Author: Sharif Faust

Pervasive Incivility is a Negative Multiplier in Fee Calculations

Partner Attorney at Sharif | Faust Lawyers, Ltd.
Khodadad “Ko” Sharif, Esq.

by Khodadad “Ko” Sharif || 20 March 2024 ||

Incivility may hit a litigant’s pocketbook. In  Snoeck v. ExakTime Innovatiohs, Inc., 96 Cal. App. 5th 908 (2023), the Court of Appeal affirmed the trial court’s reduction of $457,863 of the plaintiff’s attorney fees in a FEHA fee request. Counsel’s incivility was a factor considered by the trial court in its downward calculation of the reasonableness of the fee request. Incivility is not the skillset of an excellent lawyer deserving of “higher fees” but a factor for the court to consider when adjusting the reasonableness of the fees requested in a downward direction. This is not to punish, but it is a significant factor in the court’s valuation of the reasonableness of the fee request before it.

The court reasoned that “[i]n litigation, attorneys regularly dispute how the law—and what specific law—applies to the facts of a particular case. One side will be wrong. But that does not mean the side that is “wrong” tried to convince the court to adopt a theory it knew was legally erroneous.” (Id. at 924.) Zealous advocacy does not always win a case; a losing argument never invites personal attacks. There is no justification to engage in personal attacks on opposing counsel, even those representing the reprehensible and society’s deviants. Civility is the one skillset that a lawyer cannot compromise, “the [trial] court noted the absence of civility “‘heightens stress and debases the legal profession.’” (Id. at 915.) “[C]ivility is an aspect of skill.” (Id. at 915, quoting Karton v. Ari Design & Construction, Inc. 61 Cal. App. 5th 734, 747 (2021)). Arguably, the lack thereof is not worthy of fees.

How do we test for incivility? It appears to be an objective test of whether a reasonable attorney would “believe that communicating with opposing counsel in such a way . . . [or] antagonizing the trial court [would] help further one’s client’s cause.” (Id. at p. 925.) It is a telling rhetorical question when considering that the court is “not required to find [counsel’s] comments directly caused an increase in . . . fees before applying a downward adjustment to the loadstar.” (Id. at p. 927.) There is no question that “as an officer of the court [an attorney] owe[s] the court and opposing counsel “‘professional courtesy.’” (Id. at p. 922, citing to Lasalle v. Vogel, 36 Cal. App. 5th 127, 132 (2019) quoting Lossing v. Superior Court, 207 Cal. App. 3d 635, 641 (1989).) Incivility stands alone as an unnecessary and dispensable skill set.

Incivility is not the same thing as zealous advocacy. Although Snoeck does not necessarily stand for punishing lawyers for continuous incivility during litigation, it is a “permissible factor” for the court to consider when adjusting the reasonableness of the request for an award of attorney’s fees. In essence, unnecessarily increasing the cost of litigation to address tangential issues is not effective litigation. In Snoeck, the plaintiff’s counsel had accused the defense counsel of “exploiting the Court, utilizing ‘underhanded’ tactics, presenting a ‘sham defense’ and, in general arguing that defense counsel perpetrated a fraud on the court.” (Id. at p.913.) The plaintiff’s counsel further accused defense counsel of “knowingly misrepresenting the law and facts to the trial and appellate courts, misconduct, and lying; referred to counsel’s action as . . . “cringeworthy” [who] sold the court “the big lie”; referred to defense counsel as having viewed the trial court “as an easy mark,” having “made a total fool of” . . . and “exploited” the trust of the trial judge; having committed “a brazen con,” and having “duped” the trial and appellate courts.” (Snoecksupra, 96 Cal. App. 5th at p. 913.) The trial court found that “[t]he language quoted above is uncalled-for and unacceptable. The plaintiff’s counsel’s ad hominem attacks were unnecessary for the zealous representation of his client.” (Id. at p. 915.) “Civility is not just a moral good. “Attorney skill is a traditional touchstone for deciding whether to adjust a loadstar. Civility is an aspect of skill.’” (Id. at p. 915, quoting Karton v. Ari Design & Construction, Inc., 61 Cal. App. 5th 734, 747 (2021)).

“Those attorneys who allow their personal animosity for an opposing counsel or an opposing party to infect a case damage their reputations and blemish the dignity of the profession they have taken an oath to uphold.” (Id. at p. 930, relying on Crawford v. JPMorgan Chase Bank, N.A., 242 Cal. App. 4th 1265, 1266-1267 (2015).)

In conclusion, as Carl Sandburg famously said, “If the facts are against you, argue the law. If the law is against you, argue the facts. If the law and the facts are against you, pound the table and yell like hell,” with one caveat, never pound on the table and yell.

-This article was originally published for the San Diego County Bar Association Blawg. It has been reposted with their permission.

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

 

National Association of Realtors: Why a Lawsuit & Settlement?

Partner Attorney of Sharif | Faust Lawyers, Ltd.
Matthew Faust, Esq.
Elias Guzman

by Matthew Faust & Elias Guzman

|| 20 March 2024 ||

You may have seen recent news articles (CNN, Washington Post, and Housingwire) about big changes coming to the way residential homes are sold in the U.S.

This article will provide a little background on these articles and why they matter. First, we’ll take a look at the National Association of Realtors (“N.A.R.”) and the lawsuits that were filed.  Second, we’ll discuss the concepts of “fiduciary duties” (through the lens of California) and why the N.A.R. was sued.  Finally, we’ll discuss the settlement and how this can impact our country.

What and Why Lawsuits?

Talk of lawsuits rose when home sellers in Illinois & Missouri alleged in a duo of class-action lawsuits against the NAR due to their rules & MLS procedures. Given that the N.A.R. is changing its roughly 100-year-old commission structure, adjusting is bound to be nothing short of historical for the massive industry.  Housingwire.com has created a timeline of the relevant lawsuits if you want to read more about each specific one.

These lawsuits allege that they [N.A.R.] are responsible for cultivating a profitable, non-competitive environment amongst realtors at the cost of the buyers & sellers. Giving way for the Anti-Trust position taken by class action plaintiffs against the NAR and its multiple listing services (MLS), 1400+ local member boards, & 1.4 million member REALTORS®. Later in the Blog, we will cover the N.A.R. policies that are under scrutiny, terms of settlement, and what it means to realtors, agencies, buyers, & sellers.

 

Keep an eye out for future posts about Anti-Trust Lawsuits.

What is the National Association of Realtors (NAR)?

The National Association of Realtors (“N.A.R.”) stands as one of the largest trade associations in the US, making up close to one-fifth of the National economy. The most important way that people know the N.A.R. is through their registered trademark REALTOR™.  Its purpose is to establish and uphold the rules, policies, and best practices for its affiliated multiple listing services (MLS), subsidiary local associations, and its estimated 1 million-plus member REALTORS® across the nation.

 

Realtors or Real Estate Professionals?

Before getting too much more into the weeds on the Lawsuit, it is important to note that an individual possessing a Realtor License, does not immediately qualify them as a “Real Estate Professional,” but we will discuss this differentiation more on our Sharif | Faust Lawyers, Ltd. Blog at a later date. This matters because as you research this topic further, you may find the terms used interchangeably, however, this post is more focused on matters pertinent to Realtors, Realty Agencies, and their seller & buyer clients.

Keep an eye out for a future post about Are Realtors Real Estate Professionals? Why or Why not?


What is Fiduciary Duty?

 

One of the reasons that the agents were sued is that real estate agents owe fiduciary duties to their clients.  In California, selling real estate agents can owe fiduciary duties to the buyers as well.  In its simplest term, a fiduciary duty requires that parties treat each other will loyalty and care.  “Loyalty” in this context means that the fiduciary must put their represented party’s interests above their own.  “Care” means that the fiduciary’s conduct must meet minimum standards applicable to their profession.  According to the lawsuits discussed here, the real estate agents were sued partly because they concealed important facts from their clients, such as their commissions.  They are also alleged to have violated anti-trust laws, which is different from fiduciary duties.  At Sharif | Faust we represent both sides in these transactions, which means that we can and will represent clients who believe they’ve been wronged by an agent, and we will also defend agents who have been accused of breaching their fiduciary duties.

 

Keep an eye out for future posts about fiduciary duties.


What was alleged against the N.A.R.?

As stated in the United States Department of Justice‘s Press Release on the matter, The plaintiffs in the class-action lawsuit alleged that the NAR policies cultivate a profitable, non-competitive environment among realtors at the expense of buyers and sellers. The following is how the plaintiffs alleged the effects of these policies.

 

Those policies listed were the “Commission-Concealment Rules,” “Free-Service Rule,” “Commission Filtering “, and the “Lockbox Policy.”   These practices were alleged by the Plaintiffs to violate anti-trust laws and could potentially constitute a breach of fiduciary duty.

 

Commission-Concealment Rules

According to the D.O.J., the N.A.R. recommends that the MLSs prohibit the disclosure of possible total commission offered to buyer brokers. With almost every N.A.R.-affiliated M.L.S. adopting this policy, the realtor representing the buyer can see how much commission (s)he can make if the buyer purchases one specific property versus another while at the same time, the M.L.S.’s that adopt the N.A.R recommended policy, prohibits that disclosure of commission rates to the prospective buyer themselves.

Claiming that with this entire exchange taking place “behind closed doors,” so to speak, buyers are at a severe disadvantage with respect to trying to negotiate a lower commission rate or rebate to lower the acquisition cost of the property.

Additionally, the plaintiffs are claiming that there is an opportunity for concealed incentives for brokers to steer buyers away from similarly priced properties that, without the potential buyer’s knowledge, earn fewer commissions for the realtor.

 

Free-Service Rules

It was alleged that this rule allows the buyer brokers to claim that their services are free or at no cost to the buyer.   The Plaintiffs argued that the N.A.R. encouraged this because the seller officially pays all realtor commissions (Buyer and Seller realtors) with their earnings. However, because the funds the buyer realtor is taking a commission on are coming from the prospective buyer client that they bring to the transaction, the plaintiffs claimed in summary that “Free Service” is not an accurate description of buyer realtor services.

 

Commission Filtering Rules

The Plaintiffs complained that there is a software option on the M.L.S. that enables buyer brokers to only look at homes where they make a self-directed quantity of commission. For example, the Plaintiffs alleged that a buyer realtor may filter only for properties with a 2% commission or greater.

According to the Plaintiffs, the N.A.R.’s practices are wrongful because they keep homes with a lower commission from ever being presented to a prospective buyer.  The Plaintiffs further claimed that this caused the buyer’s costs, including realtor fees, to be intentionally inflated. The Plaintiffs also claimed that sellers with a lower commission for the buyer are not getting their properties sold as they would in a “fairer” marketplace.

 

Lockbox Policy

The Plaintiffs also alleged that the N.A.R. has a lockbox policy, which allows sellers to place the keys to their home in a lockbox so that other buyer realtors associated with the N.A.R. can show the home to potential buyers, with the seller’s consent, of course. These lockboxes use Bluetooth® “keys” to allow access to the property.

According to the lawsuits, these “keys” are only available to the NAR-associated realtor who Is also using an N.A.R.-associated M.L.S., which Plaintiffs alleged to reduce the competitive landscape by exempting non-N.A.R. realtors from participating, leaving a possible detriment to the buyer or seller.

 

Terms of the Settlement

According to the D.O.J., the settlement in these lawsuits will modify these practices.  The N.A.R. has also trumpeted this resolution in a statement by its then-interim C.E.O., Nykia Wright when she stated:

“NAR has worked hard for years to resolve this litigation in a manner that benefits our members and American consumers. It has always been our goal to preserve consumer choice and protect our members to the greatest extent possible. This settlement achieves both of those goals.”

N.A.R.’s President at the time, Kevin Sears, echoed these sentiments:

“This will be a time of adjustment, but the fundamentals will remain: buyers and sellers will continue to have many choices when deciding to buy or sell a home, and NAR members will continue to use their skill, care, and diligence to protect the interests of their clients”. 

But how will this settlement change how houses are sold in the U.S.?  There are many specific details which are explained below.

 

What are some things that realtors and agencies will need to do differently?

Notably, nothing in the settlement contains an admission of guilt or other wrongdoing.  As is fairly typical in these sorts of cases, the parties are settling to end the litigation rather than admitting that either side is right or wrong.  According to the D.O.J., the settlement will result in a $ 418 million settlement payment to the Plaintiffs.  It will also require N.A.R. to modify its internal procedures to operate in a more consumer-friendly manner.  These changes include:

  1. Removing rules that interfere with an agent’s ability to specify the compensation on the portions of the M.L.S. that are viewable by consumers.  Notice that this does not require that the commissions be listed there, but merely allows the agents to list the commissions.

 

  1. Disallowing agents from claiming that their services are free or available with no cost.

 

  1. Discouraging practices that agents use to filter out properties based solely upon the commission offered.

 

  1. Permit non-N.A.R. agents to utilize the lockboxes on properties listed on the M.L.S.

 

What does this Judgement mean for any pending private lawsuits against the NAR?

According to N.A.R.’s Chief Legal Officer, Katie Johnson, the settlement is still pending court approval at the time of this posting.  She further commented that, if approved:

“The agreement would resolve claims against N.A.R., over one million N.A.R. members, all state, territorial and local REALTOR™ associations, all association-owned M.L.S.s, and all brokerages with an N.A.R. member as principal that had a residential transaction volume in 2022 of $ 2 billion or below.  In addition, for nearly all brokerages that had a residential transaction volume in 2022 that exceeded $ 2 billion and for M.L.S.s not wholly owned by REALTOR™ associations, N.A.R. has secured in the agreement a mechanism for them to obtain releases efficiently if they so choose.  We fought to include all members in the release but unfortunately two groups were not included.  The release does not include members for any time that they were affiliated with our co-defendant HomeServices of America.  The release also does not include employees of the remaining defendants named in the cases covered by this settlement.”

You can view the full statement issued by Ms. Johnson and Mr. Sears on the N.A.R.’s litigation update page.

 

If approved, how long will it be until the rules are officially in effect?

This settlement still needs approval from the Federal Court. Also, Julian Mark and Aaron Gregg of The Washington Post stated in their article that an individual close to the settlement stated new rules would take place in July 2024, however, this individual remained anonymous because they were not given authorization from their organization to discuss settlement matters publicly.  The D.O.J. commented that the settlement will include a judgment to enforce these terms that will expire in either five or seven years, depending upon whether certain conditions are met.

 

What does this mean for buyers and sellers in the market?

The actual effects of the settlement won’t be known for quite some time, especially since it hasn’t been approved at the posting of this article.  However, the expected benefit is that this will help reduce the increasing growth in home prices.  Many observers hope that more transparency in the listing and buying process will allow homeowners to make more conscientious decisions in selling and buying homes, resulting in a more efficient marketplace. However, only time will tell whether this actually comes to pass.

 

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

 

 

References

 

Custody and Visitation Orders Part V: Substantial Change of Circumstances

Yasaman Sharif, Esq.

by Yasaman Sharif || 11 March 2024 ||

This is the fifth in a series of posts relating to Child Custody and Visitation.  In our fourth post, we explored what the term “physical custody” means in a court’s order on custody and visitation.  Of course, as mentioned in our previous posting, the content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  The results, in any case, depend upon the specific facts in that case, so it is important that you consult with a lawyer you trust.

 

After a court makes a “final” custody and visitation order for a minor child, it becomes much more difficult for a parent to request the court to change that custody and visitation order in place. To be “final”, the court order must clearly state it is final by including words “final,” “permanent,” or “judgment.” Montenegro v. Diaz, 26 Cal. 4th 249, 259 (2001); In re Marriage of Burgess, 13 Cal. 4th 25 (1996).

 

Standard of “Substantial Change of Circumstances

Once there is a “final” custody and visitation order in place, the requesting parent must show a “substantial change of circumstances,” which is a much more difficult standard than the “best interest” standard.

 

If you are the parent who is asking the court to change the “final” custody and visitation order in place, you must show to the court there has been a significant change of circumstances affecting your child in such a way that makes the requested change essential to your child’s welfare. The court will then consider if your alleged new circumstances show a significant change from previous circumstances, which existed at the time the court’s “final” custody decision was made. If you can convince the court that the circumstances relating to the child have significantly changed, it will re-evaluate the “final” custody and visitation orders in place.

 

Thus, after the court decides that a particular custody plan serves your child’s best interest , the court is not required to reexamine that issue. It will preserve the custody arrangement in place, unless you can show that the circumstances have changed so significantly that a different custody plan would be in your minor child’s best interest.

 

But as long as the court has not made a prior “final” order regarding child custody or visitation, the best interest of the minor child continues to be the applicable standard. If you are wondering what “best interest” means, you should check our second posting in this series.

 

More Questions?

In future posts, I’ll provide some more details on these and other areas of child custody and visitation. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions. If you wish to consult with Sharif | Faust, please contact us to set up a consultation. This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

Application of CRPC 1.15 to Government Lawyers

Khodadad “Ko” Sharif, Esq.

by Khodadad “Ko” Sharif || 20 February 2024 ||

Does California Rules of Professional Conduct, Rule 1.15, entitled “Safekeeping Funds and Property of Clients and Other Persons,” govern government agencies that are holding funds for third parties in a civil forfeiture proceeding? More specifically, should cash received or held in civil forfeiture proceedings by the Office of the District Attorney be deposited in one or more identifiable bank accounts labeled “Trust Account?”

 

California law authorizes the forfeiture of “proceeds traceable to such an exchange” of an illegal controlled substance. Cal. Health & Safety Code § 11470(f). Cal. Health & Safety Code § 11470(f) provides that “the following are subject to forfeiture”:

All moneys, negotiable instruments, securities, or other things of value furnished or intended to be furnished by any person in exchange for a controlled substance, all proceeds traceable to such an exchange, and all moneys, negotiable instruments, or securities used or intended to be used to facilitate any violation of Section 11351, 11351.5, 11352, 11355, 11359, 11360, 11378, 11378.5, 11379, 11379.5, 11379.6, 11380, 11382, or 11383 of this code, or Section 182 of the Penal Code, or a felony violation of Section 11366.8 of this code, or a felony violation insofar as the offense involves manufacture, sale, possession for sale, offer for sale, or offer to manufacture, or conspiracy to commit at least one of those offenses, if the exchange, violation, or other conduct which is the basis for the forfeiture occurred within five years of the seizure of the property, or the filing of a petition under this chapter, or the issuance of an order of forfeiture of the property, whichever comes first.

Although California law authorizes the forfeiture of “proceeds traceable to such an exchange” of an illegal controlled substance, tracing is required to prove that the source of funds or property that is forfeited is from illicit narcotics activity and not from a legitimate source. People v. $9,632.50, 64 Cal. App. 4th 163, 168-169 (1998). During the forfeiture proceedings and until a judicial order is entered and the case is disposed of, the government must maintain and preserve the funds.

California Health and Safety Code section 11469(h) states,“[u]nless otherwise provided by law, forfeiture proceeds shall be maintained in a separate fund or account subject to appropriate accounting controls and annual financial audits of all deposits and expenditures.” Although the traditional rule of statutory construction is not applicable to the CRPC rules, it is persuasive that “[a] traditional rule of statutory construction is that, absent express words to the contrary, governmental agencies are not included within the general words of a statute.” Wells v. One2One Learning Foundation, 39 Cal.4th 1164, 1192 (2006). We now must turn our attention to the language of the governing rule itself.

California Rules of Professional Conduct, Rule 1.15(a) states “[a]ll funds received or held by a lawyer or law firm for the benefit of a client, or other person to whom the lawyer owes a contractual, statutory, or other legal duty, including advances for fees, costs and expenses, shall be deposited in one or more identifiable bank accounts labeled ‘Trust Account’ or words of similar import, maintained in the State of California, or, with written consent of the client, in any other jurisdiction where there is a substantial relationship between the client or the client’s business and the other jurisdiction.” In reviewing CRPC, Rule 1.0.1. for word or phrase defined, we find that government lawyers are not excluded from CRPC Rule 1.15.  CRPC Rule 1.0.1(c), defines a lawyer or law firm as “”Firm” or “law firm” means a law partnership; a professional law corporation; a lawyer acting as a sole proprietorship; an association authorized to practice law; or lawyers employed in a legal services organization or in the legal department, division or office of a corporation, of a government organization, or of another organization.” Notably, this expansive definition includes, without exception, government lawyers.

It appears that government agencies, including the Office of the District Attorney, are governed by CRPC 1.15, and imposed upon them are the additional obligations of Health and Safety Code section 11469(i), which states: “[s]eizing agencies shall ensure that seized property is protected and its value preserved.” Further, “inherent in Health & Safety Code, § 11469‘s requirement that the value of property be ‘preserved’ is that seized currency be deposited into an interest bearing account, rather than languishing in cash and losing value over time.” People v. $12,601.33, 209 Cal. App.4th 121, 129 (2012).

Thus, not only must all forfeiture funds be maintained as mandated by Health & Safety Code section 11469, but necessarily must be maintained as required by the CPRC, Rule 1.15.

-This article was originally published for the San Diego County Bar Association Blawg. It has been reposted with their permission.

More Questions?

If you have questions , please check out the rest of our blog for more information.

The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

Custody and Visitation Orders Part IV: Physical Custody

Yasaman Sharif, Esq.

by Yasaman Sharif || 14 February 2024 ||

This is the fourth in a series of posts relating to Child Custody and Visitation, more specifically physical custody.  In our third posting, we explored what the term “legal custody” means in a court’s order on custody and visitation.  Of course, as mentioned in our previous posting, the content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  The results in any case depend upon the specific facts in that case, so it is important that you consult with a lawyer you trust.

In California, Physical custody of a minor child deals with the physical residence of the minor child and with which parent the child should live. Similar to legal custody (discussed in our second posting), physical custody can be sole or joint.

 

San Diego from Downtown to Balboa Park, Family Law Attorney Office
View of San Diego from the Sharif | Faust Office

Sole Physical Custody

In a case of sole physical custody, the minor child will live, all or most of the time, with one parent who the court finds is suitable to take care of the child (custodial-parent). If the court decides that it is in the best interest of the child, it may allow the other parent (non-custodial parent) to have visitation time with the child based on a parenting plan.

Joint Physical Custody

In a case of joint physical custody, the child will live with both parents. In this case, the court decides it is in the best interest of the child to live with both parents. This is the best scenario because it is public policy of California to ensure that a minor child continues to have frequent and continuing contact with both parents after they have ended their relationship or divorced. But at the end of the day whether the court decides that the child should live with one or both parents depends on what is in that particular child’s interest.

Conclusion

In deciding whether physical custody of the minor child should be sole or joint, the court initially considers the best interest of the minor child. But if you want to change a “final” custody and visitation order that is already in place, the court will apply a different standard known as “a substantial change of circumstances.”

If you are wondering what “best interest” means, you should check our second posting in this series. The term “substantial change of circumstances” will be discussed in a later posting.

More Questions?

In future posts, I’ll provide some more details on these and other areas of child custody and visitation. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions. If you wish to consult with Sharif | Faust, please contact us to set up a consultation. This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

Probate vs. Trusts vs. Estates : A Side by Side Comparison

Matthew Faust, Esq.

by Matthew J. Faust || 09 February 2024 ||

In Fall 2023, Sharif | Faust was excited to launch its new Probate / Trusts & Estates practice area! As our work in this exciting new area has progressed, we’ve had several people ask important questions, such as: What is the difference between Probate and Trusts & Estates? What are the drawbacks of probate? Do I even need a trust? These are all excellent questions, and I hope we can answer some of these questions here in this blog post.  

 

Probate vs. Trusts vs. Estates

This is a critical question to understand. Speaking generally, “probate” refers to court proceedings that affect the transfer of a person’s property after they pass (the person who died is commonly called the “decedent”). The decedent’s “estate” is the property that needs to be transferred and can include many different property types. A “trust” is a legal document used to minimize the time and expense commonly associated with probate proceedings.

 

Probate

In general terms, probate courts exist to transfer the title of property from the recently deceased to their heirs. Of course, the probate courts can do many other things as well, but this is one of the core functions that lawyers associate with probate courts. 

Typically, probate courts are state courts. One of the common tools people have historically utilized to accomplish their instructions after death is a will. It can be viewed as a set of instructions for the probate court and is one of our oldest forms of estate planning. But, as I will explain below, sometimes probate can be time-consuming or expensive. There are a lot of rules and procedures to make sure that the interested parties are treated fairly. While these rules and safeguards are important, they might not all be needed to accomplish a fair result in every case.  

Probate Concerns

In a typical probate case, there are a lot of concerns that can come up. Primarily, the court needs to order the transfer of title of property in the estate to the surviving family. Sometimes, the property itself will be transferred; in others, the property will need to be sold so money can be distributed or used to pay debts. 

How this happens depends upon a number of circumstances: Is there a will, and what does it say? What is the size of the estate? Was debt was owed by the decedent when they passed? How do we know who to give it to? This includes not just the surviving family members (who can be called heirs and/or beneficiaries) but also creditors. 

Debts and taxes need to be paid.  

Probate Proceedings

Probate Court Hearing Document

If the property at issue is not subject to a trust, then a probate proceeding needs to be opened so that a court can oversee the proceedings and ensure a fair application of law to all involved. There are a lot of concerns to worry about, and a judge will need to appoint the person who is tasked with making sure these decisions are made in the first place. 

This person can have many names, such as executoradministratorpersonal representative, and others. As you can see, a lot can happen here, and the judge needs good information to make these decisions.  

This information is generated by tax preparers, accountants, real estate agents, attorneys, and other people. On top of this, the administrator and the lawyers are commonly compensated on a fee schedule (in California, this is set by Sacramento), so the more valuable the estate, the higher the compensation. Before the judge can make a ruling, notice of these proceedings is usually required for people who could be affected. If you add this all up, it can result in a potentially lengthy and expensive process. And, because this is all done in open court, the entire process is highly visible to the public. Oftentimes, people going through probate will wish there was an alternative. Thus, trusts are a tool that has developed to minimize, or even avoid, the expense of a probate court. In the best-case scenario, a trust can completely avoid court, but even in less-than-ideal circumstances, a trust can at least be used to lessen or minimize the time spent in court.  

Keep an eye out for an upcoming post on probate proceedings

Trusts

Trust and estate planning form

Trusts are a legal way to transfer property on a decedent’s passing that can reduce, minimize, or eliminate the time, money, and public visibility associated with probate court. How does this work? Well, it’s complicated. Stated in general terms, the trust is a tool in which a person (called the “trustor”) can set property under the protection of a fiduciary (the “trustee”) for the use of another (the “beneficiary”). The trust document is a set of instructions for how this is to happen and the timing and amount of any distributions to the beneficiary. 

The instructions are a key part of setting up the trust because they are the main rules the trustee has to follow in making distributions. There’s a lot of flexibility in these rules that are typically governed by the laws of the state that the trust follows.  

So why go through all of this? This foresight can help save your family time, money, and public visibility when they are managing your estate after you pass. 

In general terms, the trust basically allows the trustor to transfer the property before their passing so that any property in the trust is transferred without the need of a probate court. This is all done with the goal of reducing the time, expense, and visibility of probate court for any property named in the trust.  

But what if the decedent had acquired property after setting up their trust? This is why it is also important to periodically have your trust “refreshed.” Your trust lawyers can help make sure that after-acquired property is properly included in the trust. 

But, even if not all property is included in the trust, it is likely that the property that is in the trust can avoid probate. If there is less property in the probate, the odds are that the fees associated with the probate will be lessened. In that case, the trust will have succeeded in reducing the time, cost, and public visibility associated with the probate.  

Keep an eye out for an upcoming post on trusts.

Estateswood Gavel with white background used in court

So, what is the estate? The estate simply refers to the property that is being distributed on the decedent’s passing. This could include bank accounts, insurance proceeds, vehicles, and real property. 

Any or all of this could be subject to probate or included in a trust. All of this can be accounted for in an estate plan, for which you would have numerous advisers assist you. At Sharif | Faust, we can assist with the legal needs. But, you might also have a financial adviser guiding your investments, a tax advisor helping minimize your tax bill, an insurance agent assisting with your life insurance, and other advisers as necessary. A successfully established and run estate plan will require each of these people to assist you. In this way, the trust is one of the more important legal documents you can set up to plan your estate, but it is by no means the only strategy you may desire to use. The lawyers at Sharif | Faust are ready to work with your advisers to ensure that your trust documentation matches your larger goals.

Finally, when Sharif | Faust is retained to assist you in preparing your trust, we commonly discuss several other important documents. These include a “pour over will,” advanced health care directivepower(s) of attorneypre-nuptial agreementspost-nuptial agreements, and other important documents.  

Keep an eye out for an upcoming post on estate planning and how to get ready for your first meeting.

More Questions?

In future posts, I’ll provide some more details on these, and other, areas of probate, trusts & estate planning. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions. If you wish to consult with Sharif | Faust, please contact us to set up a consultation. This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

Federal Court or State Court : How Do You Know?

Maria F. Zamora C., Esq.

by Maria F. Zamora C. || 07 February 2024 ||

The relationship between the various courts and their jurisdiction can be overwhelming. This includes federal, state, district, circuit, bankruptcy, and the United States Supreme Court. This post will help explain the difference between the jurisdiction of these various courts.  Prior to filing a complaint, it is important to know where you will file it. At Sharif | Faust Lawyers, we thoroughly analyze our Client’s claims in determining the appropriate court selection.  Although it may seem overwhelming, this post will provide insight into the differences between state court and federal court jurisdiction.

 

Federal Courts

state court and federal court in san diego

There are several different federal courts, including district courts, circuit courts, the Supreme Court of the United States, and bankruptcy courts. The main difference between federal and state courts is their jurisdiction, which is the authority the courts have to hear a case.

District courts serve as the federal trial courts. These courts have limited jurisdiction and can hear a case if (1) the case gives rise to a federal question involving the U.S. government, the U.S. Constitution, or other federal laws (such as trademark law, copyright & patent law) or (2) if the case involves diversity of citizenship, which are disputes between two parties of a different state or country and the claim(s) exceed $75,000.00.

 

Circuit courts are appellate courts and can hear a case once the lower court makes a final ruling. The circuit court’s job is to determine whether the lower court applied the law correctly. The circuit courts have three judges, there is no jury, and the evidence is limited to what was presented in the lower court. The appellate courts use different standards of review to determine a case. The appellate court standards of review will be discussed in a later blog post.

 

The last level of the federal courts is the U.S. Supreme Court, the highest court of the land. The U.S. Supreme Court hears certain cases, such as those between two or more states or cases involving ambassadors. This Court also has appellate jurisdiction, meaning the Court can hear almost any other case that involves a point of constitutional or federal law. After a party asks the Court to review its case, the U.S. Supreme Court has the discretion to decide whether or not to do so.

 

Lastly, bankruptcy courts are limited to hearing bankruptcy cases.

 

State Courts

State Court in San Diego

State courts, on the other hand, do not have as many limitations on hearing a case as federal courts do. In California State courts are also known as “superior courts” and include civil courts, family courts, criminal courts, and juvenile courts. There are also state appellate courts and state supreme courts. The authority of superior courts to hear a case depends on the personal jurisdiction of the party the claims are against and the subject-matter jurisdiction of the case. Finally, if a superior court can hear the case, we need to know in what venue to file the case.

Jurisdiction

The first requirement to sue someone in superior courts is to establish whether it has power over a person or a business (personal jurisdiction). For example, in the case of a citizen of the state of California suing a citizen of the state of Arizona, the state court may not have power over the person who lives in Arizona. In this example, the case may be heard by an Arizona court or potentially the federal court, as discussed above. For businesses, personal jurisdiction is generally where they do business.

 

The second requirement to sue someone in superior courts is to establish the authority of the court to hear the whole case (subject matter jurisdiction). There are three types of subject matter jurisdiction: (1) general jurisdiction, which allows the court to hear and decide cases unless a law or the constitution denies it; (2) limited jurisdiction, which restricts the cases the court can hear, such as a small claims court that can only hear cases with damages of $10,000 or less or limited civil courts that can only hear vases with damages for up to $25,0000; (3) exclusive jurisdiction which means only a particular court can decide a case.

The third requirement to bring a case in superior courts is to establish the proper venue, also known as the county where to file the case. Generally, the venue is appropriate in the county where (1) the person lives or does business or (2) where the dispute arose.

 

Just remember that each case is different, and the facts are important for figuring these out. We hope this blog post dismantled some of the preliminary questions regarding the difference between state court and federal court jurisdiction.

 

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

What is “Business Law”?

Yasaman Sharif, Esq.

by Yasaman Sharif || 31 July 2020 ||

In our office, we spend much of our time assisting our clients with what is commonly known as “business law.” The term “business law” is a broad term which is commonly used by the public, but is not a defined term under California law.  This post will help explain what we usually think of when we say “business law.” At Sharif | Faust, when we speak to clients about their “business law” issues, our conversation often includes discussion of one or more of the following topics: (1) Business Entities; (2) Business Torts (3) Intellectual Property; and (4) Contracts. To some extent, these four topics are related and intertwined. In this post, I will provide you with a brief explanation of these four topics. We will discuss them more extensively in our future posts.

 

Business Entities

If you are planning to start a new business in California, you may wonder what type of business entity you should form. You may also be concerned about potential tax consequences, personal liability, or required filings and fees, associated with forming a business entity. In fact, when it comes to forming a business entity in California, there are several options that you have. Each option has its own advantages and disadvantages that may make them attractive or unattractive to you based on your particular situation and needs.

We will soon be posting more information about business entities.

 

Business Torts

In general, “torts” means any acts by a person that causes damages, injuries, or harm to another person. Business torts generally refers to acts that are not within the privilege of fair competition encouraged by our laws and public policies, and causing financial harm to a business. This becomes relevant when as a business owner you are concerned that your business is, or has been, harmed due to wrongful acts of other person(s).

To learn more, please see our blog post on business torts.

 

Intellectual Property

Intellectual Property laws exist to encourage artists, inventors, and other creators to make new art, technology, or other creations.  The rest of us benefit from these creations.  In return, we give these individuals the ability to profit from their work directly, without interference from others for a certain amount of time.  The rights these creators receive is akin to a monopoly.  These types of works include trademarks, copyrights, patents, trade secrets, and much more. Then, once the time expires, the works go into the “public domain” and anybody can use them.

To learn more, you should check our blog post on intellectual property.

 

Contracts

The term “contract” is a familiar term to most of us, and we each have seen and/or signed at least a couple of contracts in our lives. For instance, when leasing or purchasing a car, you have entered into lease or purchasing agreements. When leasing a new place as a tenant, or leasing your place to future tenants, you have signed lease agreements. You may also have signed employment or contractor agreements when securing a new job. You may have entered into contracts when investing in a business entity. These are only a few common types of contracts.   But a contract can be used in almost every aspect of life. In general terms, a contract is an agreement between different parties to do or not to do a certain thing. Contracts can be written, oral, or implied. But when a contract is well written and drafted it becomes easier to ascertain what was agreed between the parties if they ever have any disputes.

We will soon be posting more information about contracts.

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

Why is Personal Protective Equipment so Expensive

by Phillip Cavello || 7 July 2020 ||

* At the time of publication, Mr. Cavello, J.D. 2019, is a graduate law clerk under the supervision of attorney Khodadad D. Sharif.

**Special thanks to Afshin Pishevar, Esq. for coordinating with us to research the issues and help with the drafting of this post.

Khodadad “Ko” Sharif, Esq.
Phillip Cavello

In the midst of a pandemic, governments are left to their own devices to seek, obtain, and supply their population with the necessary medical equipment to deter further death. However, it is evident that without global cooperation, each country is hopelessly falling behind. In fact, Doctors, nurses, and patients alike are being forced to re-use medical equipment or utilize sub-par equipment. Further, every link in the chain of production are charging exuberant rates to produce and supply the medical equipment, which inevitably trickles down to the ultimate consumer. But why is essential medical equipment so expensive, and at what point are these price increases unlawful?

I. Why is Personal Protective Equipment so Expensive?

The supply chain of Personal Protective Equipment (“PPE”) was considerably disrupted because of the pandemic, the recent economic downturn, and the global powers

response to the pandemic.[i] With demand being far in excess of supply, the search for PPE has caused countries like China and the United States to create stringent policies inhibiting the export of PPE.[ii] Therefore, in this volatile market, it is undeniable that the global powers are acting in their self-interest.

A.  China’s Regulations & Their Impact on the PPE Supply

By way of example, half the N95 masks in circulation are produced in China and at the inception of the pandemic China halted most of its’ exports of N95 masks.[iii] Recently, there was a Chinese Export regulation, issued on April 1, 2020, that harshened restrictions on exports of PPE from China.[iv] Under this regulation, before any export of PPE, it must be approved by the Chinese National Medical Products Administration.[v] But, approval for these exports are few and far in between. In fact, many promising deals have collapsed because various Chinese manufacturers failed to receive approval from National Medical Products Administration.[vi] Moreover, even if the deals stay intact, the supply chain has been severely disrupted by the mandatory customs inspections.[vii] These inspections were recently put in place by China.[viii] Though this is an effort to ensure the quality of the PPE, it is lengthening the approval process for shipments of PPE by days or even weeks.[ix] In these unprecedented times, those weeks are causing medical providers to reuse PPE, thereby putting those in the front lines in danger of contracting the disease.

B.  United States Regulations & Their Impact on PPE Supply

Similar to China, the United States has largely barred the exports of PPE, under the Defense Production Act.[x] Under this act exports of PPE equipment are not permitted unless they are expressly authorized by the Federal Emergency Management Agency (“FEMA”).[xi] This is for good reason. In April of 2020, the American Medical Association contacted FEMA and stated that “[p]hysicians and other health-care workers in every state have expressed serious concerns regarding the availability of appropriate safety equipment.” the letter stated.[xii] Then on April 7, 2020, Secretary of State Michael Pompeo stated “[r]ight now, given the great need for PPE in our own country, our focus will be on keeping critical medical items in the United States until demand is met here.”[xiii]

The Department of Health and Human Services (“HHS”) estimates that the U.S. needs 300 million N95 masks per month to combat the COVID-19 pandemic[xiv]. But, the U.S. does not have that many in its reserves.[xv] Realizing the deficiency in importation of N95 masks, U.S. companies have begun manufacturing approximately 50 million N95 masks per month.[xvi] However, without looser restrictions, the U.S. will be unable to secure enough masks to meet the demand.

Now, the Federal and Drug Administration has gradually relaxed restrictions since the beginning of the pandemic, and even permitted imitations of approved PPE equipment, like the KN95 masks, to be used for medical purposes.[xvii] Despite these regulations, it appears that medical providers are still dealing with a mass shortage of PPE. In this case FEMA recommends medical providers first submit a request for assistance to the local, territorial or state emergency management agency before submitting a formal request with the FEMA Regional Response Coordination Center.[xviii]

C.  Additional Factors to Consider

Another element to consider is payment for PPE.[xix] Due to the pandemic, the current environment is ripe for fraudulent actors to prey on the need for PPE. Chinese suppliers are now demanding upfront payments by distributors and customers to avoid being scammed.[xx] However, the suppliers are not the only ones being scammed. There are many reported cases of the buyers of PPE being scammed after providing the upfront fees.[xxi]  In fact, the FBI has provided an official notice alerting the government and industry buyers of the emerging fraud trends relating to procurement of PPE.[xxii]

Further, even if distributors and customers are willing to pay the upfront fees, despite the possibility of being scammed, most must seek financing to pay for the upfront costs, thereby delaying the process in acquiring the much-needed supplies.[xxiii] Moreover, every party in this chain, among many others, are looking to profit from these deals. As a result the price is increased to the ultimate consumer.

Further, due to the economic downturn, logistics companies, like air freighters, are now charging premium freight rates for priority delivery to meet the demand for PPE.[xxiv] Although these logistics companies can be avoided altogether by having PPE privately chartered to the recipient, this creates another problem because those operating the private charters may not be as familiar with the ever-developing regulations of countries like the United States and China.[xxv] Therefore, it is prudent to use a logistics company. In addition, one should confirm that they are certified under Customs and Border Protections’ (“CBP”) Customs-Trade Partnership Against Terrorism (“C-TPAT”) program to avoid any issues with the customs agencies.[xxvi]

II.  How Can We Stop Hoarding & Price Gouging?

What laws are on the books to combat hoarding and price gouging?  It turns out that such laws exist, passed by both the federal government and the California government.

A.  Federal Laws Prohibiting Hoarding & Price Gouging

On March 23, 2020, President Trump issued an Executive Order instructing HHS and the Department of Justice to enforce the anti-hoarding provisions of the Defense Production Act.[xxvii] Under this act, it would prevent people from hoarding supplies of necessary medical equipment like respirator masks, ventilators, and surgical gloves.[xxviii] Despite the executive order it is apparent that people are still hoarding PPE. This likely in the hope of selling these items for much higher prices. In a recent joint operation, the Department of Justice and HHS ordered a so-called hoarder to turnover 192,000 N95 respirator masks, 598,000 medical grade gloves and 130,000 surgical masks.[xxix] Although FBI agents and other law enforcement agencies are tracking hoarders of medical equipment, there still lingers a fear that retailers will gouge the prices of other necessities for life.

In response to this fear, the government could bring actions against retailers under the Section 5(a) of the Federal Trade Commission Act (FTC Act). (15 USC §45). [xxx] This act prohibits “unfair or deceptive acts or practices in or affecting commerce.”[xxxi] Under the FTC Policy Statement on Unfairness, an act or practice is unfair when it (1) causes or is likely to cause substantial injury (usually monetary) to consumers, (2) cannot be reasonably avoided by consumers, and (3) is not outweighed by countervailing benefits to consumers or to competition.[xxxii] Substantial injury usually involves monetary harm but can also include reputational harm.[xxxiii]

An act or practice that causes a small amount of harm to a large number of people may be deemed to cause substantial injury.[xxxiv] An injury may be substantial if it raises significant risk of concrete harm.[xxxv] An act or practice is not considered unfair if consumers may reasonably avoid injury. [xxxvi] Consumers cannot reasonably avoid injury from an act or practice if it interferes with their ability to effectively make decisions or to take action to avoid injury.[xxxvii] To be unfair, the act or practice must be injurious in its net effects — that is, the injury must not be outweighed by any offsetting consumer or competitive benefits that are also produced by the act or practice.

B.  Pleas by the Senate

On March 17, 2020, Members of the House of Representatives sent a letter to the Chairman of the Federal Trade Commission (FTC), imploring the Commission “to take immediate action to protect consumers from price gouging during the COVID-19 public emergency.”[xxxviii] Specifically, the senators wrote:

“The FTC, as our nation’s top consumer protection enforcer, must do everything in its power to address price gouging for consumer health products during this national emergency … Although there is no federal law outlawing price gouging, as a general matter, the Federal Trade Commission Act (FTC Act) grants the FTC the power to prevent “unfair or deceptive acts or practices.” Charging outrageously inflated prices for everyday consumer health products in the middle of a global pandemic certainly fits that description. And make no mistake, the price gouging we are seeing has nothing to do with “supply-and-demand” or “price discovery”—it has everything to do with squeezing every last cent out of consumers in a time of desperate need.”[xxxix]

Despite any clear action by the Federal Trade Commission up to this point, consumers may rely on their own state laws to prevent, or seek remedies for, price gouging.

C.  California’s Laws on Price Gouging

Like many other states, California has its own laws on price gouging, and though this blog is predominately focused on California you can find the information of other states laws at: https://consumer.findlaw.com/consumer-transactions/price-gouging-laws-by-state.html.

In California it is punishable by up to 1 year in jail and/or up to a $10,000 fine, civil penalties of up to $2,500 per violation, plus one may seek an injunction and restitution if a person sells commodities for more than 10 percent over the costs of these items immediately preceding the declaration of a state of emergency by the President, Governor, country, or city. Cal. Pen. Code § 396. [xl]

However, in certain circumstances, an increase in price by 10% is not unlawful. Specifically, when the seller can demonstrate the increase was: “directly attributable to additional costs imposed on it by the supplier of the goods, directly attributable to additional costs for labor or materials used to provide the services, during the state of emergency or local emergency, and the price is no more than 10 percent greater than the total of the cost to the seller plus the markup customarily applied by the seller for that good or service in the usual course of business immediately prior to the onset of the state of emergency or local emergency.” Cal. Pen. Code § 396(b).[xli]

Nevertheless, if the seller cannot meet their burden enumerated under Cal. Pen. Code § 396(b), not only can they be reprimanded under Cal. Pen. Code § 396, but they may also be held civilly liable under the California Business and Professions Code. In Particular California makes it unlawful for a person or business to engage unfair competition which includes any unlawful, unfair, or fraudulent business act or practice and unfair, deceptive, untrue, or misleading advertising. Cal Bus & Prof Code § 17200.[xlii]

The “unlawful” prong effectively turns on a violation of the underlying law, like Cal. Pen. Code § 396, into a per se violation of the Business and Professions Code.[xliii] Further, a plaintiff must show that because of the Defendants conduct, while doing business, they have suffered a loss of money or property. In doing so, a Court may award a plaintiff restitution, injunctive relief, and other relief that the Court deems appropriate.

Conclusion

Ultimately, the global supply chain of PPE has been disturbed by the pandemic, and the search for PPE has caused countries like China and the United States to create stringent policies inhibiting the export of PPE, thereby impacting the supply chain and the costs attributed to importing these products. Further, the state and federal government may prevent hoarding of necessary medical equipment and price gouging, which is seemingly prevalent throughout this pandemic. Specifically, in California the state may provide relief when person or business sell commodities for more than 10 percent of the items price preceding the declaration of the state of emergency. Further, absent a showing by the person or business that the cost of the item increased because of the additional costs in acquiring the goods, a plaintiff may also bring a civil claim under the Business and Professions Code.

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

 

[i] https://www.hklaw.com/en/insights/publications/2020/04/legal-insights-on-the-import-of-ppe-and-other-medical-supplies

[ii] Id.

[iii] Id.

[iv] Id.

[v] Id.

[vi] Id.

[vii] Id.

[viii] Id.

[ix] Id.

[x] Id.

[xi] Id.

[xii] https://www.ama-assn.org/press-center/press-releases/ama-urges-fema-act-single-national-source-acquisition-ppe

[xiii] https://www.npr.org/sections/goatsandsoda/2020/05/13/854943832/the-u-s-is-giving-vast-sums-of-money-to-fight-covid-19-abroad-but-theres-a-catch

[xiv] https://www.newsweek.com/alex-azar-coronavirus-masks-30-million-have-need-30-million-fight-america-senate-committee-1489058

[xv] Id.

[xvi] https://www.hklaw.com/en/insights/publications/2020/04/legal-insights-on-the-import-of-ppe-and-other-medical-supplies

[xvii] Id.

[xviii] https://www.fema.gov/news-release/2020/04/22/coronavirus-covid-19-pandemic-addressing-ppe-needs-non-healthcare-setting

[xix] https://www.hklaw.com/en/insights/publications/2020/04/legal-insights-on-the-import-of-ppe-and-other-medical-supplies

[xx] Id.

[xxi] https://www.fbi.gov/news/pressrel/press-releases/fbi-warns-of-advance-fee-and-bec-schemes-related-to-procurement-of-ppe-and-other-supplies-during-covid-19-pandemic

[xxii] Id.

[xxiii] https://www.hklaw.com/en/insights/publications/2020/04/legal-insights-on-the-import-of-ppe-and-other-medical-supplies

[xxiv] Id.

[xxv] Id.

[xxvi] Id.

[xxvii] https://www.whitehouse.gov/briefings-statements/president-donald-j-trump-will-not-tolerate-price-gouging-hoarding-critical-supplies-needed-combat-coronavirus/

[xxviii] Id.

[xxix] https://www.hhs.gov/about/news/2020/04/02/doj-and-hhs-partner-to-distribute-more-than-half-a-million-medical-supplies-confiscated-from-price-gougers.html

[xxx] https://www.law.cornell.edu/uscode/text/15/45

[xxxi] Id.

[xxxii] https://www.cfpaguide.com/portalresource/Exam%20Manual%20v%202%20-%20UDAAP.pdf

[xxxiii] Id.

[xxxiv] Id.

[xxxv] Id.

[xxxvi] Id.

[xxxvii] Id.

[xxxviii] https://www.cortezmasto.senate.gov/news/press-releases/cortez-masto-rosen-urge-ftc-to-protect-consumers-from-price-gouging-during-the-coronavirus-pandemic

[xxxix] Id.

[xl] https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?lawCode=PEN&sectionNum=396

[xli] Id.

[xlii] https://leginfo.legislature.ca.gov/faces/codes_displaySection.xhtml?sectionNum=17200.&lawCode=BPC

[xliii] See Solus Industrial Innovations, LLC v. Superior Court 4 C5th 316, 341, (2018); Rose v. Bank of America, N.A. 57 C4th 390, 396, (2013).

Trademarks Are Fun

Matthew Faust, Esq.

by Matthew J. Faust || 19 June 2020 ||

Trademarks are fun.  No, really!  I know that when most people think of intellectual property lawyers, and trademark lawyers in particular, the last thing they think is “fun.”  Usually, people think of the agents from The Matrix.  But putting these notions aside, the trademarks themselves are fun.  The best part of helping clients obtain their trademarks is the pride they get when they see their logo on an official U.S.P.T.O. registration certificate.  The pride is real and it is intense.  In fact, every small business owner I’ve talked to takes pride in their names and logos and wants their customers to know this.  They put their logos on shirts, cups, pencils, keychains, and anything else they can think of.  So, on top of being fun, trademarks are really important aspects of a business owner’s portfolio.

 

But, no matter how much pride a small business owner has in their trademarks, registering the trademark is commonly the last thing they do when starting up.  Sometimes this leads to decisions that are not so fun—being forced to rebrand, destroying advertising or merchandise, and the sinking feeling of having to start over.  I thought I’d take a few minutes to not only go over what makes trademarks so much fun, but also how to make the final product something you can have pride in.

 

Trademarks are Fun

So, why are trademarks so fun?  One of my favorite trademark cases was written by a well-respected judge in the federal appeals court located in Chicago (that is the Seventh Circuit), in the case of Incredible Techs., Inc. v. Virtual Techs, Inc.  (for those looking for a citation, it is 400 F.3d 1007 (7th Cir. 2005).  This case dealt with a real dispute about virtual golf.  There used to be a popular golfing game, prevalent in bars, arcades, and anywhere else gaming was done, called Golden Tee.  Golden Tee was made by the plaintiff in the case, Incredible Techs.  They discovered that Virtual Techs had copied a lot of the features from Golden Tee in their game, PGA Golf Tour.  They sued, claiming violations of their Copyright and Trade Dress.  The Court of Appeal‘s opinion spent nearly three pages describing the two games, what they looked like, and how they played.  This is what makes trademarks fun!  The appellate judge began his opinion by writing:

As anyone who plays it knows, golf can be a very addicting game. And when real golfers want to tee-it-up, they head for their favorite course, which might be a gem like Brown Deer in Milwaukee, a public course that nevertheless plays host to an annual PGA Tour event every July. What most golfers do not do when they want to play 18 is head for a tavern. Also, most people are quite familiar with Tiger Woods. But who knows Jeff Harlow of Florissant, Missouri? This case is about “golfers” who prefer taverns to fairways and aspire to be more like Harlow than Tiger. Our case concerns video golf.

You see, at the beginning of the case, Incredible Techs sought a Temporary Restraining Order.  These are standard requests in trademark disputes, but what made this hearing extraordinary was the six-day evidentiary hearing the District Court held to consider the Motion.  Most trials do not last that long.  Many lawyers in state courts are thrilled to get 45 minutes at hearing and some federal judges decide motions without a hearing at all!  Six days is a tremendous amount of time to talk about video golf.  But, it’s what happened in those six days that are even more astounding.  The District Judge, in his opinion (284 F. Supp. 2d 1069 (N.D. Ill. 2003), went so far as to describe what evidence was presented:

The evidence presented at the hearing included still photographs and video recordings of in-game images from both the Golden Tee and PGA Tour games, as well as full-size arcade versions of each game furnished to the Court for purposes of comparison. The Court also heard testimony from a number of witnesses, including the creators of both games, and the aforementioned Mr. Kostos, who has earned prize money playing both plaintiff’s and defendant’s games professionally.

That’s right.  During the six-day hearing, the District Judge, of course heard from the lawyers and read everyone’s briefs.  But the judge heard from a professional video golfer.  And, everyone looked at pictures and watched videos about video golf.  And, in what must have been the best part of the hearing, each company brought their game for the judge to “consider” (does that mean play in the courtroom?).  To be sure, there was a lot of money at play here.  And nobody likes to feel like their stuff is being ripped off.  But this was not a typical motion (it would not have been a typical trial) and these opinions were not typical opinions.  These are fun!  But, I’m getting ahead of myself here.  What are trademarks and how can businesses use them?

 

What is a Trademark

Trademarks are protectible under state and federal laws.  On the federal side, the appropriately-named Patent and Trademark Office (or “U.S.P.T.O.”) is responsible for reviewing and issuing (or refusing) trademark registrations.  Trademark protection is designed to stop Unfair Competition.  In fact, on the federal side, this term only means trademark infringement, or someone else using your trademark (or something confusingly similar) to sell their goods.  Many states use the same term to include other unfair business practices, though.  But what is a trademark?  As with anything, there is a legal definition and a regular definition.  According to Congress,

the term “trademark” includes any word, name, symbol, or device, or any combination thereof—

(1) used by a person, or

(2) which a person has a bona fide intention to use in commerce and applies to register on the principal register established by this Act,

 

to identify and distinguish his or her goods, including a unique product, from those manufactured or sold by others and to indicate the source of the goods, even if that source is unknown.

 

That’s a lot, but the basics are pretty straightforward.  I like to say that a trademark can be boiled down into  three primary requirements:  (1) something that someone uses or will use (2) in branding their goods or services (3) while selling to consumers in the marketplace.

 

“Something”

The “something” usually includes logos or word-based marks.  Non-traditional trademarks have extra hurdles to meet before registration issued, but it is possible for the “something”  to include colors, scents, or even sounds.  The most important factor is that the trademark applicant show that the “something” is currently in use—without this registration will not be issued.  That being said, a business owner can apply for a trademark before the mark is in use, but the registration certificate will not be issued until after the applicant submits proof that the mark is used.  These are called Intent-to-Use Applications.  By that same logic, once a trademark falls out of use, it will be deemed Abandoned, and can be claimed by someone else.

 

“Branding”

The second part is that the mark must be used to brand goods or services.  In definition listed above, this is the part at the end; “to identify and distinguish her or her goods . . . from those manufactured or sold by others.”  This really comes down to the difference between a brand and a picture.  Someone can draw a cool picture, and that picture will likely be afforded Copryight Protection.  But to obtain Trademark status, the picture must be used to brand goods or services.  This is an important purpose that trademarks have: to let people form a connection between the brands they trust and the quality they expect.

 

“Selling”

The third part is that the mark must be used “in commerce.”  This part of the definition has less to do with the trademark itself and is instead based upon Congress’s ability to “regulate interstate commerce.”  This squares with something called Federalism and runs a bit beyond the scope of this post.  The main point to take away here, however, is the trademark owner must be using the mark to sell or advertise its goods or services to consumers.  Without this, a trademark will not be registered.

 

Trade Dress

There’s one more important form of trademark protection worth discussing—Trade Dress.  Businesses can use trade dress to protect “distinctive” aspects of a product’s  packaging.  In this way, trade dress differs from traditional trademarks because the “something” that is being protected is the packaging or presentation and not the logo itself.  For example, the Coca Cola Company holds a trademark on the word Coke.  It also holds trade dress rights in the distinctive shape of the bottles that Coke is sold in (Reg. No. 1,057,884).  Trade dress should be registered with the U.S.P.T.O. before it is enforced in court.

 

Types of Trademarks

Traditionally, trademarks were marks that were put on goods (like a “maker’s mark”).  Today, our legal system recognizes three other categories of trademarks as well that are all registered by the U.S.P.T.O.:

      • Service Marks: These are similar to trademarks, but are used to brand services offered by businesses (or individuals).  Our logo (Reg. No. 5,327,977) is an example of a service mark because we legal services instead of selling goods.
      • Collective Marks:  These are a special type of trademark or service mark that indicates membership in a group.  One of the more famous collective marks is the AA Mark (Reg. No. 3,316,227 for the American Automobile Association.  Generally the members are permitted to utilize the collective mark when they join the organization.
      • Certification Marks:  These marks are used to show that the goods or services comply with a set of standards.  The mark is held by a third party who then authorizes the user to display on their advertising.  The Wisconsin Cheese certification mark is one such example (Reg. No. 3,378,315).

 

More Information

There’s a lot more to trademarks than this, that’s part of why they are so interesting.  Keep an eye out for future posts on other important areas of trademark law, such Registration, Infringement and Enforcement, Remedies, and other interesting areas in trademark law.

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

What is Intellectual Property?

Matthew Faust, Esq.

by Matthew J. Faust || 4 June 2020 ||

My colleagues and I at Sharif | Faust spend much of our practice advising businesses.  Some are newly formed entities, and some are preexisting business entities.  But, in either event we commonly advise them to consider protecting their intellectual property (or “I.P.” for short).  In these discussions, it is not uncommon to be asked, “what is intellectual property?”  Sometimes this question is easily answered, but other times it’s a bit more difficult.  In this posting I hope to give you a bit of an overview of intellectual property from 10,000 feet.

What is Intellectual Property

Intellectual Property laws exist to encourage artists, inventors, and other creators to make new art, technology, or other creations.  The rest of us benefit from these creations.  In return, we give these individuals the ability to profit from their work directly, without interference from others for a certain amount of time.  The rights these creators receive is akin to a monopoly.  Then, once the time expires, the works go into the “public domain” and anybody can use them.

There is a world-wide organization which helps protect intellectual property.  It is, quite appropriately, called the World Intellectual Property Organization (or “W.I.P.O.” for short).  This organization defines intellectual property as:

Intellectual property (IP) refers to creations of the mind, such as inventions; literary and artistic works; designs; and symbols, names and images used in commerce.

This definition is nice, as far as definitions go, and an it encapsulates the core idea, that I.P. comes from “the mind.”  An I.P. lawyer can easily see references to three major areas of I.P.: Patents, Copyrights, and Trademarks.  But business owners can protect much, much more than this.  Just as a restaurant can protect its secret recipe, a manufacturer can protect its cutting-edge techniques, and a local business can protect its customer list.  Celebrities can protect their likenesses, and writers can protect their idea.  These are all forms of I.P. that can be protected under federal law, California law, or both.

 

Different Types of Intellectual Property

There are many different methods in which I.P. can be protected.  In future posts I’ll discuss some of these forms of I.P. in greater detail, but I put together this brief rundown of some of what can be generically lumped under the term “Intellectual Property”:

 

Trademark

Many of my clients commonly understand trademarks as “brands” but they can include much more than that.  Legally, trademarks refer to the use of a word, logo, or symbol (a “mark”) to brand goods or services in business (“trade”).  Commonly, trademarks refer to text or logos, but they can also include sound, color, or even smell!  Trademarks can be registered by state agencies or the federal United States Patent and Trademark Office (“U.S.P.T.O”).

 

A trademark holder is not required to register a trademark before going to court.  However, courts can give more and better remedies when a work is registered.  This can include court orders or money awards.  Trademarks also include service marks, collective marks, and certification marks.  Famous examples of trademarks include Coca-Cola (Reg. No. 238,157), Disney (Reg. No. 1,162,727), and Milwaukee Brewers (Reg. No. 1,543,238).  Under federal law, trademark infringement can also be called “unfair competition,” but under California law, unfair competition usually means something different.

 

Trade Dress

Businesses can use trade dress to protect “distinctive” aspects of a product’s  packaging.  As the name suggests, trade dress is a category of trademark protection.  There are a few important difference, though.  For example, the Coca Cola Company holds a trademark on the word Coke.  It also holds trade dress rights in the distinctive shape of the bottles that Coke is sold in (Reg. No. 1,057,884).  Trade dress should be registered with the U.S.P.T.O. before it is enforced in court.

 

Copyright

In general terms, copyright protects “expressive works.”  I generally tell clients this includes books, music, movies, translations, and other like works of art.  But, in a quirk of the law, Congress also included semi-conductors and boat hulls in the Copyright Act.  Copyright only applies to works that are “fixed in a tangible medium of expression.”  This means works that are written down, recorded, or saved.  Copyright prevents others from copying, displaying, distributing, or performing another’s work without permission.  It also prevents the creation of unauthorized “derivative works,” or works based on copyrighted works.  This commonly means sequels or spin-offs, but can mean other works as well.  Doing any of these things without permission is an act of infringement.  Copyright does not protect ideas, just the expression in which the ideas are communicated.  To receive full protection under the law, a work must be registered with the United States Copyright Office.  Copyrights must be registered with the federal copyright office and enforced in federal courts—there is no state protection or enforcement of copyright allowed.

 

Patent

Many people understand that patents protect inventions.  Keep in mind, though, that the word inventions is extremely broad in the eyes of the U.S.P.T.O.  Patents can protect office procedures or musical instruments.  Famously, the United States Supreme Court upheld a patent holder’s right to prevent the unauthorized planting of patented soy beans.

 

Trade Secret

When a business develops something of value (trade) and takes reasonable steps to protect it (secret), it has a trade secret.  Unlike most other forms of I.P., trade secrets are protected by state law, not by federal law.  There is also no formal registration process.  When someone steals a trade secret, it is called misappropriation.  The owner of a misappropriated trade secret can ask a court for many different types of remedies, but court orders and money damages are most common.

 

Right of Publicity

This right allows an individual to the use of their name, image, or likeness in a commercial setting.  This is another right that is usually protected by state laws.  Each state has its own law on the books, but California has an especially robust law to protect the publicity of its residents.

 

Literary Property

Some states, including California, protect unfinished ideas that are not written down or recorded.  These states use “literary property” to fill in the gaps to protect ideas that are otherwise not protectible under federal Copyright law.  Imagine that a writer tells a producer about details for a script for a TV show she is working on.  Imagine further that the producer then went on to fire the writer, claim her script as her own, and finish the show without paying the writer.  If the ideas were written in an email, the writer could claim copyright infringement.  But if the script isn’t totally done yet, the writer might have trouble showing the infringement.  Or, what if the writer told the producer the details instead of putting them in an email?  Then, the details wouldn’t be written at all.  In either case, the writer could claim that her ideas are protected as literary property and could obtain a judgment from a court.

 

Moral Rights

For many copyrighted works, the consumer can enjoy the work in any way he or she wants after purchasing it, including reselling the work.  This is called the “First Sale Doctrine.”  However, artists do have continued rights to protect their works.  Most commonly these rights are associated with publicly-viewable fine art installations.  These rights are called moral rights.  For example, what happens if a city commissions an artist to install a large sculpture, but then later decides to tear it down or alter it?  Both California and federal law recognize the moral rights of artists to protect the integrity of their work.

 

Remedies

A remedy is something a court can give an intellectual property owner who has proven infringement.  Each of these forms of intellectual property has slightly difference remedies.  Every form includes form of money payment, commonly called damages.  Most of these cases also include a court order, also called an injunction.  But, the exact nature of these remedies varies a little bit between the different forms of I.P.

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

 

Custody and Visitation Orders Part III: Legal Custody

Yasaman Sharif, Esq.

by Yasaman Sharif || 22 May 2020 ||

This is the third in a series of posts relating to Child Custody and Visitation.  In our second post we explored what the term “best interest” means in a court’s order on custody and visitation.  Here we will discuss what Legal Custody means.  Of course, the content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  The results in any case depend upon the specific facts in that case, so it is important that you consult with a lawyer you trust.

Overview

In California, Legal custody deals with parents’ rights and responsibilities to make important decisions for their minor child. These important decisions relate to the child’s health, education, and welfare. Legal custody determines who makes important decisions about which school the child attends.  Legal custody also includes the selection of a doctor, dentist, or other health care professional.  It also includes the decision of when to begin and end health services.

 

Sole Custody or Joint Custody

Legal custody may be sole or joint.  If a court grants sole legal custody to one parent, that parent is solely suitable to make important life decisions for the minor child.  The Court will only grant sole custody if it finds that only one parent is suitable to make the important decisions.  But if the court finds that both parents are suitable to make these important decisions for their minor child, the parents will share joint legal custody. In a case of joint legal custody, the parents are required

to consult with each other about the minor child’s health, education, and welfare. The court expects them to make decisions together.

 

What the Court Considers

In deciding whether legal custody should be sole or joint, a court considers the best interest of the minor child. But if you want to change a “final” custody and visitation order that is already in place, the court will apply a different standard known as “a substantial change of circumstances.”  The term “substantial change of circumstances” will be discussed in a later posting.

 

More Questions?

In future posts, I’ll provide some more details on these and other areas of child custody and visitation. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions. If you wish to consult with Sharif | Faust, please contact us to set up a consultation. This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

Custody and Visitation Orders Part II: Best Interest of the Child

Yasaman Sharif, Esq.

by Yasaman Sharif || 22 May 2020 ||

This is the second in a series of posts relating to Child Custody and Visitation.  In our last post we explored what goes into a court’s orders on custody and visitation.  In this post we will explore what the term “best interest” or  “best interest of the child” means in these sorts of decisions.  Of course, the content of this blog is provided for informational purposes only, and we are not offering any legal opinions.

Overview

A parent who seeks legal custody or physical custody and/or visitation orders in California must file a request for order (“RFO”) with the court. During the initial custody and visitation hearing, the court considers the “best interest” of the minor child. The factors that the court considers in making its decision are:

  1. The health, safety, and welfare of the minor child;
  2. Any history of abuse by one parent against the minor child or against the other parent;
  3. The nature and amount of the minor child’s contact with both parents;
  4. The parent who is more likely to allow the minor child frequent and continuing contact with the other parent.

Best Interest: Health, Safety, and Welfare of the Child

It is the public policy of the state of California to ensure that the health, safety, and welfare of the minor child.  This is the court’s primary concern in ruling on an order regarding the custody or visitation of the minor child. It is also public policy of California to ensure that a minor child continues to have frequent and continuing contact with both parents after they have ended their relationship or divorced.  The Court will also encourage both parents to continue sharing the rights and responsibilities of the minor child. This means that unlike what some parents may expect, the Court looks at all the circumstances bearing on the best interest of the minor child, and not those concerning the interests of the parents.

When the Standard is Applied

The best interest analysis applies whether you as a parent seek legal custody or physical custody of your child, or you simply seek a visitation plan that would allow you to spend some quality time with your child. After the Court makes its decision, however, the Court will use a different standard when a parent wants to modify the order.  In those situations, the standard is known as “a substantial change of circumstances.”   This term will be discussed in a later posting.

More Questions?

In future posts, I’ll provide some more details on these and other areas of child custody and visitation. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions. If you wish to consult with Sharif | Faust, please contact us to set up a consultation. This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.

 

Child Custody and Visitation Orders: Part I

Yasaman Sharif
Yasaman Sharif, Esq.

by Yasaman Sharif || 8 May 2020 ||

Are you a California parent seeking custody of your minor child? Do you want to spend more time with them?  Are you seeking visitation with your minor child? Are you unsure what all these new legal terms mean or how to ask for them?  This is the first of several posts that will help provide some information to these questions.  California family courts decide these questions in Custody and Visitation Orders.  Over the next several posts we will discuss some of the concepts that go into these decisions.

What are Custody and Visitation Orders

In the California family courts, there are two types of custody: legal custody and physical custodyEarly on in the case, the court will decide what is in the “best interest of the minor child.  But, after making certain “final” orders, the court will only change an order if there is a “substantial change of circumstances.”  Further, when making custody and visitation orders the court may want to hear from:

  1. an attorney appointed to represent any minor children (known as “minor’s counsel”); or
  2. a qualified psychologist  to evaluate family members (known as “730 psychological expert”).

Further, whenever custody or visitation is at issue, the Family Court Services (“FCS”) is assigned by the court to assist.  FCS can make a recommendation or help the parents reach an agreement about custody and visitation issues.

Over this series of postings, we will be exploring all of these topics.

More Questions?

In future posts we’ll discuss this further. If you have questions beforehand though, please check out the rest of our blog for more information. The content of this blog is provided for informational purposes only, and we are not offering any legal opinions.  If you wish to consult with Sharif | Faust, please contact us to set up a consultation.  This blog does not create an attorney-client relationship with Sharif | Faust. To retain Sharif | Faust, you must sign a written attorney-client agreement. Remember, the results in any case depend upon the specific facts in that case. It is important that you consult with a lawyer you trust. By reading this blog, you agree to our Terms of Use.