My Business Plan

     My business plan is about providing high quality hair products to corporate America, government entities, schools, and to the end-user. I want to do this through the means of import and export. There are a lot of risks, liabilities, and losses that I could be taking on by entering into the beauty and hair industry.

Legal Liabilities

     I have a total of 3 different legal liability examples that I would like to touch base on. Legal liabilities associated with my business plan include the following:

1. Someone contradicting what we offer: We want to offer the best, most luxurious, perfect hair products that there is to offer. We want to offer this so bad, that it is even in our name. Having a customer contradict us could not only tarnish out name, but it could potential hit our pockets, and cause us to lose customers and a lot of revenue. We could even end up with a class action lawsuit just by someone simply saying that our products were not as great as we portrayed them to be.
2. Accidental misrepresentation in advertising: Being a startup, and not having an editor on a retainer, I’m sure that it is possible for us to have some grammatical errors or meanings that do not mean what someone could interpret what we are offering to mean. We could possibly be sued for false advertisement. This could also tarnish our name and or hit out pockets, and kill our business.
3. Unexpected postal delays: If we promise that a products would be delivered at a certain time and date, and that does not happen – for whatever reason, we could be held accountable for such. We could be sued for this. Even if we were sued, we still might have to come out of pocket and refund a customer for the shipping cost of the delay, which could hurt our pockets too. Customers also falsely claiming that they are either missing or received a damaged package could also hinder the growth of our business, and cause a legal liability, being that we exercise a no-refund policy.

Legal Controversies

     I have 3 legal controversies that I would like to touch base on. Recent legal controversies that impacted my industry include the following:

 1. Tami Roman lawsuit: Tami Roman of “Basketball Wives” asked her manager to contact a hair company to try out their hair. The owner of the hair company sent her out hair, for free. Then, once she sent Tami out the hair, Tami ended up wearing the hair on the advertising of a hair extension company that she was starting of her own. Tami was basically claiming that the hair given to her, was the hair that she received from suppliers, when it was the hair from another reputable company.

     My opinion: My opinion on the Tami Roman case is that it is frightening. It is scary that a self-proclaimed celebrity can contact you and ask to give you free advertising, you oblige, and then end up getting duped x2. It is even more scary that someone would cheat potential clients by giving them false hope that their hair could look as good as hers by using her products, when the products being advertised are not even from her branded line.

2.  Paris Hilton lawsuit: Paris Hilton was sued over having a contract to use hair extensions by a specific company and stay out of trouble from the law. She was arrested and failed to upkeep that part of the contract. She was also seen promoting other hair extension companies, by wearing their hair extensions, and did not hold up that end of the contract as well. The company sued her for a loss in revenue, due to her not keeping her part of the agreement.      
     My opinion: My opinion in the Pair Hilton case is that she got what was coming to her. I would have sued her too. I also would have asked for even more money due to all of the customers I would have lost by not having her endorsement fulfilled.
3.  Sarah Jane Ward lawsuit: The Sarah Jane lawsuit is about an Oregon resident who sued a hair salon over a bad hair extension installation, babysitting fees to get the hair installed, and the cost of hair extensions as a whole. Sarah explained that she was suing for a total of $50,000, due to hair loss and a bad bleach job. 
     My opinion: My opinion on the Sarah Jane Ward case is that she should have known better. She claimed that she had been dyeing her hair for over 25 years. But, she decided to use styling tools that required heat, shortly after dyeing her hair. I would not have granted her anything as well.