Business & Employment Laws in Arizona

Renters across Arizona have a reason to celebrate. Starting January 2025, the rental tax is gone!

FTC’s final rule will generate over 8,500 new businesses each year, raise worker wages, lower health care costs, and boost innovation.

As COVID-19 cases continue to rise in Arizona, according to data compiled by state health officials, state lawmakers have enacted two new laws aimed at restricting responses to the malicious and malingering coronavirus.

The new artificial grass law, which will take effect 91 days after the current legislative session ends (on or around June 24, 2022), will be added to this list of homeowners’ rights. 

While different rules apply to proving each, one type of contract is not necessarily more enforceable than the other.

The Arizona State Legislature, to prevent fraud, enacted a law requiring that certain promises or agreements be in writing. An action brought on an oral agreement in violation of the Statute of Frauds will be dismissed by the court.

In Arizona, interest on any loan, indebtedness, or other obligation will be at the rate of 10% per annum, unless a different rate is contracted for in writing.

The workers’ compensation laws provide for the payment of compensation to workers who are injured on the job in Ari­zona.

Every employer in Arizona, with limited exceptions, must pay state and federal unemployment taxes.

An employee who is owed wages may file a lawsuit against the employer for three times the amount of unpaid wages.

An employer is generally not responsible for travel by an employee while going to and from the work place.

A restrictive covenant generally will be strictly construed against the employer.

Many individuals and companies do business under fictitious names. A fictitious name simply is a name different from the true name of the business owner.

A trademark is a word, name, symbol or device, or any combination of these items, that is used by a person or company to identify its goods, and to distinguish them from goods made or sold by others.

An association may not impose a regular assessment that is more than twenty percent greater than the immediately preceding fiscal year’s assessment without the approval of the majority of its members.

A partnership is an association of two or more persons to carry on, as co-owners and a business for profit.

A limited liability company may be organized in Arizona to conduct any lawful activity, except banking or insurance.

Non-profit corporations are everywhere. In Arizona, there are about 40,000 non-profit corporations.

In the majority of cases, it is more beneficial to the corporation and its shareholders to elect to be an S corporation.

It is illegal for a person to manufacture, sell or deal in spiritu­ous liquors in Arizona without being properly licensed.

A terminated employee has a duty to make reasonable efforts to reduce damages by trying to find substantially similar employment.

A corporation is a form of business ownership. The owners of a corporation are called shareholders.