Category: Business Law

For-profit Director and Officer Standards of Conduct under Maine Law

Under Maine law, corporate officers and directors bear fiduciary duties to the corporations they serve. Fiduciary duties exist because of the high level of trust placed in a person in a fiduciary capacity. As U.S. Supreme Court Justice Cardozo explained in 1928 in Meinhard v. Salmon: A trustee is held to something stricter than the …

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Family Business Succession: The Importance of Having a Plan

By Rudman Winchell Attorney Jonathan P. Hunter Although the idea of the family business is firmly rooted in American culture, the survival rate for family businesses in America is startlingly low. Less than a third of family-owned businesses survive into the second generation. Twelve percent of family businesses make it to the third generation. Only …

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Why Should I Form an LLC?

By Allison A. Economy, Esq. The entrepreneurial spirit is alive and well from Maine to California. Great ideas are spreading with help from television shows like Shark Tank, where hopefuls seek investors to fund their products, and online shopping forums like Etsy, where sellers can offer their handmade goods to buyers around the world. A …

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Tax, Charitable Giving and the 501(c)(3) Exempt Organization

With individual tax season in full swing, we can pause to consider the role of charitable organizations. Toward the end of each year, charitable giving in many forms increases, particularly to organizations that tout themselves as “exempt” under Internal Revenue Code Section 501(c)(3). For charitable entities seeking 501(c)(3) exempt status, what is the process? And …

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Seller Beware: Warranty Disclaimers and the Unfair Trade Practices Act

By: Rudman Winchell Attorney Allison A. Economy Maine law prohibits unfair methods of competition and unfair practices under the Unfair Trade Practices Act (the “Act”). The Act is particularly stringent when it comes to warranties offered in connection with the sale or manufacture of consumer goods. Consumer goods are those used primarily for personal, family, …

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