What is commercial litigation?


Commercial litigation is a legal dispute settlement between companies. For example, if there is a breach of contract where the supplier failed to deliver the ordered goods, then the buyer may invite the other party for a commercial mediation session to reach an amicable solution.

If the other party fails to agree to such a request and refuses to rectify the breach of the underlying agreement, then the innocent party may register a legal claim for compensation.

A solicitor will review your situation and advise you on the strength of your position from a legal standpoint.

Disputes between businesses

Every company, be it a private limited, public limited or other partnerships, is a legal entity. As such, they will enter into agreements which they are bound by.

Given the high commercial nature of the modern UK economy, successive governments have created substantial legal provisions to maintain a fair commercial environment. As such, any registered company may take legal action for breach of contracts or any other commercial disputes.

The reason for disputes arising between businesses may be due to:

  • The rise in competitive markets
  • Unfair competition

It is these simple disputes that lead up to choosing the option of commercial litigation. Disputes regarding commercial transactions may lead to a negative effect on that particular business. If two companies are involved in a similar kind of dispute there is a breach of trust and damages caused.

This can lead to either one of the parties filing for litigation. For the protection of their interest the company will hire a lawyer excelling in the field of commercial litigation law. Commercial litigation law revolves around solving cases related to:

  • Breaches of contract
  • Employment disputes
  • Debt collection
  • Shareholder issues
  • Disputes over partnerships
  • Issues regarding franchises

Strengthen your negotiating position

In a commercial context, businesses can become involved in disputes leading to litigation with:

  • Other businesses
  • Clients
  • Landlords
  • Government bodies
  • And others

A solicitor’s knowledge is very useful when trying to come to a settlement with the other party to the dispute. Having a solicitor on your side can also strengthen your position greatly in your negotiations. If it is not possible to come to an agreement with the other party and it becomes necessary to take action through the courts, a solicitor will assist with this process.

Businesses can become involved in many different kinds of litigation. Examples of situations where disputes can arise include:

  • Commercial contracts
  • Non-payment of debts
  • Commercial property
  • Partnership and shareholder situations
  • Intellectual property

Solicitors will help you achieve the best result for your business if you are involved in commercial litigation. It is strongly advisable to consult a solicitor as soon as possible if your business is engaged in a dispute.

Further, you should consult a solicitor who has relevant experience, ideally in your industry. Contact Law can refer you free of charge to a commercial litigation solicitor experienced across a range of legal areas and industries.

For more information, see our Five FAQs about commercial litigation.

Are you looking for an experienced litigator to help with a commercial litigation matter? Contact Law works with a range of litigation experts, and we can recommend the right kind of lawyer for your case depending on the size of the dispute, and your requirements. Please call us on 0800 1777 162 or complete the web-form above.

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