Top Legal Info Guide

Desmo Boss asked:


Before selecting a local personal injury attorney directory website you must be assured that the local personal injury attorney directory is unbiased and fiercely independent. Which means that when selecting a personal injury attorney at law, personal injury lawyer your selection from the local injury attorney directory is not influenced or based on financial kickbacks – payments received by the website to refer local injury attorneys to potential clients?  Unfortunately, this biased local injury attorney practice is extremely common on the internet and definitely not needs led based and beneficial to the potential local injury lawyer client.

The three category areas of discussion in this article and is a simplified analysis of the three main category types of local personal injury attorney, local personal injury lawyer directories on the internet – there are more than three types of personal injury attorney, personal injury lawyer directories available, though we will concentrate on the three main types of the local personal injury attorney, personal injury lawyer directories. The three main categories of personal injury attorney, personal injury lawyer directories are local injury attorney referral website, nation wide injury lawyer directory out of state referral system practiced, definitely not an independent directory and not an independent local injury attorney directory which is purely used as a referral system and paid for by local personal injury attorneys and personal injury lawyers’ local law firms, thus paying the local personal injury attorney, lawyer directory website handsomely for potential client leads and intensive local referrals – both types of personal injury attorney, personal injury lawyers’ directories exploit the potential client by depriving the potential client of freedom of choice and thus driven being driven by financial gain.

The third and final category type of local personal injury attorney, lawyer directory – complete attorney index, and entirely independent of outside interference, should be similar in structure to your local yellow pages directory whereby a potential client searching for an independent personal injury attorney, personal injury lawyer will be directed by individual choice options to firstly their State of residence, their local area – city, town or rural area, and finally an independent and complete attorney index of the personal injury attorney, personal injury lawyers’ contact details, personal injury attorneys - firms name, address of law firms office, and contact telephone number and fax. At this stage the independent complete attorney index directory is concluded and will not assist in the potential clients’ choice, neither directly or indirectly. The potential client will be expected to contact their independent personal injury attorney, local injury lawyer by their own means how and when they so desire, or just jot down the local personal injury attorney, personal injury lawyers’ contact details for future contact, the contact details available on the complete attorney index comprises of all local personal injury attorneys personal injury lawyers contact details as available at the time of searching.

Unfortunately, the third option is not a financially viable business option as the daily running costs of an independent choice personal injury attorney, personal injury lawyer directory – especially one which benefits from regular updated local personal injury database, can be quite a financial burden when providing an independent and unbiased directory which allow the potential personal injury client a needs led and recommendations free local personal injury attorney directory. On the independent complete attorney index website the only access to beneficial financing is the unobtrusive display of click on advertisements which will not necessarily divert the potential client from an independent personal injury attorney, personal injury lawyer search, as the click on advertisements will not display keyword related  - injury attorney, injury lawyer adverts, again the keyword related adverts – google adsense, would destroy the independence while selecting an impartial and unbiased local personal injury attorney, local injury lawyer.

You are the person best suited to understand the legal services you need and you must insist that you have an independent right of free choice which must be based on freedom to choose and freedom to select the most appropriate and relevant local personal injury attorney, personal injury lawyer based on your needs, not based on the most lucrative profits from referral law firms to biased legal directory directories.

Complete Attorney Index is a free independent and regularly updated, US directory of thousands of highly experienced local personal injury attorneys and local personal injury lawyers who regularly consult people like you with personal injury issues, often free of charge. Free Nation Wide Search…

Excellent resource, completely free, unbiased and intensely independent search directory. Without doubt the most freely available local personal injury attorney, local personal injury lawyer directory on the internet today. Complete attorney index US local injury attorney, local lawyer directory is regularly updated with local personal injury attorneys, local personal injury lawyers. I have created and own a wide ranging variety of websites with the absolute priority of providing a free, unbiased, efficient, and effective and needs led freedom of choice service. I honestly believe complete attorney index website have definitely accomplished my lifelong goal in providing an independent and unbiased legal directory. Your Freedom of Choice is your protected right – Complete Attorney Index website if intensely independent and intensely unbiased. You search and contact with no introductions whatsoever – exercise you freedom to choose Search Now! Find local personal injury attorney free. Find local personal injury lawyer free.

Offer you an unbiased local personal injury attorney local personal injury lawyer search directory.



Adoption Lawyers Knoxville

mr. clean asked:


I need a lawyer to help me get a better deal on my visitation rights. I recently recieved an offer from her lawyer and i’m not really feeling it. Was wondering if anyone know about how much it cost for a descent lawyer. I live in Houston but i may need one in Dallas being she lives close to it. Any suggestions?

Tennessee Adoption Lawyer

Pascha asked:


If the lawyer says that a time deadline imposed by a judge in an order is “flexible.” what would you think?
Would you think that the lawyer and perhaps the court would be bending the written Rules of Court on other matters, so that the pro se person would have no way of knowing what the real operational rules were? How often do lawyers stray from adhering to proceedural rules, and are they usually allowed to do so if the are proceeding against a pro se party?

DUI Attorney Knoxville

Kevin B. Murphy, Franchise Attorney, MBA - Mr. Franchise asked:


Millions of people dream about owning their own business. Having the independence that being your own boss brings, the security that no one can fire you, enjoying a good income - and for the most successful - the accumulation of wealth and prosperity. Unfortunately, the cards are stacked against a new small business making it big - or making it at all. An endless stream of problems makes competition from large, sophisticated chains too intense. Many new start-ups end as failures.

Buying a franchise represents a different approach to starting a business.  For an upfront franchise fee plus ongoing royalty payments, the parent company teaches its business model and methods to the franchised-operator who shoulders all operating and financial responsibilities of the outlet. Some statistics are impressive: it is said over 40% of all U.S. retail sales are through franchised establishments. While franchise giants like McDonalds, KFC, H&R Block and Radio Shack are familiar, household names, franchises are available in a wide range of industries. The list of 3,000-plus companies selling franchises span over 100 different industry categories.

American Dream … Or Nightmare?

But just as franchising represents a chance to get rich, it’s also a chance to get stung. An alarming number of franchised operators make less than the minimum wage, working seven days, sixty to eighty hours a week, pursuing an expensive and elusive American Dream that turns into a nightmare. Since the ongoing franchise royalty payment comes right off the top, as a percentage of gross sales or a fixed minimum amount, the franchise company gets an assured revenue stream, even if its franchised units are operating unprofitably and are sold over and over again to new, unsuspecting buyers. The internet is filled with comments of the many people who lost $250,000 and more on concepts like eBay Drop off stores (iSold It), 30 Minute Fitness concepts (Curves), The UPS Store, etc. Yet many of these companies continue to sell and resell franchises over and over again. How do they accomplish that? Because there are enough people who think they can “believe” their way to success, even with a concept or business that’s not working in the marketplace. As discussed below, in many cases franchise investment decisions are incredibly based on emotionalism, not on business logic or even common sense.

Ownership And Being Your Own Boss?

Pride of ownership and being your own boss are highly touted phrases in franchise recruitment ads. But these are more fantasy than reality. Although you get all the financial exposure, headaches and stress of business ownership, what do you really own? A franchise owner is merely licensing a trademark (or service mark) from a company that dictates every detail of business operations. So the real boss isn’t you, but the company that sells you their franchise rights . . . and sea of franchise obligations.

Equity Build up?

But at least you’re building up equity, the ownership value of the business as a going concern beyond your investment of money, to compensate for all those years of hard work and long hours - right? Wrong – at least in the world of franchising. The franchise company reserves rights to acquire your entire business at below wholesale prices if their contract is not followed precisely. The acquisition rights provide for predetermined asset-based valuations, like book or liquidation value. These valuation methods provide bare minimum compensation (the used value of some file cabinets, office furniture, equipment, etc.) and are not generally used to determine the selling price of any business.

Absolutely no compensation is paid for established goodwill, the value of a business that is generating $X in profit or cash flow every month after years of effort, investment and expense – thus eliminating the most valuable ownership asset. Of course, you may be able to sell your franchise to a third party for a sales price that includes an earnings-based valuation. But that’s possible only if:

(a) you can find a buyer who is willing to live within the complexities of a franchise relationship, and

(b) you happen to own a franchise that’s showing healthy profits.

What follows is a bottom-line franchise checklist and tips compiled by franchise attorney and franchise expert, Mr. Franchise, based on reviewing over 500 franchise offering circulars and twenty-eight plus years of experience in the franchise industry - including ownership of a very successful franchise. These factors to consider in making a franchise investment will help you eliminate 95% of the companies you are considering. Then, you can concentrate your efforts on the 5% “cream” of the crop” companies that may deserve consideration. This franchise checklist assumes you’re suitable for and willing to live within the confines of a franchise relationship. It also assumes the franchise company:

(1) has itself successfully operated the concept being franchised for at least five years at multiple locations;

(2) is not plagued by franchise litigation and franchise lawsuits from disgruntled franchise owners;

(3) does not have unusually high franchise attrition rates (owners who have “left the system”); and

(4) has a balanced, fair franchise contract.



SOLD It – An American Dream That Turned Into A Nightmare

An example of a franchise company in trouble that failed to meet basic threshold standards is iSOLD It, an eBay drop-off store franchise. The company started its one and only company-owned store in November of 2003. Just weeks later, on December 10, 2003 they filed an application to sell franchises. The California Department of Corporations didn’t say “What are you thinking? You’ve only been in business a couple weeks, how can you even consider selling franchises?” Nor did they require this be disclosed as a risk factor on the cover page of the Franchise Offering Circular, as it should have. Disclosure responsibilities ultimately rest with the company (and its attorneys), and this will become one of many issues in future franchise litigation.

Instead, the Department simply collected its $675 filing fee and issued an order declaring the franchise registration effective the next day - on December 11, 2003. Then the magic of franchise marketing  took over. By 2006 the company had nearly 200 franchised drop off stores in operation and was touted by Entrepreneur Magazine as #1 in their list of “Top New Franchises for 2007” and #17 on their “Hotter Than Hot” franchise list. Entrepreneur Magazine, which requires franchise companies to submit their FOC’s (Franchise Offering Circulars) for supposed review each year before they’re listed, didn’t consider the high attrition rate (franchise owners leaving the system) or the fact that the audited financials in their FOC showed the company hadn’t operated profitably since 2004 as serious negatives and awarded iSold It the #1 listing for Top New Franchises of 2007. How did all of this happen? It’s yet another bizarre reality in the world of franchising.

The franchise company’s audited financial statements for the year ended 12-31-05 showed an operating loss of $1.1 million. Nine months later, in September of 2006, the net operating loss mushroomed to over $4 million.

In its November 3, 2006 Franchise Offering Circular, the table in Item 20 disclosed a total of 10 franchise owners leaving the system, yet a hand count of Exhibit D-3’s “Former Franchisees” revealed a significantly different number – 44. A similar “discrepancy” exists about franchise transfers. Item 20 says 12 transfers whereas Exhibit D-3 discloses 27.

In a long overdue letter distributed to franchise owners on April 5, 2007, CEO Ken Sully painted a dire picture of an American Dream that had turned into a nightmare. Mr. Sully’s letter admitted the company has not been profitable since 2004 (according to the audited financials, the company showed its one and only operating profit of $356,286 in 2004 before the precipitous downward spiral of 2005 and 2006). Over 60 franchised stores have closed and many more are struggling for survival. Mr. Sully observed “Tragically, many individuals who believed passionately in the potential for the category have lost sizable investments, including homes and retirement savings.”

Lost homes and retirement savings? How could such a travesty happen? I counseled a number of persons considering an iSold It franchise and warned all of them against the investment. Fortunately, they followed my advice. The concept was never proven in the marketplace before franchise efforts began, violating the most basic Franchise 101 precept. I also felt the management team lacked strong franchise credentials and the five-day training program was woefully inadequate. Finally, the franchise company was operating increasingly in the red and had a high attrition rate (owners leaving the system). It didn’t take a lot of brain power to see this was an accident waiting to happen. I predicted the bubble would burst and, sadly, it did.

Common sense could and should have prevented so many people from losing so much. Unfortunately franchise sales persons appeal to emotions (passions and potential, to use Mr. Sully’s terms) and strive to keep common sense and business logic out of the buying equation. If a franchise company is able to obtain a ranking on a media list, the sale is even easier. Reprints of high rankings on lists, like Entrepreneur Magazine, are included in the package given to franchise buyers, who are lulled into a false sense of security and begin to stumble over each other in a rush to sign up before someone else takes their desired territory (another favorite closing technique used to sell franchises).

iSold It! amended its FOC at the end of May, 2007 to add some long overdue risk factor language to the cover page of its Franchise Offering Circular. Hmmmm… maybe they read my comments above and did a little research. The new FOC cover page risk factor language says their “franchise system is still new and unproven.” That’s very interesting. How can they say a franchise system, that’s approaching its fourth anniversary, is “still new?” Maybe they’re looking at things from a ‘how old is our universe’ perspective? The word “unproven” is another play on words. The system is most certainly proven in the sense that many people, to quote Mr. Sully, “have lost sizable investments, including homes and retirement savings.” So why not use this quote directly in their Franchise Offering Circular? Answer: can’t sell any franchises that way.

In an August 31, 2007 Business Week article, CEO Sully claimed it wasn’t necessary to disclose these risk factors in the FOC. His reasoning: “We told everybody that this is sort of like the wild, wild West” he says. “It’s a brand-new concept and nobody knew for sure where it was going.” Disclosure was added to the UFOC recently, he says, “because of the number of stores that weren’t understanding the complexity of the business.” Hello? You don’t tell your franchise investors after the fact what you were required to disclose in the FOC before they bought so they could make an informed investment decision. That’s the purpose of franchise disclosure laws. And claiming written disclosure of risk factors in the FOC is not necessary if a prospective buyer hears a salesman’s verbal wild, wild West story ignores franchise disclosure responsibilities and is really an admission the company failed in this regard. With its amended FOC, the company incredibly continues marching forward with franchise marketing efforts.

Now, let’s consider the franchise checklist and factors to consider before any leap into franchising.

INDUSTRY TREND

Is the franchise in a cutting-edge industry that is doing well currently and is projected to do well in the future despite any economic slowdown? Education and home-improvement services are stable categories. Food is over-saturated generally and, except in exceptional circumstances, is not worth the high investment, long hours, headaches and marginal income.

TOTAL INITIAL FRANCHISE INVESTMENT

In general, don’t expect a franchise that requires a five-figure initial franchise investment to produce a six-figure income. As with most things in life, you get what you pay for. On the other hand, don’t assume a six-figure investment will lead to a six-figure income level. Be realistic and conservative. Is the total initial franchise investment range (including working capital) $125,00 or less; and the maximum investment less than $200,000? You can find solid companies in this investment range if you’re willing to look around.

Don’t forget to consider long-term financial commitments, particularly the real property lease (see discussion below under “LEASING AND LOCATION”). Also, the working capital estimate (called “additional funds” in Item 7 of the company’s franchise offering circular) does NOT cover operations up to the break-even point. It only covers a short initial phase (usually only three-months) of operating costs As the break-even point (where revenues cover all operating costs) may not happen for one, two or more years, knowing only what it’s going to take to get you through the first 90 days is not helpful – in fact it may set you up for financial *******. In many cases, reaching the break-even point can require more reserve funds than the total initial capital investment. Don’t ever forget the name of Item 7 in the Franchise Offering Circular: “Initial Investment.” If you don’t have enough reserve capital to reach the critical break-even point, your entire investment will go down the drain and franchise failure occurs.

One franchise owner in a relatively low investment and low operating cost window cleaning franchise said his biggest surprise was how long it actually took his franchise to be profitable. Going in, he thought it would take 12 to 15 months. It ended up taking twice that time. Fortunately, he had enough reserve capital to make it there, but declined to say what his actual franchise profits or income level were once he reached “franchise profitability.” If you’re operating just above the break even point and making less than minimum wage, is that anyone’s definition of success?

REAL BUSINESS

Is this a legitimate retail business, as opposed to a “work out of your home” operation? The vast majority of work out of your home concepts produce marginal income at best.

FRANCHISE MANAGEMENT EXPERTISE

Does the management team of the franchisor (the company selling you the franchise) have executives with demonstrated past achievement and experience in operating a franchise company (not just persons who have sold franchises)? If not, this is a big RED FLAG. Many companies enter franchising and fail to realize they are in a brand new business - one requiring entirely different management skills and abilities to navigate franchise relationships. A seasoned franchise management infrastructure must be in place. If the franchise management team lacks strong franchise credentials, or does not receive ongoing advice from qualified individuals, you might as well take a trip to Las Vegas with the money you’re intending to invest. Your chances of making vs. loosing money are roughly equal.

NORMAL WORKING HOURS AND DAYS; SUFFICIENT FRANCHISE INCOME LEVEL

Will the nature of the business allow you to work a normal five-day, forty-hour workweek? Life is too short for the seven-day, sixty to eighty hours a week, workaholic lifestyle that destroys health, family and pocketbook. Financially, we’ve calculated the true hourly rate for franchise owners who work these workaholic hours and discovered many are making far less than the minimum wage. One couple who operated a $200,000 fancy pizza franchise in an upscale mall were shocked to discover they were making fifty cents an hour each. Hardly an income level to recoup or justify the franchise investment. Many more fast-food franchise operators make even less, or operate at a loss until their funds, retirement savings, homes, etc. are exhausted. Buying a franchise in a non-food industry doesn’t necessarily improve the franchise profit picture. In a 2006 article “Mail Boxes Etc. Owners Fighting UPS Conversion,” a Mail Boxes, Etc. franchise owner who operated his franchise since 1993 reported profits for a typical MBE store like his were $16,000 per year after paying royalty and advertising fees to the franchise company. That calculates out to about $8.33 per hour for a forty-hour work week, approximately the wage of an entry fast-food worker.

Another major shortcoming of disclosures in the Franchise Offering Circular is not telling you how much money the franchises in the network are making. Instead of answering what is the most important question in a franchise investment decision, the franchise disclosure laws make this “optional” for the franchise company to answer or not. If they do answer this critical question, it will be found in Item 19. But don’t hold your breath – more than 90% of franchise companies “decide” not to answer this question. It’s another bizarre reality in the world of franchising. Although they collect complete monthly (and in many cases, weekly) financial profit and loss statements from their franchise owners, and know exactly how much their franchises are making (or losing), more than 90% decide not to share this information before you buy one of their franchises. A number of franchise salespersons have told persons asking this question: “the franchise laws don’t allow us to answer that question.” Nothing could be further from the truth.

And just because you’re a business executive making a 6-figure income now, don’t assume this income level will be duplicated in a franchise investment just because the company “approves” your application. One such executive, despite a plethora of negative feedback from current and past franchise owners who’d lost everything, marched forward with her franchise investment in a 30-minute fitness concept. Despite her 6-figure income, she didn’t invest a dime in professional franchise evaluation advice and stated she was taking a leap of faith, hoping to build her wings on the way down. Build her wings on the way down? Sound’s (and is) crazy, but this happens all the time. Due to the ploys of the franchise salesperson, too many franchise investment decisions are based on emotionalism. Prior business skills, business sense (and even common sense) are short-circuited. Needless to say, if this business executive made a similar investment decision for her corporate employer paying the 6-figure salary, she would be promptly fired.

MINIMUM NUMBER OF EMPLOYEES

Can you operate the franchise business with 6 or fewer employees? Managing dozens (or in the case of some fast-food operations - hundreds) of minimum-wage teenagers who are constantly quitting or simply not showing up for work is a royal pain in the ….. Well, you know what we mean.

LEASING AND LOCATION

For most retail franchises, the triple net lease of the location is the biggest financial commitment, larger than the total franchise investment. Yet, the typical real estate lease and its ramifications are not required disclosure in any Franchise Offering Circular (FOC). For example, an estimate that you’ll need 2,000 sq. feet of space with expected rental of $5 to $10 a foot per month is normally disclosed in the Franchise Offering Circular’s initial investment table as Leased Real Estate $10,000 to $20,000. A footnote to the investment table may say “assumes 2,000 sq. ft. at $5 to $10 a foot.”

But, that’s only the beginning of a much longer story. The lease is normally a 5 to 10 year triple-net lease. So, the financial commitment made when the lease is signed is at least $600,000 (at $5/foot for 5 years) to $2,400,000 (at $10/foot for 10 years). And this doesn’t include substantial, additional obligations to pay all of the landlord’s yearly property taxes, insurance, common area operating expenses, etc. With hundreds of thousands (or even millions) of dollars in financial obligations at stake, personal guarantees and other risks, more than just a warm, fuzzy feeling that everything will work out is necessary.

Key questions to ask here:

(a) is the franchise you’re considering one that can be operated in a low rent commercial business zone? Avoid franchises requiring the costly expenses and triple-net leases of a visible retail storefront and the extravagant rent associated with areas of high foot traffic, like shopping malls. You’ll sleep much better at night.

(b) What’s your total financial commitment under the lease?

(c) Do you have sufficient liquid assets (or a willing, sufficiently liquid third party guarantor) to meet the landlord’s lease qualification standards?

If you don’t, you might as well forget about investing in the franchise. Or even worse, getting involved in a questionable franchise and business model, then realizing you’ve made a big mistake - and discovering you’re on the hook personally for a $500,000+ lease obligation.

A related real estate variant is securing a lease with a sufficient term (with renewal options) to recoup your investment and make a profit. In July, 2005, an attorney in her mid-forties purchased an existing ice cream store franchise for $375,000 believing it to be a “once-in-a-lifetime opportunity.” Trading her briefcase for an ice cream scoop, she attended the company’s 11-day Ice Cream University and assumed operations of the ice cream store. Turned out it was an opportunity – but only to inherit a store with numerous problems. These problems included (but were not limited to) a lease that would expire the following summer and a landlord who’d previously announced the lease would not be renewed. Rather than pay the $100,000-plus in relocation costs, the attorney returned to the practice of law, but is still paying off $350,000 remaining on the loan taken out to buy the once-in-a-lifetime franchise opportunity. Although there’s a franchise lawsuit pending, it’s yet another case of “franchise fever” - this time attacking a professional no less. Who would ever commit to paying $375,000 for an existing retail franchise without checking out the l-e-a-s-e? Sound’s like another bad attorney joke, but I can guarantee she’s not laughing. Business fundamentals were ignored or forgotten in the rush to acquire the opportunity of a lifetime. And I’m willing to bet not a dollar was spent on competent, pre-investment franchise advice.

IMAGE AND LIFESTYLE

How does flipping burgers, scooping ice cream and cleaning restrooms fit the image of what you want to do for a living? Investing in a franchise will be the most important financial and psychological decision you ever make. Many prospective franchise owners fail to realize they’ll be wearing virtually every hat at some point, from salesperson to bad-debt collector, from firing employees to bathroom janitor. The franchise owner is usually the first one to arrive in the morning – and the last one to turn out the lights late at night. And you’ll need to forget about corporate perks like paid vacations, paid holidays and sick pay. In their place, substitute financial pressures, unexpected events and money draining out of your savings and retirement accounts. Does the typical working day and responsibilities of the franchise you are considering fit your personal image and desired lifestyle? You can experience some of this BEFORE you invest by working for a couple weeks in an outlet owned by one of the existing franchise owners.

TRUE FRANCHISE VALUE

Buying a franchise from a “blue chip” franchise company that has spent decades and hundreds of millions on advertising to develop their brand can make a lot of sense. These companies have “true franchise value” that compensates for the long-term disadvantages of ongoing royalty and advertising fund payments. Often these additional payments literally mean the difference between earning a profit and operating at a loss. In unknown franchise chains with little or no brand recognition, you the franchise buyer are building their brand from scratch, and are saddled with severe, long-term competitive disadvantages.

In these unknown franchise chains, you have to ask yourself a simple, common sense question. What value is the company giving you that you couldn’t learn on your own by working at one of their locations as an employee for a couple months? Franchise truth be told, what most unknown franchise companies are selling is just a business opportunity – teaching you how to get into a new business venture. But unlike a business opportunity seller that charges a one-time fee to help get you into business, they call it a “franchise” and charge ongoing royalty and advertising fees like they’re a McDonalds or other blue chip franchise company.

The reality is they’re not a McDonalds type franchise - not even close to one. In the majority of these lesser-known franchise chains, you’d be much better off starting an independent business on your own. You can learn most or all of their so-called “secrets” in the franchise interviewing process and by talking to (and possibly working a short time for) existing franchise owners.

FRANCHISE PROFITABILITY & “SUCCESS”

Dr. Timothy Bates’ study released in 1993 by the Entrepreneurial Growth and Investment Institute in Washington, DC (and another study published in 1996) was the first to compare start-up costs, franchise profitability and franchise failure rates for franchised vs. nonfranchised firms. In his analysis of some 7,270 firms over the test period, Dr. Bates found that startup capital for a franchised business averaged $85,293 compared with average startup capital for nonfranchised firms of $30,156. In 1987 nonfranchised firms reported average pre-tax net income of $19,744 as compared to a loss of (-$1,548) for franchised firms. Dr. Bates concluded “Despite their larger revenues, much better capitalization, and their supposed advantages of affiliation with a franchisor parent firm, the franchisees lag behind cohort young firms in profitability and rates of survival.”

The franchise companies ignore both studies by Dr. Bates, pretending they never happened. Instead, other techniques are employed. For example, some franchise companies use misleading success statistics to sell their franchises. Their promotional materials say franchises generally enjoy a 90% success rate, compared to less than 20% for independent firms. These figures are based on unverified information supplied thirty years ago by a select, non-representative group of franchise companies. A full third of the companies receiving “questionnaires “ elected not to participate. There was no verification of any of the information supplied by the franchise companies, not even random, spot checking. Nor was any effort made to identify franchise companies who, along with the franchise owners in their chain, had gone out of business.

Even more recent “studies” saying nine out of ten franchise owners (90%) consider their franchise to be somewhat or very successful also suffer from serious methodological flaws. These were simply telephone surveys of franchise owners who were still in business and asked to say (with absolutely no definition of the term “successful”) whether they felt their business was “very unsuccessful,” “somewhat unsuccessful,” somewhat successful” or “very successful.” Franchise owners who had gone out of business or bankrupt were not included in the survey.

Even if terms are defined and a representative sample obtained, franchise owners can be a quirky group. Hence the need, as in Dr. Bates’ studies, for review of financial data. I remember evaluating an existing franchise for a client. I asked the current owner of the franchise if his business was successful. He said it was very successful. But his financial statements revealed a different picture. He’d never taken a dollar out of the business for himself, never made a profit in two years of operation, and was on the verge of bankruptcy. Another owner of a bakery franchise, interviewed by Business Week, says being successful in franchising means “adjusting your definition of success.” He says he makes a profit, but declined to say what it is, or if he’s ever recouped his $250,000-plus initial franchise investment. Incredibly, he insists he’s in business “for lifestyle reasons, not profit reasons.” Huh? Probably a quote from the company’s franchise recruitment materials. In the world of franchising “success” and “profitability” are very subjective terms.



FRANCHISE BROKERS WHO FIND YOUR PERFECT MATCH?

Does the franchise you are considering have its own in-house marketing department, or does it utilize outside franchise brokers? The use of franchise brokers is a definite red flag. First, it indicates the franchise company is not very serious about who it lets into the franchise network, or even worse, they’re desperate to sell franchises. Second, franchise brokers receive a substantial commission up to 50% or more of the franchise fee you’re paying the franchise company. Franchise Broker Realities: (1) Their service is definitely not “free” despite these and other similar misrepresentations. It’s really common sense - how could anyone offer a “free” service and survive in business? Unfortunately, the common sense part of the brain tends to short circuit when the franchise brainwashing process begins. The simple truth is if you buy one of the franchises they’re hawking, your money goes to the franchise company, then into the broker’s pocket. If anyone ever calculated how much time they spend to collect their $15,000 or $20,000 commission, it’s probably a lot more than a brain surgeon earns. (2) Franchise brokers definitely do NOT have your best interests in mind. They will do or say whatever they have to in order to close a deal and earn their commission.

Many franchise brokers claim they will help you find a franchise company that is the perfect match for you. In the beginning it sounds good. There’s some personality testing and review of your personal finances. At the end of the day, it turns out they only represent (and steer you towards) a handful of small franchise companies you’ve never heard of before. A detailed analysis often reveals these highly touted franchises produce mediocre or even below minimum wage financial performance. Yet franchise brokers don’t mention this, and individuals continue to rely on their recommendations, believing the broker represents them. Nothing could be further from the truth.

Also, many franchise brokers call themselves franchise consultants. A franchise consultant is usually an independent adviser who offers advice to others (usually franchise companies or firms that want to franchise their business) for a fee. This makes their advice more impartial in theory as long as they are not compensated by third parties. Because they are not legally required to disclose actual or potential conflicts of interest, it’s important ask questions. For example, if you’re using a franchise consultant who is recommending the “best franchises,” are they paid anything by the companies on their list? This could be a commission, kick-back or consulting fee. As mentioned, many franchise brokers call themselves “franchise consultants” to hide their true identity. So, make sure if you’re dealing with a franchise consultant, he or she is not really just a franchise broker in disguise.

FRANCHISE DISCLOSURE LAWS

The franchise disclosure laws, while requiring franchise companies to give you certain, limited information, don’t come close to protecting your interests. For example, as discussed above, Item 7 of the Franchise Offering Circular only requires an estimate of additional funds for 90 days as part of the investment information. But economic reality is you need to know the additional funds you’ll need to reach the break-even point, which can be years away, or your entire “initial” investment will go down the drain. You’d think this type of information would be required by franchise disclosure laws, but it’s not.

FRANCHISE REGISTRATION LAWS

Don’t ever assume that because a company has registered its Franchise Offering Circular in your state, someone at the state has approved or reviewed the document in your favor. Franchise registration is obtained by simply forwarding documents and paying a filing fee - period. In most cases, franchise offering circulars are given an extremely limited review to ensure state-specific disclaimers are present.

I remember filing a registration application for a new franchise company in a state with a reputation for being one of the “toughest” franchise registration law states in the country. After the three-week review period set forth in the statute had gone by, and not hearing anything, I called the examiner assigned to the application. After looking through his files, he finally found my client’s offering circular and application. He apologized for entirely misplacing the file and promised to immediately review the application and call me back. Ten minutes later, he called to say he’d finished and was making the registration effective that day. Ten minutes of review and the franchise company was given the state’s green light. This is not an isolated case - it happens all the time.

WHAT STANDARDS MUST A FRANCHISE COMPANY MEET TO SELL FRANCHISES; ARE THERE ANY REQUIREMENTS TO FRANCHISE A BUSINESS?

Incredibly, the answer is - none. There are no minimum standards or requirements to franchise a business except preparing a Franchise Offering Circular. It’s yet another bizarre reality in the world of franchising.

You and I could have no background in any business, form a new corporation or LLC, capitalize it with only $1, put together a Franchise Disclosure Document and file it with any franchise registration state. While the offering may be subject to an impound or escrow requirement because of the low capitalization ($1), we’d still get “registered” and be able to sell as many franchisees as we want.

In these 14 franchise registration states, we may not be able to receive any money until each franchise actually opened, but simply posting a bond would alleviate this difficulty in the franchise registration states. And in the vast majority of states there are no franchise registration laws, so we’d be able to sell franchises and collect fees with impunity once we compiled our Franchise Offering Circular. The federal FTC Franchise Rule doesn’t protect against this risk either – it only requires disclosure (i.e. provide a Franchise Disclosure Document) and has no registration component or minimum standards for franchise companies.

Basic investor protections and requirements found in both federal and state securities laws for over 50 years were never carried over to franchise investments. While most non-blue chip franchise companies could never even qualify to sell you a single share of stock in their company, they are entirely free to collect unlimited franchise fees, ongoing royalties, equipment and other purchases, as well as cause you to incur financial obligations totaling hundreds of thousands of dollars, or even millions in some cases. This isn’t information you’re likely to find in the glowing articles about franchising and franchise companies prevalent in the media.

CLOSING REMARKS

Remember, you are the only guardian when it comes to your franchise investment. It’s definitely an environment where the phrase “Buyer Beware” applies. So, before you sign on the line and make what will undoubtedly be the most serious financial and emotional commitment of your life, get all the facts and figures.

One couple I counseled after-the-fact, invested $2 million in a new franchise company. The contract they signed gave them no right to terminate, no matter what the franchise company did or didn’t do. Of course, the contract gave the franchise company unlimited termination ability, a right it had exercised. The franchise company’s management team had no one with experience in running a franchise company. Incredibly, the couple had not spent a dime on legal or business advice before investing $2 million. The once friendly franchise company had transformed into a formidable foe and was poised to take over their franchise. Sadly, this happens too frequently in franchise investments. Decisions are made on fuzzy feelings and emotionalism. In an effort to save a couple thousand dollars, franchise investors risk homes, retirement savings, everything they have. Then they scratch their heads in amazement later on after inevitable and often horrific problems develop, wondering how they could have been so nearsighted.

Another indispensable level of inquiry is whether you’re getting true franchise value and whether you’d be better off doing the business on your own. In the overwhelming majority of franchises touted by unknown companies, franchise value isn’t there and doing the same thing independently makes better economic sense and actually decreases the risk of failure.

Finally, and this applies to franchise investments as well as investing in any business venture, develop a plan to succeed but also plan a franchise exit strategy that minimizes financial risk in case things don’t work out. Both plans need to be thought through before the investment is made. Don’t wait until problems develop to start thinking about a franchise exit strategy - by then it’s usually too little, too late.

For more information, visit the Franchise Foundations Website.

© 1990-2008, Kevin B. Murphy, B.S., M.B.A., J.D. - all rights reserved



Knoxville DUI Lawyer

Henry Harlow asked:


What are these new attorney-client matching services? Who are the players? What do they cost? What is the risk to me? What is the return for me? What is the buzz on them? Are they ethical as marketing for law firms? Will they save me money and are they for me? Will they get me clients I would not have otherwise?

In part one of this article we will look in depth at a relatively new wrinkle in marketing for law firms known as “attorney-client matching services”. Part one focuses on the facts about these firms. Part two gives you my conclusions and recommendations as a result of my research. First a little background is in order. The legal services market segment is expected to reach $82.5 billion in 2008 according to Euromonitor International a market intelligence firm. In recent history consumers have been finding attorneys through word-of mouth or through the yellow pages. Often the word-of mouth advice does not deliver people to the best possible solution for their particular needs and the yellow pages is certainly not a great place to select a lawyer I am sure you would agree. Additionally, according to the Pew Internet & American Life over four million consumers and small businesses currently search for legal services via the Internet every month with these numbers expected to rise to over seven million by 2007. I think you can see this is a huge market getting larger. It is imperative that attorneys understand this marketplace if for no other reason your potential clients and clients are moving to the Internet and yellow page advertising is a dying marketing for law firms vehicle. Understanding attorney-client matching services is one new way to tap into this Internet marketplace.

What I will not be talking about here is attorney-listing services. Please don’t get confused between attorney-listing services and attorney-client matching services. The two majors in the attorney-listing services arena are Lawyers dot com or FindLaw dot com that are used by many in marketing for law firms. With attorney marketing one might want to get a minimal listing on one or both of these two major sites. Both do drive a large amount of traffic to their sites for sure (in the millions of visitors per year). If you do get a listing then track your results carefully and see if being in the middle of a pack of listed attorneys actually does produce clients for you. Please don’t spend more on them than the basic listing that will run about $150 or so per month, at least until you can document results with the basic listing. Also, don’t buy your website through either of them, even if after testing you find good results, for many reasons that can be found under the Internet marketing tab on my website. One last note here, you probably don’t want to test most of the lesser attorney-listing competitors like LawInfo dot com, LawCore dot com or AttorneyFind dot com is my take, however if you do be sure to track your results. The rest of this article is about attorney-client matching services.

Attorney Marketing Via Five Attorney-Client Matching Players

In the attorney-client matching field there are five competitors for the attorney marketing dollar offering online attorney-client matching services. The first and originator is LegalMatch dot com and its newer competitor being CasePost dot com as well as a third competitor LegalFish dot com. The two big players that offer almost everything in attorney marketing, Lawyers dot com and FindLaw dot com; have also recently begun to offer a version of attorney-client matching services. Lets begin with LegalMatch that was established in 1999 and is based in San Francisco. LegalMatch uses a double blind matching system. By double blind they mean the consumer does not see identifying information about who the lawyers are and the lawyer does not see identifying information about who the consumers are although all the cards are put on the table for both to see before any contact is made between them. Through an allocation model LegalMatch makes the decision about which lawyers get the consumer’s information. Consumers can opt into “priority service” for a fee to talk with a LegalMatch staff attorney about their case and work with that attorney in selecting the attorney for their case. LegalMatch does have partnerships with the Utah State Bar Association, ATLA and NACDL. Membership fees for this marketing for law firms vehicle run from $2,500 to $25,000 per year (they will finance the membership fee if desired) depending on practice area and geographic location of the attorney. For example, a PI attorney in Los Angeles would likely be charged more than a family law attorney in Los Angeles, while the family lawyer in Peoria is likely to pay less than the family law attorney in Los Angeles. Their guarantee consists of extending your membership at no fee until your revenues have exceeded the fee you paid them. The details of the guarantee are available on their website.

Are There Legal Marketing Ethics Issues with Attorney-Client Matching?

A relevant digression here, since this model is not a lawyer referral program, a pre-paid legal service plan, a joint or cooperative advertising or a directory listing service it is not subject to ethics rules around much of marketing for law firms it has been asserted. Recently the Professional Ethics Committee of the Texas State Bar was looking into these practices and that committee received a seven-page letter (May 26, 2006) from the FTC that was agreed to by a unanimous vote of the FTC commission members that this attorney marketing practice is indeed ethical.

Already the states of North Carolina and South Carolina found the practice ethical. The Rhode Island Supreme Court specifically named in an ethics opinion that online matching services are ethical. Finally, the Utah State Bar (a mandatory bar) has retained LegalMatch as their lawyer referral service clearly indicating their thinking about LegalMatch’s ethical nature it seems to me. Naturally you do need to check with your state bar to be sure this is an ethical practice in your state. Now back to the options in the marketplace.

CasePost, based in Southern California, was established in 2002 is a second player in this area of marketing for law firms. They operate in a similar fashion as LegalMatch in matching clients with lawyers; however, the directory of attorneys is shown to the consumer immediately. The consumer can decide whether they want to remain anonymous or give their contact information to the attorneys. The consumer is limited to four attorney responses. Thus the consumer determines what attorneys will get their information. In May of 2006 CasePost has made a major expansion as a result of their partnership with HandelOnTheLaw dot com that is powered by a successful nationally syndicated radio show on over 120 stations with attorney Bill Handel. This show has been running since 1985. They also have a strategic relationship with LegalZoom dot com that began in 2006 that has increased their reach. Like LegalMatch the membership fees for this attorney marketing vehicle are from $2,500 to $25,000 per year (financing is available if desired) depending on practice area and location. Their guarantee to a member is based on a minimum amount of referrals over the year.

LegalFish is a third player in this arena. It entered the marketplace in 2003 and is based in Chicago. It is a bit different than the other two in a few ways. Like the other players the consumer can input their information and post their cases to the site as well give their identifying information or not. In a number of cases LegalFish will contact the posting consumer themselves by telephone or email to delve deeper into the needs of the consumer so they are not totally automated. There is an allocation model used by LegalFish in referring the cases to their members. Another difference is LegalFish charges a monthly fee for this marketing for law firms vehicle ranging from $180 to $750 to members that are non-contingency based practices. For contingency based practices the fee ranges from $1600 to $5000+ monthly only if the client retains the attorney. If LegalFish does not deliver a referral to a member that retains that attorney they don’t charge a fee to that attorney for the month (a form of a guarantee). Creating something of a “shared risk” system. Naturally, with this type of shared risk system, long-term success for both parties is based on LegalFish’s ability to generate new client opportunities and create demand for legal services, and their member attorneys’ ability to convert those referrals to paying clients. Both parties have to “pull their weight”. Finally, LegalFish reports they are particularly committed to serving the solo and small firm market with ten employees or less.

The next player in this marketing for law firms arena is Lawyers dot com (mentioned earlier in this article about their directory listing or attorney-listing service) with their new Attorney Match Service. If you go to their homepage what stands out on that homepage is their “Find A Lawyer Quick Search”. This is their free to the consumer attorney-listing service (this is why you might want to test a listing with them and track results). To get to the Attorney Match Service you have to know to click on “Contact Lawyers” navigation tab or notice it up there at the very top of the home page. Clicking on that takes you to a page where you input your zip code and the practice area you are seeking, however, it also tells you how many lawyers there are listed that “are interested in receiving your request”. You are required to fill in the identifying information with other case information. Once you do that you see the attorneys listed and pick the ones you want to send your request to and wait for their replies. The fee for the attorney member is $495 per year, however, you must have a biographical level listing on the site to be on the Attorney Match Service and that is $150 and up per month depending on the size of your firm. There is no guarantee for this service.

The final player in this marketing for law firms arena is Thompson’s Findlaw (mentioned earlier as an attorney-listing service) with their new attorney-matching website http://www.LegalConnection.com. The FindLaw system is similar to the Lawyers dot com system with three steps of #1 Select your legal need; #2 Tell us about your case; and #3 Choose the attorney that’s right for you. It is different from Lawyers dot com’s system since they have broken it out of their attorney-listing services completely with its own dedicated website. Their fees generally run from $500 to $1000 per month depending on your practice area and geographic location. They do not have a guarantee. They do report that they do set targets for each geographic area as well as practice combination and then will manage their marketing to get positive results for attorneys.

Well, now we have all the players in this particular niche of marketing for law firms with a lot of information. I think it would be imperative for me to mention one more item. Both Legal Match and CasePost have negative information on the Internet and it needs to be considered. If you go to Google and search just the term LegalMatch and then do the same with CasePost you will be able to find details about the negative information. One location that covers the negative information on LegalMatch with relevant links is at Wikipedia dot org (go to the site and look up LegalMatch) although that is disputed as not being sufficiently neutral in tone, which is one of Wikipedia’s requirements. If you want to see a string of negative information on CasePost go to: http://counsel.net/chatboards/marketing/topic111/6.23.04.11.34.29.html . I am not sure one needs to be overly concerned about this information since it is mostly in the past and you need to consider it.

See Part II of this article for my conclusions and recommendations as a result of my research. I can tell you now that this approach does have some merit but there are definite cautions as well so do read Part II.



What Will My Child Think

ufdan25 asked:


More specifically, how much time does a real estate/construction lawyer or a family lawyer spend in the court room? Thanks to everyone who answers!

Domestic Adoption Information

Peter Drummond asked:


If you’ve suffered an injury at work, it’s extremely important to find a good work injury attorney, regardless of who you think was at fault for the accident. A good work injury attorney will help you sort out who is responsible for any damages you’ve suffered and will let you know whether pursuing a case is a good idea. The attorney should be open and friendly. The work injury attorney should fully understand your injury and grievances, and he or she should take the time to explain to you the recommended course of action. In addition, a good work injury attorney will make it clear what kind of settlements or payments you can expect from your work injury.

 

Typically, an attorney who deals with many cases in the worker’s compensation realm will be the type of work injury attorney best equipped to help you with your claim. Before visiting, ask the work injury attorney about his or her experience in the field. Is it extensive? If it is, and if they have settled many successful cases, then you know you’ve got a work injury attorney who knows the all the nuances and traits of worker’s compensation system. Has the work injury attorney ever handled a case similar to yours? And if so, what was the outcome? If it was a successful case, then you can be confident that you’re working with a competent work injury attorney. A good work injury attorney will ask many questions so as to fully understand the situation. Beware the work injury attorney who appears disinterested or doesn’t seem to request a lot of information.

 

Worker’s compensation cases can become very complex. So it’s usually a good idea to seek out a work injury attorney as soon as possible. Getting a good work injury attorney at the beginning of your case will let the attorney give important input regarding your medical treatments. Also, the work injury attorney will be able to gather valuable evidence for your case. When you spend time dealing with insurance companies before consulting a personal work injury attorney, you may find that your claim is challenged. That means the insurance company may already be gathering evidence and building a case against you. And while it’s never too late to contact a work injury attorney, waiting until an insurance company challenges you means you and your work injury attorney have to make up some lost ground, so it’s always a good idea to contact a work injury attorney as soon as possible.

 

It’s also a good idea to keep copies of everything involving your injury for your work injury attorney. That means all hospital bills and the details of your payment benefits. Contact your personal injury attorney immediately with any new information or if something regarding your injury changes. And always follow your doctor’s advice. Engaging in activities not recommended by your doctor could damage your case.

 

The best first step to finding a good work injury lawyer is to simply open up the yellow pages or search the Internet for a work injury attorney in your area. But please, shop around. Contact several work injury attorneys so you can get a feel for their personalities and a sense of their professionalism. Feel free to call the work injury attorney’s office or send an email. A good work injury attorney will be open and willing to answer most basic questions over the phone. Also, a good work injury attorney won’t just have the proper credentials to handle your case, but he or she will make you feel comfortable at all steps of the worker’s compensation claim process.

 

An injury at work can be a life-changing event. But it doesn’t have to be a change for the worse. When you find a good work injury lawyer who has your best interests at heart, you will get the compensation you deserve and the peace of mind you require.



DUI Lawyers Knoxville

newtobigd78 asked:


Let’s say I want to sue somebody for libel but all I have is their Gmail address. Naturally, I need a lawyer to obtain their name and IP address from Google. So what does the lawyer do to obtain those records? Does he show up at Google and say “I’m a lawyer and I need this?” – what gives a lawyer that authority?

Adoption Attorneys in Tennessee

Jeff Swaney asked:


Over the years, I have represented countless numbers of Plaintiffs in Personal Injury cases in the St. Louis area. My experience with my clients and my handling of these cases has led me to a number of conclusions regarding the factors which are important in choosing a St. Louis Plaintiff’s Personal Injury attorney. For years I have had clients sitting in my office who have told me that they have been represented by other attorneys in the past. My question has always been “Why didn’t you go back to that attorney?” It has been my hope to learn from the mistakes of other lawyers and to get the perspective of clients who are dissatisfied with services that they have had in the past. In addition, I have tried to listen to clients who were very pleased with the services of my firm in order to determine what an attorney needs to do right. I have also had clients bring me files after firing attorneys and I have seen first-hand what can go wrong when poor service is provided.

First, I have found that the most common reason that clients fire attorneys, or don’t go back to them for future services, is that many of them don’t return phone calls. When I say “don’t return phone calls”, I literally mean that they don’t respond in any way when a client calls, writes a letter, or sends an email. Even if the attorney is in trial, or there are scheduling challenges, a client at least deserves to know that the attorney received the message and will be responding sometime soon. A failure to return phone calls can often indicate a lack of respect and, from the client’s perspective, it undermines confidence in the attorney’s ability accomplish a result for the client.

Secondly, some attorneys will handle any kind of case, regardless of their experience. I recently had a client who fired an attorney who was practicing in the Kansas City area. The client was in an accident in St. Louis City and this is generally a more favorable venue from the standpoint of being a Plaintiff. However, the attorney was unaware that St. Louis City and St. Louis County were separate entities. When he filed a lawsuit on behalf of the client, he described St. Louis City as being a municipality within the boundaries of St. Louis County. Not only did he file the case in the wrong venue and picked a venue which was unfavorable to his client, but he clearly did not have the familiarity of the local court systems. It is important to choose an attorney who is familiar with the court system and the jury verdicts in the various counties throughout the St. Louis Metropolitan area. Mistakes in understanding the various court systems and procedures for courts in the St. Louis Metropolitan area can result in a poor outcome in a Plaintiff’s Personal Injury case.

Third, it is important for the attorney to have experience in the type of matter which is being handled. For example, an attorney handling St. Louis Car Accident cases should spend a lot of his time practicing in this area. While practicing in other areas can complement the attorney’s services, a real estate attorney, for example, may not understand how an investigation should be conducted. This can result in a less than favorable result if witnesses are not contacted and later disappear, or opportunities to take pictures are squandered. In a car accident case, pictures of damaged vehicles could help resolve a dispute as to how a collision took place. In a case involving a fall, pictures of the bad steps, pothole, or heavily waxed floor could lay the groundwork for a successful result. If an inexperienced attorney doesn’t follow up on such items in a timely manner, then stairs may be repaired, potholes can be filled in, and floors may be replaced.

Fourth, some attorneys look for a quick settlement and will either abandon your case, or abandon interest in it, if it doesn’t come together quickly. In all fairness, there are cases that come in the door and look good at first glance, but sometimes, as the evidence is gathered, it becomes apparent that the case is not going to be successful. On the other hand, there are cases in which adjusters simply refuse to be reasonable and attorneys will often have reputations for abandoning cases easily. Such attorneys will often try to settle for a lowball offer in order to avoid the work which comes with taking the case to trial. It is important to get a sense as to whether the attorney will be willing to do battle on your behalf if the going gets tough.

My fifth point is a very basic one. It is important to choose an attorney who speaks with honesty and candor. You do not want to be misled and it is usually a matter of time before you get a sense that your attorney is being less than fully honest. Beyond honesty, your attorney should also speak to you with frankness and candor. As a client, you sometimes need to know the bad news as well as the good news. An experienced St. Louis Personal Injury attorney will tell you if there are circumstances in which cases like yours are hampered by certain factors. If there is light damage to the car, or a problem with your treating doctor’s credentials, then you need someone to pull you aside and tell you about things which may affect your case negatively. In front of certain juries, for example, they may be conservative and it would help to know if they are going to look negatively at long hair, tattoos, or other items. While it is uncomfortable for an attorney to talk about certain subjects, you are looking for frankness and candor. An attorney who politely points out certain prejudices of potential jurors is doing a great service to his client.

Finally, a lot of clients tell me that they didn’t re-hire their former attorney because they couldn’t relate to him. Some attorneys are pretentious and condescending. I have found that attorneys who are down to earth and secure in themselves can develop an excellent reputation with their clients. If you are in the process of looking for an attorney, I would suggest that you consider all of these factors in choosing the best person for you.

The contents of this article are intended for educational use only in order to provide readers general information and a basic understanding of the law. If you are seeking legal advice, please consult a licensed professional attorney in your state. The information in this article should not be substituted for experienced legal advice.



What Will My Child Think

Attorney William asked:


Most “standard” real estate contracts and leases contain provisions that state something to the effect, “If there is any dispute as to the agreement, the winning party is entitled to attorney’s fees.” Is this a good idea?

Well, yes and no. First, understand that attorney’s fees are generally not awarded by the court to the winning party in a lawsuit. There must be either a specific statutory provision or a clause in the disputed agreement that calls for attorney’s fees. In addition, a court may award attorney’s fees where there is “bad faith” on the part of one of the litigants, but judges rarely enforce this rule.

If you have to sue another party to a lease or contract for $100, it hardly seems worth the effort if you have to pay your attorney $2,500 to file the lawsuit. In such cases, the opposing party may thumb his nose at you and say, “so sue me”. The court system is very unfair to the poor in this regard. However, if you are the potential defendant, it works in your favor if someone is thinking of suing you for some bogus reason and you know that they can’t afford an attorney.

So, should you always insert an attorney’s fee clause in every contract or lease that you sign? Well, that depends on whether such a clause inures to your benefit. For example, if you are a landlord, chances are you will be suing your tenant for non-performance of the lease, not vice-versa. So, having the ability to get attorney’s fees if you win is to your benefit. Of course, this may be futile, since any judgment may be uncollectible, whether for $100 or $10,000. But, if you think you can collect a judgment, go ahead and put the clause in your lease.

Another example might be a purchase contract with a seller in foreclosure. Suppose you have an agreement to buy a property from a seller who is near insolvency. If he breaches the agreement, you can sue, but what will you get? On the other hand, if he can convince a court that YOU are in breach, you could lose and end up paying HIS attorney’s fees. Thus, you can see how an attorney’s fee clause may work against you. If you get into a dispute with a seller or buyer and they cannot afford an attorney, you reduce your risk if something goes bad. Remember, whether you are right or wrong in your actions involving a real estate deal, it’s what is proven in court that matters. Having plenty of trial experience, I can tell you that going to court is a gamble - sometimes you win, sometimes you lose, and truth and justice have little to do with it.

Finally, some agreements will state that if one party must enforce the agreement in court (e.g., the landlord in a lease), the landlord is entitled to lawyer fees. Many courts will apply the rules in reverse, even if the agreement doesn’t explicitly state. So, you cannot necessarily limit attorney’s fee if one party wins but not the other.

As with any transaction, you could consult with an attorney before drafting any agreement you are uncertain of.

Click Here for more info for Should You Use an Attorney’s Fee Clause



Top DUI Lawyers in Knoxville