New Copyright Rules Affect Denver Small Businesses

Every three years the Librarian of Congress is required to review what works may be exempt from certain copyright laws.  In a recent statement, the Librarian made six exceptions during this review period.

The exceptions are:

  1. Circumventing DRM (digital rights management) software on DVDs to use short pieces from them for the purpose of criticism or comment, mostly by college or university professors and students;
  2. Enabling wireless telephone handsets to execute software applications where the computer program is lawfully obtained (i.e. jailbreaking);
  3. Enabling wireless telephone handsets to be used on a different network than the device was originally enabled for (i.e. so you can bring the iPhone to a network other than ATT);
  4. Security testing for video games;
  5. Accessing computer programs via outdated or damaged dongles; and,
  6. Accessing digital books through read-aloud functions.

While this doesn’t fundamentally change the fair use exceptions for copyright, it does help clarify them.  With some of the clarifications, namely the jailbreaking feature for phones, it may have a significant commercial impact

If you develop software for phone or have an issue that may be affected by the new rules, please contact me, your Denver small business lawyer!

Vandalism hits Boulder Justice Center

DISCLAIMER – I am not saying that vandalism of any type is good or condoning vandalism!

Although I usually write about small business legal issues as I am a business attorney in Denver, today I felt compelled to write about something else.  The Denver Channel reported that sometime in the last few days, an individual or group of individuals committed an act of vandalism at the Boulder Justice Center.  Now, as I noted above your Denver small business attorney is not condoning vandalism, but I do have to hand it to the vandals that their act was just a little bit funny.  Whoever did this put quotation marks around the word “Justice” so that the sign now reads Boulder “Justice” Center.  And, most people with a sense of humor would have to admit that the adding of quotation marks is a funny way to prove a point.

With that being said, as a Denver small business attorney I have to weigh in on the topic of justice in the legal system.  From my experience with the legal system, justice many times does have quotation marks around it because many times parties do end up on the losing end of justice when the legal system gets involved.  In some cases, judges do not have time to properly hear a case but make rulings anyway, because they are overworked and don’t have time to review all the issues like they should.  In some cases, the support staff cannot properly do their jobs, again usually because either there were never enough employees or the cutbacks have affected their departments.  Finally, in some cases, judges make rulings because they let their personal or political opinions get involved or for some other reason that really do not serve justice to any of the parties involved.

So, what is the cure?  I think there are several things.  First, we need to make sure there is funding to properly staff the courts.  Second, we need to create more specialized courts where the judges can know the law in the cases they are ruling on rather than being expected to know every area of the law.  For instance, the idea of courts just for business has been proposed but due to finances hasn’t come to light.  Third, in the cases of bad judges, citizens need to band together to remove them.

If you are in need of legal services to hopefully keep you out of the court systems, please call or email me, your Denver small business lawyer, today.

5th Circuit Ruling may impact DRM software use by small businesses

A recent ruling by the 5th Circuit Court of Appeals has brought up interesting questions about when it is okay to circumvent Digital Rights Management software.  In the ruling, the Court stated that “”Without showing a link between ‘access’ and ‘protection’ of the copyrighted work, the DMCA’s anti-circumvention provision does not apply.”  However, the question of what exactly is a fair use to circumvent the DRM is still in question.

In this particular case, the company in question bypassed the use of a dongle to access the software necessary to use a UPS (Uninterruptable Power Supply).  Because the software could be accessed once the dongle was used and read by anyone, the Court found that this was not a violation of the DMCA.

Although this case is in the 5th Circuit and Denver is in the 10th Circuit, this ruling may have an impact on Denver small businesses that provide or use software that is protected by DRM software.  If you are a software company that uses DRM software to protect your intellectual property, call to schedule a consult with your Denver Small Business Attorney Elizabeth Lewis today!

Negotiating Leases

A recent article in the Denver Post, the issues of leases in Cherry Creek Mall was discussed.  The biggest thing in the article that was a surprise to this Denver small business attorney was that landlords in the area aren’t negotiating for lower leases although there is a lot of empty space.  After further reflection though, this actually isn’t as big a surprise considering the area is a hot spot where people go to shop, eat, and be seen.  Although the spaces may be empty right now, as soon as the economy picks up it will probably come back quite quickly and since leases are for longer terms than the economy will (hopefully) be down, not wanting to get stuck in a long lease as a landlord isn’t surprising.

So how do you as a small business owner find the best lease for you?  First, location is everything.  While landlords in Cherry Creek North may not want to negotiate, there is a huge chance that landlords in other areas do.  You should ask your broker what areas are having tougher times getting tenants because landlords may be more likely to negotiate (although from the Denver Post article that isn’t true in Cherry Creek North).  Second, having the right people working for you is great.  Your broker should work only for you and not for both parties and should be able to negotiate terms for you.  Third, have your contract reviewed by a Denver small business attorney such as myself.  Your Denver Small Business lawyer will be able to find hidden issues such as renewal options, liability and insurance issues, and other clauses that may make the lease less desirable.

If you have any questions about a lease you are thinking of signing, call me Denver Small Business Attorney today for help at 720-258-6647.

The hidden 1099 nightmare with the health care bill!

Regardless of what side of the political spectrum you are on regarding the recently passed health care bill’s main goal of reforming the health care system, if you are a Colorado small business owner, the health care reform bill may very well be your worst nightmare.  There is a little talked about provision in it that, unless fixed, may end up costing your company big.  And it has NOTHING to do with health care.

In just a few lines, the health care bill will become an accounting nightmare for small businesses.  It states that all businesses starting in 2012 will need to file Form 1099s for all individuals and companies with which they have spent more than $600.00 in a year.  You spent $600.01 in catering with ChunkaMonka Cookies, now you have to prepare a 1099.  You hire Denver DataMan to train your employees and spend $1,000.00, another 1099.  And it isn’t even just smaller businesses that you have to send a 1099 to.  This means that if you buy a MacBook from Apple for your Denver small business, you will need to send Apple a 1099 and file a copy with the IRS.  (Please note I am not affiliated with ChunkaMonka Cookies, Denver DataMan or Apple.  I am in a program with the owners of ChunkaMonka and Denver DataMan and think they are awesome so I do recommend you check them out though and, well, it is Apple and the MacBook is really cool.)

As you can probably tell from the examples above, filing 1099s for every company you spend $600.00 or more with can quickly turn into a paperwork nightmare.  Even as a small business attorney in Denver, I can tell you that I spend more than $600.00 with a lot of companies through my business.  And I can also tell you, I don’t know exactly who I would send the 1099 for the United States Post Office to.

So what should you do about this?  First, the IRS is taking comments on the issue.  So contact the IRS and let them know what a nightmare this would be for your business.  Second, contact your representative and senators.  Third, get the word out to your fellow business owners in Colorado and throughout the US.

Should you need any help with a legal issue in Colorado or the Denver Metro area, please contact me, your Denver small business attorney!

Thank you from your Denver small business attorney!

Thank you for all your emails, calls, and posts on Facebook.  My son is doing great and turned one month old on Friday!  I have returned from maternity leave and am excited to start working with all my existing clients and to help new clients!  If you need to schedule an appointment, please call or email me.  I have both phone and in-person appointments available starting July 26th.

I also have several events that I will be presenting at over the next few months.  For more information, please click on the links below:

August 27th – South Metro Denver Chamber of Commerce WIL Conference

  • I will be presenting on the “Flourishing Financially” panel on business financing
  • RSVP is required and there is a fee to attend
  • If you are not a Chamber Member and would like to attend, please contact me

September 9th – SBDC Presentation – Avoiding Legal Pitfalls of Advertising Online

  • I will be presenting to the Small Business Development Class on Online Advertising Law
  • Open to the public but RSVP is required and there is a fee to attend

September 22nd – Boost Denver Meetup

  • I will be presenting to the Boost Denver Meetup group
  • Topic TBD
  • Open to the public, but please RSVP on the Meetup site for the group

Again, to all my clients and business associates, thank you so much for your well wishes!  Having clients and business associates like you are the reason that I love what I do!