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Detroit & Chicago Business Organizations Legal Blog

Litigation involving the theft of trade secrets

There are a multitude of reasons why business owners find themselves in court, whether they have been accused of violating the terms of a contract or wage and hour violations. However, the theft of trade secrets is another matter that can have a significant impact on a business' future, whether they have decided to take legal action against a competitor who they believe stole trade secrets or have been accused of this theft by another company. If you are thinking about taking your case to court because your business' trade secrets were stolen or are unsure of how to defend your company against these allegations, it is crucial to carefully assess your case.

Whether a competitor hacked into your business' computer network or a former employee decided to give your company's secrets to another business, the details surrounding these cases vary. However, the outcome of litigation can have a major impact on your business' future. Often, the theft of trade secrets can result in significant losses and those who have stolen this information, whether it be a certain formula or any other type of trade secret, must be held responsible.

The legal details of deceptive trade practices

Starting any kind of business in Chicago can be the thrilling beginning to a new life chapter. After leaping over the main obstacles of forming a business, new owners can look forward to establishing their long-term goals and reap the benefits of a new career path. While there are countless advantages to owning a business, this pursuit can come with an equal amount of drawbacks and stress. What happens if that stress comes from unfair business competition? 

The Chicago Tribune remarks on a recent business debacle involving Kmart and costume brand Rasta Imposta. Although on a corporate level, these businesses are currently experiencing an unfair competition issue. Kmart has long been a customer of Rasta Imposta, especially for Rasta's notorious banana costumes. Yet this year sparked a new path for both companies: the two failed to reach an agreement, and Kmart has since claimed they would simply scout out banana suits elsewhere. Rasta Imposta then sued Kmart and Sears, alleging copyright infringement, trade dress infringement and unfair competition.    

Reviewing the consequences of a contract dispute

Contract disputes have a number of causes. Sometimes, these disputes involve an employee, while others are between businesses. We know how difficult it can be for business owners to work through a contract dispute, especially if they are already facing a considerable amount of pressure due to daily responsibilities. Unfortunately, contract disputes can have a number of repercussions, regardless of the outcome, and it is important for business owners in Detroit and Chicago to protect themselves.

Aside from legal expenses and the resources that are required to handle courtroom matters, the outcome of a contract dispute, if unsuccessful, could have a negative impact on a business. Moreover, these disputes can create other challenges that you may want to be mindful of, even if the end result is in your favor. For example, a key relationship you have with a business partner or an employee could sour following a contract dispute. In certain cases, contract disputes can also affect the reputation of a business, which could affect growth, sales, and other business matters in the future.

Chicago lawsuit targets candy company

There are many different reasons behind customers' decisions to take legal action against a company. However, it is vital for business owners in Chicago to keep in mind that even seemingly insignificant business lawsuits can spell disaster and create serious challenges for a company. Sometimes, litigation can be completely unexpected and may involve accusations that many would consider facetious.

A candy company headquartered in Chicago is facing a lawsuit from a Chicago customer over accusations that the label on one of their products was inaccurate. The customer is pursuing class-action status and is also asking for the allegedly mislabeled product to be taken off store shelves. In his claim, the customer pointed out that hundreds or maybe even thousands of other people have been wronged by the inaccurate label.

Closely reviewing a contract

When it comes to contracts, there are many issues that could arise. For example, some people struggle with drafting a contract because they are not sure what to include, while others find themselves in a stressful or even costly contract dispute in court. Sometimes, people are able to avoid problems that arise months or even years down the road by closely reviewing a contract before signing. Our law firm recognizes the importance of contract review for people and businesses in Detroit & Chicago.

Reviewing the ins and outs of a contract carefully is vital for various reasons. First, each party should understand all of the details of the contract prior to signing. When contracts are easy to understand and written well, misunderstandings can be avoided. All aspects of a contract should be legal and both parties need to fully understand the terms of the agreement. Sometimes, people who struggle with reviewing a contract are able to consult a legal professional for assistance.

Drafting an effective construction contract

If you are a builder, you may have various responsibilities that not only take up time but generate stress as well. On top of the daily job-related hurdles that arise, you might have uncertainty and anxiety about drafting a contract or going over a construction contract. When it comes to construction contracts, it is vital to protect your interests by drafting an effective contract. At Pentiuk, Couvreur & Kobiljak, P.C., we are well aware of the stressors that builders often face and know how damaging a poorly-drafted contract can be.

There are a number of pointers you should keep in mind with regard to the drafting of a contract. First of all, you should make sure that you understand and take a careful look at the details of the contract before you sign your name. Your contract should be written properly and you should be confident that the agreement will be valid in the courtroom in the event that legal action arises down the road.

How should you handle contract disputes for outsourced work?

If your company outsources work in Chicago, you are likely aware that there may sometimes be confusion about the terms of the contract. It is important to keep your business and the company handling your outsourced work on the same page so you can work together smoothly.

Although you put detailed information into your contract, you may sometimes find that the other company has failed to fulfill all the terms. According to Bloomberg, you should usually contact the company as soon as you think the contract has been breached. This can be done through a note which communicates how the contract was not fulfilled. It is important to send written notice any time you think there may be a problem because you typically cannot terminate the contract unless you demonstrate a written record of problems.

Detroit company sues city over suspension of permit

Across all industries, litigation can arise for many reasons. Sometimes, legal action is necessary after a business is hurt by the wrongdoing of another. Or, a business in Detroit or Chicago may find itself targeted by a disgruntled employee or customer. Either way, the end result can have a tremendous impact on the future of the company, which is why the owners of business small and large should take litigation very seriously.

A company which had its towing permit suspended recently sued the City of Detroit as a result of the suspension. Moreover, the towing company also targeted the Detroit Board of Police Commissioners and the Detroit Police Department in their lawsuit, filed in Wayne County Circuit Court. In addition to its towing permit, the company also had their contract suspended and they say that they have requested answers from the Detroit Police Department, but have been turned down.

The consequences of business litigation

If you are a business owner, you may have to go through a number of stressful experiences. However, going to court may be among the most difficult. At Pentiuk, Couvreur & Kobiljak, P.C., our law firm knows how upsetting lawsuits can be for businesses of various sizes and we are also aware of the long-term impact litigation can have. Because of the serious nature of business litigation, you need to carefully approach your case if your business has been sued.

With regard to business lawsuits, many people are aware of the possible financial repercussions of a lawsuit. However, litigation can reach beyond court-imposed financial penalties. In fact, litigation can damage a business' reputation significantly, which can hamper growth and prevent customers from coming back. In some cases, the aftermath of a business lawsuit can be so severe that it prompts a business owner to make the tough decision to close.

What are some guidelines to remember when drafting a contract?

If you are drafting a business contract, you may have diverse questions and concerns. If so, it is vital to find answers to your questions and carefully review the ins and outs of business contracts before the agreement is finalized. Whether you conduct, or plan to conduct, business in Detroit, Chicago, or another city in the U.S., it is vital to make sure that your rights are protected. When drafting business contracts, you should try to avoid any mistakes that could spell disaster and lead to serious complications later on.

According to the U.S. Small Business Administration, there are a number of key elements that should be included when drafting a business contract. For starters, you should clearly lay out what is to be exchanged, whether that is services, cash or goods. In order for the contract to be considered valid, each party must be in agreement about any offers that have been made and accepted.


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