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My California Business Is Being Sued; What Should I Do?

business lawsuit.jpgWhen facing a lawsuit, there is no need to stress out. After all, it is not uncommon for a business to face civil legal action. Lawsuits can come from a number of different parties, including a customer, a supplier, a current or former employee, or even another company. Regardless, there are steps you can take to protect yourself. In order to best protect your legal rights and financial interests, it is imperative that you contact an experienced San Jose business litigation attorney as soon as possible.

Understand the Lawsuit

Plaintiffs are required to notify a defendant that a lawsuit has been filed. Once you receive notification of legal action, you need to reach out to your attorney. Please let your attorney review the lawsuit so that he or she can determine the best way to protect your company. There are two major (and very common) mistakes that you need to avoid at this stage of the process:

  • Do not wait to take action. You need to get out in front of the issue. Get your case in the hands of your attorney immediately. By waiting and forcing yourself to play catch-up, you will be hurting your own case. Remember, a lawsuit will not go away on its own.
  • Do not contact the other party. While you may be tempted to handle the problem on your own, you should never contact the party who filed the lawsuit. By doing this, you risk damaging your own case. Always go through your attorney.

Notify Your Insurer

In many cases, the lawsuit in question will be covered by an insurance policy. If this is true in your case, you need to notify that insurer of the issue. If you fail to notify the insurance company within the appropriate time frame, your company may lose out on some protection. It is also important to remember that an insurer may not always cover the claim even if you believe they should. Your attorney can help hold the insurance company accountable.

Prepare a Response

Finally, your attorney will help you determine exactly how to respond to the lawsuit. Often that involves filing the following two common responses:

  • A motion to dismiss: This type of filing is an official request for the court to throw out the lawsuit in question. Ultimately, a motion to dismiss is a procedural request. With this response, you will not be responding to the facts presented by the plaintiff. Instead, you will seek to win the lawsuit on purely technical legal grounds.
  • An answer: Alternatively, you may also need to file an answer. An answer to a lawsuit is a direct contest to the case presented by the plaintiff.

Contact an Experienced San Jose Business Litigation Attorney Today

At Diemer, Whitman & Cardosi, LLP, our skilled San Jose business litigation attorneys have helped protect the rights of many California businesses. If your business is currently being sued, it is imperative that you take immediate action. Please contact our office today to set up a no-fee, no-obligation review of your case. We represent businesses throughout Silicon Valley, including in Mountain View, Palo Alto, and Sunnyvale.



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