A person first needs to make a plan for filing a lawsuit against a company in Texas. One of the first things to think about is how much a person wants to recover from the company if they seek money damages. A person would file their lawsuit in a small claims court, referred to in Texas as a “justice court,” if they seek no more than $20,000 in damages.
Justice courts in Texas have another distinct advantage: a person may represent themselves and forgo representation by a lawyer in a justice court. Of course, a person could be represented by a local attorney in Texas in a justice court, and they might want to have a lawyer because the company they sue is likely to have one.
If a person seeks more than $20,000 in damages or their lawsuit involves more complicated legal issues, then they would file their claim in a Texas District Court. Also, if a person seeks a remedy that is not an award of money damages, e.g., an injunction or specific performance of a contract, they would have to sue in a district court. If a person decides to file in a district court, they should be represented by an attorney.
The next step is to determine the cause of action that a person is going 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 Texas, 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.
There are other issues to consider when planning a lawsuit against a company in Texas. For example, a person might sue in a federal civil court in some situations rather than a state court. A person must analyze whether a court in Texas has jurisdiction over a company in a Texas court or whether the person would need to turn to the courts of another state. It can get technical. Consulting a local attorney in Texas would be helpful for determining some of these issues.
What Are the Reasons for Which I Might Sue a Company?
There are a number of reasons for which a person might sue a company. The person might be a former or current employee of the company and sue them for a reason related to their employment, e.g., employment discrimination or wrongful termination.
A person might sue a company because they purchased a product or service from the company, and they are dissatisfied with the product or service for any number of possible reasons. For example, the product might be defective and might not function as it should. Or the person may find that the service 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. A doctor who is employed by a medical group might commit medical 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?
The key to success with a lawsuit is whether the plaintiff can prove the facts that establish the legal cause of action they claim. Again, common causes of action would involve allegations of negligence or breach of contract. However, many different causes of action are possible.
The employee of a company might be injured on the job and have a claim for workers’ compensation. For a workers’ compensation claim, the injured worker would submit their complaint to the Texas Department of Insurance, Division of Workers’ Compensation. The claim can be filed by email, fax, in person, or by mail.
Again, however, if a person who is injured as a result of the actions of the employee of a company, they would probably claim some manner of negligence.
What Types of Companies May Be Liable?
Any company that does business in Texas is potentially liable, although some companies with certain legal structures may have liability that is limited in certain ways. For example, in Texas, doing business as a limited liability company (LLC) protects the personal assets of the owner or owners from the LLC’s business debts and other legal liabilities. So, an LLC may be liable, but the successful plaintiff might face limitations in their ability to collect a money judgment.
As a Texas LLC can have only one owner, a Texas LLC could essentially operate as a sole proprietorship. In any event, a person may sue an LLC. But if they should win a judgment, they would be limited in the assets from which they could collect the judgment. They would not be able to reach the personal assets of the owner, only the assets of the company.
When a person plans a lawsuit against a company, they want to consider how the company would pay any judgment the person might win. Most companies have insurance of the type they need to cover their potential liabilities, but a person contemplating a lawsuit would want to give some thought to this issue.
A limited liability partnership (LLP) is another form of business that is allowed by Texas 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, they may be liable to repay it if the borrower does not.
Generally, however, any type of company may be liable for any legitimate legal causes of action if the person who initiates the lawsuit is able to prove all the elements of the causes of action they allege.
How Do I Sue a Company for Damages?
When a person determines the court in which they want to file their lawsuit and what their cause of action is, they then draft and file a complaint in the court they have selected as the right one for their action.
Of course, if a person has an attorney to represent them, this task would be handled by the person’s attorney. The complaint should state what the defendant is alleged to have done and the type of relief that the plaintiff is seeking from the defendant. In most civil cases, the primary form of relief is 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 injuries and 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 Petition and Citation because the defendant must be notified of the fact that they have been sued and given the opportunity 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 Texas Rules of Civil Procedure. A local Texas 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?
The cause of action that a person claims determines the statute of limitations. For example, actions that claim certain kinds of trespass to personal rights or property rights have a 2-year statute of limitations. Examples are as follows:
- Personal Injury
- Property Damage
- Wrongful Death
- Trespass
The statute of limitations for breach of contract is 4 years. A person would probably want to consult a Texas attorney for advice regarding statutes of limitations. Generally speaking, a person should not delay taking action toward filing a lawsuit if doing so is justified. Identifying the statute of limitations that would apply to a person’s case would be part of planning a lawsuit so the statute of limitations is not missed.
What Kind of Lawyer Do I Need to Sue a Company?
If you need a lawyer to sue a company in Texas for personal injury or property damage, you want to consult a Texas 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 Texas business lawyer. Again, LegalMatch.com can put you in touch with a local Texas business lawyer who can formulate a plan for your business-related claim.
