September 2004

If your business provides information on your deadbeat clients to any one of a number of credit reporting agencies, such as Equifax, Experian, or TransUnion, you are regarded as a “furnisher” under the Fair Credit Reporting Act (“FCRA”). The FCRA regulates the collection and disbursement of personal credit information and dictates the duties and responsibilities of those who furnish that information, including creditors and debt collectors. As enacted, the FCRA provided near-blanket immunity from common law tort liability (defamation, invasion of privacy, negligence) to furnishers in order to facilitate full […]

Members of partnerships, owners of sole proprietorships, and officers of family farm corporations, are not covered as employees under Ohio Workers’ Compensation law unless specifically requested. Ohio’s workers’ compensation system is a mandatory participation system. Companies with one or more employees must pay into the system. Every “employee” who suffers a work-related injury is protected under the workers’ compensation laws. However, members of partnerships, owners of sole proprietorships, and officers of family farm corporations are not considered “employees” under the workers’ compensation laws. Under Ohio law, partnerships, sole proprietorships, and […]

Small business owners should consider what will happen to the business in the event of the death of a shareholder. Typically, corporations will use a Key Man Insurance policy to fund either a Buy-Sell Agreement or Cross-Purchase Agreement among the shareholders. The following are benefits and concerns for each type of plan. Entity Purchase Buy-Sell Plans Benefits to the Firm The firm is to be the owner, premium payor, and beneficiary of policies on the lives of its owners. The business is to use the proceeds of the policy to […]