Financing Term Sheet Deep Dive: Conclusion

Whether you’ve only recently decided to seek out capital for your business or you’ve already received (or made) your first offer, the term sheet (or “letter of intent”) is an integral part of the process.  

In this series we’ll look to shed some light on the legal language contained in that term sheet by taking a “deep dive” into the most often used terms and how choices made in selecting those terms can affect both Company and Investor.  Check out an overview here.

For more information, check out www.hoeglaw.com or drop Rick a line at rhoeg@hoeglaw.com.

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Here it is, the end of our “Financing Term Sheet Deep Dive” series.  In this post, we’ll discuss a few “straggler” term sheet provisions and offer concluding thoughts on the whole term sheet/financing process.

As we have these past months, we’ll begin each section by first looking at the model language itself.

Let’s get started.

Continue reading “Financing Term Sheet Deep Dive: Conclusion”

TGIF: May 5, 2017 – The “Delta” Between Service and (Wind) Schear

Despite what you may have heard, lawyers are, in fact, human beings with interests and hobbies all their own. They are not, I repeat not, robots sent from the future solely for the purpose of billing hours, drafting documents, and negotiating terms.  Not all of them anyway.  

In TGIF, I touch on some of my own interests primarily through the lens of the “Rules of the Game”, focusing on the rules and incentives that affect many aspects of our daily lives. I may even crack a joke or two. Hard to say.

TGIF will be published regularly on (surprisingly enough) Friday mornings. For more information, check out www.hoeglaw.com or drop Rick a line at rhoeg@hoeglaw.com.

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In the spirit of my last TGIF post, “On Being United“, comes the stirring sequel.

Flight 2222

Editor’s Note: Like most cases tried in the media and not in a court of law, there is a fair amount of dispute regarding the facts on the ground here.  In looking at the issues, I will attempt to keep an even view of the factual possibilities, but keep in mind that stories regularly change as each side gets its say.  The bulk of the facts presented here come from the investigative story posted at heavy.com here.

On April 23, 2017, Brian Schear, his wife, and his 2-year-old son, Grayson, boarded Flight 2222 from Maui to Los Angeles.  The family sat in three separate seats for which they had purchased tickets.

Sometime after boarding, the family was approached by Delta personnel requesting to have young Grayson removed from his seat.  The Delta attendants informed Mr. Schear that they were empowered to make this request because the seat in question was reserved under the name Mason Schear, the family’s 18-year-old son.

Mr. Schear explained to the Delta crew that he had paid for Mason to return to Los Angeles on an earlier flight expressly for the purpose of using the family’s third seat on young Grayson.

He taped the resulting confrontation.

Continue reading “TGIF: May 5, 2017 – The “Delta” Between Service and (Wind) Schear”

Start-Up Entrepreneur Series: Non-Competition

In the Start-Up Entrepreneur Series, I will be taking a deeper look into some of the most common questions early stage founders face in putting together and operating their new businesses.  

The Start-Up Entrepreneur Series will be published each Wednesday morning until conclusion. For more information, check out www.hoeglaw.com or drop Rick a line at rhoeg@hoeglaw.com.

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Last week, we discussed agreements designed to protect a Company’s intellectual property.  As part of that discussion, we brought up the concept of “non-competition”;  a provision (or set of provisions) designed to prevent a Company employee or contractor from absconding with the Company’s valuable information.

Today we discuss those provisions in more detail.

Continue reading “Start-Up Entrepreneur Series: Non-Competition”

TGIF: April 14, 2017 – On Being United…Against Ambiguous Contract Terms

Despite what you may have heard, lawyers are, in fact, human beings with interests and hobbies all their own. They are not, I repeat not, robots sent from the future solely for the purpose of billing hours, drafting documents, and negotiating terms.  Not all of them anyway.  

In TGIF, I touch on some of my own interests primarily through the lens of the “Rules of the Game”, focusing on the rules and incentives that affect many aspects of our daily lives. I may even crack a joke or two. Hard to say.

TGIF will be published regularly on (surprisingly enough) Friday mornings. For more information, check out www.hoeglaw.com or drop Rick a line at rhoeg@hoeglaw.com.

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United, Dr. Dao, and The Contract of Carriage

Well, United Airlines had an interesting week, didn’t they?  For those of you who missed it, this is how Wikipedia (!) summarizes the events of Flight 3411.

On April 9, 2017 just before 5:20 p.m., O’Hare International Airport police forcibly removed passenger David Dao from United Express Flight 3411 after he refused to depart the airplane upon the demand of management. Dao screamed as officers pulled him out of his seat, and his face hit an armrest during the struggle. Officers then dragged him by his arms on his back along the aircraft aisle past rows of onlooking passengers. He was later seen with blood around his mouth. Prior to the confrontation, managers offered compensation to passengers to vacate their seats to make room for four airline employees who needed to travel to the destination, Louisville International Airport. Three other passengers complied, and Dao was selected to be fourth.

After video of the removal (and apparent physical injury) went viral, more information came out.

Continue reading “TGIF: April 14, 2017 – On Being United…Against Ambiguous Contract Terms”