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How Does Commercial Litigation Work?

Various issues may arise in the course of business ownership that require owners to pursue litigation. Although most people want to avoid court when possible, lawsuits sometimes prove necessary. Understanding how commercial litigation works will prepare business owners for the process. 

What Is Commercial Litigation?

Commercial litigation revolves around lawsuits formed for various business reasons. Business litigation may involve disputes over contracts, partnerships, shareholders, or class action lawsuits. A business may be the plaintiff or defendant. 

Those who go through commercial litigation need a lawyer to represent their rights and best interests. To learn more about hiring a commercial litigation lawyer, visit

How Does Commercial Litigation Compare to Civil Litigation?

Civil litigation is non-criminal in nature, just like commercial litigation. Both are similar in several ways, including the following. 

  • Clients of both types retain a lawyer to help them pursue legal matters in court. 
  • The lawyer provides an array of services, including fact-finding, discovery, and research. 
  • Lawyers will research the law for information on breaches so they can determine where one occurred. 
  • Lawyers will also draft letters of demand, arrange negotiations, and file lawsuits on behalf of their clients. 
  • A lawyer will participate in pre-trial motions, represent their clients throughout a lawsuit, and carry out post-trial paperwork. 

Does Commercial Litigation Differ From Civil Litigation?

Although there are many similarities between civil and commercial litigation, there are also key differences. The following offers information on these differences. 

  • Commercial litigation may involve more than one company. 
  • The litigation may affect contract issues and legally binding agreements. 
  • The litigation may be actionable in more than one jurisdiction. 
  • The lawsuit may be class action in nature and involve multiple defendants. 

Understanding the Types of Commercial Litigation

Businesses may encounter multiple commercial litigation issues, depending on the type of business. The following are some of the common types. 

  • Insurance claims and coverage
  • Disputes over tax issues
  • Real estate and land disputes
  • Privacy or data breaches
  • Litigation for securities
  • Contract breaches
  • Disputes over shareholders

Many issues may arise that lead to litigation. Because of the increased risks of legal problem development, most small business owners hire a lawyer to represent them throughout their tenure as business owners. 

Hiring a Business Lawyer Is Essential

One of the most important things a business owner can do to protect their rights and best interests during litigation is to hire a lawyer from the very beginning. The following offers information on some questions business leaders can ask lawyers to determine if they will be a good fit. 

  • How many business litigation trials has the lawyer handled?
  • What types of businesses does the lawyer serve?
  • What is the fee structure of the lawyer?
  • How will the lawyer contact their client?
  • What is the lawyer’s proposed approach to representation?

Asking these questions and more will help business owners learn more about the services offered by a lawyer. The more a person knows, the better equipped they will become to ensure they choose the right lawyer for their needs. 

Schedule a Consultation Appointment

Scheduling a consultation appointment with a lawyer affords a person information on their rights and best interests as they pursue or defend litigation. It is important to get a lawyer involved from the very beginning. Hiring a lawyer is essential for ensuring business owners receive the sound legal guidance they need during the litigation process.

This post contains affiliate links. Affiliate disclosure: As an Amazon Associate, we may earn commissions from qualifying purchases from and other Amazon websites.

Written by Maguire Haigh

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