Dean Ethridge: 8 Reasons to Start a Home-Based Business in 2012

Dean Ethridge discussed Robert Kiyosaki's Business of the 21st Century and 8 benefits and reasons to start your own business this year. Check out the full article at Dean's blog

Knoxville News Sentinel: What to include in your business plan

Bruce Freeman discussed the six essentials of any business plan at the Knoxville News Sentinel's website. Read the story on KnoxNews.com

Jason Fell: How to Raise Money for Your Startup -- Now (Entrepreneur.com)

Jason Fell of Entrepreneur.com has some tips about how to raise money for your startup, including:

- Knowing the different types of investors;
- Making a list of prospective investors; and
- Setting a closing date for investors

Visit their blog for the full article.

Court reviews the value of a party's membership in an LLC

HERBAL INTEGRITY, LLC, ET AL. v. SCOTT HUNTLEY, JR., ET AL. (Tenn. Ct. App. January 12, 2012)

The parties agreed to submit the valuation of Defendants' membership in Plaintiff LLC to arbitration. Following arbitration, Defendants moved to vacate the arbitrator's award. The trial court denied the motion and entered final judgment in the matter. Defendants appeal. We affirm.

Opinion available at:
http://www.tba2.org/tba_files/TCA/2012/huntleys_011212.pdf

Court reviews whether a partnership or a lease relationship existed between two parties

DOUGLAS COFER v. DONNIE HARRIS AND MARCIA HARRIS (Tenn. Ct. App. January 12, 2012)

This case arises from a dispute over an alleged partnership. Douglas Cofer ("Cofer") filed suit in the Chancery Court for Bradley County ("the Trial Court") against Donnie Harris and Marcia Harris ("the Harrises", collectively). Cofer alleged that the Harrises were successors in a partnership established between Cofer and the Harrises' father, Homer Harris, regarding the development of a trailer park on Homer Harris's land.

After a trial, the Trial Court found that, rather than a partnership, a lease relationship existed between the parties. The Trial Court awarded the Harrises damages for unpaid rent. Cofer appeals, raising various issues. The Harrises raise one issue on appeal concerning the calculation of damages. We affirm the judgment of the Trial Court in all respects.

Opinion available at:
http://www.tba2.org/tba_files/TCA/2012/coferd_011212.pdf">http://www.tba2.org/tba_files/TCA/2012/coferd_011212.pdf

TN Supreme Court reviews whether an application for commercial credit contained language sufficient to bind the signer as an individual guarantor

84 LUMBER COMPANY v. R. BRYAN SMITH ET AL. (Tenn. December 12, 2011)

The president of a company signed a commercial credit application. The application contained language immediately above the signature line stating that the individual signing the contract personally guaranteed amounts owed to the vendor. The company defaulted on the balance of the account, and the vendor filed suit against both the company and the president.

The trial court granted summary judgment to the vendor, holding that the president had signed the contract both personally and in a representative capacity. The Court of Appeals reversed, holding that the president had signed the contract only in a representative capacity and granted summary judgment to the president. We hold that the application contained explicit language sufficient to bind the president as an individual guarantor of the contract. We reverse the Court of Appeals.

Opinion available at:
http://www.tba2.org/tba_files/TSC/2011/84lumber_121211.pdf

Center for Entrepreneurship at the Adams Law Firm

Please join our online Center for Entrepreneurship on Facebook. I post information and articles that are useful to entrepreneurs and small business owners.

Here is the link: https://www.facebook.com/#!/groups/193759283865/

Court reviews whether a purchaser of real estate effectively exercised its right to terminate a contract.

CAMERON GENERAL CONTRACTORS, INC. v. KINGSTON PIKE, LLC (Tenn. Ct. App. December 21, 2011)

Cameron General Contractors, Inc., a Nebraska corporation ("Cameron"), sued Kingston Pike, LLC, a Georgia limited liability company ("Kingston Pike"), for breach of a contract concerning the sale of real property located in Knoxville, Tennessee. Prior to trial, Cameron elected to exercise its contractual right to terminate the contract, and the case proceeded to trial on the issue of damages.

After a bench trial, the Trial Court entered its order finding and holding, inter alia, that the contract did not limit Cameron to the return of its earnest money, and granting Cameron a judgment against Kingston Pike for damages in the amount of $872,418.22, plus attorney's fees of $137,656.56. Kingston Pike appeals to this Court.

We find and hold that the contract at issue clearly and unambiguously provides that once Cameron chose to terminate the contract, Cameron's sole remedy for Kingston Pike's breach was a return of Cameron's earnest money deposit. We, therefore, reverse the Trial Court's October 28, 2010 order.

Full opinion available at:
http://www.tba2.org/tba_files/TCA/2011/cameron_122111.pdf