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New York Business Law Questions & Answers
1 Answer | Asked in Business Law and Employment Law for New York on
Q: Are there laws requiring companies to list terminations correctly if outsourcing positions?

recently a hospital has taken its IT staff and changed them to another organization. One team had to train staff in another country and once this was done, they were terminated once the training was completed and then on their terminations, it listed the reason as downsizing instead of outsourcing.

James L. Arrasmith
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answered on Nov 11, 2023

In New York, there are no specific laws that mandate how a company must list the reasons for termination on employment records, particularly in the context of outsourcing. However, there are laws that require employers to provide truthful information about the reasons for termination. If an... View More

1 Answer | Asked in Banking, Business Law, Securities Law and Stockbroker Fraud for New York on
Q: Brokerage Misconduct - E*TRADE

In May 2022, I invested $8M in a U.S. Treasury note, due in April 2024. I instructed my ETRADE manager to liquidate $5.6M for property buying. Unexpectedly, ETRADE initiated a $5.6M margin loan, leaving part of my investment intact. I discovered this during a routine review, not through direct... View More

James L. Arrasmith
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answered on Nov 4, 2023

In situations like this, you may have grounds to file a complaint for brokerage misconduct if E*TRADE acted contrary to your instructions and without your consent. It's essential to review the client-broker agreement and any written communication to determine if E*TRADE deviated from the... View More

1 Answer | Asked in Business Law, Civil Litigation and Internet Law for New York on
Q: What remedy do I have if a person left a bad review on the BBB website, for my business, but I have never met her?

I am located on Long Island, NY.

This person left a bad review and I have never met or interacted with this person to the best of my knowledge. I requested additional details regarding what the person looked like or the service vehicle (my service vehicle is very distinct) they were... View More

James L. Arrasmith
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answered on Nov 4, 2023

In situations like this, your first step should be to reach out to the Better Business Bureau (BBB) and file a dispute against the review. Explain your situation, provide any evidence you have that the review is fraudulent or mistaken, such as your schedule for the day in question, and ask for the... View More

1 Answer | Asked in Consumer Law, Small Claims, Copyright, Business Law and Intellectual Property for New York on
Q: The Skullgirls team has taken a digital product that many people purchased and altered it in very significant ways.

The Skullgirls team has taken a digital product that many people purchased and altered it in very significant ways. They've cut out entire pages from the art book, removed and re-announced voice lines, and drawn over concept art to make it less offensive. The current Skullgirls team, while... View More

James L. Arrasmith
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answered on Nov 4, 2023

If you purchased a digital product like a game or an art book, the terms of the sale, including any End User License Agreement (EULA), will typically govern what the seller can and cannot do after the purchase. Many digital products come with licenses that allow the company to update or alter the... View More

1 Answer | Asked in Banking, Business Law, Elder Law and Stockbroker Fraud for New York on
Q: My mother is being attacked, financially, by her mother's former broker. What can she do?

He has accused her of fraud, removing her from her bank accounts, attacked her mother's current broker with a false report. She can no longer pay her Bills. Also, he is working with my mother's sister, lying to her about things my mother never said, and using my grandma, who my sister has... View More

James L. Arrasmith
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answered on Nov 4, 2023

Your mother should consider retaining an attorney experienced in elder law and financial exploitation cases immediately. This situation may involve complex issues like undue influence and financial abuse. An attorney can help navigate the allegations, work to protect her interests, and potentially... View More

2 Answers | Asked in Business Formation and Business Law for New York on
Q: How should I figure out the best way to set up bookeeping/taxes for my PLLC providing psychotherapy? Too many options!

It took the state a year and a half to process the PLLC paperwork. Meanwhile, to pay the bills, I did contract work (1099) through other businesses. Now that's the bulk of my income. Since that's already taxed, it's hard to know how to set up bookeeping.

James L. Arrasmith
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answered on Nov 4, 2023

When setting up bookkeeping and tax structures for your PLLC providing psychotherapy, it's beneficial to consult with a certified public accountant (CPA) who is experienced with healthcare professionals and small business accounting. They can provide tailored advice on how to integrate your... View More

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2 Answers | Asked in Business Law and Election Law for New York on
Q: Hi, I am a shareholder in co-op building in NYC We didn't have an election for the 4-5 years.

The shareholders lost trust in board directors members

We send a request for special meeting and immediate election , more that 25% of shareholders signed the letter.

The board didn't reply to our request, they just ignore us.

what can we do in such case.

Thank you,

Lola

James L. Arrasmith
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answered on Nov 4, 2023

If the board of your co-op in NYC is not responding to a request for a special meeting and election signed by more than 25% of shareholders, you may need to take further action. Check your co-op's bylaws for specific procedures regarding special meetings and the election of board members. If... View More

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1 Answer | Asked in Consumer Law, Business Law and Constitutional Law for New York on
Q: NYC a clause to be exempt from taking my Personal Bill paying money, should i add the CPRL 1012 to the OTSC in NYC?

Can you help? My account seized, no prior notice. Being a herd ship case as per the CPRL’s predicate. Seems "would apply. Exemption states money be personal & 90% of all profit there be exempt. Was my constitutional rights destroyed by seizing$? The acct. were ONLY Non-Contracting... View More

James L. Arrasmith
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answered on Oct 18, 2023

From the information provided, it seems you are referring to New York's Civil Practice Law and Rules (CPLR), particularly sections related to exemptions from money judgments and possible orders to show cause (OTSC). If you believe that CPLR 1012 applies to your situation, you could consider... View More

1 Answer | Asked in Business Formation and Business Law for New York on
Q: Is there a deadline or timeframe to file an Amended Certificate of Incorporation for a Non Profit in New York State
Damien Matthew Bosco
Damien Matthew Bosco
answered on Oct 12, 2023

There is no deadline to file an amendment.

A not-for-profit corporation may amend its Certificate of Incorporation from time to time by filing a Certificate of Amendment under Section 803 of the Not-for-Profit Corporation Law.

The document may contain any of the information that may...
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1 Answer | Asked in Tax Law and Business Law for New York on
Q: NY: If I do online-only web design (never selling tangibles), do I need a Certificate of Authority & to charge sales tax

I do have an office out of which I conduct business, but again: I do not ever provide anything tangible. (Not even a single piece of tangible paper goes from my hand to the client's hand.) Also, I use online software (purchased online only) to create the websites for clients. If it matters: I... View More

James L. Arrasmith
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answered on Sep 14, 2023

In New York, if you provide online-only web design services and do not sell tangible goods, you are generally not required to charge sales tax to your clients. However, it's crucial to periodically review state and local tax laws, as regulations can change, and certain exemptions or... View More

3 Answers | Asked in Business Law, Contracts and Real Estate Law for New York on
Q: I entered into a contract with a company to sell my property to them but have not heard back. What are my options?

As the sale date nears i have not heard from them about my payment. Can i make them honor the contract?

David Marc Deemer
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answered on Aug 27, 2023

Yes, you can. Your first option is to serve them a Time of the Essence ("TOE") notice, which gives them the 30 days to close. Your next option, is to sue them for specific performance which would force them to close per the terms of the contract.

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3 Answers | Asked in Business Law, Contracts and Real Estate Law for New York on
Q: I entered into a contract with a company to sell my property to them but have not heard back. What are my options?

As the sale date nears i have not heard from them about my payment. Can i make them honor the contract?

Michael David Siegel
Michael David Siegel
answered on Aug 27, 2023

Maybe. Depends on the terms of the contract. But, it would take a lawsuit, and whether you can collect the costs of a suit or even a judgment, is speculative.

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3 Answers | Asked in Business Formation and Business Law for New York on
Q: Do I need to form a PLLC vs an LLC if I am Physical Therapist looking to start my own practice in NY?

I formed an LLC already. Unaware after reading some websites that licensed professionals are supposed to form a PLLC but I wanted to confirm if that is true.

Samuil Buschkin
Samuil Buschkin
answered on Aug 13, 2023

In New York, professional licensees of certain type cannot practice together with non-licensed people, making the regular LLC not an acceptable way to organize the company. Those filing the PLLC must be licensed to practice the occupation in question, and the company must be managed by those with... View More

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2 Answers | Asked in Business Law and Landlord - Tenant for New York on
Q: If I rent apartment and I rent it for another people Is this legal or am I legally held accountable for this
T. Augustus Claus
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answered on Aug 9, 2023

Renting an apartment on your own and then subletting or renting it to someone else is generally known as subleasing. The legality of subleasing depends on several factors, including your lease agreement, local laws, and the landlord's policies.

In many cases, subleasing requires the...
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2 Answers | Asked in Business Law and Landlord - Tenant for New York on
Q: If I rent apartment and I rent it for another people Is this legal or am I legally held accountable for this
Steven Warren Smollens
Steven Warren Smollens
answered on Aug 26, 2023

A statewide statute allows for a tenant the right of Subleasing an apartment in a building with four or more apartments with the advance written permission from the landlord even if the lease did not allow the right to sublet. https://www.nysenate.gov/legislation/laws/RPP/226-B

The statute...
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3 Answers | Asked in Business Law, Civil Litigation, Intellectual Property and Copyright for New York on
Q: Do I have as a software developer the right to confiscate source code, if the customer denies to pay the last 10%
Tim Akpinar
Tim Akpinar
answered on Aug 3, 2023

If you reached out to attorneys, they would ask about the terms of your agreement, as my colleague points out. It could depend on who is identified as the owner of the code. The intellectual property attorneys here would have insight into the issues that could arise in terms of ownership, if you... View More

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3 Answers | Asked in Business Law, Civil Litigation, Intellectual Property and Copyright for New York on
Q: Do I have as a software developer the right to confiscate source code, if the customer denies to pay the last 10%
James L. Arrasmith
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answered on Aug 6, 2023

Retaining or confiscating the source code could be considered a breach of contract or theft of intellectual property, which may lead to legal consequences. Instead, you should pursue appropriate legal remedies, such as negotiating with the customer, seeking payment through a collections process, or... View More

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1 Answer | Asked in Consumer Law, Business Law and Internet Law for New York on
Q: The web host I've been with for more than 20 years just disabled my account because of a dispute with Discover Card.

I put in a dispute about a $100 unexplained fee with Discover, so they deactivated my account without notice. I now have no email on those accounts. Is it legal to do this without notice? I sent in many trouble tickets asking them what the fee was for but never got a solid answer. This is affecting... View More

Tim Akpinar
Tim Akpinar
answered on Jul 9, 2023

There are attorneys who specialize in IT matters, but your question remains open for a week. Until you're able to consult with one, from the standpoint of contract law, it could depend on your hosting agreement. It's possible the payment dispute was treated as a breach of the agreement,... View More

1 Answer | Asked in Business Law for New York on
Q: Can members make motions at an annual meeting of a nonprofit corporation? Our board says no.
Matthew Morris
Matthew Morris
answered on Jul 2, 2023

You will want to look at the certificate of incorporation and the organization's by-laws.

Under New York law, the by-laws "may contain any provision relating to ... the rights or powers of its members." In general, New York law recognizes that the members may vote for the...
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2 Answers | Asked in Business Law and Business Formation for New York on
Q: Hello,Volunteers are painting a mural- raising money, and need liability insurance. What type of entity should we be?

A small group of community volunteers have been given permission to paint a mural in the community. The building belongs to a local business and they need us to have some type of liability insurance. To get the insurance (and to smooth out the non profit fundraising), we think we need to be some... View More

Tim Akpinar
Tim Akpinar
answered on Jun 26, 2023

It could be difficult for anyone here to know what kind of insurance coverage is best, based on the type of business entity you contemplate going with. That's something an insurance agent may be better equipped to advise on. One option might be to reach out to insurance agents to explore... View More

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