Mitchell Pollack & Associates PLLCMitchell Pollack & Associates PLLC2026-05-28T16:40:13Zhttps://www.mpollack.com/feed/atom/WordPress/wp-content/uploads/sites/1204266/2025/03/cropped-siteiconPollakB-32x32.pngOn Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Why do you need a shareholder agreement to protect your business? ]]>https://www.mpollack.com/?p=502382025-02-25T12:51:07Z2025-02-25T12:51:07ZStarting a business with partners requires more than plans and promises. Many business owners focus on growth but forget about a key document that shields their company from future problems. A shareholder agreement stands as your first line of defense against business disputes, yet studies show that 4 out of 5 small businesses operate without one.
What is a shareholder agreement?
This legal contract spells out the rights and duties of everyone who owns part of your business. It sets the rules for making decisions, selling shares and handling disagreements. Think of it as a business playbook that tells you what to do when things are unplanned.
These points protect your business from costly court battles and keep operations running smoothly, even during tough times.
Real-world benefits you can't ignore
When shareholders know their rights and responsibilities up front, your business runs better. The agreement stops minor issues from turning into big problems. It also makes your company more appealing to investors because it shows your plan. The best time to create this agreement is when you start your business. At this point, everyone wants the best for the company and will agree more quickly on essential terms. Trying to create rules after problems start makes everything more complicated. Every business has needs, so your shareholder agreement should match your situation. A business lawyer can help you draft a contract that protects your interests and follows state laws. Getting professional help now costs far less than fixing problems later. ]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Is “quiet firing” legal?]]>https://www.mpollack.com/?p=502372025-02-14T20:35:25Z2025-02-14T20:35:25ZSigns of quiet firing
Quiet firing does not always involve overt action. If you find that your hours are reduced, or you are taken off a work schedule for several days at a time, but no one addresses it with you, this could be a form of quiet firing.
Another sign of quiet firing is having your work being transferred to someone else with no additional work given to you. If you are showing up to an office every day and sitting at a desk with nothing to do, despite asking, you could be experiencing quiet firing.
When you experience quiet firing, you may arrive at work every day wondering how you are going to fill your time and worried that you might receive notice that you are fired. If you eventually quit or are fired, this experience can leave you feeling undervalued and reduce your confidence when starting new jobs.
Although quiet firing is a red flag and sign of poor management, it is typically legal. However, sometimes quiet firing could be a form of constructive dismissal, which is illegal.
Constructive means that circumstances indicate that something is true even if it is not technically true on paper. In an employment context, it means that your working conditions are so bad that you are effectively fired even if you have not specifically been told so.
Constructive dismissal versus quiet firing
The difference between quiet firing and constructive dismissal is that constructive dismissal involves conduct by your employer which is so severe or frequent that it creates a hostile working environment.
A hostile working environment involves consistent behavior or actions designed to make you feel threatened, scared or humiliated. The behavior must be so bad that it interferes with you doing your job to the point that you feel you have no choice except to quit.
The behavior must usually involve more than one incident. For example, receiving one negative performance review or being subject to an angry outburst by your manager is not typically enough to create a hostile work environment.
When constructive dismissal becomes wrongful termination
In addition to a constructive dismissal claim, you may have a wrongful termination claim if your constructive dismissal claim is based on a protected category. Race and gender are examples of protected categories.
Determining if you have a case for constructive dismissal or wrongful termination requires a thorough investigation of the facts and circumstances of your employment experience. Proving constructive dismissal is not easy. You must meet the specific legal requirements.
Learning about your legal rights and options is best before acting. Even if you have already quit your job, you might still have a legal remedy available.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[How do NY courts handle non-compete and NDA cases? ]]>https://www.mpollack.com/?p=502362025-02-11T13:20:51Z2025-02-11T13:20:51ZBusiness owners in New York want to protect their companies from departing employees who might share trade secrets or join competitors. This makes non-compete agreements (NCAs) and non-disclosure agreements (NDAs) vital tools. Still, their enforcement often leads to legal disputes in NY courts.
What are non-compete and NDA agreements?
NCAs prevent employees from working for competitors or starting similar businesses after leaving their jobs. NDAs keep confidential information within the company. NY courts consider these agreements based on what makes sense for both the business and the worker.
NY courts and their stance
NY judges check three main points when looking at non-compete cases:
Does the business need this protection?
Will it make it too hard for the worker to find a job?
Why the business needs to keep the information secret
NY courts today favor shorter and more focused non-compete agreements. They work best when they:
Cover a clear area or location
Last for a reasonable time (usually 6-18 months)
Match the employee's actual job and field
Judges take NDAs more seriously, especially when someone might share company secrets. They can quickly stop employees from sharing information while the court case progresses. Courts can also fix agreements that ask for too much. Instead of throwing out the whole agreement, they can remove the parts that go too far, helping to keep the important protections in place. Getting expert legal advice early can save time and money if you face issues with these agreements as an employer or employee. Each case brings its challenges, and a lawyer who knows NY employment law can guide you through your options.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Preventing and addressing workplace harassment claims]]>https://www.mpollack.com/?p=502352025-01-24T14:35:54Z2025-01-24T14:35:54ZCreate clear policies
Start with clear anti-harassment policies. Define unacceptable behavior and describe what harassment looks like. Make sure your employees know the policies and the consequences for breaking them. In addition, provide regular training to help them recognize harassment and learn how to report it.
Encourage open communication
Employees should feel safe about reporting harassment. When they do, they are less likely to tolerate unruly behavior. Listen to them and show understanding. This can help prevent conflicts from getting worse.
Take the complaint seriously
Even with strong policies, complaints may still arise. When an employee reports harassment, you need to act quickly and professionally. Document the complaint and review the details. Let the employee know their matter will be handled confidentially.
Investigate the issue thoroughly
Gather evidence and talk to everyone involved. Treat all parties fairly and avoid making judgment. If needed, hire a third-party investigator to keep things unbiased. Also, keep the employee informed throughout the process.
Take immediate action
Once you complete the investigation, take immediate action. If you confirm harassment, respond appropriately. This may range from counseling to termination, depending on the severity of the offense. Make sure the affected employee feels safe and supported. Further, review and update policies to prevent future issues.
Preventing and addressing harassment claims is not easy. In cases such as this, you may consider consulting an attorney who can help ensure you follow legal guidelines and protect your business.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Disputes from the use of biometric data in commercial transactions]]>https://www.mpollack.com/?p=502332025-01-14T09:41:14Z2025-01-14T09:30:26ZBusinesses now often use biometric data, such as fingerprints, face scans and eye scans, to check who people are. This tech makes things safer and more manageable but raises significant legal issues that can lead to commercial disputes.
Legal matters
New York has special rules about using biometric data. The New York City Biometric Identifier Information Law says businesses must tell customers if they collect biometric data and forbids the sale of such data. Not following these rules can lead to legal fights and hefty fines.
Common problems
Several types of problems can come from using biometric data in business:
Privacy issues: Businesses must obtain the customers’ approval before collecting biometric data. Failure to do so can lead to privacy claims.
Data breaches: Biometric data is highly sensitive. A data breach can cause lawsuits for not keeping this data safe enough.
Misuse of data: Under New York's strict privacy laws, using or sharing biometric data without authorization can lead to lawsuits.
Knowing about these possible problems is crucial for businesses to avoid legal trouble.
Lowering legal risks
To lower risks with biometric data, businesses should:
Get informed consent: Always get explicit and informed consent from people before collecting their biometric data.
Use strong security measures: Use encryption and other security technologies to keep biometric data safe.
Perform regular audits: Regular audits ensure you follow New York laws and update as needed.
Doing these things can lower the chance of problems and build customer trust.
Getting legal help
Using biometric data in business has many advantages and significant legal duties. Knowing and dealing with these issues allows you to use biometric tech while lowering legal risks and maintaining your business's good name. Getting legal guidance assures you avoid legal trouble while ensuring your business thrives.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Is forced retirement legal?]]>https://www.mpollack.com/?p=502312025-01-06T08:00:10Z2025-01-06T08:00:10ZPicture this: you’re at the peak of your career, with years of experience under your belt, and suddenly, your employer offers an unexpected proposal to retire early. It’s a scenario that many seasoned professionals are worried about. Forced retirement can seem daunting, but understanding its legality is crucial. This short blog unravels the complexities of forced retirement and what it means for you.
Can your employer make you retire?
In 1986, United States lawmakers abolished mandatory retirement at a set age, offering a layer of protection to older employees. However, exceptions to this rule exist for professionals in certain sectors, such as the military, where physical fitness is critical. Unfortunately, companies sometimes attempt to downsize without layoffs by offering early retirement packages to their senior staff. While these offers might seem tempting, it’s essential to understand whether they come from a place of opportunity or coercion. In many cases, forced retirement can be a subtle form of age discrimination. Some managers nudge out older workers under the guise of generous severance benefits. However, there are situations where forced retirement could be lawful. For example, it is legal if an employee can no longer safely perform their duties due to age-related conditions. They can also voluntarily accept an early retirement package with attractive benefits from their employers. The key element here is choice. If the decision to retire is not genuinely voluntary, it might become illegal.
When to seek legal help
If you find yourself pressured into retirement, it’s crucial to assess whether your employer’s actions could be discriminatory. Were you specifically targeted because of your age? Did you feel forced to accept a retirement package under duress? These are vital questions that could determine the legality of the situation. Seeking legal advice can help clarify your rights and options. Lawyers specializing in employment law can guide you through the nuances and help ensure that your rights as an employee are protected.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Are you following these steps in progressive employee discipline?]]>https://www.mpollack.com/?p=502302024-12-16T19:04:51Z2024-12-16T19:04:51ZThe progressive discipline structure
The justification behind a progressive discipline structure sounds good, but what does it actually look like in practice? Here are commonly utilized steps in a progressive discipline structure:
Verbal warning: For something like a first-time policy violation, a verbal warning should suffice. Here, you simply put the employee on notice of the issue and advise them of how to correct it. Document when the verbal warning was given, being sure to specify when the conversation occurred, the justification for the warning and direction that was given to correct the issue.
Written warning: If your employee fails to remedy the problem at hand, then you’ll be justified in progressing to a written warning. This warning should clearly detail the policies and practices that have been violated, how they were violated and action steps that must be followed to correct the problem. A written warning should also specify what additional disciplinary steps will be taken if the issue isn’t resolved. Ensure that your employee understands what the document is saying before signing off on it, even if they don’t agree with it.
Suspension: If verbal and written warnings still aren’t leading to improved performance or corrected behavioral issues, then suspension could be the next step in your progressive discipline. This suspension can be without pay, which impresses upon your employee the importance of their wrongdoing. Again, be sure to clearly document the reasoning supporting the suspension and what is expected of your employee moving forward. At this point, it’s probably a good idea to advise your employee that this is the last step before termination.
Termination: When everything else has failed to bring your employee in line with your expectations, then termination can be effectuated. By this point, you’ve created a strong record of your attempts to assist your employee in correcting whatever issue is in play, which will decrease the risks of liability stemming from allegations of discrimination, retaliation and wrongful termination. Remember, if your employee does something egregious, then you can jump straight to this step. Otherwise, it’s a good idea to try to follow progressive discipline as much as possible.
Develop a discipline structure that protects your business
You have to be able to hold your employees accountable to ensure that their work meets your standards. But you have to implement discipline in a consistent fashion across all employees to avoid allegations of wrongdoing. That’s why now is a good time to think through your existing disciplinary practices and what you can do to strengthen them. Hopefully then you can rest easy knowing that you’ve done what you can to enhance performance and protect your business interests.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[Standing up to workplace bias: A guide for New Yorkers]]>https://www.mpollack.com/?p=502292024-12-11T15:38:54Z2024-12-11T15:38:54Zlaws protecting and empowering you to stand up for your rights. Here is a checklist of steps you can take if you are experiencing discrimination at work.
Document incident
If you suspect you are experiencing discrimination, it is crucial to keep track of what is happening immediately. Write down each incident as it occurs. Include details about what happened, when it took place, who was involved and who saw it. Make note of any comments, actions or decisions you believe are unfair because of your protected status. It would also help if you could save copies of your performance reviews or other documents that contradict the discriminatory treatment. These records can be valuable if you need to prove your case later.
Consider internal reporting
Many companies have established procedures for reporting discrimination. If you feel comfortable, you can talk to your human resources department about what you are experiencing. Remember, reporting discrimination is not only your right but also a crucial step in creating a safe and inclusive workplace culture within your organization.
File a formal complaint
If reporting the incident to your employer does not lead to a resolution, or if you feel unsafe reporting within your workplace, you may need to file a complaint with a government agency. In New York, you can reach out to the Division of Human Rights or the Office of the New York State Attorney General. You may also file a complaint with the U.S. Equal Employment Opportunity Commission. Be aware that there are time limits for filing complaints, typically 180 or 300 days from the discriminatory act, depending on the agency and the type of discrimination.
Seeking the support you need
Facing workplace discrimination is challenging but know that you have options. Remember, the more information you gather, the stronger your position will be if you decide to take action. While the process seems daunting, each step brings you closer to a more equitable workplace.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[How can you reduce the risk of shareholder disputes?]]>https://www.mpollack.com/?p=502272024-11-29T10:45:48Z2024-11-29T10:45:48ZEducate directors on their duties
It's crucial for the directors of a company to be fully aware of their responsibilities. Directors have fiduciary duties, meaning they must act in the best interest of the company and its shareholders.
Consider giving them special training sessions to help them get ready. This training will teach them what they need to know, so they can make smart choices and avoid problems that might happen because of misunderstandings.
Update legal documents
Your company's Articles of Association and shareholder agreements form the backbone of your business. It's important that these documents are current and aligned with each other.
Many businesses are established quickly, using generic templates that may not address specific needs or potential areas of conflict. Writing and regularly reviewing these documents with professional guidance may help prevent misunderstandings and disputes.
Consult legal professionals early
If you notice early signs of a dispute, don't wait for it to escalate. Engaging with a legal professional specializing in corporate disputes can provide you with strategic advice on effectively addressing the issue.
By seeking counsel at the first indication of trouble, you can often resolve matters before they develop into full-blown disputes. This may help you save time and money and preserve business relationships.]]>On Behalf of Mitchell Pollack & Associates PLLC<![CDATA[What are the do’s and don’ts in making an employee handbook?]]>https://www.mpollack.com/?p=502252025-04-16T19:55:42Z2024-11-06T20:34:16ZKey elements to include in your handbook
Make your handbook a helpful resource for your team. Think about adding these essential details:
Company mission and values
Fair employment rules
Policies against harassment and unfair treatment
Work schedules and overtime rules
Pay periods and time-off policies
Guidelines for employee conduct
Safety and security strategies
Also, add a section about employee benefits. Discuss health insurance, retirement plans and other perks you offer.
New York has specific laws that affect these policies. For example, the state’s Paid Family Leave law says employers must give paid time off for certain family and health reasons. Make sure your handbook follows these state rules.
You can also include information about New York’s at-will employment law that lets employers terminate jobs for any legal reason. But be careful how you write this to avoid a negative tone.
Areas to be careful about
Some topics need extra thought and a more thoughtful approach. It might be best to avoid or to address previous inclusions of these separately:
Promises to keep jobs
Strict punishment rules
Rules that might limit protected activities
Words that could seem unfair to some groups
Don’t use complex legal words that might confuse workers or lead to misunderstanding.
Be careful about putting noncompete agreements in your handbook. New York courts often don’t like these, especially if they seem too strict.
Keeping your handbook up to date
Employment laws change often. The New York State Department of Labor updates its rules regularly, so staying alert is practical.
Look over and update your handbook every year. This can enable you to follow current laws and best practices. Having an employment law attorney check it now and then can also help.
Your handbook does more than just list rules. It shows your company’s values and helps foster good working conditions. A clear, simple handbook cuts risks and tells workers what they can expect. When you make a good one, you’re setting up your company to grow and do well.]]>