No business is exempt from legal troubles. When things go sour between a business and an employee, a lawsuit often follows. It’s good to know what to expect in these sorts of situations to know how to best handle them. Here are the most common lawsuits and how to protect against them.
How to Avoid the Most Common Business Lawsuits
- Wrongful Termination – Most workers are hired “at-will” by their employer’s. Unless there is a contract guaranteeing continued employment, the worker must be able to prove that the basis of firing was illegal. The best way for an employer to protect against this is to keep accurate and detailed employee records.
- Harassment – Lawsuits filed over harassment in the workplace can include anything from minor disputes to unacceptable actions of a hostile or sexual nature. To avoid them, distribute an employee handbook detailing harassment rules and requiring it to be read by all supervisors and managers. Training seminars can also be helpful. Also, encourage your employees to speak up if they witness or experience sexual harassment. Witnesses and victims are often afraid to report it out of fear of reprisal.
- Employment Discrimination – This is a common type of workplace lawsuit. Every employee is a member of one or more federally protected classes against discrimination such as gender, age, and race. Unfair treatment based on any of these distinguishing characteristics can lead to a discrimination lawsuit against an employer. Keeping well-documented employee records can help protect against false claims.
It would be prudent to speak with a qualified business attorney if any legal issues were to arise. Trying to handle the problem on your own may end up making things worse.
Garland & Mason, LLC is a New Jersey business law firm with expertise in matters such a business transactions, real estate and business litigation.