Moorestown New Jersey Business Litigation Attorneys
It’s important to carefully maintain legal, financial, employment, and insurance records regarding your business. Of course, most business owners are aware of the importance of maintaining financial and employment records for state and federal tax purposes and for insuring accurate financial accounting. Just as important, however, are documents related to any contracts, vendor agreements, purchasing agreements, insurance policies, or employment contracts. In most cases, when businesses find themselves facing litigation it’s only then that they realize they haven’t preserved adequate records and documentation.
Employment Law and Business Records
Even if you operate a small business, disputes can arise regarding wages, overtime pay, gratuities, benefits, and company policies. When you train employees or provide them with an employee handbook, it’s essential that you document and keep all records of having done so. When employees file lawsuits alleging wrongful termination or violations of the Fair Labor Standards Act (FLSA) or Family Medical Leave Act (FMLA), the burden of proof will likely be on you to demonstrate compliance with the law. Failure to provide adequate documentation indicating compliance on your part will not impress the court.
Rental Agreements, Maintenance, Insurance, and Business Records
Especially if you own a retail business or restaurant, keeping all records pertaining to your lease agreement and any maintenance done to your business is essential. Should water damage, fire, or mold lead to an insurance claim, your insurer will want to know if you’ve had any work done on your business, any plumbing, electrical wiring, dry walling, etc.
If you have and the contractor failed to pull a proper permit or you failed to have a city inspector okay the work, your insurer may deny your claim. Likewise, depending on the kind of damage your business has suffered, the property owner of your building might sue you for breach of your rental or lease agreement. As such, any agreement you reach with your landlord should be put in writing and a copy kept for safekeeping.
Contractors, Vendor Agreements, and Business Records
Any work or services you contract for should be documented thoroughly. When disputes arise over the nature or scope of services to be delivered or provided, providing documentation that supports your claims is essential. Where most businesses run into problems is when verbal agreements are thought to supersede written contracts.
While you don’t want to alienate vendors or contractors you regularly do business with, ignoring the late delivery of services or accounts in arrears could be interpreted as an implicit acceptance of a change in the terms of your original contractual agreement. Here, certain legal issues relating to promissory estoppel arise, leading to unwanted legal complications.
Contact Moorestown New Jersey Business Law Attorneys
Regardless of whether you’re starting a business, facing litigation, or currently in the process of reviewing your company’s processes and procedures, we can help. To schedule an appointment and learn how we can help you avoid unwanted legal liability through better business records keeping, contact Moorestown business litigation attorneys at LaVan Law today.