plaintiff has the burden of establishing alter-ego liability. Courts do not typically make a distinction between different forms of corporations, whether they are non-profit or for-profit, so alter-ego liability is evaluated equally.

If a corporation is properly created and maintained, shareholders will not be liable for corporate debts or exposed to lawsuits. Shareholders must uphold corporate formalities and avoid any misuse of corporate funds, property and means of manipulation.

The keys to making sure an entity stays separate from its shareholders are:

1) Documentation and Formalities: Ensure that all letterhead, business cards, and corporate signs include the words “Inc.” or “Incorporated”, for example. Shareholders who sign contracts or documents should sign them in a corporate capacity indicating their corporate position. Create by-laws, issue stock, maintain corporate minutes, have separate account books, file annual reports, and have regular board meetings with all directors.

2) Avoid Co-mingling: Never co-mingle corporate assets with those of the shareholders. Corporations should have their own separate bank account. If you borrow from or lend to the corporation, record an appropriate resolution, sign a promissory note, charge a fair market rate of interest, and make regular payments.

3) Capitalization: Capitalize the corporation sufficiently and purchase adequate liability insurance.

4) Employment Agreements: Establish one between you and the corporation.

5) Multiple Corporations: Avoid identical stock ownership of several corporations along with similar officers and directors. Use different business addresses, telephone numbers and employees.

This valuable advice is critical to minimize a corporation’s exposure to litigation and help them manage their operations. Small and big companies need to understand the importance of having a lawyer to help them with increasing complexities in today’s business environment.

The Law Offices of Spotora & Associates has decades of experience for both businesses and the shareholders that run them. Their services range from counseling individual and corporate clients domestically and internationally, to assisting in business management and maintaining corporate records.

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

Internet Defamation is Serious Business to Big and Small Companies

Businesses spend a lot of time doing marketing and public relations to build their brand, so it can be devastating to find that someone has posted a harsh statement on the Internet that is outright false. For all the efforts that a business puts into websites, social networking and online ads, one bit of misinformation can sometimes topple their credibility.

Two common grievances include businesses being accused of dishonest practices and discrimination. Competitors and unhappy individuals are usually the ones blamed for trying to undermine the business’ reputation on online chatrooms, Facebook, “protest websites”, and mass e-mails. But to show that a business is a victim of defamation, it must show that the published statement was false and resulted in a loss.

As soon as a business realizes that the unflattering material is on the Web, it is advised to keep thorough records of what is being posted. Compile a list of all websites that have the defamatory statements. This will be useful evidence in the courtroom or for takedown letters that reputation management services create. Also, keep records of sales numbers from before and after the harsh content appeared on the Web. This will help show the loss incurred and aid the court in calculating damages.

And do not fall into the knee-jerk reaction of trying to threaten the author, publisher or website. A lawyer can help get the bad content removed, but not if you are threatening them and have the police at your door to calm you down. Section 230 of the Communications Decency Act does protect webmasters and hosting companies from being held liable for what another user posts on their website unless it can be proved that the specific individual was responsible for its publication. An Internet company that permits criminal acts or intellectual property infringement may still be held liable, so it is advised to get an experienced attorney early on when an issue occurs.

In order to protect the business, a company will want to get legal counsel and serve the wrongdoer with a civil action alleging defamation and libel. Many businesses do not know who harmed them as oftentimes the degrading postings are by anonymous authors. Businesses are advised to provide a notice in whatever medium the original posting was made to make the anonymous author aware of their wrongdoing before any subpoena is enforced. The case will initially be against a “John Doe” defendant and through the discovery process, ISP records and other pertinent information will reveal their true identity.

Good attorneys will help their client win monetary compensation and an injunction that forces the author or website to remove the offending material and refrain from defaming the business in the future. Otherwise, the author could be fined or jailed for contempt of court.

The Law Offices of Spotora & Associates has decades of experience representing individuals and businesses in defamation cases from sole proprietorships to major international corporate entities. Their clients are actively involved in various industries including technology, marketing, communications, pharmaceuticals, retail sales, manufacturing and distribution, as well as restaurants and nightclubs, film, television and multimedia productions. Their lead Los Angeles business lawyer, Anthony Spotora, is one of the area’s top attorneys who is well versed in both business and Internet law.

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

It Pays to Protect a Business Website from Copycats and Hackers

Los Angeles – Imagine a business owner doing a routine Google search of his business and name, only to find that a website thousands of miles away had copied the logo, design, text and even some photos. This is what happened to the law firm of Gordon & Doner out of Palm Beach, Fla. when they looked themselves up and found the British firm of Maslin & Associates with a copycat website.

A business should protect its website and all the content, design, and graphics by copyrighting it. This way, all the original works of authorship are protected, as well as the look and feel of the website. Be sure to request ownership of the copyright in a written agreement if an outside company creates the website. This could increase the fees from the graphic design company but then later on the business could have the authority to use the same graphics and content on promotional materials such as brochures and mailings.

Copyright protection starts when the work is fixed in a tangible medium. Use the copyright symbol to inform others that the business has control over the display of the website, its production and distribution. State in the fine print that the business has created the website and is copyrighted. By copyrighting a website, it will be easier to seek court enforcement of the copyright should a copycat come along.

“A business and its employees work hard to create and maintain an Internet presence that will generate revenues and continue the marketing efforts,” said Anthony Spotora, Los Angeles business and intellectual property lawyer. “A good lawyer will help their clients protect their Internet business assets through copyright protection services.”

Copyright infringement is a very serious matter and should a programmer even copy code from another website, a business could be on the wrong side of the law. Websites can be shut down without notice as a part of the Digital Millennium Copyright Act and “blacklisted” from Google. Google will remove sites that infringe on another’s intellectual property, program its spiders to avoid the site and ban it from its Adwords and Adsense programs.

It pays to hire a business and intellectual property attorney to assist with trademarks for domain names and unique business phrases, copyrights for the website, and contractual agreements for creative services done both for the website and with vendors used during daily business transactions.

Spotora & Associates has more than a decade of experience representing clients from start-ups to established national corporations with their website and intellectual property concerns. They are skilled in researching, registering, and protecting intellectual property rights throughout the United States and abroad.

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

Do Not Get Shot by the Misuse of Intellectual Property Rights in Video Games

Video games are not just fun pastimes and a lucrative $24 billion revenue industry. They are prized assets with intellectual property rights for their unique design, art, audio and code. Some games are developed by innovative individuals, while others are licensed and owned by different parties for publicity and efficiency reasons.

An estimated 67 percent of U.S. households play video or computer games, with most of them enjoying sports or action games. With the amount of consumers and moneymaking opportunities, it is no wonder that the industry must protect its intellectual property rights and flex its legal muscles when needed.

Trademarks, copyrights, patents, trade secrets, and rights of publicity enable innovators and companies to develop new games that competitors cannot touch. Experienced video game companies and innovators know that an intellectual property attorney is key to keeping their competitive edge. From the initial stages of creating a game to staying ahead of the next “it” game or console, legal counsel is a must to defend your rights.

Trademarks protect a company from copycats that want to steal the success of a popular brand, character, title or symbol. By registering the trademark, no competitor can use the name, thus protecting the reputation and marketing efforts.

Copyright laws guard the software itself as well as the characters and icons or weapons, scenes, music, videos, pictures and dialogue. A good test for copyright infringement is to first determine whether the defendant had access to the copyrighted work and then to compare one of game A’s screenshots to game B’s screenshots. If they are qualitatively and quantitatively similar and an ordinary person would look at both and think they are copycats, then infringement will likely be found. Many software piracy cases involve this facet of the game and penalties have high monetary damages.

With the explosion of “apps” for cell phones and computers, many consumers are amazed by how some games are looking similar to each other. The developer Twisted Pixel could go after Capcom because it mimicked Twisted’s Cut the Rope game with Rope Cut and The Blocks Cometh. So far though, the developer has not pursued legal action on them. “Since we owe Capcom so much for its many contributions to all of our childhoods, we will just keep our focus on making new games,” Twisted Pixel CEO Michael Wilford told Pocket Gamer. “That way [Capcom will] have something else to use for ‘inspiration’ next year.” Capcom responded with, “We are saddened by this situation and hope to rebuild the trust of our fans and friends in the gaming community.”

Innovators and companies must look after every part of their game. Enrolling for a patent ensures the technological exclusivity and original designs for 20 years typically. Patents involve user interfaces, algorithms, scene rendering, menu, editing and display choices. For example, U.S. Patent No. 4,662,635, Video Game With Playback of Live Events, uses pre-recorded live action sequences in specific video games. The patent owner and the game company sent many cease-and-desist letters to competitors as it was the first to develop this specific technology.

Trade Secrets assist business to keep select information secret. From business and marketing plans, to customer lists, and concepts and processes to creating the software and game assets, these are critical pieces of knowledge to keep under wraps.

The Law Offices of Spotora & Associates helps many developers, distributors, and publishers in the software and computer game industry. Their managing attorney, Anthony Spotora, has more than a decade of experience as a Los Angeles intellectual property lawyer. From negotiations to licensing agreements and advising on IP laws and structuring joint ventures, his firm can assist clients in the U.S. and abroad.

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

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Reality TV Contracts Are Full of Complex Stipulations

Reality television is big business and for many aspiring stars, a chance to make it in the entertainment industry. But before the cameras start rolling, an important part of the process is the negotiation and hopeful execution of the contract that will make the reality show, a reality. Most contracts ask individuals to sign away their privacy rights, have stiff confidentiality agreements and may further include defamation waivers.

The contract is the production company and network’s way of managing the value of a potential celebrity and controlling most of the creative and business elements of the show. If the “artist” becomes a star, the contract will spell out what kind of money the production company and network will gain for future shows and licensing. Many reality show contracts are so ironclad, however, that they can portray your image in any way chosen by the producers, throughout various media. Oftentimes, by signing the various waivers accompanying the contract, cast members agree not to sue if something happens to them physically or emotionally.

When you agree to this, you are allowing a show to portray you in any way, even if it is unfavorable. It is important to have a good lawyer review the contract first to make sure your rights and safety are upheld.

Be very wary of any contracts that require upfront payment or minimal or contingent compensation. Reality TV participants must give their consent before a show can use footage of them, as most shows want rights for usage in perpetuity or will want to sell it to someone else in the future. Most contracts are all-encompassing as oftentimes scenes are still in development after the cameras start shooting. The fine print will discuss the potential of bodily harm, fights, sexually transmitted diseases and emotional distress.

These shows will purposefully embarrass or humiliate you and, sometimes, they will even provoke violence, but so many people want to go on them because they think it will be their big break into stardom. If you are not asked for consent, you need to talk to an attorney immediately to safeguard your rights and privacy.

Many contracts also have hefty penalties should a cast member leak the winner or conclusion of the show. It is not uncommon to have a fine between $5 and $10 million in the confidentiality agreement.

The Law Offices of Spotora & Associates specializes in negotiating and drafting contracts, securing copyrights and trademarks, and litigating and protecting entertainment clients’ rights. Many celebrities, upcoming TV stars, studios, agencies, and production houses have sought their expertise and individualized attention.

Reality TV can be a lot of fun, but cast members must take the contract very seriously. It is worth the extra effort to consult an attorney to know what you are getting yourself into.

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

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Business Savvy Meets the Law When Starting a Record Label in the New Media Age

In the age of new media, record labels and artists have many opportunities to make money, but also must be cautious about downloading royalties, copyright licensing, and protecting their income streams. High-profile artists such as Eminem, Jay-Z, and Madonna and their labels must constantly watch over iTunes downloads, YouTube streams, Wii games, and other emerging digital players to see if their rights are being violated and profits diminished.

New technologies are created so often, and with that new providers of entertainment products and content are jockeying to attract consumers. Whether you are starting a record label or are an established music heavyweight, it is crucial to have a lawyer that knows how to guide you through the new media and music laws.

Entertainment attorneys will structure, negotiate and update contracts and agreements for Internet and new media outlets. As advertisers and marketers look to deliver information and entertainment to the masses, lawyers will counsel on finance, production, licensing, and the sale of intellectual property to be broadcasted on the Internet, cell phones and wireless devices, interactive and video game platforms and other digital channels.

Product placement and brand integration ventures in feature films, television, and new media are also areas where a lawyer can ensure both the business and creative rights of the label and artist are upheld. Many labels are also creating “360 deals” to increase revenue streams through tours, concerts, merchandising and new media partnerships.

Record labels realize the importance of YouTube, for example, to virally show off their artists. It is hard to control postings of copyrighted materials by fans, so labels work with their lawyers to negotiate licensing terms for their songs and videos that appear on the popular website. And with increasing sales of digital music and fewer CD sales, downloading royalties can rack up to millions of dollars in revenue for artists and labels.

Any size record label can benefit from a savvy entertainment lawyer to establish the label name, website presence and connect them with start-up capital opportunities and marketing professionals. From business plans to product launches and artist contracts, they can buffer the label and artist from the cutthroat music industry.

For those that are starting record labels, lawyers will give you vital advice to build the record label of your dreams. Armed with an excellent entertainment lawyer, a record label can last longer and protect their image and creative brilliance.

The Law Offices of Spotora & Associates has decades of experience representing musicians and record labels in Los Angeles, Southern California and the world. They have worked with some of the biggest talent in the industry and have a hands-on approach to give their clients the utmost in individualized attention.

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

Los Angeles Entertainment Lawyer Protects Cartoon Characters from Infringement

Los Angeles – Cartoon characters have rights, so the first step that cartoonists need to take to protect their work from infringement is to file for copyright. Graphic characters can be protected forms of intellectual property under copyright and trademark law.

A relevant lawsuit is currently underway involving a gentleman who claims he created and pitched a “spiritual kung-fu fighting panda bear” to DreamWorks Animation in 2001 but was rejected. The studio later created “Kung Fu Panda” with Jack Black, grossing $632 million, and adding even more in merchandise and a sequel set for summertime 2011. The case is currently in the discovery phase, and the artist will attempt to prove DreamWorks had access to his ideas in advance of developing the movie and had intent to trade on the artist’s goodwill.

In this age of hypermedia, graphic characters often go from one medium to another as well as one channel of commerce to other cross-marketing efforts. Courts consider both the visual and narrative resemblance of cartoon characters, and measure the similarities of personalities, behaviors, biographies and story lines in making their decisions. Only the specific and unique way that a character is drawn and acts is protected.

“Cartoons are a highly profitable industry. Legal protection to ensure their images and names are sheltered from exploitation is crucial,” said Anthony Spotora, Los Angeles entertainment lawyer. “Copyright, trademark, contract law and unfair competition are all legal strategies to protect the owners of graphic characters.”

Spotora & Associates assists clients in acquiring intellectual property rights through the state, federal, and international laws. They monitor potential right infringements and push to enforce acquired rights through contracts, licensing, and precise negotiations.

“Cartoon artists are in a much stronger position if they seek out a lawyer to proactively protect their characters and argue cases when an issue comes up,” Spotora said. “Many artists also want to create similar characters for new clients, so it’s important to include particular language in contracts to ensure this can be done with different companies and media.”

Spotora’s firm of senior-level entertainment attorneys are skilled in working with cartoonists, studios, agencies, managers and distributors. They work with each client to protect their works and increase revenue.

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

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California Family Lawyer Highlights the Importance of Estate Planning for Gay Couples

Every couple has concerns about what would happen should their significant other pass away. What would happen with their savings, property and wishes for their family and friends? Domestic partners and legally wed gay couples should talk with a family law attorney with regards to estate planning. With the changing legal landscape, it helps to have a lawyer to ensure that your partner will not have to deal with an emotional and financial burden.

Estate planning for gay and lesbian couples, whether legally wed or as domestic partners, will involve documents and contracts that detail who gets what property and assets as well as custody of children, health care directives and power of attorney. Without the appropriate documents and contracts, gay couples could jeopardize their assets and intentions for friends and family. The law (especially if one partner is from a state outside of California) and family members can be harsh and not recognize domestic partnerships.

“Your assets could be tied up in time-consuming and expensive probate processes, and family members could inherit portions of your property if there is no estate plan in place,” said Los Angeles family lawyer Anthony Spotora, managing attorney of Spotora & Associates, P.C.

How a lawyer drafts the estate documents will largely depend on whether you are legally wed or registered as domestic partners with the state of California. An estimated 20,000 gay and lesbian couples were legally wed in California between June 16, 2008 and Nov. 4, 2008 before Proposition 8 changed California’s constitution to prohibit same-sex couples from marrying. Currently, the California Supreme Court is discussing Proposition 8’s legality. Still, those couples that were legally wed can presently enjoy all of the benefits otherwise only traditionally bestowed on heterosexual spouses when preparing their estate plan. For those gay couples that were not legally wed, California does recognize domestic partnerships and by filing with the California Secretary of State’s California Domestic Partners Registry, partners will have numerous legal rights and responsibilities in the eyes of the law.

California law differs from federal law, however, so it is important to know that there are 1,138 U.S. rights and protections that are only given to federally recognized spouses. Social Security survivor benefits, for example, do not transfer to domestic partners. And the federal government could heavily tax property transfers between partners, as U.S. law could consider these transfers subject to gift tax laws.

“Unfortunately, this means that domestic partners do not have adequate protection should something happen to their significant other,” Spotora said. “The way to safeguard your partner and assets is to have an estate plan in place that goes over each facet of your life.”

The following documents are vital to an estate plan:

Will

A will is in place to distribute property, name guardians for children, and describe last wishes. You can leave your property to anyone you choose, in whatever proportions you choose, including leaving everything to your partner if you wish. Funeral wishes and arrangements are also important details. Wills are a pivotal part of an estate plan, but they can be subject to probate court that can cost thousands in court fees and years to resolve should there be family disputes. Wills are also public information.

Trusts

This document will name the person(s) who will receive your assets and appoint a trustee to distribute the assets after death. Choose a trustee carefully and go over the specific directives you want to happen after death with an attorney. A trust allows beneficiaries to have access to assets quickly, including insurance policies, so that financial struggles do not ensue. Trusts are less open to challenges in comparison to wills, and must remain private so no one except for the beneficiaries will have the right to know how assets were allocated. A trust will also allow a partner to avoid the expensive and time-consuming process of probate.

Power of Attorney and Advance Health Care Directive

Should you become incapacitated, a durable power of attorney document will appoint a go-to person to act as your agent to make critical decisions. The DPA is only activated with a doctor’s note should a partner be legally incapacitated. This document will spell out whom you authorize to pay the mortgage and bills, deposit money into bank accounts, lead the family business, and can now even designate visitation rights. Without a DPA, your significant other would have to petition the court to be your agent, which is a stressful, expensive endeavor – especially if family members disagree. And an advance health care directive will specify who can make critical healthcare decisions on your behalf, what type of treatment you want or disapprove of at the end-of-life stages, as well as surgical procedures, diagnostic testing, resuscitation and organ donation wishes.

Custody Documents

Partners that have children should have documents in place to name a guardian, set up a trust for the kids, and describe time-sharing agreements. Otherwise, children could end up in a heated family dispute or transferred to out-of-state custody.

Keep Good Records and Update Documents

Be sure that titles to property show joint tenants with right of survivorship or keep good records in case the IRS questions the property and wants to levy taxes after the partner’s death. Check to see if your 401k and other asset accounts allow a domestic partner to be a beneficiary. Update and confirm beneficiaries once a year and keep up with changing state and federal tax rules.

“Our law office will help you go over the options you have depending on your family situation, size of your estate, and what your wishes are,” Spotora said. “You deserve to be treated with dignity and respect, and a proper estate plan will help your legacy live on.”

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