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California Business Law Questions & Answers
1 Answer | Asked in Business Law, Civil Litigation and Internet Law for California on
Q: Can I sue against Upwork for negligence against their E&O due to me hiring a fraudulent attorney on their platform?

I hired an attorney on Upwork and paid him on Upwork. He disappeared, stopped responding, and due to the statute of limitations I am now out 100's of thousands on the claims he was working on for me. After some research by the Texas State bar and an attorney they have put on this issue, he is... View More

James L. Arrasmith
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answered on Apr 15, 2024

Based on the information provided, you may have a potential claim against Upwork for negligence. However, the strength of your case depends on several factors, and it is essential to consult with a licensed attorney who specializes in such cases to evaluate your specific situation.

Here are...
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1 Answer | Asked in Business Law and Real Estate Law for California on
Q: Can I sue the Hoa for failing to follow the davis sterling act and provide information requested ,certified, as a BOD?

I submitted three letters to the HOA association and the other two board of directors. I stated in the letters in accordance with the statutes of the davis Sterling act and homeowners association laws that I was to be provided this information of disclosure I never received a response I was... View More

James L. Arrasmith
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answered on Apr 13, 2024

Based on the information you've provided, it seems that you may have grounds for legal action against your HOA. In California, the Davis-Stirling Act governs how HOAs must operate and outlines the rights and responsibilities of homeowners and board members.

According to the...
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2 Answers | Asked in Business Formation and Business Law for California on
Q: Can a California notary form a LLC in California?
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answered on Apr 9, 2024

Yes, a California notary public can form a Limited Liability Company (LLC) in California. However, it is important to keep the notary business separate from the LLC.

Here are a few key points to consider:

1. Separate entities: The notary commission is granted to the individual, not...
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1 Answer | Asked in Business Law for California on
Q: Does my C Corp need to foreign qualify outside of DE?

I am the sole member of a DE C Corp that develops and sells subscription software products. For the past few years, I have lived and worked in CA, so I foreign qualified there but am unsure if that was necessary. Now, I am moving up to WA and would like to formally exit CA. Do I need to foreign... View More

James L. Arrasmith
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answered on Apr 9, 2024

As a Delaware C Corporation, your company is considered "domestic" in Delaware and "foreign" in all other states. Whether you need to foreign qualify in another state depends on the level of business activity your company conducts in that state. This is often referred to as... View More

2 Answers | Asked in Business Formation and Business Law for California on
Q: Can a notary in CA form a LLC
James L. Arrasmith
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answered on Apr 9, 2024

Yes, a notary public in California can form an LLC (Limited Liability Company). However, they would be doing so in their capacity as an individual, not in their official role as a notary public.

In California, any individual can form an LLC by following these steps:

1. Choose a name...
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2 Answers | Asked in Business Law, Real Estate Law, Contracts and Landlord - Tenant for California on
Q: Is this possible Increasing commercial rent 35% in CA?

Currently, my commercial rent contract expires soon(Apr 30,2024)and I will re-new the contract. But landlord told me the rent will be increased 35%. Is this possible legally in CA?

James L. Arrasmith
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answered on Apr 5, 2024

In California, there is no statewide rent control for commercial properties, which means that landlords can generally increase rent as much as they want when a lease expires or if the lease allows for rent increases. However, there are a few important considerations:

1. Lease terms: If your...
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2 Answers | Asked in Business Law, Real Estate Law, Contracts and Landlord - Tenant for California on
Q: Is this possible Increasing commercial rent 35% in CA?

Currently, my commercial rent contract expires soon(Apr 30,2024)and I will re-new the contract. But landlord told me the rent will be increased 35%. Is this possible legally in CA?

Robert Kane
Robert Kane
answered on Apr 6, 2024

Commercial leases are less regulated than residential for a few reasons. The parties are considered to be more evenly situated and shelter is a basic human need. Commercial leases are usually for a longer term (e.g. 5 years) so a substantial increase is not unheard of. Obviously, without knowing... View More

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1 Answer | Asked in Business Law for California on
Q: Small Business status not claimed on a DoT CalTrans bid proposal.

The low bidder forgot (?) to 'claim' SBE status on electronic bid submittal, but is a certified SBE. The bid amount difference between 1st and 2nd is only $848 on a $2,4Mill bid. Second bidder ('I') claimed and is a certified SBE. Can 1st place bidder still claim SBE status after the fact?

James L. Arrasmith
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answered on Apr 5, 2024

Under California law, the rules regarding Small Business Enterprise (SBE) status and bidding on Department of Transportation (CalTrans) projects can be complex. In general, if a bidder fails to claim SBE status at the time of submitting their bid, they may face challenges in claiming that status... View More

1 Answer | Asked in Consumer Law, Business Law, Trademark and Intellectual Property for California on
Q: Hi, My name is Jacqueline and starting a skin care brand called Jacques Skin.

I have started an early stage skin care make up remover eye pads. My name Jacques will be a big part of the brand, but I am now concerned with Jacquemus Trademark and curious if you are able to give me insight into whether you believe this would overlap into potential future litigation since it is... View More

James L. Arrasmith
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answered on Apr 4, 2024

Hi Jacqueline,

I understand your concern about potential trademark issues with your brand name, Jacques Skin, and its similarity to the existing brand Jacquemus.

Trademark infringement occurs when there is a likelihood of confusion between two brands in the same or related...
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1 Answer | Asked in Appeals / Appellate Law and Business Law for California on
Q: We are a pro per plaintiff. We prevailed in civil trial. After judgment FINALLY entered (defendant kept objecting to pro

proposed judgments) they filed for new trial. One base was newly discovered evidence. We had filed an unrelated suit against other party 3 months AFTER verdict on completely different grounds. Defendants claim this undercuts our credibility and shows our awarded damages are excessive since new suit... View More

James L. Arrasmith
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answered on Apr 3, 2024

Based on the information provided, it seems unlikely that the defendant's claim of newly discovered evidence would qualify as grounds for a new trial in California. Here's why:

1. Timing: The new evidence (your unrelated lawsuit) was filed three months after the verdict in the...
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1 Answer | Asked in Business Law, Contracts, Real Estate Law and Small Claims for California on
Q: What is the rule for property managers in real estate law? That they have to be licensed to perform certain duties?

The management must be incensed agent to exercise certain duties,With the exception of living on-sight, which in this case they can perform those duties, but they must be under the close supervision of a licensed realtor. Paraphrased but what if the general manager of a apartment operates these... View More

James L. Arrasmith
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answered on Apr 3, 2024

Under California law, property managers who perform certain duties must be licensed real estate agents or brokers. The specific rules are outlined in California Business and Professions Code Section 10131 and 10131.01.

If a property manager is not licensed and performs duties that require a...
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1 Answer | Asked in Real Estate Law and Business Law for California on
Q: I own a condominium which is a rental property and managed by a property management company.

Does the rent received qualify as qualified business income? And is the rental of the property considered as a pass-through business?

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answered on Apr 1, 2024

The rental income from your condominium may qualify as Qualified Business Income (QBI) for federal tax purposes, and the rental property could be considered a pass-through business. However, there are some factors to consider:

1. Qualified Business Income (QBI): The rental income from your...
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2 Answers | Asked in Business Law and Contracts for California on
Q: i am owed 10,000 for painting a house. its been 8 monthes, how do I get him to pay me?
James L. Arrasmith
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answered on Mar 31, 2024

Under California law, you have a few options to try to recover the $10,000 owed to you for painting the house. Here are some steps you can take:

1. Send a demand letter: Write a formal letter to the person who owes you money, stating the amount owed, the reason for the debt, and a deadline...
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2 Answers | Asked in Business Law and Contracts for California on
Q: i am owed 10,000 for painting a house. its been 8 monthes, how do I get him to pay me?
Robert Kane
Robert Kane
answered on Mar 31, 2024

Congratulations on your new business! Welcome. All business owners need to establish an approach for collecting past due accounts and such. Ultimately, you will need to prove that you are entitled to the amount due to a judge.

It's important to document all aspects of the...
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2 Answers | Asked in Civil Rights, Construction Law, Small Claims and Business Law for California on
Q: So I’m a small business owner and my client refused to pay the ending balance on her invoice for $3500 what can I do
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answered on Mar 29, 2024

Under California law, when facing a situation where a client refuses to pay the remaining balance on an invoice, you have several avenues to consider. Initially, you should attempt to resolve the dispute amicably by communicating directly with the client. It's beneficial to review the contract... View More

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1 Answer | Asked in Consumer Law, Business Law, Gov & Administrative Law and Municipal Law for California on
Q: Autopay (water bill) with a credit card & paperless billing since 2008: Can city now charge fee for credit card use?

The city gets to save money with paperless billing. The customers set up auto pay with a credit card. This was a win-win. But the city now wants to change terms saying they will charge customers for credit card fees. This eliminates the incentive for the city to use a low cost credit card... View More

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answered on Mar 27, 2024

In California, businesses, including cities providing utilities, have the discretion to charge fees for credit card transactions, subject to state regulations and any agreements they may have with customers. The legality of introducing a new fee after a service has been provided under certain terms... View More

2 Answers | Asked in Contracts and Business Law for California on
Q: Removing these 2 clauses from Contract - implications?

I do freelance legal billing for attorneys and law firms. Currently, a potential client (law firm) wants to remove the Choice of Law and Choice of Forum clauses in my agreement. They are located in Nevada, while I'm located in California (location where the clauses are applied). What... View More

James L. Arrasmith
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answered on Mar 26, 2024

If the Choice of Law and Choice of Forum clauses are removed from your contract, there will be uncertainty regarding which state's laws apply to any disputes that arise. Normally, these clauses ensure that any legal matters are resolved according to the laws of a specific state and in a... View More

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2 Answers | Asked in Contracts and Business Law for California on
Q: Removing these 2 clauses from Contract - implications?

I do freelance legal billing for attorneys and law firms. Currently, a potential client (law firm) wants to remove the Choice of Law and Choice of Forum clauses in my agreement. They are located in Nevada, while I'm located in California (location where the clauses are applied). What... View More

Adam Stoddard
Adam Stoddard
answered on Mar 26, 2024

If you omit those two clauses, then you are potentially opening up the chance to be compelled to Nevada if there is any litigation regarding the contact itself or work you are contracting for. Also, if you want to start litigation in California for the same, the other party could attempt to compel... View More

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3 Answers | Asked in Business Law and Small Claims for California on
Q: Hello I have an inquiry in regards to my business and an unpaid client that says she’s not paying me

I handed her a final invoice that was very detailed and itemized but she said she was all paid after adding additional wants to the list what can I do to get my $3500 she owes

James L. Arrasmith
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answered on Mar 24, 2024

In California, if a client refuses to pay for services provided, you have several options. First, you should attempt to resolve the issue directly with the client by providing clear documentation of the services rendered and the agreed-upon costs. Communicate your concerns and attempt to reach an... View More

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3 Answers | Asked in Business Law and Small Claims for California on
Q: Hello I have an inquiry in regards to my business and an unpaid client that says she’s not paying me

I handed her a final invoice that was very detailed and itemized but she said she was all paid after adding additional wants to the list what can I do to get my $3500 she owes

Robert Kane
Robert Kane
answered on Mar 24, 2024

Congratulations on your new business! Welcome. All business owners need to establish an approach for collecting past due accounts and such. Ultimately, you will need to prove that you are entitled to the amount due to a judge.

It's important to document all aspects of the...
View More

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