Construction

2007 Construction Law Legislative Changes
Every year, existing laws are amended and new laws go into effect. The following legislative changes in the field of construction law may affect your business or be of general interest to you and your company: Design Professional Agreements Indemnifying Public Agencies From Liability Are Now Void

Newly enacted California Civil Code § 2782.8 prohibits indemnification by design professionals of public agencies from liability except for claims that arise out of, pertain to, or relate to the negligence, recklessness, or willful misconduct of the design professional.

Civil Litigation

CCP §998 Offer:  A Settlement Offer with Strings Attached
For those of you who have been involved in litigation or arbitration, you may be aware of a legal tactic known to lawyers as a “CCP 998 Offer.”  If you are not, it is a statutory compromise offer which can be used strategically to force settlement of a case or effectively change its outcome.  This article discusses the purpose of a CCP §998 Offer and how it works.

From Your Inbox to the Jurybox:
Today's Email Could Become Tomorrow's Litigation Nightmare
Many people in business do not keep in mind that their emails create a permanent written record that can be obtained and used in a lawsuit against them or their company. They tend to treat their emails as private, "off-the-record" communications of little consequence, only to find out that those emails can be obtained and interpreted by lawyers suing the company as key evidence of admissions, breach of contract, tortious wrongdoing or improper motive.

Employment Law Practice

New I-9 Form
The federal government created a new I-9 form which employers are required to use for all new employees hired after December 26, 2007. Employers need not have current employees complete the new form unless re-verification is required.

Give 'em a Break: Why Employers Must Reassess Meal and Rest Period Policies Following Murphy v. Kenneth Cole
The California Labor Code provides that all employers, no matter how small, must provide unpaid meal periods and paid rest breaks in accordance with the applicable Industrial Welfare Commission Wage Order.

Wills, Trusts and Probate

Limited Liability Company - Cutting Edge Estate Planning
A family Limited Liability Company has great potential as an estate planning device to 
reduce the Federal Estate and Gift Tax by as much as 40%.  Although most people hear about Family Limited Partnerships (“FLPs”), a Limited Liability Company (“LLC”) may actually be the better choice.

Estate Planning - Frequently Asked Questions
What is estate planning?
Estate planning is the process of addressing the possibility of your mental and physical incapacity and the inevitability of death and taxes.  By planning your estate, you can provide financial protection to your beneficiaries by ensuring that any and all taxes are minimized and that your wealth will be transferred to your beneficiaries in the most efficient manner you desire.

How to Hold Title to Real Property
The most common advice on how a married couple should hold title to their home or other real property is to hold title as “joint tenancy”.  This advice, often given so the couple can avoid Probate, fails to consider important tax considerations.  As of July 1, 2001, people are given a new choice and can hold title as “community property with rights of survivorship”.

Charitable Remainder Trusts
A charitable remainder trust (hereinafter “CRT”) permits an individual (the donor) to defer the income tax on the sale of appreciated property, diversify his or her investments and obtain an income tax deduction while making a charitable gift.

The Life Insurance Trust
The need for life insurance in the case of a couple with children is obvious.  If the family breadwinner dies prematurely, the life insurance proceeds will be available to support the family, and if both parents die, the insurance is there to support their children.

Tax Free Gifts to Children & the Crummey Trust
The best estate tax planning technique is to give away assets during life.  The Federal Government will tax any and all property given during life or transferred at death.  However, there are a few important tax exemptions that can be used to avoid tax. 

How to Make Tax Free Gifts to Children - The best estate tax planning technique is to give away assets while you are living. This article explains the various ways to gift property and save taxes by comparing the Crummey Trust, outright tax free gifts to educational and medical providers, custodianship accounts and the IRS Code Section 2503(c) trust.

A Life Insurance Trust - A Life Insurance Trust can ensure tremendous estate tax savings by enabling life insurance proceeds to pass to your dependents or other beneficiaries completely estate tax free. This will provide your beneficiaries with the maximum financial security originally desired without reduction through taxes.

Why Everyone Should Have An Estate Plan - A brief discussion of the purposes of an estate plan through an example of a married couple with two minor children.

The Qualified Personal Residence Trust - A Qualified Personal Residence Trust ("QPRT") is an estate planning technique that can save hundreds of thousands of dollars in estate and gift taxes. Through the use of a QPRT, a person can make a gift of a residence or vacation home and retain the right to live or use the residence for a number of years. This retained right reduces the value of the gift and substantially decreases the donor's estate and gift tax, which can be as high as 55% of the value of the property.