Building or remodeling a home often leads to disputes between homeowners and their builders over the quality of workmanship, cost increases or the timeliness of performance. In those instances, it sometimes turns out that the builder failed to obtain a residential builder’s license, as required by Michigan’s Occupational Code. In such cases, MCL 339.2412(1) of the Occupational Code bars the...
While business is flourishing across resurgent metro markets nationwide, change invariably brings with it a certain degree of turmoil. From minor growing pains to more profound professional conflicts, some companies are more equipped to handle success, and challenges, than others.
When it comes to setting up business partnerships or handling business partner disputes, it is critically...
Attorneys who draft contracts regularly insert forum selection clauses into them that require the parties to litigate their disputes in certain locations. Attorneys who litigate breach of contract claims regularly turn to those clauses before filing suit to determine the proper venue in which to file their claims. But a word to the wise – if you draft or rely on a forum selection clause,...
A prospective client tells you he invented a new technology and entered into a licensing agreement with a company that wished to commercially exploit the technology. Shortly after signing the licensing agreement, the licensee set up a foreign company that immediately started manufacturing and selling products using your prospective client’s proprietary technology in violation of the licensing...
Suppose you represent a minority member of a limited liability company who believes that the majority member (who is also the managing member) had the company enter into a series of transactions that enriched herself at the expense of your client. Your client also tells you that he sustained the damages earlier this year, even though the transactions at issue took place over three years ago....
The Michigan Court of Appeals, in a recent published decision, reaffirmed the principle that a personal guaranty of a loan is a separate and distinct contract from the loan itself with separate and distinct remedies. So, just because a lender has sued a borrower and guarantor, does not mean that the lender has to ask the court for all of the relief that the lender may be entitled to in that...
Litigation over promissory notes and related loan documents tends to be formulaic. Frequently, a borrower in clear default of some of the material terms of those documents (usually the obligation to repay the money borrowed) will tell his or her attorney that the loan documents were signed in reliance on a variety of representations the lender has since ignored or repudiated, giving rise to...
Last month, we started discussing a scenario involving a plaintiff with a judgment against the now defunct Darn Debtor, Inc. (“Debtor”). The judgment debtor’s majority shareholder, Ina Insider (“Insider”), received cash and equipment from Debtor when it liquidated its assets. The plaintiff has decided to bring a claim against Insider under MCL 566.35(2) of the Michigan Uniform Fraudulent...
As the use of Business Court expands, the issue of their jurisdiction continues to play out between those courts and practitioners. In a previous blog update, we discussed how Business Courts were taking supplemental jurisdiction over claims that were not, standing alone, Business Court claims. We are now seeing business courts doing the same with claims and parties that are not, standing...
So you have finally triumphed after a long legal battle and obtained a judgment in favor of your client against the defendant Darn Debtor, Inc. (“Debtor”). However, no sooner do you have your judgment then the defendant’s counsel informs you that their client is judgment proof and won’t even bother with an appeal. What is likely to happen next?
The plaintiff’s attorney will very likely conduct...