News & Insights

In a recent bankruptcy case, the debtor bought goods from the vendor and paid the vendor $1.9 million for the goods.  A court held that the vendor had to return those payments because the payments were not properly authorized by the bankruptcy court.  The payments - for the purchase of inv... Read more >

In a recent controversial opinion that allowed insurers and business owners to breath a huge sigh of relief, Maryland’s highest court upheld the constitutionality of Maryland’s cap on non-economic damages, meaning that a plaintiff’s claim for pain and suffering damages is limited regardless of... Read more >

If so, there may be changes in the way your loans are handled in bankruptcy court.  Although lenders never want to be creditors in bankruptcy proceedings, in the past they thought that if their collateral was sold, they could bid up to the full amount of their claim, without putting out any cas... Read more >

Effective October 1, 2010, the Maryland Legislature enacted the Maryland General and Limited Power of Attorney Act (Act).  The Act creates a statutory form power of attorney and provides that no one can require an additional or different form of power of attorney for any authority granted in th... Read more >

A recent case made it harder for an unsecured creditor to defend a preference avoidance action in a bankruptcy.  This ruling may be particularly troubling to unsecured creditors in the construction industry, because it involved the potential for payment from bond proceeds. The case addresses... Read more >

Contrary to popular belief, a limited liability company (LLC) does not offer absolute protection.  As with corporate officers and agents, members and managers of LLCs can be personally liable for wrongful acts they commit, even when acting on behalf of the LLC.  The protection a LLC does o... Read more >

Principal contractors in Maryland can breathe a sigh of relief – the Maryland Workers’ Compensation law does not make them responsible for the injuries that a subcontractor’s employees suffer on an out-of-state jobsite.  Nor do they have to ensure the subcontractor maintains workers’ co... Read more >

Imagine one of your employees, driving a company vehicle, rolls through a stop sign and smashes into another driver.  The other driver was speeding and was dialing a number on her cell phone.  So who is at fault?  And most importantly, who has to pay? Under current Maryland law, if... Read more >

Your small business wants to refinance a mortgage that is about to mature, but can’t refinance in the private market because the economic meltdown has left your business with real estate worth near the amount of your existing loan, or less.  If this sounds like you, the SBA’s new progr... Read more >