Five tips to handle getting sued
Having a lawsuit come your way can through a huge kink into your business plan.How you handle that suit will also affect your business.Make sure that you know how to handle getting sued the right way.
Here are five tips that will help you to deal with a law suit.
- Your business should have insurance established before you get sued.This will help to cover any legal fees that you incur during the duration of the suit.If your current insurance doesn't offer any compensation like that then you need to find a company that does.Even if you have to pay a little bit more for that coverage, you will be so grateful that you have it if it ever comes down to a law suit for your business.Having this also helps if you have to take someone to court to settle a dispute.
- Don't do anything with the lawsuit until you have a lawyer.If you try to do this on your own you will only find yourself in a big mess.Having a hired attorney gives you a better chance at winning your case and also gives you added legal knowledge beyond your own.You need to make sure that your lawyer is working in your best interest, so do some good checking before you choose the lawyer that you are going with.
- Always try to settle out of court.This saves you time and money, and if you own a small business then you don't have extra of either. Make sure that the settlement is fair and that it satisfies both parties.Your lawyer will come in really handy when trying to create a settlement.If you have a settlement that makes you happy, then you don't have to worry about losing your case and getting nothing.That is something that needs to be considered, you might lose if there is no settlement.
- If you do end up in court, you need to have evidence.It doesn't matter what the suit is about, you will need to be able to prove what ever is being disputed.Make sure that you have all of the documentation necessary and maybe even some extra, just in case.This is why records should be kept for a few years after they are written or used.Be able to stand behind your case with the truth.
- While your law suit is going on try to keep business as usual.This means that unless the suit affects a specific employee or product that everything should stay unaffected.If the suit disrupts business then you may lose money that you can't afford to lose.Also if you don't keep going as usual then other customers may start to question the situation and you may in turn lose other loyal customers.Keep up a good front and don't let the suit take over.
Each of these tips is helpful in its own way.You need to make sure that you are listening to your legal counsel and that you are doing everything in accordance with the law.If you are doing something illegal, then the suit is your own fault.
Try not to lose everything over one situation.Keeping customers happy and satisfied is the best way to avoid a lawsuit.Make sure that you are doing everything you can to make your business profitable and law abiding.Getting sued can be avoided, but when you have one come your way, don't panic.You can handle anything, you are a small business owner!