The Dangers of Trying to Resolve Business Disputes on Your Own
On behalf of The Law Office of Lynnette Ariathurai, A Professional Corporation posted in Contract Disputes on Tuesday, May 24, 2016.
One of the most common mistakes that small businesses make is trying to resolve disputes on their own. In an effort to save money – and thinking that the issue or conflict will simply go away – many small business owners do not take a proactive approach to dispute resolution.
Disputes don’t just go away. Particularly if the opposing party hires a lawyer of their own. It is critical that you take potential legal issues seriously and work with a trusted business law attorney to resolve the dispute as quickly as possible, protecting your long-term interests.
Here are a few things to keep in mind when faced with the threat of business conflict:
If you are contacted by an attorney of an opposing party, respond only through your own lawyer. Anything that you say in response will be evidentiary. You run the risk of accidentally making a statement that could cost you significantly or misspeaking in a way that can be used against you. Immediately contact your lawyer and only communicate through legal representation.
Be aware of disgruntled employees. If you suspect that an employee is upset for any type of employment law or human resources related matter, immediately seek the counsel of your attorney. You may have made a mistake or error that could result in a lawsuit. A lawyer can help you resolve the matter before it escalates.
Make sure that you understand your contracts and agreements in place.Hopefully you have worked with a skilled business law attorney in advance to create a contractual infrastructure that will protect the business in case of conflict. If you sense that a dispute is coming, review these contracts with your attorney and address any weaknesses immediately.
Do not try to make any under the table agreements. Far too many business owners try to make problems go away by throwing money at them or negotiating foolish agreements on their own. Always seek the guidance of a lawyer before making an agreement. Allow your attorney to conduct prudent negotiations on your behalf.
Remember that mistakes you make during disputes could come back to haunt you. Each decision you make during this period of time is critical and an error could have long-term implications – some could sink the business.
The Law Office of Lynette Ariathurai partners closely with businesses throughout the Bay Area to ensure they make sound decisions and provides strategies that resolve disputes efficiently and in a cost-effective manner. Take conflict seriously and seek trusted legal guidance. Click here for more information.