What is Business Litigation?

What is Business Litigation?

Business Litigation Law Overview

Business litigation law involves disputes arising out of business and commercial related transactions of a non-criminal nature. Business litigation includes the following types of issues, for example:

Business litigation law can arise in numerous scenarios, involving a myriad of different types of legal issues. Additionally, business litigation can span across all industries. Therefore, businesses and individuals anticipating involvement in business litigation should seek the advice of litigation counsel experienced in business law. The following summarizes a few areas of business litigation legal issues of common concern.

BREACH OF CONTRACT: A BUSINESS LITIGATION OVERVIEW

Contracts and agreements are entered into daily. Therefore, it’s inescapable that breach of contract disputes will arise. Contracts should be well written to provide for remedies involving breach. When contract disputes arise, the provisions regarding breach prevail in terms of liability, mediation, arbitration, legal jurisdiction, etc. However, not all contract disputes can be easily cured.

Our business litigation attorneys negotiate contracts and commercial agreements as well as handle all aspects of breach of contract litigation. The following are some breach of contract litigation services we offer, for example:

Breach of contract claims are often only one of many claims being asserted in a larger business dispute. This requires litigation attorneys with experience in a wide-range of business and commercial related disputes. 

The following are the primary types of contract breaches, in general:

  • Anticipatory Breach of Contract

  • Minor Breach of Contract

  • Actual or Fundamental Breach of Contract

  • Material Breach of Contract

Our litigation attorneys are experienced handling complex breach of contract cases and have an understanding of overall business litigation and business law.

FRAUD DISPUTES: A BUSINESS LITIGATION LAW OVERVIEW

Business fraud occurs through either deception or misrepresentation, through something claimed or omitted. Additionally, fraud can occur in various contexts such as business fraud, employee fraud, fraud in purchasing or sale of goods or services, and numerous other scenarios. Since fraud disputes can include aspects from various areas of law, businesses would require a vast amount of legal knowledge to protect against potential from fraud. However, attorneys with experience in handling overall business litigation disputes can help provide companies with custom proactive measures.

For example, fraud litigation can encompass a number of legal issues and claims from civil litigation to commercial litigation related claims including:

  • Misrepresentation

  • Fraudulent Inducement

  • Misrepresentation, Omission, and Non-Disclosure

  • Intellectual Property Issues

  • Fraudulent Concealment

  • Tortious Interference

  • Fraud by Business Partner

Business fraud litigation can result in monetary damages, injunctive relief, potential disgorgement, as well as damage to the reputation of a business. Once fraud occurs, business owners should consult an experienced business attorney. Counsel with broad business litigation law experience can investigate and identify issues early on to help ensure the case is handled properly from the beginning. Additionally, injunctive or restraining order relief may be necessary to stop further damage from occurring.

All businesses are susceptible to fraud and most will encounter fraud disputes at some point. Our litigation attorneys are experienced in handling a wide range of business fraud issues and have also successfully prosecuted and defended business fraud litigation cases. They also provide advice on implementing protections from fraud in a proactive approach to help clients save money from later disputes. Our lawyers assist clients with business strategies to prevent fraud litigation and fraud disputes through services such as:

BREACH OF FIDUCIARY DUTY: A BUSINESS LITIGATION LAW OVERVIEW

Breach of fiduciary duty litigation typically arises with allegations that a person, often a professional, breaches a duty to others.  A fiduciary duty is a high standard of care and requires a level of loyalty. As a result, a fiduciary has a legal or ethical relationship of trust. Therefore, it takes business acumen and business litigation experience to analyze complex business disputes arising from breach of fiduciary duty.

Texas law recognizes that fiduciary duties can arise in many contexts. Therefore, breach of fiduciary duty litigation commonly includes claims for fraud and other business torts too. Such claims should be addressed quickly with the help of litigation attorneys experienced with fiduciary duty claims and broad understanding of business litigation law.

Litigation often moves quickly and may include requests for immediate relief, such as temporary restraining orders, temporary or preliminary injunctions, expedited discovery, and other pre-judgment remedies. Businesses should obtain counsel with experience and understanding of the urgency and importance of such requests to mitigate losses. 

Business litigation attorneys with an understanding of the intricate levels of fiduciary responsibilities can help a business prevent disputes through:

Our litigation attorneys have a broad understanding of business law and help with proactive measures to prevent breach of fiduciary duty litigation. However, they are also experienced in prosecuting as well as defending breach of fiduciary duty cases.

NON-COMPETE ISSUES: A BUSINESS LITIGATION LAW OVERVIEW

Litigation involving non-compete issues involve contracts in which employees agree not to compete with an employer for a period of time. Recently, non-compete litigation involving those contracts has increased. Non-compete agreements can include a variety of covenants, from not soliciting business from a former employer’s customers to not disclosing confidential information.

Litigation over non-compete agreements often moves quickly and may include requests for immediate relief. Non-compete litigation provides its own challenges to a business. Therefore, it is important to develop business litigation strategies before non-compete litigation begins.  

Properly drafted non-compete agreements are crucial for enforceability and to provide adequate protection. Our attorneys provide advice on structuring employment agreements to help prevent unfair competition from former employees.  Our lawyers understand the importance of well-drafted agreements to provide the best legal protections for specific company types and industries.

Even if litigation can't be avoided, having non-compete agreements in place and using best practices will help make litigation more efficient and less costly. Our litigation attorneys represent plaintiffs and defendants in complex non-compete litigation in Texas and throughout the country.

IP DISPUTES: A BUSINESS LITIGATION LAW OVERVIEW

Intellectual property disputes can encompass a wide range of intellectual property rights. IP rights cover original creative expressions. The primary categories of intellectual property include:

In a business litigation law overview of a business, IP attorneys perform a due diligence review of a business’ assets and intellectual property. Often, businesses are unaware of valuable IP rights that should be protected. Our attorneys advise on options for protection and enforcement of intellectual property. Additionally, our IP attorneys represent plaintiffs as well as defendants in IP litigation in federal and state courts covering all types of intellectual property infringement matters and disputes.

INSURANCE COVERAGE DISPUTES: A BUSINESS LITIGATION LAW OVERVIEW

Disputes regarding coverage of insurance arise when a provider refuses to cover a claim due to non-coverage, breach, or misinterpretation of the coverage/policy.

There are numerous types of insurance as well as types of coverage. The following is a small example of the types of insurance businesses seek:

  • No-Fault/First Party Coverage

  • Business Interruption

  • Malpractice

  • Liability

  • Property Loss

  • Over-Redemption

  • Multiple-Peril

Businesses typically don’t scrutinize the language of a policy until after an insurance dispute in coverage arises. Disputes can arise due to interpretation differences, ambiguity, burdens of proof, and numerous other issues.  Therefore, business owners should seek advice from attorneys experienced with complex contract negotiation and insurance coverage disputes at the onset of a coverage issue.

Our attorneys handle litigation of complex insurance coverage disputes.  Therefore, they understand the importance of well-drafted insurance provisions to help prevent disputes from arising.

Klemchuk PLLC is a leading intellectual property law firm focusing on litigation, anti-counterfeiting, trademarks, patents, and business law. We help clients protect innovation and increase market share through investments in IP.

This article has been provided for informational purposes only and is not intended and should not be construed to constitute legal advice. Please consult your attorneys in connection with any fact-specific situation under federal law and the applicable state or local laws that may impose additional obligations on you and your company. © 2023 Klemchuk PLLC

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