What is commercial litigation?

11 October 2022 | Business & Workplace | Author: Emma Allen

Any legal action taken that involves a corporate party is commercial litigation. This includes anything from employment issues and contract disputes to major cases between large international companies. Commercial litigation is a branch of civil litigation, rather than criminal, and like most areas of law, there are highly trained solicitors who are experts in the various fields of commercial litigation who can work with you to receive the best result in your case.

Examples of what can be considered commercial litigation include, but are not limited to:

• Employment cases
• Debt recovery
• Breach of contract
• Shareholder issues
• Tax disputes

Although litigation may seem like the only option when you discuss your case with a solicitor, they are likely to advise Alternative Dispute Resolution (ADR).

Alternative Dispute Resolution (ADR)

Taking a case to court is typically the last resort, it is time-consuming, expensive and can add unnecessary stress to all involved. Before a case reaches this, an Alternative Dispute Resolution (ADR) route is preferred, such as adjudication or mediation.

Using one of these methods helps the parties to settle the dispute outside of court, providing a beneficial remedy that can be more specific and adaptable to the matter at hand. Not all ADR is legally binding, so it is always important to discuss the advantages and disadvantages with your solicitor.

Adjudication

Arguably the fastest method of ADR, adjudication takes on average, 28 days to complete. The cases of both parties are presented to an adjudicator through a referral notice or response. From here, the solution will be decided and communicated back to the parties without the need for a hearing where evidence is orally presented.

Mediation

You do not need to wait until the process of litigation begins to appoint a mediator. They will work with parties to find a solution that both can agree to based on the facts and evidence they are presented with. If you are wishing to continue your relationship with the other party, mediation is likely to be suggested, where appropriate, by your solicitor.

Arbitration

Unlike many other forms of ADR, the decision reached during arbitration is typically legally binding. The third-party arbitrator can be instructed by a relevant professional body or selected by either party. Their role is to listen and view all evidence presented to them before making a decision that is then legally binding on both parties.