It never fails that at some point in time a company in business will be sued. It just seems to be the general law of averages.
There are a number of things that someone could be sued for, and we’re going to discuss a few or the more common ones to be on the lookout for, such as a criminal investigation. One would hope that the business would never have to face something of this nature, however, depending on which industry the business is operating in, there could be as many as ten or more regulating agencies. Imagine how many things could inadvertently go wrong with that kind of government regulation.
The disturbing thing is that there appears to be a trend to target business owners, executives and the businesses themselves for investigation and prosecution of whatever rules and regulations they may have breached. It’s almost a daily news item to read about yet another company up for scrutiny for some kind of white-collar crime.
In order to ensure mostly smooth sailing, a business is best advised to offer to cooperate with all government inquiries, so long as they make sure they have an experienced attorney to field any questions that arise. This is a matter of making sure everyone knows what their constitutional rights are and what procedures are acceptable to follow during a criminal investigation.
Another area that is seemingly inevitable, is the suit filed by an employee. There are so many different types of lawsuits that may be filed; it almost boggles the imagination – from age discrimination to wrongful termination, or from pregnancy discrimination to racial discrimination.
One of the best ways to avoid this type of a lawsuit is to ensure the business has exceedingly clear rules and policies drafted by a knowledgeable attorney. Stick to the rules, treat the employees with the utmost respect, and make sure your rules and policies are continuously updated.
Interestingly enough, the other area that tends to crop up fairly frequently in business lawsuits is divorce and marital problems. Most people don’t give this a lot of thought, but any contracts that deal with the business should specifically discuss this eventuality (divorce), as it may affect how business is conducted.