How do you guys pay your legal team for your businesses?

[yourreviewer]

Hello Folks,
I am contacting quite a few legal firms to know their fee for their services. Not surprisingly, they are expensive. Here is my problem.

I am planning to release an ebook related to 'Health and Wellness' niche. Though, I am not a health expert, this book has been written after thorough research. I have plans to release it via Clickbank and so I want to start a LLC or S or C. There are services like Legal Zoom that I can take advantage of to start a LLC or S or a C. However they don't provide legal advise. Some have suggested Legal Zoom would suffice while some have suggested me to contact an attorney.

Apart from the disclaimers, privacy policy, terms of use etc, I want to know what else I need to add and include from a legal standpoint before I release the product.

For those of you, who work and diligently consult their attorneys for their businesses, when did you go about hiring their services. Right now, I don't have a business and hiring an attorney seems super expensive. Did you folks wait till you had some decent money before you went about hiring an attorney or was it something that you did even before you started your business. If yes, how did you manage to pay them?

Are there any legal services that are of reasonable price that work on issues from starting a new business to intellectual property online.

Thanks,
Dan

[jmidas]

Hi Dan, this is not criticism - just a question: why do you think you need an attorney so soon? If it is just to prepare a disclaimer, privacy policy, etc. my opinion is that you are throwing away money you have not even earned yet. If you were able to do thorough enough research to write a book, you can certainly google up a ton of examples of those kinds of docs and use them as templates to modify for your own situation. There is nothing magical about any of those things.

And, you definitely don't need one to help you incorporate.

Personally, I think you are over-thinking the whole issue. It takes about 20 minutes to incorporate - you don't even need Legalzoom or the equiv. If you need some templates for this, there are books available that have all the forms you need - go to your local bookstore and browse them (a novel idea in our online world). All of the info you need is available free or for $20. It is really very easy. My advice: save your money - there are a million other things to spend it on before you will need an attorney on retainer.

PS - I am speaking from experience: I have been self-employed for over 20 years. I have started several companies, most of them corporations, some LLC. In 20+ years, I have spent well less than 5k on lawyers in total.

Just one opinion.

[yourreviewer]

Originally Posted by jmidas

Hi Dan, this is not criticism - just a question: why do you think you need an attorney so soon? If it is just to prepare a disclaimer, privacy policy, etc. my opinion is that you are throwing away money you have not even earned yet. If you were able to do thorough enough research to write a book, you can certainly google up a ton of examples of those kinds of docs and use them as templates to modify for your own situation. There is nothing magical about any of those things.

And, you definitely don't need one to help you incorporate.

Personally, I think you are over-thinking the whole issue. It takes about 20 minutes to incorporate - you don't even need Legalzoom or the equiv. If you need some templates for this, there are books available that have all the forms you need - go to your local bookstore and browse them (a novel idea in our online world). All of the info you need is available free or for $20. It is really very easy. My advice: save your money - there are a million other things to spend it on before you will need an attorney on retainer.

PS - I am speaking from experience: I have been self-employed for over 20 years. I have started several companies, most of them corporations, some LLC. In 20+ years, I have spent well less than 5k on lawyers in total.

Just one opinion.

Maybe I am overthinking. But I have been advised both ways which makes me confused. From a very young age, I have always obeyed the rules and laws to a tee and I am "suophobic" if you can call me. In fact, I have a deep inner fear that I will be sued. I don't know the reason- I have done nothing wrong legally till date nor do I have any plans of violating it. However I am quite gullible and ignorant of many issues. I fear that my ignorance will land me in trouble one day. As you know ignorance of law is never an excuse. So I am trying to make sure that I don't run into any kind of trouble.

However your experience is fascinating to know. 20+ years and just 5k? That's interesting.

[jmidas]

Again, just my opinion, but if you "follow the rules" and conduct your business the right way, you should be fine. I do this and have not had any problems. I guess I have been lucky, but I just don't have as big a fear of it as you do.

That said, we live in a world where anyone can sue anyone for anything - and unfortunately the person gettng sued has to prove their innocence, which can be expensive. BUT, if some idiot is going to sue you for some dumb reason, it will happen whether you paid an attorney for those kind of things or not.

[Steadyon]

Not legal advice but...

Get a book from amazon or B & N about starting an LLC in your state.

Then form the LLC yourself using an online website in your state etc.

Do what the book says.

In your ebook have all the various "This is not medical advice" disclaimers etc...

Have the copyright assigned to the LLC in your copyright notice.

Search on this forum for threads about wellness and protecting your ass.

Then start selling.

Just protect yourself at least a little by doing the above, especially in the health and wellness field.

The drug companies and their stooges are always on the lookout for people to attack in the natural health industry just so they can say "We know what's best for your health. Just take 5 of these drugs" etc...

Also, people only tend to get into trouble if they make unsubstantiated over-the-top claims and if they have a large public profile.

Just protect yourself, spend a few hundred dollars as above, not a couple of thousand at this stage if you see a lawyer, and you should be fine in the short term.

Then as you expand you can fine tune the above process if you deem it necessary.

If you want, you can pm me with any other questions, as we are in the health niche in a big way.

[Lloyd Buchinski]

I saw a disclaimer I practically admire on a health related website. Unfortunately I didn't record the url. It's "This web site is intended for informational purposes and is not meant to substitute for the advice provided by a medical professional. Always consult a physician if you have personal health concerns." Short and sweet and seems to cover everything well.

Richard Bernstein is the most remarkable example of dealing with your kind of problem. He was a 44 year old engineer who worked out a really good way of using insulin that kept your blood glucose in the normal range even after meals. He had been a diabetic since his early teens. When he wanted to publish the info he was told he couldn't because he had no medical qualifications.

He signed up for medical school, became a doctor, published the same info he had had for years, and now is very quickly being recognized for his books based on that technique he worked out before he went to medical school.

But oh well, guess I'm not going to go that way. Maybe I'll just subscribe to this thread and see if something just a bit faster comes up. I am also working on a health related niche site and am also super nervous about legal stuff. It would probably just take a single tiny hint of a threat to get me to pull it offline.

Hope something works out for both of us.

best wishes, lloyd

[gxd5]

My $0.02

I have a lawyer on retainer for intellectual property issues. I pay her to review my forms and to make custom NDAs and things like that. I usually do what you do... get a free form and customize it. Then, I have her go over it and make amendments.

She charges me $350/hr.

It seems like a lot, but it's absolutely necessary after a certain point. If you are not making any money, it probably doesnt matter. Once you get into the six figures and above, you need to have an attorney and make sure everything you do is legit.

Once, i had some unscrupulous 'partners' try to steal some of my intellectual property. They thought I was a stupid developer who did not do due diligence or understand my rights. They hit me with all kinds of scary legal documents ordering me to sign over my rights.

They were very rich and well funded - worth hundreds of millions - and they thought that I would roll over because they could 'afford to bankrupt me in court.' Unfortunately, the loser often pays the court expenses, and my lawyer is a former Microsoft litigator.

Once my lawyer fired back, they ran to the hills and I never heard from them since.

I guess what I am saying, once you are making your entire living off the net, you can't afford NOT to have a good attorney.

A couple grand to start retainer, a couple hundred to get your forms reviewed, then you have peace of mind.

If you plan to be successful, do it on a solid foundation. You may not like paying for them now. But I swear, once you get sued (and you will, if you get any kind of success), you will be SO PROUD of yourself for doing things right.

*edit*

Another point - the case law is so complicated, only a real attorney can keep up with it. For any of you bookshelf lawyers out there, if you actually do find yourself in court, a real attorney will eat you for breakfast. Word is bond.

[yourreviewer]

Originally Posted by gxd5

My $0.02

I have a lawyer on retainer for intellectual property issues. I pay her to review my forms and to make custom NDAs and things like that. I usually do what you do... get a free form and customize it. Then, I have her go over it and make amendments.

She charges me $350/hr.

It seems like a lot, but it's absolutely necessary after a certain point. If you are not making any money, it probably doesnt matter. Once you get into the six figures and above, you need to have an attorney and make sure everything you do is legit.

Once, i had some unscrupulous 'partners' try to steal some of my intellectual property. They thought I was a stupid developer who did not do due diligence or understand my rights. They hit me with all kinds of scary legal documents ordering me to sign over my rights.

They were very rich and well funded - worth hundreds of millions - and they thought that I would roll over because they could 'afford to bankrupt me in court.' Unfortunately, the loser often pays the court expenses, and my lawyer is a former Microsoft litigator.

Once my lawyer fired back, they ran to the hills and I never heard from them since.

I guess what I am saying, once you are making your entire living off the net, you can't afford NOT to have a good attorney.

A couple grand to start retainer, a couple hundred to get your forms reviewed, then you have peace of mind.

If you plan to be successful, do it on a solid foundation. You may not like paying for them now. But I swear, once you get sued (and you will, if you get any kind of success), you will be SO PROUD of yourself for doing things right.

*edit*

Another point - the case law is so complicated, only a real attorney can keep up with it. For any of you bookshelf lawyers out there, if you actually do find yourself in court, a real attorney will eat you for breakfast. Word is bond.

Thanks mate. Very helpful INDEED.

[Black Hat Cat]

Again, just my opinion, but if you "follow the rules" and conduct your business the right way, you should be fine.

The problem isn't following the rules, it's knowing what the rules are, especially in the health niche, or investing.

[Popstar]

You need to understand the laws in your state (if you're in the US).

It's a fallacy that having an LLC will protect you from lawsuits with a health product. Depending on the state, you may still be liable if someone files a tort claim against you.

Here's what that means... if someone says your product hurt them physically, it's possible that they can collect damages from you (not just your LLC) if they win in court. Depends on your state's laws, of course.

Your best defense in that case isn't simply your disclaimers... but a good insurance policy. They can be quite costly, though... especially if the insurance company requires you to get a top attorney to vet your manuscript.

So if you're afraid of being sued for that type of issue, you'd better check with an attorney about those types of issues before you publish.

An LLC may protect you against money claims, however... for example, if your business can't pay its bills and someone sues... again, check with an attorney regarding your state's laws.

But I really don't think you should seek legal advice on an Internet forum just to save a few bucks.

You can usually contact a top attorney and request a free 30-minute initial consultation to get some preliminary advice. Then if you decide to go ahead, you pay for what they do. Make sure they agree IN ADVANCE that the initial consultation is free.

[LegitSells]

Okay so I'm a little confused..

If I go to sell my own ebook, do I HAVE to have a Privacy Policy, Disclaimer, etc at the bottom of my page? Is this a legal action I have to take?

[yourreviewer]

Originally Posted by Popstar

You need to understand the laws in your state (if you're in the US).

It's a fallacy that having an LLC will protect you from lawsuits with a health product. Depending on the state, you may still be liable if someone files a tort claim against you.

Here's what that means... if someone says your product hurt them physically, it's possible that they can collect damages from you (not just your LLC) if they win in court. Depends on your state's laws, of course.

Your best defense in that case isn't simply your disclaimers... but a good insurance policy. They can be quite costly, though... especially if the insurance company requires you to get a top attorney to vet your manuscript.

So if you're afraid of being sued for that type of issue, you'd better check with an attorney about those types of issues before you publish.

An LLC may protect you against money claims, however... for example, if your business can't pay its bills and someone sues... again, check with an attorney regarding your state's laws.

But I really don't think you should seek legal advice on an Internet forum just to save a few bucks.

You can usually contact a top attorney and request a free 30-minute initial consultation to get some preliminary advice. Then if you decide to go ahead, you pay for what they do. Make sure they agree IN ADVANCE that the initial consultation is free.

Thanks for the advise. I am already seeing different suggestions based on personal experiences. At the moment, I just cannot afford an attorney but I will look around to see if there are any attorneys who can offer services at a reasonable cost.

Thanks