Choose a Small Business Counselor to Avoid Litigation
A litigation dispute can bring your small business or start-up to a screeching halt. Whether a lawsuit is the result of shoddy contracts or poor advice, no business owner wants to devote valuable human and financial resources to fighting a prolonged legal battle. Often such challenges can ruin a business entirely, regardless of the founder’s concept, product, service or organization.
Working with a knowledgeable law firm to facilitate contracts and other legal relationships can ultimately save a company time and money and, possibly, its future. Here are some vital considerations for ensuring that your company avoids litigation.
- Appellate Practice
- Automobile & RV Litigation
- Breach of Warranty & Lemon Law
- Business Litigation
- Business Transactions & Corporate Law
- Commercial Litigation
- Consumer Finance Litigation & Foreclosure
- Deceptive & Unfair Trade Practices
- Employment Litigation
- Insurance Defense
- Medical Malpractice Defense
You know your business cold, but do you employ equal rigor in understanding the law…and how to avoid unnecessary lawsuits? It’s always best to understand your legal obligations before your company enters a new business relationship, whether with an employee, client or partner. And more employees than just your C-levels should be aware of the regulations, legal ramifications and binding relationships. Company employees are often front and center with new clients, so they must be trained to identify potential problems early in contract negotiations—before binding the company with obligations and relationships.
An organized system and proper filings will make it much easier to run your enterprise. You may have to produce a set of documents quickly for legal questions, support your negotiation position or gauge the company’s exposure to a new development. Reviewing these documents with a trusted and objective legal team will remove anxiety about lack of preparedness and provide objective guidance about your company’s potential risk or vulnerability.
All too often, we simply assume that every t will be crossed and every i dotted. Yet failing to fill out a contract or postponing it can swiftly lead to an unwanted lawsuit. A well-drafted contract is one that has received sound legal review, creates a flowchart of how to conduct business together and confirms that both parties share the same expectations and obligations. The best contracts also protect your business, and your personal liability, first and foremost.
Insurance policies are also critical contracts that require auditing on a regular basis. Always make sure your insurance coverage grows with your company and remains relevant when the business moves in a new direction. A lawyer can help you decipher these critical contracts and protect the company from potentially large fees should it be forced into a business dispute.
A good contract doesn’t preclude open communication; it only enhances it. Every business should try to hire employees who know how to nurture relationships with clients. These relationships often depend on significant levels of mutual trust. With a solid foundation, many potential disputes can be addressed before they ever escalate. An outstanding B2B relationship also affords more flexibility and forgiveness should an employee make a careless mistake that puts the relationship at odds.
That said, conflict often drives business, especially in today’s competitive marketplace. Consumers are always looking for a discount, and suppliers are driven to increase their margins. It’s critical that these natural economic conflicts, even if potentially good for your business, do not escalate into an actual, unnecessary lawsuit. And it’s important to know when a lawsuit is, in fact, necessary.
Address any worrisome relationships early, and should such intervention prove futile, see a small business counselor such as Pearson Bitman to gain advice about how best to continue. If nothing can be done, an experienced legal team will also provide insight into whether a potential lawsuit is worth the fight, especially when you consider the cost and hassle of our legal system.
Business success requires a second opinion, an objective and independent source of advice that will offer an honest appraisal of a situation. Legal teams are required to offer these candid observations, so choose a law firm with a reputation that matches your company’s. In addition, you should seek a law firm that understands that the smartest negotiations benefit both parties. Working toward a mutually acceptable outcome will actually strengthen your relationship with a temporary adversary, not hinder it.
The paperwork involved in starting and running a small business—contracts, tax code and even type of incorporation—can seem overwhelming, yet negligence on any combination of these can lead to disputes. No one runs a business for the paperwork and legal filings! However, engaging an experienced law firm with a practical understanding of business, such as Pearson Bitman, provides your company with expertise, objective advice and a proven legal winner, should your business encounter any conflict.