What is business litigation?
Business litigation is the legal process by which people, companies and other entities resolve their disputes and recover damages for losses and injuries, through the legal system.
If I make a verbal business deal, am I held responsible for the deal?
Written contracts are preferable however, verbal contracts are just as enforceable as a written contract. A contract must be in writing if it effects real estate, contracts that will not be completed within one year, contracts assuming the debts or obligations of another, and agreements to pay debts discharged in bankruptcy. This list is not conclusive, however, and you should check with an experienced business litigation lawyer if you are not sure if you need to have a written contract.
What is a class action lawsuit?
A class action suit is a lawsuit which involves more than one person. The individuals filing a class action suit are stating that the same wrong was done to all of those in the group. The advantages of class action suits are that the claims can be decided in one suit rather than in hundreds of individual lawsuits and it is less expensive to prosecute than on an individual basis.
Can corporations avoid class action suits?
Corporations often use arbitration clauses in consumer sales agreements in order to limit the types of dispute resolution available should difficulties arise. Such a clause requires that the parties to the agreement resolve any disputes through arbitration. Arbitration involves the competitive presentation of evidence to a neutral decision-maker. The arbitrator makes a binding win/lose decision that usually cannot be appealed.
What are some common types of business litigation?
director and officer liability
What are the different types of business agreements?
Sole proprietorship – a business owned by one person.
Partnership – the legal relationship between two or more persons who enter into a business together in order to make a profit. Partners share responsibility for running the business, and share the profits and losses equally.
Corporation – exists as it’s own legal being. The owners of a corporation are its’ shareholders.
LLC – Limited liability company. Offers its’ shareholders both the protections of a corporation and the tax advantages of a partnership.
Non-profit organization – any society, association or organization that is not entered into for the profit or gain of any member. Non-profit organizations have rules that do not allow money, property or any other benefits to be distributed to any of its members.
What is securities fraud?
Securities fraud occurs when your rights as an investor have been violated by your registered representative or broker dealer. Large losses do not necessarily prove broker wrongdoing, thus, losses that are the result of market forces or other considerations should not be considered securities fraud. To learn more about your rights and securities fraud contact an experienced business litigation attorney.
Do shareholders have any legal responsibility to one another?
The traditional legal view holds that shareholders have no special responsibilities to one another. In closely held businesses, however, majority shareholders can damage the interests of small shareholders. Since most investors do not want to buy closely held shares, minority shareholders have few options when their interests are compromised. In response, some states and courts developed fiduciary duties among shareholders of closely held businesses.