How Do I Safeguard My Minnesota Business From Litigation Risk?

People ask us some variation of this question all the time:

“What can I do to make sure I never get sued?”

The honest answer is “nothing.” There is nothing you can do that will guarantee your business won’t find itself facing litigation. But there are steps you can take to reduce the risk that someone will file a lawsuit, or the risk that you’ll need to resort to litigation yourself to protect your business’s interests.

Put It In Writing

Sometimes, business owners may come to a verbal agreement or assume that they have an understanding with a contractor, supplier, or another partner. Lawsuits often happen, though, because one party’s “understanding” isn’t the same as the others. That can be because you didn’t put the agreement in writing at all. It can also happen when the writing is too general or vague, when the parties don’t take time to spell out the details on who will be responsible for doing what things and when they will have to do them. Often, the parties haven’t thought through those details themselves. The time to do that is now, when you’re working out the deal and looking forward to working together — not later, when an honest miscommunication may leave you both frustrated and less willing to work things out.

Build Trusting Business Relationships

As much as possible, strive to build solid relationships with your employees, suppliers, contractors, and customers. The more you can prove that you’re responsive to the concerns of others, the more trustworthy you become. Disagreements are inevitable, but if you build relationships that show people you can be trusted, those disagreements get a whole lot easier (and less costly) to resolve. That foundation of trust you’ve already built may help you negotiate a peaceful and mutually acceptable solution without having to turn to litigation. Many business owners who have cultivated trusting relationships have found success in resolving their disputes through mediation, allowing them to preserve these relationships even after the matter has been resolved.

Run Your Ideas by a Minneapolis Business Attorney

It’s always a good idea to run your thoughts by a knowledgeable business attorney to ensure you’re giving yourself and your business the protection you deserve. A business lawyer — particularly a business lawyer with litigation experience — may be able to foresee potential problems that didn’t occur to you. Have your lawyer look over the terms of your contracts, steer you toward the most strategic corporate structure, or advise you on how to address a brewing dispute. Knowing that someone is in your corner and looking out for your business’s best interests can give you the confidence you need to continue running and growing your business.


Discuss your business goals with a knowledgeable Minneapolis attorney today by calling Rubric Legal LLC at (612) 465-0074.

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