The process an individual will have to follow to sue a company will vary depending on:
- The type of company;
- The laws of the jurisdiction;
- The facts of their specific issue; and
- The legal theories upon which their claim is based.
If an individual is considering filing a lawsuit against a company in Michigan, it would be very helpful to begin by consulting with a local attorney in Michigan who can explain the exact steps in detail for their situation. However, as a general rule, the lawsuit should be filed in a court in the county where either an incident occurred or where the defendant is registered or conducts business.
To begin a lawsuit, an individual will file a summons and complaint, pay the filing fees, and serve copies of the lawsuit on all of the named defendants. A complaint identifies the parties who are being sued as well as describes the nature of the issue and the remedy or remedies that the filing party, or plaintiff, is seeking.
Once a defendant is served with the summons and complaint, they will have 21 days to respond. If they do not respond, the court may enter a default judgment, which grants the plaintiff the remedy they requested in their lawsuit.
It is important to note that many businesses have the financial resources to defend against claims and may even have attorneys on staff who handle these issues. Because of this, it is important to have legal representation to ensure the best possible outcome.
What Are the Reasons I Can Sue a Company For?
There are numerous different reasons why an individual may desire to sue a company, including, but not limited to:
- Wrongful termination;
- Harassment either as an employee or as a patron of the business;
- Non-payment of a salary;
- Not returning money that was owed, such as a security deposit;
- Employment discrimination;
- Providing misleading information about the company’s financial situation;
- Misleading product claims;
- Infringing upon an individual’s intellectual property rights or plagiarize their work;
- Breach of a warranty or contract;
- Causing injury to an individual in some way, such as:
- Failure to maintain a safe premises;
- An employee causing injury;
- A product produced by the company causing harm.
What Types of Lawsuits Can Be Initiated Against a Company?
Just as there are many, many different reasons an individual may need to sue a company, there are also many different legal theories upon which to base a lawsuit, such as:
- Products liability;
- Professional malpractice;
- Premises liability;
- Discrimination or harassment;
- Nuisance;
- A personal injury claim;
- Defamation;
- Tax fraud;
- Breach of contract;
- False advertising; and
- Violations of federal laws.
What Types of Companies Can Be Liable?
Nearly any company may be held liable for conduct that violates local, state, or federal laws. Examples of the types of companies that may be held liable include:
- Small business owners;
- Solo practitioners;
- Non-profit organizations, such as charities;
- For-profit companies, such as:
- Corporations;
- Limited liability companies;
- Partnerships;
- Other types of for-profit companies;
- Government agencies at the local, state, and federal levels;
- Schools;
- Hospitals;
- Retail chain stores;
- Other types of companies.
The business structure a company uses will determine its liability. For example, if a corporation is sued, the corporation itself as well as its individual owners may be sued for damages.
In contrast, if an individual is suing a limited liability company (LLC), only the LLC itself may be sued for damages. An LLC is specifically structured to help its individual owners avoid liability for the debts or damages incurred by the business.
How Do I Sue a Company for Damages?
There are several steps an individual should take to increase their chances of having a successful lawsuit. Before filing a lawsuit, an individual should consult with a company representative to ensure that there is not an easier way to resolve their issue.
In many situations, the company will be interested in retaining customers and a positive reputation, so they will work with customers to fix their issues outside of the courtroom. It is important to notify the company in writing of any issues.
If the company is not willing or fails to fix the issue, an individual should consider seeking advice from an attorney. It is important to collect information and evidence that may support their claim, such as:
- Letters
- Emails
- Reports
- Business policies
- Other documentation and evidence
An individual may also want to consider what type of claim they may have or the damages they may want to request, although it is best to seek advice from a lawyer at this point. If a case will only involve a small amount of monetary damages, an individual may be able to file their claim in a local small claims court.
This has the potential to save them both time and legal fees. Although individuals are permitted to represent themselves in small claims court, it may still be helpful to consult with an attorney to provide advice and answer any questions about their claims.
If an individual does hire an attorney, they would take over and begin working on the next steps and legal strategies for the case. As noted above, a lawsuit requires:
- Filing a complaint;
- Serving the defendant with notice;
- Preparing the case;
- Responding to motions;
- Gathering evidence; and
- Subpoenaing necessary witnesses.
It is important to note that the plaintiff may be required to pay filing fees. If an individual is successful, they may be able to recover different types of damages, such as:
- Monetary damages;
- A replacement product;
- Requiring the company to change their company handbooks, policies, or procedures;
- Various economic and noneconomic damages;
- Punitive damages or fines; and
- Restitution.
How Long Do I Have to File a Lawsuit Against a Company?
With the majority of claims and lawsuits, a plaintiff only has a specific amount of time from an incident occurring or issue arising to file a lawsuit, called the statutes of limitations. The statute of limitations will depend on the laws of the jurisdiction where the case is filed as well as the reasons for the claim.
If an individual does not file their claim in the required time frame, they will not be able to recover any damages. Because of this, it is essential to be aware of the time allowed to file a lawsuit for a specific type of claim.
It may be possible to determine the statute of limitations by conducting research. However, an individual should consult with a lawyer to sue a company to ensure they know the proper time limits.
What Kind of Lawyer Do I Need to Sue a Company?
It can be complicated for you to navigate both the state and federal court systems without the help of a lawyer. In order to be successful in a lawsuit, it will require knowledge of the proper procedures and strategies, for example, what court to file in, what defenses to anticipate, what type of evidence to present, and more.
You may be considering suing a company in Michigan. If so, it is essential to consult with a Michigan business lawyer who can determine if you have a viable claim and your best legal options to obtain damages. If the defendant wants to try and settle the issue outside of court, your attorney will represent you during those meetings as well as in court.
