Insulating Yourself from Personal Liability for Your Business
September 23rd, 2020 3:00-3:45PM| Q&AtoFollow
Many people know that in order to protect their personal assets, they need to incorporate their businesses. For example, forming an LLC for their business is a good first step. However, much more is necessary. Owners often fail to appreciate that if they do not observe corporate formalities and operate their businesses in a particular way, their personal assets could be exposed irrespective of the initial incorporation. Attorney Joe Colbert who serves as general, corporate and litigation counsel for many businesses will discuss the exposure points and how to avoid them so your personal assets are protected.
Joseph Colbert has practiced business law for over twenty five years. Among New York?s and Connecticut?s most successful and prominent attorneys, Joe has been identified among the top attorneys in the tri-state area. He is a general practitioner who focuses on the representation of organizations and individuals as general, corporate and litigation counsel. Joe taught as an Adjunct Professor Law for many years and also serves as a mediator and arbitrator. Colbert Law has various practice areas with offices in New York and Connecticut (www.colbertlaw.us).
Register at Link Below: https:/ / serendipitylabs.zoom.us/ webinar/ register/ WN_pPJzAP0ORtyOIbdEXNrcJQ
In New York City, sidewalk sheds are typical. In many instances, buildings have to install them to perform facade work. If dangerous exterior conditions exist, a sidewalk shed might have to be installed on an emergency basis. That’s exactly what happened at the Icon Building located at 306 West 48th Street back in 2017.
The condo installed the sidewalk shed after there was breakage of the tempered glass on the building’s north facade and prior failures of its glass curtain wall. The Building Department got involved, issuing violations and ordering that the condo immediately install the sidewalk shed. The neighboring building at 300 West 48th Street didn’t like the shed in front of its building, and it sued for trespass and encroachment in 2018.
In most cases, condos and coops that are required to install sidewalk sheds which infringe upon their neighbors’ property, obtain licenses from the neighbors captured in agreements before installing the shed. However, in an emergency, there may not be time to reach such agreement. It’s not clear whether The 306 West 48th Street Condominium approached its neighbors before installing the shed. That would have been a good idea, irrespective as to whether 300 West 48th Street would have been agreeable.
The lawsuit started in 2018 and it took one year for the condo to obtain a dismissal of the neighbor’s case. The condo argued for dismissal because it was required by the Building Department to install the shed on an emergency basis and as such, the condo “was required, while making repairs to the facade of its building, to erect a sidewalk shed for public safety purposes.” Thus, the Court held that the neighbor’s claims “are without merit and do not fit within a cognizable theory of trespass and encroachment.” You can’t have a trespass or encroachment when you are legally required to do something the condo argued.
The result seems to be correct, but a year of legal fees had to be incurred to get to an end. The neighbor may still appeal which would mean more legal fees and costs. Prior to infringing on a neighbor’s property rights, it is always a good idea to try to reach an agreement and avoid lawsuits like this. Sometimes, and especially in emergency situations, doing so is not an option, but in most cases it is possible to consult with your neighbor in advance, try to reach an understanding and memorialize it in an agreement.
