In the business world, disputes are often inevitable, whether between contractors or internally, such as between partners. Although no one assumes conflict at the start of cooperation, reality can surprise. For this reason, more and more entrepreneurs are turning to litigation support, i.e. comprehensive substantive, analytical and documentary assistance in the course of court and court-related proceedings.
1. Process with an unreliable counterparty
One of the most common situations in which entrepreneurs benefit from litigation support is a dispute with an unreliable counterparty. When a business partner defaults on payments, avoids contact or deliberately transfers assets, the assistance of a professional team allows not only a thorough analysis of its asset situation and credibility, but also the identification of attempts to derive assets, hide connections or operate through so-called “shell companies”. It also makes it possible to assess the real chances of success of legal actions, especially in situations where it turns out that the counterparty does not have any real assets. This type of analysis is crucial for the effective safeguarding of claims and the subsequent enforcement of adjudicated claims.
2. Unfair competition proceedings
Another case in which litigation support proves invaluable is unfair competition proceedings. Situations in which a former employee or partner sets up a competitor, acquires customers or uses protected information require precise action within the limits of the law. In such situations, it is essential to quickly collect and secure evidence that confirms both the fact of the infringement and its scale.
The team of analysts assists in determining the extent to which customers have been taken over, whether there has been copying of the offer or service structure, and also analyses traces of online activity such as social media presence, internet domains or registration of new business entities linked to the persons involved. Where necessary, it is also possible to carry out operational activities, such as test purchases or the collection of evidence in a way that ensures its later suitability. This approach allows better preparation of the lawsuit, securing claims and effectively preventing further infringements.
3. Internal investigations
Many entrepreneurs also seek assistance in the event of conflicts within the company – especially those concerning relations between shareholders or the actions of board members. Such disputes can lead to attempts to take control of the company, to drain funds or to act to the detriment of the company. In such cases, external analytical support allows the situation to be viewed from a distance and irregularities to be identified that internal oversight mechanisms may not catch.
In such cases, the analytical team can gather evidence of wrongdoing by, for example, monitoring the activities of the individuals involved, analysing the logic of financial flows between related parties, identifying new companies that have been substituted or that are taking over assets, or checking the background of personal and capital ties between shareholders and external counterparties. Verification also includes checking whether there are activities that damage the company’s interests, such as preferential contracts, undisclosed business relationships or activities that lead to artificial indebtedness of the company. The information gathered can provide important material for the trial attorney, supporting a motion to secure documents, a lawsuit for acts to the detriment of the company or the filing of a notice to the prosecution.
4. Support for mergers, acquisitions and other high-risk transactions
Processes of company mergers, acquisitions or other complex business transactions are often associated with high legal and financial risks. In such situations, a detailed examination of the companies’ history, financial situation and potential risks hidden in the ownership structure or relationships with third parties is essential. The in-depth due diligence carried out identifies risks that may affect the value and success of the transaction. These activities not only allow better preparation of contracts and collateral, but also minimise the risk of subsequent litigation that may arise from undisclosed liabilities or hidden relationships.
5. Whistleblowing proceedings
Many companies are increasingly using whistleblowing mechanisms that allow employees to report suspected fraud, irregularities or breaches of regulations. Such proceedings require particular attention to confidentiality and precise verification of the information reported. Process support in this area consists of reliable data collection and analysis, assessment of the credibility of reports and identification of potential threats to the company. A professional approach makes it possible to effectively clarify the situation, secure evidence and prepare documentation that can be used both for corrective action and, if necessary, for further legal proceedings.
Summary
Modern business is not only about opportunities, but also about risks and challenges, which sometimes lead to conflicts or difficult legal situations. At such moments, litigation support becomes an invaluable tool that helps not only to understand the actual state of affairs, but also to prepare an effective strategy of action. Whether it is a dispute with an unreliable counterparty, fighting unfair competition, resolving intra-company disputes, carrying out complex transactions or responding to whistleblowing notifications – professional assistance makes it possible to safeguard the company’s interests and increase the chances of a successful conclusion to the case.
Author: Patrycja Kruczkowska Investigative Analyst
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