The Worst That Could Happen
Natural Disaster! Lawsuit!
Whether your office building is buried under a landslide or hit
by a hurricane, there are three immediate steps you should take,
says Dave Bowe at Crisis Management Worldwide in Wilmington, North
Carolina. 1. First, check on your
employees and customers.
2. Any injuries? Call 911. Then call your employees'
families and, if you can, your customers'. Take a deep
breath. 3. Now start assessing your building. Content Continues Below
Prevention is the
Best Medicine:
You can't stop a tornado, but you can create a contingency plan
and ensure you have insurance. Maybe you've heard of the
lawsuit that Kellogg's is fighting. Seems a Pennsylvania woman
left a Pop-Tart in her toaster last summer before driving her kids
to school. When she returned 10 to 20 minutes later, smoke was
pouring from her house, and firefighters were on the scene. The
woman is now seeking $100,000 from Kellogg's for damages to her
house, and is also suing Black & Decker, the makers of the
toaster.
If you're hit by an out-of-left-field lawsuit, consider some
free advice from Patricia Eyres, attorney and president of
Litigation Management & Training Services Inc. and author of
The Legal Handbook for Trainers, Speakers &
Consultants: 1. "Take the legal process
seriously," says Eyres. "Even if you believe the claims
to be without merit, failure to respond to a lawsuit may result in
a default judgment." At that point, Eyres explains, the judge
acts as though every allegation against you has been proved.
2. "Speak with one voice from your organization,"
warns Eyres. "There is nothing the media-and the
plaintiffs' attorneys-love more than inconsistent messages from
different people within an organization." 3. When it comes to employee lawsuits, "be very careful to
comply with all laws governing discrimination and harassment,"
says Eyres. "'Don't discriminate, do investigate and
don't retaliate' is the best advice for any
entrepreneur." Think you'll never be on the receiving end of a lawsuit?
Don't be so sure. "Regrettably, lawsuits are a byproduct
of doing business," says Eyres. "Control it like a
business, and select the best business outcome to meet your needs.
This means reacting rationally rather than emotionally-not easy for
entrepreneurs who have built their own businesses from the ground
up. Don't make litigation personal." Prevention is the
Best Medicine:
- "Establish personnel policies and enforce them
consistently," says Eyres.
- "When creating business records of any type, including
formal letters, contracts, memos or informal e-mail," explains
Eyres, "keep in mind, those documents may one day provide the
basis for reconstructing the events that may be the subject of a
dispute."
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