Lawsuits are expensive and bad for business. Big companies have gone bankrupt from lawsuits. Therefore, it’s in your best interest to prevent legal action against your business.
Use the following tips to safeguard your business.
Use Contracts
Your business can get sued if things are not clear between you and the customer or employee. Before you get into a transaction with a customer, make sure they agree to the terms of the sale and agreement. If the item is huge and expensive, you can have them sign a contract to show that they understand the transaction. Ask them to read the contract before signing and ask you questions. The same goes for employees.
Use Company Policies and Guidelines
Prepare a document with the help of a personal injury lawyer that describes how employees should conduct themselves in the office. The document will contain company procedures and guidelines.
Prepare a small handbook with those rules and distribute them to all employees. Your employees should learn those rules. Let employees know that if they don’t follow company guidelines, they will face disciplinary action. These policies and guidelines minimize accidents and personal injury claims.
Be Professional
Customers expect you to provide them with quality goods and services at the agreed price. They also look forward to exceptional customer service.
Make sure that you behave professionally with all customers. Don’t favor one client more than the other. Be fair in your service delivery and don’t lose your temper if the customer provokes you. Use polite formal language at all times. As long as you do what is expected of you, customers won’t have legal grounds to sue you.
Keep Updated and Accurate Records of Everything
Unfortunately, many businesses will only keep records of their financial transactions and forget about other important events. For example, make sure that you record the exact date and time a contract was signed by the customer. Keep records of all meetings between you and the customer or employee.
As long as you have it in writing or soft copy, nobody can say that it didn’t happen. Records give you an upper hand in court because they show how everything happened. In fact, the one suing won’t proceed with the charges when they see the records.
Data Security
Make sure you safeguard sensitive information. Limit access to only a few individuals. Protect the network from cyber-attacks and malware. If sensitive information gets out, your customers can sue you for failing to protect that data.
To conclude, use the above tactics to protect your business from legal action. Be consistent and transparent in everything you do so that you create a culture of honesty and hard work.