As much as you may wish to avoid legal disputes in business, these are inevitable as you collaborate with multiple stakeholders, each having professional or monetary gains in mind.

A business legal dispute not only eats away crucial company resources like finance, man-hour, and valuable effort, but also has the potential to spoil the relationship, tarnish goodwill, and overall loss of business.

The best way to resolve a business dispute is through amicable negotiation. In case that doesn’t work, what are the next best options available for you? Let’s take a look.

Arbitration – a formal process wherein a third-party arbitrator hears the arguments of the parties involved and an award will be passed by the third-party arbitrator, that is binding.. Arbitration is a simplified form of a court trial.

Mediation – an informal version of arbitration. In a private and confidential setting, a third-party Mediator guides the parties involved to find mutually acceptable solutions to their issue.

Litigation – a formal court trial replete with representation by lawyers, submission of evidence, and a final binding verdict to settle the dispute.

So what are the top tips that you ought to bear in mind to handle Business Legal Disputes?

1. Communicate
Early communication with your corporate lawyer is extremely important for a favourable solution to the issue. Keep your lawyer abreast with the nitty-gritty of the dispute so that the right course of action can be suggested.

2. Reach out
Talking with the disgruntled party is equally important. Approach your peeved stakeholder to explore together a mutually beneficial resolution to the problem, one that can perhaps restore a normal business relationship.

3. Write to the other party
Penning a formal communication with details of the dispute, and an offer to negotiate will act in your favour, in case you need to finally move court. Do retain a copy of the letter for the records.

4. Facts and Evidence
Do not forget to put together all documentation, including contracts or agreements, correspondences, services rendered, etc., in connection with the business relation gone sour.

5. Do not panic
Yes, legal disputes are disruptive, but that doesn’t mean that you need to panic. Explore options to settle the disagreement harmoniously, consider approaching an independent arbitrator if the clause is included in your initial contract, and if all these methods fail, then resort to the court of law.

6. Seek legal aid
If your attempts to negotiate or mediate fail, research for the top law firm in Chennai and seek help to settle the dispute. Get the contracts in the disputed business relation checked by lawyers for civil cases for legal insight and advice about the appropriate course of action.

Do make a checklist of the above tips in the unfortunate scenario of a legal dispute in your business and tick them off as you proceed. Above all, keep calm.