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Texas Business Law Questions & Answers
1 Answer | Asked in Business Formation, Business Law, Civil Litigation and Contracts for Texas on
Q: Write a subpoena to produce documents. Store location is in a Texas County but corporate headquarters in another state.

* Subpoena Local Store Operating in Texas for Documents; However, Corporate Headquarters is in Another State

I need to subpeona a store to produce documents in a proceeding in Texas. The local store is operating in Dallas County, Texas; However, the corporate headquarters is located in... View More

John Michael Frick
John Michael Frick
answered on Dec 3, 2024

If a corporation is operating a store in Texas, it is required to obtain a certificate of authority from the Texas Secretary of State and to have and maintain a registered agent for service of process in Texas. If it fails to do so, then the Texas Secretary of State is an agent for service of... View More

2 Answers | Asked in Business Law for Texas on
Q: How long can it be since an act that we can still file a lawsuit against a bank?

Years ago our bank took money from our account to pay a Dish Network service that we never signed up for.

John Michael Frick
John Michael Frick
answered on Nov 14, 2024

To the extent that the bank actions breached its account agreement with you, four years. If the bank's act was not a breach of contract. most likely a two-year statute of limitations applies. There are certain legal doctrines which can delay or toll the running of a statute of limitations... View More

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1 Answer | Asked in Contracts and Business Law for Texas on
Q: Provided call center services for 24+ months; client now refuses to pay invoices. Can we take legal action to recover $?

Provided call center services to client for 24 months. Now they refuses to pay three invoices totaling $19,181.83. Per our contract, a $200 weekly late fee per invoice has accrued, bringing the current amount owed to $41,581.83. Client also failed to honor a three-month cancellation notice, costing... View More

John Michael Frick
John Michael Frick
answered on Nov 13, 2024

First, seeing a contract alone does not necessarily mean that the other party agreed to its terms. If I receive and read your contract, I will be aware of its terms, but that does not mean that I agreed to them. The lack of a signature indicating assent to the terms is going to be a problem. It... View More

1 Answer | Asked in Business Law for Texas on
Q: We have registered a S Corp. but haven't signed byLaws , form 2553, and Certificate of Secretary. Our we a legit company

We are a start up and have registered a S Corp. but haven't signed byLaws, form 2553, and also our Secretary hasn't signed the Certificate of Secretary. However, we have the IRS EIN#. Now we got to a point that we want ask our CEO who is also one of the co-fonder(20%share) to leave the... View More

John Michael Frick
John Michael Frick
answered on Oct 14, 2024

Your question is ambiguous. The filing of Form 2553 is what registers a corporation as an S corporation. Until Form 2553 is filed, the entity is a C corporation. There is a time limit to file the Form 2553 to elect to be an S corporation.

The Board usually can elect another CEO....
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1 Answer | Asked in Business Law and Collections for Texas on
Q: I'm being sued by Discover credit card after going through debt consolidation. do I need lawyer ?

Is debt consolidation legal? I have never missed a payment to debt consolidation. I have multiple sclerosis and am so sick most of the time, Im frustrated and scared to death . any helpful information on what to do would be so very appreciated. I didnt know debt consolidation could land me in this... View More

Joel Gary Selik
Joel Gary Selik
answered on Sep 7, 2024

The debt consolidation companies are not always clear on what they can or cannot due. The creditor must agree to the payment plan or the compromised payment. Without it they can sue. Find defenses to the defense and negotiate a settlement. If you still have many other debts, bankruptcy might be... View More

2 Answers | Asked in Tax Law and Business Law for Texas on
Q: If I transfer ownership of a business to my father, what are my options and responsibilities given there's back taxes?

My father runs a cleaning (franchise) business that is under my name, but I am not actively involved and I do not receive proceeds. It opened in late 2017 and didn't see any revenue until 2018 when it first acquired contracts. I'm looking to transfer ownership to my father for the... View More

John Michael Frick
John Michael Frick
answered on Jul 26, 2024

You can transfer 100% of your interest in the business to your father. You will be legally responsible for all taxes incurred by the business prior to the effective date of your transfer of your ownership interest.

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1 Answer | Asked in Contracts, Business Law and Employment Law for Texas on
Q: How can I recover unpaid commissions?

Facing closure, my former employer and I agreed on a commission-only role to keep me on board. I successfully brought in several clients, including their largest ever, a multi-million dollar deal. After receiving a partial commission for this deal, communication and transparency around client work... View More

Tim Akpinar
Tim Akpinar
answered on Jul 25, 2024

A Texas attorney could advise best, but your question remains open for two weeks. One option is to review your matter with a Texas attorney. The first thing they'll ask, which is not mentioned in your post, is whether you had a written agreement as to your commissions. That would be valuable.... View More

3 Answers | Asked in Banking, Business Formation, Business Law and Gov & Administrative Law for Texas on
Q: How do I deposit a refund check from insurance company for a LTD that has been dissolved.

I had a LTD business that is now dissolved. Since its dissolution I received a refund from an insurance company for overpayment of services. I have tried everything to deposit this check. The insurance company will not reissue it and I cannot sign it over to a third party. I am wondering if I can... View More

John Michael Frick
John Michael Frick
answered on Jul 18, 2024

Endorse the check on behalf of the company over to yourself as an individual and deposit it in your individual account.

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2 Answers | Asked in International Law, Mergers & Acquisitions and Business Law for Texas on
Q: We sold our company in Sept 2023 to two Mexico investors, need help come 9/20/24 when sellers note is due can you help?

Seller's note is contingent upon gross revenue of $2.85 million and paid out monthly for 4 years each year 120K The gross revenue will not be attained due to new buyers non performance. New owner is not a citizen of the US and is a 26 yr old son of one of the investors and has no interest in... View More

John Michael Frick
John Michael Frick
answered on Jun 17, 2024

You should contact an attorney experienced in the area of practice called business litigation in or near the county specified in the forum selection clause in the sale agreement, or in the county where the new owner resides if he is the promisor on the note, or in the county where the... View More

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2 Answers | Asked in International Law, Mergers & Acquisitions and Business Law for Texas on
Q: We sold our company in Sept 2023 to two Mexico investors, need help come 9/20/24 when sellers note is due can you help?

Seller's note is contingent upon gross revenue of $2.85 million and paid out monthly for 4 years each year 120K The gross revenue will not be attained due to new buyers non performance. New owner is not a citizen of the US and is a 26 yr old son of one of the investors and has no interest in... View More

James L. Arrasmith
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answered on Jun 19, 2024

I understand your concerns about the upcoming meeting on September 20, 2024, regarding the seller's note payment. It seems that the new owners have not been performing as expected, which may result in a lower payout than initially agreed upon. Given the complexity of the situation, involving... View More

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1 Answer | Asked in Constitutional Law, Business Law and Gov & Administrative Law for Texas on
Q: If an individual is Iranian citizen, but also American permanent resident simultaneously,

who owns a business in the US, and is looking to bid on a contract that is not in connection with critical infrastructure, does the government code section 2274.0102 still apply?

Thank you

James L. Arrasmith
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answered on Jun 15, 2024

Government Code section 2274.0102 focuses on restricting contracts with certain foreign-owned entities, particularly when it comes to critical infrastructure. Since the contract in question is not connected with critical infrastructure, this specific section might not apply directly.... View More

1 Answer | Asked in Banking, Business Formation and Business Law for Texas on
Q: I want to sue regency bank. I’m in Tx, ex business partner is in Oldsmore,FL.

My business partner and i created a bank account. He set it up in Fl and signed for me to be on bank account. We are both owners splitting 50/50 % ownership.

I transfer 80k into business account. Which is everything to my name at the moment.

I thought both owners had to be on... View More

John Michael Frick
John Michael Frick
answered on Jun 11, 2024

Without reviewing the account application, company agreement, and company banking authorization, it is impossible to say based on your description if the bank was negligent. Importantly, as an owner of the company, it was clearly your duty to make sure the account application, company agreement,... View More

2 Answers | Asked in Business Law for Texas on
Q: The customer we are not sure drink in the restaurant or no ?because we don’t have his card information

The customer we are not sure drink in the restaurant or no?because we don’t have his card information,we have insurance,but we don’t have liquor insurance,right now the plaintiff sue to our restaurant. So what can we do ?

John Michael Frick
John Michael Frick
answered on May 30, 2024

If your business has been sued and you do not have insurance coverage, you should hire a civil trial attorney with experience in dram shop cases to represent your business immediately. Normally, you have roughly three weeks from the date that your business was sued to file a written answer to the... View More

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3 Answers | Asked in Admiralty / Maritime, Contracts, Business Law and Social Security for Texas on
Q: What are the powers that an authorized agent has to act on an account for the principal?

Accepting and transferring balances to the principal account

John Michael Frick
John Michael Frick
answered on May 28, 2024

An authorized agent has whatever powers the principal has given to the agent acting on his/her/its behalf. An agent has a fiduciary duty to act honestly in accordance with the principal's instructions in good faith with utmost loyalty to the principal and to refrain from self-dealing.

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3 Answers | Asked in Admiralty / Maritime, Contracts, Business Law and Social Security for Texas on
Q: What are the powers that an authorized agent has to act on an account for the principal?

Accepting and transferring balances to the principal account

James L. Arrasmith
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answered on Jun 2, 2024

As an authorized agent on an account, you have the power to perform specific financial actions on behalf of the principal. These actions can include accepting and transferring balances to the principal's account. Essentially, you manage financial transactions that the principal has entrusted... View More

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2 Answers | Asked in Business Law for Texas on
Q: If we are not sure customer drink alcohol in restaurant after happen accident,what does restaurant can do
John Michael Frick
John Michael Frick
answered on May 28, 2024

This sounds to me like you are asking about a "dram shop" case where a patron of a business selling alcohol consumes too much and then has a collision while operating a motor vehicle under the influence of alcohol.

In a dram shop case, the business/bartender/licensee is liable...
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2 Answers | Asked in Small Claims, Business Law, Civil Litigation, Trademark and Intellectual Property for Texas on
Q: What can I do about a company branding my unique name on their product and it is causing very bad problems for me?

My name is very unique. I can't look me up anymore. Credit bureaus can't verify me. When I try to look my name up it is now under my parents name as an alias and only shows my 2 siblings.

Sean Goodwin
Sean Goodwin
answered on Apr 30, 2024

Under trademark law, no one can register a trademark with a person's surname (i.e., last name). Companies can still use a name as a trademark/brand and simply not apply for federal or state trademark registration. If a first name is unique, then it might fall under the trademark category... View More

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2 Answers | Asked in Small Claims, Business Law, Civil Litigation, Trademark and Intellectual Property for Texas on
Q: What can I do about a company branding my unique name on their product and it is causing very bad problems for me?

My name is very unique. I can't look me up anymore. Credit bureaus can't verify me. When I try to look my name up it is now under my parents name as an alias and only shows my 2 siblings.

James L. Arrasmith
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answered on May 1, 2024

If a company is using your unique name on their product, and it's causing significant problems for you, there are several steps you can take. First, consider reaching out to the company directly to express your concerns and the specific issues their use of your name is causing. A respectful... View More

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1 Answer | Asked in Banking, Business Law, Consumer Law and Contracts for Texas on
Q: BCHAPTER III - CREDIT REPORTING AGENCIES Sec. 1681i - Procedure in case of disputed accuracy.. how to check

I might have a case for this but I wanna make sure...

Matthew McKenna
Matthew McKenna
answered on Apr 26, 2024

In order to get procedures from a credit reporting agency, you'll likely need to sue them and ask for the procedures in discovery. They will likely only hand them over under a protective order. I would contact a consumer protection attorney that is familiar with the Fair Credit Reporting Act.

1 Answer | Asked in Business Law, Contracts, Consumer Law and Small Claims for Texas on
Q: Where do I file a small claim against a corporation headquartered in Ohio but conducts business in Houston, Texas

The Company is Divisions Maintenance Group in Ohio but operates a handyman app that provides a job load board for technicians anywhere in the nation. As we perform maintenance jobs for businesses in our local region, the businesses pay Divisions Maintenance Group for our services, and we get paid... View More

John Michael Frick
John Michael Frick
answered on Apr 19, 2024

In justice court, a suit on an oral or written contract for labor actually performed may be brought in the county and precinct where the labor was performed. TCPRC 15.092. So in the JP court for the precinct where the Sam's Warehouse where you performed the services is located.

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