Call us today at (608) 836-6400

Blog Banner

21 Dec

Lawsuits – What to Expect – Part I

By Erin E. Rome

December 21, 2015

Unfortunately, in today’s business world, it is unusual to make it through your career without some sort of brush with the legal system. Maybe a former employee of your business starts a competing company, in violation of an employment agreement, and you are forced to sue to enforce the agreement. Or perhaps one of the shareholders of your corporation acts in a way that harms the business, and you need to take action to protect the business and your investment. These situations are fairly common, but for many people who find themselves or their businesses involved in these situations, the legal system is unfamiliar and daunting. This is the first in a series of posts that will provide information on what you and your business can expect if you find yourself involved in a lawsuit – from the start of a lawsuit, through mediation and trial preparation, during trial, and after trial.

In a civil case, a lawsuit is started when the “plaintiff” (the party bringing the lawsuit) files a document called a “complaint” with the clerk of courts. In the complaint, the plaintiff makes factual and legal claims against the “defendant” (the party being sued), and describes how the defendant harmed the plaintiff or broke the law.

Along with the complaint, the plaintiff also files a document called a “summons,” which officially notifies the defendant of the plaintiff’s lawsuit. The summons contains basic information about the lawsuit, such as the name of the plaintiff, the name of the defendant, the case number assigned by the court, and the timeframe for responding to the complaint.

The summons and complaint must be “served” on the defendant. Most often, a defendant is served by a “process server,” who personally delivers the summons and complaint to the defendant.

Once a defendant is served with the summons and complaint, the clock starts running on the defendant’s deadline to file an “answer,” which is the defendant’s response to the complaint. In the answer, the defendant admits or denies the plaintiff’s allegations and sets out defenses to the plaintiff’s claims. The timeframe for the defendant’s answer is controlled by law, and is generally either 20 or 45 days from the date the defendant was served with the summons and complaint. If you are served with a summons and complaint, it is very important to keep track of the deadline to answer. If you do not respond to the plaintiff’s complaint, the court could find you in “default” and grant judgment in the plaintiff’s favor.

Some people choose to represent themselves in court cases to avoid the expense of hiring a lawyer; however, if your business is organized as a corporation or an LLC, you cannot represent the business in legal proceedings. Under Wisconsin law, corporations and LLCs must be represented by a licensed lawyer in legal proceedings.If your corporation or LLC is filing a lawsuit or has been sued, the business will need to engage an attorney to represent it in the lawsuit.

If you or your business are facing the prospect of having to file a lawsuit or have been sued, here are some important points to consider:

1. Get in touch with an attorney early on in the process so that you can start evaluating your options, including the following:

  • How much will an attorney cost? Will you need to pay the attorney an “advance fee” up front?
  • Is there a way to resolve the problem without having to go to court?
  • What are the applicable time limitations? Do you need to take action immediately, or within a short period of time?

2. Begin compiling documents and information that could be important in the lawsuit:

  • Take notes on what you remember about the issue or events, especially if it is fresh in your mind.
  • Gather documents and keep them in one place so they are easy to find.
  • Make a timeline of important events and dates.
  • Make a list of people who were involved with the dispute, or who might have information on what happened.

3. Understand that once you’re involved in a lawsuit, you may be in for a long haul.

  • Litigation is more like a marathon than a sprint. The court process moves slowly, and there’s often a lot of waiting involved.

There’s a good chance that at some point in your career or in the life of your business, you’ll find yourself involved in a lawsuit. Understanding the litigation process and having a baseline of what to expect can help to ease the stress caused by the prospect of a lawsuit.

____

This general rule does not apply to legal proceedings in small claims court. See Wis. Stat. § 799.06(2).

Share this post:

Erin E. Rome

About the author

Erin E. Rome is an associate at the firm, concentrating her practice in business litigation, business law and appellate practice. Prior to joining Haley Palmersheim, Erin served as a judicial law clerk to the Honorable JoAnne Kloppenburg at the Wisconsin Court of Appeals.

DID YOU LIKE THIS POST? SIGN UP FOR MORE!

Just enter your name and email below, and click "Get Updates!"

SIGN UP FOR UPDATES

Enter your name and email below, and click "Get Updates!"

We are a Wisconsin business law firm providing experienced service and representation (and has been for decades) for transactional and commercial litigation issues.

Our attorneys have been consistently recognized by the legal community of Madison and Dane County for their skill and legal knowledge in business law issues. We strive to build a long-lasting relationship with our clients to gain an intricate understanding of your business and be able to provide valuable advice. Our attorneys have been featured in:

Looking for knowledgeable advice and counsel? Does your case require aggressive litigation? Either way, we have an experienced business lawyer ready to help. Contact our Madison, Wisconsin office by calling (608) 638-6400 or send us a message to connect with a business attorney today.