Nath Solicitors discusses what businesses need to consider when faced with a commercial dispute. Should they go all the way to court or try to reach a negotiated settlement before trial?
In any business dispute, one of the most important decisions is whether to settle the matter privately or take it to trial. Each option has its advantages and risks. Choosing the right path depends on the specifics of the case. What’s the appetite within the business for risk? Are there any external considerations such as the preservation of existing commercial relationships and contracts that could influence your approach?
When to Settle a Commercial Disagreement
Settlement is often the preferred route to resolve disputes. In fact the majority of disputes settle before reaching court.
Nath Solicitors acts for businesses of all sizes across a wide range of industry sectors, including the technology, social media and healthcare sectors. Over more than four decades we have developed a deep understanding of the challenges faced by businesses when disputes arise. We are experienced in all aspects of litigation and dispute resolution, including arbitration. When advising clients initially, we are able to take a high level view of all the circumstances of the case and advise you on the best way to handle the dispute. The main considerations in deciding whether to settle your case are:
- Do the costs of litigation outweigh the benefits? Court proceedings are notoriously expensive and take a long time to conclude. We can assess what you are likely to receive in terms of damages or other remedies, enabling you to decide if it’s in your interests to find a quick, enforceable settlement that meets most, if not all your objectives
- When the outcome is unpredictable. While legislation and previous court decisions help us provide advice on the likely outcome of any trial, there remains a degree of uncertainty in any court case
- Maintaining an amicable, commercial relationship. Who is your dispute with? If it is with a longstanding business partner with whom you have a mutually beneficial, profitable understanding, consider if it is worth the fallout and damage a court case might cause. There are several alternative, less acrimonious ways to settle your dispute compared to the public arena of a courtroom
- Privacy and confidentiality. Courts are public. Business disputes, sensitive commercial data and relationships with other businesses can all be revealed in open court
When Should I Go To Trial?
Commercial considerations and a realistic assessment of the overall circumstances of your case often mean you will reach an agreement with the other side before your case reaches a full blown trial of the issues.
However, going to trial may be necessary in some circumstances. A business owner should consider whether this is the right decision for their business:
- Where there is a watertight claim
- Where there is no room for settlement, either because of the magnitude of the differences between the two sides or the unreasonable demands of the other side
- Where valuable intellectual property, finances or reputation is at stake and there is a commercial imperative in securing a public ruling and vindication on the issue
Why Nath Solicitors
Ultimately, the decision on how to proceed is yours. But you should be guided by a thorough assessment of the facts, merits, and impact on the business. At Nath Solicitors, we can evaluate your case, weigh the costs and benefits, and help you make an informed choice. To find out how we can support you, please contact us on 0203 983 8278 or get in touch with the firm online.