September 27, 2011 in Business, Legal, Legal Articles by jferris

Businesses Acquire Other Companies to Increase Assets with Legal Counsel Expertise

With the current state of the economy, if you are a company in good standing, it can be a fantastic time to buy another company to increase your market share and strength. As such, news headlines are currently filled with numerous power-play moves. Google recently bought Motorola Mobility to become more dominant as a mobile technology powerhouse and acquire some of its coveted patents. In Los Angeles, OpenGate Capital investment company has been acquiring controlling interests in solid companies throughout 2011. As businesses look for these types of opportunities, they will want to be on the lookout for stable business fundamentals that show the potential for growth and enlist a qualified business attorney for due diligence and all the steps needed to structure a successful deal.

Big purchases need regulatory approval, so finding a skilled attorney to review the financing structures, prepare and review agreements and securities filings, draft and negotiate contracts, and iron out any employee issues is critical. A business attorney can “partner” with the appropriate company’s management to close the transaction in a way that is conducive to all parties involved. Considering the heightened scrutiny in business today, the creation of a special committee that may include your legal counsel can also help skirt conflict of interest and fiduciary violations when an acquisition is at hand.

The business attorney’s mission is to understand the client’s goals and expectations for the acquisition and recommend the best legal, tax, and business decisions. All the while, the business attorney also provides counsel on potential pitfalls and liabilities that need to be addressed before the closing can occur.

Intellectual property, real estate and litigation services are also available when the need arises for legal counsel in these matters. This allows a business to have an ally for most legal concerns that can transpire throughout and after the transaction. It is all about adding value to the transaction and being a part of the solutions and energy to spur the deal forward.

In California, Los Angeles business attorney Anthony Spotora, of Spotora & Associates, P.C. is known for counseling corporate clients in the acquisition of another or other businesses and to help them take advantage of growth opportunities. The team of business attorneys at the law firm is also accomplished in mergers and acquisitions, corporate turn-arounds, franchises, dissolution and bankruptcy matters. As a premier California law firm, Spotora & Associates is actively involved in business matters for a diverse array of clients including Hollywood studios and distributors, TV and multimedia production houses, technology and communications companies, restaurants and nightlife, retail, manufacturing, and pharmaceutical companies. They excel in giving high-quality legal counsel and assisting in the management of the businesses they advise. To learn more, visit http://www.spotoralaw.com/ or call 877.4U.EZ.LEGAL

For more information:
www.spotoralaw.com
Law Offices of Spotora & Associates, P.C.
1801 Century Park East, 24th Floor
Los Angeles, California 90067-2302

P (310) 556.9641
F (310) 556.9642
Toll Free: (877) 4U-EZ-LEGAL

Anthony Spotora is a Los Angeles entertainment lawyer and Los Angeles business attorney. To learn more, visit Spotoralaw.com.

September 26, 2011 in Business, Legal, Legal Articles by jferris

The Battle of the Dr Peppers Brewing in Texas

The fight for logos, sales territories, and a piece of history is brewing in Texas as Dr Pepper/Seven Up, Inc. takes on Dr Pepper Bottling Company of Dublin, Texas. DPS, as the parent company is sometimes called, is taking one of its bottlers to court after the bottler has allegedly refused to stop using retro logos and sell its unique version of the soda outside of its licensed selling territory. The bottler says it is the oldest Dr Pepper bottler around and has done nothing to harm the brand since it began bottling in 1891.

The lawsuit in the U.S. District Court in the Eastern District of Texas alleges that Dublin Dr Pepper has infringed on the parent company’s trademark and diluted it, practiced unfair competition, violated numerous license agreements, and breached its contract.

“In the simplest terms, the bottler in Dublin is using a logo that is no longer authorized and is taking business from fellow Dr Pepper bottlers who play by the rules and sell within their defined territories,” said Jim Johnston, president of beverage concentrates for DPS. “We owe it to our other bottlers to stop these unauthorized practices.”

Dr Pepper, like many other soda and beverage companies, has been using retro logos in its sales and marketing campaigns throughout the last year. But these campaigns are for a limited time and with specific guidelines for its bottlers. Dublin Dr Pepper has six logos that use images from the days of soda fountains, Texas flags, patriotic designs, and the town name to woo consumers. The bottling company has a big local presence and online demand. Many fans love the fact that Dublin Dr Pepper uses pure cane sugar in its drink versus anything synthetic to sweeten it.

But the parent company says Dublin Dr Pepper is over-reaching its six county selling territory of Comanche, Eastland, Erath, Hood, Hamilton and Bosque. Soft drink companies give rights to bottlers for exclusive territories that are enforceable via the Soft Drink Interbrand Competition Act of 1980. The act is in place to prevent cut-throat competition and foster profitability among bottlers. Yet violations can also cause contract terminations from the parent company and licensee, which could put the bottler in a tough spot. DPS licenses the Dr Pepper brand to 170 bottlers throughout the U.S. and Canada.

“We have been a loyal partner to Dr Pepper Snapple longer than any other bottler, and we’ve worked successfully with several different ownership groups for our parent company to become one of the company’s most successful franchisees,” Dublin Dr Pepper said on its website. “It is unfortunate that Dr Pepper Snapple’s attorneys are asking our overburdened court system to resolve what we believe is a business matter, but we look forward to telling our side of the story before a judge and jury, and we will continue to provide great products and great service to every one of our customers.”

Other bottlers and DPS say that Dublin Dr Pepper is cutting in on their profits by selling the soda and also clothing and related merchandise through its website, restaurants, retailers, and solicitations on Facebook. DPS alleges that Dublin Dr Pepper is profiting from consumers in New York, California, and even nearby in Collin County in the city of Plano. The license agreement the two signed in 2009 purportedly prohibits such sales.

In Texas, Austin business litigation attorney, Austin franchise attorney and Austin business lawyer Gregory D. Jordan has represented individuals and businesses for more than 20 years. He is knowledgeable and experienced in a wide range of business and litigation matters. The Law Offices of Gregory D. Jordan is known for aggressively defending their clients’ interests in mediation, negotiation, and litigation. To learn more, please contact Austin business litigation lawyer and Austin business attorney Gregory D. Jordan at http://www.theaustintriallawyer.com or call (512) 419-0684.

Gregory D. Jordan is an Austin business attorney, Austin employment lawyer, and Austin business litigation lawyer. To learn more, visit Theaustintriallawyer.com.