What do I do if my business is sued?

If your business is sued, initially, it is important to stay calm and take the situation seriously. 

A lawsuit usually begins with formal legal papers, such as a summons and complaint, which explain who is suing you and why. These documents include deadlines, and missing them can lead to serious consequences like a default judgment. 

At this stage, many businesses consult an attorney to help interpret the claims, explain the process, and outline possible responses. Lawsuits can involve procedural rules that vary by jurisdiction, and understanding those rules is critical.

If your business has insurance—such as general liability, professional liability, or employment practices coverage—you should review the policy to see whether the claim might be covered and whether the insurer requires prompt notice.

While every lawsuit is different, understanding the basic process and your options can help you make informed decisions and protect your business interests as the matter moves forward.

This answer is not legal advice.