When you own a business, the day-to-day can be challenging enough without worrying about the prospects of defending your company from a civil lawsuit. Unfortunately, the likelihood that a business will be sued at least once during its existence is very high and having a trusted small-business attorney on your side from the start can save you substantial money and time down the road.

If your business does receive a civil complaint and summons, it is important to remember that you have only 30 days to file and serve an answer. Failure to do so can result in judgment being entered against your company by default without ever having the opportunity to defend your company in court. Of equal importance to keep in mind, while individuals have the right to represent themselves in North Carolina Courts, a Corporation must be represented by an attorney in the District or Superior Court of this state. If your company hopes to defend itself, it must do so through an attorney and must respond within the aforementioned time period or risk having a judgment for amount claimed entered against it.

In North Carolina, individuals are entitled to statutory exemptions when a judgment creditor attempts to collect on a civil judgment. The same is not true for a Corporation. An individual or entity with a civil judgment against your company may be able to reach all of your company’s assets in order to satisfy their judgment. Worse yet, in many cases, plaintiffs will bring actions, often unfairly, against both the company and it’s owner. An experienced civil litigation attorney will recognize when a business claim has improperly been filed against an individual owner and can often times have the action dismissed against the owners, protecting the assets of you and your family.

Clearly, when your company is served with civil lawsuit, it would be best to already have a close working relationship with a business attorney, who can also assist your company in preventing potential disputes before they arise. That said, if you or your business has been sued, we would be happy to sit down with you and discuss your options. Don’t hesitate to call The Law Office of W. Randall Holcomb, PLLC to schedule a consultation today!