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What is the best way to start a US daughter company for a European startup?

I've helped ~20 European companies go through the process you are considering. There is so much to discuss that I can only mention some highlights here and will refer to some of my blog posts on the subject.The post "Ten Tips for Success in the U.S." (http://danashultz.com/blog/2009/09/30/ten-tips-for-success-in-the-us/) provides a link to my Downloads page, where you can download (at no charge) an article that I wrote on the topic. Here is a brief list of the ten tips:Work with complementary businesses that are already established hereManage overseas personnel on the principle “trust but verify”Form your corporation or limited liability company properlyBe ready for a legal system that is different from the one back homeIdentify and protect intellectual property (IP) that is used hereDevelop detailed employee and independent contractor agreementsChoose an accountant with international tax experienceBe prepared to obtain a federal employer identification numberConduct due diligence on potential investorsAgree on business terms before you prepare a written agreementRe corporation vs. LLC, I find that most clients choose a corporation for marketing purposes: It seems more "real" than an LLC. (Please see "Should I form an LLC or a corporation?" at http://danashultz.com/blog/2009/08/14/should-i-form-an-llc-or-a-corporation/.)Obtaining and Employer Identification Number is an issue (http://danashultz.com/blog/2009/11/30/foreign-company-alert-obtaining-an-ein-may-be-your-biggest-challenge-in-the-u-s/), as is obtaining a visa if you want to work here (http://danashultz.com/blog/2009/12/24/visa-basics-for-foreign-entrepreneurs-coming-to-the-u-s/).You will need a tax advisor who is familiar with international tax issues.Disclaimer: This post does not constitute legal advice and does not establish an attorney-client relationship.

In India, is giving a contract to a builder for independent house construction a wise decision? What are the dos and don’ts of constructing a house in India? Which is the most economical way to construct a house?

Based on the information provided by you, I think the cost of construction may vary between Rs. 60-100 lakhs based on your requirement and the standard of construction. So, it would be wise to hire a builder with a good reputation for quality and timely completion. Before hiring a builder speak to his previous clients if possible and take their feedback.But before that I would suggest you hire an architect/civil engineer who has a good experience in designing houses. You may also insist for a budget estimate from him. Most people avoid hiring professionals to save some money, but I believe a good architect/engineer can compensate his cost by designing an economical and customized structure. After you are satisfied with the design, you can approach the builder. If you are confident about the builder's reputation, you may do away with the construction supervision from architect/engineer which may save you some money.Make sure you get an agreement signed with the builder before you proceed. The agreement shall include:specifications of construction like quality of cement, steel rebars, ready-mixed concrete, flooring, painting, electrical, sanitary items, etc.;construction schedule;agreed item rates or unit area rate as the case may be;terms of payment;provision for dispute resolution; etc.Take the help of your architect/engineer in drafting the agreement to suit your needs.However, if you are too tight on the budget and intend to cut corners, then I would suggest the following. But be warned it warrants your time and full attention and takes a toll on you as it involves dealing with a lot of different kinds of people.Hire a labour contractor to construct the basic structure (beams, columns, slab, walls, plastering), again... take feedback from his past clients. You supply all the materials like cement, sand, aggregates (or you can simply procure ready mix concrete from a reputed supplier like ACC), steel rebars.Hire a good plumber. You supply the sanitary items.Hire an electrician, you supply the required materials.Hire a painter, a flooring mason (for tile fixing), a water proofing contractor (for the roof)., a carpenter (doors, windows, wardrobes). Supply all the materials.Have agreements signed with all of the above (hardly 1 or 2 pages).Ask the architect/engineer to supervise the construction and help you with coordination by preparing the list of materials and construction schedule for all the above activities.Ensure that you supply the required materials well in advance. You don't want to be the cause of delay.Be prepared for heated arguments with all the above people.Visit doctor and check your blood pressure regularly.There is a considerable savings in cost if you choose the second option above because:Builders make profit on the materials. Furthermore, VAT is added on this profit.There is a risk of escalation of price of materials during the course of execution which the builder has to bear. It is accounted for in their rates.The overhead expenses of builders are high.Please note that I'm not suggesting one option is better than the other. Both have pros and cons. You need to weigh down both as per your requirement and decide.Happy Construction!

I am building a product demo for a company. If salary and compensation negotiations fall through, does the company have any claim to ownership on the code I have written?

This is why I love Quora: The variety of perspectives, or "Where you stand depends on where you sit." This question is the corollary of Startup Law: If I am outsourcing development/engineering, what steps can I take to ensure IP ownership remains mine? See my answer to that question, as well as the others who offer good advice. Most importantly, as with most legal questions, keep in mind it can vary depending on what state you're in, as well as the facts of the particular situation.Software is protected mostly by Copyright Law. Most people are familiar with the "work for hire" doctrine under U.S. federal copyright law that makes works of authorship created by an employee automatically the property of their employer if it falls within the scope of their employment. This is not the case for independent contractors or consultants. The only way the copyright in their work belongs to the person or company that engaged them is if it is assigned. Most technology and media companies that really want to do things by the book require every contractor or consultant to sign something called a Confidential Information and Invention Assignment Agreement, or "Proprietary Innovations Agreement," etc.; the exact name isn't important. This document serves at least two purposes: (1) NDA protecting the client's confidential information, (2) Assignment of intellectual property (the subject of this question), and often (3) covenant not to consult for competitors during some time frame and (4) covenant not to solicit the client company's employees for some period of time following the consulting engagement.In California, there's an important code section that should be referenced in the document (Labor Code section 2870); it's usually attached as an exhibit. Without going deep down that rathole, the concept is that an employer is prohibited by law from obligating an employee to assign rights in all IP he or she develops while on the company's payroll. It essentially guarantees the right of employees to "moonlight," subject to some conditions and exceptions. But wait, you say (if you're still paying attention), we're talking about consultants and contractors here, not employees! Yes, but government agencies and courts sometimes deem a contractor to be an employee, regardless of what the paperwork says (also a subject for another question), if the substance of the relationship "smells like" employment. California is particularly aggressive on this point. At any rate, to hedge bets, your typical California tech company will offer up an 8-10 page CIIAA (including exhibits) for both employees and contractors to sign on their way in the door. Here's an example, for illustrative purposes only (because I didn't draft it myself and can't vouch for its completeness): http://contracts.onecle.com/avantgo/confid.shtmlBack to the original question. It would be overstating things to argue that if an assignment (either in a standalone CIIAA or as part of the consulting agreement) hasn't been signed, the code automatically belongs to the contractor. In the interest of fairness, US courts will imply all kinds of things, including contracts, based on the course of dealing of the parties. So if they paid you money or granted you stock, there'd at least be an argument that an implied contract exists to assign the IP to the client. If they've literally paid nothing and generated no legal documents whatsoever, the company is in a very tenuous legal position regarding the code. (That said, "possession is 9/10 of the law," so if you've already delivered a copy of the code, having to sue them for payment really sucks.)

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