One of the growing areas in the legal industry is litigation. The increase in the litigation practice area has made it imperative for law firms to create a commercial litigation department.
Corporations make up most of the clientele when it comes to litigation cases. Yet, medium and large businesses also need the help of commercial litigation lawyers for them to sustain business growth.
Growing a business can be hindered when legal setbacks are encountered along the way. Getting sued or facing a dispute is probably one of the pitfalls that every business or corporation wants to avoid at all costs.
While legal setbacks are unavoidable in the world of business and finance, hiring commercial litigation lawyers before starting a business is the smartest option. Here’s why:
Proper legal structure
A proper legal structure should be in place when starting a business. This means that a business has to choose the proper structure ranging from a partnership, a corporation, a sole proprietorship, or an LLC.
Operating legally within the proper legal structure is ensured when working with a commercial litigation lawyer. Your legal expert not only makes sure that the correct formation type is applied to your business; he/she will also ensure that the rights accorded to the chosen legal structure are protected.
Draft contracts and agreements
Partnering with another person to operate and run a business is a sound business plan. Yet, it should be remembered that partnerships bring their share of legal considerations and implications. Protecting the interests of both partners needs help from a commercial litigation lawyer. He/she will draft contracts and agreements that work to the best interests of both partners in case a breach of contract or dispute happens in the future.
Draft legally binding contracts
Doing business with employees, other organisations, partners, vendors and suppliers, and service agreements need legally binding contracts. Disputes arising from the executed contracts can be avoided or mediated by a commercial litigation lawyer. Legally binding contracts between people and businesses drafted by a commercial litigation lawyer are often required by the courts. A legally binding contract is the best weapon to have when it comes to settling disputes and/or proving a breach of contract.
Fraud-free business
Businesses subjected to fraud disputes seem to be on the rise nowadays. It seems that no type of business is safe from fraudulent accusations. Yet, not all fraudulent disputes filed against corporations or businesses have merit. The smartest way for a business to fight off fraudulent claims is to have a reputable and experienced commercial litigation lawyer in its corner.
Iron out duties and responsibilities
Partnerships are often confused about the duties and responsibilities they need to fulfil to make the business thrive. The breakdown of duties and responsibilities is often perplexing. Ironing out or spelling out the exact functions of each partner becomes clearer with the help of a good commercial litigation lawyer.
Employment issues
A business with employees often faces tremendous employment issues. The issues range from employee lawsuits to workers’ compensation claims. A commercial litigation lawyer is the best help to have around regardless of the cause or reason of lawsuits filed by an employee to an employer.
Business practices today are more complicated compared to past decades. The best way for businesses or organisations to avoid being mired in future disputes and lawsuits is to hire a competent commercial litigation lawyer at the earliest time possible.
