Most Common Small Business Lawsuits

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What are the most common small business lawsuits?

Small business lawsuits arise for a variety of reasons.

It's difficult, if not impossible for businesses, especially small businesses, to avoid disputes. Even if a business owner did everything right most days, one small mistake one time could land them in hot water. All it takes is one unsatisfied employee or one interaction with a disgruntled customer to expose them open to a lawsuit.

Some of the most common reasons for small business lawsuits include:

Employee complaints:

  • Harassment
  • Discrimination
  • Wrongful termination
  • Overtime pay
  • Wage and hour violations

Vendor complaints:

  • Breach of contract
  • Misrepresentation of product or services

Customer complaints:

  • Fraud or misrepresentation of product or services
  • Defective products
  • Personal injury lawsuit

Competitor complaints:

  • Intellectual property claim
  • Unfair competition
  • Defamation

What can a small business do to avoid lawsuits?

A small business may not want to spend the money for legal advice, but in the long run, having contracts drafted, companies structured, and complaints handled, by a professional legal team will save a small business not only money but valuable time.

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