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Thanks and I appreciate the response. And I mentioned Eduardo earlier in the thread only to highlight a point: for most orgs, these forms will be fine. There

by Nrsolis 14y ago

Thanks and I appreciate the response. And I mentioned Eduardo earlier in the thread only to highlight a point: for most orgs, these forms will be fine. There won't ever be enough money on the table to make an expensive lawsuit worthwhile. But once there is real money at stake, you had better be sure that you have everything buttoned up in your formation documents or someone will find an enterprising attorney to point out your mistake. Zuckerberg had great attorneys. Maybe the best. He still had to settle with two different parties who felt they had a case.

swampthing 14y ago
Yes, it's an unfortunate state of affairs that even if there is nothing wrong with your documents, you may still get sued and it may still be in your best interest to settle (not saying that's the case with FB, but just speaking generally). And I completely agree that if you need something custom or need advice, you should definitely talk with an experienced startup attorney. We refer customers to attorneys all the time! Just to be clear though - it's definitely not an either-or proposition. A lot of our customers will go to their attorney, explain their situation, and ask "so, are the standard forms YC uses ok for us?" And because these documents are very standard (plain vanilla, as we lawyers like to say), startup attorneys are often either already familiar with them (especially so if they already represent YC companies) or it takes them very little time to review. Best of both worlds :)