Share Options

15/12/2012

Share options are also known as employee stock options and they are, simply put, shares given to employees as part of their remuneration package. This is a popular practice as it incentivises employees to do well because an increase in the company’s performance will obviously lead to an increase in the company’s share price and READ MORE

Shareholders Agreements & deadlock issues

12/12/2012

Shareholder deadlock When it comes to shareholders agreements, there are two types of clients, those that have them and those that don’t! Most clients in small businesses don’t want a shareholders agreement which becomes excessively complicated or which seeks to deal with every possible contingency. There is a balance to be struck with what’s obviously READ MORE

Arm’s length transactions

09/12/2012

In order for a transaction to be considered at “arm’s-length”, there is a requirement that the involved parties are independent in nature and equal. When looking at “arms-length transactions” specifically in relation to contractual agreements, it is vital that different parties in an agreement maintain this independence. It may be the case that both parties READ MORE

Shareholder Disputes – Flat Management Companies

27/11/2012

Over the past couple of years I have noticed a marked increase in the amount of shareholders disputes on which we are being asked to advise. Shareholders disputes are very rarely black and white and often with private limited companies, personality clashes and family relationships need to be taken into account. A large number of READ MORE

Contract tips and terms and conditions of trading

27/11/2012

Trading terms and conditions Why does a business need terms and conditions and trading? It is a good idea to have separate terms and conditions of trading – one set for your customers and one set for your suppliers.  Drafting your own terms and conditions will allow you to limit your liability, state your position READ MORE

The importance of understanding a clients business

27/11/2012

Research clearly shows that it’s important to clients that solicitors make the effort to understand their businesses. There is a simple reason for this – if you don’t understand the commercial drivers behind a client seeking legal advice, it’s unlikely you can do more than advise on the law which is often only a part READ MORE

Common European Sales law – about time

31/10/2012

In the UK, there is an ongoing and interesting debate about the deluge of EU law which impacts and. many would say, unecessarily interferes with and complicates our own laws. Good examples of this relate to Human Rights laws and employment laws. Conversely, whilst there is a free market in the EU, commercial laws to READ MORE

Condition precedent – what, why, when ?

14/10/2012

Definition A condition that must be fulfilled before a second event can take place – “Precedent” means that it must come first or before some other act before a Contract can be fulfilled and both parties are required to fully comply with their obligations. Condition precedents usually apply in business contracts but the legal principle READ MORE

Pre-emption rights for shares

10/10/2012

A pre emption right in its most basic form is the right for an existing shareholder of a company to either exercise its rights in relation to an issue of new shares or purchase shares from an out going shareholder. Pre-emption rights are often expressed to be in relation to the percentage of shares already READ MORE

Dividends – knowing the law will pay dividends

08/10/2012

Dividends are a vital aspect of company law and an essential part of many investments in small and in some cases very big companies. Payment of dividends is the main mechanism whereby shareholders get an annual return on their investment. However, there are many complexities with dividends, both from a  legal and accounting perspective. The READ MORE