Choosing a Maryland Business Law Attorney: All You Need to Know

An Overview of Maryland Business Law

There are more than 500,000 privately owned businesses in Maryland that make up a large portion of its economy, according to the Maryland Department of Commerce. To prevent them from posing risk, the law has evolved to regulate this growth in order to protect both the business and the public. There are many types of legal issues that businesses commonly face, some of which require the assistance of an attorney who is well-versed in Maryland law and regulations. These include:
Formation, structuring, and governance of the legal entity;
Contract drafting and negotiation, compliance, and breach; and
Employment and labor – including non-disclosure and confidentiality agreements .
It’s important for business owners to be aware of why it’s essential to understand state-specific regulations. Some regulatory issues only apply to certain types of business entities or due to the establishment of a business in this particular state, so it not only affects their formation but also the way it will function and be taxed. For example, in Maryland, two personal liability protections are generally available while two types are not available. This is contrary to neighboring states like Virginia, where only one personal liability protection is available. On the flip side, Maryland offers the benefit of not having to appoint an MD resident as an agent for an LLC.

The Importance of Hiring a Business Lawyer

No matter what type of business you have, there are a lot of legal issues that affect a business owners. Whether you are opening a small retail store or are working toward starting a tech company, hiring a business law attorney can save you time, money and a headache down the road.
Assistance with business formation
If you’re starting a small business or even a large corporation, there are many steps you’ll need to carefully consider with regards to the legal aspects of your business. Opening a new business requires some paperwork to be handled and a number of decisions need made, such as which state to choose, how to select a business name, whether you should be an LLC or not, what type of taxes you’re going to be evaluated on, what type of records you must maintain, what type of licensing is required, how the process of dissolution will be handled and much more. If you are not an expert in business formation, you could miss an important step or make an error that could cost you later on. By hiring a business lawyer, you’ll have security in knowing that all of the legal requirements are being addressed.
Assistance with contract disputes
In business, individuals and organizations enter into contracts on a regular basis. Drafting up contracts is a process that a business owner should never handle without the experience of a business lawyer on hand. Many times, the party that has the most legal knowledge has the ability to write the contract terms in their favor or in ways an inexperienced individual does not realize. A contract lawyer can help you negotiate the terms of a contract, ensure that the terms of the contract are clear, draft the contract up and provide guidance throughout the entire contract process.
Legal assistance with various other matters
There are a number of other legal matters that a business may need assistance with over time. The amount of time that a business owner spends trying to learn about business law or legal matters could be much more efficiently spent at another aspect of the business or on other projects. A business law attorney can provide assistance with employee contracts, tax law, lawsuits, litigation, real estate and much more.
Many business owners don’t realize the financial benefits of hiring an attorney early on in the life of a business. Many attorneys work on a flat fee basis for certain types of contracts or business formation services, which means you know exactly what the service will cost before you even hire the attorney. By getting a business lawyer on your team right away, you’ll avoid large legal surprises and will always know exactly how much each task will cost. In addition, having a lawyer there to handle business-related disputes, such as employment or contract disputes gives you the peace of mind in knowing that the issue will be handled quickly and effectively, without a lot of extra effort on your end.
Conclusion
The value of hiring a business law attorney greatly outweighs the cost. With the help of an experienced business lawyer, you are able to get help with business formation, contracts, disputes, compliance and more. This legal guidance reduces the risk of business litigation and makes it much simpler for business owners to understand various aspects of the law that affect their business. Do you need assistance with various business law matters?

Finding the Right Attorney

When selecting a qualified business law attorney, it is important to identify the attorney’s specific area of expertise and experience. You should inquire about the amount of time the attorney has been practicing in this field and whether they have handled cases similar to yours. You will want to choose an attorney who has dedicated their entire practice to business law. You should have an in-depth conversation with potential attorneys as to how they handle billing matters, communication, and how they plan to represent the client in the future.
Ask the following questions to help you determine how suitable the potential attorney is for your business:

  • What part of your practice is devoted to business law? How long have you been practicing business law?
  • Have you handled cases similar to the facts of my case?
  • Do you handle business law cases in other states (including international transactions)?
  • Who within your firm will handle my case? Who will I interact with regularly?
  • What is your fee structure? Do you offer a payment plan?
  • How do you bill – retainer; by the hour; or flat fee? What is your policy if you don’t reach the desired outcome?

It is important to note that the final criteria to look for when choosing a business law attorney is personality fit. Personal rapport with your business law attorney is essential as you want to have a collaborative partner with whom you can successfully work through your business concerns.

Common Legal Issues for Maryland Businesses

The legal landscape for Maryland businesses is as diverse as the state itself. From the bustling tech corridors of Montgomery County to the maritime communities of the Eastern Shore, business owners encounter a unique set of challenges tailored to their industry, services, and target audience. These challenges often come in the form of legal hurdles that require the expertise of a skilled attorney to navigate.
Zoning laws, for instance, are a common roadblock. These laws govern what businesses can operate from which locations and can vary significantly from one municipality to another. This is especially crucial for businesses that need to be located in specific areas for operational or safety reasons—such as a bar that must adhere to alcohol licensing laws or a manufacturing plant that must follow environmental regulations.
Employment issues also often top the list of legal challenges for Maryland businesses. From navigating the complex maze of federal and state employment laws to settling disputes with employees, an employer needs expert advice on how to proceed with long-term planning. Laws cover a wide range of topics, including non-compete agreements, workplace harassment, pay and overtime claims, and benefits calculations.
Intellectual property is another area where a Maryland business might run into legal trouble—before they know it, they might be infringing on someone else’s copyright or patent, or they might find their intellectual property has been misappropriated. These are serious legal allegations, and resolving them is often time-consuming and expensive.
When navigating these and other challenges, an attorney should act as a strategic partner for your business. By providing guidance on how you can best navigate the legal landscape, they ensure your business can operate smoothly and legally.

Local Maryland Business Resources and Support

In addition to the guidance that can be provided by a business law attorney, Maryland has a plethora of local resources, associations and legal aid services dedicated to helping business owners get started on the right foot. These entities can be a valuable complement to the services provided by a business lawyer, providing the additional tools business owners need to develop their new company and stay in compliance with all relevant laws and regulations. The Maryland Department of Commerce is perhaps the state’s main avenue for assistance with business development and growth. The Small Business Resource Centers located throughout Maryland and operated through the Department of Commerce’s Division of Business & Industry have been serving the purpose of helping entrepreneurs and small businesses since 1983. Comprising both private and government agencies, the centers have helped to streamline the process of starting a business, finding funding sources, securing growth and expansion, and identifying affordable health insurance plans. Maryland’s Small Business Development Center, active through the Maryland Tech Connection, is another prominent business development agency, with expertise in planning, financing and marketing. The SBDC can assist with anything from planning a new business to equipping it with the tools needed for future longevity. Counselors are available to work with just about any aspect of business development , financing or key operational functions. The Anne Arundel Economic Development Corporation is another prime example of an organization that can contribute to the development and success of Maryland businesses. The AAEDC provides individual business development consulting services to identify areas in which efficiency could be improved and where future growth opportunities may exist. It also assists with marketing plans, helping businesses find angel investing partners and formulating business plans. Legal Aid of Maryland has numerous offices around the state that provide free legal help for a variety of issues. Attorneys at these locations take on pro bono cases to help people get back on their feet, and may be able to provide assistance with the following services: LCLD helps local businesses in a variety of industries through its network of representatives. For instance, brokers can help with equipment leasing, and lenders can assist with capital loans or lines of credit. CPAs can offer support in areas such as cash flow projections, tax compliance, and strategic planning in terms of credit and debt management. Attorneys can provide legal counseling and supply helpful resources that are needed for an effective business operation. None of the resources mentioned above is a replacement for the advice and guidance of a dedicated business law attorney. However, these organizations do illustrate that there is no shortage of support options in the state of Maryland.

Case Examples of When a Lawyer Helps

Sarah’s Boutique is a local fashion staple, known for its high-end designer labels. However, when another boutique nearby opened up, it became clear that there were issues with their trademark, as they had not registered it federally, creating a situation where "Sarah’s Boutique" could potentially be replicated in different markets. "Not only did we secure their federal trademark, but we also helped them obtain a bank loan for expansion, show them pitfalls to watch out for in franchising their brand, and help them negotiate their lease when they blindly signed it at the time," said the attorney firm who helped Sarah’s Boutique. Now, the boutique is looking to expand; at the rate they’re going, they’ll have been able to open a second location before their fifth anniversary. In another case, Steve’s Storage opened a warehouse and began accepting customers. Without preparing a proper contract (loading the 1 page to an existing customer was imprudent), they ended up giving their customer access to their warehouse, and letting them pick up whatever they wanted. "They were lucky that their customer was honest," says their attorney. Now they’ve been able to get out a proper contract and have stopped "loaning" out their wares. Viedel Marketing was recently sued by another marketing company. The plaintiff claimed "tortious interference" because Viedel took a client they were both trying to get. "The case was won, of course. But it did cost them a significant amount of money in the initial retainer fees and the litigation." Tortious interference suits can often take a significant amount of time to litigate and be difficult to prove, so would have been better settled through an arbitration clause in their contract. "Honestly, even if we do get cases like this, the clients are usually very happy with the results. We may not always win the cases, but they’re always sold on getting a lawyer who can provide them not just with the big picture, but also the details."

Ensuring Future Compliance

The benefits of hiring a business law attorney in Maryland go beyond the short-term. Engaging an attorney to prepare a contract or other legal document doesn’t have to be a one-off situation. Business owners can benefit from maintaining a relationship with their attorney well into the future. One of the benefits of this ongoing relationship is the ability for your attorney to perform a legal audit at regular intervals, allowing him or her to identify areas of your business that may be out of compliance with the law, and to ensure that steps are taken to resolve any problems before they snowball into an expensive lawsuit or fine. When you experience HR challenges with a current or past employee, your attorney can provide valuable assistance to you . Employees, former employees, and applicants have many rights in their relationships with employers, and violations of those rights could lead to costly litigation. Employees are not the only ones who are covered by employment laws. Companies must also comply with federal laws with regard to the safety of their premises and products. Even minor violations of product safety or labeling laws can lead to costly recalls and other actions that could put your business at risk. Your attorney can review your policies and assist you in drafting language aimed at ensuring compliance. If you have a breach of contract situation with a supplier or business partner, your attorney can help you find a resolution that is mutually beneficial. If litigation becomes necessary, your attorney will have all the documentation to argue your case.

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