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6 Tips to Protect Your Business from Litigation

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Avoiding liability should be just as important as generating profit for every business. Failing to take the right steps to protect your business can result in serious legal issues. Our Seattle business law attorneys have helped businesses throughout Washington protect themselves from lawsuits and other legal issues, so we know what steps businesses should take to avoid litigation. Below we have put together the basic steps every company should take to protect their profits and avoid litigation.

If you need strong legal guidance with your business, contact our Seattle business law attorneys today at (206) 565-0090 to schedule a consultation!

#1: Draft Legal Contracts

Regardless of your business’ size, it is vital to have an attorney draft legal contracts when dealing with their party companies or independent contractors. You should also have a detailed contract with your employees. Many companies fail to establish strong legal documents, increasing the vulnerability if their business gets sued.

#2: Incorporate Your Business

Businesses who fail to establish a business formation can be severely impacted if they face litigation. Businesses under sole proprietorship face the most risk under litigation because they will personally be responsible for the company’s liabilities. You should seek legal guidance to determine how you should separate your business entity from yourself.

#3: Get Insurance for Your Business

Although insurance won’t help you avoid liability, it can protect your assets in case of a lawsuit. Getting insured will help your company cover legal fees and liability costs. Some insurance policies protect companies against employee lawsuits and workplace injuries; other insurance policies protect businesses against lawsuits filed by a client or customer.

#4: Hire an Experienced Attorney

It is essential to have an experienced legal attorney on your side to avoid business litigation. An attorney can advise you before you take legal action on important matters, and they can help you navigate litigations that arise. You should retain an attorney who is familiar with the local laws pertaining to your business and an attorney who solely focuses on business litigation. If you need legal guidance with your business litigation, our Seattle business law attorneys develop customized and intelligent litigation strategies to help clients protect their businesses in any legal matter.

#5: Establish Company Policies & Procedures

You should also consider drafting workplace policies and procedures to help prevent lawsuits. Company policies can instruct your staff on how to protect your company’s assets and intellectual property. Providing a job manual or employee handbook is a great way to help your employees learn policies and perform their jobs as expected.

#6: Keep Detailed Records of Documents

Every business should keep accurate records of the time, date agreements are signed, and when and what was discussed during meetings—all communications, including phone calls, emails, and transactions. Businesses should have their records indicate exactly when services or agreements were made in case a lawsuit arises. It should include the number of different products/services discussed in the negotiating process.

Experienced Seattle Business Litigation Attorney

The best way to avoid business litigation is by having an experienced attorney on your side. Major decisions businesses make can result in a lawsuit, so it’s vital to have an experienced attorney guiding a company to reduce potential liability. If you are a business owner in Seattle, our team at Northwest Business Law LLC is here to help you. We can create creative legal strategies to meet your company’s needs. With over a decade of experience, we have successfully helped businesses in the area, and we are ready to help your business.

Contact our Seattle business litigation lawyers today at (206) 565-0090 to schedule a consultation!


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