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Operating a business is as much about relationships as it is about the products or services that are sold. Interactions with everyone from customers to vendors contribute to the success of the business. When disputes arise both sides need to resolve the conflict as quickly as possible to help preserve important connections.
As a business owner, you likely know that there are as many types of business disputes as there are businesses. Business disputes can occur within a business or involve a relationship with a supplier, advertising agency or even a government body. Common Houston business disputes include:
Partnership disputes are common and can be very disruptive to the day-to-day activities of a business or even cause the business to fail. Financial obligations are often times a catalyst for partnership disputes. This usually surfaces when the business is experiencing a cash flow problem. Partners need to understand when profits can be taken and how liabilities are shared.
Employee disputes within a business can center on discrimination, salary expectations, and unfair termination. These disputes can become very disruptive to a business as they frequently involve government employment and labor agencies. One of the best ways to avoid employment disputes is to have a solid employment agreement in place and signed by all employees prior to hiring.
Business to Business Disputes
Disputes between businesses cover all aspects of your professional relationships. Outside companies or individuals who supply professional services or goods to a business start a legal action when there is a dispute on payment or performance. These actions can be complicated even if you have a written contract or agreement.
Breach of Contract Disputes
In many instances, a breach of contract involves financial obligations or monetary reimbursement. When there is a violation of any of the terms of a contract, a lawsuit can be filed to force compliance with the terms of the agreement or to seek monetary reimbursement or compensation for losses.
Prevention of Houston Business Partner Disputes
Partnership disputes can become very complex when there is a perception of non-performance. Often there are issues regarding the percentage of ownership of the partners and the result of major strategic decisions to profits. Also, the ability of one or more partners to bind the company to a debt or obligation can have a major impact on business operations.
A written agreement is always easier to either defend or litigate should the need arise and, in many instances, a well-drafted agreement can prevent partner disputes in the first place. Whether it is a , an employment agreement or a contract between businesses, a well negotiated and drafted agreement can avoid a lawsuit but more importantly, can help to get the business back to normal daily activities when an aspect of the agreement is challenged.
Contact a Houston Business Disputes Attorney
Business owners may feel that it is more important to focus on the day-to-day operations of the business than to worry about the existence of written contracts. But it is that same contract that may someday help you and your business to avoid costly and time-consuming litigation by specifying the rights and obligations of everyone concerned. It is important to speak to the skilled at the Weisblatt Law Firm who can review your current contracts or suggest additional contracts that are necessary to protect you and your business. Contact our office today at 713-666-1981.