If you are an entrepreneur, the last thing you want is a business lawsuit. In Florida, lawsuits can be a stressful and expensive experience, especially if you do not have the right legal advisor on your side.
In this article, you will discover how to protect your business from a lawsuit in Florida.
Take Care of Your Business Reputation
Honesty and integrity are fundamental foundations for any type of business. All over the world, companies run on reputation. In this sense, entrepreneurs must carry out all business relationships with due diligence, knowing how to deal with customers, suppliers, and employees.
Any type of wrongdoing, misconduct, or misrepresentation can be costly for your business, especially as it can come back to haunt your company later in other forms, such as public mistrust, loss of opportunities, and lawsuits.
All Business Agreements Must Be in Writing
Although “handshake deals” are enforceable in Florida, it is much harder to provide evidence in court if things do not go as expected. Hence, entrepreneurs must have all business agreements in writing.
Also, make sure to sign all agreements properly and keep a record of business-related documentation. In many situations, having a clear and organized document record can be a life-saver.
While many business owners often use standardized contracts, it is fundamental to work with an expert attorney to assess your situation and tailor a contract to fulfill your specific needs.
Besides drafting the contract, an expert legal advisor will review the agreement in detail and double-check it to ensure the document captured all essential facts.
Work Ethic and Good Employment Practices
If you own a business in Florida, you need to be aware of the laws that govern the workplace both at the state and federal levels. In the United States, there is a wide array of employment laws concerning harassment, discrimination, and privacy rights.
Regardless of the segment of your company, make sure to adhere to these laws and put them into practice in the workplace.
Plus, a legal advisor is essential to help you recognize which laws apply to your situation and how to satisfy all the requirements of each law. An expert attorney can also assist you in the creation of business policies to ensure full legal compliance in the workplace.
Never Commingle Personal and Business Finances
The business landscape in Florida is full of small businesses, especially companies operating as sole proprietorships. Regardless of the business structure, it is crucial to never commingle your personal finances with the business finances.
Many entrepreneurs think that structuring their businesses as LLCs or corporations may be the ultimate protective measure against lawsuits. However, even though it is a good strategy for personal asset protection, it is fundamental to keep business assets separate from the assets of the owner(s).
In practical terms, keep separate bank accounts for personal and business affairs, have an exclusive credit card for the company, and use it only for business-related expenses.
Have Insurance Coverage in Place
Purchasing business insurance is crucial to mitigate the financial impact of a potential lawsuit. In most cases, an insurance policy to cover general liability will help most businesses, including claims related to property damage, advertising injury, and bodily injury.
Depending on the type of business, you may need more specialized insurance policies. For example, a shipping company can purchase commercial auto insurance to protect the business autos and employees from driving-related accidents and physical damage.
Work with an Expert Business Attorney in Florida
It is impossible to protect a company from lawsuits without the help of an expert business attorney. Running a business is a complex task, so owners do not always have the time available to check important details.
For that, having the guidance of a legal advisor is fundamental to:
- Maintain a business competitive by protecting intellectual property (e.g., trademarks, copyrights, patents, etc.)
- Understand liabilities associated with the business’s activities (e.g., tax obligations, formalities, legal compliance, etc.)
- Have a full picture of each document related to the company, from business contracts to commercial lease agreements
Most importantly, working with an expert attorney will give you an edge if your company faces a lawsuit.
Work with a Business Attorney from Jurado & Farshchian, P.L. Today
Undoubtedly, running a company in Florida is not an easy task. Hence, it is fundamental to work with a legal advisor well-versed in business law to avoid potential lawsuits.
At Jurado and Farshchian, we have a team of business lawyers to assess your situation and tailor the ideal strategy to protect your business. Call Attorney Romy B. Jurado at (305) 921-0976 or send us an email at [email protected] to schedule a consultation.
