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laun_dry_good
08-01-2008, 05:49 PM
I purchased laundromat a couple of months ago, seller signed "not to compete" agreement ( 5 years , in 5 miles ), Seller had two stores, one laundromat, the other is other retail store located around 1 mile away from the laundromat.
I found last month, this other store had been converted to laundromat and starts laundry business, so I suspect the seller and rumor said he sold that spot to other person who started laundromat business over there...
but the landlord of that spot told me the seller has not told landlord about this yet and the space is still under his(seller) name.
I tried to contact the seller, but he ignores me...
I don't want to see this other store doing laundromat business.
Can I sue the seller?
at this time, lease is still in his name, so I think he is responsible of it, regardless of actual transfer of business...
what do you think? what could be the best and effective way to stop this laundromat?
I think it's violation of "not to compete", but I have never done civil sue like this before, so I have no idea how much it cost and how long it takes? and Sueing him is the only way? or is there any other way to stop this?
If he not sub-lease that space and continue under his name, but the other guy(it seems like real owner) do laundry business, then still can I sue him(seller)?
If sueing is best way, then send lawyer's LETTER first and not listening, then sue him? or directly sue him? which is better?
Please let me know what is desirable step that I need to follow to resolve this issue...
Thanks,

Boxer
08-01-2008, 06:41 PM
Get a Good business lawyer and pin there ass to the Wall.

http://business-law.lawyers.com/ask-a-lawyer/How-Enforceable-Is-A-Covenant-Not-To-Compete-6582.html

http://www.law.duke.edu/shell/cite.pl?54+Duke+L.+J.+1295#H2N2

laun_dry_good
08-01-2008, 07:57 PM
Get a Good business lawyer and pin there ass to the Wall.

http://business-law.lawyers.com/ask-a-lawyer/How-Enforceable-Is-A-Covenant-Not-To-Compete-6582.html

http://www.law.duke.edu/shell/cite.pl?54+Duke+L.+J.+1295#H2N2

Generally speaking, which is better between hiring law firm who has 10 ~ 15 attorneys, or one man operation lawyer?
Thanks

Kitty
08-02-2008, 12:56 AM
The firm will attract you and the attorney credentials should sell you

laun_dry_good
08-02-2008, 09:58 AM
The firm will attract you and the attorney credentials should sell you

I don't fully understand what you mean...
can you explain it? thx

Boxer
08-02-2008, 10:42 AM
Now what I don't get is who wrote up the sale of the Mat?

Didn't you use a lawyer? If you did, use that lawyer ,if you didn't shame on you and suck it up.

WHAT DID THE SELLER SIGN? Who wrote it? Why ask us who to use?

I see your point "but" , didn't you use a lawyer in the sale?

If you did that lawyer should be chomping at the bit $$$$$$


Please don't tell me to save money you used the sellers lawyer

mike
08-03-2008, 01:10 PM
This is a good reason to ALWAYS hold back a certain amount in a purchase for a few

years, even if you have all the money, keeps em honest.

I suspect you may have a tough time in proving the previous owner is responsible

if he doesn't want you to know.

Lawyers, don't get me started, try the letter first.

If you put principal first above cash, be prepared to sue.

I sued the city of Montreal and in another case, Royal trust (now bankrupt:-)

Won both cases, lost money both times :-(

BUBBA
08-05-2008, 02:09 PM
A little investigation on your part, can save you some money before you see the lawyer. Building permits are public records. Check with you city or town to see who took out the permit to convert this space into a laundromat. Send someone you know in to talk with the other employee, or even to apply for a job. It may give you some idea who owns the business.
Visit with an attorney to have him review that no compete clause. Be prepared for a long drawn out fight if you have to go to court to resolve. The justice system moves slow. Good luck!

laun_dry_good
08-05-2008, 09:14 PM
Now what I don't get is who wrote up the sale of the Mat?

Didn't you use a lawyer? If you did, use that lawyer ,if you didn't shame on you and suck it up.==> I didn't use lawyer when closing.

WHAT DID THE SELLER SIGN? Who wrote it? Why ask us who to use?
=> seller signed the settlement documents. I used the same documents which was used for other business which was at that time wrote by lawyer.

I see your point "but" , didn't you use a lawyer in the sale?==> no I didn't use lawyer.

If you did that lawyer should be chomping at the bit $$$$$$


Please don't tell me to save money you used the sellers lawyer
I didn't use seller's lawyer, and I am not using seller's lawyer.

By the way,
what's your advise for me??

laun_dry_good
08-05-2008, 09:18 PM
A little investigation on your part, can save you some money before you see the lawyer. Building permits are public records. Check with you city or town to see who took out the permit to convert this space into a laundromat. Send someone you know in to talk with the other employee, or even to apply for a job. It may give you some idea who owns the business.
Visit with an attorney to have him review that no compete clause. Be prepared for a long drawn out fight if you have to go to court to resolve. The justice system moves slow. Good luck!

Thanks for your info.
I already sent someone in to the store and owner has been changed, but still lease is under seller's name. ( maybe they will contact landlord sometime down the road, or maybe not change in lease, I don't know).
My goal is to shutdown that laudromat, but it seems like it's almost impossible...right?
if ownership is changed? or still seller lease the spot and he has not done sub-lease it to new guy,then still is it worth to sue him??
If lawyer send LETTER to seller, then he will LISTEN? or ignore it?
Thanks

William
08-05-2008, 10:14 PM
We cannot answer your questions specifically. But this is an area of law that is more or less cut and dry. It is a "common sense" case. If it says not to compete within a certain distance and time, and the seller builds a laundry and then sells it off to someone else, then common sense tells you that he did in fact compete.

Find a lawyer. There are none here, and so far you are just getting beaten up by the "experts".

Boxer
08-05-2008, 10:54 PM
No one here claims to be an expert.

But common sense is to use a lawyer.

Why because of what has happen to you.

This is not rocket science. Get a good lawyer.

You asked how,? interview a few lawyers and get there opinions on what should be done.

When you’re dealing with money, land, leases and take my word even marriage get a lawyer.

Why because they have studied the law and know how to present it to a judge yes they are sleazy but :eek::eek::eek::eek: happens.

I also learned the hard way my land lord tried to not fix the roof and told me to pound sand.

Well this put me back a few bucks but I learned my lesson. Have a lawyer in the long run, I saved a lot of money and problems, I’m not an expert but I hired one.

I give hard love because I love this business. We are not beating you up
as big Willy is saying but we are not experts in this ballpark.

I really hope you pin this guy and take his Mat to the Cleaners.

Good Luck

pete f
08-10-2008, 12:40 AM
We cannot answer your questions specifically. But this is an area of law that is more or less cut and dry. It is a "common sense" case. If it says not to compete within a certain distance and time, and the seller builds a laundry and then sells it off to someone else, then common sense tells you that he did in fact compete.

Find a lawyer. There are none here, and so far you are just getting beaten up by the "experts".

"beaten up by the experts"?? More like advice, and the theme seems to be GET A LAWYER! Interview, bring documents, see if you can find one who belives in your cause. You won't shut it down, and damages will have to be proven.

I am going to put in a specific damge amount for non compete of if ever buy another mat, this is probably your downfall, and many others as well.

William
08-10-2008, 06:33 PM
Pete - seemed to me that everyone was telling him what he did wrong. What if he didn't do anything wrong? What if he was deceived? He has a non-compete, that doesn't seem like a wrong move to me.

Anyway, I am certainly no expert nor a lawyer, but as I recall the "remedy" for this type of case is usually a full refund of your purchase price! I don't know why that sticks in my head, and it is likely wrong, but it is in my head anyway...

I think you need a lawyer right away. I think it is possible that the non-compete was also fraud, because I am willing to bet that the seller knew he was going to build a new laundry when he signed the documents. You'll have to prove it, I have some ideas how. But a lawyer is your best bet.

Good luck!

Boxer
08-10-2008, 07:18 PM
Willy we all seem to be on the same page

What if ? ---- hmmmm we all agreed and I think we do -- GET A LAWYER!