Business expenses are the operating costs of a business. Whether a given cost qualifies as a business expense is relevant because business expenses are tax deductible while other forms of expenses are not. To qualify as a business expense,...
business organizations
business judgment rule
The business judgment rule provides a director of a corporation immunity from liability when a plaintiff sues on grounds that the director violated the duty of care to the corporation so long as the director’s actions fall within the...
business record exception
Business records exception is a statutory exception to the rule against hearsay in Federal and most state courts. The exception allows parties to enter regularly compiled records within an organization that meet a certain level of...
business records exception
Business records exception is a statutory exception to the rule against hearsay in Federal and most state courts. The exception allows parties to enter regularly compiled records within an organization that meet a certain level of...
buy-sell agreement
Buy-sell agreements are limits placed on ownership rights of closely-held organizations which require the shares be resold to either the organization or current partners when the owner decides to leave or passes away. Many partnerships and...
buyback
A buyback refers to when a corporation repurchases its own outstanding stock. By doing so, the number of overall shares in the market drops and the value of each individual share tends to increase. Issuing a buyback offer is not binding on...
bylaws
Bylaws refer to the regulations and rules established by a company or other organization for internal management. Bylaws are most often used in companies to determine the rights and obligations of employees and organizations in a corporate...
C corporation
A C corporation is any corporation that does not qualify or elect to be an S corporation under the Internal Revenue Code. A C corporation is a legal structure for a corporation where the company’s assets are separate from the owners’ assets....
call
Call generally means to request or to use an option. Call has a few different meanings that arise in the legal context:
A person “calls” an option when they choose to use a call option for buying an asset. The person gets to buy a...capacity
Capacity refers to the ability to make a rational decision based upon all relevant facts and considerations. Some common usages of the term “capacity” in a legal sense include:
In the context of criminal law, the term “capacity” means...