LLC Vs Llc Case Summary

C corporations are able to have unlimited shareholders, which is probably an important characteristic to large companies. (S corporations, for example, may not have more than 100 shareholders.) C corporations can also be owned by non-citizens or other business entities, where S corporations can only be owned by individuals who are US citizens.

In order for an informed decision to be made in regards to appropriate business structure for any business it is necessary to understand each business structure separately and any attempt to understand business structure must consider the C-corporation as a baseline against which to compare subsequent business structures. A C-corporation is a business organized as a separate entity from the owner or owners of the business that requires the observation of certain formalities. In Texas these formalities include adopting bylaws, maintaining a record of accounts, issuance of stock, recording the issuance and transference of stock, recording minutes of board of director and shareholder meetings, as well as maintaining a record of current and past shareholders (Tex. BOC § 21). It is important to remember that corporate formalities will require time and expense to maintain and every attempt should be made to comply with these requirements to protect the liability limitation of the corporation’s shareholders, officers, and owners.

The plaintiff (Southern Prestige Industries, Inc.) initiated an action against the defendant (Independence Plating Corp.) in a North Carolina state court for a breach of contract. The plaintiff alleged that defects in the defendant’s anodizing process caused the plaintiff’s machine parts to be rejected by Kidde Aerospace. The defendant being a New Jersey corporation and having its only office and all of its personnel situated in the state filed a motion to dismiss citing lack of personal jurisdiction. The trial court denied the motion and the defendant appealed arguing that there were insufficient contacts to satisfy the due process of law requirements

income will be treated by the entity, the overall tax burden, and the effect of distributions of property or earnings from the entity to your client. (Note: Do not spend time addressing other types of business entities. Credit will only be given for discussion of the two business entities at issue.) (Points : 50)

LIABILITY- The same as a C-corporation, shareholders of S-corporation have limited liability. In the case of bankruptcy they only lose their shares of the corporation.

Herein will begin with an overview and introduction from personal knowledge of DixieLands Glory, LLC; a small family owned and operated business for the purpose of owning and managing rental properties. The company was initially operated as Warf’s Rentals; in 2003 the business was renamed and incorporated to become DixieLands Glory, LLC. The business is operated from a small office located in the family’s home, which is located in Linden, Tennessee. DixieLands Glory owns, operate, and manage approximately eighty-five rental units ranging from single-family homes to 4-plexes and mobile home parks. The properties that the company owns are mostly located in the states of Tennessee and Alabama. Of this, about 50 percent are located in the family’s hometown of Linden, Tennessee, with the remainder being located in two other Tennessee counties, and Decatur, Alabama.

Our client, Individual #1, is currently earning $350k in gross receipts and $175k in gross profit, respectively, from his IT consulting business. In discussions with the client, we learned he wants to transition his sole proprietorship/LLC into either an S-Corp or C-Corp. I propose his reorganization as an S-Corp as although it limits his potential for equity investment, it provides both a liability and tax shield.

• Longevity and Continuity: S- Corporation is similar to the C- Corporation that even after the death of the founder will continue. Corporation can be dissolved by shareholders or a court order.

This case was also cited in PEABODY COAL CO., LLC v. BARNHART., 469 F.Supp.2d 240 (2007) case held in the United States District Court, D. Delaware. The decision on this case was made on January 11, 2007. According to this case, on September 14, 2005, the plaintiffs Peabody Coal Company, LLC (“Peabody”) and Eastern Associated Coal Corporation ("EACC") filed suit against defendant Jo Anne B. Barnhart ("Barnhart"), the Commissioner of the Social Security Administration ("SSA"). Plaintiffs' complaint that Barnhart's (defendant) actions of assigning them (plaintiffs) the responsibility for funding health and death benefits for certain retired coal industry employees violated both § 9706 of the Coal Industry Retiree Health Benefit Act of 1992 ("Coal Act"), 26 U.S.C.

A corporation is a separate legal entity that possesses distinctive liabilities and privileges than that of their members or shareholders. As an investor, a corporation’s advantage is liability for their own investments especially in risky investments (Kubasek, et al., 2012, p. 760). Among the various types of corporations for Betty to select from, an S corporation is an enticing venture for new entrepreneurs given that it grants limited personal liability for debts, sharing of corporate profits, and taxation relief. Double taxation is a main disadvantage of C corporations but not for S corporations. The General Corporation Law (Corp C §§100-2319) treats S corporations similarly to partnerships for taxation purposes.

901Attorney, LLC is a personal injury law firm that is located in Memphis, Tennessee. This law firm is licensed both in Tennessee and Arkansas. 901Attorney, LLC has over 25 years of experience. Their areas of practice include auto accidents, slip and fall, and animal cases. In 2016, David A. McLaughlin, Esq. has been selected by Thomson Reuters and has been rated by Super Lawyers.

There has recently been some controversy over whether or not reselling digital music is legal or not. A recent ruling, Capitol Records, LLC v. ReDigi Inc., confirmed that it is illegal; however, this view is patently inaccurate and reselling used digital music with the correct precautions is almost definitely legal (Villasenor). First, background information on ReDigi Inc., a major reseller of used digital music that, four years ago, was shut down because of the ruling, and Capitol Records, LLC v. ReDigi Inc. (with ReDigi’s great argument examined deeply) must be reviewed before some possible guidelines for future companies wanting to allow consumers to resell their legally bought, used digital music

“The considerations of practicality and principle discussed … above appear to support the respondents ' case, namely that a bribe or secret commission accepted by an agent is held on trust for his principal. The position is perhaps rather less clear when one examines the decided cases … However, to put it at its lowest, the authorities do not preclude us adopting the respondents ' case in that they do not represent a clear and consistent line of authority to the contrary effect. Indeed, we consider that, taken as a whole, the authorities favour the respondents ' case.” (per Lord Neuberger in FHR European Ventures LLP and others v Cedar Capital Partners LLC [2014] UKSC 45 at [46].

I imagine that Bill and Darlene are very concerned because the type of business form has to assume and they are very legitimate. Bill and Darlene, after analyzing the financial points to start a business that allows if in case gave the estimated loss for the first two or three years and let them quiet that their personal assets are safe of these possible losses. S corporation is very special type of corporation that created from IRS tax election. This S Corporation can definitely avoid double taxation and use losses to offset income from other income. S corporation is not required to pay tax about the income. So I would recommend the following: Start an S corporation as this can allow to leave their personal assets are safe under a limited

The organization has more than 50 employees - our most profitable business customers "more than 50 employees" come in. The accounts of these companies are per hour basis and also to generate the highest revenue in the most consistent basis throughout the year to generate revenue. Many of these accounts, medical / health, dental, and housing industries are in. These customers also services and investment management services to pension plans such as assistance