Koch & Schmidt LLC Koch & Schmidt LLC 2022-05-06T17:47:04Z https://www.kochschmidt.com/feed/atom/ WordPress /wp-content/uploads/sites/1101395/2021/04/cropped-favicon-32x32.jpg On Behalf of Koch & Schmidt LLC <![CDATA[Buyers’ and sellers’ markets: what’s the difference?]]> https://www.kochschmidt.com/?p=48158 2022-05-04T22:28:22Z 2022-05-04T22:28:22Z evaluating the market and determining the best course of action.

A buyers’ market

Every market is different, but sellers have less leverage in the buyer's market. Common elements include:
  • There are many similar properties for sale in the same area.
  • The number of properties for sale exceeds demand.
  • There are properties in the area for the same price with a better location or more amenities.
  • There is a shortage of serious buyers.
Concessions can involve providing additional incentives, lowering the asking price, or otherwise sweetening the deal to make that property stand out from the others.

A seller’s market

Sometimes the seller needs to wait for the right buyer in a hot market:
  • There is not a lot of inventory and many serious buyers.
  • Aggressive buyers may bid over the asking price or counter other offers.
  • Desirable properties move quickly.
Other details that strengthen the seller’s hand include selling a property that is well maintained, updated and stands out as unique from others in the area. It may be best to wait for the right offer in these circumstances. They can also try to start a bidding war by offering the property as a good deal.

The signals are not always easy to read

Real estate prices and appraisals will vary from person to person, even when experts do them, which means disagreements among realtors, lenders and others involved in the transaction. Considering the amount of money involved in these deals, buyers and sellers find it wise to discuss real estate deals and negotiation strategies with a local real estate law attorney who understands the market. They can help identify good deals from bad, and they even identify legal issues that will hold up the transaction.]]>
On Behalf of Koch & Schmidt LLC <![CDATA[A flawed commercial building and the headaches it brings]]> https://www.kochschmidt.com/?p=48152 2022-04-06T23:15:36Z 2022-04-06T23:15:36Z Faulty construction and design In many cases, faulty construction or faulty design are the sources of problems in new commercial buildings. In your mind, this was a solid and foolproof investment, but now you must weigh the factors that come into play when considering potential litigation. They include:
  • Level of severity in the structure’s problems: Is this building only an eyelash from being condemned? Are the structural cracks, leaks and poor ventilation causing danger to tenants? You may have to quickly pursue legal action.
  • The repair costs: Exorbitant repair bills are more than eye-opening. They shock you into reality that you have a major problem, especially if the costs surpass the amount that you paid for the building.
  • The strength of your claim: With additional inspections and an investigation, you can determine just how strong your claim and whether the building suffered from a deficient design or the builder relied on poor materials for construction.
The headaches caused by a defective or poorly constructed building can create a web of problems. You may even face claims by tenants.

Pursuing legal action

Investors face risks. As an investor in a new commercial building, you thought your team had every detail covered, every problem averted. Faced with a conundrum caused by a deficient structure, you may have no choice but to pursue legal action.]]>
On Behalf of Koch & Schmidt LLC <![CDATA[Creating a succession plan for your business]]> https://www.kochschmidt.com/?p=48150 2022-03-13T00:32:27Z 2022-03-13T00:32:27Z As you started forming your own business, you may not have thought a lot about who will take over if you pass away or when you want to retire. While you may have considered a handful of potential candidates to fill your shoes, it likely was not in the front of your mind.

However, having a succession plan is essential to owning a business. The sooner you create your succession plan, the more support you can give to the next person in line.

Here's what you should consider as you get ready to create a succession plan for your business.

Talking to the candidates

You may be surrounded by a mix of people who are either excited about taking over your business or those who are not interested at all. As you determine who is a good candidate, it is critical to talk to the people you have in mind to figure out who is genuinely committed and who might flake out.

Before you start having conversations, you should make your own list of traits you want to look for in an ideal candidate. By starting with characteristics instead of specific individuals, you can talk to people more objectively about their interest and what they bring to the table.

As you start talking to family members and other candidates, you should speak to them about the benefits and challenges of owning and running the business. You can help someone who is nervous understand why you love the industry and add perspective for someone who does not understand the job.

Supporting the right person

Once you narrow down your list, you can start getting them involved (or more involved) in the business's day-to-day operations. As they begin to develop their skills, you can start giving them the training and support that helped you gain success.

Depending on your timeline, developing your successor can include education and other training opportunities in your industry. Rather than having to learn some of the more difficult lessons, your successor could use your momentum to help your company continue to be successful for a long time.

On Behalf of Koch & Schmidt LLC <![CDATA[Crafting a balanced restrictive covenant]]> https://www.kochschmidt.com/?p=48147 2022-02-09T20:08:07Z 2022-02-09T20:08:07Z ensure the restrictive covenant is not too restrictive in the eyes of the court?
  • Protect a specific interest: Restrictive covenants are in place to protect specific interests such as a recipe, a process enhancement or other types of trade secrets. When a business attempts to place restrictions on vague concepts such as experience, industry knowledge or general understanding, the court will likely find the contract unreasonable and thus invalid.
  • Set reasonable time durations: Restrictive covenants generally specify a duration in which they are effective. The duration is typically two years. Relying on a duration longer than two years or including vague language about the duration could lead the court to find this provision unreasonable and unenforceable.
  • Avoid any sort of ambiguity: It is easy to fall into traps while drafting any type of contract. One trap is the reliance on industry jargon or undefined terms. Any instances of jargon, lingo or acronyms must be defined to the satisfaction of all parties. Relying on vague language to create intentional gray areas could ultimately invalidate the provisions in the contract.
It is reasonable for the business to put restrictive covenants in place to protect themselves. Unfortunately, certain strategies can invalidate the contract making it difficult to win a legal battle centering on these documents. Drafting a balanced contract can prevent elements of the provision from becoming unreasonable.]]>
On Behalf of Koch & Schmidt LLC <![CDATA[What does it mean for a vessel to be unseaworthy?]]> https://www.kochschmidt.com/?p=48144 2022-01-12T22:49:14Z 2022-01-12T22:49:14Z
  • Poor condition: If the vessel lacks the proper maintenance, workers can suffer devastating injuries. From missing non-skid pads to the lack of protective rubber stoppers, the ship’s condition itself can introduce new dangers to an already hazardous environment.
  • Missing gear: In general, if the vessel is missing safety equipment or warning signs in dangerous areas it can lead to life-threatening accidents. This missing information and gear can lead authorities to consider it unseaworthy.
  • Inadequate training: While the vessel’s condition and maintenance of its equipment are common contributors to unseaworthiness, inadequate training and lack of experience can lead to a dangerous environment. This can stem from excessive working hours, lack of adherence to OSHA guidelines or an insufficient number of crew members.
  • Essentially, experts consider the vessel unseaworthy if the physical condition, worker training or the ship’s equipment is not fit for its intended purpose. The vessel could be capable of sailing but still fall under the doctrine of unseaworthiness. Based on this doctrine, injured maritime workers can seek monetary compensation after an accident.]]>
    On Behalf of Koch & Schmidt LLC <![CDATA[Mistakes that commercial real estate investors must avoid]]> https://www.kochschmidt.com/?p=48142 2021-11-30T00:37:52Z 2021-11-30T00:37:52Z Failing to diversify Research, knowledge, patience, practicality and relationship building are key attributes of a successful commercial real estate investor. By learning about markets, investment properties and teaming with the right financial partners, you may avoid the following mistakes:
    • Having rigid and inflexible ideas regarding certain markets and properties: This may be that too-good-to-be-true investment situation. Keep your eyes and mind open, learn from investor colleagues and do not focus on a single property. Enlist the help of an asset manager who can help determine what may be right for your investment portfolio.
    • Neglecting to diversify your investments: This mistake comes in tandem with the one above. Every market is different and so are the upturns and downturns in each. Study different regions carefully and spread your investments around these different regions.
    • Failing to grasp the responsibilities of a manager: You must look beyond the money aspect and understand the additional duties such as finding tenants, negotiating leases and contracts along with properly maintaining the properties. Wide-ranging responsibilities exist.
    • Having preconceived ideas and expectations of investor partners: Each investment partner should have specific duties because each brings different strengths to the fold. To fend off potential conflicts within the partnership, negotiate and create contracts specifying the roles and duties of each person.
    A combination that includes the right investment opportunities, the right partners along with knowledge and understanding what you do not know may lead to a prosperous endeavor.

    Know your strengths, markets and partners

    A single mistake or an abundance of them can be costly for a commercial property investor. Such mistakes may lead to aspirations falling by wayside rather than successfully launching as you had expected. By studying prospective markets, knowing your strengths and your investment partners, success may not be far away.]]>
    On Behalf of Koch & Schmidt LLC <![CDATA[Tips for a successful business interruption claim]]> https://www.kochschmidt.com/?p=48137 2021-09-21T21:16:39Z 2021-09-21T21:11:20Z strengthen their insurance claims include:
    • Carefully draft your claim: A successful claim begins with a thorough knowledge of the policy, including its limits, exemptions, covered properties and other details. When you have mastered these details, you can make the strongest possible argument for the elements of your policy that apply to this specific situation.
    • Document damage: The interruption of business activities must be tied to physical damage to buildings, inaccessibility and other tangible factors. Take photographs of property damage, flooding and other ways the hurricane impeded your ability to conduct business.
    • Communicate with your insurer: It's a mistake to let the insurer tell you what your losses are. They do not know your business like you do and may neglect losses related to the unique qualities of your operation. By teaching the insurer about your business, you can work together to arrive at a fair and accurate total. It may be necessary to present revenue from previous years and other data that supports your claim.
    • Mitigate losses: As a business owner, you are responsible for doing everything in your power to limit losses due to business interruption. If you incur losses due to inaction, your insurance provider may decide that those losses lie outside of their responsibility.

    Don't go it alone

    Business interruption claims are complex and may require help from experts in construction, accounting, insurance and other fields. You should also consult an experienced insurance law attorney who can help you maximize your recovery while handling any disputes that arise throughout the process.  ]]>
    On Behalf of Koch & Schmidt LLC <![CDATA[The winch: a necessary and dangerous piece of fishing equipment]]> https://www.kochschmidt.com/?p=48134 2021-09-16T22:28:37Z 2021-09-16T22:28:37Z Potential for fractures and amputations With fall shrimp season underway in the Gulf region, many shrimpers regularly rely on winches. Not surprisingly, shrimpers are among the commercial fishermen most likely to sustain an injury via a winch entanglement, leading to fractures and amputations of the hands and arms. Such an injury occurs when their limbs become entangled in a winch’s cable. The National Institute for Occupational Safety and Health (NIOSH) reported that between 2000 and 2011, a total of 35 injuries involved winches among Gulf of Mexico shrimp fleets. Eight of those injuries proved fatal. What has the industry and agencies been doing to minimize potential tragedies? Well, NIOSH continues to conduct the testing of safer winches. In inexperienced and untrained hands, a winch is a potentially dangerous piece of equipment. This is why the owners of fishing fleets must provide their crews with reliable and extensive training in using a winch. As a commercial fisherman, you already know that you have one of the world’s most dangerous jobs. Please take the necessary care and precautions every time you go offshore in search of a plentiful haul. And make sure you have the right training and equipment provided by your employer.]]> On Behalf of Koch & Schmidt LLC <![CDATA[Shrimp season opens and crews face potential dangers]]> https://www.kochschmidt.com/?p=48121 2021-08-18T21:06:00Z 2021-08-18T21:06:00Z Falls overboard, onboard incidents Like any job in the commercial fishing industry, shrimping is dangerous. Comparing it with other fishing fleets that work in the Gulf of Mexico, shrimping accounted for the most fatalities in the region during the five-year period of 2010 to 2014, reports the National Institute for Occupational Safety and Health (NIOSH). The 25 shrimp fleet deaths represented more than half of the 49 fatalities during that period among fishing fleet brethren that include snapper/grouper, oyster, menhaden, crab and shark. The leading causes of death in the shrimp industry were:
    • Fatal vessel disaster (nine): Such incidents include fires, sinkings, capsizings and groundings forcing crews to abandon their vessel.
    • Onboard fatality (eight): These usually occur after a worker makes contact with equipment. They may be caught in a winch or struck by a hook or pulley
    • Fatal fall overboard (six): In all cases, the victims were not wearing personal flotation devices, and more than half occurred when the victim was alone on the boat or deck. Some of these incidents occurred after the victim became entangled in gear.
    • Diving fatality (two): Sadly, these incidents, too, occur and a diver may drown.
    Improper training and faulty equipment often account for the many injuries and fatalities within the commercial fishing industry. To keep the shrimp industry safe, we must keep our shrimp crews safe.]]>
    On Behalf of Koch & Schmidt LLC <![CDATA[Are viruses and infections common on cruise ships?]]> https://www.kochschmidt.com/?p=48097 2021-07-20T12:55:08Z 2021-07-20T12:55:08Z a virus can expand exceptionally fast. Many times, these illnesses can be traced back to norovirus. Norovirus is a highly contagious virus that can be transmitted in numerous ways including via contaminated food, contaminated water, contaminated surfaces or contact with a contaminated individual. The virus leads to an inflammation of the stomach and intestines and can lead to numerous symptoms, including:
    • Diarrhea
    • Nausea and vomiting
    • Fever
    • Headache and body aches
    • Stomach pain
    If the body’s intake of fluids is substantially less than the outflow (due to vomiting, diarrhea or fever sweats), an individual might suffer from dehydration. Symptoms of dehydration can include discolored urine, sluggishness, decrease in urination, severe headache, and feelings of dizziness and lightheadedness. Norovirus spreads easily on a cruise ship and can be hard to detect at first. Similar to the flu or common cold, the virus continues to mutate meaning that previous infection does not protect an individual against other types of the virus. If you have suffered food poisoning, an infection or any type of injury on a cruise ship, it is wise to explore your legal options for monetary compensation.]]>