Like any other business organization, small businesses may be exposed to conflicts and disputes over legal issues. Just because a business is smaller does not mean that the business will be free from conflict. In fact, small businesses may be involved in very specific legal conflicts due to their size and specificity of operations. Some common small business conflicts may include:
- Hiring and termination disputes
- Disputes over business property and assets
- Zoning/land use/property use conflicts
- Disputes over loans and financing
- Conflicts regarding the company’s structure or formation
In addition, small businesses may frequently experience internal disputes between workers, owners, and others involved in the business. Small business management disputes can create challenges for the business and may cause setbacks in terms of production and profitability. Lastly, many small business conflicts may involve personal disputes, especially smaller family-run businesses.
Small business conflicts and disputes may be resolved through a number of means, including: mediation, alternative dispute resolution, government investigations, and lawsuits. For instance, a dispute over a single item of business property may simply require mediation in order to resolve. However, larger disputes such as disputes over the sale of a building may require a lawsuit in order to resolve the issue.
Other types of small business conflicts may be resolved through other means, such as re-working a business contract or rewriting an employment policy. These can help redefine the company’s aims in order to help avoid similar conflicts in the future.
Small business lawsuits typically result in a damages award as the primary form of legal remedy. This will help reimburse the plaintiff for financial losses and costs. Other legal remedies may be more specific, such as a requirement that the defendant transfer a certain business asset to the plaintiff. These will all depend on the individual case, as well as state and local business laws.
In some small business conflicts, the remedy may depend on the type of small business involved. For instance, in a dispute over business ownership, the remedy may depend on whether the business is an LLC or a partnership.
Small business conflicts can often involve major disputes and may also involve significant amounts of money, property, and assets. You may need to hire a business lawyer if you need help with a claim or filing a lawsuit. Your lawyer will be able to inform you of your options and can perform legal research on the issue. Also, your attorney will be able to represent and defend the interests of the company during the litigation process.