The best defense to a lawsuit against your business is to prevent the lawsuit from being filed. Some ways to avoid a lawsuit against your business include:

  • Choose an Appropriate Business Structure. Different business structures offer various liability protections against various risks.
  • Stay Informed on Laws and Consult Legal Counsel.  Know and comply with applicable legal requirements, industry-specific regulations, employment laws, and data privacy laws.
  • Contracts and Agreements.  Use clearly written contract documents and use them consistently to reduce potential lawsuits or their magnitude.
  • Document and Maintain Records.  Make and preserve thorough records, electronically or otherwise, to provide crucial evidence to resolve disputes before litigation.
  • Conduct Risk Assessments.  Regularly conduct risk assessments and document reviews, and implement appropriate changes.
  • Promote Safety.  Focus on safety and reduce workplace injuries.
  • Enforce and Communicate Policies.  Make sure comprehensive and accessible employment and other business operation policies are regularly enforced.
  • Train Employees.  Routinely educate and train employees on company policies and procedures, legal compliance, and customer service to reinforce workplace expectations.
  • Act Ethically.  All employees should be directed to perform business activities ethically.
  • Data Protection.  Implement cybersecurity best practices and protect third-party and your data.
  • Mediation/Arbitration.  Provide appropriate dispute resolution requirements in contracts and waive jury demands.
  • Damage Limitations.  Restrict potential damage recoveries, shorten claim filing times, and provide for prevailing attorney’s fees in disputes.
  • Business Insurance.  Business insurance can provide financial protection by paying for legal fees, settlements, and judgments if a lawsuit arises.

The attorneys at Brooks, Tarulis & Tibble, LLC not only defend lawsuits against businesses, but help businesses avoid being involved in them. If you have any questions or concerns, please contact us.

This Brief is designed to provide our friends and clients with information regarding the various subject matters covered, it is not designed to take place of legal, accounting, or other professional advice.  If expert assistance is required, the services of a competent professional should be sought. This memorandum may constitute advertising under the rules regulating Illinois attorneys.