Blogging and the Workplace
October 30, 2006
Blogs can reach millions of readers long before the employer learns about a potentially worrisome posting. No laws specifically regulate blogging per se, and there's virtually no guiding case law. And so, employers must look elsewhere for guidance on balancing employees' interest in life away from work and ensuring that employees' blogging doesn't damage business interests; that elsewhere is a new destination on the company document roster: a blogging policy.
Exploring Alternatives to the Franchise Model
October 30, 2006
We have all run into a situation where an existing or potential client has outlined a deal management wants to do (or, in some cases, has already done), which meets the legal definition of a franchise, but the client is adamant about avoiding the real or perceived burdens of being deemed a franchisor. Establishing a franchise system may require, among other things, compliance with franchise sales laws, public disclosure of financial statements, observing contractual limitations imposed by franchise relationship laws, and enduring the public image of being a franchise. There are a variety of distribution models other than franchising available to clients for structuring envisioned expansion. However, if certain elements are involved in the proposed transaction, creation of a franchise system may become legally necessary. This article addresses the issues practitioners face in advising clients in these scenarios and explores some of the various alternatives to the franchise model and exemptions from franchise disclosure law that are available to your clients.
New Chief At the CEO's Roundtable
October 30, 2006
Recent reports of criminal investigations, indictments and resignations of high-ranking company personnel coming out of the Hewlett-Packard boardroom remind us that, even after the scandals of the 1990s and the host of new laws, regulations and internal corporate practices that followed, bad things can happen at good companies. Among other things, the saga at HP reinforces the need for an independent compliance and ethics function at all publicly traded corporations. What follows is a proposal to create such a function by improving on the considerable advances in this area made by U.S. companies over the past several years. The foundation for this proposal is this: Ethical and compliance issues are best addressed by corporate officers who are organizationally, physically and financially independent from those of their colleagues who might be subject of their investigatory and reporting work.
Lessons from Purdue: Patent Practitioner Tips for Avoiding Inequitable Conduct Claims
October 27, 2006
<i>'It has now been surprisingly discovered ' '</i>With these words in Purdue Pharma's U.S. Patent Nos. 5,656,295, 5,508,042 and 5,549,912, Endo Pharmaceuticals asserted a basis to challenge the enforceability of Purdue's controlled-release oxycodone formulations due to inequitable conduct. <i>Purdue Pharma L.P. v. Endo Pharms., Inc.</i>, 438 F.3d 1123 (Fed. Cir. 2006).
Multiple Joint Infringers of Process Claims: How Close Is Close Enough?
September 29, 2006
Typically, in an action concerning infringement of a process patent, the activities of an individual party are alleged to infringe one or more of the process patent claims. Under certain circumstances, however, the combined activities of two or more parties may constitute infringement of a process patent claim. Often, courts analyze these situations by determining if 'some connection' exists between the parties whose activities are being combined. This standard, in our view, ultimately defines more activities as infringing than is warranted. A more appropriate standard would be a 'working in concert' standard.
To PC or Not to PC
September 29, 2006
Some partners in multi-state partnerships have recently rediscovered the benefits of becoming a professional corporation (PC) partner in their law firms, primarily to obtain state income tax savings. Where the advantages outweigh the disadvantages, some firms have accommodated (and in some cases, encouraged) some of their partners to consider this alternative. A by-product of the influx of PC partners is that a number of multi-state law firms will consist of both incorporated and unincorporated partners, and partnership agreements must be reviewed (and in some cases amended) to accommodate this arrangement and deal with ancillary consequences.
Blogging and the Workplace
September 29, 2006
You may not know about it, but it is happening: At least one, and probably more, of your business' employees has entered the 'blogosphere.' The world of blogs, or interactive diaries posted on the Internet, has expanded exponentially over the past 3 years, and 'bloggers' cannot seem to resist the urge to talk about their jobs. These sometimes quasi-journalistic postings raise a host of concerns for employers, such as protecting a hard-won public image, safeguarding confidential information, and preventing defamation of managers and co-workers. Such concerns arise because blogs can reach millions of readers long before the employer even learns about the posting. No laws specifically regulate 'blogging,' and there is virtually no case law to provide guidance. Consequently, employers need to look elsewhere for guidance on the balance between their employees' interest in having a life away from work and ensuring that employees' activities in the blogosphere do not damage business interests ' a blogging policy.
How the Internet Exposes You to Risk
September 29, 2006
The advent of the Internet has provided businesses with a wealth of previously unavailable resources. Companies may now use electronic tools to communicate instantaneously with customers and associates around the globe. These improvements in sharing information, however, have not come without costs, and today's businesses must be aware of the risks involved in using these technologies. This article, the first in a two-part series, contains an overview of some common risks inherent in Internet use and closes with a discussion of how those risks might affect litigation.
Conflict of Laws And Insurance Disputes: Choice of Law or Choice of Outcomes?
September 29, 2006
Most insurance policies are silent as to which state's substantive law governs their terms. As a result, insurance-coverage lawyers often find ourselves wading deep into the world of choice of law and conflict of laws. Conflicts issues are (largely) untethered from the merits of a case, yet can be outcome determinative; so it is crucial to understand and focus on choice-of-law principles in com-plex insurance disputes, as they can yield the application of different state laws within a single case to issues of contract formation, performance, and bad faith.
Is Defective Workmanship an 'Occurrence'? The Jurisdictional Split Examined
September 29, 2006
Under the terms of a standard Commercial General Liability ('CGL') policy, an insurance company must defend and indemnify its insured for claims of property damage (or bodily injury) resulting from an 'occurrence' subject to certain enumerated policy exclusions. An 'occurrence' is typically defined as 'an accident, including continuous or repeated exposure to substantially the same general harmful conditions.' CGL policies do not define the term 'accident' and, consequently, the term has prompted substantial litigation. <i>See State Farm Fire & Cas. Co. v. CTC Dev. Corp.</i>, 720 So. 2d 1072, 1075 (Fla. 1998) (stating that 'few insurance policy terms have provoked more controversy in litigation than the word 'accident''). At the heart of the litigation is the parties' disagreement over what constitutes accidental damage.