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What to Do Now to Prevent a Small Business Lawsuit Later

Scales of Justice

Our society is hungry for lawsuits. It seems some people seek out business litigations in Seattle purposely either for money or to prove a point. While any business can suffer, it is especially harmful to small businesses that don’t have the finances to pay lawyer fees, court costs, and settlements. There are, though, steps you can take to prevent a lawsuit.

Get it In Writing

Whether you are working with your best friend or a new client, ensure all contracts are written and signed. Handshakes, emails, and verbal agreements will not stand up in most courts. Every written agreement needs to contain:

  • Time frames
  • Costs
  • Materials
  • Dispute Details
  • Terms for Voided Contract

Once you write the contract, have your attorney read it. He can ensure there are no loopholes or missing information so the contract stands in case of a small business lawsuit.

Listen to the Customer

As a business owner, you know the customer is not always right. In most cases, it may be worth it to stand your ground. Sometimes, however, you need to back down in order to avoid going to court. The success of your small business does not matter on rights and wrongs, but on customer satisfaction and retention rates as well as reputation. Rather than go to court, offer incentives like discounts on future purchases, refunds, and apologies to satisfy the customer. You should also note customer complaints, respond, and file these. When you notice trends, you can tell where the weak area of your business is that may lead to a lawsuit. You can then predict bad situations and make changes to lower the risk of any problems. This alone may help keep you from any business litigation problems.

Insure Your Small Business

A Portland or Seattle business litigation attorney can help you write liability waivers, employee contracts, client contracts, and other relevant forms to protect your business. Along with this, you should ensure your company has a liability insurance policy as well. Together, these will protect your business from any potential grievances or other problems. You will need to secure a relationship with a competent business lawyer in Washington to go through the process with you. Insuring your business will cost a lot upfront, however, you will save a lot of money should anyone try to place a lawsuit on you. It is an investment worth every penny.

Any business needs to protect itself from potential lawsuits. Small businesses are especially vulnerable simply because they may dissolve after one lawsuit. Securing a Portland or Seattle litigation attorney helps not only by walking you through the process, but preventing the lawsuit as well. This is necessary to save time, money, and emotional hardship. These steps may save your business while allowing you to continue running it the way you want.

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