Business disputes are an unfortunate reality for any business owner. Eventually there will come a time when a dispute will occur that needs to be handled through legal channels. If a business dispute arises or litigation is pursued then a business will need to hire a lawyer for legal representation. Here are some of the most common causes for business disputes.
Businesses that work with contractors can often find that disputes form. These disputes with contractors are commonly surrounding payment and disagreements surrounding contract length and specific arrangements. Similarly, businesses that work with suppliers run the risk of business disputes forming around not receiving products. Common business disputes with suppliers surround not receiving the products or stock that was expected.
If a customer does not feel that the service or product provided was the expected standard then disputes can arise. Businesses that provide products to customers have a warranty system provided to customers, but if this warranty is breached or there is harm caused to a customer from a faulty item then a dispute will occur. All businesses also hire and fire employees and this is the area that often leads to business disputes. This is a tricky are with federal law stating strict rules regarding harassment and discrimination in the workplace.
With so many different business disputes being able to be filed, there is good reason that many business have an attorney on file to assist. When a business dispute does arise there are often two ways that the dispute can be resolved. Both involve hiring an attorney. The first option is mediation out of court, and the second option is the case going to court.
Mediation is the most favorable route for a business dispute to take in order to resolve the dispute. Mediation means that the case does not go to court and become expensive and very public. mediation allows for all parties to come together to negotiate on an outcome that is favorable to all. This is the best outcome for businesses with long term relationships with suppliers or contractors for example.
If a business dispute can not be resolved out of court through mediation and negotiation then the case will go to court. This option is costly, time consuming and stressful and is the last resort for a business dispute. The case will be heard in the civil court. The courts will then formally hear all of the evidence and pass a judgement awarding compensation to one of the parties.