Business Litigation Tips for Contract Disputes
During the coronavirus pandemic, there are a lot of concerns that contracts are going to be broken. After all, there are a number of unforeseen circumstances that are wreaking havoc in the business world. In order for business owners and managers to protect themselves in the current environment, it is important to understand how contract disputes arise, and how they can be avoided with help from a business litigation attorney. What are a few tips business owners and managers should keep in mind when it comes to contract disputes and business litigation?
Focus on Improving Communication in the Virtual World
First, it is critical to improve communication. Even though a lot of communication is taking place virtually, it is important for everyone to clarify all expectations with employees, clients, and colleagues. A few important tips include:
- Do not promise anything that cannot be delivered
- Always keep any promises that are made
- Be proactive about avoiding potential conflicts or explaining difficult situations that could arise
- Focus on how the tone of the email or phone call could be perceived
- Keep in mind that the proper time may not come across in a written message
- Continuously evaluate and enforce all best practices
These tips can significantly improve the communication between business owners and clients and employees. It could help avoid a contract dispute.
Document Everything
Everything has to be documented. If a commitment is going to be made, it has to be written down. This will avoid confusion in the future. Even emails have to be organized in a solid filing system, so they can be referenced later. Even though a lot of people in the business world are used to doing handshake deals, this is simply not appropriate in the current environment. Vendor agreements, contracts, and other important documents have to be reviewed by trained legal professionals. That way, all potential issues are detected, and all contracts can be enforced.
Take a Closer Look at Insurance Policies
Even though insurance is not a popular or comfortable subject in the business world, it is an important aspect in the current environment. Business owners have to review all insurance policies to make sure they are correct. Business owners also have to investigate all options available from multiple brokers. If there is a policy that is required but not present, it should be purchased as quickly as possible. This includes product liability, workers compensation, commercial liability, property insurance, auto insurance, and even error and omission insurance. All of this is important for protecting the company in the event of a contract dispute down the road.
Structure the Business Properly
Sometimes, business owners are surprised when they hear that their business structure is simply not appropriate for that type of work. In order to reduce liability, it is important to determine the appropriate corporate entity for the organization. Furthermore, minutes, annual reports, and corporate records have to be maintained. All formalities have to be followed appropriately in order to provide the business with appropriate protection when it comes to personal liability. Often overlooked, this step is very important in helping business owners avoid potential business litigation down the road.
Work with Trained Professionals
Finally, it is critical to work with trained professionals who have experience in this field. Even though these tips can go a long way toward avoiding some types of business litigation, there are other situations where a contract dispute is likely to arise. That is why it is critical to work with a business litigation attorney who has experience in this area. Everyone deserves to have their rights defended. This includes business owners who are trying to stay afloat during the coronavirus pandemic. Do not hesitate to reach out and ask for assistance from trained professionals.
If you have any questions about contract disputes or business litigation, please don’t hesitate to call the attorneys at Avera & Smith in Gainesville, FL to schedule a free consultation.