Remember: if you are looking for a pardon or record suspension, try a Canadian Pardon | Record Suspension Service.

OK, this is a bit odd…  When all the hub-bub over the proposed criminal record laws were being discussed, I was interviewed by a whole slew of media (CBC, Toronto Star, Canwest News, Goldhawk Live, etc.).  In that flurry, I missed an article by the Toronto Star that actually cited me…  The article was written over a week ago by Peter Small and Betsy Powell of the Toronto Star…  Here’s my honourable mention:

Michael Carabash, a Toronto lawyer who has written a book on criminal records, takes issue with the government making people wait longer, which he thinks could do more harm than good.

“I don’t know if government has any particular reason on why they want to make people wait longer, other than making the government look tough on crime.”

Not having a pardon means that people with convictions remain exposed to discrimination after they’ve done their sentence, he said.

This is strictly prohibited by the Charter of Rights and Freedoms, which says that once you’ve been convicted and punished for a crime, you’re not to be tried or punished for it again, he said.

So Betsy had interviewed me as part of a larger story on people taking issue with the proposed changes to the Criminal Records Act.  I had previously made comments in my blog to the effect that I didn’t understand why the government wanted to make people wait so long in order to be eligible for a pardon (or “record suspension”, as it is called in the proposed legislation).  I also pointed out to Betsy that people with criminal records have a tough time reaching their full potential in society: they may not be able to get a job, travel to the U.S., adopt a child, immigrate to Canada, and may even be discriminated against by police, the courts, and government agencies.  There’s definitely a social stigma attached to people with criminal records.  And don’t forget that the Charter of Rights and Freedoms says that, once you’ve been convicted and punished, you’re not to be punished again!  But people with criminal records are punished daily because of that stigma.  And not everyone with a criminal record (e.g. for something relatively minor they may have done long ago) deserves that stigma or continual punishment.  We, as a society, need that person to be productive, get a job, pay taxes, etc.  That was the point that I was making…

So even though I should have realized earlier that my interview with Betsy may have ended up in the Toronto Star, I got busy with other things and forgot to follow up to see if she had actually included anything I said in her article!  In the words of Homer Simpson: “Doh!”  Better late than never…

written by admin \\ tags: canwest news, charter of rights, charter of rights and freedoms, criminal record, criminal records, government agencies, immigrate to canada, proposed legislation, record suspension, record suspension canada, rights and freedoms, social stigma, toronto lawyer, toronto star

Toronto Personal Injury Lawyers: this is part 2 of a series of blog posts I’m writing about what they can do for you.  In this blog, I’ll be discussing dog bites in Ontario. Note: this isn’t legal advice and if you need a Toronto Personal Injury or Accident Lawyer, make a post on Dynamic Lawyers.

Under the Dog Owners’ Liability Act, the owners of a dog is liable for damages resulting from a bit or attack by the dog on another person or domestic animal: section 2(1).  The extent of the liability does not depend on the knowledge or propensity of the dog or fault or negligence of the owner: section 2(3).  But if the injured person was negligent and that negligence caused part or all of their injuries, then the court may reduce their damages in proportion to the degree of their negligence which caused those damages: section 2(3).  Interestingly, if a person gets bitten by a dog while trying to commit a crime, then the dog owner will NOT be liable UNLESS keeping the dog on the premises was unreasonable for the purpose of protecting persons or property.

Court Action: Provincial Offence
Court action can be taken by a Toronto personal injury or accident lawyer in the Ontario Court of Justice if a person violated the Act.  Also, a proceeding may be brought in the Ontario Court of Justice if it is alleged that (among other things) the dog bit or attacked a person or another domestic animal, the dog behaved in a menacing way to another person or animal, or that the owner did not exercise reasonable precautions to prevent the dog from doing either of those things.

Remedies
In addition to having to pay for damages, a court can order a dog-owner to take specific measures to have more effective control of the dog or for purposes of public safety.  The court can also that the dog be destroyed: section 4(1).

Caselaw
In R. v. Brenhouse (2004 ONCJ 286) (Ont. C.J.), two dogs attacked and injured a person in separate incidents.  The owner of the dog was convicted under the Act and an order that both dogs be destroyed and that the owner be prohibited from having dogs for 5 years.  The decision was appealed and the Ontario Court of Justice held that the orders were reasonable, appropriate and disclosed no error.

Remember: if you have been injured in a dog bite and need to speak with a Toronto Personal Injury Lawyer, make a post on Dynamic Lawyers.

written by admin \\ tags: dog bit, dog bit lawyer, Personal Injury, personal injury lawyer, toronto lawyer, toronto lawyers, toronto personal injury lawyer

Please note that the information provided herein is not legal advice and is provided for informational and educational purposes only.   If you need legal advice with respect to tax issues, you should seek professional assistance (e.g. make a post on Dynamic Lawyers).  We have Toronto business and tax lawyers registered on the website who can answer your questions.

As a follow up to my recent blog post about a corporate interest-free loan being made to a shareholder’s spouse, I thought it would be worthwhile to discuss one of the main exemptions to the tax treatment of that loan. Recall that, in my previous blog, the Canada Income Tax Act could apply to require the spouse to have to include in his or her income and pay taxes on the principal amount of the loan.

Recall that I also mentioned in that blog that there were exemptions to this rule.  One such example, which I will discuss in this blog, deals with repayment of the corporate loan within one year.  Section 15(2.6) of the Canada Income Tax Act provides as follows:

15 (2.6) Subsection 15(2) does not apply to a loan or an indebtedness repaid within one year after the end of the taxation year of the lender or creditor in which the loan was made or the indebtedness arose, where it is established, by subsequent events or otherwise, that the repayment was not part of a series of loans or other transactions and repayments [emphasis added].

So section 15(2.6) provides that, if the corporate loan to the spouse is repaid by the spouse within 1 year after the end of the taxation year (of the lender/creditor in which the loan arose), then it would not need to be included in the spouse’s income (and hence no taxes would need to be paid).  So, the spouse would not need to include the amount of the loan in his or her income and pay taxes on it so long as the loan was repaid within 1 year from the end of the corporation’s taxation year.  To better understand this situation, take the following example.  A corporation’s year end is August 31.  A shareholder’s spouse took out a loan on December 31st, 2008.  The clock would not start ticking until August 31st, 2009 and the spouse would only need to repay it by August 31st, 2011 to avoid including it in his or her tax return.

I bolded the last part of s. 15(2.6) for a reason. The Canada Revenue Agency Interpretation Bulletin (IT-119R4) on shareholder loans helps explain what is meant by the phrase “series of loans or other transactions and repayments”:

¶ 28. It is a question of fact whether or not a repayment of a loan is part of a series of loans or other transactions and repayments. In most cases, when there are only a few loans or other transactions and a few repayments made during a taxation year of a lender, there is no such series. However, when only one loan or other transaction and one repayment occur in each taxation year of a lender, a series of loans or other transactions and repayments may still be in evidence. This could occur, for example, when a repayment is of a temporary nature, such as a loan that is repaid shortly before the end of the year and the same amount, or substantially the same amount is borrowed shortly after the end of the year. Such a repayment of a temporary nature is not considered to decrease the loan balance in applying subsection 15(2) and paragraph 20(1)(j) to a series of loans or other transactions and repayments.

So if a shareholder’s spouse were to take out a corporate loan and repay that amount before the year end (e.g. August 31st), and then shortly thereafter take out “substantially the same amount” as was repaid before the corporation’s year end, then the Canada Revenue Agency may deem such transactions to be “a series of loans or other transactions and repayments” – for which the spouse will need to include the amount as income under s. 15(2).

Remember, if you need tax and/or business advice from a Toronto or Ottawa lawyer or attorney, go to Dynamic Lawyers and make a post.

written by admin \\ tags: canada, Canada Income Tax, corporate interest, corporate loan, income tax act, interest free loan, ottawa attorneys, ottawa lawyer, profit corporations, tax lawyers, taxable benefit, toronto attorney, toronto lawyer

There are many avenues for average Torontonians to find not only a lawyer, but the right lawyer for their particular case.  Unfortunately, most of these avenues are inconvenient and sometimes very costly (e.g. an initial meeting with a lawyer could run you a few hundred bucks!).

More often than not, people find a lawyer through word of mouth referrals from family, friends, colleagues, or other professionals they do know (e.g. bankers, accountants, consultants, real estate agents, insurance agents, paralegals, other lawyers they know, etc.).  This, in fact, is how most lawyers find their clients.

Alternatively, people may turn to the Yellow Pages and simply pick an advertisement and make a phone call.  I’ve been told that people tend to pick the biggest advertisement because they somehow believe that the bigger the ad, the more successful the lawyer or law firm.

They may even turn to the Law Society of Upper Canada’s Lawyer Referral Service, which charges users $6 for a 30-minute conversation with one lawyer.

The point here is that finding the right lawyer for you is an important undertaking.  You don’t want to have the lawyer who drafted your will or acted on your house deal to represent you in a criminal case: they may not be up-to-date on court room procedure or have experience cross-examining adverse parties.

Torontonians generally only need a lawyer for a limited time and have a limited budget for such engagements. Yet it is hard for these people to distinguish lawyers and law firms from each other, especially given that many small and medium law firms have a general practice. It may also be intimidating for them to approach lawyers with their legal issues, given that doing so may cost money (e.g. $500 for the initial hour visit) and ultimately retaining a lawyer could be very expensive given the uncertainty of hourly billings.

These factors make ordinary Torontonians shy away from seeking or hiring lawyers. Those sophisticated Torontonians who surf the Web looking for a lawyer are hungry for more information than what is provided in the YellowPages or a newspaper advertisement. They are doing a Google or Yahoo search to seek out a particular type of attorney in a particular field in a particular area. They are also looking for testimonials and looking for the experience of a lawyer.

All in all, it makes perfect sense for users facing these challenges to turn to Dynamic Lawyers as a way of finding the right lawyer for the right price.  Making a post is free and anonymous, posts remain on the website for up to 45 days, and users have the opportunity to receive information and multiple quotes from local lawyers specializing in the area of law requested.  Comparing answers and then following up with the lawyer of your choice is just plain smart – particularly in a field where it is hard to compare one service provider from the next.  All in all, a very good deal…

So now that you have found the right avenue to find a lawyer in a convenient and cost-effective manner: what next?  Well, let’s talk about legal fees.  Many lawyers will charge you a fixed fee for the first consultation.  At this meeting, they’ll ask you questions about yourself and your situation.  The lawyer is trying to understand the legal issues so that he can offer you some type of recommendation on how to proceed.  If the meeting goes well, you may end up signing the lawyer’s retainer agreement, which stipulates the services that are going to be offered and the fees that are going to be charged.  The fees are typically hourly fees ranging from $200 to upwards of $1000 / hour, depending on the size of the law firm, where it’s located (and it’s physical appearance and amenities), and the particular lawyer’s expertise and reputation.

At the first meeting with the lawyer, you should ask some basic questions related to:

1. What services will the lawyer specifically provide;
2. Billing, costs and budget;
3. Time line;
4. Communication (e.g. by phone, e-mail, etc. and how regularly);
5. Past Experience in a particular field;
6. Strategy;
7. Style (e.g. aggressive trial lawyer or alternative dispute resolution lawyer); and
8. Terminating the retainer (e.g. failure to pay, failure to act, breakdown in the relationship, loss of confidence, etc.).

written by admin \\ tags: breach of contract, charity status, Civil Litigation, commercial agreements, company intellectual property, criminal case, criminal offence, divisional court, employment agreement, family friends, finding the right lawyer, government action, government need, human rights and freedoms, landlord and tenant, law firms, law firms toronto law office toronto, law society of upper canada, lawyer referral service, lawyers, lawyers in Toronto, legal claim, legal toronto, notarize, referrals, small claims court, support government, toronto law firms, toronto lawyer, toronto legal services, Wills and Estates

Toronto law firms can help answer your legal questions, facilitate your transaction (e.g. business, real estate, wills and estates, family, etc.) or even represent you in court.  To find a Toronto lawyer or law firm, go to Dynamic Lawyers and make a post.  It’s free and anonymous and Toronto lawyers and law firms will respond to you with information and quotes for you to compare.

Here are some of the different types of legal services that Toronto law firms can offer:

• Accidents and Injuries: Involved in an accident where you suffered personal injury?
• Business: Need corporate or commercial agreements? Need to have a lawyer help you do a transaction?
• Charities and Not-For-Profit: Need to establish a Not-For-Profit corporation or obtain charity status?
• Civil Litigation – Higher Court: Have a serious legal claim that needs to be litigated in the Superior Court, Divisional Court, etc.?
• Civil Litigation – Small Claims Court: Have a legal claim (e.g. breach of contract, negligence, etc.) for less than $10,000?
• Constitutional / Human Rights and Freedoms: Challenging a law or government action / inaction?
  Criminal: Charged with a criminal offence? Appealing a conviction?
• Employment and Labour: Need an employment agreement? Unjustly terminated? Need to know your rights?
• Family: Going through a separation or divorce? Fighting to get custody or access? Dealing with spousal and child support?
• Government: Need to lobby the government? Need to resolve a dispute with a government agency?
• Highway Traffic Tickets: Charged with speeding or DUI? Need to fight traffic tickets?
• Immigration: Need to immigrate to Canada? Fighting against deportation?
• Insurance: Having difficulties with your Insurance company?.
• Intellectual Property: Need to register a copyright or trademark? Need help with a patent?
• Landlord and Tenant: Need a resolve a dispute? Need to know your rights?.
• Notary Public / Commissioner: Need to notarize or commission your documents?
• Real Estate: Need someone to facilitate your residential or commercial purchase, sale, or lease?
• Tax: Need help structuring your tax affairs? Need help resolving tax disputes with the Canada Revenue Agency?
• Wills, Estates and Trusts: Need a will? Need to update your will? Find out why having an up-to-date will is a must.

Try to consult with a couple of Toronto law firms and Toronto attorneys until you’re comfortable with whom you’re speaking with.  Toronto law firms differ in size, location, expertise, and reputation.  Go to Dynamic Lawyers and save time and money finding the right Toronto law firms and Toronto attorneys who specialize in the legal area you require!

written by admin \\ tags: breach of contract, charity status, Civil Litigation, commercial agreements, company intellectual property, criminal offence, divisional court, employment agreement, government action, government need, human rights and freedoms, landlord and tenant, law firms toronto law office toronto, lawyers in Toronto, legal claim, legal toronto, notarize, small claims court, support government, toronto law firms, toronto lawyer, toronto legal services, Wills and Estates

Toronto law firms can help answer your legal questions, facilitate your transaction (e.g. business, real estate, wills and estates, family, etc.) or even represent you in court.  To find a Toronto lawyer or law firm, go to Dynamic Lawyers and make a post.  It’s free and anonymous and Toronto lawyers and law firms will respond to you with information and quotes for you to compare.

Here are some of the different types of law that Toronto law firms can assist you in:

• Accidents and Injuries: Involved in an accident where you suffered personal injury?
• Business: Need corporate or commercial agreements? Need to have a lawyer help you do a transaction?
• Charities and Not-For-Profit: Need to establish a Not-For-Profit corporation or obtain charity status?
• Civil Litigation – Higher Court: Have a serious legal claim that needs to be litigated in the Superior Court, Divisional Court, etc.?
• Civil Litigation – Small Claims Court: Have a legal claim (e.g. breach of contract, negligence, etc.) for less than $10,000?
• Constitutional / Human Rights and Freedoms: Challenging a law or government action / inaction?
  Criminal: Charged with a criminal offence? Appealing a conviction?
• Employment and Labour: Need an employment agreement? Unjustly terminated? Need to know your rights?
• Family: Going through a separation or divorce? Fighting to get custody or access? Dealing with spousal and child support?
• Government: Need to lobby the government? Need to resolve a dispute with a government agency?
• Highway Traffic Tickets: Charged with speeding or DUI? Need to fight traffic tickets?
• Immigration: Need to immigrate to Canada? Fighting against deportation?
• Insurance: Having difficulties with your Insurance company?.
• Intellectual Property: Need to register a copyright or trademark? Need help with a patent?
• Landlord and Tenant: Need a resolve a dispute? Need to know your rights?.
• Notary Public / Commissioner: Need to notarize or commission your documents?
• Real Estate: Need someone to facilitate your residential or commercial purchase, sale, or lease?
• Tax: Need help structuring your tax affairs? Need help resolving tax disputes with the Canada Revenue Agency?
• Wills, Estates and Trusts: Need a will? Need to update your will? Find out why having an up-to-date will is a must.

Try to consult with a couple of Toronto law firms and Toronto attorneys until you’re comfortable with whom you’re speaking with.  Toronto law firms differ in size, location, expertise, and reputation.  Go to Dynamic Lawyers and save time and money finding the right Toronto law firms and Toronto attorneys who specialize in the legal area you require!

written by admin \\ tags: accident, accidents, agreement, attorneys, breach, breach of contract, charity status, Civil Litigation, commercial agreements, commissioners, company intellectual property, contracts, conviction, corpor, corporation, court, criminal, criminal offence, custody, different, different types of law, divisional court, family, firms, government need, human rights and freedoms, injuries, injury, insurance, landlord and tenant, law, lawyer, lawyers, legal claim, litigants, litigation, money, negligence, notarize, notary, offence, publicity, purchaser, quotes, separation, small claims court, support government, toronto, toronto law firms, toronto lawyer, toronto lawyers, traffic, types of law, Wills and Estates

There are many avenues for average Torontonians to find not only a lawyer, but the right lawyer for their particular case.  Unfortunately, most of these avenues are inconvenient and sometimes very costly (e.g. an initial meeting with a lawyer could run you a few hundred bucks!).

More often than not, people find a lawyer through word of mouth referrals from family, friends, colleagues, or other professionals they do know (e.g. bankers, accountants, consultants, real estate agents, insurance agents, paralegals, other lawyers they know, etc.).  This, in fact, is how most lawyers find their clients.

Alternatively, people may turn to the Yellow Pages and simply pick an advertisement and make a phone call.  I’ve been told that people tend to pick the biggest advertisement because they somehow believe that the bigger the ad, the more successful the lawyer or law firm.

They may even turn to the Law Society of Upper Canada’s Lawyer Referral Service, which charges users $6 for a 30-minute conversation with one lawyer.

The point here is that finding the right lawyer for you is an important undertaking.  You don’t want to have the lawyer who drafted your will or acted on your house deal to represent you in a criminal case: they may not be up-to-date on court room procedure or have experience cross-examining adverse parties.

Torontonians generally only need a lawyer for a limited time and have a limited budget for such engagements. Yet it is hard for these people to distinguish lawyers and law firms from each other, especially given that many small and medium law firms have a general practice. It may also be intimidating for them to approach lawyers with their legal issues, given that doing so may cost money (e.g. $500 for the initial hour visit) and ultimately retaining a lawyer could be very expensive given the uncertainty of hourly billings.

These factors make ordinary Torontonians shy away from seeking or hiring lawyers. Those sophisticated Torontonians who surf the Web looking for a lawyer are hungry for more information than what is provided in the YellowPages or a newspaper advertisement. They are doing a Google or Yahoo search to seek out a particular type of attorney in a particular field in a particular area. They are also looking for testimonials and looking for the experience of a lawyer.

All in all, it makes perfect sense for users facing these challenges to turn to Dynamic Lawyers as a way of finding the right lawyer for the right price.  Making a post is free and anonymous, posts remain on the website for up to 45 days, and users have the opportunity to receive information and multiple quotes from local lawyers specializing in the area of law requested.  Comparing answers and then following up with the lawyer of your choice is just plain smart – particularly in a field where it is hard to compare one service provider from the next.  All in all, a very good deal…

So now that you have found the right avenue to find a lawyer in a convenient and cost-effective manner: what next?  Well, let’s talk about legal fees.  Many lawyers will charge you a fixed fee for the first consultation.  At this meeting, they’ll ask you questions about yourself and your situation.  The lawyer is trying to understand the legal issues so that he can offer you some type of recommendation on how to proceed.  If the meeting goes well, you may end up signing the lawyer’s retainer agreement, which stipulates the services that are going to be offered and the fees that are going to be charged.  The fees are typically hourly fees ranging from $200 to upwards of $1000 / hour, depending on the size of the law firm, where it’s located (and it’s physical appearance and amenities), and the particular lawyer’s expertise and reputation.

At the first meeting with the lawyer, you should ask some basic questions related to:

1. What services will the lawyer specifically provide;
2. Billing, costs and budget;
3. Time line;
4. Communication (e.g. by phone, e-mail, etc. and how regularly);
5. Past Experience in a particular field;
6. Strategy;
7. Style (e.g. aggressive trial lawyer or alternative dispute resolution lawyer); and
8. Terminating the retainer (e.g. failure to pay, failure to act, breakdown in the relationship, loss of confidence, etc.).

written by admin \\ tags: ask a lawyer, choose the best lawyer, find a lawyer, find a Toronto lawyer, find lawyer, select a lawyer, toronto lawyer

Please note that the information provided herein is not legal advice and is provided for educational purposes only.   If you need legal advice with respect to business law and incorporating, you should seek professional assistance (e.g. make a post on Dynamic Lawyers).

A friend of mine recently asked what’s the deal with having the “Inc.” at the end of a business name.  To answer this, I’ll use the example: “Explosion Proof Refrigerator Inc.”

Well, basically, the “Inc.” is there to indicate that the business is a corporation.  A corporation is a separate legal entity that is created by statute (e.g. Ontario Business Corporations Act or the Canada Business Corporations Act) and which has the powers of a natural person (e.g. to enter into contracts, initiate a lawsuit, etc.).  More specifically, a corporation is a business entity with owners (shareholders) who may be separate from the managers (directors and officers).  The shareholders leave it to the managers to run the business on a day-to-day basis to increase their equity.  Shareholders get paid through dividends, whereas the managers get paid salaries, bonuses, wages, commissions, etc.  Importantly, the shareholders of the corporation have limited liability if the corporation gets into trouble: this means that the personal assets of the corporation, but not the shareholders, may be up for grabs in case the corporation gets sued and has to be damages.

When you come across the name Explosion Proof Refrigerator Inc., it simply means you’re dealing with a company.  The “Inc.” could also be one of the following: “Incorporated”, “Ltd.”, “Limited”, “Corp.”, “Corporation”, “Co.” or “Company”.  These terms all mean the same thing (i.e. that the business is a corporation).

Sometimes, you may see a name like Explosion Proof Refrigerator without a suffix like “Inc.”, “Ltd.”, “Corp.”, etc.  This could mean that the business is a sole proprietorship (which is not separate from the owner/manager, and who does not enjoy limited liability).

Furthermore, you might even see a name such as Explosion Proof Refrigerator c/o/b 123456 Ontario Ltd.  The c/o/b means “carrying on business as”.  The 123456 Ontario Ltd. is the actual corporation and the name Explosion Proof Refrigerator is simply a trade name which the corporation uses for business purposes.  This is quite common.  However, whatever the trade name is, the full legal name (with the suffix) must be used for contracts, invoices, negotiable instruments and orders involving goods or services issued or made by the corporation.  This is to ensure that everyone knows at the end of the day that they’re dealing with a corporation and not a person, sole proprietorship, partnership, joint venture, association, trust, estate, etc.

written by admin \\ tags: business name, corporate name, Dynamic Lawyers, explosion proof refrigerator, sole proprietorship, toronto lawyer, toronto lawyers

Note: this is not legal advice. You are always cautioned to turn to a lawyer if you feel you need to (e.g. by making a post on Dynamic Lawyers).  I am only providing this information for educational purposes only.

The consequences for failing to comply with a costs order include having an action stayed, having pleadings struck, or the court making “such order as is just”: rules 57.03(2) and 60.12 of the Rules of Civil Procedure.  Rule 60.12 deals with interlocutory cost awards (e.g. arising out of interlocutory motions). The party seeking these results would need to bring a motion in order to ask for them. The exact consequence will be determined on a case by case basis.

At the present time, the leading case on the jurisprudence concerning rules 57.03(2) and 60.12 is Burrell v. Peel (Regional Municipality) Police Services Board.

In that motion, Master Dash held that, in deciding whether to stay the action or strike the pleadings, the courts must try to strike a balance “between on the one hand the rights of an indigent litigant to have his or her day in court without concern that access thereto will be denied because of unpaid interlocutory costs orders and on the other hand the rights of other litigants not to be faced with litigants who, using impecuniosity as a shield against the costs consequences of their actions, are free to ignore the rules and orders of the court”.

While courts are somewhat reluctant to deprive a worthy but impecunious litigant of the opportunity to have his or her claim adjudicated when it is not plainly devoid of merit, litigants are not free to ignore or flout orders of the court awarding costs against them. Finally, among the factors the court should consider in determining what result is just on a motion to dismiss an action against an impecunious litigant for failure to pay a costs award are the consequences that led up to the award of costs (e.g. were costs awarded to deter bad behavior or simply against a losing party to a motion brought or resisted in good faith and on reasonable grounds?).

written by admin \\ tags: Civil Litigation, consequences, court, Dynamic Lawyers, failing to pay costs, lawyer, lawyers, litigants, litigation, merits, s in Toronto, toronto lawyer

Choosing an office site can be a length and time-consuming experience.  If you’re going to invest thousands of dollars and a lot of time in a space, you really need to be happy with it.  You should also appreciate the fact that you’re going to be stuck with it because the cost of relocating is prohibitive.

There are many advantages to starting a law practice in a large, metropolitan area.  As per Judge William Huss in Start Your Own Law Firm: A guide to all the things they don’t teach in law school about starting your own firm, (Illinois, U.S.A.: Sphinx Publishing, An Imprint of Sourcebooks, Inc., 2005), pp. 7-8:

Beginning a law practice in a large, metropolitan area has unique advantages and disadvantages. The advantages of a large city include the location of major courts and administrative bodies where the practice of law can be focused; large and easily accessible law libraries; a broad source of clients; and, easier client development due to the many ways of entertain and meeting clients.

However, it is much more difficult to determine the competition for the kind of practice that you want to begin. The number of lawyers is so large that you will have to join the sections of the local bar associations that relate to your practice in order to get some idea of who the practitioners are in that area. Frequently, only a portion of lawyers are active in their specialty section, making assessment of competition even more difficult for the beginning law firm.

In large, metropolitan areas, wages and expenses are higher. Rent, insurance, and professional services – such as accountants, insurance brokers, bookkeepers, and other specialists – will be more costly. Fees attorneys charge are higher in the metropolitan setting in order to provide for these increased expenses. Consequently, the cash flow in a firm located in such an areas has to be substantially higher than in a small town or medium-sized city.

In light of these insights, the ideal location for the law firm will be based on a number of factors, including:

• The law firm’s sustainable competitive advantage;
• Proximity to: the target market; major highways and intersections; existing and potential clients; partners/shareholders and employees; government agencies; existing and potential competitors; and the Courts.
• Internal considerations such as: electrical outlets/phone jacks; sufficiency of space; lighting and flooring; the need for renovation; and cleaning.
• External considerations such as: accessible and sufficient parking; neighbourhood and building noise; entrance to the building/security; neighbourhood demographics;
• Realty/business taxes; and the relevant zoning/by-law restrictions; and
• The terms of the lease, including: service contract; costs (i.e. net and gross lease); insurance requirements; and termination of the lease.

In what is to follow, I’ll touch briefly on some internal and external considerations.

With respect to internal considerations, the question often comes up: “How much office space does a lawyer require?”  The general rule of thumb is about 400-600 square fee of space per lawyer which includes 150 square feet for the lawyer, 150-200 square feet for the secretary, and 100-200 square feet for reception, photocopier, fax, storage, etc. (see Wendy E. Oughtred, Going It Alone: A Start Up Guide for the Sole Practitioner, (Aurora, Canada: Canada Law Book Inc., 1995), p. 64; and Felicia S. Folk, Getting Started: Opening Your Law Office (updated September 2004), Law Society of British Columbia, p. 12: online: Law Society of British Columbia.

As Wendy E. Oughtred notes in Going It Alone: A Start Up Guide for the Sole Practitioner, (Aurora, Canada: Canada Law Book Inc., 1995), pp. 60-66, external considerations are important because they touch on the law firm’s sustainable competitive advantage, public image, accessibility to clients, and business/realty tax considerations.  Adequate and accessible (and hopefully inexpensive) parking should be located nearby. Parking spaces should be made available as part of the lease. Parking lots can be prohibitively expensive (e.g. downtown) to certain clients and proximity next to them may be noisy and distracting.  On the issue of noise, the building’s interior may not be noise-proof and sounds (e.g. walking, talking, elevators moving, etc.) may permeate through the office, causing significant distractions. Neighbourhood noise is also an important factor.Worth mentioning here is that footsteps on wooden floors are very loud. Being close to a busy road or major intersection may generate a lot of noise. Construction, schoolyards, and shopping areas all have the potential to generate a lot of unwanted noise. If an office is located higher up in a building, noise may be less of an issue.  The entrance to the building should be attractive and well maintained. There should, ideally, be some kind of security in place. Insurance is no answer to insufficient security. Outsiders should not be able to gain access to the law firm’s office after hours and on weekends. It’s a costly mistake not to have sufficient security in place. The law office should fit with the neighbourhood demographics. For example, if the law firm’s objective is to be easily accessible to low and middle-class individuals facing family and criminal law issues, then the law firm should be located in a suburban strip mall or small building and close to recreation centres and courthouses or government buildings. On the other hand, if the law firm is going to cater to middle and upper-income individuals and small and medium-sized business run by persons of a certain ethnic descent, then the law firm should be situated in a modern or upscale office building in the heart of that ethnic community. Realty and business taxes affect both the law firm and its clients’ bottom lines.

With these things in mind, happy office hunting…

written by admin \\ tags: accountants, administrative bodies, bar associations, cash flow, choose the right location for your law practice, costly fees, hanging a shingle, huss, insurance brokers, judge william, law libraries, law school, lawyers, local bar, metropolitan area, metropolitan areas, professional services, Sole Practitioner, sourcebooks inc, sphinx publishing, thousands of dollars, toronto lawyer, wages