Commercial litigation is a very complex area that needs to cover a range of disputes that arise in the business due to transactions, contracts, and other business relationships. As a company owner, you need to understand the commercial litigation processes that are critical to protecting assets, enforcing agreements, and minimizing disruptions in daily operations.
In this article, we will understand the complete guide to commercial litigation processes. If you are considering learning more about commercial litigation processes, you can consult an expert lawyer. There are various commercial expert lawyers, such as Sattiraju & Tharney, LLP, whom you can consult and understand about commercial litigation processes.
What is the Commercial Litigation Process?
The commercial litigation process involves various legal disputes between businesses, individuals, or the government. These disputes are mainly over contracts, warranties, or obligations under business law. The cases can range from simple contract breaches to highly complex cases that involve multiple parties, regulatory issues, and sometimes international laws.
These litigations are handled in civil courts, in which parties resolve the dispute through settlement, negotiation, settlement, and other trials. If there are disputes that involve financial and reputational impacts, then you should involve seasoned commercial litigation attorneys to guide you through the cases.
What are the Key Phases of Commercial Litigation?
Commercial litigation processes involve various stages, and each phase varies in duration and complexity depending on the case. So, let’s understand some of the important stages of litigation.
Pre-Litigation Phase
It is a phase before the lawsuit is filed, during which the parties often try to resolve the dispute through agreements, negotiations, or a demand letter. It will outline the grievances and request some remedies for the cases. There will be a strong demand letter required for the pre-litigation phase as it will help in a settlement without the intervention of the courts, and, therefore, it will save your time and resources. However, if the negotiations fail, then the next phase will follow litigation.
Filing the Lawsuit and Initial Pleadings
Once the pre-litigation procedure is over and there is no negotiation between the parties, then, in such cases, the litigation process will begin with the filing of the lawsuit. In this, the plaintiff will file the complaint in court with all the details about the allegations. After filing the complaint, the defendant has to respond to the complaint by filing their answer. They may also file a counterclaim against the plaintiff, or they may request the court to dismiss the case if they believe that the allegations are based on insufficient legal grounds.
Investigation Process
After filing the case, an investigation process will follow. It is considered one of the most critical stages as it is time-consuming and involves the exchange of crucial information between parties. In this stage, various documents will be gathered, an interview process will be conducted, and all the required evidence that may support each side’s case will be collected. Some of the standard discovery methods for the case would be depositions, interrogations, and document requests.
Pre-trial Motions and Settlement Efforts
Once the investigation is completed, there will be pre-trial motions. It will lead to dismissing the case or motions for summary judgments. When there is a summary judgment, the parties will ask the court to rule in their favor based on the available evidence. Many cases settle at this stage because both parties want to avoid the court trials to save their time and money. Settlement discussions can be facilitated by attorneys who provide a peaceful negotiation where you can save time and money from court trials. They act as a mediator between both parties.
Trial
If the case is not settled, it will lead to trials. During trials, both parties present their views, opening statements, witness testimonies, and closing arguments. This stage can be lengthy and costly. However, it provides the final opportunity for each party to argue before the judge. After the complete trial, there will be a final judgment that can give some relief to one of the parties.
Post-Trial Motions and Appeals
After the judgment, if the parties are not satisfied with the verdict, then there will be the option of appeals. There will be other methods, such as mediation and arbitration, that can reduce the time and money. There will be a natural mediator who will provide a platform for both parties to settle the case.