Lawyers, Answer Questions  & Get Points Log In
Delaware Business Law Questions & Answers
1 Answer | Asked in Tax Law, Business Formation, Business Law and International Law for Delaware on
Q: Legal ways to start an US business from a country that has no double taxation treaty with the US and avoid double taxed?

E.g Delaware often mentioned as an offshore location and a business friendly state. Can I avoid being double taxed somehow (legally)? I would gladly pay taxes in the US. If i can't find a solution soon, i have to find another english market, unfortunately.

James L. Arrasmith
PREMIUM
James L. Arrasmith pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
answered on Mar 8, 2024

Starting a business in the US from a country without a double taxation treaty can indeed present challenges, but there are legal pathways to minimize the impact of being taxed in both jurisdictions. Delaware is a popular choice for international business owners due to its business-friendly laws,... View More

1 Answer | Asked in Securities Law and Business Law for Delaware on
Q: I want to start a hedge fund in Delaware and act as a manager, do I need a investment advisor licence to do that?
James L. Arrasmith
PREMIUM
James L. Arrasmith pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
answered on Nov 19, 2023

Starting a hedge fund in Delaware and acting as its manager does typically require you to register as an investment advisor, depending on certain factors. The requirement for registration is governed by both federal and state laws, which vary based on the assets under management, the number of... View More

1 Answer | Asked in Business Law and Employment Law for Delaware on
Q: CEO of the company where I just resigned wants to buy my shares at $132k; a stockholder wants to purchase them at $200k

The CEO of the company where I just resigned wants to buy my shares at $132k; a stockholder wants to purchase them at $200k. Am I obliged to sell it to the company, or can I sell it to the highest buyer?

T. Augustus Claus
PREMIUM
T. Augustus Claus pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
answered on Oct 9, 2023

In Delaware, whether you can sell your shares to the highest bidder largely depends on the company's bylaws, stockholders' agreement, or any other agreements you may have entered into when you acquired or during the tenure of holding the shares. Some companies have a "right of first... View More

1 Answer | Asked in Business Law for Delaware on
Q: majority shareholder Dir dissolves the company and transfers the sole valueable ip to themself wo consideration

What is the procedure for notices for lack of care in fiduciary duties for a dissolved company?

Cesar Mejia Duenas
Cesar Mejia Duenas pro label Lawyers, want to be a Justia Connect Pro too? Learn more ›
answered on Jun 1, 2023

You should consult with an attorney in Delaware to assess what is the best course of action. Several actions can be brought in contract (arising out of the bylaws or operating agreement), and in Tort for the unlawful transfer of the IP and unauthorized dissolution of the Company. Instead of sending... View More

1 Answer | Asked in Bankruptcy, Banking, Business Formation and Business Law for Delaware on
Q: Can a website judge me or charge my card?

A website gives discount for each one who use an invite code. I opened more than one account to get this discount every time I purchased from them. I used different cards, name and shipping address on every time I purchased. Can they judge me or charge my card if they know that it's one who... View More

Timothy Denison
Timothy Denison
answered on Jul 14, 2021

Depends solely on your card member agreementvterms.

1 Answer | Asked in Business Formation, Business Law and Tax Law for Delaware on
Q: I left a company I cofounded but still have 50% share. Would I be personally liable if the company does not file taxes?

I cofounded a S corporation in Delaware a few months ago and left the company as the board member and employee after a couple of months due to disputes with my partner. I still kept the shares (50%) because I was not compensated for the work I did. The company was a start-up and did not have any... View More

D. Mathew Blackburn
D. Mathew Blackburn
answered on Feb 19, 2020

Depends on what's in the operating agreement/by-laws. What was the underlying entity that was S-elected? S-corps cannot be created at the state level, you have to have a registered entity upon which to elect S status. The IRS will use the entity law to determine owner liability and... View More

1 Answer | Asked in Real Estate Law, Tax Law and Business Law for Delaware on
Q: What's the best state to open a stock/real estate holding company with a nonresident alien and a legal resident owner
Bruce Alexander Minnick
Bruce Alexander Minnick
answered on Jun 25, 2019

Before you start looking for types of "stock/real estate holding companies" you should call an Immigration lawyer and ask them if what you are trying to do is possible.

1 Answer | Asked in Business Law, Trademark and Intellectual Property for Delaware on
Q: Do I need to change my business name?

I registered my business in DE named “Goddess Financial”, after a trademark search I realized there is a company in Australia named “Financial Goddess”. (Registered their trademark in USA). We offer different services but both obviously in the financial industry. Do I have to change my... View More

Ahaji Kirk Amos
Ahaji Kirk Amos
answered on Apr 12, 2019

I would recommend that you change your name to avoid future disputes. The standard for trademark infringement is a likelihood of confusion. Sounds like that is a possibility. Now, if you were using the trademark before the date of first use of the registered mark, you may want to seek... View More

2 Answers | Asked in Business Law for Delaware on
Q: Can a min owner in a Delaware LLC be liable to the individual whose co was the majority owner of the LLC?

Can a minority shareholder, a privately held company, be liable to the individual whose Company was majority shareholder - in a Delaware LLC that has been sold? The individual is not a member of the LLC. Another company of his is. The Company has been sold. He could not sue prior to the sale,... View More

Michael David Siegel
Michael David Siegel
answered on Jan 27, 2017

Anyone can sue anyone if you pay the filing fee. Your question is way too vague. Yes, the operating agreement governs. So does what the claim even is, which you have not stated. Thus, if your real question is the success of such a claim, no one could know based on your post.

View More Answers

1 Answer | Asked in Business Law for Delaware on
Q: Can I contest action taken by shareholders on the basis of lacking authority to take action and voided corporation?

I cofounded a company (became shareholder, officer and director). The company was incorporated in Delaware by the other founder (CEO and board member). The CEO and I had various disagreements over the first 2 years... long story but I ended up citing him with grave misconduct and negligence in... View More

Adam Studnicki
Adam Studnicki
answered on Aug 20, 2015

Sounds like a messy situation. A lawyer should review the organizational and board documents (bylaws and board resolutions in particular, as well as examine whether the special meeting was properly noticed). There are many questions here, and they can't be answered without reviewing those... View More

1 Answer | Asked in Business Law for Delaware on
Q: Is there any difference in powers and authority of corporate secretary and assistant corporate secretary in Delaware law
Charles Snyderman
Charles Snyderman
answered on Aug 14, 2014

No. The differences, if any, would be set forth in the company's bylaws.

1 Answer | Asked in Business Law for Delaware on
Q: Can I charge a finders fee for leading someone to unclaimed property in Delaware?
Charles Snyderman
Charles Snyderman
answered on Jan 7, 2013

Yes you can. You promise to provide information to another person in exchange for that person paying you a fee.

1 Answer | Asked in Business Law and Civil Litigation for Delaware on
Q: Can a Delaware corporation not in good standing file a lawsuit other than under 278?
Charles Snyderman
Charles Snyderman
answered on Jan 6, 2013

The answer is "Yes," but if the attorney representing the defendant discovers that the corporation is not in good standing, the attorney will file a motion to dismiss. If the corporation fails to become current with franchise taxes, the Court will grant the motion.

1 Answer | Asked in Business Law for Delaware on
Q: Delaware Incorporated Company Byelaws re quorum. How can business be transacted in the event of absentee shareholders?

Byelaw states "If less than a quorum shall be in attendance at the time for which a meeting has been called, the meeting may be adjourned by a majority of the Shareholders present or represented by proxy without notice other than by announcement at the meeting" If minority shareholders... View More

Charles Snyderman
Charles Snyderman
answered on Jan 6, 2013

Why are some of the shareholders not present? Is it a question of geography or is it a lack of interest? Do the bylaws provide for shareholder action without a meeting, such as by telephone? In answer to your specific question, Delaware law recognizes that your situation may occur, and has a... View More

Justia Ask a Lawyer is a forum for consumers to get answers to basic legal questions. Any information sent through Justia Ask a Lawyer is not secure and is done so on a non-confidential basis only.

The use of this website to ask questions or receive answers does not create an attorney–client relationship between you and Justia, or between you and any attorney who receives your information or responds to your questions, nor is it intended to create such a relationship. Additionally, no responses on this forum constitute legal advice, which must be tailored to the specific circumstances of each case. You should not act upon information provided in Justia Ask a Lawyer without seeking professional counsel from an attorney admitted or authorized to practice in your jurisdiction. Justia assumes no responsibility to any person who relies on information contained on or received through this site and disclaims all liability in respect to such information.

Justia cannot guarantee that the information on this website (including any legal information provided by an attorney through this service) is accurate, complete, or up-to-date. While we intend to make every attempt to keep the information on this site current, the owners of and contributors to this site make no claims, promises or guarantees about the accuracy, completeness or adequacy of the information contained in or linked to from this site.