If you’re a business owner and you want to sue over damages to your company, how should you file your lawsuit? Should you sue as a business, or as an individual?

That’s a tricky question, and one that could potentially cost you your entire case. For example, a judge may throw out a case if the plaintiff bringing the suit has no standing to sue, or if the suit was filed in an improper jurisdiction.

Here are three factors you’ll want to consider:

While you might consider bringing the lawsuit under both your name and the business’ name (i.e., a joinder of plaintiffs), that may not always be feasible, depending on your claim. There are also practical concerns, as it’s not always worth your time and money to sue. For advice about your specific situation, it’s wise to consult an experienced business lawyer first.

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Related Resources:

  • Filing a Lawsuit: Should you Sue? (FindLaw)
  • 3 Ways to Protect Yourself in Case Your Business is Sued (FindLaw’s Free Enterprise)
  • 5 First Steps If Your Business Is Sued (FindLaw’s Free Enterprise)
  • New Business Formation: The Choice of Business Entity (FindLaw)

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