Legal Question in Administrative Law in California

I am about to launch an online based record label that shares the profits with the fans that help to promote the artists/site. If a fan uses the promotional tools the site provides them with and sales ensue from their efforts, they will earn commissions. I will have them fill out a 1099 prior to sending them a check (or paying them via paypal) but I am concerned about age limits and am not sure what age limit I should set for someone to create a free profile on my site (note: anyone who creates a free profile has the potential to earn money if they refer others to the site who make purchases). This seems to be a gray area as they will not be working for me in a traditional sense and it is also statewide/worldwide because it is online. Any educated input would be much appreciated.


Asked on 8/24/09, 2:00 pm

1 Answer from Attorneys
Terry A. Nelson Nelson & Lawless

Seriously, educated advice "input" is only going to come from attorneys, tax and business advisers that you hire, and who can fully educate themselves about your business and its needs. A few free tips and hints from here or elsewhere are only going to give you a false sense of overconfidence, leading to a fall. Your business corporation needs to be founded, organized, set up and operated correctly for your liability and tax purposes. If you're serious about getting legal help, feel free to contact me.

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Answered on 8/24/09, 8:59 pm


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