6 Steps to Reduce the Likelihood of Your Business Facing a Lawsuit

No business wants to get sued. Although there is nothing that can 100% guarantee that you and your business will never be sued, there are some common sense steps to make it less likely. Here are our top six steps to reduce the likelihood of your business facing a lawsuit.

1. Have valid contracts with any business partners, vendors, customers, and contractors.

Make sure to draft valid, thorough contracts with anyone that you conduct business with. This can include your other business partners, vendors, customers, and contractors. Some businesses even have formal contracts with their employees.

Contracts are very important because a good contract will outline what both parties should do in case of disputes or other unpleasant incidents that may arise. When these situations arise, a good contract will already have anticipated the problem and provide a solution.

To ensure that your contracts are as solid as possible, make sure that all names and addresses are listed correctly. Also, be vigilant to ensure that both parties sign the contract.

2. Have a qualified business lawyer draft your contracts.

If you are serious about avoiding a lawsuit in your future, your best course of action is to meet with a lawyer ASAP. By allowing a competent business lawyer to draft your contracts, you will be ensuring that all your needs are met and that the contract covers the necessary topics.

Business lawyers are used to drafting contracts for individuals in many fields. Let them use their knowledge to help you prepare for incidents that might happen in your future.

3. Write and follow your company’s policy and procedures.

If you are the one to write your company’s policies and procedures, it’s more likely that you will follow them. Like a contract, a well-written policy and procedures manual will outline what to do when various difficult situations arise.

As with contracts, take the time to think about different issues that your company may face when you draft this important document. Then, come up with the solutions. By following your policies and procedures, you make it less likely to be sued.

4. Take care of your employees.

If you want to make sure that you don’t get sued by an employee, you need to constantly watch out for their best interests. This includes:

  • making sure that they’re receiving fair compensation for their work and that they’re not subject to discrimination.
  • observing the culture of their work area and co-workers, ensuring that there is no workplace harassment.
  • guaranteeing the safety of their work environment by looking for areas for potential injury or OSHA safety violations. 

5. Take care of your customers.

It’s a good business practice to make sure that your customers are satisfied with your work. This good business practice can also make it less likely that you’ll be sued by a customer.

6. Keep good records.

By keeping organized business records, you may avoid a lawsuit. Always keep files on employees, contractors, and customers. If any issues arise, take the time to make notes about what happened. Sometimes by documenting your side of the story, you can keep yourself out of court.

Cove Law

Remember, if you are looking for an experienced business lawyer in Florida, contact Cove Law. Our attorneys are ready to help you and your business stay out of court! Contact us here or give us a call today at (954) 921-1121.

Andrew Cove
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