Instances Where A Business Could Need The Services of a Commercial Lawyer
A commercial lawyer generally works with businesses and other entities, rather than with individual people or families. The types of law are far different and so companies need specialist commercial legal skills. Any successful business or organisation will eventually need to deal with legal situations where the advice and services of an Auckland commercial lawyer will be crucial in regard to moving forward.
For example, when purchasing property or a large piece of equipment, it will be necessary for a commercial lawyer to assist with the purchase. They can look over the sales documents, any financing requirements, and reviewing leasing contracts.
Big commercial leases can be especially onerous on individual business owners so it is important that the lawyer makes sure that his client is not going to be stuck with a major personal expense such as a Personal Guarantee.
A business will retain a commercial lawyer for various purposes as they come. Another examples might be if a business should be sued. It is better to try to reach agreement out of court so the company’s lawyer can negotiate with t e other party’s legal advisors to try to reach a mutually agreeable outcome.
Often, companies will want legal advice at a moment’s notice. Therefore, you will often come across an Auckland commercial lawyer who is on retainer. That means that the lawyer is paid a certain fee in addition to normal fees so that legal advice will be readily available in such situations.
When a business is first formed, the lawyer will advise the founders on the type of corporate structure that would best suit their aims and ambitions. The lawyer will draw up the paperwork as to what form of business the company will be, and file with the necessary government entities.
A business might be a sole-trader i.e. a person working on their own. Another option is that a business could be formed as a partnership, meaning that the business consists of two or more people working in concert to run the business. Thirdly, a business can be a corporation, which means that a separate entity is formed to protect the owners from possible liability and to give the business a more permanent identity. Each of these has different risks, liabilities, and obligations so the commercial lawyer can advise which is going to work for the company at that stage.
Other duties of a commercial lawyer would involve drawing up sales contracts and agreements with suppliers. Commission agreements for salespeople, and leases for the securing of space for warehousing, manufacturing and other such uses where these properties are not owned, would fall under the areas where the lawyer would work.