Tuesday, June 10, 2014

Do I Need a Lawyer?

One of the most common questions I hear from friends and is this: "Do I need a lawyer?"

Sometimes it's obvious that you need to call a lawyer. Those include things like:
  • You have been arrested
  • You have been in an accident
  • You have been served a summons or other legal document
  • You are getting a separation or divorce (or are considering it)
  • You have a dispute over child support, custody or visitation
If any of these situations apply to you, then the answer is most likely "Yes, you need a lawyer." Actually, if you've been arrested, the answer is "Exercise your right to remain silent. Ask for a lawyer. Then call a lawyer. Continue to keep your mouth shut until your lawyer tells you otherwise."

Other times, it may not be quite so obvious.
  • Are you buying or selling a house, particularly for sale by owner?
You may need a lawyer to draft a contract, or review one that has already been drafted.
  • Does someone (or some entity) owe you money that they refuse to pay?
If you have made a demand for payment and have not received it, a lawyer may be able to help you recover the money. Depending on the amount, you might be able to get it through a small claims court, which I will cover in a later post.
  • Have you been asked to sign a contract?
Particularly where the contract deals with a significant amount of money, rights to property (intellectual property or otherwise), or the sale or lease of real estate, you should consider asking a lawyer to review the contract before you sign it.
  • Have you been injured at work?
While the workers compensation insurance system may seem cut and dry, it is important to make sure that your rights and interests are protected, particularly if your injury is serious or will keep you away from work for a significant period of time.
  • Have you been discriminated against at work, or not hired, or fired for discriminatory reasons?
Employment decisions based on certain protected classifications (race, religion, sex, age, disability, etc.) are unlawful. If you have been discriminated against, call a lawyer.
  • Are you having credit problems?
If you are receiving debt collection calls and letters, have an inaccurate item on your credit report, or are having some other issue with your finances, you should consider calling a lawyer. These kinds of problems have a tendency to snowball if not resolved. Also, there are many consumer protection laws relating to commercial transactions, including loans, credit reporting, debt collection, and identity theft.  If you suspect that an entity has violated a state or federal regulation, call a lawyer. Also, your state's Attorney General probably has a consumer protection division that deals with some of these issues.
  • Do you have a will?
If you don't, you should probably have one. While you can try to draft one on your own or buy a form online, there is a real chance that all or part of it may be unenforceable in your state. Estate planning can be extremely complex, and only a lawyer licensed in your state can be sure that your will is enforceable. While it may cost you some money up front to have a will drafted, it can save you money in the long run, and you can be sure that your money and property will go where you want it to go.
  • Has a family member recently died?
Administration of an estate can be complicated and can take months or even years to become final. Hire a lawyer to represent your interest and things will go much more smoothly than if you try to tackle this on your own.
  • Are you considering starting a business?
In the tech startup world, there is a rule called "Thiel's Law" -- "A startup messed up at its foundation cannot be fixed."  This law really applies to any business, particularly if you plan to have partners in your business. The fact that a certain type of business entity involves less paperwork and fewer filings does not mean that it is best for your business. Do you know how income taxes are handled for an LLC vs a partnership vs an S Corp? Do you know which business entities are most attractive to investors? Do you want to pass your business on to your children? These are just a few of the many questions that need to be answered before you select a business entity. A lawyer will know which questions to ask and can advise you as to the best choice of entity.

The list above includes only a few of many different situations where you probably need to contact a lawyer.  If you need a lawyer, get a lawyer.  It's much easier to handle a legal situation at the outset than to step in at the last minute.  An ounce of prevention, and all that...

Until next time.


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