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Common types of business disputes

On Behalf of | Dec 24, 2020 | Business Law

As a Texas business owner, you may spend the first few months or even years of your business venture getting your business fully operational. However, as you get your business of the ground and start to establish yourself in the marketplace, you may find that different business disputes may begin to arise. Preparing for the most common disputes and contacting an attorney at the first sign of difficulty may be the best way to keep your business afloat no matter what challenges come your way.

Business disputes you can expect

The longer your business is ‘in business,’ the more likely it is that you will experience one dispute or another. These disputes can occur for numerous reasons and involve other owners, contractors, suppliers, and even customers. Some of the most common disputes include:

  • Breach of contract – Whether a supplier fails to make a timely delivery, or a general contractor fails to pay a subcontractor, you will likely encounter at least one instance where a party fails to hold up their end of an agreement. You may also find that a former employee breaches a non-compete agreement or other employment contract.
  • Business dissolution or change in ownership – If your company is owned by multiple parties, it is very possible that one or more of the owners may choose to walk away from the business or dissolve the business altogether. While the formation agreement should address these possibilities, there is often still disagreement between partners when it comes to leaving or dissolving the business.
  • Shareholder disputes – L.L.C.’s may have to handle shareholder disputes, regarding a misuses of company funds, breach of fiduciary duties, and company debts.

Handling the various business disputes that arise may be challenging without the help of an experienced business and commercial law attorney. Whether you are just starting out or are experiencing your first major business dispute, an attorney can help you navigate the dispute resolution process.