Business Law

Ask a Business Lawyer. Get Business Law Questions Answered ASAP.

Ask a Lawyer,
Get an Answer ASAP!

Business Law
This answer was rated:

Contract with Holsum bakery to purchase our territory for bread

sales. Flowers food purchased...
Contract with Holsum bakery to purchase our territory for bread sales. Flowers food purchased Holsum of Arizona. We are independent distributers for over 4 years. Was forced to serve chain stores for a loss for 2 to 3 years and was promised that our route will quadriple once they were going to purchase XXXXX XXXXX in California. We waited on good faith. We were told at least 12 times this last year to hang on hang on it's going to happen. We continued serving these stores. Now they bought official bought XXXXX XXXXX in California. We just had a meeting and was informed that we had 3 options. Not in writing only verbally. 1. Keep your routes the same in your territory. 2. We will buy your route at 13% and then they will resale back to us. 3. Just sale your route. Take number 1 and keep you will sale only Natures's own bread in your contract. But they can black ball us and make us lose business. Our route is hugh and we were going to expand ourselves in hiring route drivers because we were promised that we were going to quadtriple our business in sales of the XXXXX XXXXX Breads. No we lose everything and there disecting our routes and already have an add in the paper to hire distributors. We build these routes on our territory for them, that would have been worth 800,000.00. Now they will profit that and we get after we build the routes up clearing only 30,000.00 from the sale after taxes and paying our old route loan when we purchased only 5 years left AND if we want a job we have to buy a route back at 8% XXXXX XXXXX estimates and 13% for Natures Own. I feel the for 2 to 3 years we were lead to believe that we would get new business and that to keep servings these chain stores at a loss and that our routes will quadtriple in believing that they will purchase XXXXX XXXXX in California. They are giving us 1 week to make a decision as they
are disecting our territory and putting routes on sale. Do we have any rights.... on what they told us verbally to all of the drivers which is about 15 plus.....
Show More
Show Less
Ask Your Own Business Law Question
Answered in 8 minutes by:
11/1/2012
Dimitry K., Esq.
Category: Business Law
Satisfied Customers: 41,221
Experience: Run my own successful business/contract law practice.
Verified
Thank you for your question.

I am terribly sorry to hear that you are in this situation. I am assuming that there was never anything in writing that would provide you with assurances or promises that those routes would be yours, correct?
Ask Your Own Business Law Question
Customer reply replied 5 years ago

We paid for our territory and still have a loan balance of $90,000.00. We purchased a hugh territory. They gave us 3 options. 1. Do nothing and keep our territory and only sale Nature's own etc. We would not be able to sell SaraLee.


 


2. They would buy us out at 13% and then we can buy our route back for 13% on Nature's own and 8% on SaraLee.


 


3. Just sell at 13%


 


We were verbally lied to and to all the distributors in CA. We started the businesses and routes in CA we build them and and now they finally came to CA and for years servings these stupid chain stores for them to keep business going. Now they bought saralee and now everything is changed. They had this planned for years, we are Independent Distributers and now they are trying to change our title so eventully if you go 1. we would be forced to sell under the name change.

Thank you for your follow-up.

My concern was whether or not they had promised these additional routes you in writing. If they not, then their oral assurances have no legal weight. Only if those promises were in writing and provided to your company could you potentially have a legitimate argument that the other party is somehow in violation. If those promises do not exist in writing, it is really hard to hold them liable to you. What you are angry about is a potential missed opportunity, and I agree that such an opportunity hurts. But it is ultimately an opportunity, not a legal entitlement or a contractual obligation. As a consequence I really do not see a legitimate argument here on your end against them where you can claim that they are in violation. I am sorry, truly, but ultimately since you are not employees but independent contractors, they can change the conditions or not grant you an option which was simply offered orally rather than in writing.

Good luck.

Ask Your Own Business Law Question
Customer reply replied 5 years ago

What about them forcing us to sell our territory back to them and then buying a route back. The taxes alone will hurt us and then we are in debt again. My husband is 57 yrs old and has maybe 5 yrs left in this type of business.

Thank you for your follow-up.

My apologies but technically this is not a forced sale. The reason I say that is because they are providing 3 separate options, only one of which requires a forced sale. There is always the option to 'do nothing', which I agree is not profitable, but does not generally create the requirement that sale take place. Plus you can always still negotiate terms with them also--just because they are giving you 3 options does not mean that those are the only options that you have.

Good luck.

Ask Your Own Business Law Question
Customer reply replied 5 years ago

One more, yes for right now, but they want us to sign a new contract. Either option 1 or 2. With this new contract they will be able to inforce sale I think because we won't be independent distributers they are giving us another name, so they would have a right to force sale Does this make sense. They had plan this for years and lied to yes for years. With this new contract would we be able to do some changes? Do we have a right.

Thank you for your follow-up.

It does make sense, they are attempting to turn you into a potential subsidiary (I am assuming that was their word) which would turn you into a part of their company but still a semi-independently functioning part. Please know that you always have a right to demand changes and the right to not sign. I also strongly suggest you obtain local counsel for yourselves because if you feel like the entity was not behaving honestly and openly with you, get EVERYTHING you want in writing and make sure that you are protected going forward.

Good luck.

Dimitry K., Esq.
Category: Business Law
Satisfied Customers: 41,221
Experience: Run my own successful business/contract law practice.
Verified
Dimitry K., Esq. and 87 other Business Law Specialists are ready to help you
Ask your own question now
Customer reply replied 5 years ago

Thanks!

You are most welcome, truly! I wish you folks the best!
Ask Your Own Business Law Question
Ask Dimitry K., Esq. Your Own Question
Dimitry K., Esq.
Dimitry K., Esq.
Dimitry K., Esq., Attorney
Category: Business Law
Satisfied Customers: 41,221
41,221 Satisfied Customers
Experience: Run my own successful business/contract law practice.

Dimitry K., Esq. is online now

A new question is answered every 9 seconds

How JustAnswer works:

  • Ask an ExpertExperts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional AnswerVia email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction GuaranteeRate the answer you receive.

JustAnswer in the News:

Ask-a-doc Web sites: If you've got a quick question, you can try to get an answer from sites that say they have various specialists on hand to give quick answers... Justanswer.com.
JustAnswer.com...has seen a spike since October in legal questions from readers about layoffs, unemployment and severance.
Web sites like justanswer.com/legal
...leave nothing to chance.
Traffic on JustAnswer rose 14 percent...and had nearly 400,000 page views in 30 days...inquiries related to stress, high blood pressure, drinking and heart pain jumped 33 percent.
Tory Johnson, GMA Workplace Contributor, discusses work-from-home jobs, such as JustAnswer in which verified Experts answer people’s questions.
I will tell you that...the things you have to go through to be an Expert are quite rigorous.

What Customers are Saying:

Mr. Kaplun clearly had an exceptional understanding of the issue and was able to explain it concisely. I would recommend JustAnswer to anyone. Great service that lives up to its promises!

Gary B.Edmond, OK

My Expert was fast and seemed to have the answer to my taser question at the tips of her fingers. Communication was excellent. I left feeling confident in her answer.

EricRedwood City, CA

I am very pleased with JustAnswer as a place to go for divorce or criminal law knowledge and insight.

MichaelWichita, KS

PaulMJD helped me with questions I had regarding an urgent legal matter. His answers were excellent.

Three H.Houston, TX

Anne was extremely helpful. Her information put me in the right direction for action that kept me legal, possible saving me a ton of money in the future. Thank you again, Anne!!

ElaineAtlanta, GA

It worked great. I had the facts and I presented them to my ex-landlord and she folded and returned my deposit. The 50 bucks I spent with you solved my problem.

TonyApopka, FL

Wonderful service, prompt, efficient, and accurate. Couldn't have asked for more. I cannot thank you enough for your help.

Mary C.Freshfield, Liverpool, UK

< Previous | Next >

Meet the Experts:

Infolawyer

Infolawyer

Attorney

1,851 satisfied customers

Experienced lawyer

Dimitry K., Esq.

Dimitry K., Esq.

Attorney

41,221 satisfied customers

Run my own successful business/contract law practice.

MShore Law

MShore Law

Attorney

1,233 satisfied customers

Drafted Negotiated and/or Reviewed Thousands of Commercial Agreements

RGMacEsq

RGMacEsq

Attorney

751 satisfied customers

Licensed Texas General Practice Attorney

Barrister

Barrister

Attorney

646 satisfied customers

17 years practicing attorney, JD, BA, MBA

Ely

Ely

Attorney

577 satisfied customers

Counselor at Law.

J.Hazelbaker

J.Hazelbaker

Attorney

393 satisfied customers

Experienced and trained in the area of business law.

< Previous | Next >

Related Business Law Questions
I have a small business I have two contracts in a mine two
I have a small business I have two contracts in a mine two different planners asked me to do work I was told by several mine employees that one was the priority so I did that work the other planner go… read more
WiseOwl58
WiseOwl58
JD Honors Graduate
3,698 satisfied customers
Can a proprietorship business be bought and sold? Is
Can a proprietorship business be bought and sold? Is proprietorship business considered to be legal entity? I am the seller and have separate tax id for this my healthcare small business..A buyer gave… read more
PaulmoJD
PaulmoJD
Attorney At Law
Doctoral Degree
106 satisfied customers
I have a business contract case.The company closed years
I have a business contract case.The company closed years back, but since I was a personal guarantor there was a suit against me. The lawyer asked for discovery and I did not comply, and now the hearin… read more
Ray
Ray
Lawyer
Doctoral Degree
30,843 satisfied customers
Business consultant. I started a new business that will
business consultant. I started a new business that will offer 50 percent discounts on products and services. How can I get an email list of potential users of my new product? Either how grown or purch… read more
RGMacEsq
RGMacEsq
Attorney
Doctoral Degree
751 satisfied customers
Regarding terminating a business contract with a billing
Regarding terminating a business contract with a billing company that processes our billing. Both I and my partner signed contract as required by our Operating Agreement for the business . The billing… read more
LegalGems
LegalGems
Juris Doctorate
10,686 satisfied customers
I'm starting a general contracting business in Chicago. I'm
Hello. I'm starting a general contracting business in Chicago. I'm considering forming an LLC as a holding company for future DBAs for each part of the business, including construction, cleaning/maint… read more
Roy Hadavi
Roy Hadavi
Attorney
Juris Doctorate
987 satisfied customers
I would like to write up a business sale contract of some
I would like to write up a business sale contract of some parts I sold to be paid in 2 years. Do you offer such custom contract?… read more
Asad Rahman
Asad Rahman
Attorney
J.D.
2,286 satisfied customers
I own a small business, when bought I had a contract with my
I own a small business, when bought I had a contract with my brother he gets 25% and my mom gets 25%. However he has never paid taxes on the money I've given him and my mother and now he says he wants… read more
Barrister
Barrister
Attorney
Doctoral Degree
646 satisfied customers
I have an investment contract with a local business. I was
I have an investment contract with a local business. I was suppose to get 30% of profits monthly. They have defaulted on the agreement. What can I do? … read more
Roy Hadavi
Roy Hadavi
Attorney
Juris Doctorate
987 satisfied customers
Question about business/contract law breach of contract and
question about business/contract law breach of contract and file a complaint I like to consult with an attorney preferably from ILLINOIS… read more
Damien Bosco
Damien Bosco
3,386 satisfied customers
I took out a business contract which ran for 5 years and
I took out a business contract which ran for 5 years and included insurance via separate insurers. I received no insurance policy documents at the time of signing. Both companies are regulated by the … read more
Infolawyer
Infolawyer
Attorney
Doctoral Degree
1,851 satisfied customers
I am wondering about opening a subsidiary LLC to a C Corp in
I am wondering about opening a subsidiary LLC to a C Corp in California … read more
DrakeLAW
DrakeLAW
Juris Doctorate
973 satisfied customers
I have a business/contract law question. I had a hearing in
I have a business/contract law question. I had a hearing in Superior Court with another business. We mutually agreed to remove our negative online reviews from each other's sites, three weeks ago. I h… read more
Infolawyer
Infolawyer
Attorney
Doctoral Degree
1,851 satisfied customers
Is a contract from a business that can not be found in the
Is a contract from a business that can not be found in the database of the Secretary of Texas (we think it's a fake company) valid and enforceable? … read more
RGMacEsq
RGMacEsq
Attorney
Doctoral Degree
751 satisfied customers
Can a parent company sue its wholly owned subsidiary if the
Can a parent company sue its wholly owned subsidiary if the subsidiary does not perform under a contract between the two.… read more
Ray
Ray
Lawyer
Doctoral Degree
30,843 satisfied customers
Can a parent company sue its wholly owned subsidiary if the
Can a parent company sue its wholly owned subsidiary if the subsidiary does not perform under a contract between the two.… read more
Infolawyer
Infolawyer
Attorney
Doctoral Degree
1,851 satisfied customers
I am trying to set up a Subsidiary company in the state of
I am trying to set up a Subsidiary company in the state of New Jersey under one of my main companies, but the only form I see is the Alternate Name application. Please guide me to the page for Subsidi… read more
KLAW
KLAW
Juris Doctorate
1,759 satisfied customers
If you set up of subsidiary company where the parent company
If you set up of subsidiary company where the parent company is a C Corp, does the subsidiary also run as a C corp with stock certificates, officers, etc?Thank you,Joe… read more
Asad Rahman
Asad Rahman
Attorney
J.D.
2,286 satisfied customers

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

DISCLAIMER: Answers from Experts on JustAnswer are not substitutes for the advice of an attorney. JustAnswer is a public forum and questions and responses are not private or confidential or protected by the attorney-client privilege. The Expert above is not your attorney, and the response above is not legal advice. You should not read this response to propose specific action or address specific circumstances, but only to give you a sense of general principles of law that might affect the situation you describe. Application of these general principles to particular circumstances must be done by a lawyer who has spoken with you in confidence, learned all relevant information, and explored various options. Before acting on these general principles, you should hire a lawyer licensed to practice law in the jurisdiction to which your question pertains.

The responses above are from individual Experts, not JustAnswer. The site and services are provided “as is”. To view the verified credential of an Expert, click on the “Verified” symbol in the Expert’s profile. This site is not for emergency questions which should be directed immediately by telephone or in-person to qualified professionals. Please carefully read the Terms of Service (last updated February 8, 2012).

Show MoreShow Less

Ask Your Question

x