North Carolina Business Law Questions & Answers

Q: Can my landlord demand payment of an unsigned new lease agreement. If my current lease does not end untill the 14 oct?

1 Answer | Asked in Business Law and Landlord - Tenant for North Carolina on
Answered on Oct 8, 2017

Your physical possession did create a right on you to pay for it as agreed through a post-dated check. Rest of the matter is just formalization / documentation. Please note that you already agreed to increase in rent provided you opt to extend the lease and stay in that premises further. However, for new lease keep all options open for the future.

If you have further reservations as missed out in your query, may consult Attorney of local jurisdiction for specific advice.

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Q: My LLC signed lease assumption (NC). Previous owner stayed as guarantor. What personal liability do i carry for lease?

1 Answer | Asked in Business Law, Real Estate Law and Landlord - Tenant for North Carolina on
Answered on Oct 2, 2017

Generally, you would not be personally responsible for the debts of the LLC. Piercing the corporate veil is the way that you get behind the LLC to individual members. There are many factors that determine whether the veil can be pierced. Co-mingling is one, inadequate capitalization, failure to follow corporation formalities. In your case, it sounds as if it may be unlikely, but that does not mean that a suit couldn't be filed attempting to hold you personally liable.
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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?

1 Answer | Asked in Business Formation and Business Law for North Carolina on
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 operate locally, as registering prevents another entity from using the same name, although it obviously does not prevent a sole-proprietor from using that name.
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Q: "Is running a fraudulent business a crime? Can I report to district attorney, FBI or IRS?

1 Answer | Asked in Business Law and Criminal Law for North Carolina on
Answered on Sep 13, 2017

You can certainly discuss this issue with a district attorney, but it is unlikely they will take any action. It is really a civil matter and can be pursued through a variety of causes of action to address the issues you describe. You may also consider contacting the Consumer Protection Division of the Attorney General's office and lodging your complaint there.
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Q: Breech of contract and recovery - 3 people $4,000 total 1 contractor

1 Answer | Asked in Business Law, Civil Litigation, Contracts and Criminal Law for North Carolina on
Answered on Sep 11, 2017

Since your suit likely involves the same transaction, events, and facts, you are permitted to join all of you as plaintiffs in the action.
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Q: I have an signed agreement to refund me $20,000 from a company but it is past due and they did not pay.

2 Answers | Asked in Business Law, Contracts, Collections and Consumer Law for North Carolina on
Answered on Sep 4, 2017

Although you could represent yourself, hiring an attorney with experience in contracts and collections would be helpful considering the amount of money at stake. An attorney will be able to assist you to help ensure that you obtain proper service, file the right action, and follow the proper execution procedures once you have the judgment.
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Q: Are there any stipulations on naming a real estate company in NC? (Planning on flipping and/or renting properties out)

1 Answer | Asked in Business Formation, Business Law, Intellectual Property and Real Estate Law for North Carolina on
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: "123 Main Street LLC"

Are there any restrictions on naming LLCs in North Carolina? Yes, a few:

The name of a limited liability company must contain the words "limited liability company" or...
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Q: What is considered disclosing information?

1 Answer | Asked in Contracts and Business Law for North Carolina on
Answered on Aug 25, 2017

I have a story about a boy who never grew up. My question is: Is Tinker Bell a fairy or magical child? The question can't really be answered without reading the book. Similarly, it's unlikely that an attorney is going to be able to offer you any substantive advice about a contract without first reviewing the contract.

Use the Justia Find a Lawyer function to find an attorney in NC who specializes in contract or employment matters.
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Q: I have been banned from a local animal shelter after reporting a dog dying in her kennel. is that legal?

1 Answer | Asked in Criminal Law, Animal / Dog Law, Business Law and Civil Rights for North Carolina on
Answered on Aug 25, 2017

Private businesses can ban anyone from their premises, so long as the ban isn't discriminatory and contrary to federal or state law. Something like, "No [race of people] allowed" would be illegal. Almost anything else, however, is permissible.
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Q: I am a member of a North Carolina LLC. One of seven members. Five of us think our funds are being embezzled.

1 Answer | Asked in Business Law for North Carolina on
Answered on Aug 22, 2017

Members of an LLC have a right to inspect the books and records of the company upon request, subject to certain restrictions that may be included in the operating agreement or articles of organization. You should consult your operating agreement and articles to determine whether either restricts your ability to obtain any of this information, and if so, to what extent. In fact, as a member or manager of the LLC, you likely have a duty to investigate and stop any embezzlement that is taking...
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Q: I now own 16.667% of a company I started 20 years s ago. Do I still have a say as to how it is run?

1 Answer | Asked in Business Law for North Carolina on
Answered on Aug 22, 2017

The percentage ownership does not necessarily determine what management rights you have. The bylaws and/or articles of the company/partnership/corporation should spell out what the ownership and management rights and duties of each person are. If you have a copy of the bylaws or articles, there should be a clause discussing these rights. If you do not have a copy, you should have a right to request one for inspection. And if there are no bylaws/articles or the bylaws and articles are...
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Q: Can my employers force me to take trash home? Is it legal not to have trash pickup at a place of business?

1 Answer | Asked in Business Law and Employment Law for North Carolina on
Answered on Aug 18, 2017

No one can force you to do anything you do not want. However, the employer can fire you if you do not.
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Q: Can A Lawyer loose his job for threatening me and my mama

1 Answer | Asked in Business Law, Criminal Law, Employment Law and Legal Malpractice for North Carolina on
Answered on Jul 22, 2017

Sure, if his boss wants to fire him for that.
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Q: I have been denied the purchase of fastpitch softball bats by the manufacturer. My question is can they do this?

1 Answer | Asked in Consumer Law, Business Law, Civil Litigation and Intellectual Property for North Carolina on
Answered on Jul 5, 2017

Probably, yes, as long as the manufacturer is not doing it on the basis of discrimination (i.e. if you are what is called a protected class). Maybe try using a third party intermediary to purchase the bats for you (such as a lawyer, who may be able to structure the deal to protect your identity as the client from the manufacturer, or any authorized retailer).

Good luck!

Griffin Klema
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Q: My partner and i want to introduce new paint in usa. Question is if it needs to be subjected to any standardized test

1 Answer | Asked in Business Law and Environmental for North Carolina on
Answered on Jun 11, 2017

Section 5 of Toxic Substances Control Act (TSCA) mandates anyone who plans to manufacture or import a new chemical substance for a non-exempt commercial purpose to provide the Environmental Protection Agency (EPA) with prior notice. This pre-manufacture notice, or PMN, must be submitted at least 90 days prior to the manufacture or import of the chemical. Manufacturers and importers must also comply with other TSCA regulations that may impose certain reporting and testing requirements and...
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Q: We have a signed contract to buy a property from an LLC (from Florida) but the LLC is inactive. is this possible in NC?

1 Answer | Asked in Business Law and Real Estate Law for North Carolina on
Answered on Jun 5, 2017

Technically, the LLC is not authorized to conduct business but it may be that they are dissolving so they do not wish to continue operations. While the company is dissolving the company may carry on by closing up the business, this would include selling off assets. In addition, an unauthorized company can generally remedy this and it becomes retroactive. To protect yourself, I would have both the LLC and its individual members sign off on any transfer or you should obtain something from the...
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Q: Could I have a website and provide a service to users that allows for uploading screenshots from video games for profit?

1 Answer | Asked in Copyright, Business Law, Entertainment / Sports and Internet Law for North Carolina on
Answered on May 18, 2017

If you're going to allow users to post potentially infringing material, you should become familiar with the DMCA takedown process and register a DMCA takedown agent with the U.S. Copyright Office. Qualifying for the DMCA safe harbor would shift the concerns of copyright infringement from you to the users posting any copyrighted content.

Posting screenshots of software, websites, and video games, is generally copyright infringement. Editing these screenshots may mean users are creating...
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Q: If the same person is listed as a registered agent and incorporator of an organization, does this mean he/she owns it?

1 Answer | Asked in Contracts and Business Law for North Carolina on
Answered on May 9, 2017

No. Neither an incorporator nor a registered agent have to have any ownership or title affiliation with an organization. Incorporator and registered agents are often third parties, such as attorneys or companies that are set up to act as registered agents.
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Q: Can I sue my brother for my share in a business that I solely founded and later had oral agreement for him to run

1 Answer | Asked in Business Law and Contracts for North Carolina on
Answered on Apr 10, 2017

Possibly, but this is a complicated matter and you will need to sit down with an experienced lawyer and go through all of the detail. It is possible you may have a breach of contract claim. However, some time has passed and you may have lost claims by waiting to pursue this.
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Q: NC. Is there a % limit to deposits for materials in Cost Plus building contract ?

1 Answer | Asked in Business Law, Contracts and Construction Law for North Carolina on
Answered on Mar 28, 2017

There is no limit by law, but it should be a negotiated sum between the homeowner and contractor. Generally, deposits should be limited to around 10% of the contract price, but this also depends on the remaining pay schedule. Contractors typically ask for deposits for material costs. However, if the deposit is a greater figure this may be a red flag that the contractor is not adequately capitalized or doesn't have access to credit for purchasing materials.
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