Operating a business requires maintaining pristine relationships with stakeholders, and is as important as selling your products and services to profit. Interactions with everyone, from vendors and customers to employees, contribute to your business’s success. However, there are situations that give rise to different types of disputes. While both parties may come up with a solution to amicably resolve the conflict, sometimes circumstances lead to legal actions. A few common types of legal disputes that small businesses generally encounter in Ohio include:
Breach of Contracts
A majority of businesses require signing contracts with a number of parties to ensure smooth operation and protect themselves from liability. However, as the business owner, you are subjected to certain obligations as well when you enter a contract with an individual or entity. If any party fails to meet or fulfill any obligations stated in the agreement or contract, the other party can initiate a legal action for breach of contact. It is not necessary for the at-fault party to breach all the parts of the contract – a claim can be made if a single or more portions of it has been violated or breached.
Patents and Copyright Issues
Businesses operating in the technology and scientific landscapes often face issues regarding patents and copyrights. If another company tries to copy the patented or copyrighted product, the original creators can bring a lawsuit against the violating party, even if it was unintentional. It is best for businesses in the research or development phase of launching new products to study the market and dig out information about copyrights or patents pertaining to competitors’ products to avoid any legal implications.
Violation of Employees’ Rights
Disgruntled employees can bring many legal headaches for a business owner or employer. In the United States, employees have been given a lot of protection against wrongful conducts and actions of employers, and the ability to exercise their rights with the help of government agencies. If you are laying off an employee, make sure there is a legit reason for it, like lack of performance or violent behavior in the workplace.
Dissatisfied Customers
Another common source of disputes for small businesses that can cause significant damage is from customers who are dissatisfied with your products or services. Faulty products, not up to the mark service, or failure to provide solutions for complaints can lead to a group of consumers bringing class action lawsuits against your company that may not only hurt your business financially but also affect your reputation in the market.
Not all disputes require taking matters to court. Each state, including Ohio, has specific laws and regulations that allow parties to resolve issues and settle disputes. However, if disputes do require going to court, you may want retain the services of an experienced business law attorney to help you navigate through the legal system, help you understand your rights as a business owner, and work to find effective solutions that minimize the damage to your reputation or settle the matter altogether. Contact the Law Office of John C. Grundy at 330.637.9030 or online to schedule your consultation today.