It’s easier than ever for people to take legal action against a business, and consumers are more likely to sue a business if they feel that they have been wronged in some way. A lot of new business owners don’t think that this will be a problem for them because they assume that it is only dishonest businesses that get sued.
Unfortunately, that isn’t the case at all. Even if you are an honest business and you always try to do right by your customers, a simple mistake could lead to a lawsuit. There are also some people that will try to sue a business that hasn’t really done anything wrong, so they can get some money out of it. So, all businesses are at risk of being sued, and it’s important that you are prepared for it. This is what you should do if somebody tries to sue your business.
Review the Case with a Lawyer
Before you do anything else, you need to get in touch with a lawyer. You might be tempted to get in contact with the person that is taking legal action against you so you can try to sort the matter out, but that’s never a good idea. You could accidentally say the wrong thing and incriminate yourself further. As soon as you are involved in a legal matter, you need to be very careful about what you say. It’s safest to do everything through a lawyer from here on out. It’s important to remember that it’s up to them to prove a grievance, and there may not be enough evidence for them to do that, so don’t worry just yet. If you review the case with a lawyer, they will look over the evidence and give you a good idea of where you stand.
Keep Good Records
If you are going to defend yourself properly in court, you need to make sure that you have good records and you keep any information that relates to the case, no matter how insignificant it may seem. It’s a good idea to invest in the case management software legal files for your business. It will help you to organize all of your legal files and ensure that you have access to all of the right paperwork that you need.
Speak with Your Insurance Provider
You have to entertain the fact that you might not win the case, even if you think that your chances are good. If you lose and you are ordered to pay a big settlement, there is a chance that your insurance may cover it. You should get in touch with your insurance provider now and explain the situation to them. They will let you know whether you are covered or not. It’s best to know early on if you are not covered so you can start preparing your finances.
Decide How to Proceed
Finally, you need to decide how you are going to proceed, and you have a few options. If you believe that you were in the wrong, it may be best to admit guilt and pay up. But if you believe that the case is not legitimate and you can prove it, you should fight it in court.
It’s every business owner’s worst nightmare, but you need to be prepared because there is always the chance that you could be sued.