No business owner wants to be sued. However, the fact is that disputes can and do arise involving employees, partners and third parties, despite efforts to avoid them.
Many employers in small- or medium-sized companies hire family members to work for them. Employers might do this as a favor or because they want to hire someone they can trust. Whatever the reason, employers would be wise to protect themselves and the company in the event of a dispute. There are a few ways to do this:
As a business owner, you likely go to great lengths to avoid legal disputes and follow state and federal laws. You may have employment or independent contractor agreements with your workers, and partnership or joint venture agreements with your partners; if there are regulations with which you must comply, you might diligently review them and make any changes necessary to avoid fines and penalties.
If you are considering taking action against an employee, take a moment to consider if that action could be deemed unlawful retaliation. Employment laws prevent an employer from punishing workers (and even job applicants) for “protected activity” regarding certain rights. Before you act, make sure that you won’t end up in a retaliation pitfall.
Operating a business in California requires a lot more than finding ways to make money, managing a workforce and coordinating the logistics of delivering a product or service. It also involves knowing and complying with numerous state and federal regulations.
As we have mentioned numerous times in previous blog posts, one of the most important responsibilities business owners have is ensuring their company and operations comply with state and federal regulations.