TYPES OF BUSINESS LAWSUITS

Many lawsuits concern businesses and business activities. Some business owners might be sued as defendants, while others may use them as plaintiffs.

There are several steps that business owners can take to protect their businesses from being sued. A lawyer can help with the drafting of contracts and other legal documents. They can also set up sound policies to ensure compliance with the law.

No matter how diligent a business owner is, sometimes getting sued can be inevitable.

In other cases, a business owner might be forced to bring a suit to protect his business interests or to recover their financial losses.

It doesn’t matter which side a business is in dispute. What matters most is that you understand the type and intent of the lawsuit. This article will outline some of the most common types and provide legal guidance.

It is always best to discuss your case with a lawyer to ensure the best outcome possible for your business.

What are the Most Popular Types of Lawsuits

Complex business law means that there are many possible business disputes.

“Contract dispute is probably the most common [business lawsuit],” says Georgia business litigation attorney Benjamin I. Fink.

Fink adds that “there are also statutory disagreements.” Fink mentions “trade secret disputes” that involve intellectual property laws. There are many other state and federal laws that apply to business relationships.

Another relevant statute is the Employment Laws, such as Federal Fair Labor Standards Act. This governs various issues related to wage and hour and state worker’s compensation laws.

Fink adds, “Then there are also common laws torts.” “For example, tortious interference with business relationships” when a third party interferes with a company’s current or future business relations.

This is a list that includes common types and forms of business litigation.

Breach by contract
Trade secrets and patents can be involved in intellectual property disputes
Breach of fiduciary duty
Personal injury cases, including
Premises Liability claims for injuries to business customers
Products liability (sometimes as part of a class action lawsuit)
Employment disputes, including
Failing Termination
Workplace harassment
Discrimination and a hostile working environment

Depending on the legal issue, different parties may bring business lawsuits. This is an example:

Shareholders may bring a suit for breaching fiduciary duty against board members who have participated in self-dealing or similar practices.
Breach-of-contract lawsuits are often brought by one company against another.
Product users and customers may bring personal injury claims.

Fink says, “Regardless of what type of lawsuit you are pursuing or being sued on behalf of your business,” Fink advises that the earlier you involve a lawyer in any potential dispute or festering issue, the better the chance you have of getting legal advice.

What are the differences between Civil and Commercial Litigation?

If you are a business owner, you may have heard the terms “civil litigation” and “commercial lawsuit.” How are these different types of litigation? One type or subset is commercial litigation.

The most common type of civil litigation involves a lawsuit between individuals or companies that seek to obtain money or enforce legal rights. In civil litigation, the “parties” may include individuals, businesses, or other entities.

Commercial litigation involves only civil litigation.

Civil and commercial courts are separate from criminal law. They do not include criminal charges. Although civil and criminal cases may sometimes be filed for the same actions,

Consider an example: An employee may have been subject to sexual harassment by their supervisor or coworker. In such a case, the employee may file a civil lawsuit against their employer for anti-discrimination.

An employee could also be facing separate criminal charges of sexual harassment committed in the context of sexual assault or sexual contact.

Do Businesses Have an Option for Litigation?

Yes. No.

There are many different types of ADR. ADR for businesses is the most famous:

Arbitration. Arbitration is when businesses in dispute agree to meet with a neutral third person who will listen to the facts and then make a binding determination. Arbitration is similar in that both sides present evidence, and a third party decides. Arbitration can help parties save time and money and avoid going through the courts.
Meditation. Meditation is the same as arbitration. The mediator helps the disputants decide on their own. Meditation, however, involves the third party assisting the disputants in concluding by themselves rather than having to settle for them.

ADR is an alternative to traditional litigation. But it’s still wise to have a lawyer review and represent your case.

ADR has many complex legal issues. A successful ADR outcome will have significant implications for your business. A legal professional can ensure that your business gets the best results.

Questions For a Business Attorney

If your business faces any legal action, it is worth seeking advice from a lawyer immediately.

Many business litigation lawyers offer free consultations. These meetings allow you to receive legal advice and help determine if you are suitable for the firm or attorney.

Asking the right questions will ensure you get the most value from your consultation.

What are the fees and billing options of your attorney?
Do you have a specialization in business law or other areas?
How can my business be protected from a Lawsuit
How do you use another company for negligence?
What are the steps to the litigation process
Is an alternative dispute settlement better than a lawsuit in this case?
How long does a case involving business litigation last?

Once you’ve met with a lawyer to answer your questions, you can establish an attorney-client partnership.