Welcome!

Welcome to the official BlackBerry Support Community Forums.

This is your resource to discuss support topics with your peers, and learn from each other.

inside custom component

Adobe AIR Development

Reply
Developer
Posts: 111
Registered: ‎08-31-2008
My Device: Z10
My Carrier: Verizon

Re: Company name for sole propietorship (US based incorporation)

My first app I am doing so under my legal name.  This is mostly due to the fact that I didn't think of forming an LLC until after I submitted the app.  I am in the process of creating an LLC so that I can start charging for apps/app features.  I'll then associate that LLC with my App World vendor account and the existing application that is already out there.

 

There is no way I would charge for an app without the liability protection of an LLC.

-------------------------------------------------------------------
Creator of the Idea Catch PlayBook application

My favorite Apple product is apple sauce.
Developer
Posts: 6,473
Registered: ‎12-08-2010
My Device: PlayBook, Z10
My Carrier: none

Re: Company name for sole propietorship (US based incorporation)

I doubt your exposure to liability is affected much by whether you charge or not.  (And you're probably better off with a decent EULA in place if you're concerned about that.)


Peter Hansen -- (BB10 and dev-related blog posts at http://peterhansen.ca.)
Author of White Noise and Battery Guru for BB10 and for PlayBook | Get more from your battery!
Developer
Posts: 1,269
Registered: ‎12-29-2010
My Device: PlayBook, Z10 LE, Dev Alpha C

Re: Company name for sole propietorship (US based incorporation)

 


peter9477 wrote:

I doubt your exposure to liability is affected much by whether you charge or not.  (And you're probably better off with a decent EULA in place if you're concerned about that.)


Actually that's a good question - now that you mention it ... if an ISV has a good EULA (and they are not copyright violators), do they really need LLC protection?  (I'm assuming there is something you'd want liability protection for, but not sure what at the moment.  Maybe as a safety net if you use supposedly licensed 3rd party content and it turns out that whoever you licensed it from didn't really have the right to license it to you?)

 

Developer
Posts: 6,541
Registered: ‎10-27-2010
My Device: HTC One, PlayBook, LE Z10, DE Q10
My Carrier: Verizon

Re: Company name for sole propietorship (US based incorporation)

Having a EULA does not protect you.  I've had to defend EULA with client lawyers.  It can become very expensive.  If someone want to go after you regardless if there is a EULA and/or if the app is free or not, they can and will.  If someone feels that your app caused them some kind of "harm", some will try to get money or make a point.  A LLC (and other forms, but LLC can be the most "affordable"), will divide your assets from your personal assets.  Nothing would be worse to lose your home and car because of some free mobile app.  Having an LLC in place, they can only go after those assets (computers, etc.).  Now in reality, a court would have to agree that your app did so much harm to an individual that it would warrant this level of collection, so if you are a "good citizen" you probably have little to worry about. 

 

And it is not just the end user.  You will be more likely sued by another company.  This will occur because of copyright or patent infringements.  Corporate lawyers can be very tough and are doing so to get your app off the market. I can guarantee that someone on this forum will get a "cease and desist" letter at some point.  Unless you have a defendable position and the money to pay lawyer fees, as a ISV you will probably have to comply.

 

Now having a EULA does not hurt, but dont think it is some kind of shield to protect your personal assets.

Highlighted
Developer
Posts: 6,473
Registered: ‎12-08-2010
My Device: PlayBook, Z10
My Carrier: none

Re: Company name for sole propietorship (US based incorporation)

@jtegen has a good point there.  My main point had been really that the difference between "paid" and "free" is fairly irrelevant for this issue.

 

Note also that the "corporate veil" can be swept aside if you have a limited liability form of business, primarily when you don't adequately separate its affairs from your personal assets.

 

I do agree with the basic premise behind using an LLC though.  I've operated for 18 years as a corporation, partly for the limited liability aspect (which is important for an engineer).


Peter Hansen -- (BB10 and dev-related blog posts at http://peterhansen.ca.)
Author of White Noise and Battery Guru for BB10 and for PlayBook | Get more from your battery!