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10 Things to Know About New Hampshire Defamation Law

New Hampshire defamation law can often be a confusing area to learn about and understand.  People say and write things about other people and topics on a daily basis without so much as thinking about the consequences of stating something that is false.  Despite the rapid flow of information online and in social media, people should often pause and reflect on what they intend to say or publish online to ensure it is fact-based or a true opinion.  To that end, the following list identifies and explains 10 things to know about defamation law in New Hampshire (and elsewhere). Contact us for a FREE consultation! 10 Things to Know About New Hampshire Defamation Law 1) What is Defamation? The term “defamation” refers to any statement that hurts someone’s reputation.  If the statement is in writing, it is known as “libel.”  Statements made on social media fall within this category.  If the statement is spoken, it is known as “slander.”  Defamation is considered a tort, which is a civil wrong.  A person about whom a defamatory statement is made may sue the person who made the statement. 2) How do you prove defamation? To prove defamation, you must demonstrate the following elements: (a) a statement was made; (b) the statement was false; (c) the statement was published to a third party; (d) the statement caused you to suffer damages; and (e) there is no privilege that excuses you from the defamation. Let’s look at each of these elements in more detail. 3) Statement It goes without saying that there must be an actual statement that was spoken or written, or otherwise...

6 Reasons Why a Limited Liability Company Needs an LLC Operating Agreement

Business owners often (rightfully) decide to form a limited liability company (LLC) through which to conduct their business. LLCs offer many advantages for business owners. However, while these individuals will file the necessary incorporating documents with the state to form their LLC, many of them forget to prepare a critical internal document: the LLC operating agreement. Many states do not require LLCs to prepare or file an operating agreement. (New Hampshire, Massachusetts, and Florida do not require operating agreements, but, for example, California and New York do.) Even if your state does not expressly require an LLC operating agreement, however, business owners should still consider preparing and executing one for several reasons. What is an LLC Operating Agreement? An LLC operating agreement is a contract between the members of an LLC. It sets forth specific terms and guidelines for the operation of the business, the distribution of profits and losses, the addition and withdrawal of members, how the business will be taxed, and other internal issues. 6 Reasons for an LLC Operating Agreement 1) Business Owners Can Avoid Disputes The greatest advantage of an LLC operating agreement is that it allows business owners to set clear expectations and guidelines for their business, and those expectations will help them avoid disputes. Partnership disputes can be nasty, exhausting, and cost a business and its owners a lot of time and money. The benefits that follow, below, all help business owners outline, in as much detail as they want, how they will conduct themselves and their business. The best operating agreements leave no stone unturned and contain few, if any, areas of ambiguity....

5 Things Businesses Should Know About Their Legal Duty to Preserve Documents

Many businesses have policies and practices in place for preserving documents and information. After all, it is good to err on the side of caution and retain important documents, records, and other information. Given the amount of information that is generated today, however, preserving every bit of it indefinitely is impractical. Thus, businesses often implement document retention policies, whereby after a certain period of time, certain categories of documents are destroyed. There are circumstances, however, when a business has a legal duty to preserve documents and other information because it might be relevant to a lawsuit. The actual preservation of information for this purpose is called a “litigation hold” or “legal hold.” What is a Litigation/Legal Hold? A litigation hold, or legal hold, is a process used by a business to preserve forms of relevant information when litigation (a lawsuit or arbitration) is reasonably anticipated or has already commenced. Usually, a business’s attorney will initiate the legal hold with a notice or communication to the business that requests the suspension of the business’s normal document retention or disposition policy as to documents that are potentially relevant to the lawsuit at issue, or otherwise requests that the business stop disposing of such documents. A business will then communicate the same information to relevant employees. Must a Litigation/Legal Hold Be Communicated in Writing? Yes. A business should always ensure the legal hold process is communicated to its employees in writing. Likewise, an attorney should communicate the same to the business in writing. This ensures a business can prove it satisfied its legal obligation to preserve information. Why Does a Business Need...

7 Ways a Lawyer Can Help Your Business

Businesses and people often treat lawyers like plumbers or firemen: you only call when there is a problem. This is an understandable reality: Whether you are starting a business or operating a business on a day-to-day basis, many other tasks require attention (and money), like marketing, sales, staffing, and other administrative matters. The last thing a business owner often wants to think about is a lawyer. Smart business planning, however, should include calling and using a lawyer to prevent problems. A lawyer can help a business protect itself from a variety of problems (like partnership disputes and lawsuits). Businesses often do not realize that spending a little time, effort, and money on an attorney to identify and resolve potential problems could save that business numerous headaches (and a lot of money) down the road. Here are 7 ways a lawyer can help a business protect itself from trouble. 7 Ways a Lawyer Can Help Your Business 1) Incorporation Individuals often incorporate and start their businesses themselves without the assistance of an attorney. While that may be fine for a simple business (such as a single-owner LLC), it may not be ideal for a business that has multiple owners or transacts business across state lines. In these situations, a lawyer can help a business owner choose the right corporate structure (LLC, S-Corp, C-Corp), choose where to incorporate (in your home state or in Delaware), understand whether by-laws or other documents are needed, and – for multi-owner companies – understand the need for an operating or partnership agreement. Generally, the more complicated the business, the more likely an attorney should be...

9 Ways Businesses Can Ensure Their Non-Compete Agreements Are Enforceable

A non-compete agreement is an effective way for a business to protect its intellectual property, client information, and other confidential information. It generally restricts an employee’s ability to work for a competitor or to start a competing business following that employee’s departure from his or her former employer. For a non-compete agreement to be effective and serve its purpose, however, it must be enforceable. These agreements are generally governed by state law. In New Hampshire, the law that applies to non-compete agreements has evolved over time. Certain types of employer-friendly agreements (and the restrictions they contain) used to be enforceable in New Hampshire. But over the past 10-15 years, the law has trended in the other direction and become more employee-friendly. This does not mean, however, that businesses cannot continue to protect their interests. They can certainly do so. They just have to ensure that they take certain steps to craft a non-compete agreement that adheres to recent trends. Below, I identify and explain 9 ways businesses can ensure their non-compete agreements are enforceable. 9 Ways Businesses Can Ensure Their Non-Compete Agreements Are Enforceable 1) The Non-Compete Agreement Should Generally Restrict the Employee From Soliciting Current Clients, Not Prospective Clients New Hampshire courts generally disfavor non-compete agreements because they restrain free trade and markets. However, they will enforce these agreements if they protect a “recognized legitimate employer interest.” Courts have found that a legitimate interest that businesses may protect is their current client base. This makes sense because businesses should be able to prevent employees from taking advantage of the goodwill and relationships they develop with customers and clients....

How to Determine What is a Breach of Contract

One of the more common forms of business disputes is a dispute over the failure to perform certain obligations set forth in a contract, and many businesses and individuals often wonder what is or what constitutes a “breach of contract.” If you entered into a contract, performed your obligations under that contract, and you are experiencing issues with getting the other party to perform its own obligations, you may have a situation where that party has not fulfilled its end of the bargain. What do you do next? This is a question that haunts many businesses and individuals. How do you know what is a breach of contract? Are there any specific steps that need to be taken to make that determination? Should you go back and read the actual contract? How long do you have to do this? Should you talk to an attorney? In this article, I will try and provide a simple step-by-step process that will help you understand what is a breach of contract, and that will help you determine when you have one yourself and what you can do about it. What is a Breach of Contract?   1) Determine if you have a contract This initial step might appear unnecessary, but it is a consideration worth addressing. A claim for breach of contract requires proof of four elements: The existence of a contract; Breach of the contract; You suffered damages; and The breach caused you the damages you claim you suffered. Thus, before doing anything, you should first determine if a contract exists at all. Contracts can be written or oral. But for...