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North Carolina Business Formation Questions & Answers
1 Answer | Asked in Business Formation, Business Law and Products Liability for North Carolina on
Q: Can I open a vending machine business that sells tobacco products in my state. North Carolina.

I read article 39 14-313 under the distribution of tobacco products and you would think it would be no however with the new technology of vending machines being able to use age verification, Would there be a way to get around this legislation and put these vending machines anywhere?

Peter N. Munsing
Peter N. Munsing answered on Mar 6, 2021

Unless the state permits that machine you would not be able to get the proper license to sell the product. It is unlikely, for many reasons, for that permission to be granted but you can always contact something like the American Enterprise Foundation to see if their legal arm is willing to... Read more »

1 Answer | Asked in Business Formation and Business Law for North Carolina on
Q: If I wanted to use pura vida yoga for my business name, is that okay?

I have a yoga clothing business. The name is pura vida yoga. Will that be in conflict with this trademark.

Ina Shtukar
Ina Shtukar answered on Feb 15, 2021

I am a bit confused. From a business prospective, you are free to choose any name you want. On the other hand, you may be violating (infringing) some intellectual property laws, if your brand name is too similar to another brand. Talk to an intellectual property attorney.

1 Answer | Asked in Banking, Business Formation, Business Law and Civil Litigation for North Carolina on
Q: Business partner locked me out of all company-related accounts. Both are 50% owners. What can I do? Details below.

My business partner got power-hungry and locked me out of my company email and quickbooks account as well as the bank account. She has contacted customers and told them to cease further communication with me. What can I do legally? I am 50% shareholder and a company officer.

State: NC... Read more »

Tim Akpinar
Tim Akpinar answered on Oct 27, 2020

A North Carolina attorney could advise best, but you await a response for two weeks. Your post could be a little bit difficult to respond to. Unlike many of the basic general legal questions that are posted here, your matter appears complex in nature. To give you any kind of meaningful guidance, an... Read more »

Q: twice in 2020 my company forced me to quarantine for 14 days (28 total) without pay. this was in a 4.5 month span.

because of this I have left the company to find a better fit for me and I want to know if I can sue them for the lack of pay as it caused me to surrender a vehicle in my name and lose major credit score points?

Kyle Anderson
Kyle Anderson answered on Aug 27, 2020

More information is required to fully analyze your claim. If you needed to quarantine because you came into contact with covid-19 or needed time off to care for a child whose school or daycare shut down for reasons related to covid-19, and your employer has less than 500 employees, you may be... Read more »

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Q: twice in 2020 my company forced me to quarantine for 14 days (28 total) without pay. this was in a 4.5 month span.

because of this I have left the company to find a better fit for me and I want to know if I can sue them for the lack of pay as it caused me to surrender a vehicle in my name and lose major credit score points?

Kyle Anderson
Kyle Anderson answered on Aug 27, 2020

More information is required to fully analyze your claim. If you needed to quarantine because you came into contact with covid-19 or needed time off to care for a child whose school or daycare shut down for reasons related to covid-19, and your employer has less than 500 employees, you may be... Read more »

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1 Answer | Asked in Business Formation for North Carolina on
Q: My HOA filed articles of incorporation with the NC Secretary of State in 1975.

We never acquired an employer id number (EIN) from the IRS. We have never filed a tax return. Are we a valid corporation? Are we a valid HOA? Can the NC SoS revoke our charter? What would that mean vis-a-vis the validity of the corporation?

The age of the HOA means that it does not... Read more »

David Allan King
David Allan King answered on Aug 23, 2020

Presuming you formed an LLC with your articles of incorporation, you were required to file an annual report and pay a fee each year. If you fail to file an annual report, the state can dissolve your LLC under § 57D-6-06. You can verify whether the LLC has been dissolved on the Secretary of State... Read more »

1 Answer | Asked in Business Formation, Business Law, Consumer Law and Contracts for North Carolina on
Q: How can I protect myself from the customer suing me?

Hi I have a marketing business where I put up Facebook ads and connect contractors with potential customers

My question is if the contractor breaks something, doesn’t fulfill the job, or the work is faulty and damages the home how can I protect myself from the customer suing me?

Phil Cardis
Phil Cardis answered on Jul 9, 2020

It would help to have a clear disclaimer in some form as to the limited role your marketing company plays in connecting contractors with prospects. Not sure what information you are using to market but best to disclaim those representations as well in some manner.

1 Answer | Asked in Consumer Law, Copyright, Business Formation and Business Law for North Carolina on
Q: Is it legal for me to use another company's logo on my ad/website?

I am taking multiple part-like products from several companies and combining them to make my own final product. Is it ok for those company logos to show on my website and in my ads?

Evelyn Suero
Evelyn Suero answered on Jun 3, 2020

Using another company's logo may expose you to a claim of infringement, since it may cause customer confusion regarding the source of your products. It may also create the impression that the brand is either affiliated with your company or endorses your company. If you need to mention the... Read more »

2 Answers | Asked in Business Formation, Business Law, Contracts and Legal Malpractice for North Carolina on
Q: What kind of lawyer can a massage therapist go to to create a liability waiver for free information sessions?

Sessions would include education on stretches, self-massage, and self-care. These free sessions are part of advertisement/marketing efforts to build a massage therapy business. Class would take place in libraries, churches, stores, any place that would like to partner with the licensed massage... Read more »

Kelli Y. Allen
Kelli Y. Allen answered on Feb 4, 2019

Your best bet is a business law attorney. A general practitioner who handles civil contracts should have familiarity with those issues as well.

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1 Answer | Asked in Business Formation, Trademark and Intellectual Property for North Carolina on
Q: Can I register my new business name as an LLC if it's different from an incorporated company's name by only one letter?

I'm rebranding my graphic design business in Raleigh, NC and I've found the perfect name. However, the name is similar to another company's name; the only difference is my new name has an additional letter in it to distinguish it from this other company. My company would be... Read more »

Will Blackton
Will Blackton answered on Sep 28, 2018

Your question can be answered a few ways:

Will the North Carolina Secretary of State accept your LLC's articles of organization if the name differs by only one letter from another entity also registered in North Carolina? Yes, the NC Secretary of State will permit registration so long...
Read more »

1 Answer | Asked in Bankruptcy and Business Formation for North Carolina on
Q: When filing for bankruptcy on an LLC. If the owners were given a salary. Will they be required to pay it back.

No personal guarantee was signed.

Timothy Denison
Timothy Denison answered on Aug 3, 2018

Not likely, no.

1 Answer | Asked in Business Formation for North Carolina on
Q: What if a person filed an Limited liability company with the name of the business will they still need to file for DBA?

Will they still need to file for a doing business as name?

Will Blackton
Will Blackton answered on Mar 6, 2018

A business should file a certificate of assumed name or d/b/a if the business is using a name /other/ than the name it has registered with the N.C. Secretary of State in organizing its LLC.

1 Answer | Asked in Business Formation for North Carolina on
Q: How do I start a Sole Proprietary Business in NC selling hand made goods?

I want to start my own business selling hand made goods and I'm not sure where to start.

Will Blackton
Will Blackton answered on Mar 6, 2018

A sole proprietorship is a business owned by one person, which has little legal significance separate from its owner and usually requires no governmental filing except a fictitious-business-name statement, which discloses the name under which the business will be conducted and the owner's name... Read more »

1 Answer | Asked in Business Formation and Business Law for North Carolina on
Q: I am starting multiple companies at the same time. Do I need to incorporate each or can the be held as subsides ?
Paige Kurtz
Paige Kurtz answered on Mar 1, 2018

It depends and an attorney would probably need additional information before being able to answer this question. I suggest speaking to an accountant to understand the tax issues first and then speak to an attorney.

1 Answer | Asked in Business Formation, Business Law, Intellectual Property and Trademark for North Carolina on
Q: I am forming an LLC with a partner. The LLC name is each of our last names. How can I protect the name of the LLC?

We are located in NC.

The name has already been registered and brand developed.

Will a trademark on the name, owned by myself or the LLC protect the LLC name?

Can each member give up the rights to take their name in the operating agreement?

Cameron Lambe
Cameron Lambe answered on Sep 20, 2017

While I'm not exactly sure what the second part of your question is asking, a trademark filed with the USPTO will protect the LLC name if it is distinctive and unique, and that will apply nation-wide. Many local businesses don't opt for this level of protection if they only plan to... Read more »

1 Answer | Asked in Business Formation and Trademark for North Carolina on
Q: Hello, I am starting a new business and already secured the domain name "mystockmarketsignals"...

Now, I found where someone else has a "service mark" trademark of "stock market signals".... Do I have to give up my original business name? Thx! Jim

As a follow up... why would the USPTO allow a trademark of these common words?...... A trademark should be a mark of... Read more »

Michael Gerity
Michael Gerity answered on Sep 11, 2017

Well, it sounds like you have not started using your mark in commerce, which is what is required to secure a priority date vs. another user. As such, if their mark is actually valid (federally registered marks are entitled to a presumption of validity, but that presumption can be overcome in... Read more »

Q: Are there any stipulations on naming a real estate company in NC? (Planning on flipping and/or renting properties out)
Will Blackton
Will Blackton answered on Sep 4, 2017

I assume you're asking about LLC naming conventions, because that is the most common type of corporate entity formed to hold real estate for investment purposes. Many real estate investors form LLCs for each property and name the LLC after the street address of the property. For example:... Read more »

1 Answer | Asked in Business Formation and Landlord - Tenant for North Carolina on
Q: I owned the building in which a family member ran a daycare. Never require her to pay rent. How do I get her out now?

We need to rent to another daycare.

Paige Kurtz
Paige Kurtz answered on Jul 26, 2017

You will need to file a summary ejectment proceeding in small claims court. Even if you aren't owed monies for rent, it is the process you must use to evict someone.

1 Answer | Asked in Business Formation, Contracts and Construction Law for North Carolina on
Q: How we can negotiate with contractor to finish the project?

Hi. We live in Concord NC. We signed a contract to build a new parking lot. The disign was signed and approved by the city. We paid the 88% already to the contractor and he didn't finish the job correctly. We talk all together with the engineer to let him know what he has to fix up. The... Read more »

Paige Kurtz
Paige Kurtz answered on Jul 18, 2017

The contract terms should state how and when the contractor is entitled to payment and under what terms payment may be withheld. I would refer to the contract terms in attempting to negotiate with the contractor. If you have documented problems and the contractor won't fix them, you can... Read more »

1 Answer | Asked in Business Formation for North Carolina on
Q: Does A person need A business license to start A digital marketing agency?
Will Blackton
Will Blackton answered on Jul 7, 2017

Generally, no.

What types of good will you be marketing? Will you just be advertising goods or will you be fulfilling customer orders, by dropshipping for example? If you're doing more than connecting a customer with a company you may need a license, depending on the industry...
Read more »

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