Understanding the Rights of General Contractors and Subcontractors in Michigan

In today’s challenging and competitive economy, it’s more important than ever that general contractors and subcontractors know and understand their rights and responsibilities to ensure successful projects. The following are issues that any successful general contractor and subcontractor should review:

·    What’s the structure of your company (corporation or limited liability company) and are the appropriate governing documents prepared and/or updated, such as operating agreements and by-laws?

·      Have you filed yearly annual reports with the State of Michigan and designated a registered agent with the State?

·     Are you and your company appropriately licensed? For residential builders, the company must be licensed through a qualifying officer. 

·      For residential projects, are you performing the work of a written contract with the homeowner that clearly describes the scope of work and price that also contains your residential builders license number and certain other language required by the Michigan Construction Lien Act? 

·      If you don’t have a direct contract with the project owner, are you providing the owner with a notice of furnishing within 20 days of commencing work to protect your lien rights?

Learn more about understanding the rights of general contractors here.

Get Started Today: Schedule Your Consultation!

 

For more information or to speak to a construction lawyer in Ann Arbor, Michigan, please contact Matthew Jane at 734-665-4441 or fill out our contact form.

How Can We Help with Business Analysis?

You should think of business analysis as a tool to aid strategic decisions and direction, understand and improve your business operational and financial position, set financial or bottom-line objectives, and facilitate organizational efficiency and effectiveness. 

Seeking business solutions from a professional can help shed light on new perspectives you may not have considered. PSED’s business consultants can help you reach your goals of having a successful growing business and help you solve problems along the way.

PSED’s Business Consulting Services include:

§  Financial Analysis and Forecasting

§  Cash Flow Analysis

§  Budgeting

§  Accounting and Bookkeeping

§  Internal Controls Analysis 

§  Capital Asset Decisions

§  Operations Analysis and Restructuring

§  Strategic Planning 

Learn more about business consulting services in Ann Arbor here.

Need to File for Chapter 7 Bankruptcy in Ann Arbor, Michigan?

“A chapter 7 bankruptcy case doesn’t involve the filing of a plan of repayment as in chapter 13. Instead, the bankruptcy trustee gathers and sells the debtor's nonexempt assets and uses the proceeds to pay creditors in accordance with the Bankruptcy Code. Part of the debtor's property may be subject to liens and mortgages that pledge the property to other creditors. The Bankruptcy Code will allow the debtor to keep certain "exempt" property; but a trustee will liquidate the debtor's remaining assets. Accordingly, potential debtors should realize that the filing of a petition under chapter 7 may result in the loss of property.”

Still have questions about how chapter 7 bankruptcy filings work in Michigan? Read more about filing for bankruptcy on our website.

Want to file for Bankruptcy? Contact a Business Attorney in Ann Arbor to Help You!

If you need help filing for bankruptcy, consult a bankruptcy attorney in Ann Arbor for a free consultation on whether you qualify. (734) 665-4441

Need to File for Chapter 13 Bankruptcy in Ann Arbor, Michigan?

“A chapter 13 bankruptcy is called a wage earner's plan. It enables individuals with regular income to develop a plan to repay all or part of their debts. Under chapter 13, debtors propose a repayment plan to make installments to creditors over three to five years. If the debtor's current monthly income is less than the applicable state median, the plan will be for three years unless the court approves a longer period "for cause." (1) If the debtor's current monthly income is greater than the applicable state median, the plan generally must be for five years. In no case may a plan provide for payments over a period longer than five years. 11 U.S.C. § 1322(d). During this time the law forbids creditors from starting or continuing collection efforts.”

Still have questions about how chapter 13 bankruptcy filings work in Michigan? Read more about filing for bankruptcy on our website.

Want to file for Bankruptcy? Contact a Business Attorney in Ann Arbor to Help You!

If you need help filing for bankruptcy, consult a bankruptcy attorney in Ann Arbor for a free consultation on whether you qualify. (734) 665-4441

What You Need to Know About Bitcoin

Bitcoin volatility is driven in large part by varying perceptions of the value of the cryptocurrency. Bitcoin.org gives this warning, “The price of a bitcoin can unpredictably increase or decrease over a short time due to its young economy, novel nature, and sometimes illiquid markets. Consequently, keeping your savings with Bitcoin is not recommended at this point.”

One of the initial attractions of bitcoin was that it seemed anonymous. However, the United States government has announced in recent weeks that ransomware, which can involve bitcoin, is an urgent national security threat. Ransomware occurs when an actor locks a victim’s data with encryption until a ransom demand is met for their release, typically with digital currency like bitcoin. Bitcoin accounts for approximately 98% of ransomware payments. 

Learn more here!

Get Started Today: Schedule Your Consultation!

If you’re interested in learning more about bitcoin and how it could affect your business,  please call Edwin Pear, Ann Arbor business attorney at 734-665-4441 or email him at epear@psedlaw.com.

Bitcoin 101

Bitcoin was the first example of cryptocurrency. Cryptocurrencies are an entirely digital currency, and bitcoins aren’t printed but are produced by computers and held electronically.  Bitcoin allows for a minimal amount or even no trust between the parties in the transaction. Bitcoin stores transactions through a blockchain, which is a specific type of database that stores every transaction ever made. Bitcoin calls the blockchain a “shared public ledger.”

Bitcoin is open-source; its design is public; nobody owns or controls bitcoin and everyone can take part. Bitcoin is legal and can be spent on anything. Many major companies accept bitcoin, including PayPal, Starbucks, and Etsy. 

Bitcoin is a relatively new type of currency, with many potential but unproven applications in the future. It is under increased scrutiny from regulators, and this is likely to continue as Bitcoin grows. Learn more here!

Get Started Today: Schedule Your Consultation!

If you’re interested in learning more about bitcoin and how it could affect your business,  please call Edwin Pear, Ann Arbor business attorney at 734-665-4441 or email him at epear@psedlaw.com.

Are Employee Non-Compete Agreements Enforceable in Michigan?

Employers commonly condition the hire of a new employee on their willingness to agree in writing that after leaving the job, he or she will not engage in another job or a business that is competitive with the employer’s business. While such a commitment may appear to someone who is unemployed to be no big deal, that’s normally not the case. Being subject to such an agreement after one’s employment ends, is likely to create unexpected concerns for both employee and employer. In light of today’s tight job market, a terminated employee, with limited job skills and experience, may suddenly find himself with few, if any, employment opportunities. Because of a number of legal limitations on a former employer’s ability to enforce a non-compete agreement, employers attempting to do so may find themselves entrenched in costly and unpredictable litigation.

Learn more here!

Have questions regarding employment or labor law issues? Contact PSED, schedule an initial consultation with a employment law attorneys in Ann Arbor! 734-665-4441

Register Your Trademark with Help from Experienced Business Attorneys

Any individual or business can file an application with the United State Patent and Trademark Office (“USPTO”) to register its trademark and seek protection for the exclusive right to use its trademark in commerce. The registration of a trademark also prevents others from infringing upon your trademark and freely benefiting from your success in attracting business. The USPTO has a very strict examination process before it will approve registration of a trademark. Learn more here!

Have questions about your trademark rights? What does this mean for your business? Contact PSED, schedule an initial consultation with a business attorney in Ann Arbor! 734-665-4441

Protect Your Hard Work with a Trademark

Sometimes it takes a lot of time and resources to develop a unique and successful advertising scheme. Whether your business is best known for its name, logo, or catchy phrase, a business should safeguard its hard work and intellectual property. 

Have questions about your trademark rights? What does this mean for your business? Contact PSED, schedule an initial consultation with a business attorney in Ann Arbor! 734-665-4441

Michigan Governors Emergency Powers Are Limited

In a 4-3 decision issued on October 2, 2020, the Michigan Supreme Court limited Governor Whitmer’s authority to impose emergency regulations to deal with the COVID‑19 pandemic. 

It is important to note that whether one agrees or disagrees with the result reached by the Court, or with the specific reasoning with any of the justices’ separate opinions, the Court’s October 2nd decision doesn’t necessarily limit the ability of state agencies other than the Governor (for example, the Department of Health and Human Services) to issue regulations dealing with the COVID crisis. Learn more here!

Have questions about your rights? What does this mean for our business? Contact PSED, schedule an initial consultation with a business attorney in Ann Arbor! 734-665-4441

Michigan Supreme Court Limits Governor’s Emergency Powers

In a 4-3 decision issued on October 2, 2020, the Michigan Supreme Court limited Governor Whitmer’s authority to impose emergency regulations to deal with the COVID‑19 pandemic. 

The Governor had declared states of emergency under two statutes, the Emergency Powers of the Governor Act of 1945 (the EPGA) and the Emergency Management Act of 1976 (the EMA). Learn more here.

Have questions about your rights? What does this mean for our business? Contact PSED, schedule an initial consultation with a business attorney in Ann Arbor! 734-665-4441

Everything You Need to Know About Limited Liability Company and Subchapter S Corporation

Both entities are created under the laws of the State of Michigan. Articles of Organization are filed to create an LLC; the end of its name must use “LLC.” Articles of Incorporation are filed to create a Corporation; the end of its name must use “Inc.” or “Corp.” Please note that a Michigan Corporation becomes an S Corp when it files an election for tax status with the IRS.

Owners of an LLC are called “members” whereas owners of S Corp are called “shareholders.” Members can choose to manage the LLC themselves. On the other hand, shareholders must elect a board of directors, who then choose the officers to manage the S Corp. The shareholders can elect themselves to the board and then choose to become the officers of the S Corp.

Learn more here!

If you’re interested in learning more about business law or whether LLC or S Corp is best for your new business, please call Marty Bodnar at 734-665-4441 or email him at mbodnar@psedlaw.com. 

Starting a Business? How to Choose Between Limited Liability Company and Subchapter S Corporation

People often contact PSED to start a business after a career in corporate America. Usually, these people just want to keep it simple and want an entity that will have limited liability, meaning that creditors can’t go after their personal assets but can only go after the assets of the new entity.

The two types of legal entity that offer simplicity along with limited liability are Limited Liability Companies (“LLC”) and Subchapter S Corporations (“S Corp”). 

Learn more!

For more information or to speak with us about your legal issue or business law questions, please contact us in Ann Arbor at 734-665-4441. To learn more about Pear Sperling Eggan & Daniels, P.C., or any of our attorneys, please visit us at www.psedlaw.com.

What Are the Payroll Protection Program Rules on Payroll?

The Application confirms the PPP rules on payroll. Payroll includes cash compensation, employer contributions for group health insurance and retirement plans, and state and local taxes assessed on employee compensation. Under PPP rules and the Application, payroll doesn’t include compensation in excess of $100,000, qualified sick leave under the Families First Coronavirus Response Act or federal income taxes and FICA withheld from an employee. 

Learn more!

Have Questions About the Payroll Protection Program?

If you have questions about the Payroll Protections Program legislation, or need advice about your business, please contact us today at (734) 665-4441. 

What Are the Payroll Protection Program Loan Forgiveness Rules?

The Application confirms the public rules on PPP forgiveness. Loan forgiveness depends on how the loan proceeds are spent over an 8-week period. To qualify for forgiveness of the entire PPP loan, at least 75% of it must be spent on payroll, while up to the remaining 25% of it must be spent on mortgage interest, rent, and utility payments incurred before February 15, 2020.

Read more here!

Have Questions About the Payroll Protection Program?

If you have questions about the Payroll Protections Program legislation, or need advice about your business, please contact us today at (734) 665-4441.