Michigan Legalizes Recreational Marihuana: What does this mean for Private Employers?

Ross Keilen Business/Corporate Law

Michigan Legalizes Recreational Marihuana: What does this mean for Private Employers? On November 6, 2018, Michigan voters elected to allow the possession, use, and cultivation of marihuana (also known as “marijuana”) by persons twenty-one years of age or older. So, how might this effect private employers? Public employment of course differs as marihuana is still illegal under federal law. The …

What is a fiduciary duty?

Adam Keilen Business/Corporate Law

Under Michigan law, a fiduciary relationship is defined as “a relationship in which one person is under a duty to act for the benefit of the other on matters within the scope of the relationship.” In re Karmey Estate, 468 Mich 68; 658 NW2d 796 (2003), citing Black’s Law Dictionary (7th ed). Generally, Michigan law gives rise to a fiduciary …

Is a hypothetical promise enforceable?

Adam Keilen Business/Corporate Law

Short answer. Generally, no.  In contract law, an illusory promise is unenforceable due to indefiniteness, or lacking mutual obligation. For example, owner of a business forms an agreement to “pay for products if he feels like it.” Such promises are illusory because they merely hold the illusion of a contract – generally, courts won’t enforce them. Under the Restatement (Second) …

Are Noncompete Agreements enforceable in Michigan?

Adam Keilen Business/Corporate Law, Litigation

Short answer. Yes, but nuances affect how they are enforced.   Consideration. An enforceable noncompete requires legal consideration. Legal consideration means something was given, a legal value and bargained for exchange; in other words, “this for that.” However, the Michigan Court of Appeals held that “[m]ere continuation of employment is sufficient consideration to support a noncompete agreement in an at-will …

The contractual provision implied in every agreement – the implied covenant of good faith and fair dealing

Adam Keilen Business/Corporate Law

Generally, the implied covenant of good faith and fair dealing is a presumption that parties to a contract will handle the contract’s affairs in a manner that is honest, fair, and in good faith, meaning, neither party will, in bad faith, attempt to destroy the other party’s right to receive the benefits of the agreement. In other words, despite not …

Adhesion Contracts – What are they?

Adam Keilen Business/Corporate Law

A contract of adhesion is a standard form drafted by one party, usually a party with stronger bargaining power, and signed by the other party, usually a party with weaker bargaining power. Adhesion contracts most often involve a consumer who needs goods or services, and the consumer is required to adhere to the contract as a perquisite for the good …

What constitutes acceptance of an offer?

Adam Keilen Business/Corporate Law

When it comes to contracts, under Michigan common law, what constitutes acceptance of an offer? Under M Civ JI § 142.13, Acceptance, acceptance is a statement or conduct by a person receiving an offer that would reasonably lead the person who made the offer to believe that the material terms of the offer have been agreed to, although an offer may require …

Buy-Sell Agreements

Adam Keilen Business/Corporate Law

Questions Surrounding Buy-Sell Agreements. What happens when one partner is ready to exit the business? What are they entitled to? What are the surrounding terms and conditions of the transition/payment? Similarly, what happens if a business partner suddenly dies? What happens if an ownership interest goes to a spouse? How do such events affect the management of your business? These …