Common Types of Business Litigation Cases in California (2024)

California’s civil courts commonly handle disputes that arise out of business disagreements. Business litigation is a field of law that requires experienced business litigation attorneys. Some of the more common types of business litigation cases in California involve disagreements about contracts. With the right legal representation, you can navigate complex legal problems with favorable outcomes that protect your business from significant liability.

Business Litigation Examples in California

In California, every day brings new possibilities for business-related disputes that become commercial litigation. Business litigation cases arise from business disputes and often rely on civil contract laws to determine which parties are at fault.

• Employment disputes: There are many ways that a worker may dispute the actions of a manager or business owner. When a worker is terminated for an unlawful reason, they can hire a business litigation attorney to represent them in a wrongful termination case.
• Breach of contract: When two parties make a business agreement, and one party does not fulfill their end of the deal, the disagreement can quickly escalate into a contract dispute. The courts will refer to the language in the contract when determining who is at fault and what the remedy may be.
• Shareholder Conflicts: Stocks can become the source of conflict between stockholders and business executives or board members. Shareholders often have certain rights related to decision-making and governance.
• Real estate disputes: Real estate and land use cases can be very complicated. When a business owner is told that they built a property in violation of city zoning laws, that can lead to litigation between the city and the property owner.
• Intellectual property: Patents, trademarks, and copyrights are common forms of intellectual property. When someone infringes on these rights, businesses can turn to attorneys to settle the disputes. These legal professionals help enforce intellectual property rights through litigation, negotiation, or other methods.

Is It Worth Hiring a California Business Attorney?

If you are closely watching your business profits, you may have reservations about paying for a business lawyer. Once you have an attorney on retainer, you may find that their services are worth the investment. Having a lawyer on retainer gives you access to sound legal advice from an experienced litigator.

A California business lawyer can prevent costly litigation. Whether it is through setting up proper contracts or resolving minor disputes before they become more contentious problems, a lawyer can reduce your legal and financial liability.

What Can a Business Lawyer Do For My Company?

Your business attorney can help you form your business. There are various business formation options, such as a corporate partnership or LLC. An attorney can describe the pros and cons of the different types and the tax and legal liability of each. Your lawyer can also help you with permits and licenses. Having the correct documents in place is essential, and certain types of permits are required by law.

Employee relations is another field that your lawyer can provide legal counsel on. For example, monitoring contracts and compensation can prevent minor disputes from becoming bigger legal problems. Policy reviews can also prevent accusations of workplace discrimination that could lead to EEOC complaints.

A well-drafted contract can prevent contract disputes with clients or consumers. A business litigation lawyer can protect your company’s interests and rights. What might seem like minor errors could prove costly without review from an experienced attorney.

FAQs

Q: What Are Common Types of Litigation Cases Related to Business?

A: The most common types of business litigation relate to contract and employment disputes. All businesses rely on contracts for managing employees, and any violation of these contracts could be grounds for legal action. Employment disputes could arise at any point when one employee accuses another employee or business owner of violating a law.

Given the wide use of contracts and the frequent interactions between workers, managers, and owners, these two areas represent some of the more common sources of business conflict and litigation.

Q: What Is the Difference Between Business Law and Business Litigation?

A: Business law refers to the body of federal and state laws and statutes that guide how business is conducted in California. When a dispute arises, and one party is potentially in violation of any of those laws, the actions required to address the legal violations are known as business litigation. Litigation could involve sending demand letters, filing petitions and motions in court, attending hearings, and representing clients during a trial.

Q: What Is a Business Attorney Retainer Agreement?

A: A business attorney retainer agreement is typically the preferred method of payment for starting business litigation. The client pays a lump sum when hiring an attorney. The lawyer tracks the time spent on the case and any incurred costs and deducts these from the retainer. The remaining balance decreases until the attorney requests an additional lump sum payment.

During your consultation, your business litigation attorney will disclose their hourly rate and the rate of any paralegals and other employees who may help with your case.

Q: What Is Commercial Litigation?

A: Commercial litigation refers to the legal process of resolving disputes arising from commercial transactions. Breach of contract, partnership disputes, intellectual property conflicts, and real estate disputes are a few examples of cases that fall under commercial litigation. Outside of a settlement, a court may order one party to pay monetary damages to resolve the dispute.

Q: Who Has the Burden of Proof in Business Litigation?

A: The person who brings a lawsuit has the burden of proof. This person is known as the plaintiff. Since they are making the accusation, they must present evidence that backs up their claims. If the case goes to trial, the plaintiff will have to show through a preponderance of evidence that their legal argument is more likely to be right than the defendant’s argument.

Schedule Your Business Litigation

Business litigation cases are complicated and require the perspective of an experienced business litigation attorney. At Bravo Law, we’ve helped many businesses over the years navigate complex legal problems and reach positive outcomes. We can do the same for your company. Contact our office today to schedule your business litigation consultation today.