By Sharmil McKee on February 10, 2010
While having a small accounts-receivable balance indicates good financial management, (around 1.5% to 2.5% of your gross income), collecting past-due balances is a displeasing aspects of business. Studies show that 75% of receivables that are 3 months delinquent are paid. However, this number drops to 56% after 6 months. Therefore your delay in collecting past-due [...]
Posted in Litigation, Management, Start-ups | Tagged breach of contract, collections
By Sharmil McKee on February 4, 2010
Jill Scott is facing a possible multi-million dollar judgment. Her record label, Hidden Beach, is suing her for breach of contract. They claim that she promised to produce 6 albums, but she has only produced 3 so far. They are seeking to recover the money they would have earned had she produced the final 3 albums. [...]
Posted in Litigation, Understanding Contracts | Tagged breach of contract, celebrity, Litigation
By Sharmil McKee on January 19, 2010
A week ago, Conan O’Brian lost his job, as the host of the Tonight Show. Actually, it appears the Conan quit when the network (NBC) decided to more the show from 11:30 pm to 12:05 am. http://tinyurl.com/yz5xt7u The network’s decision was made after examining Jay Leno’s rating of his 10 pm show. The poor ratings [...]
Posted in Understanding Contracts | Tagged breach of contract, celebrity
By Sharmil McKee on December 27, 2009
Nicholas Cage is being sued for fraud.
Red Curb Investments alleges that Nicholas Cage failed to repay a $5 million loan. A loan is a contract where Party A agrees to lend money to Party B. In exchange, Party B agrees to repay the money on a certain day. When Party B fails to repay [...]
Posted in Understanding Contracts | Tagged breach of contract, celebrity, Litigation
By Sharmil McKee on August 29, 2009
Is a contract written in blood enforceable in court? No.
It is hard to imagine that in 2009, people would ever resort to using blood to write contracts. However, in 2009, the courts address two different contracts written in blood. The first was a $170,000 loan between two friends. The loan agreement was written in blood [...]
Posted in Understanding Contracts | Tagged breach of contract, Litigation
By Sharmil McKee on March 8, 2009
What can you do?
You are between a rock and a hard place.
Your vendor promised to repair the machine. The machine is central to your business; without it you can’t operate or make any money. You can’t afford to replace the machine, but you can’t afford to stay in business with a broken machine. How can [...]
Posted in Understanding Contracts | Tagged breach of contract
By Sharmil McKee on February 18, 2009
Can a buyer use ‘force majeure’ as an excuse to break or breach a contract, such our economic recession or depression?
Generally, no. Under Pennsylvania law, to use a force majeure clause as an excuse for non-performance, the event alleged as an excuse must have been beyond the party’s control and not due to any fault [...]
Posted in Asked and Answered, Understanding Contracts | Tagged breach of contract
By Sharmil McKee on January 4, 2008
A visitor emailed a question to me:
I am a graphic design company and one of my customers has been verbally abusive towards me and is spreading untrue rumors about my company that is damaging. Can I refuse to sell to her and/or terminate my business relationship?
This is my answer:
Thank you for emailing us. You [...]
Posted in Asked and Answered, Understanding Contracts | Tagged breach of contract, terminating a contract
