When you own or operate a business, it’s very possible that you will find yourself involved in some type of dispute. In the more serious cases, you may even face a lawsuit.
The following are a few simple actions that can protect you in the event of business litigation:
Get insured: Having a high-quality business insurance is absolutely imperative if you hope to protect yourself and your company in a lawsuit. Because insurers are obliged to defend you if there is a possibility for an issue to be covered under your policy, your provider might have to pay for an attorney who will represent you in litigation. The company will also be obligated to cover you against any judgments up to policy limits if you are liable for claims covered under that policy.
Have sound policies in place: It pays to be several steps ahead at all times. While planning for hypothetical scenarios might seem like a waste of time, doing so could ultimately save you a great deal of money and hassle if a lawsuit happens. You should have thorough, well-drafted policies and procedures in place for potential business lawsuits.
Be clear with employees: All of your employees should have handbooks with workplace expectations, and should receive continuing education about these expectations. Employees should be very well educated about any type of issue relating to their performance at work. Not only does this promote a safer and more efficient work place, but it also helps your business to stay in compliance with the law.
Implement corporate compliance programs: Establish a program at your company in which managers regularly review all of your operations to ensure they are in compliance with the various regulations that govern the workplace, such as rules by the Occupational Safety and Health Administration (OSHA).
Even if you do end up being considered liable in a claim, having a compliance program in place will help to lessen the damage done to your business, as it is evidence that you have at least been working to do the right thing and follow the rules. It might even protect you from criminal liability in severe circumstances.
Work with an attorney: Even if you don’t have an immediate need for an attorney as far as representation in court goes, legal counsel can still pinpoint areas in your company that need to be addressed and help you prepare documents and processes that will prevent disputes. In this way, attorneys can save you an extreme amount of money by helping you avoid litigation.
For more information and advice on how to prepare for business and corporate ligation, meet with a skilled attorney as soon as possible.
BoltNagi is a respected and well-established business and corporate law firm proudly serving clients throughout the U.S. Virgin Islands.