What is a business dispute?
A business dispute is a conflict or disagreement between two or more parties that arise from a business transaction. This can include disputes over contracts, employment agreements, intellectual property, commercial real estate, and other business-related issues. Business disputes can occur between individuals and companies.
There may be potential causes of business disputes including:
Breach of Contract – When one party fails to fulfill its obligations under a contract, it can result in a dispute.
Non-Payment or Late Payment – Disputes can arise when one party infringes on another’s patents, trademarks, copyrights, or trade secrets.
Disagreement over Scope of Work – when one party believes that the quality of work is not up to standards, it may lead to dispute.
While it is impossible to avoid business disputes, there are some steps that you can take to reduce the risk such as having clear communication, putting things in writing, researching potential partners efficiently, being proactive, and seeking legal advice.
Business disputes can occur in many instances and can result in consequences that may need legal action. By understanding the causes and consequences of business disputes, you can be better equipped to navigate them and protect your business interests. It is also ideal to seek legal advice in order to handle disputes better before calling to action on your own.