Published on:

Thumbnail image for contract.jpgMany commercial contract agreements have provisions for attorney’s fees in the event one party breaches the contract. The question is: what does Georgia law say about collecting attorney’s fees from a contract? The Official Code of Georgia Annotated law, O.C.G.A. § 13-1-11, talks about the validity and enforcement of obligations to pay such fees.

Specifically, Georgia law O.C.G.A. §13-1-11 states that obligations to pay attorney fees and an interest rate shall be valid, enforceable, and collectable as part of a debt if collected by an attorney, as long as it is subject to the following:

(1) If your contract provides for attorneys fees in some specific percent of the principle and interest it will be valid and enforceable, but you can never charge over 15 percent of the principal and interest.

(2) If the term in the contract just doesn’t specify a percent, then the provision will be interpreted to mean 15 percent of the first $500.00 of principal and interest and 10 percent of the remainder.

(3) You need to first notify the person who owes you the money in writing that they have ten days after receiving the notice to pay the principal and interest they owe without having to pay for attorney’s fees. If they pay the principal and interest in full before ten days then they won’t be obligated to pay attorney’s fees. If the person who owes you the money refuses to receive delivery of your notice, it will still be considered giving notice.

You do however need to make sure you request the attorney’s fees in your demand letter because if you don’t include any reference to the attorney fees provision in your contract, then you have no right to them. And, if you need to sue to collect the money you are owed, a court cannot award you them either if you never provided notice. E.g. Quintanilla v. Rathur, 227 Ga. App. 788, 490 S.E.2d 471 (1997). Trust Assoc. v. Snead, 253 Ga. App. 475, 559 S.E.2d 502 (2002).

Since you do need an attorney to collect “attorney’s fees,” you do need to make sure you have competent legal counsel representing you in your business dispute involving a breach of contract.

But this is a good thing. Using an attorney’s fees provision is a good way to make sure you cover the cost of your legal fees in the event you get into a business dispute. Having an attorney to help you navigate complex Georgia law is much better than going it alone. In fact, going it alone is the best way to end up in a bad situation. Unfortunately, many times our business clients come in after their situation leaves them with no choice other than retaining legal counsel.

Hire an attorney who can set up preventative measures that place your business in the strongest financial and legal position possible. Smart business owners know this and know that retaining an attorney in order to set up their business to ensure that preventative measures are in place is the best way to save money and make money down the road. For example, it is key that competent legal counsel draft your contract in order to carefully preserve your legal rights. Not only to protect your business interests, but also so they can do the ” smaller things” ensuring that your contract allows you to collect attorney’s fees in the event you must go to court for a breach. These “smaller things” end up being huge, in the long run.
Continue reading →

Published on:

Sometimes the different types of names for contracts can be confusing. Clients may be unclear as to what type of contract they have or what these words mean. Here is a brief explanation of the various kinds of contracts under Georgia law in simple plain English:

1. Executed Contract: This means that both parties to the contract have done what they are supposed to do. For example, if you pay me $2000 to deliver some cows, chickens, and horses to your farm and I do it, we have an “executed contract.” This means you did what you were supposed to do (pay me the money) and I did what I was supposed to do (deliver the farm animals.) There is nothing left to be done. O.C.G.A. § 13-1-2.

2. Executory Contract: Now let’s say that you paid me the $2000.00 and I delivered you the cows but I still had to deliver the chickens and horses. This is an executory contract which means that something still remains to be done by one of the parties to the contract. O.C.G.A. § 13-1-2.

3. Contract of Record: When a plaintiff (the person who claims injury over a contractual dispute) sues another (the defendant) in court over a contract and the Court renders judgment in favor of the plaintiff that court judgment becomes a contract of record. O.C.G.A. § 13-1-3. So for example, let’s say you hired me to represent you in a breach of contract dispute against Bob who was failing to deliver the chicken, horses, and cows you had paid him for. We sue Bob for breach of contract. The judge rules in your favor and awards you $10,000. That means that judgment becomes a “contract of record.”

4. Specialty Contract: This is just a fancy term for a “contract under seal” which is rarely done, but is considered a formal contract of “higher dignity” and is also subject to a longer statute of limitations. O.C.G.A. § 13-1-4.

5. Parol Contract: This is generally an oral contract and is just as legally enforceable as a written one. (Note there are limitations. Certain types of contracts always must be written.) O.C.G.A. § 13-1-6

6. Absolute or Conditional Contracts: A contract may be either absolute or conditional. Whenever you see words like “as long as” you know something is conditional. For example, a contract that says I will hold a pool party for you this Saturday in exchange for $1000.00 as long as it is sunny weather would be a conditional contract. The condition of course being the weather. If it rains on Saturday, there is no obligation to perform. O.C.G.A. § 13-1-7

7. Entire or Severable contracts: A contract can be “entire” which means the entire contract stands or falls together. This is not an ideal contract and is a good reason as to why it is so important to have an attorney draft your contract. For example, the lawyers at our firm draft contracts that are severable, meaning if it turns out that a certain portion of the contract ends up being ruled as void or illegal by a judge, the entire contract won’t get thrown out on its head. Rather, that portion (the invalid portion) will be “severed” from the contract and the remaining portion of the contract will still apply. O.C.G.A. § 13-1-8
Anytime it is necessary to enter into a contract with another party or enter into a business relationship, it is worth doing it right! The law can be very technical and you want to make sure that in the event of a future misunderstanding or dispute that the contract will be interpreted by a judge in a way that favors you. The only way to insure this is to seek legal counsel prior to entering into a contract.
Continue reading →

Published on:

Thumbnail image for Contract Newer.jpgDo I have a contract? Is my contract enforceable? These are all questions that our clients sometimes ask. Today’s article will discuss the definition of what a contract is in Georgia.

What is a Contract?:

Under Georgia law, O.C.G.A. § 13-1-1, a contract requires: 1. Two parties, 2. An agreement, 3. Agreeing to do or not do a specific thing.

Published on:

Georgia wrongful death lawyers at our firm have explained the laws concerning wrongful death before in other articles. Today’s article will explain when a minor can still sue for the wrongful death of their mother or father who died, even if it happened years ago.

An action for wrongful death in Georgia is solely created by statute and does not exist in common law. What this means is that the Wrongful Death Act in Georgia, O.C.G.A. § 51-4-1 et seq., must be strictly interpreted and not extended beyond its plain meaning and explicit terms.

Wrongful Death Statute of Limitations Extended for Minors:

The language of the Act, given its plain and ordinary meaning, does not contain a separate, internal statute of limitation that applies specifically to a wrongful death claim. As a result, O.C.G.A. § 9-3-33, the general two-year statute of limitation for personal injury claims, applies to wrongful death claims that do not arise from medical malpractice.

Under § 9-3-33, actions for injuries to the person generally shall be brought within two years after the right of action accrues.

Consequently, the courts have made clear in Georgia that if you have a wrongful death in Georgia, you must sue within the two years of your loved one’s passing in order to secure your claim. However, if your mother or father died while you were still under the age of 18, i.e. a “minor,” you will still have an additional two years after you turn 18 to file a wrongful death lawsuit.

Wrongful Death: Terminating Life Support Without Family Approval:

Under State of Georgia law, the decision of whether to continue or terminate life support belongs exclusively to the patient’s family or legal guardian, not to the hospital, the doctors, or the State. A claim based upon a physician’s termination of life support of a child over the objections of the child’s parents constitutes a claim for wrongful death. DeKalb Med. Ctr., Inc. v. Hawkins, 288 Ga. App. 840, 843 (Ga. Ct. App. 2007)

In 2007, an important case arose after a young mother named Tara Hawkins fell and sustained severe head trauma. When Hawkins arrived at the Dekalb Medical Center, she was unconscious and sadly, she never regained consciousness. Hawkins, who was pregnant, remained on life support for nearly four months.

During that time, some of her physicians believed that she was brain dead and that her baby would not survive. Based upon these opinions, DMC repeatedly recommended an and the termination of her life support. Hawkins’ mother refused to agree to the abortion or termination of life support. On March 16, 2004, a DMC nurse discovered that Hawkins had spontaneously given birth to her son, Emmanuel Hawkins, without any medical assistance. Emmanuel weighed less than three pounds and suffered from numerous medical ailments.

Two days after giving birth, DMC terminated Hawkins life support, and she died that very day. There is no evidence in the record that, prior to terminating life support, Hawkins was terminally ill or that her death was imminent, nor was there any evidence that her brain function deteriorated or that her prognosis changed after Emmanuel’s birth. No family member, including Hawkins’ mother, had agreed to the termination of life support. Further, Hawkins did not have a “living will” or other advanced medical directive, and there was no court order giving DMC permission to terminate life support without the family’s consent.

On May 15, 2006, more than two years after Hawkins’ death, her mother, Nonnie Hawkins, as the next friend and natural guardian of Emmanuel Hawkins, filed a lawsuit against DMC, Marshall Nash, M.D., and DeKalb Neurology Associates, LLC. The lawsuit asserted a claim against DMC for “tortious termination of life support,” claiming that the hospital discontinued life support without the permission of her mother, the consent of any family member, or a court order.

The Georgia Court of Appeals ruled that based upon the plain language of the statutes at issue, the lack of an internal statute of limitation in the Wrongful Death Act, the lack of language limiting the application of the tolling provisions in the Wrongful Death Act, and the absence of any Georgia appellate court rulings to the contrary, that the minority tolling provision of OCGA § 9-3-90 (a) applies to a wrongful death action brought by a minor for the death of a parent when the action is not based upon medical malpractice.

What this means in plain English is that if you are a person less than 20 years of age whose father or mother was wrongfully killed (outside of medical malpractice reasons) you may still have a wrongful death claim against the person or entity responsible, even if your parent died long ago.

However, because this law is so complex and because the clock is ticking on the expiration date of such a claim, it is important to seek competent, legal counsel as soon as possible.
Continue reading →

Published on:

Georgia landlord tenant law is an area that is important to many of our clients. Whether you are a homeowner having to deal with a nightmare tenant who won’t pay their bills, or whether you are a tenant having to deal with a nightmare landlord who won’t keep your home in repair—it is important to understand your legal rights in either situation.

In today’s article we will discuss the notice requirements a landlord must give a tenant prior to eviction:

In Georgia, unless required by the lease, a landlord is generally not required to provide notice prior to filing what is known as a “dispossessory proceeding” which is a fancy term for taking back possession of the property. It is important for both landlords and tenants to carefully check the lease agreement to see what in fact it does say about the notice requirement in order to make sure they comply with the contractual lease agreement to protect themselves from a breach of contract claim.

Published on:

Under Georgia law, can a home buyer sue a seller who is unhappy with the house? Unless the house seller is also the house builder, the answer is “Generally no.”

Fortunately for sellers, the law in Georgia protects home owners who sell their house to people who later suffer from “buyers remorse” and want to sue them to rescind the sale. Unfortunately for buyers, unless the seller was also the home builder, there is not much you can do to rescind a sale agreement even if the home seller fraudulently misrepresented or hid a housing defect. Nevertheless, the law is very specific, so if you find yourself in this situation, time is of the essence and it is imperative you seek competent legal counsel right away to ascertain your rights.

In general, home sellers are protected from home buyers who later try to rescind the sales agreement by a number of Georgia doctrines. Today’s article, the final in a three part series discusses the Doctrine of Merger by Deed:

Published on:

Under Georgia law, can a home buyer sue a seller who is unhappy with the house? Unless the house seller is also the house builder, the answer is “Generally no.”

Fortunately for sellers, the law in Georgia protects home owners who sell their house to people who later suffer from “buyers remorse” and want to sue them to rescind the sale. Unfortunately for buyers, unless the seller was also the home builder, there is not much you can do to rescind a sale agreement even if the home seller fraudulently misrepresented or hid a housing defect. Nevertheless, the law is very specific, so if you find yourself in this situation, time is of the essence and it is imperative you seek competent legal counsel right away to ascertain your rights.

In general, home sellers are protected from home buyers who later try to rescind the sales agreement by several Georgia doctrines. Today’s article will discuss the Doctrine of Merger.:

Published on:

Under Georgia law, can a home buyer sue a seller who is unhappy with the house? Unless the house seller is also the house builder, the answer is “Generally no.”

Fortunately for sellers, the law in Georgia protects home owners who sell their house to people who later suffer from “buyers remorse” and want to sue them to rescind the sale. Unfortunately for buyers, unless the seller was also the home builder, there is not much you can do to rescind a sale agreement even if the home seller fraudulently misrepresented or hid a housing defect. Nevertheless, the law is very specific, so if you find yourself in this situation, time is of the essence and it is imperative you seek competent legal counsel right away to ascertain your rights.

In general, home sellers are protected from home buyers who later try to rescind the sales agreement by various Georgia doctrines. Today’s article discusses the Doctrine of Caveat Emptor:

Doctrine of Caveat Emptor:

The rule in Georgia is Caveat Emptor (let the buyer beware). This is a common law doctrine which serves as the general rule regarding the purchase of realty. Cendant Mobility Financial Corp. v. Asuamah, 285 Ga. 818 (2009). If a home has mold, termites, a rotten roof, or any other defect—it is the buyer’s responsibility to fully investigate this prior to buying the home. In general, the buyer is put on warning and notice that they are responsible to discover such defects and if they discover them after the real estate transaction, unfortunately it is a case of too little, too late.

Consequently, the doctrine of Caveat Emptor defends and protects home sellers and our housing market from being “vexed to economic death by lawsuits by every purchaser of a house who discovers a defect which he believes the previous homeowner should have discovered and revealed. . . [when there] is probably no such thing as a perfect house” and all purchasers know that an older house is almost certainly not perfect. Cendant Mobility Financial Corp. v. Asuamah, 285 Ga. 818, 821 (2009). Thus, this affirmative defense often soundly defeats a buyers claims in a lawsuit.

Thus the morale of the story is Buyer Beware! Regardless, if you are a home seller who is being threatened by a lawsuit, or if you are a home buyer contemplating a lawsuit against a seller—the laws are very specific to one’s situation and it is absolutely important that you seek competent legal counsel as soon as possible in order to protect your rights.
Continue reading →

Published on:

In Georgia, who is allowed to bring a lawsuit when someone dies? Wrongful death is a terrible thing for any loved one to go through. Oftentimes, many family members are not only emotionally affected by their loved one’s loss but can be significantly impacted financially as well.

The people allowed to bring a wrongful death action are in strict order under Georgia law. Currently, the wrongful death claim is considered property of the estate of the deceased, thus potentially involving a large group of the loved one’s heirs at law. This can naturally mean a lot of people could have a legal claim depending which relatives are still alive.

Wrongful death lawsuits in Georgia may be maintained primarily by three different persons or groups: (1) surviving spouse or children, O.C.G.A. § 51-4-2 (2) parents, O.C.G.A. § 51-4-4 and (3) the decedent’s personal representative. O.C.G.A. § 51-4-5.

Unfortunately for the grand-kids, the statute vesting the right to recover for wrongful death in the surviving spouse or children does not permit participation in the recovery by a grandchild unless his parent was an original claimant and dies during the pendency of the litigation.Tolbert v. Maner, 271 Ga. 207, 208-209, 518 S.E.2d 423 (1999).

However, one of the many unique attributes within Georgia’s wrongful death law is that it provides exclusive standing to maintain the action on the surviving husband or wife of the dead spouse without giving all the rights to the claim in him or her (without allowing her claim to all the recovery). “The spouse is required to share the proceeds with the children. This means the spouse acts not solely as an independent party but rather as an individual and as a representative of the children.” Mack v. Moore, 256 Ga. 138, 138, 345 S.E.2d 338 (1986) (overruled on other grounds by, Brown v. Liberty Oil & Refining Corp., 261 Ga. 214, 403 S.E.2d 806 (1991)).

The surviving husband or wife of the dead spouse holds any amount recovered in a wrongful death action subject to the law of descents. This means the money from a wrongful death claim must be divided between the surviving spouse and the decedent’s children (or the children’s descendants equally if the child is dead), with the spouse taking a child’s share, but not less than one-third. O.C.G.A. § 51-4-2. Illegitimacy of a child is no bar to his participation in the recovery.

In an action for the wrongful death of a parent or spouse, the lawsuit does not go away because of the death of the plaintiff. It survives to the remaining children of the deceased O.C.G.A. § 51-4-2(b) or to his personal representative.O.C.G.A. § 51-4-5. Fortunately, it is not subject to any debts of the dead person. O.C.G.A. § 51-4-2(e).

Brothers and sisters of the decedent do not have any rights to proceed with a wrongful death action. If the only relatives living are siblings, the right to file a wrongful death claim will fall upon the decedent’s personal representative who would administer the estate.

In any event, all wrongful death claims have statutory deadlines that will expire if a lawsuit is not filed in time. Consequently, if you are interested in considering a wrongful death suit, it is important to seek legal counsel as soon as practicable.
Continue reading →

Published on:

If your Constitutional right as an American to bear arms (2nd amendment),to be free from search and seizure by the government (4th amendment) or your right to freedom of religion (1st amendment) was under attack—what would you do?

Fortunately, our great Constitution has set up a mechanism to enforce the protection of our rights through the 7th amendment. The 7th amendment insures our right to justice through the civil jury system. This means if someone violates our life and liberty (kills us or injures us seriously) or violates our rights and protections under the law—the way we can protect ourselves, enforce our rights, and hold wrongdoers accountable for the harms they’ve caused is through the civil justice jury system. Rather then taking matters into your own hands through violent means, our great country has set up a civil justice system that allows us to protect ourselves against those who might seek to violate our rights—whether they are a big corporation or a big government. Under the eyes of the law, the little guy and the powerless have a tool for standing up against injustice through the civil jury system–a constitutional right established in our 7th amendment.

Unfortunately over the past decade– through a high priced publicity campaign funded by big corporate interests—- Americans have been incessantly subjected to an ever constant barrage of brainwashing propaganda which seeks to convince the public of a perversion that attacks the foundation of one of our most important Constitutional rights: the civil justice system, the very foundation of the 7th amendment and the primary tool we have to protect ourselves from violations of these rights.

Contact Information