A lawsuit has the potential to be devastating for your business. You’ve worked hard to build your company into something that is financially successful and capable of building pride in yourself and the employees that work under you. There is no reason to put your business at risk for a lawsuit, especially when so many lawsuits are caused by failures of common sense. The truth is that there are many ways to be proactive about protecting your company from a lawsuit that are either overlooked, or ignored entirely. Let’s talk about some ways to protect the company you’ve spent time building from a lawsuit.
Be Approachable
The truth is that many lawsuits are easily avoidable by simply having a calm, reasonable dialogue with the party that may be considering a lawsuit. This doesn’t simply mean to only care about being cordial in your business dealings with individuals you think might consider suing you, but to make it a general practice in all your business dealings. Often times lawsuits are filed by fed up employees who would have resorted to some other course of action had the company simply opened up to their concerns and complaints and been compassionate.
Make Good on Your Mistakes
Follow your policies and procedures the same every time to avoid making mistakes that could cost you greatly in the end. Simple mistakes can mean the end of your business, so build a strong company policy and ensure that you and your employees follow it completely. If you do make a mistake, remember the first rule mentioned, and be approachable about it. Be humble at all times and if you make a mistake, make it right with your employee or client regardless of whether they choose to maintain a business relationship with you. Taking the time or spending the necessary money to do the right thing by your client or employee is worthwhile to save you headaches down the line.
Build a Strong Company Policy
As mentioned, having a strong company policy can make the biggest difference in how often, if at all, mistakes are made within your company. Company policies aren’t just helpful in preventing your company from getting sued. Establishing a strong company policy also helps your employees and others that might work with you as it establishes what is expected of your staff, helps them to do their job, and provides evidence of the reasonableness of your policies and procedures. All of these things build a strong base for your company that will serve in establishing a strong reputation, leaving you less open to mistakes and, of course, lawsuits.
Keep in mind that many business owners never consider what to do about a lawsuit until it happens. As mentioned earlier, being proactive is the key to avoiding the hassle in the first place. A strong company policy will help you do that by ensuring that your procedures are designed to prevent error, your policies are fair and easily understood, and that you and your employees pay all necessary attention to procedures in order to avoid a mistake that could potentially result in your business facing a damaging lawsuit.
Avoid Suing Others When Possible
Of course if a company has wronged you, you do have the right to consider a lawsuit if there has been a breach of contract or some other damage has been caused to yourself or your business. However, acknowledge the possibility that if you file a lawsuit against another company that they might fire a countersuit right back. Make sure that the damages you are suing for are worth the hassle and the potential for a countersuit in the event that this potential is there. It’s always a good idea to consult with an attorney to see if you have a case, and whether or not the other party has a case in the event they might have a countersuit planned.
Keep Your Word
Like making good on your mistakes, standing by your word is equally important. When you say something, mean it. This stands true especially if you have a written contract with someone. Breach of contract lawsuits are very common and they can cost you dearly. Even if you don’t have a contract with someone, stand by what you say. Not only is this a moral high road, but also it helps in creating a company that has a strong reputation that more clients will consider being a part of. No one wants to work with someone that doesn’t keep his or her word.
Get Insured
A comprehensive general liability (CGL) insurance policy is a really good idea if you are a business owner. While a CGL won’t prevent you from being sued, in the event that you are sued you do have certain benefits. In most cases, it will pay for the cost of the lawyer and any damages you will have to pay. Your ability to obtain a CGL and the coverage offered is dependent on your specific situation and you will have to consult with an insurance provider to review the options available for your unique situation.
Choose a Reputable Attorney
Regardless of whether you are being sued or not, it’s important to know your specific rights in the event of a lawsuit and what you can do to protect your company. As mentioned previously, being proactive is the first step in preventing a lawsuit. Knowing your rights is essential in being proactive.
The attorneys at Webb & Bordson Law Group are happy to represent you in circumstances involving class action lawsuits. Whether you need a Fresno business litigation attorney or a San Diego business litigation attorney, our attorneys are standing by ready to answer questions and concerns. Call the WB Law Group at (619) 399-7700 (San Diego) or (559) 431-4888 (Fresno). You can also send an email to Office@WebbLawGroup.com for more information.
Don’t let a class action lawsuit destroy your business or go without good representation in getting the settlement you deserve. Contact Webb Law Group today!
