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Banning credit checks when hiring might protect from lawsuits

On behalf of Emmons & Jackson, P.C. posted in Employment Litigation on Wednesday, June 19, 2013.

Is it fair to conduct a credit check on a potential employee, and to use it as a reason not to hire him or her? Many people being interviewed for a job probably wouldn’t like their credit reports being used as hiring criteria. A growing number of states are passing legislation that agrees, even though a study by the Society for Human Resource Management says about half of employers use credit checks to screen potential hires, for positions in every type of job and experience level.

Nevada was the tenth state to ban credit checks as a hiring tool. Legislation would allow interviewees to sue the company and force them to offer a job if a person’s credit report information was the company’s reason for denying the job. This could open the door for more people around the country to file employment discrimination lawsuits, on the basis of employment being denied for the mere reason that they have credit problems.

Group suggests solutions to foreign company trade secret theft

On behalf of Emmons & Jackson, P.C. posted in Business Torts on Friday, June 14, 2013.

Whether it’s committed by a U.S. entity or a foreign company, intellectual property theft is a serious issue that has led to the loss of millions of American jobs each year, and drains billions from our economy. The Commission on the Theft of American Intellectual Property says the theft of trade secrets must be treated as seriously as terrorism and drug trafficking.

A recent advisory panel by the commission disclosed that trade secret theft from China alone costs the U.S. $300 billion annually. While traditional methods of theft continue to be a problem, hacking and stealing intellectual property is growing--especially in China, India, and Russia. China alone accounts for 50 to 80 percent of intellectual property theft from the U.S.

State Fair of Texas' iconic cowboy loses voice, upsets fans

On behalf of Emmons & Jackson, P.C. posted in Contract Disputes on Monday, June 3, 2013.

Texans are proud of their heritage and unique traditions. For many of us, these traditions include beloved icons, particularly Big Tex, the 52-foot tall animatronic cowboy that has stood outside the State Fair of Texas since the 1950s and greeted visitors to the event. Unfortunately, not even the much-loved Big Tex is immune to contract disputes, and recent problems have his fans upset.

Big Tex’s troubles began last September with a few mechanical problems with his hand. In October, an electrical short caused a fire to engulf the entire structure, dismaying thousands of devoted fans. Renovation efforts are underway to restore Big Tex before the next fair. But another icon, the 66-year-old man who has provided the figure’s voice for over a decade, has now been lost.

Texas paves way for settlement regarding e-book price fixing

On behalf of Emmons & Jackson, P.C. posted in Business Litigation on Wednesday, May 29, 2013.

When businesses are able to set competitive prices, it helps to encourage a healthy, open marketplace that gives consumers the chance to get items at a fair price. This also gives competing companies the chance to develop loyal customers and strong business partnerships. If the ability to change prices for fair competition is taken away, it not only isn’t fair for businesses who don’t have the choice, but also for consumers and the industry in general. Also, it opens the path for business litigation from consumers against companies that practice unfair competition.

Texas and Connecticut have conducted investigations against several companies suspected of price-fixing and collusion with electronic books, which was apparently started by Apple. Penguin has recently settled for their role in the price-fixing scheme, agreeing to pay $75 million to consumers in 33 states.

Helotes, Texas may get additional land from San Antonio

On behalf of Emmons & Jackson, P.C. posted in Commercial Real Estate on Wednesday, May 22, 2013.

The success of commercial real estate has a lot to do with space, location, and even territory. Small towns can face challenges that larger cities don’t often have to deal with, such as residential and commercial growth and expansion. Whether or not a city is able to support new industry can make the difference between a thriving economy and stagnating commerce. Additionally, smaller towns might face real estate disputes that are different from those that bigger cities are used to.

The Texas city of Helotes has been in negotiations with San Antonio about a land deal that would give Helotes more territory. For years, San Antonio and Helotes leaders have discussed the possibility of the smaller town gaining 6.7 square miles to allow Helotes to grow. San Antonio had originally offered Helotes a smaller piece, but the mayor of Helotes rejected it, requesting more land in order to achieve the town’s eventual economic goals.

Austin Fire Department being investigated for hiring practices

On behalf of Emmons & Jackson, P.C. posted in Employment Litigation on Wednesday, May 15, 2013.

It’s important for businesses to follow local hiring laws regarding diversity and equal opportunity. Failing to do so may result in employment discrimination litigation. Not even city and state organizations are exempt from the requirement to follow employment law.

The Austin Fire Department is being investigated by the U.S. Department of Justice for their hiring practices. Officials say they have information that indicates the department might discriminate against minorities during their hiring process. The Justice Department’s assistant attorney general has authorized the action to find out if the fire department has a pattern of discriminating against African Americans and Hispanics seeking employment with the department. Employment discrimination against minorities is a violation of federal law.

Texas company disputes contract terms with medical group

On behalf of Emmons & Jackson, P.C. posted in Contract Disputes on Tuesday, May 7, 2013.

Just as individual consumers are expected to pay their bills, businesses must also stay current with payments for goods or services under the terms of a contract. A company that fails to hold up to its end in a contract may end up facing breach of contract litigation.

In some cases, contract issues can be settled out of court, if both sides are willing to come to an agreement, or the party that caused the contract breach is willing to follow the terms. However, it isn’t always easy to resolve a contract dispute out of court. Texas-based Medhost is involved in litigation against a Naples, Florida company for breach of contract, after Medhost stopped receiving payments for their emergency room software.

Former PR vice-president sued over alleged non-compete violation

On behalf of Emmons & Jackson, P.C. posted in Business Litigation on Monday, April 29, 2013.

Some businesses have non-compete clauses in their contracts which employees are required to adhere to for a certain period of time after they’ve stopped working for the company. This is to prevent unfair competition, when a former employee might have an edge by knowing some of his or her previous employer’s business secrets. Additionally, it can hurt the company if a former employee takes some of its clients away after he or she leaves the company and starts up a similar business nearby.

To violate a non-compete agreement opens the door for business litigation. Since business contracts are binding in Texas, if a former employee is found to have committed a breach of contract, there’s a good chance the court will rule against that individual.

Proposed Texas bill would prevent LGBT discrimination

On behalf of Emmons & Jackson, P.C. posted in Employment Litigation on Friday, April 26, 2013.

There are employment regulations in place in Texas regarding discrimination, which protect businesses as well as employees. It's against the law in this state to discriminate against an employee based on his or her sex, race, religion, color, disability, and national origin. Employers who violate any of these rules face an employment discrimination lawsuit; likewise, if a terminated employee attempts to wrongfully get back at a former employer by filing a false discrimination claim, the former employee can suffer the consequences.

Texas lawmakers are considering a bill that will make discrimination illegal for gender identity or sexual orientation. Laws like this are already in place in many areas around the country. Employers can take steps to protect themselves from lawsuits by avoiding discrimination, and by being clear about the reasons for disciplinary action should it become necessary.

Kraft Foods opens business litigation against Cracker Barrel

On behalf of Emmons & Jackson, P.C. posted in Business Litigation on Thursday, April 18, 2013.

If two separate companies have different products with similar trademarked names, should they be able to sell their products in the same market? Newly-filed business litigation between two well-known food brands has begun that may have an impact in Texas as well as the rest of the country on how similarly-titled branded products are sold in grocery stores.

Kraft Foods has been known in grocery stores nationwide since 1957 for its line of Cracker Barrel cheese. The food company is suing the restaurant chain Cracker Barrel Old Country Store for trademark infringement, after the restaurant prepared its own line of food products for the grocery market, the first of which was a spiral cut ham. Although the restaurant's plans for consumer grocery food only included several different types of meat products, Kraft says their cheese brand sales will suffer, if not die completely, if the restaurant doesn't pull its infringing brand.

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