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Photo of attorneys E. Kelly Conway, Michael E. Gehring and Stephen G. Harvey

What should you do if your business is sued?

On Behalf of | Feb 23, 2023 | Commercial Litigation

One of the most disheartening things that can happen to a business owner is to learn that the company is being sued. A lawsuit can ruin the reputation of the business, and it can reduce the profitability of the business to the point that the company can’t stay open.

Business owners can take steps to protect the company from a lawsuit, but they also need to know what to do if a lawsuit is filed. Taking the right steps can help to protect the company from the effects of a lawsuit. It can also help to minimize the damage done by the lawsuit.

Don’t destroy evidence

Once you know that your company is being sued, you can’t destroy any evidence related to the matter. You should let employees know what can’t be destroyed or damaged. Destroying evidence related to a lawsuit can lead to serious legal issues.

Limit statements about the lawsuit

Never make statements concerning a lawsuit involving your company unless you’ve spoken to your legal representation about the statements you’ll make. This applies to public statements, but it also applies to statements you make to anyone who might speak out about the information you shared. Ask your employees to remain silent on the matter because their statements might also be used against the company.

Protecting the company has to be the priority if you learn that your business is being sued. Your need to run the company doesn’t stop just because of a lawsuit. Having someone on your side who can handle the legal aspects of the lawsuit is beneficial.