Types of Business Disputes

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Types of Business Disputes

Script: The management of a successful business involves many factors, including the
employees, customers, and management itself. Disputes between business owners are
an inevitable part of owning and operating a business, and every business owner will
become involved in a dispute of some kind at some point in their operations.
Nevertheless, knowing and identifying the most common types of business disputes
may help you avoid them and resolve them as quickly as possible before they become
worse.

Breach of Contract
Script: Alam na naman natin na ang isang business has suppliers, contractors,
purchasers, or other business partners and with that it has a high risk of disputes
arising from contract disagreement. Alam naman natin na ang Contracts are
legally written agreements which must be upheld or honored.

And when we say Breach of contract it caused by one party failing to fulfill their
contractual obligations. For example Isa akong tindera ng prutas sa palengke
then si Yash ang aking supplier ng fruits and nag agree kami na dadalhin nya
ang order kong prustas sa Friday but hindi nagawang ideliever ni Yash ang mga
order ko. And hindi lang ron ang dahilan kung bakit nag kakaroon ng breach of
contract.

● It also arises when the contract is incomplete, ambiguous or unclear, which


results in different interpretations of the contract which can lead to confusions
and conflicts. Ibig sabihin hindi nag kakaroon ng maayos na communication
about contracts and agreements.

● In some cases rin na may parties may find themselves disagreeing on the
specifics of the contract arrangement, or how long it was intended to last. In all of
these situations, breach of contract claims, or similar arguments, may arise.

Customer Disputes
● Another common area for dispute is with its customers or consumers. There may
be instances where customers feel dissatisfied with the service or experience,
they received, or that the product they purchased is not up to the standard they
expected. A business must strategize certain stipulations and customer services
that should help customers ease their demands, but once it breaches it may
involve large amounts of damages for the business.
● Note : These cases arise from customers suing businesses over their defective
products, mistreatment they received, or false claims.

Examples nito if ang business ay hindi kaya mag cater ng high demand ng
customers, ay nag kakaroon ng quality defect sa mga products nila since sa
sobrang dami ng demand.

Employees Disputes
● A disputes between employers and current, former, or potential employees can
arise due to different factors which include the treatment of employees, any form
discrimination (sex, race, age, disability, or marital status,), harassment, or other
improper working conditions that adversely affect certain employees (unsafe
working environment, or a hostile working environment, ). This also can be
disagreement over salaries and benefits; unfair dismissal charges; and disputes
over representation at employment tribunals.

● Note: A business operates because its employees are ones that contribute their
skills, knowledge and perform duties inside a business. Without them it cannot
reach its targets and long-term goals. Dispute and unfair treatment can cause a
conflict inside the business and prevent a good relation and work environment for
employees.

Partnership/ Shareholder Disputes


● Partnership and Shareholder disputes are perhaps the most common type of
business dispute. Disputes arise when the partners/ shareholders disagree about
what is in the best interest of the business. Most commonly disagreements are
leadership, rights, management, allocation of resources, and financial disputes.
Disputes can also arise when a partner and shareholder breaches their fiduciary duty to
the business or other owners.

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