Where the case is heard
In New York, the main trial-level court for civil disputes is called the Supreme Court, which confuses many newcomers, and larger business cases may go to its Commercial Division. Federal court is available when there is a federal claim, or when the parties are from different states and the amount at stake is large enough. Smaller disputes may belong in the Civil Court in New York City or in local courts elsewhere in the state. An arbitration clause can take a case out of court entirely. The choice of forum affects the judge, the procedures, the pace, and sometimes whether there is a jury.
The long middle of a case
After the complaint and the answer, or a motion to dismiss, most of the time and expense goes into discovery. That includes exchanging documents and electronic records, written questions, and depositions, which are sworn examinations of witnesses with a court reporter present. Business cases often involve large volumes of email, chat messages, and financial data, so early decisions about what to collect and search drive the cost. Summary judgment motions after discovery can resolve all or part of a case without a trial. Most civil and commercial cases settle or are decided on motions, but preparing as though trial will happen usually leads to better settlement discussions.
When individuals are drawn in
Business disputes do not always stay with the business. Owners and officers are sometimes sued personally, for example on a personal guaranty, on claims that they personally took part in wrongful conduct, or on theories that try to disregard the company form. Individuals on the other side of a company, such as customers or minority owners, face a party with more resources and often in-house legal support. We look at who should be a party, what personal exposure exists, and whether insurance may cover defense costs. A first meeting usually settles the forum, a realistic budget for each stage, and the outcome you would accept short of trial.
