Commercial litigation is a legal action that may be considered when disputes arise between businesses, organisations or partnerships for example, contractual disputes. 

For most, litigation can be problematic and assessing risks in commercial litigation is an essential procedure when a claimant is deciding whether to issue proceedings in the court, or to negotiate a settlement. 

Commercial Litigation Solicitors must evaluate the legal risks a company or an individual may face now, as well as in the future and follow a pre-action process before any court action can be considered. 

I have briefly explained some aspects of the analysis of litigation risks below:

  • Introduction – Commercial Litigation Solicitors determine the underlying issues and facts of the case at the outset and focus on the end objective. With good organisation skills and forward planning, Commercial Litigation Solicitors can provide honest recommendations for the best strategies to give the parties an opportunity to resolve disputes before any court proceedings are considered. 
  • Communication – Lawyer-client communication is key and good communication can increase a successful outcome. The more your Commercial Litigation Solicitor knows about the case, together with supporting documentation, the stronger and more realistic your position will be.  
  • Strengths and Weaknesses – Commercial Litigation Solicitors consider the internal characteristics of a business and this can include opportunities such as, a unique product or good reputation, as well as any threats such as, weakness in financing, or the parties’ positions on settlement are too far apart and the need to consider strategies to try and bridge those gaps.
  • Unknown Risks – These are risks of what might happen at trial for example, a witness may not perform well, or a document may be produced at the last minute by the other side that may be damaging to your case and give strength to the other side’s case. 
  • Budget and Costs – Litigation is expensive and an evaluation of the budget of the case at each stage should be considered. Commercial Litigation Solicitors may provide details of third party funding products to cover the costs of your meritorious claim during litigation. Your solicitor may also discuss alternative settlement options such as, negotiation, mediation or arbitration in an attempt to settle a case quicker.
  • Time – Time is precious and not only is litigation expensive but also time consuming. Commercial Litigation Solicitors will therefore assist you to resolve your commercial dispute and attempt to gain a fair outcome of the dispute on your behalf.
  • Reputation – If litigation attracts publicity, it may not always be good publicity and clients may need to consider the effects of any negative publicity harming their brand name if the case remains in dispute.   
  • Probabilities – Skilled Commercial Litigation Solicitors at times, can analyse the probabilities of different outcomes as the case progresses for example, a strong defence may encourage a claimant to accept a small deduction on the value of their claim.

Concluding Thoughts

Planning, strategical thinking, good communication and organised evaluation of the risks is crucial for settling commercial disputes. It is essential that all parties remain open and honest throughout the life of the case and continue to carry out risk assessments at each stage of the case. 

AJames Solicitors comprise a team of experienced Commercial Litigation Solicitors. Visit AJames Solicitors website for more information, or contact them on: 0161 791 6666/07729461166 for any legal queries, or send a message with your enquiry using the link below and a member of the team will contact you:


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