The corporate veil doctrine serves as a judicial remedy rather than a standalone cause of action, allowing courts to look beyond the corporate form when necessary to prevent fraud or achieve equity.

In February 2025, the United States Supreme Court issued a landmark ruling in Dewberry Group, Inc. v. Dewberry Engineers Inc., clarifying the boundaries of liability for corporate affiliates in trademark infringement cases under the Lanham Act. The decision, which reversed a $43 million disgorgement award against Dewberry Group that included the profits of its affiliated companies, has sent ripples through the corporate, intellectual property, and M&A legal communities.

When structuring a business, asset protection is a critical consideration. Many entrepreneurs mistakenly assume that electing S-Corp status for their corporation provides the same liability safeguards as forming an LLC. However, a key distinction lies in charging orders - a legal remedy that determines whether creditors can seize ownership or control of your business.

Tag along rights are crucial contractual protections designed to safeguard minority shareholders in private companies. These rights ensure that if majority shareholders decide to sell their stake, minority holders can “tag along” and sell their shares on the same terms and conditions.

Drag along rights are, at their core, a mechanism to prevent minority shareholders or members from obstructing a sale of the company that the majority wants to pursue.

A frequent misunderstanding is that “LLCs cannot own S corporations.” In reality, the rule is that entities taxed as partnerships or corporations cannot be S corporation shareholders. A single-member LLC, if disregarded for tax purposes and owned by an individual or other eligible person, is not treated as a separate entity and thus does not violate the rule.

A typical buyout provision specifies the triggering events that require or permit a buyout, such as voluntary withdrawal, death, disability, or expulsion for cause. It also outlines who has the right or obligation to purchase the departing owner’s interest, often the company itself or the remaining owners, and the method for valuing that interest, which may be based on book value, fair market value, or an independent appraisal.

If you choose to form a Limited Liability Company (LLC), drafting an operating agreement is one of the most critical steps.

Starting a business is an exhilarating journey filled with opportunities and challenges.

When starting a limited liability company (LLC), one of the key foundational documents to put in place is an operating agreement.

Limited Liability Companies (LLCs) play a crucial role in the business world by offering a combination of limited liability protection, pass

Learn how to start an LLC in North Carolina by following these steps. From choosing a name to obtaining an EIN, this guide has you covered.