FAQ's
WHAT IS BUSINESS LITIGATION?
Business litigation is the resolution of disputes that arise out of the ownership or operation of a business, or which involves claims between a business and another business or individual.
Business litigation lawyers represent individuals, businesses, and financial institutions in disputes such as ownership disagreements, contract disputes, claims of improper conduct, government investigations, professional relations, real estate issues, securities and antitrust issues, technology and intellectual property, professional malpractice, shareholder and corporate governance disputes and many other areas in which disputes arise within a business or in its relations with the outside world.
WHAT SHOULD I DO IF I HAVE A LEGAL DISPUTE?
The best thing to do is try to resolve the dispute personally and informally with the other party. An experienced attorney can guide you in this process by providing a legal analysis of the issues, and of the strength of your position. If this fails, you may wish to propose a conference in which you and your adversary meet with a neutral party skilled in negotiation who will help to mediate the dispute and help you and your adversary arrive at a mutually acceptable compromise. Finally, if formal dispute resolution is necessary, you will set out the nature of your dispute in a Complaint filed in the appropriate court, serve the papers on your adversary, and begin the litigation process.
The sequence and timing of these steps will depend on the circumstances. An experienced attorney can help you analyze the issues and determine a course of conduct best suited to achieving your goals.
HOW DO I KNOW IF SOMEONE IS SUING ME?
In most jurisdictions, a lawsuit begins when someone files a "Complaint" with the court. The Complaint must then be "served" on the defendant, the party the lawsuit is against. A Complaint is usually "served" by delivering a copy of it to the defendant, along with a "Summons", which tells the defendant how to respond. Sometimes this can be done by mail. It does no good to try to refuse service by declining to take the papers, or running away. Usually all the process server has to establish is that he or she found you and tried to give the papers to you.
WHAT SHOULD I DO IF I GET SERVED?
It's best to consult with an experienced business litigation attorney right away. The worst thing to do is ignore the lawsuit. The second worst is to wait until the last minute to contact an attorney. Once you are served, you will have a limited amount of time - 20 days, usually, sometimes 30 days - to respond by filing something with the court. If you do not, a default may be recorded against you. A default means that the court will assume that the claims against you are true. Consulting with an experienced business litigation lawyer right away will allow the maximum opportunity to investigate the claims and prepare a response.
IS BUSINESS LITIGATION EXPENSIVE?
It depends, but it can be and frequently is. Business litigation is generally complicated. It frequently involves multiple issues of law and fact, large quantities of documentary evidence and complicated issues of damages. As a result, it is very time intensive. Most business litigation attorneys charge hourly rates. Flat fees are rare, and contingency fees are rarer. It is extremely difficult to predict the amount of time and effort a business dispute will take from start to finish. That's why flat fees are rare. Contingency fees provide that the attorney is paid from a percentage of damages collected as a result of winning the lawsuit. Since business cases are usually not clear cut either as to liability or damages, the risk is difficult to assess. That's why contingency fees are even rarer. Because of the potential expense of business litigation, not to mention the disruption of the day-to-day operation of the business and its employees, it is essential to assess the cost-benefit of a case through every step of the process.
ARE THERE WAYS OF AVOIDING LITIGATION?
Yes. Once a business problem arises, it makes sense to try to negotiate a resolution without involving the delay, expense and uncertainty of formal legal action. Submitting a matter to arbitration or to mediation, which is a kind of assisted negotiation, can frequently produce a faster, more satisfactory, and less expensive resolution. An experienced litigation attorney will know if these methods are available and appropriate, and guide the client through the process.