What is a Commercial Dispute?
Few business owners want to become involved in a commercial dispute. That’s because resolving a commercial dispute can be a costly and time-consuming process, especially if courtroom litigation is involved. If you are a business owner involved in a commercial dispute, an attorney may be your best bet in resolving the problem in a cost-efficient manner.
Common types of commercial disputes
A business owner may become involved in a dispute for a wide variety of reasons, although there are three common reasons a business owner might find him or herself in a dispute: intellectual property infringement, breach of contract, and breach of fiduciary responsibility.
Intellectual property infringement
One of the most common types of commercial dispute, a violation of intellectual property rights is called “infringement” and may involve copyrights, patents, or trademarks. Tangible items with a physical presence and intangible items such as certain digital assets or ongoing research may be protected under law.
Breach of contract
When individuals involved in a contract fail to meet their obligations, a breach of contract occurs. There are varying types of contract breaches, from minor to material (a breach of a term so important to the contract that the purpose of the agreement cannot be achieved). Generally, the severity of a contract breach is pivotal when attempting to resolve the dispute.
Breach of fiduciary responsibility
A fiduciary is an individual or organization who acts on behalf of another person or persons. (For example, a lawyer and client are in a fiduciary relationship.) In general, fiduciaries maintain confidentiality, act in good faith, fully disclose information, and perform other duties. A breach occurs when an individual fails to adhere to his or her responsibilities. For example, a fiduciary may breach those responsibilities by misusing his or her position or failing to disclose information.
Help is available
The attorneys at O’Reilly Rancilio are available to assist business owners involved in a commercial dispute. To speak with an attorney, please call 586-726-1000 or visit our website.