Follow Up On Successor Liability Under Texas Tax Code – Sale of a Business

Follow Up On Successor Liability Under Texas Tax Code - Sale of a Business

As a follow up to my blog on successor liability, there are further considerations regarding what a “successor” entails. For quick context, my previous blog on successor liability discussed § 111.020 of the Texas Tax Code (“Tax Code”), explaining that when a buyer purchases a business or stock of goods, any pending tax obligations of…

Tips to Keep in Mind When Considering a Non-Competition Covenant

Tips to Keep in Mind When Considering a Non-Competition Covenant

Many employment and service contracts contain covenants not to compete so that businesses can have some assurance that their valuable employees or contractors, upon separation, do not dilute the businesses’ marketability in their established area. However, noncompetition language is not enforceable simply by virtue of being in a contract. It must follow applicable laws to…

What is the Unauthorized Practice of Law

What is the Unauthorized Practice of Law

What is the Unauthorized Practice of Law? Texas’ statutes prohibit people from “practicing law” when unauthorized and even provide penalties for doing so. But what does it mean to violate these statutes and possibly open oneself up to legal penalties for such conduct? Texas Government Code Section 81.101 This statute reads in part: (a)  In…

What Qualifies as a “Rule” Under Texas Administrative Law?

What Qualifies as a “Rule” Under Texas Administrative Law?

Texas state agencies have a great deal of authority over governmental executive and licensing decisions across the state, including such ubiquitous activities as the issuance of drivers licenses and the regulation of multiple licensed professionals, such as doctors, attorneys, nurses, hairdressers, insurance agents, electricians, and plumbers. How are state agencies defined? Texas Government Code Section…

Differences Between Statutory and Constitutional Liens in Texas

Statutory and Constitutional Liens in Texas DW Law

Statutory Lien Texas Property Code Chapter 53 defines who is entitled to a lien for labor and materials improving properties like homes, buildings, fixtures, improvements, and certain other lands. These people include: laborers, materials fabricators, suppliers, architects, engineers, surveyors, landscapers, and demolition services. Even if you’re in one of these categories, however, filing a lien…

Three More Affirmative Defenses to a Breach of Contract Suit

Three More Affirmative Defenses to a Breach of Contract Suit

What’s an affirmative defense? When a party files a lawsuit for damages, they set forth factual and legal allegations as to how they were wronged by the defendant. In answering the suit, the defendant will deny the allegations, and in some cases, the defendant will also assert affirmative defenses whereby he sets forth his own…

The Significance of Intent in Civil Litigation

The Issue of Intent in Civil Litigation

In criminal law, when determining the question of guilt or innocence, the question of “mens rea,” or whether a person had a “guilty mind” is critical. Similarly, in civil litigation, a party’s state of mind can be a deciding factor as to the question of liability and damages. How Mental States Relate to Punitive Damages…

The Role of Consideration in Contracts

The Role of Consideration in Contracts

In contractual disputes, a basic question that often arises is whether or not a contract was even formed among the disputing parties. To show that a contract was indeed entered, a person must show that the contract’s formation met certain conditions. The three elements of a contract are: offer, acceptance, and consideration What is Consideration?…

Three Affirmative Defenses to a Breach of Contract Suit

Three Affirmative Defenses to a Breach of Contract Suit

What is an affirmative defense? When a party files a lawsuit for damages, they set forth factual and legal allegations as to how they were wronged by the named defendant. Naturally, in answering the suit, the defendant will deny the allegations made by the plaintiff. In some cases, the defendant will also assert affirmative defenses…