Our downstairs neighbor, Table, and nearly 40 other local restaurants are participating in Asheville Restaurant Week, taking place January 20-29, 2015, and presented by the Asheville Area Chamber of Commerce. Asheville Restaurant Week provides visitors and locals alike with a chance to enjoy some of Asheville’s most renowned restaurants that will be offering multi-course meals at fixed prices often below the typical cost of a two or three course meal. We are looking forward to revisiting some of our favorites and also to trying something new.

.

As Asheville’s food and beverage market becomes increasingly competitive, our hospitality clients rely on our skills and experience to protect their brand and to ensure they are in compliance with local, state, and federal laws. Let us know how we can help you. Contact one of our hospitality attorneys today.

Posted in Uncategorized |

Asheville’s hospitality and tourism industries continue to thrive, and we are thrilled to be a part of it.  The year 2014 brought significant growth in the hospitality industry, and we expect 2015 to continue on that same trajectory.  We expect that the food and beverage industry will continue to flourish, and we are already looking forward to the addition of a new barbeque restaurant in West Asheville (link) and a new sushi restaurant in the River Arts District (link), among other restaurant concepts that have already been announced.  But the biggest new development for Asheville’s hospitality and tourism industry for 2015 will be the addition numerous new hotels.

.

The planning and construction is underway to add hundreds of hotel rooms to accommodate the steady stream of travelers to the city that Dungan, Kilbourne & Stahl, PA, and its attorneys are honored to call home.  The projects already underway include a Hyatt Place on the corner of Haywood Street and Montford Avenue.  While additional projects have been announced for a Hilton Garden Inn on the corner of College and Charlotte Streets(link), a Cambria Suites (link) on the corner of Battery Park and Page Avenues, the Village Hotel on Biltmore Estate, a Country Inn & Suites (link) hotel at Westgate, a new Holiday Inn (link) planned near Biltmore Village, and Towne Place Suites (link) just outside of downtown on Elm Street.

.

In addition, plans are in place to renovate the existing BB&T building and its parking deck to to create two new hotels, an AC Hotel by Marriott and a separate boutique hotel (link).  The demolition of the parking deck is already well underway.

.

As Asheville continues to experience the development and growth of new and existing businesses, Dungan, Kilbourne & Stahl, P.A.’s attorneys are able to provide our hospitality clients with a full range of services to meet all of their legal needs.  To speak with one of our hospitality attorneys, please contact us.

Posted in Uncategorized |

2014 was a bustling year for hospitality and tourism in Asheville.  Although Asheville lost a few restaurants, the food and beverage industry experienced unprecedented growth.  In addition to the expansion of a number of existing Asheville staples, including Nine Mile, French Broad Chocolate Lounge, Asheville Sandwich Company, White Duck Taco Shop, and Biscuithead, dozens of new restaurants, gastropubs, lounges, and nightclubs opened their doors in 2014.

.

Tourists and locals alike looking for something new to eat or drink have plenty to choose from, with the opening of Addissae, Asheville’s only Ethiopian restaurant, King Daddy’s Chicken & Waffles, Gan Shan Station, King James Public House, and Chiesa, to name a few.

.

2014 brought Asheville two new doughnut shops, Vortex Doughnuts and Hole, a new coffee shop, Odd’s Cafe, and a new enterprise by renowned chef Katie Button, Nightbell, which opened with an emphasis on craft cocktails, bar snacks, and desserts, but recently expanded its menu to include entrees.

.

Asheville’s nightlife options also increased with the addition of Soverign Remedies, The Funkatorium, Wicked Weed Brewing’s sour tap room, and Room Nine Night Club, among others.

.

By the end of November 2014, hotel sales were up 12.9% over the preceding year (link).  As tourism in our mountain town continues to grow, we can expect the food and beverage industry to continue to grow, as well.  Dungan, Kilbourne & Stahl, P.A.’s attorneys regularly assist our hospitality clients with the unique challenges they face.  To speak with one of our hospitality attorneys, please contact us.

Posted in Uncategorized |

New legislation effective January 1, 2015, makes a distinction between real property contractors and retailer-contractors and specifies clearly when sales and use tax must be paid for the purchase of construction materials and other tangible personal property to be used in the performance of construction contracts.  The new law specifies that a “real property contractor . . . includes a general contractor, a subcontractor, or a builder.” See N.C. Gen. Stat § 105-164.3(33a).  The legislation defines a “retailer-contractor,” on the other hand, as a “person that acts as a retailer when it sells tangible personal property at retail and as a real property contractor when it performs real property contracts.”  See N.C. Gen. Stat § 105-164.3(35a).

 

The North Carolina Department of Revenue has issued guidance (http://www.dornc.com/taxes/sales/impnotice111914_realpropcontracts.pdf) regarding the new legislation:

[A] real property contractor is the consumer of the tangible personal property that the real property contractor installs or applies for others and that becomes part of real property.  . . . Where a taxpayer is a real property contractor who does not meet the definition of a retailer-contractor purchases tangible personal property for storage, use, or consumption in this State and the tax due is not paid at the time of purchase, the taxpayer must report and pay the general 4.75% State and applicable local and transit rates of sales and use tax on the purchase price of such tangible personal property.

 

[A] retailer-contractor that purchases tangible personal property to be installed or affixed to real property may purchase items exempt from sales and use tax under a certificate of exemption . . . provided the retailer-contractor also purchases inventory items from the seller for resale.  When the tangible personal property is withdrawn from inventory by a retailer-contractor and installed or affixed to real property, use tax must be accrued and paid on the retailer-contractor’s purchase price of the tangible personal property. . .   Tangible personal property that the retailer-contractor withdraws from inventory for use that does not become a part of real property is also subject to . . . sales and use tax.

 

If a retailer-contractor subcontracts any part of the real property contract, sales and use tax is payable by the subcontractor on the subcontractor’s purchase of tangible personal property that is installed or affixed to real property in fulfilling the contract.  The retailer-contractor, the subcontractor, and the owner of the real property are jointly and severally liable for the sales and use tax.  The liability of a retailer-contractor, a subcontractor, or an owner who did not purchase the property is satisfied by receipt of an affidavit from the purchaser certifying that the sales and use tax has been paid.

 

In other words, a real property contractor is responsible the payment of sales and use tax when it purchases materials or supplies for use in a construction project.  A retailer-contractor is an entity that is able to act as either a retailer or a contractor.  When a retailer-contractor is acting as a contractor, it is responsible for payment of sales and use tax in the same manner as a real property contractor.  A retailer-contractor may still make tax-exempt purchases of materials, but sales and use tax must be paid for those materials once they are withdrawn from inventory and used in the performance of a construction contract.

 

Dungan, Kilbourne & Stahl, P.A. is pleased to provide more information about the most recent legislation affecting builders and contractors, and we also offer our clients periodic check-ups of their policies and procedures to ensure continuing compliance with corporate law and the latest revisions to the lien statute.  Please contact us to schedule an appointment.

Posted in Construction, New Laws |

After commentators spent most of the week watching the Middle District of North Carolina and the two cases in front of Judge Osteen, it was Judge Max O. Cogburn in the Western District of North Carolina who entered the formal order shortly after 5:00pm this evening determining “that North Carolina’s laws prohibiting same-sex marriage are unconstitutional as a matter of law.”

.

Judge Cogburn denied intervention by North Carolina legislative leaders before issuing a permanent injunction prohibiting the state “from enforcing such laws to the extent these laws prohibit a person from marrying another person of the same gender, prohibit recognition of same-sex marriages lawfully solemnized in other States, Territories, or a District of the United States, or seek to punish in any way clergy or other officiants who solemnize the union of same-sex couples.”

.

Judge Cogburn explained in his order:

The issue before this court is neither a political issue nor a moral issue. It is a legal issue and it is clear as a matter of what is now settled law in the Fourth Circuit that North Carolina laws prohibiting same sex marriage, refusing to recognize same sex marriages originating elsewhere, and/or threating to penalize those who would solemnize such marriages, are unconstitutional.

.

The Court’s Orders appear below:

Order denying intervention by Legislative Leaders

Order Granting Injunction and Dismissing Case

Clerk’s Judgement

Posted in New Laws |