January 17, 2012

Entrepreneurs and Local Businesses Sell Out Northeast Florida's First "Startup Weekend"

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This weekend more than eighty attendees will participate in Northeast Florida's first "Startup Weekend," an intensive 54-hour three-day event which will help existing businesses, new businesses and "entrepreneurs with big ideas" get a jump start on building and implementing web and mobile business applications.

Everyone is fairly clear about business applications for the web (making your products or services accessible through notebooks or desktop computers), but what is a mobile business application? It is basically the same thing--but accessible on smart phones, iPads, iPhones and other mobile or portable devices. A mobile application could include additional website bookmark capabilities or provide for instant messaging options via a mobile device or provide access to other mobile functions. Web and mobile business applications simply provide businesses another way to connect with their customer base in selling their business product or service. Sales to customers while limiting the need for additional sales personnel or office space and a mechanism to permit businesses to reach a market outside their local community could be critical for the entrepreneur's or new business owner's success in today's business environment. The three-day event will be held at UNF and will engage three groups (with three different types of tickets for the event), including:

"Developer" Participants. This ticket category will include technically trained individuals who can write computer code for a businesses' web based computer applications and mobile applications.

"Designer" Participants. This ticket category includes non-technical people who are essential to the development of the look and the brand elements of a businesses' web based computer applications and mobile applications (including, for example, graphic artists, social media specialists and video specialists).

"Business Support" Participants. This group will include professionals who will support the entrepreneur or business in the development and implementation process (including, for example, financial, legal and marketing professionals and businesses).

The Startup Weekend will be an interactive event. It will kick off with ideas being pitched and teams being formed to consider the top products and services. As the event draws to a close on Sunday evening, ideas will again be pitched--but this time to a panel of judges. The finalists selected by the panel of judges will have the opportunity to win up to $25,000 in prizes.

The Jacksonville Business Journal recently interviewed entrepreneurs and new business owners attending Startup Weekend event (see "City's First Startup Weekend to bring entrepreneurs together") and reported on various mentors and business leaders that would be on hand to guide the participants through the interactive activities that weekend. The January 20, 21 and 22, 2012 Startup Weekend has met with a resoundingly positive response in the Northeast Florida business community as it was officially announced last week that the event was "sold out."

Still, if you are interested in participating in the January event, sponsors are "wait-listing" individuals who want to participate this weekend and are releasing any tickets that become available in the order you go on the list. Even if you are not able to get into the January event, if your name is on the waiting list you will receive communications about upcoming events.

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December 15, 2011

Up, Up and Away...Doing Business in the Cloud

Cloud.jpgA recent article in the TheStreet, an internet magazine focused on the world of investment, finance and business, reported that IBM would be expanding its “cloud offerings for business users” through the purchase of DemandTec in the first quarter of 2012. This follows news in early December regarding SAP’s purchase of SuccessFactors and Oracle’s October purchase of RightNow. The article noted the trend toward acquiring cloud-based marketing pricing and analytics companies, reporting that “Cloud based businesses and analytic abilities are becoming increasing important to IT services and software giants as consumers and businesses make more Smartphone-based decisions using mobile networks.” To read more about those trends see IBM Pays More Than SAP and Oracle for Cloud Growth (Update 1).

So, what is Cloud computing? Some describe the Cloud as “virtual servers” available over the internet. Some describe the Cloud as any server outside of your local area network’s firewall. Cloud computing arises when you are going to provide for your business’ computing needs via the internet through a subscription-based or on pay-per-use basis or on a third party contract basis. Not only are you going to access your “virtual servers” via the Cloud, but you may also receive access to full service IT applications, data storage, software, data security, business analytics specific to your industry, real-time access to Vendors, digital access to your customers and assorted sales tools. The available software products are expanding rapidly as mid-sized to large IT and software companies line up to “cash in” on the growing Smartphone and Tablet appetite of consumers.

So how can doing business in the Cloud positively impact your business? Do some research within your industry and with other business owners you trust to find out what your options may be. Contact various Cloud service providers and ask how they can support and improve your business model. Ask how each Provider’s product can increase your business’ capability or customer access without investing in costly new infrastructure, staffing or equipment. Ask what type of customer support they will provide in training your staff and maintaining your system. Ask what type of “downtime” you may be facing and how they will minimize the risk of downtime. Ask about server security and where the data will be stored – is there redundancy in data storage to prevent loss in the event of a natural disaster impacting the Cloud or your own business. Ask what happens when your contract with the Cloud provider ends or is terminated early.

Running a business takes a lot of energy and often we can become imbedded in the way we have done business in the past. However, most business owners have a wealth of knowledge in the people surrounding them - - take the time to check out what your competitors are offering with regard to accessibility via the internet. Ask your sales and service people if they think there are better ways to do business using internet based tools. Ask your accounts receivable and accounts payable people if they have seen internet tools used by other companies that could be beneficial to your own business. Ask your staff members and interns to brainstorm how internet based tools could grow your business, reduce costs or offer better services or products.

When you are ready to launch into the Clouds, review your contractual obligations and provider warranties carefully. If you have questions or would like legal assistance in reviewing the documentation, contact a Florida business lawyer with Wood, Atter & Wolf, P.A.

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December 14, 2011

Contract Rights - Bankruptcy Court as Game Changer

Baseball-2.jpgIn June 2011, Major League Baseball's Los Angeles Dodgers filed Chapter 11 Bankruptcy. The Chapter 11 protections will permit the Dodgers to continue to operate as a business, but protect its cash and assets while taking a look at how its existing obligations and contracts can be modified to allow the business to continue in a financially viable manner. While in Chapter 11, the team can continue to make payroll, sign players, pay contracts and compete as a team. As with other debtors in Chapter 11, the Bankruptcy Court seeks to balance the effort to maximize the value of the bankruptcy estate for the benefit of the Dodgers' creditors and the effort to arrive at a plan by which the Dodgers' business can continue to operate. Unlike other businesses in Chapter 11, the Bankruptcy Court is dealing with Major League Baseball's oversight of each baseball franchise’s business activity.

A major asset of the team that has come under scrutiny by the Bankruptcy Court is the Dodgers' media rights. The existing media rights contract is with Fox Sports and that contract called for a scheduled renegotiation over a 45 day period in October and November 2012. The Dodger Franchise, looking at a sale of all or part of the team as a part of its reorganization plan, has taken the position that to get the greatest value for such media rights, any media rights sale (of television rights to future games) should occur in connection with the sale of the team -- and not be delayed until 2012.

Fox Sports has objected to the change in its contract right to bid on media rights to the future games - arguing that their original renegotiation period was exclusive and confidential, while the proposed sale process under the supervision of the Bankruptcy Court would permit any purchaser of the Franchise to accept or reject any media rights extension negotiated by Fox Sports and the current ownership group. There is some thought that this would permit alternate bidders to see the details of the Fox Sports negotiated extension of rights and then aggressively bid against Fox.

On December 8, 2011 U.S. Bankruptcy Judge Kevin Gross approved the Franchise's plan to bundle the sale of the team with the sale of future media rights to games starting in 2014. Fox Sports is considering an appeal of the ruling.

All business owners should be aware of the potential impact of a bankruptcy filing by their business suppliers and customers. During the pendency of your supplier's or your customer's bankruptcy action, the Bankruptcy Court can "step into the shoes of" your parts provider, your distribution vendor, your best customer. As a result, you should consider adding specific language addressing the impact of their potential bankruptcy to your standard agreements with customers, vendors and suppliers - addressing your rights in the event of their default under the contract, or in the event of their stated insolvency or their intent to file bankruptcy.

For more information about the Dodgers Bankruptcy see Judge approves Dodgers media rights sale. To discuss how to how to protect your business through contractual protections, contact a business lawyer at Wood, Atter & Wolf, with offices in Jacksonville and Ponte Vedra Beach, Florida.

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November 6, 2011

Mailing Strategies for Small Businesses

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Unfortunately, the U.S. Postal Service has taken a significant hit due to shrinking revenues and arcane rules. Many post offices have already been, or are expected to, shut down, as well as lay off thousands of employees. The consequence: shipping prices increase and services decrease. A possible "next" on the ole chopping block? Saturday deliveries. With the holiday season rapidly approaching, the USPS's downfall is not good news, especially for small businesses. So what exactly can small businesses do to prepare for increased shipping prices and decreased mailing services? Below are some helpful tips for small businesses during these tough times:

1. Plan, plan, plan!: Overnight deliveries are already expensive and with given the current predicament of the USPS it does not look like they are going to get any cheaper. Plan ahead, plan better. Push back mailing deadlines and try to send as many packages as possible by regular mail. As USPS services slow down this could become increasingly important.

2. Update your mailing list.: Just how current is your mailing list? Send out postcards inquiring interested customers to respond to remain on the mailing list. Doing so will cut out the "deadwood" and reduce mailing charges.

3. Compare Costs with Competitors.: As USPS prices increase other distributers (UPS, FedEx) may start to look more attractive. However, it may be beneficial to your business to go ahead and look at competitors' offerings before getting hit by the price increase.

4. Try Email. : As an alternative to mailing out letters try an email marketing program (common programs are AWeber or Mailchimp). These programs send out great looking fliers to customers' inboxes as opposed to their mailboxes. If you are unsure whether your customers would prefer this method mail them and ask for an email opt-in. An added bonus: if you didn't already have your clients' email addresses, now you do!

5. Consider Private Electronic Mail. : This method is already being used by some big companies and government agencies. Essentially, private electronic mail allows customers to receive full featured messages from any location, as well as keep the mail out of over clogged inboxes.

Small businesses have taken a hard hit during these tough economic times. It is wise for small business owners to develop strategies and plans that aid in maximizing their potential profits, especially during such difficult financial periods. For counsel and guidance and developing such plans contact a Business Attorney at Wood, Atter & Wolf, P.A.

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August 10, 2011

Solantic Bought by Investors

Doctor.jpg Solantic, a Jacksonville-based urgent care company, has sold its privately owned centers to Welsh, Carson, Anderson & Stowe, a New York private equity firm. In April, the firm bought a controlling interest in the company and recently announced its acquisition of the company. The new owners of the company have named Michael Klein as Solantic’s new president and CEO following co-founder Karen Bowling’s notice that she would be stepping down to a senior strategic adviser position. The firm was a key player in the rapid expansion throughout Florida, investing money to fund more than 40 new free-standing clinics.

To learn more about this article, visit Investor group buys out Solantic.

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August 9, 2011

$40 million ad campaign by Panera

Bakery.jpg On June 13, 2011, Panera launched its “most significant ad campaign to date,” according to Chief Marketing Officer Michael Simon, entitled “Make Today Better” according to Forbes. This advertising campaign is just over one percent of its overall revenue compared to competitors who allot about three to five percent of revenue on media spending. Panera’s new television and radio spots broke on the 13th, followed by social media like Facebook and Twitter launching this coming week. The campaign’s goal is to change the view customers have of Panera being a brand preferred to a brand loved. Panera reported a profit in 2010 of $111.9 million on revenue of $1.54 billion. In the Jacksonville area, there are 14 Panera bakery-cafes to enjoy.

This is important because the public can view a business based upon initial advertising that can limit the population the business can serve. Actors can become the same as only a comedian or a drama actor. Unfortunately for businesses, it can cost a lot of money to break those stereotypes on the business and its products.

To learn more about this article, visit Panera launches $40M ad campaign.

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August 8, 2011

General Services Administration building at Flagler Center

Small%20Office%20Building.jpg A two-story building will be built at Flagler Center in south Jacksonville by General Capital Group and Duke Realty Corp. The building will be used by a U.S. General Services Administration to house immigration services. Four years were spent to locate potential properties for the services. Eventually, it was determined that nothing worked for a retrofit, so a greenfields site will be developed. The new building will be designed to LEED standards as a project design that incorporates environmentally sustainable features. LEED stands for "Leadership in Energy and Environmental Design."

Duke Realty Corp. is going to be the general contractor and General Capital Group the developer. The Flagler Center is located near the Interstate 95/St. Augustine Road interchange. The owner/developer of the project, General Capital Group, will lease the building to General Services Administration, which is scheduled to be completed in February 2012.

To learn more about this article, visit New GSA building for Flagler Center.

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August 5, 2011

Jacksonville business, Salt Life Restaurant, to Open 20 New restaurants in Florida

Jacksonville%20Beach.jpg Salt Life Restaurant Group LLC has announced that it will open twenty Salt Life Food Shack restaurants across Florida. The managing partner of the group, Greg Saig, stated that the plan is to open the new restaurants over a ten year period. The original Salt Life Food Shack opened in Jacksonville Beach in January 2010. The next two are expected to open by next year, but exact locations are still being considered. Salt Life Food Shack is an extension of the Jacksonville-based Salt Life, Inc, a clothing supplier identified by their t-shirt and sticker logos.

Salt Life is an excellent example of a well-defined and protected trademark that has risen to high levels of visibility over the last few years. The Mark's unique lettering and phrase easily recognized on car decals, signs, clothing and now on a restaurant franchise.

To learn more about this article, visit Salt Life plans to open 20 restaurants across Florida .

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May 31, 2011

Smashburger Attracts Five New Franchisees

franchise-royalties-franchise-fees.jpgThere's a new trend hitting the "fast food" world. Insiders are referring to it as the "better burger" concept, and one up-and-comer, known as "Smashburger", has set its sights on Jacksonville. Smashburger recently announced its agreement with five new franchisees who have commitment to build 63 new franchise units across the country. This news brings Smashburger's franchise pipeline total to about 463 locations.
Jim Crossen, and his American Food Services Group, LLC represents one of the five new franchisees. In the announcement, Crossen is said to have committed to open seven restaurants in the Jacksonville-Duval County area over the next four years.

To read more on this article, visit Smashburger Finds FIve New Franchisees.

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May 28, 2011

What Can You Learn from Oprah’s Business Decisions?

Business%20plan.jpg As Oprah is ending her 25 years on the air, small business owners, entrepreneurs, and anyone with a product to sell can learn from her success. From the beginning, she recognized that it is important to "just go with it". She made it clear that one can recover from mistakes that may come up, and she learned to do that over the years. Much too often, individuals let one mistake or problem disrupt their dream because they think it may mean they are doomed for a letdown. Instead, view problems as part of your “quest” and learn from them. Another important concept--give customers what they want. Too often, small businesses are unwilling to meet their customer’s demands. Those businesses that meet the demands usually find success. Keep your focus on your brand; a lack of focus leads to the downfall of many small businesses. Knowing who to associate with is also essential. It is important to find partners and employees who are devoted to promoting your business. An important thing to remember is to know when time is up and to let go.

To learn more about this article, visit Mind Your Business: Lessons from Oprah .

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May 24, 2011

Is Buying Stock in a Bankrupt Company Worth the Risk?

Business.jpg Since Blockbuster Video filed bankruptcy back in September, its stock price has fluctuated from 4 cents to 23 cents, yet some investors are undeterred and still purchasing those shares.
This is not a new investment strategy; for years investors have bought stock in bankrupt companies with the hope there will be money remaining once all the company's creditors are repaid.
Some investment analysts view this as very risky, given that when a company files Chapter 11 restructuring, shareholders are the last to be paid. Therefore, unless the creditors are fully satisfied, shareholders will receive nothing.
In 2009 and 2010, only 4 out of 41 public companies delivered returns to shareholders after emerging from bankruptcy.

To learn more about this article, visit Why People Buy Stock in Bankrupt Companies.

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May 19, 2011

CSX Projects Continued Growth Through 2015

Corporate%20Growth.jpg Only a few weeks after announcing its planned 3 for 1 stock split, CSX revealed during its annual conference that it expects yearly double-digit growth in its per share earnings and income through 2015.
Through a press release issued on Wednesday, the Jacksonville based railway company expects a growth rate of up to 20 percent in share earnings per year, as well as annual operating income growth of approximately 14 percent. CSX also reaffirmed its goal to reinvest an average of 18 percent of its revenue back into its various business systems through 2015.

To read more on this article, visit CSX Expects Double Digit Growth Through 2015.

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May 14, 2011

CSX Announces Stock Split

StockSplit.jpgJacksonville based corporation, CSX, announced earlier this month that it has approved a stock split of 3 for 1. In addition, the company committed to increasing the quarterly dividend of its common stock by 38 percent. CSX also plans to initiate a program to buy back over $2 billion of corporate shares.

Over the last four years, the railway company has invested over $8 billion in its various business enterprises, and raised its dividend by 300 percent, which allowed it to already repurchase over $5 billion of its shares.

To read more on this article, visit CSX Announces 3 for 1 Stock Split and Stock Buyback Program.

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May 13, 2011

Blue Cross Blue Shield to Enter the Medicaid Market?

Health%20Care.jpg Blue Cross Blue Shield, one of Florida's largest insurers, announced its plan to enter Florida's Medicaid market. A spokesperson for the company stated that the timing is right, especially considering the Legislature's recent decision to expand Medicaid's role statewide.

Presently, the timeline as to when the company will make the official transition is unknown. Check back periodically, as we will continue to provide updates as more news emerges.

To learn more about this article, visit BCBS Enters Medicaid Market.

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April 20, 2011

Michelle Obama Calls Companies to Offer Jobs to Military and Their Spouses

Folded%20Military%20uniform.jpg The first lady recently called on companies to recruit and hire members of the military and military spouses, stating that these individuals have a lot to offer. Michelle Obama, along with Jill Biden and Labor Secretary Hilda Solis, visited a Sears shipping facility in Columbus while promoting a new “Joining Forces” effort to boost support for members of the military and their families. The first lady spoke to about 200 Sears employees who have a military connection and thanked them for their sacrifices. Sears employs more than 30,000 military veterans, more than 1,500 active service members and thousands of military spouses. Companies that make it easier for employees to transfer jobs when their military spouses are transferred were highlighted. Mrs. Obama and Mrs. Biden spoke highly of Sears, Wal-mart, and several other companies.

With each move, military spouses typically must start a new job search. With multiple jobs on the resume, it puts up a red flag for employers who do not understand the military life. Most do not understand all the qualities the military members and their families have to offer. Military members are skilled in advanced technology, have the ability to adapt to circumstance, have the ability to multitask, and have managed colleagues, while working with people of different backgrounds. “Joining Forces” is intended to help military families overcome challenges such as moving frequently or having a family member who is stationed overseas due to wartime perils.

To read more on this article, visit First lady: Military members, spouses need jobs.

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April 9, 2011

Smartphones vs. Tablets, Which Product Will Reign Supreme?

Smartphones.jpg The future of Smartphones may be at risk due to the rise in sales of tablets, not laptops, as some analysts predict.

Analysts also state that laptop and netbook sales will be hampered for a short period, while consumers discover the capabilities of a tablet. Since most individuals use their smartphones for media and data instead of calling features, many consumers are expected to choose tablets due to the smartphone's storage capacity and prices. With smartphone prices ranging from $200 to $600, industry analysts suggest upgrading to a tablet that has a screen three times the size?

According to a 2008 Nielsen survey, consumers are texting more frequently than making voice calls, and their data usage has increased exponentially. There are many who view the smartphone as a smaller tablet, putting it in the same market, which could start to diminish smartphone sales.

To read more on this article, visit Size Matters: Tablets vs. Smartphones.

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April 8, 2011

SEC Set to Bring Charges Against Wachovia

Congress.jpgThe Securities and Exchange Commission has announced its intent to bring charges against Wachovia Corp. for assessing usurious fees against its investors for collateralized debt obligations (some of which containing mortgages).

Wachovia, now owned by Wells Fargo, is the third-largest bank in Northeast Florida, and is set to complete its transition from Wachovia to Wells Fargo by June of this year.

To read more on Wachovia, visit Wachovia Set to Complete Transition to Wells Fargo.

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April 6, 2011

The Tax Gap and Small Business

Selected%20for%20Audit.jpg Current measures being taken to close the tax gap (the difference between taxes paid and tax owed) has begun to disproportionately affect small businesses. Part of this may be attributed to an increase in audits and information reporting requirements for small businesses, such as the new 1099 reporting requirement.

The National Research Program (NRP) generated tax gap estimates suggesting that the underreporting of income by small businesses represents $83-$99 billion of the $150-$187 billion individual income tax gap for 2001. After collection activities the total tax gap went from $345 billion to $190 billion. However, IRS auditors conducting NRP examinations have found that most underreporting of income that occurs is unintentional. The IRS focused its tax-gap study on individual tax income returns, and on returns not subject to withholding or third party reporting, causing an unfair skew towards small businesses.

To learn more about this article, visit Small Business and the Tax Gap .

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April 2, 2011

Groupon Defends its Marketing Strategy

Marketing%20Strategy.jpg Groupon recently announced it will continue its marketing campaign based on provocative ideas in order to reach new users and markets. This announcement comes as a surprise to some marketing analysts, as the company recently pulled a commercial that originally aired during the Super Bowl. The ad drew criticism for making light of the current repressive climate in Tibet, forcing Groupon to issue an apology.

Groupon is eager to attract new users, as it is considering an IPO (initial public offering) later this year. The company derives its revenue by alerting its more than 50 million subscribers to daily discounts of up to 90% at local businesses and retaining a portion of the proceeds.

To read more on this article, visit Groupon Chief Defends Marketing Approach.

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March 31, 2011

Bank of America Sued by Shareholders

foreclosure-trouble.jpgA contingent of Bank of America shareholders filed suit against the bank on Monday over its foreclosure paperwork practices. The complaint alleges the bank did not properly record mortgage documents as the bank either originated or acquired them. This failure to properly record created unreasonable complications when foreclosure actions became necessary.

The suit also states that the bank's mortgage documentation problems, insufficient staffing levels, and evidence that its employees failed to properly review loan documents before approving foreclosures contributed to the bank's decision to freeze foreclosures in October. Therefore, the bank's top management stand accused of breaching fiduciary duties, corporate mismanagement, and wasting corporate assets.

To read more, visit Shareholders sue BofA over foreclosure practices.

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March 28, 2011

Jacksonville Chosen as Tech Company's New US Headquarters

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Saft America Inc., the domestic arm of the French high-tech battery manufacturer, will be relocating its headquarters from its current North Carolina location to Jacksonville. The jobs associated with this most recent announcement will add to the more than 300 jobs already expected once the new $200 million Jacksonville plant opens in July.
Cornerstone Regional Development Partnership's Jerry Mallot stated that locating Saft's headquarters in Jacksonville will give the city "a better shot of gaining new investment opportunities as the company expands."
The Westside plant is said to be the company's most expensive and advanced facility, focusing on production of lithium-ion batteries for solar and wind power storage. Saft was awarded over $90 million in federal stimulus funding, which facilitated the construction of the Jacksonville plant.

You Can Read More by Visiting Saft Picks Jacksonville for Headquarters.

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March 27, 2011

Wachovia Set to Convert Name to Wells Fargo

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Wells Fargo acquired Wachovia back in 2008 during the peak of the financial meltdown. Since that time, consumers and analysts alike have wondered when Wachovia would actually transition and take on Wells Fargo's name.
All of Wachovia's signage and systems for North and Central Florida, as well as Greater Tampa, are set to change over to the Wells Fargo brand by the end of June. The rest of Florida is set to complete its conversion by the end of July.
Following the merger, Wells Fargo became one of the largest banks in the world, and the third largest in Florida. It also operates over 9,000 commercial branches and 12,000 ATM's nationwide.

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March 26, 2011

Avoid Slip and Fall Accidents at Your Business

Step%20on%20Banana%20Peel.jpg In order to avoid slip and fall accidents at your business, it is important to take steps to reduce your risk of liability. Keeping floors dry, clean, and free of obstructions is also important. Someone should be tasked with monitoring the cleanliness of floor space throughout the office. If items are left on the floor for a long period of time or the floor is wet, you are putting yourself at risk for accidents.
Stairs can also pose a risk of liability. They can be damaged over time, and the edges may become either sharp or rounded and cause harm to someone.
If you become aware of a dangerous condition on the premises, you have a duty to fix it. There is an increased risk of injury with all the moving parts, so be wary of elevators and escalators. Failing to watch these key areas to avoid slip and fall accidents may lead to a potential lawsuit. It is also advisable to check your liability insurance to ensure you have sufficient coverage.

To read more on this article, visit Top 3 Small Business Slip and Fall Accident Tips.

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March 24, 2011

AT&T Wishes to Acquire T-Mobile

at%26t-t%20mobile.jpg AT&T has announced its intent purchase T-Mobile for $39 billion. The purchase would create the largest wireless carrier in the U.S., with an estimated 130 million subscribers. T-Mobile's current parent company, Deutsche Telekom, released a statement explaining that the deal has been approved by both companies' Board of Directors. However, the deal must first be approved by the FTC and SEC. Some critics are skeptical that the deal will ultimately be approved, pointing to the current lack of choice in the U.S. cellular market. Others claim that the U.S. has one of the most competitive markets around, stating that in 18 out of the top 20 markets, consumers can choose between 5 or more providers.

To learn more about this article, visit AT&T buys T-Mobile USA for $39 Billion.

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February 22, 2011

The St. Joe Company Reassures Employees/Public of its Financial Strength

st%20joe%20logo.jpg Recently, current St. Joe Co. CEO Wm. Britt Greene released a statement to employees in response to the news of shareholders taking action against the embattled real estate developer. In addition, two members of its board of directors resigned after only six weeks of service. Greene assured the employees that despite these recent events, the company is still viable and "financially strong."

The company, in recent months, has modified its corporate bylaws and hired Morgan Stanley as its new financial adviser in an effort to further protect the interest of its shareholders.

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February 16, 2011

Businesses need Good Conflict Management

Mediation.jpg Customers are very important and valuable to businesses. So when there is a conflict that rises to a level that may result in the loss of a customer, or worse, litigation, there needs to be a way to resolve it. It is always better for both parties to manage the conflict initially, or, if that is not successful, through an alternate dispute resolution method - such as mediation. Alternate dispute resolution, or conflict management, is important for all businesses because litigation can be very expensive, even devastating, to both the business' reputation and its bottom line.

For good conflict management, it is always best to think about how your business or organization is going to deal with a conflict before one arises. Set up a process to deal with unsatisfied customers or disgruntled employees. In many cases, just knowing how to resolve the conflict is more important than actually resolving the conflict because you are able to meet the underlying interest of all the parties. Identify the steps employees should take when faced with a dispute and identify the manager or supervisor that each must defer to if the dispute escalates.

In the event that internal resolution is not going to be successful, outside sources may be useful. Third-party mediation is often successful in dealing with conflicts because it does not dwell on the positions of each side, but looks to the reason behind the conflict itself. By looking at each party’s motivations and not the positions, the parties are more likely to find a solution, sometimes a more creative one than solely monetary compensation. By these creative solutions, the mediator and the people involved in the mediation will be more likely to feel that the outcome of the mediation was successful and that the process had integrity.

To learn more about this article, visit Better Ways to Handle Business Conflict.

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February 14, 2011

Marketing should be Considered an Investment, not an Expense

Brand.jpgSteve McKee, author of When Growth Stalls: How it Happens, Why You're Stuck and What to do About It, stated that “every business lives or dies by its brand.” Few owners invest the time or money they should into their brand. "Brand neglect" can occur imperceptibly, through weak or non-existent branding strategies, poor articulation or visuals, or inconsistent brand messages. Many business owners do not notice it happening because brand neglect often happens slowly. A business’ brand is its ultimate asset and should not be mismanaged. Brands can increase in value if they are well-managed. For example, the market value of Coca-Cola’s brand is more than $70 billion. Disney’s brand is worth $28 billion and McDonald’s brand is worth more than $33 billion. While your brand may not be worth that amount, it is an asset worth protecting and enhancing.

As a business owner, brand management should be as important to you as your fiscal and product management. Set aside time to periodically review your brand focus. In your branding efforts, have you developed clear objectives? Is there a clear strategy implemented? Is your tactical plan the best approach for your business? Marketing and brand building may seem like an expense, but it can be your greatest asset. If you have not already, take the time to develop and implement and a branding plan that is smart, strategic, creative and effective.

To read more on this article, visit Marketing: Investment or Expense?.

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February 13, 2011

Home Depot Caters to Women

Home%20Depot.jpgHome Depot has recognized that it needs to appeal more to women, who make up half of its customers. Due to the current situation of the housing market, big items and major renovation supplies are not selling like they once were. As a result, management has modified its store presentation and product line to entice their underperforming market segment - women purchases. Specifically, Home Depot is promoting small projects this spring, in an effort to get female customers excited about a home makeover. In addition, Home Depot is offering Martha Stewart Living products that bear a certain icon so a buyer can match pieces for different rooms, such as a living room or bathroom. This helps to create matching rooms without searching for coordinating pieces.

This is not the first time that Home Depot has tried to appeal to women. In 2003, Home Depot introduced Do-It-Herself workshops (still in effect).

This strategy can also be used by small and mid-sized businesses. Assess your potential customer.Assess changes to purchasing patterns that arise as a result of innovations or economic pressures. Be innovative and flexible in reaching potential customers in new market environments. Always be alert to changes in your market and move quickly to adapt to these changes.

To learn more about this article, visit Revamping, Home Depot Woos Women."

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February 11, 2011

LinkedIn set to Go Public by Early Summer

social%20media.jpg LinkedIn Corp., the leading website for professional networking, plans to raise at least $175 million through an IPO in the hopes of debuting on the stock market within the next three to four months.

It might be the most highly anticipated IPO in recent memory. LinkedIn's filing could motivate other growing internet services, such as Twitter and Facebook, to follow in its footsteps.

More than 90 million profiles have been set up on LinkedIn, compared to Facebook which boasts more than 600 million.

Whereas Facebook makes its revenue from selling add space and marketing information about its users, LinkedIn has focused its marketing towards corporations and employers willing to pay for exclusive access to its content.

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February 10, 2011

Hints for the Job Hunt

Resume.jpg Although unemployment is at 9.4 percent, the amount of job postings on job search engines are rising. This may be a good sign of more employers hiring as more employers have begun to post job openings online. These recent increased on line job-posting numbers are very encouraging. As always, any responses to online requests for information should be critically viewed to reduce the risk that the "wrong person" is securing personal information about you. Some suggestions to prevent this may be to check the email address for authenticity, or to call the potential employer to ensure the posting is still active.

Individuals who have been out of a job for weeks, or even months, have sent countless resumes to numerous employers with little or no response. Unfortunately, the longer a person is out of work, the harder it is to get hired. Maybe the skills possessed can be used for other aspects of the job market. Think about how you can adapt the skills you possess to a different industry, or move to a city where your skills are in high demand. Also, do not restrict your search to only bigger companies. Private companies were responsible for more employment over the past year than larger companies.

To learn more about this article, visit A Sign of Hope for More Hiring.

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February 8, 2011

No Free Samples

Gavel%20and%20cds.jpg Popularity does not automatically equal legality. It is common to see videos posted on YouTube including a portion of a popular song. This is called sampling, which is a copyright infringement and is illegal in most instances. Before using or distributing a copyrighted work, always obtain permission. If consent is not acquired, then you are probably infringing on someone else's copyright.

So, when are you allowed to use copyrighted material without the owner's permission? - when it falls into a "fair use" exception. The fair use doctrine is “a privilege allowing others than the owner of the copyrighted work to use the material without the owner’s consent notwithstanding the monopoly of the use granted to the copyright owner.” There are four prongs to the fair use doctrine which must be met, specifically: the use must be for non-commercial purposes, the nature of the use of copyrighted material must be in the public interest, the amount of the segment used in relation to the copyrighted work as a whole must be small, and the effect of the use upon the market for the value of the copyrighted work must be insignificant. To be in the clear, obtaining a license to use copyrighted or original material is the best idea.

To read more on this article, visit There’s no such thing as a free sample.

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February 7, 2011

Five Financing Trends for 2011

Financing%20Trends.jpgCrowdfunding, microlending, credit unions, bootstrapping and the slow money movement are five financing trends that could have an impact on companies in 2011.

1. Crowdfunding is when a group of individuals help fund a project or business through donations. In return for funding, donors would receive services, goods or merely recognition, instead of equity or interest payments.

2. Microlending involves offering very small loans focused more often on benefitting aspiring entrepreneurs.

3. Credit unions are financial institutions that are among the most active in making smaller loans to entrepreneurs and have recently become busier. Credit unions have lower default rates and terms that are usually better than most banks and may be an option for business owners whose credit scores may not be accepted with other lenders.

4. Bootstrapping arises when entrepreneurs trim their costs and arrange for delayed payments to the point that they can self-fund their startup through individual savings and/or loans from friends and family. Trimming start-up costs may enable businesses to skip a loan altogether for start-up.

5. Securing business start-up money from a network of socially responsible companies trying to help their local community. The value to the investor is often derived from creating jobs and strengthening their community's business base.

To learn more about this article, visit Five Financing Trends for 2011.

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February 5, 2011

United States Military Ranks Higher Than Disney as Happiest Place to Work

Military.jpg Despite owning the tagline “Happiest Place on Earth,” Disney does not employ the happiest workers in the United States. Disney and other well-known companies rank lower than all four branches of the military and the National Guard according to a new survey for the “most blissful places to work.” Growth opportunity, benefits and job security were ranked higher for the military. Companies could learn from the military’s unique programs that provide opportunities to grow and improve skills, creating a happier work environment.

Bradly Brummel, a psychology professor at the University of Tulsa, stated that “despite challenges that may occur when serving our country, including the possibility of going to war, the military provides many of the essential elements to finding happiness at work, including having a meaningful impact on the world, having true camaraderie with your co-workers and having the opportunities to develop skills.”

To learn more about this article, visit U.S. Military Beats Out Disney as Happy Place to Work.

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February 4, 2011

Twitter and Facebook in the Business World

Twitter%20photo.jpg Twitter and Facebook have both become popularized by millions of internet users. But what began as a social phenomenon has morphed into something new as businesses are starting to harness this constant stream of information and potential customers.

Former Bazaarvoice Sam Decker has created social syndication to organize social media content and “present it on a usable platter for clients.” His new company, Mass Relevance, will take streams from internet sites, such as Facebook and Twitter, and then use them with more user friendly platforms. The result ? - watching a live football game while following a stream of live tweets on the stadium screen or smart phone.

The new trend is to harness user generated content to attract customers and lend authenticity to a business' commercial message.

To read more on this article, visit Startup aims to syndicate tweets.


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February 2, 2011

Small Businesses in 2010

Business%20Growth.jpg The phrase “small business growth” seems to be a popular topic in the business community. In 2010, small business trends reflected that the amount of businesses sold was up 3% from 2009. Although the average sales price fell 6.3% to 150,000 in 2010 from $160,000 the previous year, sales in the fourth quarter increased by 11% from 2009. Transactions increased, in part, due to business owners being more realistic about their businesses value, allowing more negotiations and deals to take place.

Despite the number of transactions increasing, access to capital is still difficult, causing businesses to sell for less than their true value. However, as the market begins to recover, baby boomers are predicted to start selling their businesses at an increasing rate, creating more opportunities for those individuals looking to acquire an established business at a lower rate. Even though the market remains challenging for small business owners, small business growth seems to be heading in the rigt direction in 2011.

To read more on this visit Small Business Sales Mixed in 2010.

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January 30, 2011

Workplace Behavior that Drains Energy

Sleep%20at%20work.jpg Exhaustion in the office may not be due to long hours or too many assigned task; it may be due to the actions of your co-workers. Here are some draining behaviors with suggestions on how to change for the better. "Energy Vampires" are the individuals in the office who are rarely happy or supportive and constantly nay-say suggestions. A better way - respond constructively when another offers a suggestion, even if the idea is not a good one, still hear it out. The complain train can also be very draining and very contagious in the office. One person’s complaint resonates in another, who adds complaints, triggering another to throw in more grievances. The whole office will soon be complaining and any work will be accompanied with a bad attitude.

The vicious e-mail or voicemail is another draining behavior due to its ability to last forever, constantly reminding of supposed shortcomings. Instead of an indirect form of communication, try to talk through a conflict in person. This will also make sure that words and tone are not misinterpreted.

To read more on this, visit 12 workplace behaviors that drain energy.

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January 12, 2011

Music Web Sites Dispute Legality of Their Closing

Domain.jpg Last month, federal authorities shut down five websites on possible copyright infringement with no warning and no details of the investigation. The operators of some of the sites have said in interviews that they were innocent of copyright infringement. The investigation stated that the sites were used to “commit or facilitate criminal copyright infringement.” The music and movies on the sites were said to have not been released with the authorization required. However, an operator of one of the sites stated that the songs were for promotional purposes and that someone from the record label provided the songs to the site.

The investigation has been on going since Thanksgiving weekend when the sites were shut down during a crackdown on 82 different domains suspected of copyright infringement and selling counterfeit goods.

The crackdown was a part of a broader U.S. Immigration and Customs Enforcement initiative called "Operation In Our Sites" which targets internet counterfeiting and piracy. However, this enforcement did not sit well with Peter Eckersley of the Electronic Frontier Foundation, a civil liberties group who stated, “It’s a troubling situation where basically any Web site that the Department of Homeland Security doesn’t like and is convinced has too much infringing material on it can just disappear overnight.”

To read more on this article, visit Music Web Sites Dispute Legality of Their Closing, also visit "Operation In Our Sites."

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January 11, 2011

Select the right Franchise Model

Matco%20Tools.jpg If you are looking into a second career or just starting out, buying into a Franchise can provide a "jumpstart" to your business life - the key is to look critically and carefully at the Franchise offerings and their willingness and ability to support and protect your local operation.

An example of the best - The Matco Tools Franchise was named best franchise in the “Tools Distribution Category” and 19th in Entrepreneur’s 32nd Annual Franchise 500®. They have even been named the best tool franchise the last four out of five years. Franchisors are judged and measured by certain criteria, including financial strength and stability, development rate, size of the system, number of years the company has been in business, the length of time it’s been franchising, startup costs, litigation, percentage of terminations and whether the company provides financing. Companies that achieve the highest scores join the prestigious Franchise 500.

This is an example of a positive franchise model, benefitting franchisees with low startup costs, internal financing for franchisees and customers, as well as national advertising and customer support.

To read more on this visit Matco Tools Named No. 1 Tool Franchise.

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January 7, 2011

Estimating Startup Capital

Startup.jpg It is easy to underestimate how much money is needed for a new corporation’s startup and failure to determine the correct level of funding can be the biggest barrier to a successful company launch.

There are several steps to determining the "correct" funding needed. First, develop your business plan - in plain English, what do you intend to accomplish? Second, decide what materials, personnel and location will be needed to accomplish that purpose. Third, develop a solid cash flow projection. Remember to include your own salary as a cost of the new endeavor. Lastly, plan to continually revise cash flow projections as making revisions is a necessary and continual process.

For more on estimating your start up capital, visit Tips for Estimating Startup Capital.

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January 6, 2011

Tips for Business Success

Business%20Success.jpg A key tip for business success is empowering your employees. Managers often forget that the key to great leadership is getting subordinates to excel. Too many managers focus on achieving goals and end up doing the work themselves. Other managers have the subordinates do the work but fail to give credit to subordinates, and as an end result, demotivate the employees. Great leadership is about training subordinates and delegating authority. Another key to business success - stay focused. Many businessmen are dreamers, seeing opportunities and wanting to grab them all instead of focusing on first building up the company. After establishing the company, then think about other opportunities and expansion.

To learn more about this topic, visit Three Titans' Tips for Business Success.

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December 11, 2010

Tampa based Firm Acquires Assets of Atlantic Beach Company

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Technology Research Corp. of Tampa has acquired assets of a product line associated with TDI Products Inc.,of Atlantic Beach, Florida. Assets of the product line, Shoreline Reel, were sold to TRC for an undisclosed amount but included intellectual property rights, inventories and customer relationships.

TRC specializes in power distribution and power management solutions for not only military personnel but also commercial customers. The sale of a business or part of a busines can be very complex. In order to make sure all areas of the sale are covered from a legal standpoint, you should consult an attorney before finalizing any sale, lease, or contract. The attorney can help anticipate future problems that you may otherwise have not expected and adjust the contract to meet those needs. To learn more about this acquisition, visit TDI Products of Atlantic Beach is sold.

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December 6, 2010

Franchsiors and Mandatory Disclosures

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Buying a franchise is an important decision and can be a complicated process. The Federal Trade Commission regulates franchise agreements and relationships between franchsiors and franchisees.

Many states have enacted laws requiring additional disclosures and specify how franchise operations within the state are taxed. Florida disclosure requirments imitate the FTC requirements.

The FTC is very involved in making sure franchisors disclose vital information to franchisees before buying into a franchise. The FTC requires the franchisor to disclose the following matters: parents, predecessors, and affiliate entities; business experience; possible or current litigation; bankruptcy; initial fees; general fees; estimated initial investment requirements; restrictions on sources of products and services; franchisee's obligations; financing; franchisor's assistance, advertising, computer systems, and training; trademarks, patents, copyrights and propriety information; obligations to participate in actual operation of the franchise business; restrictions on what the franchisee may sell; renewal, termination, transfer and dispute resolution; relationships with any public figures; financing performance representations; outlets and franchise information; financial statements; contracts; and transactional receipts related to the franchise.

In addition, if you are looking into purchasing a franchise that offers motor fuel for sale, consignment, or distribution in commerce, the franchise relationship must abide by the Petroleum Marketing Practices Act. This Act governs termination and nonrenewal of franchise agreements. You can find more information about FTC regulations at Disclosure Requirments and Prohibitions Concerning Franchising and Business Opportunity Ventures.

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November 4, 2010

Is Yahoo a Takeover Target?

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With Yahoo's recent financial struggles, it is reported that the Internet company may be forced to entertain bids for selling the company and one of the reported bidders is competitor and rival, AOL. The Wall Street Journal asserts negotiations have commenced because Yahoo's financial performance has suffered over the past few years and even with bringing in three different CEOs, the outcome has been the same - disappointing.

In 2008, Microsoft Corporation made a bid in buying Yahoo for $47.5 billion. Microsoft withdrew its final offer in 2008 of $33 per share before Yahoo could accept or reject the proposal. This time, the buyout seems inevitable. Shareholders are tired of losing value of their once highly valued stock and may concede that a buyout is the best and last option in stopping the skid. To find out more about the aritcle visit, Report: AOL, buyout firms mulling bid for Yahoo.

A buyout of a corporation, in most cases, requires a voting majority of the Boards of Directors and shareholder approval from both companies. Once the sale/purchase is approved, the company sells an agreed upon number of shares to the buying company. If it is a buyout, then the buying company would need to own at least a majority of the overall authorized shares of the selling company. By owning a majority of the company, the new owner(s) can replace Directors, officers and other corporate officials and can begin operating the company as it sees fit.

These agreements can be very complex. If you have a question about a business sale or purchase, you should seek an experienced business attorney.

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October 22, 2010

Living the Dream - Selling a Business (part one - financing options)

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Once you have decided to sell your business, your first step will probably be to determine an acceptable sales price. That pricing will be based on what the market will bear - - possibly as determined by a knowledgeable business broker or possibly as developed in the course of negotiations between you and your purchaser.

After the sales price is agreed upon, the purchaser must then determine how to come up with that purchase price. Options for financing may include (i) payment from cash in hand by the purchaser, (ii) institutional financing, (iii) investor financing or (iv) seller financing. With regard to you, the seller, holding a note and security interest in the business assets to finance the sale of the business, your personal financial strength should determine what type of financial terms may be acceptable. If you have sufficient retirement revenue set up apart from the sale, you may find it acceptable to take a portion of the purchase proceeds in payments over a period of time.

If you are counting on the sale of the business to fund your retirement lifestyle, taking a note and security interest as part of the sales price may not be a good idea. If the business continues as hoped, there may be potential tax advantages to spreading the sales price over time; however, the risk to your retirement security remains high. Specifically, if the new owner runs the business into the ground, you may have no business left to operate and your purchaser will likely default on the loan to you.

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October 16, 2010

Florida Banks Continue to Struggle

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Early statistics show that many Florida chartered banks struggled financially this past quarter. Florida chartered banks lost a combined total of $263 million in the second quarter, more than doubling their losses from the previous quarter. The Federal Deposit Insurance Corporation (FDIC), meanwhile, reports that national banks are thriving and are on the rise. What does this mean for Florida citizens and businesses?

It could make small borrowers, frozen out by big lenders in recent months, find it more difficult to take out personal and business loans through local community banks. Further, the loss of local financial institutions may also mean the loss of local jobs.

However, there is another side to this story that has a bit of a silver lining. There are still local, well run, community banks, whose managers took fewer risks in the last few years and by dodging the mortgage crash, may be even more willing to support small business growth today than some national banks. Those banks that took unnecessary risks and have gone under are not around today to compete with the conservative community banks that took fewer risks over the past couple of years. Less competition means more opportunities for surviving banks to expand and prosper. Small businesses should continue to rely on community based institutions as a viable alternative for loans. Small to mid-size business owners who can prepare solid business plans may benefit by developing a relationship with their regional community bank.

For more information about this article, visit Florida Bank Losses Deepen.

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October 11, 2010

US Supreme Court Curtails Anti-Fraud Law in 9-0 Vote

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Enron litigation continues - resulting in a unanimous US Supreme Court ruling. In a 9-0 vote, the United States Supreme Court curtailed an anti-fraud law that makes it a crime to deprive the public or shareholders of the "intangible right to honest services." In an opinion written by Justice Ruth Bader Ginsburg, the Supreme Court said the anti-fraud law could only be used against bribes and kickbacks. The Court rejected the government's position that the law included self-dealing for no financial gain. As a result of the high court's ruling, part of the convictions against Jeffrey Skilling (former Enron executive) and Conrad Black (former media tycoon of Hollinger International, which once owned the Chicago Sun-Times) were set aside.

Washington defense lawyer Timothy O'Toole said that before the Court's decision the law was considered a general dishonesty-crime law and anything that seemed unethical or sleezy could become a part of a case. With the new ruling, defense lawyers predict that prosecutors may have a harder time winning convictions when money did not change hands or where gifts are not tied to legislative actions. Previously, the law had been a prosecutorial tool that was used to fight corruption, especially among lobbyists. Critics of the Supreme Court's ruling said this tool has now been detrimentally transformed. Daniel Petrocelli, a Los Angeles attorney representing Skilling, said the Court's ruling has paved the way for Skilling's complete exoneration and release from prison. In 2006, Skilling was convicted of 19 counts of fraud, conspiracy and other offenses that prosecutors say helped destroy Enron. To read more details on the Supreme Court's decision see Justices limit scope of anti-fraud law, 9-0.

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October 10, 2010

Selva Marina Country Club Handing Over Management Operations to Hampton Golf

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Beginning September 1, 2010, Hampton Golf will be managing Selva Marina Country Club. Memberships to the Club had declined and the owners felt this would be the best move for the Club and its current members.

Selva Marina, founded in 1958, has a rich history in the Northeast Jacksonville area and by no means is Hampton Golf a stranger to managing golf courses. It currently operates nineteen different courses all across the south.

Increased financial commitment to the Club began in 2007 in an effort to revitalize club amenities and to restructure the golf course. Further improvements to the Club can be expectated over the next few years as management seeks to increase memberships. For more information, visit Hampton Golf To Manage Selva Marina.

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October 9, 2010

Companies and Discrimination

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There are federal and state laws prohibiting public and private employers from discriminating against employees based on race, color, gender, national origin, age, marital status, handicap or religion.

Most employer-employee relationships are not contractual. In Florida, if employment is agreed upon for an indefinite period of time, an employer may terminate the employee at will as long as the termination is not based on a prohibited basis.

Company handbooks should state policies for terminating employees, but many do not. It is recommended that employers establish clearly that Florida is an employment-at-will state and define the companys' policies on discipline and termination. The company's code of conduct may also be included in its employee handbook, addressing each employee's obligation to act in an appropriate and non-discriminating manner to fellow employees, vendors and customers.

The applicable discrimination laws found in Florida are contained in the Florida Civil Rights Act. If the Florida Human Relations Commission finds cause for bringing a discrimination lawsuit against the employer, it will send notice of a "Right to Sue" to the claimant. Then, the claimant may file a civil suit for damages against the employer.

Likewise, The Equal Employment Opportunity Commission (EEOC) is responsible for federal discrimination claims. Case law suggests that if the EEOC finds cause to bring a lawsuit for federal discrimination claims, separate notice or approval by the Florida Human Relations Commission is not required to bring state law discrimination claims. Title VII of the Civil Rights Act of 1964 prohibits discrimination on the basis of race, color, religion, sex, national origin, and age. The Americans with Disabilities Act of 1990 (ADA), found in Title I and V, prohibits employment discrimination against qualified individuals with disabilities in the private sector, and in state and local governments.

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October 9, 2010

Burger King Bought out by 3G Capital

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Well, its official. 3G Capital is set to buyout Burger King at $24 a share with the FTC's recent granting of an early termination of the waiting period under the Hat-Scott-Rodino Antitrust Improvements Act of 1976 as amended ("HSR Act"), the transaction is poised to move forward. The tender offer and withdrawal rights are scheduled to expire on October 14, 2010, and certain conditions contained in the tender offer remain open at this time.

The famous Miami based fast food chain announced the news, continuing its favorable impact on the chain's future. 3G is an equity firm that invests in highly traded and well managed companies.

Burger King turned to powerhouses, Morgan Stanley and Goldman Sachs, for financial advising in making the deal.

Experts believe that the deal will allow Burger King to make more debt initiatives and take more risks in an effort to better compete with its number one competitor, McDonalds. Franchise and distributor contracts should not be materially altered or effected by the transition. However, what Burger King has in store for future franchisors remains to be seen. News of the buyout caused a 24% jump in Burger King's stock price in trading immediately after the announcement, confirming market approval of the transaction.

For more information, visit Burger King Acquired by 3G Capital.

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October 8, 2010

Independent Contractors - "Put It in Writing"

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Many professionals who have been laid off in recent years have turned valuable skills honed by years inside a corporation into money-making opportunities for themselves by becoming independent contractors. Unfortunately, while many independent contractors rely on verbal agreements, often this leads to lost business and lost revenue. The bottom line - there should always be a written agreement as to the work and the pay.

Items that should be covered in any basic Independent Contractor agreement include:

  • The services to be performed (clearly defined)
  • Payment for those services and payment terms (fee or hourly rate and any penalties for late payment)
  • Reimbursement for expenses (describe the reimbursable expenses, the rate of reimbursal and any necessary approvals)
  • Length (or term) of agreement
  • Agreement termination rights
  • Resolution of disputes and conflicts (including attorney fees and costs, and the state's law you agree to operate under)
  • Waivers of liability
  • Treatment of confidential information and client lists
  • Hold harmless clause
  • Execution by all parties

Having a written agreement protects independent contractors in the event of nonpayment, a change in work requirements or a violation of the agreement in any other way. Written agreements also help to establish a person's independent contractor status with the IRS or other government entities, providing Department of Labor protection for both the business owner and the independent contractor.

Independent contractor agreements also offer broad legal protection for both the independent contractor and their client, and help each manage expectations.

If you are an independent contractor – or a business that hires independent contractors on a regular basis – and need assistance with crafting Independent Contract Agreements, contact Wood, Atter & Wolf, P.A., a Jacksonville, Florida business and tax law firm.

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October 1, 2010

Tenant's Lease Rights when Landlords Sell

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The Riverplace shopping center off of San Jose Boulevard in Mandarin was recently bought by Kimco Realty Corporation from Centro Properties Group.

Reports indicate that the center was bought out for $36 million. Kimco is a publicly traded company in the form of a real estate investment trust that has over 1,400 retail stores in 45 different states. In fact, Kimco developed the Avenues Walk off of Phillips Highway and Southside Boulevard.

As to what this will this mean for affected retail stores in the center such as Stein Mart and Petco, Kimco's plans for the shopping center are still undetermined. For more on this sale, see Mandarin shopping center sells for $36M.

The legal implications of this sale - specifically, the impact on existing contracts, or commercial lease agreements, between Centro and the tenants of the center will likely depend on the terms contained in those existing agreements. Prospective tenants should always consider the possibility of such a sale when negotiating their lease agreements. Likewise, existing tenants should consult the terms of their signed lease when it appears that a landlord sale of their business site may occur. This proactive approach to the issue provides tenants the best opportunity to minimize damage to their own businesses due to increased costs or a sudden need to relocate.

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September 30, 2010

Present, Past and Future Liability for Petroleum Product Landowners

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The Florida Department of Environmental Regulation governs state liability for business owners who possess petroluem tanks on their land. The Federal Act that most states imitate or adopt in their own state laws is the Comprehensive Enviornmental Response, Compensation, and Liability Act, otherwise known as (CERCLA).

The Environmental Protection Agency (EPA) is responsible for enforcing the federal environmental regulations. Both Florida and federal law hold persons liable for petroleum discharge(s) if the person contributed in any way to the discharge or if the person owned or operated the land from which the discharge occurred.

Cleanup costs can be astronomical. Normally, the government will pay for the cleanup costs up front and seek reimbursement from the liable parties later. If a private party has property damage or suffers physical harm from the discharge, that party can sue for those damages but must do so within the applicable statute of limitations period.

New owners who purchase land without knowledge of present contamination may avoid liability. This is known as the "innocent purchaser" defense and it is a defense to both state and federal claims. However, the new owner should make all appropriate inquiries before buying the land or else the defense will not be available.

Appropriate inquiries include asking the former owner questions about the land and using contractors in that field to survey the land for matters that may have some environmental impact. If a purchaser makes appropriate inquiries and buys the land without knowledge of the contamination, then that owner should avoid liability.

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September 5, 2010

Former Lehman Bros. Trader Says It Is Not Over – By Far

Former Lehman Bros. trader Lawrence McDonald told a University of North Florida audience last month that "the party is just getting started" in the legal fallout from the failure and Chapter 11 bankruptcy filing of the major Wall Street investment banking and securities brokerage firm.

McDonald, co-author of A Colossal Failure of Common Sense: The Inside Story of the Collapse of Lehman Brothers, said that regulators and prosecutors have already contacted many of the whistle-blowers who helped him write the book.

Lehman executives are potential targets for alleged accounting fraud prosecution in what the company called "Repo 105" transactions, an accounting loophole that allows a company to temporarily sell securities in order to move them off its balance sheets prior to the release of quarterly earnings, and then repurchase them after quarterly results are announced.

McDonald said that "Lehman Brothers told the world that they were in the moving business, not the storage business. They were wrong."

He places the blame for the collapse of Lehman squarely on the shoulders of top executives: "The collapse of Lehman Brothers comes down to one sentence: There were 24,992 people making money and eight guys losing it."

Making wise business decisions sometimes requires the help of savvy legal and tax counsel. If your company could use some assistance, contact our Jacksonville, Florida business and tax law firm.

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September 4, 2010

Wrongful Termination: Could You Have Been Fired Illegally?

ist1_8533724-unemployment-concept.jpg Businesses today are under increasing pressure to demonstrate profitability, which many do by reducing headcount. If you feel you have been a victim of wrongful termination, you may have legal recourse in Florida.

Wrongful termination may apply if you:

Have a written contract – while most employment is "at will" – meaning an employee can be fired for any reason at any time – having a formal contract may entitle you to additional protections.

Have an implied contract – if you have an agreement with your employer based on things your employer has said or done, this could also void the "at will" status of your employment. However, this can be difficult to prove, particularly in Florida.

Can prove a breach of good faith – if your employer has acted unfairly, you may have a claim for a breach of good faith and fair dealing.

Can prove retaliation – if you have been fired because you filed a complaint with the EEOC or have formally complained about your employer, you may have a claim for retaliation.

Are a whistle blower – employees who report unlawful activities or actions that could cause public harm are protected by whistle-blower laws.

Can prove defamation – if your employer has damaged your reputation through false statements to others.

Can prove fraud – if your employer intentionally tricked you or acted deviously on purpose.

If you think you may be a victim of wrongful termination and need more information, contact Wood, Atter & Wolf, P.A. a Jacksonville, Florida business and tax law firm.

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September 3, 2010

What Employers Need to Know About Florida Workplace Laws

Seal%20of%20FloridaIf you are a Florida employer, you need to know both the state and federal laws that govern a company's relationship with its employees. Some key considerations are:

At-Will Employment – Florida employees are considered to be "at will", and can be terminated for any legal reason; but there are many exceptions to this rule. Florida employees who have employment contracts are not considered "at will" employees, and can only be fired for reasons outlined in the contract.

Workplace Safety – even though Florida repealed its Occupational Safety and Health Act in 2000, employers must still provide a work environment that is free of known hazards that result in serious injury or death.

Workplace Injury – in Florida, injured employees receive automatic compensation benefits for on-the-job injuries, which are considered to be the exclusive remedy against the employer, even in the event of employer negligence.

Discrimination/Wrongful Termination – Florida employers are not allowed to terminate or discriminate against employees on the basis of race, age, sex, religion, national origin, disability or pregnancy.

There are many other Florida employment-related regulations that employers need to follow, including some governing pre- and post-employment behavior.

For more information on Florida employment law, contact Wood, Atter & Wolf, P.A., a Jacksonville, Florida business and tax law firm.

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August 29, 2010

First Coast Manufacturers Association Reports Members are Upbeat about Economy

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Members of Jacksonville, Florida's First Coast Manufacturers Association employ more than half of the region's 45,000 manufacturing workers. A current survey of members revealed that Jacksonville manufacturing businesses have an upbeat outlook on the economy for the first time in a long time. Forty-four percent of those who responded said that they expect their revenue to show growth in the first half of 2010 and sixty eight percent said that they expect growth in the second half of this year.

Lad Daniels, president of the First Coast Manufacturers Association, said that the results show much more optimism from manufacturing business owners than just eight months prior. According to Daniels, this is good news for the Jacksonville workforce as well. Most manufacturing employers have no plans to shrink their labor force during the rest of the year, and thirty one percent reported that they were planning to hire additional workers in 2010.

The news that such a major employment sector was not planning any layoffs and might actually be adding jobs is a promising sign for both Jacksonville workers and Jacksonville businesses.

Find out more about the First Coast Manufacturers Association's survey results at Manufacturers on First Coast optimistic.

If you live in North Florida and have a business legal matter, please contact Wood, Atter & Wolf, P.A. Jacksonville, Florida attorneys.

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August 28, 2010

Jacksonville, Florida Businesses and Residents Join Forces to Clean up Riverside Area

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The Riverside area of Jacksonville, Florida is best described as an eclectic mix of residents and businesses from various ethnic and economic backgrounds. The Riverside Avondale Development Organization recently organized a community cleanup project to pick up litter throughout the area. The event gave local businesses an opportunity to show that they are interested in being a part of the local community – and that they are not just another bank or another store.

The event, which was co-sponsored by Florida Bank and Harpoon Louie's, drew business owners and their employees along with area residents, who walked a three mile area of the neighborhood with bright blue trash bags. They were able to fill nearly a hundred bags with trash removed from the area.

The organization promoted the event using social media tools like Facebook, Twitter, and Constant Contact alongside more traditional methods such as going door to door to talk to business owners and hanging up flyers in the area. Businesses gave donations of t-shirts, refreshments, and gift cards to reward participants, and Green It Up Clean It Up provided trash bags and safety equipment for the volunteers.

Residents and merchants alike deemed the day a success, and hope to turn their attention to other community improvement projects in the future. Read more about the Riverside community cleanup at Riverside cleanup connects neighbors, merchants.

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August 27, 2010

Popular Opinion Website, Yelp, Sued by Several Small Business Owners

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Yelp is a popular web site that allows guests to post opinions about fifteen million small local businesses nationwide, such as restaurants, shops and service providers. Several small business owners recently filed suit against the company, saying that they have been pressured to buy advertising on the site in exchange for removing negative reviews.

At least three law suits have been filed in 2010 by a dozen or more companies claiming that Yelp manipulates reviews based on whether a business is an advertiser on the site or not. One of the suits was filed by Cats & Dogs Animal Hospital in Long Beach California, and alleges outright extortion; that suit has been joined by nine more companies.

The owner of the hospital says that after he received some negative reviews on the site, he began receiving calls from sales representatives saying that if he became an advertiser they would allow him to remove negative reviews and choose the order in which the reviews were shown. Other companies involved in the suit allege that Yelp sales representatives told them that they could alter review listings to help their own clients and harm those who were not clients. The other two suits make similar allegations; all three are seeking class action status.

Yelp denies the claims, saying that the companies involved do not understand how their site works. He said that reviews are automatically filtered according to reliability and may be removed if they are suspected to be written by the company's owner or by a competitor seeking to do harm. Advertisers are allowed to select one review to feature at the top of their page. He further stated that sales representative have no ability to manipulate reviews.

Read more about the lawsuit at Review Site Yelp Under Fire In Business' Lawsuits.

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August 26, 2010

What Jacksonville, Florida Small Business Owners Need to Know About Employee Work Hours

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If you own a business that operates strictly in Florida, you need to be aware of and follow Florida Labor laws. Employee work hours can be a particular point of contention between business owners and workers; some of the highlights of the Florida statutes governing work hours include:


Application of Federal Law

The Federal Fair Labor Standards Act only applies to businesses that engage in interstate commerce. If an issue arises that is not covered by Florida state law, then the Federal Law would apply. Florida cannot give less protection in this area than is provided by Federal Law.

Overtime pay

Hourly employees are entitled to overtime pay for any time worked over forty hours in one week. As a general rule, the rate must be at least one and a half times the employee's regular pay rate. If a worker is subject to a collective bargaining agreement, the provisions of that bargaining agreement would apply. Federal law also provides special overtime rules for retail and service workers, hospital employees, and fire protection and law enforcement professionals.

Work day overtime

If you require more than ten hours of work in a day from an employee who was hired to do manual labor by the day, week, month or year, you are required to provide extra pay for the excess hours unless you have a written contract with the employee that states otherwise. This does not apply to hourly employees.

Employee contracts

In Florida, the courts have held that there are no contractual rights conferred by employee manuals or handbooks unless it is stated specifically. Employers should still, as a matter of caution, specifically recite that the manual or handbook does not provide contract rights to workers.

Failure to pay overtime

If a Florida employer fails to pay overtime, the affected employee may file a civil suit in federal court. There is a two year statute of limitations on such claims.

Find out more about Florida employment law at Florida Work Hours Laws.

If you live in North Florida and have an employment legal matter, please contact our Jacksonville, Florida law firm.

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August 24, 2010

Potential for Florida Commercial Foreclosure Crisis Looms Large

alarm%20clock.jpgAs one of the largest markets in the U.S. for commercial real estate loans, Florida is at risk of significant financial losses if commercial foreclosure forecasts prove correct, says one Jacksonville business and tax attorney.

Florida Attorney General Bill McCollum has put the Florida state legislature on notice that they need to act quickly to avert the potentially devastating consequences of predicted commercial foreclosures.

In a letter to Florida House Speaker Larry Cretul, McCollum noted that while the Florida residential foreclosure crisis has been top-of-mind throughout the state, commercial foreclosures may have an "even greater potential to negatively impact the state and national economies...In anticipation of this crisis, the Legislature may wish to review current Florida law and the finding of the Congressional Oversight Panel."

In February, the Congressional Oversight Panel released its Commercial Real Estate Losses and the Risk to Financial Stability report, which cited numerous troubling trends: rising vacancy rates, falling property prices and rising commercial real estate loan delinquency rates.

McCollum said that other states have already enacted laws that could ease the pain of commercial foreclosures, and that legislators should consider similar measures for Florida.

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August 23, 2010

New Jacksonville, Florida Small Business Racks Up Sales Offering Perfect Product for Down Economy

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Despite the still lagging economy, a tiny Riverside bicycle shop in Jacksonville, Florida opened its doors in February of 2010 – and racked up 100 sales and 500 Facebook fans in its first month of operation. While the store, called ZenCog, considers itself a high-tech business, it sells a very old-school product: steel-framed, single speed, coaster-braked bicycles.

Co-owner Garfield Cooper of Avondale, Florida actually attributes the store's success to the poor economy. He says that people can't afford to spend lots of money on their cars, so bikes make a great alternative. And the old-school type of bikes that he sells are inexpensive to maintain since they don't have gears or brake cables.

Co-owner Clark Schaffer of Atlantic Beach, Florida believes that the store's more durable steel frame bikes are the perfect alternative to what he calls "disposable aluminum high-performance bicycles" that cost a lot more to purchase and maintain.

Shaffer and Cooper say they just want to see more people riding bikes; it is great exercise and doesn't pollute the atmosphere. The store has already attracted a fan base of local residents who come by the shop just to hang out.

This is an excellent example of a business finding a niche that can flourish in current economic downturns and recognizing how to "touch" its market segment. Even though their product may be old-school, their business model isn't. The store has embraced social media marketing, with an active website, blog and Facebook page. They use emailed receipts to cut down on paper waste. They also don't carry any new inventory. They use the internet to help customers customize bikes, which the store then assembles for them when the parts arrive. The only bikes they keep on site are consignment and refurbished.

Find out more about Jacksonville, Florida's newest bike shop at New Riverside bicycle shop cruising along despite economy.

Continue reading "New Jacksonville, Florida Small Business Racks Up Sales Offering Perfect Product for Down Economy" »

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August 22, 2010

Slander Verdict Dogs South Florida Hospital

sleepy%20dog.jpgJacksonville business attorneys have taken note of a verdict awarding a South Florida heart surgeon $6.5 million for breach of contract and slander that has been upheld by Florida's Fourth District Court of Appeals.

The suit, brought by the surgeon against a Fort Pierce, Florida hospital, resulted in a $1.5 million award for breach of contract and a $5 million award for slander. The slander: a hospital executive said he would not send his dog to the surgeon.

In its 32-page opinion, the appellate court specifically condemned the hospital's attack on the doctor's reputation, noting that "the wrongdoing underlying the punitive damages in this case has Florida law's most severe condemnation, its highest blameworthiness, its most deserving culpability."

The 11-year court battle between the surgeon and the hospital may continue, as the hospital says it is weighing its options to have the decision reviewed by the Florida Supreme Court. The hospital's lawyers argued on appeal that the slander award was excessive under the U.S. Constitution; because of that argument, the appellate court said that the State Supreme Court could review the award.

See more about the lawsuit at $6.5M verdict upheld in slander case.

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August 7, 2010

Jacksonville, Florida Home Builders Thriving Despite Economy

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Five Jacksonville, Florida nonprofit community development corporations (CDC) have built or renovated 208 homes in the area north of Jacksonville's downtown. The new or completely renovated homes have been quickly bought up by low income home buyers looking for affordable, livable housing.

Amazingly, even though Florida leads the nation for delinquent mortgages and foreclosures, all of these homes were purchased by low-income borrowers who still live in the homes and have kept their mortgages in good standing.

The executive director of Local Initiatives Support Corp Jacksonville, Jonie Foster, says that revitalizing these neighborhoods in the ultimate goal. Her organization provides capital to the CDCs that they use to purchase and develop real estate.

People interested in purchasing a CDC home start by going to the Jacksonville Housing and Neighborhoods Department, which provides home ownership certification and referrals credit counseling. Buyers are assisted in creating a budget and counseled on the ongoing costs of maintaining a home. Buyers appreciate the process, and feel that there are no surprises once they get to the closing.

Milton and Kristen Torres were able to purchase a home near Jacksonville Municipal Stadium through the program, which allowed them to start their own small business; Pro-Motion Pedicab. The program also improves Jacksonville's tax base which in turn improves local government. Find out more about the five non-profit homebuilders that are revitalizing North Jacksonville at CDCs help revitalize area north of downtown Jacksonville.

Continue reading "Jacksonville, Florida Home Builders Thriving Despite Economy" »

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August 6, 2010

Jacksonville, Florida Businesses Power Up With Renewable Energy

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Discovery Plaza mall on the south side of Atlantic Boulevard in Jacksonville, Florida has added renewable energy sources to their power mix. The strip mall has installed two thirty foot high wind towers – called Windspires – and an array of solar collectors on the rooftops of two of the buildings. The alternative energy is used to power the common areas of the mall, like parking lot and security lights. Tenants still get their own electricity from traditional sources. While the Windspires are more noticeable, the ninety rooftop solar panels actually provide most of the energy to the mall.

In addition to providing clean energy, the Windspires have gotten the mall a lot of publicity, generating both attention and foot traffic for the mall's tenants. Some shoppers even believe that the Windspires were designed as a marketing ploy. Tenants at Discovery Plaza certainly don't mind the extra attention.

The towers were put up in late 2009 by Jacksonville, Florida based Erickson Energy, and cost about $15,000 each to build and install. Company president Frank Erickson said that the mall's main goal was to lower their energy bills. He estimated that the mall's investment would pay off in about four years.

Erickson is now benefitting from the buzz created by the Windspires. He will be opening a store in the mall to demonstrate alternative energy sources to homeowners and businesses in the area.

Read more about the alternative energy being used at Jacksonville's Discovery Plaza by visiting Wind towers, solar panels help power Jacksonville strip mall.

If you live in North Florida and have a business legal matter, please contact our Jacksonville, Florida law firm.

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August 4, 2010

Jacksonville, Florida Based Winn-Dixie Partners for an Edge against the Competition

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The battle for supermarket shoppers is highly competitive, and Winn-Dixie, a Jacksonville, Florida based grocery store chain is forging partnerships with other companies to stay a step ahead of the competition.

Winn-Dixie shoppers can now buy Blue Cross and Blue Shield insurance at the store along with pre-paid Visa cards. They can rent movies from redbox, and then take their Winn-Dixie rewards cards to Shell gas stations for a five cent per gallon discount for every fifty dollars they spend at the store. Some of the stores sell bus passes, and shoppers will soon be able to pay their JEA bills at the store as well. The store has also struck deals with the Jacksonville Jaguars and the New Orleans Saints to act as the official supermarket for the two NFL teams.

Of course, Winn-Dixie isn't the only grocery store to branch out this way, but they have been very active in pursuing partnerships over the last two years. The partnerships are mutually beneficial to the participating businesses as well as the consumers/customers; partners get access to Winn-Dixie shoppers, and Winn-Dixie gets a cut of their in-store sales, (along with the ability to attract more customers by offering enhanced services), and Winn-Dixie shoppers have a one-stop shopping opportunity.

Winn-Dixie's approach is to offer one stop shopping to their customers. The only drawback would be if a partner didn't do a good job – that could reflect poorly on them. Read more about Winn-Dixie partnerships at Cross-marketing can be 'win-win' for Winn-Dixie.

If you live in North Florida and have a business legal matter, please contact Wood, Atter & Wolf, P.A., Jacksonville, Florida attorneys.

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August 2, 2010

Jacksonville Business Owners Take Note: "Bandit" Advertisements are Illegal

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For many Jacksonville, Florida business owners, hanging small signs at intersections and on busy roadways is a cheap and easy form of advertising. But according to Jacksonville officials, the signs, called "bandit signs" are not just an eyesore, they are illegal.

Even though the signs are forbidden by Jacksonville ordinance, no individual has been dedicated to removing them or going after the people who post them. City officials say there are too many signs and too few resources to go after every offender. The signs are only taken down if someone makes a complaint or in the course of other police duties. In that event, Bandit sign offenders are currently given a warning the first time there is a complaint, and the public works department then removes the signs. If there is another complaint against the same buinsess owner, they are fined $225 for each offending sign.

It wasn't always this way. In fiscal year 2008-2009, sign enforcement was more aggressive and was handled by the Jacksonville building department. That year, the department collected nearly $3500 in fines for illegal signs.

City Councilman John Crescimbeni loathes the signs, but believes they are not a priority for the city at this time. Mayor John Peyton agrees, saying that the costs of enforcing the law would be greater than the fines collected, and could result in a flood of court cases initiated by business owners who are cited.

Read more about Jacksonville's bandit signs at Bandit signs clutter Jacksonville area illegally.

If you live in North Florida and have a business legal matter, please contact Wood, Atter & Wolf, P.A., Jacksonville, Florida attorneys.

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August 1, 2010

Freedom Boat Club Franchise Closes Two Jacksonville Florida Boat Club Locations

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The entry fee for a lifetime membership in the Freedom Boat Club Franchise is $5000. Unfortunately, Jacksonville, Florida residents who paid the membership fee may be out of luck. Last August, Freedom Franchise Sales terminated its contracts with two Jacksonville Florida Boat Club locations; one at Intracoastal Waterway and the other at Julington Creek.

Freedom Franchise then reopened the Julington Creek location under company-owned management. While members are welcome to continue using that location, many members who signed up for the Intracoastal location say that the Julington Creek location is less convenient and does not have the offshore fishing boats that the Intracoastal location offered. The franchise is not offering any refunds to disgruntled members.

As a general rule, consumers have little recourse to get membership fees refunded when a business closes its doors. The one exception to that general rule in Florida would be health clubs; Florida bans lifetime health club memberships, limiting them to three years. The club is also required to post a bond with the state that would be used to reimburse members if the club went out of business.

However, for other types of clubs, potential members need to review the membership contract very carefully before signing. Individuals should not hesitate to ask a club to add language that would allow them to get out of the contract and get their money back if a particular location closes. If written correctly, this added language could provide a contractual claim for reimbursement - confirming the specific amount to be returned to the member on club closure of a specific location and establishing a process to secure the repayment. Of course, if the entire business closes down, it may still be difficult or impossible to get your money back.

A spokesperson for Freedom Franchise Sales says that the company has made a good faith effort to provide boat services to Intracoastal location members. They are currently searching for a second location. Read more about the closing of a Jacksonville, Florida boat club at Left 'high and dry' after paying club fee.

If you live in North Florida and have a business legal matter, please contact Wood, Atter & Wolf, P.A., Jacksonville, Florida business law attorneys.

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July 30, 2010

Non Compete Agreements a Hurdle When Changing Jobs

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Non Compete Agreements have been a part of American businesses for a long time - Non Compete and Non Solicitation agreements are used (as a condition to hiring and sometimes as a condition to retain a job) to protect companies trade secrets, systems and client lists. The use of the Agreements prevented employees from learning the business from the employer, then resigning and going into competition with the employer. That seems okay, doesn't it? However in the current economic market, it is more likely that the employee was "downsized" and is now simply trying to use his training to support his family in tough times. Now the Non Compete and Non Solicitation agreement seems a bit unfair - however, the new facts don't change the enforceability of the document. Non Compete Agreements can affect all levels of employees, but make the news when high-level executives get tripped up.

In mid 2009, coffee store giant, Starbucks, claimed that their former Senior Vice President, Paul Twohig of Hilton Head, South Carolina, violated his non-competition agreement when he accepted a position with rival coffee shop, Dunkin' Donuts.

Starbucks filed a suit attempting to block Twohig from working at Dunkin' Donuts until eighteen months had passed, as stipulated in the non-competition agreement he allegedly signed when joining Starbucks in 2004. Starbucks claimed that Twohig had intimate knowledge of the company's branding and marketing strategies that, if passed on to Dunkin' Donuts, would cause irreparable harm to Starbucks. Starbucks also asked Twohig to return the severance pay he received from them and to pay damages and attorney's fees. Dunkin' Donuts was not named in the suit. In this case the employer and employee were able to resolve the matter outside of the coutroom and in November 2009, Twohig settled with Starbucks and reportedly paid $500,000 to settle the dispute.

There are restrictions on the enforceability of Non Compete and Non Solicitation Agreements in Florida and both employees and businesses should review those restrictions before signing such Agreements.

If you have a question about Non Compete and Non Solicitation Agreements, For your business law needs, please contact Jacksonville, Florida attorneys Wood, Atter & Wolf, P.A. for legal counsel.

Find out more about this story at Dunkin' Donuts executive settles with Starbucks.

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July 27, 2010

Former Executive (Francine Katz) Sues Anheuser-Busch InBev for Sexual Discrimination

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Francine Katz was the vice president of communications and consumer affairs at Anheuser-Busch when InBev took over the company. Katz was promoted to the position in 2002, and was the first woman to join the company's Strategy Committee. Other women at the company saw her as a role model, and admired her approachable demeanor.

The reportedly well-respected and outspoken executive left the company shortly after the InBev purchase, and filed a lawsuit for gender discrimination, alleging that she was paid less than male colleagues, specifically her predecessor, John Jacob. She claimed the company had a "frat party" atmosphere and routinely paid women less then men for the same work. This claim was disputed by the company.

According to company insiders, Jacob was a close advisor of August Busch III and earned the higher salary by being a valuable resource to the man over a period of many years. They said it would be hard to argue that a successor with different qualifications should earn the same salary right off the bat.

This scenario is, unfortunately, played out in companies (both big and small) throughout the United States. Companies must take steps to prevent such practices for a number of reasons: to protect the company from the risk of lawsuit; to prevent the negative impact on reputation and staff morale which occurs in the face of such a lawsuit and to prevent the loss of valuable employees (that the company has spent time and money training) as a result of poor employment / compensation practices.

If you have a question about this issue, contact an employment law attorney - contact Wood, Atter & Wolf, P.A. for legal counsel.

If the case makes it to trial, it will be worth watching. Find out more about this gender discrimination lawsuit at More on Francine Katz's gender discrimination lawsuit against Anheuser-Busch.

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July 26, 2010

Florida Governor Charlie Crist Reminds Business Owners That Price Gouging is Illegal in the Aftermath of a Hurricane

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June to November is hurricane season in Florida and as most Floridians can attest, a hurricane can cause hardships that last long after the winds have died down. These can include difficulty finding essential items like gasoline or other fuel, food, water, and shelter for purchase. Under Florida Law, it is illegal for businesses to charge excessive prices for these items in the wake of an emergency; any price increases must be justified by an actual rise in the cost to procure or sell the item.

Once the Governor declares and emergency for an approaching storm, the price gouging law goes into effect. Under Florida law (Fla. Statutes 501.60) price gouging is prohibited during a State of Emergency. In most hurricane landfalls or near misses, a State of Emergency will be declared. The statute protects residents from gouging on "essential commodities." Florida residents are actively encouraged to report price gouging to the Florida Department of Agriculture and Consumer Services hotline at 1-800-HelpFLA.

When a hurricane or other disaster strikes, Floridians need to stick together to help each other out, not take advantage of people when they are the most vulnerable. This law serves as a powerful deterrent for greedy business owners who might be tempted to make a quick buck off of someone else's misery. Read more about hurricane emergency statutes available to Governor Crist at Tropical Storm Ida brings warnings about price-gouging.

Continue reading "Florida Governor Charlie Crist Reminds Business Owners That Price Gouging is Illegal in the Aftermath of a Hurricane" »

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July 23, 2010

Employers Advised to Put Plans in Place for Possible H1N1 (Swine Flu) Breakouts

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In the case of an H1N1, or swine flu, breakout, employers have been urged for many months to become prepared for wide-spread impact on both their own staff and their customers. While we have dodged the bullet for now, this has been a good test case for businesses. Employers have several legal obligations regarding the privacy of employees, and may also be subject to federal laws that come into play if a pandemic hits the US. Employers need to be prepared with a plan in case the worst happens. Here are some tips for being prepared:

Consider the legal issues

Employers must provide employees and customers a safe working environment, and H1N1 (or some other massive breakout) could be considered a hazard. Employers should educate employees about virus, including information about how to control the spread of the disease. Employers may also have to consider how the Americans with Disabilities Act (ADA) and the Family Medical Leave Act (FMLA) will affect their policies in the event of a pandemic.

Be prepared for recommendations from the CDC that will affect attendance

The CDC may recommend that certain people with a greater risk of contracting the disease stay home from work. These people would then fall under the protection of the ADA; employers would have to make allowances for them to work from home or to take an extended leave of absence. Employers will still have the right to request proof that the employee falls under the CDC guidelines for persons at high risk.

Understand how the FMLA will affect your plan

If an employee has a child or family member who becomes ill with a case of Swine Flu or some other outbreak that is bad enough to be considered a serious medical condition (requiring three or more trips to the doctor or hospital), an employer is under a legal obligation to allow the employee to stay home and care for the ill person under the FMLA. The FMLA does not require employers to allow employees to stay home to care for healthy children whose school has been closed due to an outbreak.

How do employee privacy laws come into play?

Employers are required to maintain employee privacy, but they also have a duty to protect the other employees from a potential hazard. In the current instance, a business may decide to notify employees that there has been a diagnosed case of swine flu in one of their workers, without naming names.

You can read more about these issues at Outbreak could bring legal, personnel issues.

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July 21, 2010

Justice Department Investigates IBM on Allegations of Dominant Market Position Abuse

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IBM's mainframe computers were introduced in the 1960's and are now used to process sensitive financial, government and health care data. IBM's rivals – mostly smaller companies trying to run IBM software on cheaper hardware – have accused Big Blue of illegally freezing them out of the mainframe market by making their mainframe operating software inoperable with non-IBM mainframes. The rivals, represented by the The Computer and Communications Industry Association, allege that IBM is deliberately locking out competition in violation of US antitrust laws. IBM has stated that they believe they are "fully entitled to enforce our intellectual property rights and protect the investments that we have made in our technologies."

United States antitrust law prohibits unfair business practices, including anti-competitive behavior. Antitrust laws make certain practices illegal that are deemed to harm either other businesses and / or consumers. If you believe that your business has been a victim of a monopoly illegally protecting its dominant market position, contact Wood, Atter & Wolf, P.A. for legal counsel.

You can read more about the case by visiting Justice Dept probing IBM's computer market conduct.

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July 18, 2010

Server Outage Wipes Out Customers' Personal Call Phone Data, Triggering Class Action Lawsuits

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A class-action lawsuit has been filed against T-Mobile, Microsoft and its subsidiary, Danger, after a server glitch In October 2009 disrupted T-Mobile "Sidekick" cell phone users' data service.

The lawsuit alleges that the companies were negligent and that they did not follow through on advertised promises that customers' data would be secure. At first, Microsoft informed customers that their personal data may have been lost forever, but two days after the suit was filed Microsoft announced that most of the data had been recovered. The recovery of the data could negate most of the damages the plaintiffs in the class action suits would be able to claim. However, some Plaintiffs have stated that neither their data nor the data of other class members had yet been restored.

With more personal information being transferred digitally than ever, it is critical for companies to protect that data with advanced security measures.

Find out more about this story at Sidekick outage lawsuits now up in air.

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July 17, 2010

Defective Chinese Drywall Leaves Some Florida Homeowners Without Insurance

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As many as 100,000 homes across the country may have been built with defective Chinese Drywall. The drywall has been found to emit sulfide fumes, which can corrode pipes and wiring and cause health problems such as skin irritations and respiratory problems. At least two Florida home insurance providers have threatened to cancel or not renew policies of affected homeowners.

Citizens Property Assurance Corporation and Universal North America have stated that they are not required to cover the cost of removing and replacing the drywall and corroded wiring and piping, which could add up to as much as $100,000 for an average home. The companies have cited clauses in policies that exclude damage caused by "pollution" or "builder defect."

Citizens advised policyholders who have filed claims for damages that they must provide proof that they have replaced the drywall or their policies will not be renewed as the corrosive effects of the sulfur will likely cause further damage to the home. Universal North America, Florida's 12th largest home insurer, dealt with at least one claim by cancelling the homeowner's policy outright.

Policy holders have been put in a difficult position; if they report the defective drywall they may be required to replace it or risk losing their coverage. Builders who installed the defective drywall may be held liable for replacing it. Each may also have recourse with the distributor or manufacturer of the product.

Find out more about this story at Insurers Drop Drywall Victims.

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July 13, 2010

Ponte Vedra Beach, Florida Businessmen Implicated in Armor Holdings Kickback Scandal

cash%20in%20hand.jpgArmor Holdings started out making bullet proof vests in Yulee, Florida and grew within fifteen years to a large multinational company with sales of $2.4 billion. It was twice named by Forbes Magazine as one of the nation's fastest growing companies, and was sold in 2007 for $4.5 billion.

Despite the outward appearance of success, FBI investigators are now saying that prior to the 2007 sale, company executives engaged in illegal exports, bribery, kickbacks, and sale of faulty equipment to the military. The investigation got underway when an Armor Holdings executive who was charged with various crimes agreed to work with the FBI and helped the agency gather evidence that led to the arrest of twenty two other executives, including a former president and former CEO of Armor Holdings.

Richard T. Bistrong of Ponte Vedra Beach, Florida was formerly the vice president of international sales for Armor Holdings, and to date is the only individual who has been charged with wrongdoing while at the company. He is the executive who aided the FBI in its investigation. As part of the investigation, Bistrong met with several military and law enforcement supply executives and asked them to add kickbacks to proffered contracts. Twenty-two others allegedly agreed to the deals as well.

The arrests and charges represent the first under the Foreign Corrupt Practices Act, which went into effect in 1977. The law forbids Americans from making payments to foreign officials in exchange for favorable treatment. Find out more about this story at Jacksonville company's shady dealings spanned globe, authorities say.

If you live in North Florida and have a business legal matter, please contact our Wood, Atter & Wolf, P.A.

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July 7, 2010

Business’s Twenty Seven Year Old Lawsuit against Providence, Rhode Island Finally Resolved

In 1982 Inge Corporation sued the state of Rhode Island for millions of dollars for breach of contract. The disputed contract related to the city providing Inge Corporation with sludge from their sewage treatment plant. The company’s business model was to turn waste sludge into bricks that could be used to burn as fuel. In 1980 the start-up company signed a contract with the city of Providence, and received a $5 million dollar loan from the federal government to build their plant.

When Rhode Island voters approved a referendum creating the Narragansett Bay Commission, the state took over the sewage treatment plant and decided not to honor the contract with Inge. With no sludge, the company defaulted on its federal loan and never opened the treatment plant. The company’s owner, James A. Notorantonio spent two years in prison after being convicted of defrauding the government.

Now, twenty seven years later, the state Supreme Court has finally ruled – they dismissed the appeal due to the fact that Inge Corporation had had its corporate charter revoked by the state of Rhode Island back in 1986, meaning the company has not legally existed for over 23 years. They also noted that the city had no authority over the sludge once it had been transferred to the Narragansett Bay Commission, and the referendum that did so was submitted before the deal was signed with Inge.

Read more about this long-lived business law case at Inge loses appeal in suit against Providence over sludge.

If you have a legal matter that is affecting your business, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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July 6, 2010

Bad Economy Prompts Large Numbers of US Job Seekers to Expunge Their Criminal Records

The worst employment outlook in years, combined with increasing frequency and thoroughness of employment background checks, has led to an increase in the number of job-seekers looking to legally clear their criminal past from their records. The state of Florida sealed and expunged almost 15,000 records in the last fiscal year, an increase of 43% over the previous year. Other states are reporting similar increases these types of requests. New businesses have sprung up to help people clear their criminal histories, and states have passed new laws to speed the process.

Background checks have become cheaper and easier since 9/11. More than 80% of employers performed some type of background check in 2006, up from 50% in 1998. And with an unemployment rate reaching 10%, businesses can afford to be very picky about whom they hire. But if a misdemeanor follows a person around for decades, preventing them from getting work, many judges and lawmakers have come to believe that the punishment no longer fits the crime.

Many times, the bad mark on a person’s record is as seemingly harmless as a decades old arrest and conviction on a misdemeanor charge. Many people believe that once they go to court and pay the fine, the matter is over. But a criminal background check will turn up the charges, and could disqualify such people for employment – especially if they “lied” on their application by not including the arrest.

In many states, felonies cannot be removed from a person’s record, but minor infractions can. This would allow them to legally claim that they have never been arrested or convicted of a crime. Records in this case may be shredded or sealed, but may actually still be accessible by police or schools in the future. But receiving an expungement may not be foolproof. Arrest details and mug shots may live forever on the internet, and data-harvesting companies that sell criminal record information to businesses are not legally required to erase expunged records. You can read an in-depth article on this subject at More Job Seekers Scramble To Erase Their Criminal Past .

If you have a business or employment legal issue, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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July 5, 2010

Former Lockheed Martin Engineer (Darrol Olsen) Claims Company Knowingly Used Defective Coatings on Stealth Jets

A former employee, Darrol Olsen, of Lockheed Martin Corp, a major US defense contractor, has claimed in a federal whistleblower lawsuit that the F-22 Raptor stealth jets the company was building for the US defense department were knowingly finished with a defective stealth coating. President Barack Obama ended the production of the jets in 2009, following the advice of critics who said that it was ill-suited for the wars in Iraq and Afghanistan. Each jet cost the US $140 million.

Olsen was fired from the company in 1999. The false certification and concealment of negative testing results was alleged to have taken place between 1995 and 1999. Olsen also claims that he was told to mind his own business when complaining about his suspicions of false certifications to his superiors. In the lawsuit, Olsen claims that Lockheed added extra layers of coatings to the jets so that they would pass air force tests. Apparently the coating would rub off if it came in contact with oil, fuel or even water. The extremely thick coating added to cover up the problem allegedly affected the jets’ speed and maneuverability.

Olsen is suing Lockheed to pay $50 million to the US government for each jet included on the contract. Find out more about the F-22 Raptor Stealth Jet Ex-Lockheed engineer claims F-22 tech 'defective'.

July 5, 2010

Supreme Court Declines to Hear Case Involving Washington Redskins Trademark

Native American activists have long tried to contest the federal trademark status awarded to the Washington Redskins NFL football team. The history of the case is this: in 1999 the Trademark Trial and Appeal Board ruled that the name “Redskins” which is considered a derogatory term for Native Americans, was too offensive to trademark. Subsequent lower court and federal court rulings overturned that decision, granting the trademark. The Supreme Court decision not to hear the case effectively upholds the decision of the federal court allowing the trademark.

The law governing trademarks, known as the Lanham Act, does not allow trademarks that “may disparage … persons, living or dead … or bring them into contempt, or disrepute” to be registered. The decisions in this case, however, were based on the fact that the plaintiffs did not file their suit within the time allowed. The new case would have asked the Supreme Court to allow disparaging trademarks to be revoked without a time limit.

The Washington Redskins football team has always held that the term is not meant as an offense. However, the National Congress of American Indians (NCAI) has described the name as “patently offensive, disparaging, and demeaning and perpetrates a centuries-old stereotype,” adding that the term comes from a time when Native American body parts, especially scalps, were bought and sold as novelty items by European settlers.

Several sports teams across the US have dropped names or mascots that might be considered derogatory by Native Americans. Florida State University, along with several other universities and a few professional teams like the Atlanta Braves and Cleveland Indian baseball teams, have refused to change their team names to drop references to Native Americans. You can read more about this case at Supreme Court Fumbles Native American Mascot Challenge.

If you have a question about a trademark issue for your business, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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July 5, 2010

AT&T Claims Verizon is Using False Advertising in an Ad Campaign

AT&T Inc. has accused rival cell phone carrier Verizon Wireless of deceptive trade practices. They are suing Verizon for implying that AT&T has far less nationwide coverage than they actually do, saying a Verizon ad campaign may be misleading customers. AT&T is asking for a permanent injunction to stop the ads, saying that they are suffering irreparable harm as a result of the commercials.

The ads in question compare Verizon’s 3G coverage to that of AT&T, showing maps of the US with coverage highlighted in blue for AT&T and red for Verizon. The Verizon map is almost completely red, where the AT&T map is sparsely freckled with blue dots. The problem is that the maps make it look like AT&T has far less coverage, when in fact they offer regular (non-3G) coverage in many areas where 3G is not available.

Verizon attempted to appease AT&T by taking out language in the ad saying that AT&T customers are “out of touch” in areas that do not have 3G service. Verizon also added an extra line to the ad saying that both “voice and data services are available outside of 3G coverage areas.” Verizon believes that the changes are sufficient. AT&T does not.

Now it will be up to a judge to decide whether the ads are misleading or not. If your business has been the victim of false advertising, please contact Wood, Atter & Wolf, P.A. for legal counsel.

Find out more about this lawsuit and its implications at AT&T to Verizon: There’s a lawsuit for that.

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July 4, 2010

American Express to Pay $300 Million to Acquire Florida-based Payment Company, Revolution Money

American Express has announced that they will be acquiring Revolution Money, formerly GratisCard, for a price of around $300 million. Revolution Money is a secure online payment company that was launched two years ago by AOL founder, Steve Case. The company securely authorizes online transactions by using PIN numbers instead of names or account numbers. Account holders can exchange money with each other free of charge. The company is considered a major competitor to PayPal.

American Express has said that they are acquiring the company in order to keep up with cutting edge payment technologies that are evolving in the marketplace. The move is designed to help them extend their leadership beyond traditional payments and into the online payment space. The deal is slated to go through in 2010.

Revolution Money will operate as a unit of American Express, with Revolution Money CEO, Jason Hogg, acting as the new unit’s president and CEO, and Revolution Money Chairman, Ted Leonsis, acting as a special advisor on online payment strategy to American Express. Find out more about the deal at American Express to Buy AOL Co-founder’s Revolution Money.

If you are considering a merger or acquisition, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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July 4, 2010

St. Petersburg, Florida – Business Owners Offered Reduced Prices to Dispose of Hazardous Waste

Pinellas County, Florida has organized EnviroBusiness hazardous waste collection days, offered solely to businesses. Business owners can pay waste contractors directly, but take advantage of the county’s contracted prices. While any business can drop off electronics, there are special requirements for chemical disposal. Medical waste and explosives may not be disposed of under this program. More details and the 2010 dates for collection days are available at Pinellas County Biz Waste Website.

It is important for business owners to dispose of hazardous waste properly. Hazardous items should not be put out with the regular garbage, poured down street drains, or otherwise improperly disposed of; improper disposal is a violation of Florida law. Legal and appropriate hazardous waste management reduces a business’ liability for clean-ups, can lower insurance premiums and will ensure employees are not knowingly exposed to hazards.

Hazardous waste can include: TVs, computers and monitors, office equipment, cell phones, batteries, light bulbs, cleaners, paints and solvents, and printing chemicals. Many of these items can be disposed of for no charge or for a nominal fee. Read more about the Pinellas County, Florida EnviroBusiness Hazardous Waste Collection day by going to EnviroBusiness waste collection set.

Please contact Wood, Atter & Wolf, P.A. for legal counsel in any business law matter.

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July 3, 2010

Judge Dismisses Second of Three “Bellwether” Cases Concerning Fosamax

US District Judge John F. Keenan in Manhattan granted a request by Merck pharmaceuticals for a summary judgment in a product liability case concerning their osteoporosis drug, Fosamax. The case was brought by 74-year-old Bessie Flemings of Mississippi, who claimed she developed osteonecrosis from taking the drug. Osteonecrosis is a bone condition where the bone in the jaw dies and can fracture. The judge determined that Ms. Flemings did not present reliable evidence supporting her claim. Ms Flemings plans to appeal the judge’s decision.

Last September the first of the three so-called bellwether cases concerning Fosamax was declared a mistrial after jurors deadlocked. It has not been rescheduled. That case was brought by 71year old Shirley Boles of Florida. Nationally, Merck is facing nearly one thousand state and federal suits alleging that Fosamax causes osteonecrosis. The company has set aside $100 million for legal fees.

Fosamax used to bring in more than $3 billion in sales for Merck each year, making it one of the company’s best-selling drugs. However, the availability of generic equivalents after the patent protection expired in 2008 has significantly reduced sales. Find out more about these cases at Merck Wins Dismissal of Fosamax Case Set for Trial.

Products liability is a complex matter that requires the services of an experienced business law attorney. If you are involved in such a matter, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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July 3, 2010

Philip Morris Loses Lawsuit – Ordered to Pay $300 Million to Emphysema Sufferer (Cindy Naugle)

Philip Morris USA is the largest tobacco company in the US. The company recently lost a lawsuit brought by a Florida woman with emphysema. A jury in a Broward County, Florida court found in favor of the plaintiff, Lucinda Naugle, and awarded her compensatory damages of $56 million and punitive damages of $244 million.

The lawsuit was made possible by a Florida Supreme Court decision in 2006 that de-certified a class action suit, allowing individuals to file their own suits against the company. In that decision, the supreme court specifically allowed plaintiffs to introduce factual determinations from the original class action case as established fact in their own cases. Ms. Naugle’s award is the largest stemming from the Supreme Court decision.

Ms. Naugle, now 61 years old, stated that she started smoking at the age of 20, and gave it up at the age of 45. The jury did find Ms. Naugle 10% at fault, meaning that Philip Morris must pay only 90% of the compensatory damages. Philip Morris plans to seek further review of the verdict, saying that the verdict was affected by erroneous rulings by the judge in the case. Find out more about this large Florida verdict against a tobacco company at Philip Morris Must Pay Smoker Almost $300 Million, Jury Says.

If you have questions about business law please contact Wood, Atter & Wolf, P.A. for legal counsel.

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July 2, 2010

Social Media Marketing Complicates Sunshine Law Compliance for Florida Business Owners

If you ask Florida business owners about the social media phenomenon, you will find out pretty quickly that social media is not just for teenagers and college students anymore. Businesses around the world and throughout Florida are embracing social media outlets like Twitter, Facebook, Flickr, and MySpace as a very effective way to meet and market to potential customers.

As tweets, posts and instant messages outpace email as the favorite method of communication, Florida Sunshine Law watchdogs are keeping a sharp eye on the social media sphere. They want to ensure that all public records remain public and that they can be tied back to the public official who generated them.

Just last year a large number of previously secret text messages sent between staff members of the Public Service Commission and Florida lobbyist groups came to light and were made public under the Sunshine Law. Florida Attorney General Bill McCollum has since announced that his office would keep a record of all Blackberry messages sent to or from state-owned phones. McCollum has also set up a task force to compile a report on which social media communication methods should be made part of the public record.

Read more about how business use of social media is affected by the Florida Sunshine Law at Businesses find Facebook, Twitter useful. 

If you live in the Jacksonville, Florida or Orlando, Florida area and have about social media and the law, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

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June 30, 2010

Jacksonville, Florida Business Provides Job Training for Young Adults with Special Needs

The Bark ‘n Howl Bakery provides a variety of flavors of dog biscuits for Jacksonville, Florida pets. The non-profit business doesn’t just provide doggie treats though – they provide vocational training and employment for young people with physical and developmental disabilities from Career Frontiers of Northeast Florida.

Leigh Forrester and Martha Sawyer incorporated the business last year and sell their dog treats over the internet at www.barknhowlbakery.com as well as at local farmers’ markets in the Jacksonville area. The two take turns making the biscuits in their own kitchens, and started training the special needs students to help them in February, 2010.

The year-round program is suitable for young adults with Down syndrome, autism, and visual and hearing impairments. The helpers, are from eighteen to thirty five years old and learn a variety of skills, including safety, cooking, weighing, measuring, packaging, computer skills, and even help sell the treats at the farmers’ markets. They will soon be able to learn retail skills as the bakery plans to open a permanent location if they can find a local benefactor to donate the retail space.

The founders say that their goal is to train the students so that they can seek paid employment in Jacksonville and nearby communities. Find out more about this unique business at Dog bakery provides vocational training for special young adults.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business or employment legal matter, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

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June 29, 2010

CVS and Walgreen settle contract dispute, customers will not have to change pharmacies

CVS Caremark Co. and Walgreen Co. have settled a contract dispute, which, if left unresolved, would have prevented thousands of customers from getting their prescriptions filled at Walgreen. Walgreen has 7,500 outlets and is the largest U.S. drugstore chain operator. The two companies negotiated a multiyear deal but no terms were disclosed by either company. The partnership between CVS and Walgreen allows people whose prescription drugs benefits are handled by Caremark to be reimbursed for prescriptions filled at Walgreen’s pharmacies. Caremark contracts with employers and handles the drug benefit parts of their health plans, paying pharmacies to fill prescriptions. Caremark saves money by negotiating volume discounts.

On June 7th, Walgreen stated that it planned to end their relationship with CVS gradually. However, on June 9th, CVS Caremark said the company would exclude Walgreen from its network in a month. If this happened to be the outcome, starting July 9th, Walgreen customers whose prescriptions were managed by Caremark would have had to fill their prescriptions at stores (such as CVS, Kroger, or Safeway) if they wanted to be reimbursed for their drug costs.

The settled dispute between the two companies was a positive outcome. Kermit Crawford, executive vice president of pharmacy for Walgreen, said in a statement that, “the agreement makes good business sense … and assures choice and convenience [to customers].” Shares of both companies rose 3% the morning of June 18th.

To read more details about the settled dispute see CVS and Walgreen negotiate contract dispute.

If you are engaged in a contract dispute, contact Wood, Atter & Wolf, P.A. to negotiate a contract dispute your business may be dealing with. It is important to seek legal counsel to protect your interest and ensure future business.

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June 29, 2010

Olive Oil market goes global

It has become so popular it has received its own abbreviation, EVOO—Extra-virgin olive oil. This oil evolution is booming thanks to two recent developments: a growing knowledge of olive oil as a healthy fat and technological improvements that make the product more cost-efficient to harvest, states Curtis Cord, Executive Editor of the Olive Oil Times.

Olives are grown all over the world. India and China have their own fledgling olive oil industries. However, Spain continues to dominate the industry, Italy comes in second, and Mediterranean imports dominate the U.S. market. But all of this is subject to change. A Chilean producer, Olisur, is making a strong go at the U.S. market.

Olisur is exporting two lines of their product: O-Live & Co., olive oil used for everyday cooking and premium oils intended for sauces and finishing dishes, Santiago Limited Edition and Santiago Premium. Expect to see these oils at all major markets by the end of July. President of Olisur, Jay Rosengarten, says that cost efficiencies mean that Olisur’s products can be high-quality at not-so-high prices. The difference in Olisur’s oil is that it’s fresh and continually being delivered to the market.

To read more about the olive oil evolution see Chilean olive oil producer reaches U.S. market.

Contact Wood, Atter & Wolf, P.A. to discuss the expansion of your business.

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June 25, 2010

Red Snapper Ban Hurts Jacksonville, Florida Fishermen

Government researchers say that the red snapper, which is concentrated near the Jacksonville coastline, is dangerously overfished and that the species is nearing collapse. Because of their report, the South Atlantic Fishery Management Council has imposed a no-catch zone that makes fishing for any fish species illegal in order to prevent red snapper from being caught accidentally.

While a government official has said that controlling fishing near Jacksonville is essential, the ban is sure to hurt business for local fishermen. Commercial fishing interests in North Florida and South Georgia are expected to lose millions of dollars due to the closure.

A temporary, stopgap ban has been in effect for two months while the Council develops its final restrictions. That measure has already had a profound effect on local businesses. Charter boat operator Becky Hogan testified before the Council, saying that her first quarter earnings have fallen from $62,000 to just over $1000. Other fishermen also testified that the ban is putting them out of business.

Council members are continuing to attempt to appease fishermen; a recent change has shrunk the proposed area of the ban, but only off the coast of South Carolina. Read more about the red snapper fishing ban off the coast of Florida at No-fish zone change won’t help Florida, Georgia anglers.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

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June 24, 2010

Jacksonville, Florida Community Development District Sues Subdivision Developer

In 2005, when the real estate market was booming, Yellow Bluff Development LLC asked the Jacksonville City Council to create the Tison’s Landing Community Development District. In turn, the district issued nearly $40 million in bonds to pay for roads, drainage, water lines, streetlights and a neighborhood recreation center for the nearly 700 home community that Yellow Bluff planned to build at Tison’s Landing.

Under Florida state law, the developer is responsible for repaying the bonds at first, but may shift responsibility to property owners via assessment over a thirty year period. Since home sales have not materialized, Yellow Bluff has now failed to pay its annual assessment to the district. Therefore the Tison’s Landing Community Development District has declared Yellow Bluff in default and filed a foreclosure suit in Duval County Circuit Court. The move by a development district to foreclose on a developer is very rare in Florida. The development district plans to foreclose on the land and find a buyer for the property.

While Yellow Bluff did not file an objection to the foreclosure, Mercantile Bank, which holds a mortgage on the Tison’s Landing Property, filed a challenge, saying that Tison’s Landing Community Development District must wait a full year after a missed payment to foreclose. Read more at Community development district files suit after Florida developer doesn’t pay.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

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June 23, 2010

Jacksonville, Florida Business District to Get Sidewalk Facelift

Downtown Vision is a non-profit organization funded by assessments on property in a ninety block radius around downtown Jacksonville, Florida. The organization has announced that it will be focusing its efforts on giving downtown Jacksonville a clean and safe appearance, and they are starting with the sidewalks. The organization has about $500,000 of its $1.2 million budget dedicated to its clean and safe program.

The walks are covered with wads of used chewing gum and other dirt and grime that are making them look dingy and uninviting. Downtown Vision has recently contracted with Service Group, Inc. to help revitalize the dirty walkways. But according to Terry Lorince, executive director of Downtown Vision, “we’ve got a big catchup to do.”

Service Group, Inc has the experience required; the company has contracts with at least twenty other downtown organizations across the country.

As part of the contract, Downtown Vision’s on-street ambassadors will become employees of Service Group. Downtown Vision has also purchased some serious cleaning equipment, including a sidewalk scrubber, a “Billy Goat”

vacuum and a pressure washer with a special attachment for powering off stuck on gum.

It will take some time to clean all of the sidewalks in the downtown area, but local business owners and resident alike will benefit from the new clean and inviting look. Read more about the clean and safe downtown Jacksonville, Florida program at Cleaning up downtown to improve its image.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

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June 23, 2010

Jacksonville Businesses, Workers Aided by Small Business Incubator, Beaver Street Enterprise Center

The Beaver Street Enterprise Center is a small business incubator that opened its doors in Jacksonville, Florida in 2003. It was established by the nonprofit group, FreshMinistries, to nurture small businesses by providing entrepreneurs with reasonably priced office space, mentoring services and opportunities for networking with other business owners.

In the incubator’s first year, fifteen fledgling businesses provided jobs for sixty two Floridians. By 2007, the center’

s businesses provided almost five hundred jobs to Florida residents, most of them from Jacksonville. The total revenue produced by these businesses has grown to close to $10 million.

Successful businesses to come out of the incubator include A. Harold & Associates, Xeye, Inc., and a Burger King Franchisee who owns six Burger King stores. The University of North Florida’s Small Business Development Center also has a presence there. Most come for the $10 per square foot office rent, but stay for the networking and relationships. Entrepreneurs credit the center with providing them the focus they need to build their businesses, the contacts with other business owners who can provide guidance, and the opportunity to meet local bankers who can help finance their operations.

The Beaver Street Center is currently home to fifteen small business tenants, and has room for two more. The Center also supports fourteen home-based businesses with shared office space, equipment and training. In addition, the Jacksonville Hospitality Institute offers a nine-week course, held in the Center, which prepares students for a career in hotels or restaurants.

Find out more about this small business incubator at Jacksonville small businesses get chance to grow on Beaver Street.

If you live in the Jacksonville, Florida or Orlando, Florida area and run a small business, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

June 22, 2010

Sarasota Florida – Bank Declares Homeowner (William Berta) Missing but Has no Trouble Finding him to Deliver Foreclosure Papers

William Berta has lived in his Sarasota, Florida home for several decades. He runs a local business, he collects benefits from Veteran’s Affairs, and he pays his water and power bills every month. Despite all these facts, Wells Fargo Bank was able to convince a judge that Berta had abandoned his home, allowing the bank to foreclose on the home, take possession of it and sell it at auction. No one blinked an eye when the process server who notified Berta in person of the eviction found him living at the very home he had supposedly abandoned.

Berta of course knew that he was behind on his mortgage payments, but had contacted HOPE NOW, a federal mortgage-counseling agency; the agency had told Berta that they were in negotiations with Wells Fargo to lower his mortgage payments.

Berta feels that the sloppy legal work done on his case is tantamount to the bank stealing his home and there is much concern in Florida that the overwhelming number of foreclosure cases in the system could cause more of these mistakes to happen.

According to Florida law, a mortgage lender used to be allowed foreclose without notifying the homeowner, as long as it advertised the foreclosure in the newspaper and provided a sworn affidavit to the courts stating that it could not find the homeowner. But new rules are requiring lenders to explain the methods they have used to find the homeowner so that a judge can determine if they are adequate.

For its part, Wells Fargo has claimed that they visited Berta’s home with papers on several occasions, and sent him numerous notices through the mail. Wells Fargo has indicated that Berta will be allowed to stay in his home as long as he qualifies for one of the bank’s loan mitigation programs. A judge has approved a motion to set aside the sale of Berta’s home; he will now have a chance to defend himself against the foreclosure.

You can read more about William Berta’s foreclosure case at Sarasota Homeowner Narrowly Averts Abrupt Eviction After Bank’s Sloppy Foreclosure.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact Wood, Atter & Wolf, P.A. for business legal counsel.

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June 16, 2010

BP Oil Spill Affecting Small Business Owners

Beach wedding planners along the gulf coast are seeing a decrease in business, just another effect of the devastating oil spill, as couples are in a wait-and-see mode since April to see how the spill would affect pre-scheduled weddings. However, within the past few days couples have begun cancelling their beach wedding plans. One wedding planner, Charli Linn, owner of All the Details located in Fairhope, Alabama, estimated a 30-50% decrease in clients. Linn's goal was to book 50 weddings this year. She will not book half of that. The owner of Barefoot Weddings, Maggie Halsey, located in Fort Walton Beach, Florida has seen a 60% drop in bookings and has had 13 cancellations in the past two weeks.

The businesses have provided rerunds and made claims with BP in order to reimburse the businesses for lost profits. Other businesses, which were unable to immediately refund their clients, are relying on the reimbursements from BP to make good. Some small businesses are also advising the couples who wish to be reimbursed their non-refundable deposits to make claims with BP as well.

The oil spill is an environmental disaster and it is having affects all over the gulf coast - not only on the natural environment, but on the business environment as well. This will impact business owners and, as the crisis continues, the employees of those businesses. If you feel your business has suffered from the oil spill or another environmental disaster contact Wood, Atter, and Wolf, P.A. to seek legal guidance on your options.

To read more about how the oil spill has affected beach weddings see Beach Wedding cancellations skyrocket as a result of oil spill.

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June 16, 2010

Burger Business Booms

In a weak economy one type of business has found success, the upscale burger business. While restaurants across the country are pinching pennies, burger joints, such as Five Guys Burgers, are making higher-quality ingredients the standard in their products. Another tactic to increase their business is using quirky ingredients such as fried eggs and pineapple. According to NPD, a market research group, the hamburger and sandwich category was the only category to experience growth in both full-service and quick-service restaurants last year. Although beef prices are on the rise, many operators of burger businesses are still planning to expand their ventures.

Most of these businesses successes stem from the fact that hamburgers can be altered but they remain true to their traditional form. For example, Smashburger's Colorado burger comes with two different kinds of cheese, grilled green chilies, and served on a chipotle bun. Also, instead of limiting the side items to french-fries, Smashburger offers "veggie frites" – fried asparagus, carrots, and green beans – and fried pickles. Other chains have offered sweet potato fries.

Many of these businesses have seen rapid growth, but none has experienced as much expansion as Five Guys; where sales grew 70% to $499 million in 2009. Also, according to a consulting firm, Technomic, Five Guys was the fastest growing restaurant in its category of businesses with annual sales of more than $200 million annually.

To read more about the burger boom see Burger joints experience increase in business.

Contact Wood, Atter, and Wolf, P.A. to discuss starting a new business or expanding your existing business.

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June 4, 2010

Worcester, Massachusetts – Business Owner Breaks Ten Years of Silence Over Deadly Warehouse Fire

A ten year anniversary news series was enough to finally convince a business owner to speak out about a fire at his warehouse that killed 6 firefighters in 1999. Tony Kwan said in a new interview that the Fire Department inspected the Worcester Cold Storage and Warehouse Co. building only a few days prior to the blaze, and found it safe and secure. He has provided a copy of their report to the local newspaper, the Worcester Telegram & Gazette, which is running the series.

He also said that he prays twice a day for the men who were killed, but he does not feel personally guilty because he met all the requirements for keeping the building safe. Even so, he took the settlement from the insurance company and split it among four widows of the deceased firemen to settle a civil suit they filed against him.

An investigation of the fire found that it was started by some homeless people who broke into the building and knocked over a candle they were using. The laws in Massachusetts for securing abandoned buildings have become much stricter since 1999, including requiring stronger barriers to keep out intruders. Mr. Kwan reports that he follows the new, stricter laws that are now in effect as well.

Mr. Kwan discusses the reasons for his ten year silence as well as the settlement in the civil lawsuit in greater detail at Owner prays for dead; says building was secured.

Building owners have a legal responsibility to make sure that any property they own is secure. If you need guidance in understanding Florida building codes, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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June 3, 2010

Tallahassee, Florida – Embattled Internet Gambling Café Organization Faces Two Legal Setbacks

Allied Veterans of the World is a non-profit organization that raises money for veterans. Part of their fundraising strategy in Florida has involved running Internet cafés that take advantage of a loophole in Florida sweepstakes legislation to offer online gambling. Their cafés have been raided and shut down by police in several Florida counties, including Seminole, Marion, Jackson and Pinellas.

They recently filed a lawsuit asking the state of Florida to declare that the cafés do not violate Florida state law. But the circuit court judge threw out the case, saying that local sheriffs are not arms of the state, meaning that Allied Veterans of the World will have to fight for the right to stay open in each of the individual counties where they are attempting to operate. They currently operate twenty five cafés across the state of Florida.

In related news, a lawsuit brought against Allied Veterans of America by Jacksonville Greyhound Racing Inc. will be allowed to proceed. The lawsuit alleges that Allied Veterans of the World is violating Florida's Deceptive and Unfair Trade Practices Act and Florida's Civil Remedies for Criminal Practices Act and that the establishments are a "common nuisance" under Florida Statutes.

Jacksonville Racing is seeking to have all of the cafés shut down and is asking for damages and legal costs. You can read more about the two lawsuits at Tallahassee judge tosses out suit over Internet cafes.

If you have a legal matter that is affecting your business, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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June 3, 2010

Updated Sun-Maid Raisin Girl Raises Eyebrows

Sun-Maid is updating their Sun-Maid girl's new look, and it is sparking controversy. The iconic symbol has been transformed from a girl in a loose-fitting smock to a modern young woman in tight-fitting clothes. The new symbol has been described by some as "Barbie Doll in Amish attire." The update follows on the heels of other well-known symbol modernization of such iconic figures as Betty Crocker, Aunt Jemima and Mrs. Butterworth.

The original drawing of the Sun-Maid girl was made in 1915, and was inspired by Lorrraine Collett Peterson, a young California girl who posed for the watercolor that is the basis of the symbol. Lorraine's look has been updated slightly over the years, but the basis of the image has always been the original watercolor – until now. The new computer animated Sun-Maid girl is a real departure from the original. Comments from conservatives to feminists are less than positive, and mostly focus on the woman's adult shape and snug top.

According to a company spokesman, the redesign was done to bring the company's image into the twenty first century as well as to help educate modern consumers about healthy food choices. It is rumored that the Sun-Maid girl will be featured in upcoming advertising doing the things a modern woman would do, such as going to the gym and shopping. See the old and new logos and find out more about the new Sun-Maid girl at 'Sun-Maid girl' makeover sparks controversy.

Companies spend a lot of money to update logos in order to freshen up their brand image and appeal to modern customers. But they do need to be careful; the image they have worked so hard to establish over the years can be damaged by a makeover that rubs consumers the wrong way. If you have a business trademark issue, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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June 2, 2010

Plant City, Florida – Woman (Patricia Henry) Claims She Lost Job Because She Has AIDS

Patricia Henry learned two years ago that she had AIDS. She claims that she contracted AIDS after having been stabbed with a bloody needle by a mentally impaired AIDS patient while working as a nurse's assistant several years earlier. She left that job and had found another one by the time her diagnosis was confirmed. She was fired from her new job shortly after revealing her disease to her employer.

Now she is suing that employer, Stacy Diaz and 5-D Tropical, a Tampa fish farmer, for discrimination, saying Ms. Diaz fired her because of her condition. The American with Disabilities Act and approved workplace protection in the state of Florida both provide job protection for AIDS sufferers. Ms. Diaz has denied the charges, saying that she fired Ms. Henry for missing too much work.

Ms. Henry is suing for her job back plus a seven figure settlement. Who will win in the case? According to Ms. Henry's attorney, 3-D has several strikes against it in a discrimination lawsuit. These include not having an employee handbook or published grievance process, not making a good faith effort to accommodate Ms. Henry, and perhaps most telling, no references to any disciplinary problems in her file. Find out more about this story at Why was she fired?

If you have a question about the ADA or Florida employment statutes, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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June 2, 2010

Wal-Mart Ordered to Pay Forty Million Dollars for Denying Breaks and Manipulating Timecards

The world's largest retailer, Wal-Mart, has settled a class-action lawsuit for forty million dollars. The suit was brought by former and current employees of the company from the state of Massachusetts, and included about 87,500 claimants. They claimed that Wal-Mart deprived them of breaks, failed to pay earned overtime and changed employee timecards to lower their pay. The settlement is the largest of its kind in state history. Anyone working at Wal-Mart between 1995 and the date of the settlement will receive a check from the settlement. The average claimant is expected to receive $734.

The lawsuit is very similar to many other cases that have been brought against Wal-Mart across the country. Wal-Mart has denied the charges in all cases, but has agreed to pay up to $640 million to settle 63 federal and state class action lawsuits regarding wages and hours worked by employees. The Massachusetts case was not part of that larger settlement.

Lawyers for the workers are pleased with the settlement, but felt it could have been bigger. They hope that this case will serve as a warning to other employers to take worker pay seriously. For employers who follow the law, they will now benefit from an even playing field. Read more about the settlement at Wal-Mart will pay $40m to workers.

If you have a question about legal employment practices in the state of Florida, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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June 1, 2010

Small Business Owners: Do You Carry the Right Kinds of Business Insurance?

Most business owners know that they need property and liability insurance. But what would happen if your place of business suffered an accident that kept you out of business for some time? You could continue to owe salaries and rent while you are trying to get back in business.

The insurance that covers you for these costs is called business-interruption insurance, and many business owners don't realize what a mistake it is not to have it until it is too late. Entrepreneurs need to make sure that they are informed and careful when purchasing insurance, not just buy the insurance required by the terms of their lease.

Before picking out insurance, it is important to pick out a qualified and trustworthy insurance agent. One way to determine which insurance agent to select - ask a trusted fellow business owner with similar needs and risks. Once you have selected a few agents you like, ask them for bids. If you're grossing less than $3 million, you will probably end up with a business owner's policy (BOP), which bundles a set of policies and allows you to add to it as needed.

If you have more than a few employees, there are four policies you can't do without: workers' compensation, property insurance, general liability insurance, and business interruption insurance. To read more about how to make business insurance decisions, visit Buying the Best Insurance for Your Business.

If you are a small or medium business owner, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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June 1, 2010

Worker's Compensation Administration Company, CRM Holding, Under Fire in New York State

CRM Holdings is a workers' compensation administration company. The company was sued by a New York State workers' compensation board, which is seeking $405 million in damages for alleged breaches of fiduciary duty, fraud, deceptive acts and mismanagement. The attorney general's office has also informed the company that they will be filing a separate lawsuit that will charge CRM Holdings with business and security fraud for allegedly engaging in deceptive and illegal business practices.

The attorney general, Andrew M. Cuomo, alleges that CRM Holdings purposely underestimated prospective clients' workers' compensation liability in order to lower premiums and attract more business; the practice would ultimately leave those companies with inadequate reserves for covering workers' compensation liabilities.

State officials charge that tens of thousands of workers have been left without insurance as a direct result of malfeasance by CRM Holdings. The attorney general is seeking $150 million from the company to cover the liabilities they have caused. CRM Holdings, which is based in Bermuda and has a Poughkeepsie, New York based subsidiary called Compensation Risk Management, has denied the allegations.

CRM has already surrendered its license as a New York third-party insurance administrator after the New York state workers' compensation officials charged that the company had given them false information, had not cooperated with an audit, and routinely failed to keep adequate reserves on hand for claims. Find out more about the two lawsuits at State Sues Administrator of Workers' Compensation.

If you have questions about workers' compensation or other business law matters, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 30, 2010

Patent Delays Could be Slowing Economic Recovery

Small companies that are trying to attract investors have historically relied on their recorded patents to protect their inventions while disclosing information. But according to the US Patent and trademark Office, it takes an average of thirty four months – almost three years – to get a patent approved. There were more than 1.2 million patents pending at the end of the 2009 fiscal year.

The patent delay causes a big dilemma for inventors with highly marketable ideas. A patent gives extensive rights to manufacture, use or sell an invention for a certain number of years. If an entrepreneur waits for a patent, they may run out of money or risk a bigger company stealing their thunder. But if they release their product without patent protection, they risk someone else stealing their ideas and competing with them in the market.

A patent not only provides inventors with protection, it also gives them more credibility with potential investors. The significant delay in getting a patent could be slowing economic recovery, as small businesses and inventors wait for patent approval before launching products.

Read more about how patents affect innovation and the economy at Patent delays slow company.

If you have a business legal matter, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 29, 2010

New Legislation to Clarify Florida's Sunshine Law

Florida's Great Northwest is an economic development group that receives most of its funding from public sources. The group has claimed that it is exempt from Florida Sunshine laws, which require public entities in Florida to operate with transparency.

Other development groups in Florida also accept tax money, but claim exemption from the Sunshine Law, saying that the company negotiations they are involved in are very sensitive in nature. State Senator Don Gaetz and Representative Marti Coley have said that they will file legislation to clarify how the law applies to development groups who get their financing from both public and private sources. The legislation will seek to find a proper balance between transparency and privacy.

While Gaetz and Coley do not want to compromise sensitive negotiations, they believe that many functions of Florida's Great Northwest and other groups like it can be carried out in the sunshine without any negative effects on their businesses. The two have also asked Attorney General Bill McCollum for an opinion on whether Florida's Great Northwest should be subject to the Sunshine Law.

Florida's Great Northwest maintains that they are a private organization, not created by Florida statute that does not act on behalf of any state agencies, which means that they are not subject to the Sunshine Law. Read the full article at Bill may clarify Sunshine Law questions.

If you have any questions about how Florida statutes might affect your business, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 28, 2010

Supreme Court Calls Honest Service Law "Too Vague"

Section 1346 of Chapter 63 of the U.S. Code identifies a scheme or artifice to deprive another of the intangible right of honest services as being included in the definition of the term "scheme or artifice to defraud." This is also known as the "Honest Service Law." The law was passed by Congress in 1988.

Federal prosecutors in Florida have used the honest service law to go after allegedly dishonest public officials in Palm Beach and Broward counties. Those affected included three Palm Beach county commissioners, a Broward county school board member and a Miramar city commissioner.

South Florida judges have expressed concern over the imprecise language of the law, saying that it fails to clearly outline what behavior is prohibited. The US Supreme Court agrees, with justices calling the law "mushy" and "vaguely written." They argue that an ordinary citizen should be able to easily determine what is considered legal and illegal conduct.

But even if the US Supreme Court strikes down the law, criminals who have pleaded guilty to honest services fraud won't be off the hook for their crimes. The cases against them are supported by overwhelming evidence of illegal acts, and their own confessions of guilt in open court.

Florida State Senator Dan Gelber is attempting to convince the Florida legislature to adopt a statewide version of the law. He has said that his version of the bill will be much more sharply focused and will concentrate on corruption of public officials. He says he will modify his bill based on concerns expressed by the US Supreme Court justices.

Find out more about the controversy over honest services fraud at `Honest Services Fraud' law mushy but necessary.

If you need clarification on any Florida business law, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 28, 2010

Florida Division of Alcoholic Beverages and Tobacco Asks Citizens to Report Illegal Tobacco Sales

According to Florida statute, all cigarettes sold in Florida must bear a stamp proving that the excise tax and surcharge have been paid. The Florida Department of Business and Professional Regulation's Division of Alcoholic Beverages and Tobacco is responsible for making sure these fees are paid, among other things.

The organization has introduced a new program, called "PUFS" to encourage ordinary citizens to report illegal tobacco sales. The program is designed to catch businesses who are taking money away from Florida's economy by not paying their fair share of taxes and surcharges.

Under the plan, tobacco retailers are required to conspicuously display a notice where cigarettes are sold. Retailers can obtain the notice from any Division of Alcoholic Beverages and Tobacco location or online at the division's website.

Individuals can call 1-866-540-PUFS to report violations; if the merchant is fined the informant is eligible to collect up to half of the fine as a reward. Callers may remain anonymous. Find out more about the PUFS plan at Department of Business and Professional Regulation Wants Citizens to "Burn" Illegal Tobacco Sales.

If you are a small business owner and need legal advice, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 27, 2010

Unusual Tech Patents and Trademarks Keep Businesses on Their Toes

When a company wants to introduce a new product, they need to be careful that they are not infringing on someone else's existing patent or trademark. The following are four examples of out of the ordinary patents and trademarks that may trip up a new product introduction.

Apple Computers vs. McIntosh

When Apple started developing the Macintosh, they deliberately spelled the name wrong in order to sidestep any trademark infringement issues with McIntosh, a high-end audio equipment manufacturer. McIntosh objected, and Apple ended up paying McIntosh an undisclosed licensing fee to be able to use the name in perpetuity.

Amazon one-click

Amazon patented its one-click web checkout system in 1999. Since then it has licensed use of the technology to other companies – but not to rival Barnes and Noble, which they sued for using a similar feature on their website. Long held up as an example of a patent that should never have been awarded, much of the patent was turned over in 2007, but Amazon still protects what is left of it.

Color trademarks

If you want to make pink insulation, you may get a cease and desist letter from Owens Corning. The same holds true if you want to start a wireless phone company; it would be best to stay away from the T-mobile signature magenta. Yes, it is possible to trademark a color as it relates to a specific product or service.

Verizon Droid

When Verizon wanted to name its new phone Droid, they had to ask permission from Lucasfilm, which patented the term in 1977 – the year Star Wars came out. Verizon currently uses the name under license.

You can read about several more surprising patents at They Own WHAT? Nine Tech Patent and Trademark Oddities.

If you have an original product that you would like to patent, or if you need to make sure you are not infringing on someone else's patent or trademark, please contact Wood, Atter & Wolf, P.A. for legal counsel.

May 27, 2010

Environmentalists and Florida State Government Officials Disagree on Relevancy of New Federal Water Quality Standards

Impending federal rules that will affect Florida lakes, rivers and streams have business groups and politicians up in arms over what they call a "water tax" that could cost Florida residents up to $50 billion. But environmentalists disagree; arguing that the new, tougher standards are the only way to combat the algae blooms that plague state waterways. The new rules, to be handed down by the US Environmental Protection Agency (EPA) in January of 2010 are the result of a legal battle between the agency and environmental advocates. The EPA agreed several years ago to set new standards for "nutrient" concentration (from agricultural runoff and sewage) in Florida waters. The state currently uses a much more vague set of standards. High nutrient concentration directly impacts algae blooms in the waterways.

Affected businesses say that the EPA is unfairly singling out Florida with the rules. They also say that the new rules are not based on good evidence, and will cost a lot of money without actually helping the environment. Florida Water Environment Association Utility Council President Jim Oskowis has estimated that the new regulation could cost the state not only $50 billion to implement, but also another $1.3 billion per year to operate.

Lawmakers argue that any new standards should be set by the Florida Department of Environmental Protection rather than the EPA. Environmentalists call the cost estimates "laughable." Read more about the battle over the new standards at Looming federal water quality standards set off firestorm.

If you have a business that may be affected by the new standards, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 27, 2010

Miami, Florida – Luxury Hotel Suffers Legionnaire's Disease Outbreak

The luxury Epic Hotel in Miami, Florida was the site of a Legionnaire's Disease outbreak recently. Four people were reportedly made ill and one person died from the bacterial infection. The bacteria is said to have gotten in to the hotel via the water system, but the Miami-Dade County Health Department is still investigating the outbreak.

An advisory was placed on the hotel to keep guests out; the hotel management company was ordered to upgrade their water filtration system and clean out their water supply before the advisory would be lifted. They were able to do so and reopened within a few days. It has not been proven whether the hotel was in any way responsible for the outbreak.

Legionnaire's Disease is an acute respiratory infection caused by Legionella bacteria. It is typically water borne, and cannot be passed from person to person. Symptoms include chest pain, coughing up blood, fever, gastrointestinal symptoms, headache, joint pain, lack of energy, muscle aches, chills and shortness of breath. Older people and those with poor lung capacity or compromised immune systems are more likely to die from the disease.

Read more about the Legionnaire's Disease outbreak at Virus Outbreak Comes To An End At Miami Luxury Hotel.

If you have a business legal matter, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 26, 2010

University of Florida Settles Hazardous Waste Violations with Environmental Protection Agency

During a 2008 compliance inspection at the University of Florida's main Gainesville campus, the Florida Department of Environmental Protection (FDEP) allegedly observed Resource Conservation and Recovery Act (RCRA) violations by the university. The most serious alleged violation involved improper disposal of a cleaning solvent used to clean the engines of grounds keeping machinery.

The cleaning solvent contained twenty to thirty percent tetrachloroethylene (PCE). Soil samples collected near the maintenance area had concentrations of PCE that exceeded the FDEP Soil Cleanup Target Level for leachability. Groundwater from near the area was also tested and found to have a concentration of PCE exceeding the FDEP Groundwater Cleanup Target Level.

The US Environmental Protection Agency has announced that they have entered into an agreement with the University of Florida to remediate the contamination. The University will also pay a civil penalty of $175,000. While it is unfortunate that this dangerous contamination occurred, it is good to see the FDEP and the University of Florida work together to remedy the situation.

The health of Florida's citizens and its precious water resources are both at stake. Find out more about the alleged environmental violation by the University of Florida and the remediation plans at EPA and University of Florida Sign Consent Agreement Settling Hazardous Waste Violations.

If you own or operate a business in the Jacksonville, Orlando or Gainesville, Florida areas, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 25, 2010

SunTrust Bank to Freeze Executive Pay

SunTrust, the fourth-largest bank in Northeast Florida, received three and a half billion dollars in bailout funds from the federal government. The bank announced that in order to comply with the terms of the Troubled Asset Relief Program (TARP) Standards for Compensation and Corporate Governance, it will freeze the salaries of all but one of its senior officers. The exempt officer is William H. Rogers Jr., who received a pay raise due to an increase in responsibilities.

As another part of the new compensation structure, the bank will not pay any cash bonuses to executives for 2009. The company also instituted a "clawback" policy, which would allow them to recover executive bonuses that were paid out on what later proved to be inaccurate financial statements. The bank's directors have approved the new compensation structure, which has been filed with the Securities and Exchange Commission (SEC). SunTrust has thirty three local branches in Northeast Florida.

Other banks that received bailout funds from the federal government have filed similar compensation plans with the SEC. The changes in compensation were enacted in response to public outcry over the size of bonuses paid to executives in companies which accepted government funds after the financial collapse of 2008. Read more details of SunTrust's new executive compensation plan at To comply with TARP, SunTrust freezes salaries of most executives.

If you own a business in Jacksonville, Florida or Northern Florida, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 25, 2010

Florida Supreme Court Mandates Foreclosure Mediation

Florida's Task Force on Residential Mortgage Foreclosure Cases was established to help the state of Florida respond to the foreclosure crisis that has hit the state in the latest recession. The fifteen member task force made its final report and recommendations to the Florida state supreme court in August of 2009. In light of the task force's findings, the court has issued an administrative order to enact the recommendations.

One of the key elements of the order is a provision for creating a statewide foreclosure mediation program. Under the order, any foreclosure on a residential homestead property with a loan that originated under federal truth in lending regulations will be required to go into mediation unless both parties agree otherwise.

The goal of the order is to encourage parties to mediate outside of the courts, which should ease the burden on the already strained court system. At issue is whether there are enough professionally trained mediators to hear all of the suits and whether the new requirements would cause the already slow foreclosure process to a come to a virtual standstill.

You can read more about the Florida foreclosure crisis and the supreme court's response to it at Florida Supreme Court Orders Mediation in Foreclosure Cases!

If you need an attorney to assist you in defending your rights, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 24, 2010

State Farm to Remain in Florida Insurance Market after Deal Struck with Regulators

Last year, State Farm Florida Insurance Co., the state's largest private property insurer, was denied a 47% rate increase by Florida Insurance officials, and announced that it would exit the Florida market, dropping 1 million policies.

Florida state regulators worked to strike a deal with company to keep it in the state. State Farm has announced that a deal has been made that will keep State Farm in Florida for at least one more year. The agreement allows State Farm to drop 125,000 riskier policies and raise their rates to cover non-hurricane losses. Those whose policies are not being renewed began to receive notices in February, six months ahead of the company's August 2010 non-renewal campaign, as required by law.

The agreement also allows the company to start raising rates by as much as 14.8% on renewal, effective immediately. State Farm will also roll back discounts which have saved Florida policyholders as much as 28% in the past. Additionally, State Farm will release its Florida agents from their exclusivity agreements, allowing them to sell other companies' policies. This will make these agents' jobs more stable should State Farm decide to pull out of the state in the future.

Find out more about the deal between State Farm insurance and the state of Florida at Like a Good Neighbor: State Farm Will Stay, Raise Rates.

If you have a business legal matter, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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May 24, 2010

Florida Home Insurer, Magnolia Insurance Company, Placed Under Administrative Supervision

Florida insurance regulators have placed Coconut Grove, Florida based Magnolia Insurance Company under administrative supervision, saying that the company is in unsound financial shape. The insurer voluntarily agreed to the supervision, which will last at least 120 days from December 14th, 2009. The company's president, H. James Irl, has resigned.

The state stepped in after Magnolia lost its rating from the actuarial firm of Demotech. They lost the rating due to failure to submit financials and other proofs to the firm. Under the terms of the supervision, Magnolia will be restricted in their ability to write or renew policies. They have agreed to work with the Florida Office of Insurance Regulation to develop a plan of action to turn the business around; plans may include selling the business to another company.

According to Florida law, the company is required to notify any of its customers if their policies will not be renewed. Because of this, there will be a short time when Magnolia will be allowed to renew policies that are past the window of notification of non-renewal.

State officials are urging policyholders not to renew with Magnolia but rather to transfer their policies to another carrier before their policy expires. Read more about the woes of this Florida insurance company at Florida Insurer Magnolia Placed Under State Supervision.

If you have a business legal matter, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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February 24, 2010

Investment Firms Going Green to Make Green

Venture capitalists are flocking to green-technology companies to get a cut of the action. Approximately $1.59 billion dollars have been sunk into environmentally-friendly corporations worldwide in the third quarter of 2009. These businesses are developing clean systems ranging from solar panels to electric vehicles.

The government is also investing heavily in these firms through loans, grants, and subsidies. Hopefully, this will become a trend as opposed to a flash in the pan undertaking. Clean technology now takes up around 27% of venture investment.

I, for one, welcome anything that could help loosen big oil's stranglehold on the energy market! It clearly makes sense to find new sources of energy as the world's supply of fossil fuels is being depleted at an alarming rate. Especially here in Florida, we also need to look at the impact we're having on the environment, more specifically our waterways and the Everglades!

How do you feel about green technology? Please post your comments or contact me to discuss!

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February 24, 2010

The Importance of Proper Document Execution

If you use noncompete or confidentiality agreements in your course of business, make sure the employees properly fill them out. A detail as minor as a signature in the wrong place may invalidate your ability to keep your trade secrets secret.

Earlier this year, IBM initiated a lawsuit with David L. Johnson, a former executive, who became employed with Dell, one of IBM's competitors. IBM claimed that the ex-exec was in violation of a noncompetition agreement as well as an agreement to protect trade secrets. As the lawsuit was pending, IBM attempted to obtain a preliminary injunction to stop Johnson from "performing duties" at Dell. IBM suspected him of using valuable trade secrets in the course of his new employment, which would be a breach of duty to IBM. However, a U.S. District Judged denied the preliminary injunction. The denial came was due in part to the fact that the validity of the agreement was questionable because it was not properly signed. Although Johnson signed the document, he did not do so in the correct place.

For more information regarding noncompete and confidentiality agreements, get in touch with an attorney to discuss your options.

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February 24, 2010

Alternatives to Noncompete Agreements

In light of a declining economy, courts are less likely to enforce noncompete agreements. Such agreements protect valuable training and trade secrets by preventing employees from competing with their former employers. They are not being enforced due to the interest in allowing people to work in such tough economic times. Despite the fact that noncompete agreements are seldom enforced, companies have other means of protecting their assets.

As an initial matter, a company will audit all of its proprietary information, assess the risks involved in losing such information, and determine how an employee might misappropriate it. Once the audit is complete, the company will employ a "comprehensive protection program," which is a combination of policies and restrictive covenants as well as a consistent enforcement scheme. Restrictive covenants differ from noncompete agreements in that they can be tailored to protect specific company assets. For example a "nonsolicitation agreement" prohibits an ex-employee from contacting the employer's clients. In this manner, the company will not lose clients when a key member of the sales staff defects to a competitor. Another example of a restrictive covenant is a "forfeiture agreement" wherein the employee's benefits from the company cease upon termination of employment. These instruments are advantageous because they offer the most protection with the least restriction.

For more information regarding alternatives to noncompete agreements, contact an attorney to explore your options.

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February 21, 2010

Florida Franchisees Part of Class-Action Against UPS.

Several former Mail Boxes Etc. franchisees in Florida have been certified as a class, in their California lawsuit against UPS. The Superior Court for Los Angeles County certified the class-action lawsuit in July. The suit was brought by over a hundred former Mail Boxes Etc. franchisees. Known as the Platinum Shield Association, they have claimed that UPS, since acquiring Mail Boxes Etc., has destroyed what was once a growing, stable, and profitable franchise. The former Mail Boxes Etc. franchise owners claim that UPS coerced them into changing from their profitable Mail Boxes Etc. Centers to The UPS Store through a program called "Gold Shield." They also say UPS then tried to destroy the remaining Mail Boxes Etc. franchises that refused to change to The UPS Store by discontinuing national advertising and stopping all support for the Mail Box Etc. franchisees.

Another group of unhappy UPS franchisees is the Brown Shield Association, and they are also litigating against UPS, alleging that UPS has engaged in competition with its own franchisees by offering lower prices to customers who use direct-pickup instead of dropping of packages at local The UPS Stores. Both groups face long fights before their cases will ever see an end. The case led by the Platinum Shield Association started in 2003 and is just at the point of sending out notices to potential members of the class action.

What do you do if you own a franchise and the franchisor sells to another company? Are you obligated to accept changes in your Franchise Agreement? Disputes can be complicated, costly, and take a long time to resolve. If you are purchasing a franchise or you own one already these are issues you might want to find out about by talking to your franchisor and a franchise attorney.

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February 21, 2010

Business Logo Facelifts: High Risk, High Reward (Part 2 of 2)

In November 2008, Pepsi introduced its latest and greatest logo. It is blazing forward with its advertising blitz this year with the "Refresh Everything" campaign. The beverage company is pulling all the stops to improve its market share and overtake Coca-Cola.

When originally launched, many people commented that the new logo looked an awful lot like President Obama's campaign emblem. Talk about getting off on the wrong foot! Instead of attracting new people to the brand, the new symbol was already seen as a rip-off. I'd say the more troubling issue is that Pepsi had such a strong logo, that is easily recognized and identified around the world. Why look like an imposter? And why spend the time, money, and energy to re-educate the consuming public?

Not surprisingly, Pepsi owns Tropicana, whose recently introduced new logo was widely panned despite a $35 million dollar investment! Seems to me that a ton of money was spent in both instances for marginal aesthetic gain. Pepsi would do well to invest its resources more judiciously--it appears to be grasping at straws to catch up to Coke!

Do you think Pepsi's rebranding was worth it? Please post your comments or contact me to discuss!

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February 21, 2010

Business Logo Facelifts: High Risk, High Reward (Part 1 of 2)

Companies spend millions of dollars enlisting branding firms to revitalize logos they have deemed old and tired. Potential gains include rejuvenating your brand's image, building up new good will among consumers and redefining your place in the market. On the flip side, a perfectly good brand may be tarnished by a questionable makeover.

Major players like Pepsi, Walmart, and UPS all have put their logos under the knife in recent years. It's definitely a balancing act as these businesses have to take care to maintain enough of a connection between the old and new images while modernizing their respective logos to stay fresh.

Also, think of the consumer--with familiarity comes comfort. When updating a logo, will your followers continue to be loyal? How many will turn up their noses at the changes? And for those who never liked to brand anyway, overcoming their existing bias is a gamble.

Notable rebranding misses of late include Kraft, Tropicana and Xerox. A common flaw to all of these redesigns is that they risked the unique qualities of the original in the name of "progress." A company must consider the reaction of its existing customer base as well as that of the new one it wants to bring in!

In the next segment, I'll compare the old and new looks for Pepsi! Stay tuned…

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February 21, 2010

Doing Business in Florida With a Fictitious Name? A New Law Imposes Advertising Requirement.

Florida businesses, take heed: you must give the public notice of your fictitious name! Here is the notice on the Florida Department of State's home page:



NEW LAW! Effective July 1, 2009, the intention to register a fictitious name must be advertised at least once in a newspaper in the county in which the principal place of business will be located. Contact your newspaper for advertising information.


What does this mean? As of July 1, 2009, you will be required to advertise your intent to register your Fictitious Name. Under the Fictitious Name Act (F.S. Title 46 Ch. 865.09), all persons transacting business under any name other than their legal name is required to register this fictitious name. However, actively licensed attorneys and those persons licensed by the Department of Business and Professional Regulation and the Department of Health are not subject to this requirement if it is for the purpose of practicing their licensed profession. Also, any commercial entity, corporation, partnership that is actively registered with the Department of State is exempt from registration under the Fictitious Name Act.

Complying with the new law is easy. A person wishing to register a Fictitious Name need only to advertise the intention to register the name in a newspaper at least once in the county where the principle place of business of the applicant will be located. No proof of advertisement is necessary; the applicant will only be ask to certify that he or she has complied with the advertisement requirement. The applicant can then register the Fictitious Name and pay the registration fees online at www.sunbiz.org. Registration is valid for five years unless the business changes owners or the owner wishes to cancel the registration. Re-registrations, Cancellations and Renewals cannot be filed online; the forms must be filed by mailing them along with the appropriate fees to the Division of Corporations.

Failure to comply with the registration requirement is a misdemeanor of the second degree and is punishable as such (F.S Title 46 Ch. 775.082 or 775.083). Additionally, if a business fails to comply with registration, the business, its members, and those interested in doing such business may not maintain any action, suit, or proceeding in any court in Florida arising out of the transaction of business by such a business until they have complied with the registration requirement. Further questions can be answered by attorneys familiar with Florida business law.

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February 21, 2010

Globalization: Overseas Markets Becoming More Appealing for U.S. Franchises

More than ever, American franchises are contemplating foreign expansion as possibilities in the United States remain stagnant. The two most populous nations in the world, China and India, are key areas for growth and feature rapidly-flourishing intermediate consumer bases.

McDonald's has long been exemplary in terms of its global franchise model. In 2009, McDonald's opened just 53 new restaurants in the U.S., whereas internationally, it opened 286 new locations. This isn't simply an aberration, but has been the trend for the last couple of years. Meanwhile, McDonald's global sales have jumped 7.2%!

The reluctance of U.S. lenders to issue loans has hurt American franchising, but abroad, third-party investors are frequently willing to back projects financially. This becomes a mutually advantageous relationship as foreign investors reap the benefits of well-established, clearly defined American brands. People instantly recognize those double arches! In light of such symbiosis, international markets are ripe for development and can support sustainable growth.

How can your business grow in these challenging economic times? Want more tips and strategies? I do too. That's why I count on my business and franchising experts, Alpha Growth Strategies. I work closely with them to give my clients the edge in business development.

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February 19, 2010

The US Internal Revenue Service (IRS) Will Join Forces with Other Countries to Prevent Tax Evasion

The Internal Revenue Service (IRS) of the United States has announced that it will start working closely with foreign governments to more carefully scrutinize corporate tax returns and those of the rich. The move is designed to stop corporations and wealthy individuals from getting away with "tax arbitrage," a term that describes evading taxes in one country by stashing money in another country with more favorable tax laws.

The program is part of a larger initiative to ensure that wealthy individuals and big corporations comply with US tax laws and pay their fair share. So far, the joint audits will only be held with other countries with whom the US has a treaty to do so. The IRS says they will especially be keeping an eye out for abuses of deferral of taxes on earnings abroad. The crackdown has already netted the US some return; after an investigation UBS AG agreed to pay $780 million in owed taxes.

Corporations and the rich have a duty to pay their fair share of taxes. Those that choose not to comply with US tax laws or try to stretch the rules for their own benefit may very well find themselves the target of a very thorough joint IRS / international audit. Find out more about the new IRS program at US IRS to start co audits with other nations.

If you have a business legal matter, please contact Wood, Atter & Wolf, P.A. for legal counsel.

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February 19, 2010

Florida Woman Wins Employment Lawsuit over Sexual Harassment

In a recent court case, a Florida woman, identified only as Ms. Meyers, sued her former employer, Central Florida Investments (CFI), claiming that she was sexually harassed by the firm's CEO, David Siegel over a period of five years. During the time that she was allegedly being harassed by Mr. Siegel, he reportedly offered her boyfriend one million dollars in exchange for allowing Mr. Siegel to spend the night with Ms. Meyers.

Ms. Meyers further claimed that Mr. Siegel's harassment included inappropriate touching, whether they were alone together or if there were other employees present. When she complained to other executives, they did nothing to help her, and she was eventually fired in 2000. The jury in the case awarded Ms. Meyers one year's salary in compensatory damages ($102,223), and over five hundred thousand dollars in punitive damages against both Siegel and CFI. The decision was upheld as "reasonable" on appeal. Read more details of the case at Florida Employment Harassment Case "Out of a Bad Movie."

CFI executives' response to Ms. Meyers' allegations put their company at risk. So, what should have happened? Companies should establish a policy for handling complaints of sexual harassment and should ensure that the policy is enforced - from implementing a proper and immediate investigation through remedial action. The accused should be given sufficient detail about the complaint and provided an opportunity to respond. Confidentiality should be maintained to protect both the accuser and the accused from adverse workplace and personal consequences. Executives should ensure that any negative action toward the accuser is reviewed to ensure that it is not done (or could be perceived to be done) in retaliation for bringing the complaint. Employers should also consider whether the investigation should be handled by a qualified outside party to ensure fairness to the accused and the accuser as well as to provide evidence of the company's desire to handle claims of harassment in a fair and timely manner.

If you live in the Jacksonville, Florida or Orlando, Florida area and have been the subject of sexual harassment or are an executive with a company faced with a claim of sexual harassment, please contact our firm, Wood, Atter & Wolf, P.A., for business legal counsel.

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February 19, 2010

Music Industry Sales Plummet by More than Half during Last Decade

In 1999, total revenue in the US from sales and licensing of music was nearly fifteen billion dollars. By the end of 2000, that figure had dropped to just over six billion dollars. In fact, the Recording Industry Association of America (RIAA) has reported a decline in revenue for nine out of the last ten years, making the first decade of the twenty-first century the first decade that music sales were lower at the end of the decade than the beginning.

Of course, the last decade saw two separate recessions, which cannot have helped music sales. And sales during the 1990's were certainly helped a great deal by consumers re-purchasing all of their favorite taped and vinyl music on CDs.

An RIAA representative cited growing pains adjusting to digital music as the reason for the decline, saying that the music industry has been trying to adapt to rapid changes in how consumers buy and listen to music. He went on to admit that the music industry has had trouble monetizing evolving music delivery methods.

Thanks to Napster and other digital file sharing sites, customers now expect to download music from the internet for free or for very little money. So instead of purchasing a complete album of music for fifteen dollars, they can cherry pick songs for one dollar each on Apple's iTunes, or use an unauthorized file sharing site to get music.

According to Forrester Research, only sixty four percent of Americans believe that music is worth paying for. Another study showed that unauthorized file sharing sites still account for 90% of downloaded music. Find out more about the music industry's struggles at Music's lost decade: Sales cut in half.

These statistics reflect the current difficulties faced by artists trying to protect their interests due to constant advances in music delivery systems, however, as a starting point, musicians and songwriters must also take the first and most basic step of protection – filing a copyright on their "creation" at the outset.

If you live in the Jacksonville, Florida or Orlando, Florida area and need to have a copyright on your music or believe your copyright has been infringed, please contact our firm Wood, Atter & Wolf, P.A., for business legal counsel.

February 19, 2010

NASA Announces Plans to Lure Commercial Space Travel Businesses to Florida

NASA chief Charles Bolden has announced that he will actively try to attract commercial space operators to Cape Canaveral. The so-called "space taxis" would be able to take advantage of the processing and launch facilities already in place in Florida's Kennedy Space Center. Bolden said his pitch to the commercial enterprises would be that they could save money and time by using existing infrastructure instead of building their own. He also indicated that NASA would help commercial operators modify existing infrastructure for their needs.

Kennedy Space Center director, Robert Cabana, has already said that NASA will begin upgrading its existing facilities in order to attract a private space company. The Constellation Moon project was originally slated to use the center's vehicle assembly building, hangars, and cargo bays, but the new budget constraints have prompted NASA to cut the program, leaving those assets unused. The same budget is allowing NASA to spend two billion dollars over five years to modernize the facilities.

The announcement may be good news for Florida workers employed at the space center, who were likely to lose their jobs when the space shuttle program is retired later this year. It will also be good for Florida's economy to attract large businesses to the area. Find out more about this story at Bolden: Florida should be home of private spaceflight.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact our firm, Wood, Atter & Wolf, P.A., for business legal counsel.

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February 19, 2010

Virtual Blackjack Machines Debut in Florida

Florida horse and dog tracks have had a hard time competing with Seminole Indian casinos. Casinos are still the only place a Florida resident can play traditional blackjack, but the track owners have persuaded the state of Florida to allow them to offer electronic blackjack to their gamblers.

The virtual blackjack game does not feature a real dealer and a green felt table, but it does offer starting bets as low as $3; the Seminole casinos start at a $10 minimum. Another major difference between the two games is the fact that the cards dealt in electronic blackjack are generated completely at random, which convinced the state to consider the games equivalent to slot machines and allow them at racetracks.

The casinos have been criticized for continuing to offer real blackjack, ever since a 2007 pact with Florida Governor Charlie Christ that allowed them to offer blackjack was invalidated by the courts. Florida Attorney General Bill McCollum has gone so far as to request that federal authorities step in to prevent the casinos from offering any so-called "banked" games. The tribe points to the licensing of blackjack at the racetracks as a clear signal that they are allowed to offer blackjack as well. Federal regulators are still looking into the issue.

In the meantime, Florida blackjack players have their choice of the real thing or the electronic version. Find out more about this story at South Florida parimutuels bet on virtual blackjack machines.

In these difficult times even non-traditional businesses such as casinos, racetracks and others in the gaming industry have hurdles to overcome in attracting a dwindling share of the market. Businesses becoming increasingly creative in securing that market share should seek legal advice to ensure that those expanded activities are in compliance with the law.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact our firm, Wood, Atter & Wolf, P.A., for business legal counsel.

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February 19, 2010

Jacksonville, Florida – Judge Ordered to Recuse Himself from Foreclosure Proceeding

A Jacksonville, Florida Circuit Judge was ordered to recuse himself from a foreclosure case brought by Bank of America's Countrywide division against Joseph W. Mines Jr. According to court records, Mines, who is representing himself in the matter, was close to losing his home when he filed a complaint against the Judge, stating that he believed an affiliate of Bank of America had given the judge a favorable loan interest rate that was not available to the general public.

The appeals court in Tallahassee, Florida required the Judge to remove himself from the case, saying that if the allegations were true they would be cause for Mines to fear that he would not receive a fair and impartial hearing. For the sake of all concerned, including the Judge, it is preferable that such matters be heard in an atmosphere free of even a suggestion of partiality. It should be noted that the Appeals Court did not say that the allegations against the Judge were true.

With the high rate of foreclosures in Florida, more cases like this one are bound to show up in the newspapers. Judges and attorneys alike need to be sure that their personal and business dealing are completely above board in order to maintain the public's trust. Read more details about the allegations at Judge in Countrywide Case Removed Over Claim of Discount Loan.

If you live in the Jacksonville, Florida or Orlando, Florida area and have a business legal matter, please contact our firm for business legal counsel.

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February 12, 2010

Trading Model Theft: Goldman Sachs Scrambling After Breach

Goldman Sachs Group, Inc. is currently doing damage control after learning that one of its former computer programmers, Sergey Aleynikov, allegedly made off with highly sensitive computer code comprising Goldman Sachs' latest trading model. A trading model consists of a series of algorithms that temporally optimize risk. The model dictates investment strategy and transactions are made accordingly. This entire process is referred to as automated trading.

A trading model constitutes key intellectual property and enables investors to make moves more quickly than more traditional means. Automated trading has become more and more popular as it has yielded huge profits for investment banks. Higher levels of speed and volume confer a considerable competitive edge, so banks seek to create models that execute trades as quickly as possible. Million dollar transactions can take place less than a second!

What's surprising about Goldman Sachs' predicament is that the theft was allegedly perpetrated by a programmer, and not a high-level trader. In addition, Aleynikov is accused of stealing actual computer code as opposed to memorizing the platform and drafting a new, copycat version. This indicates that companies must identify potential leaks from every angle and take a variety of precautions.

I wonder if Goldman Sachs had confidentiality agreements with its employees. With rogue former employees like Aleynikov, it may not have made a difference, since he probably doesn't have the assets to compensate Goldman Sachs for their financial losses and business advantages. I also wonder if there were non-compete agreements in place, preventing former employees from running off to work for a competitor, or start their own business. Furthermore, I wonder how much of Goldman Sachs' information could have been protected under trade secret laws, where minimizing the exposure of these secrets to employees would offer them the best protection.

Are you a business whose assets are in intellectual property? Do you have special skills, customer lists, or processes you don't want your competitors to have? An intellectual property lawyer with a strong foundation in business law can help you cover all your bases!

February 12, 2010

Global Franchise Expansion: The Gap Enters Thailand

 Gap Inc. has inked a new franchise agreement that will yield new Gap stores in Thailand. Armin Systems Limited, a retailer in Thailand, has been designated as licensee and will open the first Gap location in Bangkok in the spring of 2010.

The Gap is the biggest independent retailer and includes the Banana Republic, Old Navy, Piperlime, and Athleta brands. Along with its partners, the Gap has opened 100 Gap franchise stores plus 34 Banana Republic franchise stores in 17 countries. Across North America, Europe, and Japan, the Gap has over 3,100 locations.

Despite this already sizable network, the company is looking to emerging regions to help buoy sales as the recession has curbed spending in the United States. The Gap clearly understands the importance of spreading internationally and getting its name out to more and more areas.

On the other hand, oversaturation of markets also can be a concern so it is crucial for companies to tactically place their locations to provide the widest consumer access possible without any overlap. Remember when you couldn't walk one block without seeing three Starbucks? It was forced to scale back because it had flooded cities with shops! It's definitely a fine tuning act to open new stores without creating too much supply and is one that shouldn't be done without proper advice.

Want to strategically expand your business? A methodical franchise attorney can help you increase your branches the right way!

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February 12, 2010

Impaired Vision? Sam Genensky Saw No Obstacles

Ever since he suffered an accident as a baby, Sam Genensky was classified as legally blind, having about 20/1000 vision in the only one of his eyes that worked. Despite this difficulty, Dr. Genensky became a pioneer of low vision improvement and designed a system called Randsight that magnifies text 31 times its original size and displays it on a video screen.

Dr. Genensky broke the chains of his poor eyesight and went on to graduate with honors from Brown University, earn a PhD in mathematics, and work as a mathematician for RAND Corp. for many years. It was during his time at RAND that he was able to make his stunning breakthrough.

Dr. Genensky's penchant for innovation started at an early age; in high school he altered a pair of his father's binoculars from World War I to help him read the blackboard in class. It's no wonder that he was able to create technology to help similarly-situated people. Dr. Genensky said that Randsight enabled him to read 130 words per minute!

I think it's simply amazing that a man with such a disadvantage was able to have more success than the average person with full capabilities. Dr. Genensky passed away on June 26th, 2009, but clearly has left a lasting legacy. Not only was he a brilliant inventor, he was a great inspiration!

What do you think of Dr. Genensky's accomplishments? Please post your comments!

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February 12, 2010

Fresh Checked Every Day: Winn-Dixie Goes Upscale

51 of your local Florida Winn-Dixie grocery stores have been remodeled not only on the inside, but the signs outside will be changing as well. The Jacksonville, Florida-based supermarket chain has announced that it is creating a new brand called Fresh Checked Every Day to accompany the renovations. Many of the revamped stores are located in Duval County.

Winn-Dixie currently has about a 13.3% share of the Florida grocery market, behind both Publix and Walmart. The new remodeling plan is a substantial investment, especially considering the fact that Winn-Dixie filed for bankruptcy in 2005. Some of the major changes include larger produce departments, custom sub shops, and greater selections of natural and organic foods.

While it is important to reach different demographics and appeal to a wide consumer base, a business should be careful not to cause brand dilution. For instance, Food Lion, a Mid-Atlantic grocery chain, recently spun off two new brands: Bottom Dollar and Bloom. As a result, customers now suffer some confusion as to Food Lion's identity.

Building a brand image is a long process that takes years and it shouldn't be tarnished by adding sub brands haphazardly! The key to bigger and better business is a strategic growth scheme. Consult a franchise attorney to find out where, when, and how you should expand!

February 12, 2010

End of the Line for Hundreds of GM Dealerships

In the wake of the worst American recession since the Great Depression, plummeting vehicle sales, and impending Chapter 11 bankruptcy, embattled automaker General Motors announced in 2009 that it would end franchise agreements with 1,270 dealerships across the country in 2010. Of its eight current nameplates, Pontiac will be eliminated, and Saturn, Saab, and Hummer all have been sold off.

GM stretched itself too thin and saddled itself with an inflated number of uncompetitive brands. The irony of the situation is that GM is finally showing flashes of potential and is producing desirable cars (e.g. the ZR1, CTS, and upcoming LaCrosse) after years of bad engineering, bean counting, and allowing that cut-corner mindset to adversely affect the quality of its cars.

The damage is likely to get much worse: GM is seeking to slash the number of dealerships by a total of approximately 2,400 by the end of 2010. GM failed to strategically align itself globally, made poor agreements with the United Auto Workers, and neglected to value engineering and the quality of its products above all else. GM made its own bed and has to sleep in it. Regrettably, now thousands of dealers may have to pay the price for GM's ineptitude.

Although GM launched an pathos-packed campaign (including a television commercial!) to re-new its tarnished image and gain America's support, how would you feel if you were abruptly dropped after a franchise agreement you had worked hard to negotiate and uphold? I would be livid if I lost my business due to the mismanagement and incompetence of my franchisor!

How do GM's actions strike you? Is it fair to the franchisees? Contact me to discuss!

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February 12, 2010

Tips for Marketing With Facebook & Twitter to Generate Business

The current proliferation of social-networking sites has been nothing short of astonishing! The two hottest sites at the moment, Facebook and Twitter, have 200+ million, and 12+ million users, respectively!

Facebook is a profile-based system, where users can post individual information, add friends, and communicate with them in a variety of ways. Twitter features the ability to tweet, which is an instant announcement to the world as to what you're up to, in 160 characters or less. Several Jacksonville businesses are capitalizing on Twitter's popularity and are utilizing the site to reach countless new customers by posting the latest, most up to date information regarding their products and services. Twitter may serve as an effective means for targeted advertising, particularly to younger clientele.

My advice for you professionals out there: don't mix business with pleasure! Sure, it's hilarious to show the world your candid camera moments at your brother's bachelor party, but your clients might not appreciate your rock star persona. At the same time, if all you tweet about is the N'th hour you have been slaving away at your desk, your social circle might start to look more like a pinhole.

The solution is to create two profiles: one for business, and one for pleasure. Compare the Facebook page I created for business, in addition to my original personal one. If you are so inclined, compare my business Twitter page with my personal page.

One of the keys to the popularity of these sites is free, virtually unrestricted access. This technology is not only burgeoning in the United States, but is veritably global. Media outlets like CNN are even relying on Twitter for breaking news!

It is vital for businesses to be adaptive and maximize their exposure through dynamic new technology. Customers cannot visit your business unless they know where to look! Where can I find you? Visit my Facebook and Twitter profiles, and leave me a note!

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February 12, 2010

Apple's Tight Lips: Smoke and Mirrors or Trade Secrets?

We all know Apple, the trendy electronics and software brainchild responsible for mesmerizing us with iPhones and iPods. The technology giant hypnotizes us, and we truly believe that without their fresh, avant-garde products, we are not sexy or cool. (*Ahem* Despite their marketing prowess, I still believe I can be sexy and cool as a PC girl.)

What most don't know is how unequivocally silent Apple has been when it comes to disclosing information about its research and development. Despite online advances such as Facebook, Twitter, and other sources for disclosure, the company remains tightlipped with respect to its engineering.

Strict controls are imposed in the name of security to prevent employees from releasing any valuable information and harsh sanctions are in place for those who do. Apple is virtually impervious to leaks and even goes so far as to keep its own employees in the dark; many themselves are shocked when new products, such as the latest iPhone 3GS, are unveiled. The company is also famous for its product plan ruses designed to mislead both outsiders and also its own employees as to the state of certain Apple technology.

Even seemly innocuous information, such as the health of CEO Steve Jobs following a secret liver transplant, is kept under lock and key. Such unwavering devotion to discretion is a calculated business model and is indicative of executives that fully appreciate the high value of intellectual property. However, this secrecy can breed suspicion and give birth to consipiracy theories among consumers. Trade secrets are critical for any business and comprise the essence of brand image and identification, but today's sophisticated public demand the truth and trust in the products they support.

What measures should your business take to protect its trade secrets? An intellectual property attorney can show you how to preserve your sensitive information, and balance a positive brand name image.

February 10, 2010

Confidential Email Disclaimers: Are They Effective?

In the course of business, you may often receive emails that are punctuated at the end with a disclaimer that reads as follows: "The contents of this email are intended for the aforementioned recipient and are confidential." But are these messages effective in protecting your valuable business information and trade secrets?

The general answer is that such disclaimers do not protect anything. The reason behind this is that a disclaimer does not create a legally binding contract. For an agreement to be enforceable, all parties involved must agree to the terms. A disclaimer is nothing more than a warning from one party to the other. And besides, what good does the disclaimer do after the entire body has been read?

To protect your confidential information, avoid sending it though email. Instead, send the data through the regular postal service and package it in a box or envelope bearing a "confidential" or "classified information" stamp. If it is absolutely necessary to send the information through email, then place a disclaimer at the very beginning of the message. In this manner, if an unintended recipient receives it, they will not have to read the entire message to realize it is confidential.

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February 10, 2010

Brand Name Drug Manufacturers Responsible For Injuries Caused By Their Generic Counterparts

In 2008, a California appeals court decided that even if a patient is harmed by a manufacturer of a generic drug for failing to warn consumers of possible side effects, the manufacturer of the brand name equivalent could still be liable for negligent misrepresentation.

In Conte v. Wyeth, Inc., the plaintiff, Elizabeth Conte, was prescribed Reglan for acid reflux. The generic equivalent is metoclopramide. After using the generic version of the drug for four years, she developed tardive dyskinesia, a neurological disorder. The condition is associated with tremors and involuntary twitches. Judge Peter Siggins reasoned that name-brand drug manufacturers know or should know that doctors would prescribe the generic equivalents, and the brand name manufacturers thus must educate doctors and consumers about possible side effects of the drugs, regardless of which version is ultimately prescribed.

It is important to note that the manufacturers of the generic drugs are not absolved. They simply now share liability with their brand-name competitors.

February 8, 2010

ICANN Opens Up Domain Name Availability With Personalized TLDs

In response to businesses' growing frustration with the limited availability of simple internet domain names, the Internet Corporation for Assigned Names and Numbers (ICANN) plans to sell new top-level domain (TLD) names.

Domain names have historically ended with these popular TLDs: .com, .net, and .edu. Currently, there are only 21 TLDs. ICANN proposes to make "personalized" TLDs available to any business with $185,000. Allowing a business to have their name become the TLD opens up an enormous, and possibly endless, combination for domain names. For example, a famous fast food chain can end their domain name in ".mcdonalds." Subdomain names for the TLD can also be available to identify a particular business, like "bankofamerica.bank."

The availability of personalized TLDs will become a nightmare from the intellectual property enforcement standpoint. The increasing number of domain names means additional time and money to monitor misappropriation, and to protect customers from infringers.

In attempting a preemptive strike against infringers, ICANN proposes that it will review applicants who must argue why they should be awarded a particular TLD. Grounds for rejecting an applicant include: having a TLD that is confusingly similar to another, pursuing an immoral TLD like .xxx, or seeking a culturally or politically insensitive TLD.

February 8, 2010

Wood, Atter & Wolf Hosts Business Expo

Wood, Atter & Wolf recently hosted an exhibit at the 2009 Business & Career Expo, hosted by the Jacksonville Regional Chamber of Commerce at the Prime Osborn Convention Center. Admission was FREE to the public!

We showcased Trademark and Franchise law with Alpha Growth Strategies, who are experts in business development and franchising. Together, we featured legal and business consultations regarding trademark registration, licensing, and business/franchise evaluations.

The Expo featured 250 exhibits, and attracted over 1500 people. For more information on next year's event, contact us.

February 3, 2010

Small Businesses in the Global Market

Small businesses rely on their proprietary assets, and many of these business depend on global transactions. However, less than one fifth of these businesses realize that their federal trademark and patent protections are limited to the United States. Are your IP assets protected abroad?

Without a doubt, profits fall prey to overseas counterfeiting and piracy. Counterfeiting is the creation of imitation products while piracy involves the unauthorized use or reproduction of software.

Stopfakes.gov is a great resource to help determine whether you should seek international protection. The website features different tool-kits to educate business owners about intellectual property (IP) protection in various foreign countries. Also included are instructions for filing a compliant against international infringers.

Strategy Targeting Organized Piracy (STOP) is part of a government effort with a two part objective. The first part is to strengthen IP enforcement throughout the world. The second part is to prevent IP crime throughout the world. STOP, along with other government organizations, provide protection to domestic businesses by regulating U.S. boarders and preventing the importation of counterfeited products, for example.

For more information on international trademarks or patents, contact a trademark attorney who understand the need to work closely with IP counsel abroad.

February 3, 2010

IP Symposium: Intellectual Property Firestorm Meets Open Innovation 2.0

Caerus Institute of Open Innovation recently hosted a global summit on innovation, patents, and intellectual property. The event, "Intellectual Property Firestorm Meets Open Innovation 2.0", took place at the Illinois Institute of Technology in Chicago.

The summit brought together leaders from the intellectual property sector and the engineering industry to focus on methods of maximizing the value of mid- to large sized businesses. Experts discussed topics such as open innovation in action, open innovation 2.0, and the implications for intellectual property quality and quantity goals for high tech companies. Attendees also had an opportunity to network at a social/mixer when the conference concluded.

Open Innovation refers to the new idea that businesses can be more profitable by sharing information. Today, businesses are beginning to incorporate outside research and inventions with their own internal research. This is different from the traditional "closed innovation" model where businesses generally kept research and development information secret until market release. For instance, one of the principles of open innovation is working with smart people both inside your company and outside your company.

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February 2, 2010

Client Spotlight: Metro Diner

Congratulations to Metro Diner, a local restaurant in the historic San Marco neighborhood in Jacksonville, Florida! They have registered three trademarks with the State of Florida: their name, their logo, and their slogan, "Where The Locals Eat."

The logo, as you can see, is in the signature dark and light green colors. Their slogan is very apropos to their typical customers who crowd the diner for breakfast and lunch.

Protect your business identity--register your trademarks today. Contact a trademark and business attorney to help you through the process.

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February 1, 2010

Client Spotlight: Cuba Libre Bar

The Cuba Libre Bar

name and logo are now trademarks registered with the State of Florida. It is being used by Havana-Jax Café, a Latin-themed restaurant in Jacksonville, Florida, to identify its bar and nightclub.Contrary to common belief, registering a trademark with the State is not often as simple as filling out a form, writing a check for $87.50, and waiting for the Certificate of Registration. First, every line in the trademark application has legal significance. Every situation is different--NEVER copy the someone else's forms, even if their application was eventually approved for registration.

Second, the State may request additional information prior to making a decision. The State is seeking your legal argument in support of registration of your trademark. Your written reply must cite controlling case law, statutes, or both.

Third, if your application is rejected, your $87.50 filing fee (per class of goods/services your trademark will be identifying) is not refundable.

For help determining whether you have a trademark eligible for registration in your state, filing the application, and responding the the State, consult a trademark attorney.



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February 1, 2010

Non-Compete Agreements Across State Lines: Part 2 of 2

Not all states see non-competition agreements through the same eyes. Here in Florida, as long as the agreement's restrictions are reasonable, the contract is enforceable.

Some states are much stricter. For example, Texas and Georgia courts make it very difficult to enforce covenants not to compete.

Most notably, California totally voids non-compete agreements between employers and employees, pursuant to Cal. Bus. & Prof. Code § 16600-16607.

If you need a non-compete agreement drafted, or if you have questions about an existing agreement, first check the terms of the contract to see if it mentions the state in which disputes are to be brought. If the contract is silent on that issue, contact an attorney in the state where the parties signed the agreement, or where the breach occurred.

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February 1, 2010

Non-Compete Agreements Across State Lines: Part 1 of 2

Non-compete agreements (also called "non-competition agreements" or "covenants not to compete") are contracts wherein employers protect themselves from unfair competition, usually by former employees.

From my office in Jacksonville, Florida, there are times when a client will bring in one of these contracts, only to find out that the contract has to be enforced through the courts and laws of another state.

An excellent resource on where to begin when such an issue arises is to refer to Covenants Not To Compete, A State-by-State Survey (5th Ed.), Brian M. Malsberger, Ed. ABA Section of Labor & Employment Law (BNA Books 2006). Target.com writes a detailed description of the book.

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February 1, 2010

Tips for Renewing Your Florida Trademark Registration

So you're in business. You've registered your trademark, identifying the goods or services you're offering. Your business may be restricted to your city, or you may have customers/clients in big cities like Jacksonville or a small town like Palatka. In any event, one of the biggest mistakes my clients make is to file away their trademark's Certificate of Registration, and not give their trademark a second thought.

Florida Statute 495.071 prescribes the duration and renewal procedures for Florida trademarks. Here are some tips:

1. Registration expires 5 years from the date of registration.

2. Renewal can be filed as early as 6 months before the date of registration expiration.

3. Prepare a statement that your trademark is still in use in Florida, for the same class of goods or services as when you filed your registration.

4. Prepare to provide a specimen showing use of your mark in connection with those goods or services.

5. Set aside $87.50 (per class of goods & services) for the filing fee.

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January 31, 2010

My Seminar Presentation of "From Emblems to Empires"

I recently presented my seminar, "From Emblems to Empires: Using Trademarks to Promote, Protect, and Produce Business." The audience were the members of IMPACTJax, a young professionals' group that is part of the Jacksonville Regional Chamber of Commerce.

I discussed the importance of promoting a business name by building a brand name. The goodwill and reputation should then be protected through trademark or patent registration. Only then can defensive and offensive strategies have any teeth against potential infringers. Once a business achieves a level of success with those trademarked or patented assets, I explain why franchising the operation is among other options for expanding the business. In the alternative, for entrepreneurs interested in minimizing the risk of owning a business, I also discuss the advantages of buying a franchise.

Couldn't make it to the original presentation? Contact me to see when this seminar will be presented at a venue near you.

January 27, 2010

Do I Have to Register my Trademark?

If a distinct logo, name, or slogan is used to identify goods or services, the first one to use that trademark is entitled to ownership of that trademark. However, the rights associated with ownership of that mark are limited.

It is thus highly recommended to register the trademark. For a reasonable filing fee, registration offers many other benefits to the owner. Examples include the right to sue for infringement, and getting the clock ticking on the five-year wait before the trademark achieves an "incontestable" status.

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January 27, 2010

Registering a Trademark at the State, Federal, and International Levels

Whether offering goods or services at a local or world-wide level, registering a trademark is always recommended. So where should a business begin this process?

If doing business in only one state, then trademark registration should be done with the Department of State. This is true for small businesses and growing chains alike.

Once a business markets and promotes to consumers across state lines, it becomes eligible for federal trademark registration at the U.S. Patent & Trademark Office. This has been an integral step in business growth and franchising. However, it is recommended that the trademarks are also registered at the state level where the business is conducted. In the event that a competitor infringes upon that trademark, then remedies at both the state and federal level may be available.

Despite the fact that there is no such thing as an "international trademark," filing an application for a U.S. trademark can lay the foundation for applying for trademark registration in other countries. There are procedural requirments involved, so consultation with a trademark attorney is advised.

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January 27, 2010

The "Interstate Commerce" Requirement for Trademarks Registered at the USPTO

In order for your trademarks to be eligible for registration at the U.S. Patent & Trademark Office, your goods or services must be offered to consumers in more than one state. This is an easier endeavor for businesses with high visibility and high accessibility to the public, like restaurants, gas stations, hotels, etc. However, internet sales and marketing across state lines can qualify as doing "interstate commerce."

For businesses catering only to their home state, they ought to register their trademarks at the state level.

January 27, 2010

Why Register My Trademark?

While registering your trademark is not mandatory, registration offers many advantages. The following only scratch the surface at the benefits of trademark registration:

It gives notice to the public and to your competitors that you claim ownership of the trademark. An owner of a registered trademark is presumed to be the rightful owner, unless proven otherwise.

If someone else tries to use the same or a similar trademark, you can then assert your ownership rights. This can be accomplished by sending a cease and desist letter or filing a claim for infringement.

You can allow others to use your trademark by licensing the rights to use your trademarks. You can control the way your trademark is used: for particular purposes, in certain places, or for a given length of time. This strategy is fundamental in business growth, business development, and franchising.

Registration with the U.S. Patent & Trademark Office provides a basis for you to apply for trademark registration in other countries. On a related note, you can prevent infringing foreign goods from being imported.

January 26, 2010

Children of Martin Luther King Jr. Settle Lawsuit over Estate

Martin Luther King III, Bernice King and Dexter King are the children of slain civil rights leader, Martin Luther King Jr. The three continue to control their father's estate as a private corporation called King Inc. Recently, Martin III and Bernice King accused Dexter King of acting improperly as the head of their father's estate. They charge that he has shut them out of decisions about King Inc. and has not held a shareholder's meeting in over five years. The tension over the business has damaged their relationship.

Under the threat of a civil trial, which would have made certain personal and financial details about King Inc. public record, the three met recently to negotiate a settlement. After fourteen hours of discussion, they came to an agreement and will not be taking the case to a public jury trial.

Good estate planning can cut down on misunderstandings and help keep family ties strong. If you live in the Jacksonville, Florida area or North Florida and require assistance with estate planning, please contact our firm for estate planning legal counsel.

Read more about the disagreement among Martin Luther King Jr.'s heirs at King Siblings Settle Lawsuit Over Estate.

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January 26, 2010

Logos & Business Names: Filing Trademark Applications Separately

Businesses often use their business name to create a logo. Both the name and the logo are trademarks identifying goods and/or services. Should they be filed on the same trademark application?

No. Even if the logo is a stylistic version of the business name, if they can be used separately, they should each be filed on separate trademark applications. Filing an application for the logo protects only the graphic representation of the business name. To protect the business name itself, separate trademark registration will protect the use of that name, regardless of the font, color, or manner in which the business name is being presented.

January 25, 2010

Florida Consumers Beware; Are Generic Medications Really the Same as Brand Name?

Generic drugs can cost significantly less than their brand name counterparts. But are they really identical? The US Food and Drug Administration (FDA) has regulatory oversight to ensure that both generic and brand name drugs are safe and effective. US patents grant an inventor a twenty year right to manufacture and sell their patented medicine. After the patent expires, anyone can sell the drug, as long as they can prove to the FDA that it is "bioequivalent" to the brand name drug. But bioequivalent is not always the same as identical. In addition to the active ingredient of a medication, there are also the additions of inert components and coatings of the pill to consider. Each of these steps being carried out appropriately may be critical for the safety and efficacy of the final product.

The problem is that patents are crafted to reveal the least amount of trade secret information as possible. This means that a generic drug producer may, in part, have to guess how to manufacture the drug. There is growing evidence that variations in the manufacturing process of generic drugs could make them significantly less safe and effective than is commonly believed.

The best tactic for Florida consumers to protect themselves is to use brand name drugs if possible, and to discuss any generic substitutions with their doctor and pharmacist. Find out more about generic drugs versus brand name drugs at Generic Drugs: Caveat Emptor!

If you have a patent or trademark law matter you would like to discuss, please contact our Jacksonville, Florida area firm.

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January 25, 2010

Zoll Medical Corporation Reminds Customers to Check for Defective Batteries in Defibrillators

Defective batteries and a software glitch in defibrillators (AEDs) manufactured by Zoll Medical Corporation may raise a surprising  premises liability issue for owners of businesses who purchased the AED's  to provide additional protection for customers and employees experiencing heart problems while on the businesses premises. The Zoll Medical Corporation is now reminding AED purchasers who may not have taken advantage of the company's voluntary corrective action in April of 2009 that they need to run a software upgrade to ensure the devices are working properly. Business owners should do so immediately, as lives are at stake.

The Zoll product in question is the AED Plus automated external defibrillator. Batteries in some of these devices are defective, and the software that is supposed to detect the battery failure may not be working properly either. Defibrillators older than three years are the most likely to fail. Affected products will carry a serial number of "X_ _ _200000" or lower. The software patch is available on the company's website. Users should also send Zoll an acknowledgment that the corrective action has been implemented. This is an important step for business owners as the "confirmation of corrective action" could be an important element in avoiding liability in the case of a subsequent AED failure. It would  also permit  Zoll to ensure that all defective defibrillators have been updated.

Three devices have been reported to have failed due to the problem, and two patients died when they were unable to receive the defibrillation shock. Find out more about the defective defibrillators at Zoll reminds on AED battery issue.

If you are dealing with a product liability or premises liability issue, please contact our firm for business law counsel.

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January 25, 2010

Tips for Florida Retailers to Reduce Holiday Returns

The weeks between Thanksgiving and Christmas are the most profitable weeks of the year for most retailers. But keeping those profits come January first can be a challenge, as recipients rush to return unwanted gifts. The gifts most likely to be returned? Products like consumer electronics that require complex assembly. But research shows that the majority of returns are preventable.

The following are four easy steps that can help decrease returns and increase customer satisfaction this holiday season.

  1. Manage expectations: Providing appropriate pre-sales support will help consumers understand what is involved with getting a gift up and running. Providing an area where customers can share product reviews is a great way for customers to educate themselves.
  2. Give great customer support: The main reason recipients return gifts is that they can't figure out how to set them up. Providing round the clock support can help these folks get their gifts put together and keep them out of the returns line.
  3. Contact the customer: Contacting the customer after the sale gives them an opportunity to express dissatisfaction and get direct access to help. That helps build customer loyalty.
  4. Give good directions: Clearly describing what pieces should be included in the box and how they all go together is essential. Providing video instructions improves consumers' set up experience. Customers prefer video instructions to written guides, customer service reps and 1-800 numbers. Good video directions can reduce returns by as much as thirty percent.

Find out more about cutting back on holiday returns at 'Tis the Season to be Grumpy: Holiday Returns are the Grinch That Stole Profits.

If you run a Florida retail business, it is your responsibility to know consumer laws regarding gift returns. Please contact our Jacksonville, Florida area law firm for business law counsel.

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January 16, 2010

Wake Up Call: New Technology Fights Driver Fatigue

Effective Control Transport, a Montreal-based company, has developed a new system called Driver's Mate that monitors a driver's level of alertness and takes corrective action if it falls below a predetermined baseline level. The device mounts onto a dashboard and may be retrofitted onto virtually any type of vehicle.

Driver's Mate uses a camera to monitor 534 points on the driver's face and rates his or her condition on a scale of completely alert to technically asleep. If the system detects that the driver is not paying a safe level of attention, it will sound off an alarm and will also contact a dispatcher.

As a Traffic Court Magistrate, I appreciate any new technology that makes our roads safer! The problem of drivers falling asleep behind the wheel is huge but it sometimes gets lost behind drunk driving and driving while texting. Unfortunately, the National Highway Traffic Safety Administration estimates that 56,000 crashes every year are caused by sleepy drivers. We all need to take active steps to cut down on accidents that are so avoidable!

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