Best way to avoid Small Business Litigation

What is Litigation?
Litigation means “a dispute between two parties”. The disputes are generally in two categories; Criminal and Civil. In this brief article, I am referring to “Civil Disputes” arises because of transactions between the parties, commercial or non-commercial. The litigation comes when the parties are not able to resolve the disputes amicably.
Best way to avoid small business litigation is to:
· Written Agreements/Contracts.
· Being communicating regularly.
· Better to discuss relevant and prospective issues.
· Hold Meetings and keep Minutes of Meeting and get the same signed by all the Parties attending including the Owner/s to avoid any issues later.
Pre-Litigation Measures one can take:
· More care at the initial stages leads to latter stages being smooth and painless. Professional assistance committed to avoiding litigation can add value at each stage.
· Be very careful in choosing the parties with whom the business will be done.
· Spend time to find more about potential associate/partner.
· Start with some activities that build mutual understanding and confidence.
· Move into long-term or deeper involvement with caution.
· At each stage of the relationship, prepare clear documents that leave no room for misunderstanding.
· While in the relationship, take all possible care to avoid derailment.
· If things go wrong, try for the amicable resolution of problems.
· If amicable resolution not possible, try for exit by mutual consent.


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