A person first needs to make a plan for filing a lawsuit against a company in Colorado. One of the first things to think about is what relief the person seeks to recover from the company they plan to sue. People often want to win a payment of money damages, but other remedies are possible also.
One reason for considering the remedy is that it may determine the court in which a person files their lawsuit. A person will file their lawsuit in a small claims court in Colorado if they seek no more than $7,500 in money damages, excluding interest and costs.
If a person seeks more than $7,500 in damages or their lawsuit involves more complicated legal issues, then they would file their claim in one of three different types of courts in Colorado. District Courts in Colorado handle civil cases in which any amount of money is sought. In addition, they hear cases involving domestic relations, criminal, juvenile, probate, and mental health cases.
County Courts are available for civil cases in which less than $25,000 in damages is sought. If a person wants a protection order, they would go to a County Court. County Courts also hear small claims.
Colorado also has a special type of court known as “Water Court.” These courts have exclusive jurisdiction over cases relating to the determination of water rights and any other matter that involves water. There are 7 water courts in Colorado, one for each of the major river basins in the state.
After choosing a court, the next step in suing a company is to determine the cause of action that a person wants to allege in their lawsuit. A cause of action is a legal claim that the law recognizes as legitimate. A person might allege a cause of action for negligence in a personal injury claim in Colorado if another person’s breach of their duty of care has caused injury or property damage. Another common cause of action would be breach of contract.
What Are the Reasons for Which I Can Sue a Company?
A person may sue a company for any of the reasons it might sue any other entity. The person might be a former employee who claims that the company breached their employment contract or that their employment was terminated in a way that amounts to wrongful termination.
A current or former employee of a company may believe that they were denied a benefit of employment or fired because of employment discrimination.
People often sue companies because they purchased a product or service from the company and they are dissatisfied with it for any number of possible reasons. For example, the product might be defective and might not function as it should. If a product defect is the cause of an accident in which a person suffers personal injury and/or property damage, they will sue the manufacturer and the distributor for strict product liability.
Or, the person may find that the service a company has provided is not what was promised.
Yet another possibility is that a person suffers injury on the premises of a business or because of the negligence of an employee of the business who is on the job at the time. For example, a person might suffer a significant injury in a slip and fall accident in a grocery store owned by a company.
Or, a company employee might drive negligently and cause an accident for which the company would be liable. An architect who is employed by a property developer might commit professional malpractice for which the group might be liable. These are just a few of the reasons for which a person might sue a company. There are many others.
What Types of Lawsuits Can Be Initiated Against a Company?
A person may initiate any type of civil lawsuit against the company as long as the facts of their situation support a legitimate cause of action. A person wants to be sure that they are able to prove the facts of their case. Again, examples of causes of action that a person might allege would include negligence or breach of contract. However, many different causes of action are possible.
If a person is unsure of the cause of action they should allege in their complaint against a company, they should consult a local attorney in Colorado.
If a company’s employee suffers an injury on the job, they would have a claim for workers’ compensation. To file a claim for workers’ compensation in Colorado, a person would submit a claim to the Division of Workers’ Compensation of the Colorado Department of Labor and Employment within 2 years of the date of their injury.
Again, however, if a person who is not an employee of a company is injured as a result of the negligence of a company employee would probably claim some manner of negligence.
What Types of Companies Can Be Liable?
Any company that does business in Colorado could possibly be liable for a legitimate legal claim. A person’s ability to collect an award of money damages might be affected by the legal structure of the company or business that they sue.
For example, in Colorado, a company may operate as a limited liability company (LLC). The LLC structure means that the owners may not be personally liable for the debts and other legal obligations of their business. A person with a judgment for the payment of damages would be limited to the collecting from the assets or insurance policies of the LLC itself.
A limited liability partnership (LLP) is another form of business that is allowed by Colorado law. In an LLP, the partners in the partnership are shielded from the partnership’s liabilities. However, a partner in an LLP is not shielded from all liabilities. If a partner should guarantee a loan, for example, they may be liable to repay it if the borrower does not.
When a person thinks about suing a company, they want to consider how the company might pay any judgment the person could win. Most companies have insurance of the type they need to cover their potential liabilities, but a person contemplating a lawsuit would want to consider how they would recover a judgment.
Generally, however, no matter the legal structure of a company, it may be liable for any legitimate legal causes of action if the person who alleges them proves the elements of their causes of action.
How Do I Sue a Company for Damages?
After a person has determined the appropriate court in which to sue a company and the cause of action they have, they would draft and file a complaint in the court they have selected.
Of course, if a person has an attorney to represent them, their attorney would handle drafting and filing the complaint. The complaint must clearly state what the defendant is alleged to have done and the remedy that the plaintiff is seeking from the defendant. In most civil cases, the remedy is the payment of monetary damages.
A person would state in what way they have been damaged and the amount of money they seek in compensation. When planning, a person would consider how they are going to prove both the nature of their losses and the justification for the amount of money they seek in damages. They would consider whether they should seek punitive or exemplary damages also.
In legal terminology, the person who files a lawsuit is the “plaintiff,” and the person who is sued is the “defendant.” The plaintiff is responsible for serving the defendant with a copy of their complaint because the defendant must be notified of the fact that they have been sued, so they have to respond. The plaintiff can ask the Clerk of the Court in which they file their lawsuit to arrange to have a process server deliver the necessary documents to the defendant.
When the defendant has been served, the plaintiff files an affidavit called a “Proof of Service” to notify the court that this step is complete. The defendant has 30 days to file their answer to the plaintiff’s case and allege any counter-claim they may have against the plaintiff. Once the defendant has filed their answer and any counter-claims they may have, the case can proceed.
Both parties are responsible for acting in accordance with the Colorado Rules of Civil Procedure. A local Colorado attorney would be able to explain more about the Rules of Civil Procedure.
How Long Do I Have to File a Lawsuit Against a Company?
How long a person has to file a lawsuit depends on their cause of action. Some examples of statutes of limitations in Colorado are as follows:
- Personal Injury: The statute of limitations in Colorado is 2 years. It is 3 years if the injury resulted from a car accident;
- Trespass: The statute of limitations in Colorado for trespass is 2 years;
- Breach of Contract: The statute of limitations in Colorado for breach of a contract, whether oral or written, is 3 years.
Once a person has identified their cause of action, they should identify the statute of limitations and note it on a calendar. A person does not want to miss the statute of limitations and try to file a lawsuit after it has passed. Missing the statute of limitations can prevent a person from filing a lawsuit. A person would probably want to consult a Colorado attorney for advice regarding statutes of limitations.
What Kind of Lawyer Do I Need to Sue a Company?
If you need a lawyer to sue a company in Colorado for personal injury or property damage, you want to consult a Colorado personal injury lawyer. A wide variety of claims come within the law of personal injury, and LegalMatch.com can connect you to a lawyer who can identify the appropriate cause or causes of action for your situation.
If you need a lawyer to handle a case that involves a contractual relationship, you want to consult a Colorado business lawyer. Again, LegalMatch.com can put you in touch with a local Colorado business lawyer who can formulate a plan for your business-related claim.
