Billing for Recycled Work: A Follow-up Exchange of Views
October 01, 2003
In a recent edition, Professor William G. Ross analyzed the professional ethics restrictions incumbent upon lawyers who want to bill by the hour for previously produced work product. ("The Ethics of Billing by the Hour for 'Recycled' Work," August 2003.) Edward Poll, one of our prominent Board members, responds to the issue.
Partner Capital: Why Firms Need More in 2003
September 25, 2003
Most law firm partners react skeptically to the suggestion that their capital contributions should go up in 2003. After all, with the cost of borrowing at its lowest level in over 40 years, why should partners invest more capital in the firm, thereby delaying or reducing personal cash flow? Nevertheless, even well managed firms are now likely to need more partner-contributed capital than they did just a few years ago.
The Critical Crossroads Of Corporate America
September 22, 2003
The general counsel function is the critical crossroads of corporate America. Even the most skeptical of senior managers and board members evince a growing awareness that the role of the general counsel is crucial and strategic, and not merely technical and subordinate. The question, however, is whether this crossroads can bear the increasing volume and weight of the traffic coming its way.
REGULATORY DEVELOPMENTS
September 16, 2003
On March 13, 2003, Tommy G. Thompson, Secretary of the U.S. Department of Health and Human Services (HHS), announced two proposed rules from the Food and Drug Administration (FDA) that are intended to improve patient safety and are part of a strategic initiative by the FDA to reduce adverse events involving products that it regulates.
Doing Business After Sarbanes-Oxley
September 16, 2003
In a recent article in this newsletter, we described a hypothetical situation about a publicly traded health care entity that was under attack by government regulators, disgruntled shareholders, and likely a qui tam relator. See, Michael E. Clark, Proffer Agreements May Be a Viable Strategy for Negotiating with Government, (Health Care Fraud & Abuse Newsletter, October 2002). This hypothetical situation continues in this article, as we illustrate some of the heightened compliance risks facing officers, directors, and attorneys who represent publicly traded entities as a result of The Sarbanes-Oxley Act of 2002 ('Sarbanes-Oxley'), Pub. L. 107-204, 116 Stat. 745 (2002), which ushered in major reform measures when signed into law on July 30, 2002 (and also in light of other proposals for strengthening corporate accountability from the major self regulatory organizations and exchanges: the National Association of Securities Dealers (NASD) (see NASDAQ Corporate Governance Proposals, September 13, 2002) and The New York Stock Exchange (NYSE) (see Corporate Governance Rules Proposals Reflecting Recommendations from the NYSE Corporate Accountability and Listings Standards Committee As Approved by the NYSE Board of Directors, August 1, 2002).
Adding to the Franchisor's Arsenal
September 16, 2003
Franchisors have long packaged a business model along with a collection of intellectual property that includes service marks, trademarks, trade names, logos, trade secrets, and copyrighted materials (<i>eg</i>, operating manuals, product information sheets, and advertising collateral), in order to form a business opportunity that is attractive to potential franchisees. In order to protect franchisees from unfair competition, franchisors have always had federal copyright, trademark, and trade dress infringement actions and state law trade secret and unfair competition actions as part of their legal arsenal against such competitors. This arsenal also includes state law breach-of-contract causes of action against insurgent franchisees failing to 'follow the rules' of the business model (<i>ie</i>, failing to honor the obligations set forth in the franchise agreement crafted by the franchisor). In today's economic and technological climate, one more option should be considered for inclusion in a franchisors' arsenal — business-method patents and the threat of a federal patent infringement suit against unfair competitors and insurgent franchisees.
Point: Shootout Between Lawyers and Consultants
September 16, 2003
Five years ago, professionals who served the business world were actively seeking ways to blend across various professions. Accounting firms practiced law; law firms did consulting; and consultants practiced law. In large measure, the same still holds true today, but each of us is a little more reluctant to step out of his zone of comfort. In the post Enron/ Worldcom/Tyco environment, many professionals are on edge.
South Korea Enacts Franchise Legislation
September 13, 2003
The recently enacted South Korean Act on Fairness in Franchise Transactions (AFFT) went into effect on Nov. 1, 2002. According to the Korean government, the purpose of the AFFT is to establish 'fairness in franchise transactions and promote balanced and mutually complementary development on even terms between a franchisor and a franchisee for purposes of advancement of consumer welfare and a sound national economy.'
Damages from Defaulting Franchisees: More Options Than You Think
September 13, 2003
When the relationship between a franchisor and a franchisee breaks down, one might think the standard measure of damages is just the lost franchise fees. However, just as a simple failure to perform is not the only type of wrong suffered by franchisors, unpaid fees are not the only types of damages available. This article examines a number of cases in which the franchisor's claims — and claimed damages — were outside the ordinary.
IN THE MARKETPLACE
September 11, 2003
Central Leasing Corporation of Birmingham, AL has named Barry Thomas as credit manager. Formerly vice president and group manager at SouthTrust Bank, Thomas will be responsible for overseeing the credit department for the commercial leasing and finance company. In addition, he will also be responsible for managing day-to-day operations.
