For this assignment, you will need to conduct legal research online and in the LEXIS/NEXIS database of the Rasmussen College Library.
Jennifer Jones, the owner of Maid4U, has called the firm and told your managing partner that her accountant suggested she look into forming an LLC for her business. The operations and structure of the business have not changed since your last contact with her.
Your managing partner has requested that you perform legal research and then draft a letter to Jennifer for his review and signature in which you: (1) identify and explain the types of legal liability that Jennifer faces as owner of Maid4U, (2) discuss what an LLC is and how forming one could and could not help to limit Jennifer’s personal liability, (3) lists the requirements necessary to form an LLC in the city and state where you live, and (4) makes a recommendation as to whether or not Jennifer should form an LLC.
Your memo should be 2-3 pages in length. Format citations and references per Harvard Blue Book rules.
Jennifer Jones owns a business called Maid4U, which provides residential cleaning services. Two women, Grace and Hope, hand out fliers for Maid4U to prospective customers. They choose where and when to distribute the fliers, which have a coupon entitling the customer to a 50% discount for their first cleaning service. Each flier contains a code indicating whether it was received from Faith and Hope. The only compensation that Faith and Hope receive from Maid4U is a flat fee of $20 for each coupon that a new customer redeems for their first house cleaning service.
When a new customer calls Maid4U to arrange for cleaning services, Jennifer goes out to see their home and gives them a price quote for weekly cleaning services. If the price is acceptable, the client signs a contract for weekly cleaning services. Jennifer then contacts April, Mae, or June and schedules one of them to clean the house each week at the requested dates and times. Each week that the house is cleaned, Jennifer splits the fee collected with the cleaner (April, Mae, or June) 50-50. Each cleaner was trained by Jennifer and must clean the homes according to the instructions of the owner and Jennifer. Jennifer usually stops by the home at the end of each cleaning to inspect it and make sure that work is performed in a satisfactory manner. Each cleaner uses their own supplies and equipment, as well as their own personal vehicle or public transportation for traveling to and from the clients’ homes.