Recent News

The Forced Buy-Out: Lessons From Sound Infiniti

Washington State Business and Real Estate Lawyer David C. Tingstad | 9/2/2020
In this week’s blog, I review the classic Washington Supreme Court decision, Sound Infiniti, Inc. v. Snyder, 169 Wn.2d 199, 237 P.3d 241 (2010), which stands for one simple proposition: majority shareholders who follow the statutory rules may successful force out the interest of a minority shareholder – even over the objection of the minority… Read More

No, LLC Members Are Not Entitled To All LLC Documents

Washington State Business and Real Estate Lawyer David C. Tingstad | 8/26/2020
One of the first actions LLC members take when a membership dispute arises is to make a demand for LLC documents. Members often believe they are “entitled” to documents, including customer lists, trade secrets, and documents relating to the Company’s intellectual property.  Members making these requests are often surprised that they have no rights to… Read More

Fiduciary Duties, Entity Types and the Family Business

Washington State Business and Real Estate Lawyer David C. Tingstad | 8/19/2020
Often the harshest business disputes are those taking place where there ought to be the most love: in the midst of family. That is the context of this week’s case, which is the culmination of 10+ years of familial issues: Kesselring v. Kesselring, No 78764-1-I, 2020 WL 1675788 (Wn. App. Apr. 6, 2020). Highlighted in… Read More

A Rare Washington Fiduciary Duty Case

Washington State Business and Real Estate Lawyer David C. Tingstad | 8/12/2020
The sale of an interest in an LLC and fiduciary duties in the context of such a sale were the subject of a recent Washington Court of Appeals decision Tersuli Construction Services, LLC v. Miletich, No 78906-6-I, 2020 WL 3268044 (Wn. App. May 18, 2020). The LLC and Membership Buy-Out Tersuli is a dispute between… Read More

Of Professional Services Corporations, Murder And Valuation

Washington State Business and Real Estate Lawyer David C. Tingstad | 8/5/2020
I doubt anyone will ever put a TV show together based on business entity law.  My suspicion is that a large percentage of the viewing population would consider it too “boring.”  I beg to differ, and this week’s post on the King and Mockovak dispute supports my view.  When you read King and Mockovak Eye… Read More

Question With No Answer (Yet): Conflict Within LLC Act

Washington State Business and Real Estate Lawyer David C. Tingstad | 7/29/2020
As a member of the drafting committee of Washington’s LLC Act, RCW 25.15 (the “Act”), I know the difficulty associated with drafting. The committee spent years pouring over the Act and continues to work to improve it.  One of the issues that has provided some difficulty is an apparent contradiction between the dissociation provisions of… Read More

LLCs Are NOT Corporations

Washington State Business and Real Estate Lawyer David C. Tingstad | 7/22/2020
Many “good ideas” today take direction from other “good ideas” before them. This blog, for example, takes inspiration from other “bloggers” in the legal community, such as my friend Tom Rutledge, an expert in business entity law from Kentucky. I will certainly refer to Mr. Rutledge’s blog in future posts as he offers unique insight… Read More

LLC Member Dissociation – A Discussion

Washington State Business and Real Estate Lawyer David C. Tingstad | 7/15/2020
The Big Dipper is a club in Spokane known for its lively music and fantastic atmosphere. Unfortunately, it became the center of an ugly dispute between co-owners (and friends), which culminated in (almost certainly) the end of a friendship and the recent unpublished appellate decision, Brower v. Hoerner, No. 36442-9-III, 2020 WL 1282511 (Wn. App.… Read More

SBA Releases Simplified PPP Forgiveness Application

Washington State Business and Real Estate Lawyer David C. Tingstad | 6/17/2020
Earlier today—June 17, 2020—the Small Business Administration (“SBA”) posted a new loan forgiveness application for recipients of a Paycheck Protection Program (“PPP”) loan.  In May, the SBA released their first application, which I (very briefly) noted here. The SBA updated the new application so as to align with the recent changes to the PPP legislation. … Read More