No business owner likes to think about getting sued, but lawsuits are a reality that many of them have to face. If you own a business, it is important to recognize when you may be sued. The sooner you sense trouble, the more likely you will be able to mitigate it. Here are a few signs your business will be sued from our friends at Brown Kiely, LLP.
You Just Fired an Employee Who Refused a Severance Package
Sometimes businesses offer their employees severance packages when letting them go. Many severance packages require employees to waive the right to file a lawsuit for termination. If an employee refuses to accept a severance package, it is a big red flag. There’s a good chance that the employee may be considering taking legal action against your company.
Communication Stops After a Dispute
If there is a dispute between your business and another party, you may be able to resolve it through communication. However, if the other party suddenly stops responding to your phone calls and emails, it is a cause for concern. The party may be getting ready to file a lawsuit against your business and has been advised to stop all communication with you.
Your Business Has Grown Significantly
At first look, having your business grow sounds very positive. Although it is wonderful to see your business take off, it can make it vulnerable to legal issues. When others take notice that your business has grown, they may assume that you have a lot of money and pursue frivolous lawsuits.
You Have Many Customer Complaints
Even the most well-run companies will receive a customer complaint every once in a while. However, if your business has an overwhelming amount of customer complaints, it may be a sign of trouble.
What to Do If You Believe Your Business Will Be Sued
If you have reason to believe that your business will be sued, do not just sit around and wait. It is important to take control of the situation as soon as possible. Begin by contacting a reputable business lawyer that specializes in commercial litigation in Maryland. A lawyer can advise you to move forward with this matter. If you have any documents pertaining to your case, such as contracts and emails, show them to your lawyer. The more information your lawyer has to go on, the better.