While some may think it necessary to break the law to succeed as a business, this can be a risky proposition. Illegally obtaining trade secrets, bribing officials, or engaging in other criminal activity can lead to fines, imprisonment, or both. However, some businesses will consider that the potential profits from illegal activities are worth the risk to them.
If your business has been caught in the act, then you will value the services of the defense lawyers los angeles has access to.
It depends on the business as to whether breaking the law is worth the risk. Some businesses, such as pharmaceutical companies, may have a greater incentive to break the law to get an edge on their competition. Other businesses, such as restaurants, may be more likely to fall foul of the law to avoid paying taxes. Neither can be condoned but there are defense lawyers to help when it is discovered.
Regardless of the reason, breaking the law as a business can be profitable, or such risks would not be taken. However, businesses that break the law can face significant fines and imprisonment.
Thankfully, some lawyers specialize in business law and know best how to defend clients and businesses that have taken the risks that we describe.
The types of crime you might have found yourself in trouble for may include:
Tax Evasion
Businesses will evade tax by underreporting their income, overstating business expenses, or not reporting certain income altogether. They may also set up multiple companies in different countries to avoid paying taxes in any one country.
Counterfeiting and Trademark Infringements
Counterfeiting is the act of producing a good that is identical to a legitimate good but is not authorized by the rightful owner of the trademark. This can include making knock-offs of designer clothes, making fake electronics, or printing counterfeit money.
Infringing on trademarks can be very profitable, as it allows businesses to sell products at lower prices than their competitors. However, it can also be risky, as infringing on trademarks can lead to legal action from the trademark holder.
Bribing Officials
Another way to break the law for business gain is by bribing officials. This can be done to get special treatment, business contracts or to get around regulations. Bribing officials can be very lucrative, but it can also be dangerous, as it can lead to imprisonment.
Bribing can lead to legal action for both involved or just the one that tries bribery. Surprisingly, perhaps, not everyone has their price.
Theft
Businesses may also break the law by stealing trade secrets, copyrighted material, or other proprietary information. Theft can be a very profitable business move, but it is also risky, as it can lead to legal action from the owner of the stolen property.
Liquor Licenses
To sell liquor, a business will typically need to obtain a liquor license. The principle of issuing licenses is to regulate the sale of alcohol. To obtain a liquor license, a business must complete an application and pay a fee. This leaves the system open to businesses not obtaining the license to save money. Also, if there are infringements concerning that license, it is a legal matter too. For instance, if alcohol was sold to someone underage.
Breaking the law can be a risky business, but there are plenty willing to take such risks for profit. This is why there is such a need for business lawyers to not just process business documentation but to defend clients that have been seen to have wronged the authorities.
In this article, we’ve discussed some of the laws that are most commonly broken by businesses. If you want help navigating these tricky legal waters, it will be in your best interest to contact the right specialty of lawyer and let them guide you. Sometimes there is no getting out of what you have done, but there can be ways to mitigate it or lessen the charge.
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