When you own and run your own business, it’s not uncommon to encounter legal issues. One of the most difficult of these is when your business is being sued. Even if you think the lawsuit is unwarranted or that you’re clearly in the right, you should never try to handle this on your own.
Running a business is hard work. You have to stay on top of every facet of your operations, and this includes all contracts, whether they be with suppliers, contractors, or clients. However, perhaps the most important legal agreement that you can make is an employment contract. These contracts must be well written and thoughtfully constructed to ensure both parties are informed about the employment agreement and that your interests are protected should a dispute arise.
When starting a business, many business owners fall into the trap of thinking that everything will always go smoothly. They think there will be no conflicts because everyone seems to be on the same page about the company’s future. However, no business is immune from disputes and issues, which is why having a shareholder agreement is crucial to protect your company from any possible setbacks, including but not limited to unexpected exits, unregulated transfer shares, and litigation.
Shareholders of a business enterprise take risks. They invest money and resources and count on getting a solid return on their investment. Because there are inherent risks, the best tool shareholders and the business can have is a carefully crafted shareholder settlement agreement.
As a shareholder in a company, you can file a derivative or direct lawsuit on behalf of or against the company. Many shareholders do not understand the difference between these two types of lawsuits. However, it is imperative that you know what a derivative and direct shareholder lawsuit entails to ensure that you take appropriate legal action in your particular case.
Anytime you enter into a contract with another party, whether by yourself or as a representative of your business, you need to ensure that the contract language is legally binding and covers all eventualities should either party fail to uphold their obligations.
Injuries are not the only claims that customers, competitors, and others can make against your business that can be costly. If your marketing or advertising causes reputational harm to another person or business, you can be liable for that as well. If you sell products and a defective product causes injury, that party could come after you as well.
The enforceability and validity of a non-compete agreement often vary based on the jurisdiction. Depending on the surrounding circumstances, the former employer may need to continue paying their ex-employee a base wage during the duration of the non-compete.
When two or more parties are involved in a business transaction or contract, disputes may occur due to a disagreement, breach of contract, or other reasons. Fortunately, it is possible to resolve business disputes amicably and without going to court. A seasoned Texas business law attorney can educate you about your various options for alternative dispute resolution when involved in a business dispute or disagreement.
Relationships are the building blocks of any business. Clients and customers, of course, are needed if you want any chance of success, but beyond that, a business needs to build relationships with others, including employees and outside parties who supply goods and services.