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Important Steps to Take When Your Business Is Being Sued

The Parzivand Law Firm, PLLC Oct. 17, 2023

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. Instead, you should reach out to a business litigation attorney who can help you through this process and ensure your interests are properly represented.

If you work in or around Stafford, Texas—including Sugar Land and Fort Bend County— and would like to learn more about what to do when your business is being sued, reach out to The Parzivand Law Firm, PLLC for knowledgeable guidance. 

Common Business Lawsuits

Depending on the nature of your business, you may run into any number of lawsuits. Each should be addressed by a professional to ensure they are handled efficiently and to minimize any damage to your company. Some common business lawsuits include: 

  • Slip and fall accidents 

  • Employee or customer discrimination claims 

  • Wrongful Termination claims 

  • Breach of contract 

  • Premises liability  

  • Auto accidents  

  • Harassment claims 

  • Workers’ compensation issues 

  • Intellectual property violations 

Important Steps to Take When Your Business is Being Sued

If you find yourself on the receiving end of a lawsuit, you need to take action right away. The sooner you’re able to address the causes of the lawsuit, the better your chances will be of wrapping it up quickly. Consider taking the following steps:  

  1. Read the lawsuit carefully: The very first thing you should do is read over the lawsuit thoroughly and take note of important deadlines, such as a deadline to respond. Often, lawsuits will require you to submit a response within a certain number of days.  

  1. Hire an Attorney: Finding an experienced attorney should be your next step right after you’ve learned the basics about the lawsuit. Don’t worry if you don’t understand every aspect of it after your first reading since your lawyer can help you understand the legal implications and help you respond within the required deadlines. By hiring an attorney right away, you’ll be securing a trusted partner who you can turn to at any time during this process and one who will be knowledgeable about the specifics of your case.  

  1. Be Cognizant of What You Do and Say: In almost all cases, it’s best to avoid contact with the plaintiff (the person who filed the lawsuit against you), and any communication should go through the two attorneys representing each side. This way, you can avoid accusations of slander and making the situation worse. You should also refrain from making any public comment or posting anything on social media or your business sites associated with the lawsuit. Only discuss the details of the case with your legal team. 

  1. Document everything: Gathering applicable records, documents, or other forms of evidence will be crucial to building a strong case. This could include emails, reports, employee communication, reviews, contracts, photos or videos, medical records, witness statements, or insurance policies.   

  1. Investigate the Claim Internally: You should be prepared to investigate these accusations internally along with the help of your lawyer. For example, this may mean the partners or senior management perform a thorough evaluation of the company culture and policies as they relate to the claim.   

  1. Be Honest with Your Attorney: Above all, you should always be 100% honest with your attorney at all times. Your lawyer won’t be able to represent you to the best of their abilities if you aren’t transparent and open about the entire situation, and this includes any time when you may have made a mistake or acted in the wrong. It’s always better to have your legal team know all the facts from the beginning instead of finding them out down the road. 

What Not to Do If Your Business is Being Sued

Just as important as knowing what to do when facing a lawsuit is knowing what not to do as well. One of the most important items to remember is that time is of the essence, and you should never wait to take action once you’re served with a lawsuit. Handling this in a professional and responsible way should be your number one priority. This will reduce the chances of something similar happening in the future. 
Additionally, do not let your emotions get involved in a case like this. It could be tempting to give in to your anger and become determined to win at all costs, but this is not a wise stance to take. Reaching a settlement could be far preferable (and cheaper) than seeing a case all the way through trial. 

Secure Solid Legal Representation

If you run a business and are concerned about a current or potential lawsuit, contact The Parzivand Law Firm, PLLC in Stafford, Texas, to discuss your options and start taking control of your future.