What Is the Difference Between Business Litigation vs. Commercial Litigation?

difference between business and commercial litigation

Confusion between business litigation and commercial litigation is normal. We usually use the words business and commercial interchangeably, but from a legal perspective, they differ. While the difference is subtle, it affects how we approach a legal matter.

Business litigation typically involves insurance claims or business formation and liability, whereas commercial litigation refers to business and product liability torts.

Years of legal experience have taught me many things, including the significance of attending to details. Whether you want a business or commercial litigation lawyer, I know how to help. It starts with giving you the information you need to understand where you stand.

What Are the Common Types of Liability and Insurance Claims?

Liability and insurance claims are some of the most common business litigation issues. There are various legal issues a business can face, such as:

  • Hurricane property damage insurance claims
  • Windstorm damage insurance claims
  • Hail storm damage insurance claims
  • Fire damage insurance claims
  • Freezing losses
  • Flood damage insurance claims
  • Slip and fall lawsuits
  • Product liability lawsuits
  • Motor vehicle accident claims
  • Other premises liability personal injury claims
  • Other types of personal injury lawsuits

Many of them necessitate a business to file a claim with the insurance company for damages caused by fire, storm, or criminal activity. A business can also face various personal injury claims, such as premises liability problems, dangerous or toxic chemical use, and faulty products.

Businesses cannot avoid many of these business litigation cases because it is impossible to control the weather or criminals. However, they can take the necessary steps to buy the required insurance coverage to secure themselves.

Alternatively, they can install appropriate security equipment to fast-track through the insurance claim process quickly.

What Are the Common Commercial Litigation Actions?

Some of the above-mentioned legal issues may be part of commercial litigation cases. However, commercial litigation cases are generally associated with product liability problems and a business’s shareholders. Common commercial litigation cases include:

  • Consumer fraud
  • Bad faith litigation
  • Creditor
  • Breach of contract
  • Cybersecurity breach lawsuits
  • Class action lawsuits
  • Disputes partners
  • Debtor litigation
  • Land-use disputes
  • Insurance disputes
  • Intellectual property theft issues
  • Unfair competition lawsuits
  • Interference with business relationships claims
  • Tax disputes
  • Personal injury lawsuits
  • Security litigation
  • Product liability lawsuits
  • Zoning disputes
  • Unfair competition lawsuits
  • Environmental litigation

These are only some of the various commercial litigation cases. Some business types involve dealing with complex legal matters like anti-trust and government claims.

So, businesses must secure supplier contracts, employment records, and other legal rights as part of their business and commercial requirements. They should ensure their commercial business has enough insurance coverage to protect itself from liability during a lawsuit. Failing to do so can risk damaging the company if the litigation is unsuccessful.

Advance Settlement Fund Access

Going through the court process is a phase of struggling, a common thing with a pending business or commercial litigation case. It makes it hard for the business owner to be with and support their family when their business is at risk.

Working with a business or commercial litigation attorney can help them acquire a part of their settlement beforehand, helping them cover necessary household expenses, keep the business running, and gradually rebuild their lives while attending to the legal issues.

Also Read: FAQs on Business Law in Los Angeles: Breach of Contract and Litigation

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