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Dallas Texas Business Law Blog

Coastal Field Services defends breach of contract claim

The Pipeline construction company, Coastal Field Services recently obtained a favorable defense ruling for a charge leveled against them by a former employee. The company had allegedly offered the employee a 2% ownership stake in exchange for staying with the company. The employee claimed that the company never provided the ownership stake and subsequently terminated them two months later.

The court found that Coastal never agreed to grant the former employee the 2% ownership interest in exchange for his continued employment and absolved the company of any damages.

The pros and cons of alternative dispute resolution methods

Whether due to a broken contract, disagreement among shareholders or more, the prospect of your business facing a dispute can be nerve-wracking. Preparing for a dispute may risk taking time, resources and energy from the everyday matters of your business.

Fortunately, not every dispute is destined for litigation in a Texas courtroom. Whether due to a clause in a contract or the wishes of both parties, alternative dispute resolution methods can offer the opportunity to reach a solution in a more collaborative, and often less expensive, way.

Geography matters in Texas non-compete agreements

Non-compete agreements have an important place in business. They protect valid business interests.

But it the non-compete agreement is not constructed correctly, it can be negated. Texas law decrees that a non-compete can’t demand greater restriction than is necessary to protect the business.

Types of breaches of contract

If you conduct any kind of business, you are no stranger to the utility of a business contract. A simple document can ensure services you’ve paid for are completed in a timely manner, there aren’t any disputes about compensation and otherwise avoid unnecessary arguments. What happens when the other party shirks their contracted duties, though?

Breach of contract is a frustrating situation that many people and businesses find themselves on the receiving end of. You have the right to relief in the form of damages, receiving the performance you agreed upon and cancellation and restitution from the other party. Speak to a skilled attorney as soon as possible to get the ball rolling on your case.

Mediation can be an effective form of dispute resolution

The great philosopher Mike Tyson once said, "Everyone has a plan until they get punched in the jaw."

Business contracts can be a lot like a Tyson fight - you start by believing everything is going to go your way, then you get a right to the body and a left uppercut so devastating that they feel like one punch. Now things aren't going your way real fast and all those plans have gone out the window. How do you regroup?

What qualifies as a breach of fiduciary duty?

The business world is fiercely competitive and ever-changing. Its competitive nature drives some to act badly to try to get ahead. However, there are laws that prevent companies and individuals from acting unethically. When people step outside of these boundaries, they can be held accountable for their actions.

Problems your start-up could face

Creating a start-up is not for the weak-minded. It takes hard work and considerable intelligence. However, despite all your research and knowledge, your new endeavor may still run into issues.

The business of entrepreneurship and start-ups is complex and there are many factors that go into it. Here are two major problems start-ups face and how you can potentially avoid them:

Impact of AI on trade secrets

Artificial intelligence (AI) has been a hot topic for years. The WIPO predicts this digital frontier will impact everyone, from small businesses to large corporations. Aside from technological, economic and social implications, it will immensely affect traditional intellectual property concepts. For a start: trade secrets.

The benefits of forming an LLC in Texas

If you hope to begin a business, perhaps the first step includes determining which type of business you want to establish based on your company make-up. In our last post, we outlined popular business entities in Texas.

A common business entity includes the formation of a limited liability company (LLC). LLCs allow you to take the benefits of both a partnership and a corporation, and in doing so, you have the ability to act both as a member and an owner in the business.

What you need to know when deciding on a business entity

Starting a new business is exciting, but it requires careful planning and preparation. You must do things like evaluate the marketplace, secure financing, design a logo, determine your customer segment and figure out where you will sell your goods or services. More than knowing your company is going to sell custom footwear, you also must determine the structure of your company. Here is what you may need to know about picking the appropriate business entity.

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