Running a business is full of constant challenges. However, there is a difference between a challenge that requires your blood, sweat and tears and legal trouble that comes suddenly and unexpectedly.
Unfortunately, you put yourself in the line of fire when you start a business. Many business owners may have to deal with litigation at some point in their career. In fact, one study found that between one-third and half of business owners face litigation every single year.
Not all business disputes reach the point of litigation
Most people will be happy if you respond in a friendly and competent manner to resolve their problems. Even if you cannot correct things right then and there, taking the time to listen to their concerns and grievances may be enough to prevent further trouble. Choosing to ignore issues or failing to take them serious could turn fixable disputes into serious and expensive litigation.
Here are two things to do when facing a potential lawsuit:
- Get Advice: Being a business owner does not mean people expect you to know all of the answers. If you are not sure about the legality of a disputed matter, find someone who can give you accurate information. That may be your accountant who can check to see if you overcharged a customer or it could be a professional legal team capable of reviewing your contracts to determine if a complaint has grounds.
- Coordinate Your Response: Once you have the facts, you can work out how to deal with the matter at hand. If you have different team members giving different answers to the person who voiced the complaint, it may weaken your position. Make a plan about who will communicate and when to avoid issues.
If not taken seriously, business disputes could put all of your hard work to waste. Handling these issues in a professional and prompt manner could drastically increase your chance for a successful resolution.
Buffington Law Firm‘s business litigation team is very experienced at handling pre-litigation matters and disputes. If you are faced with the threat of a lawsuit, we urge you to contact us to discuss the matter in a free consultation. There is never any obligation and all such discussions are protected by attorney-client privilege.