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Authorized Implications of COVID-19: Enterprise Lawsuits Arising from the Pandemic

As a business owner, you need to take a preventive approach towards these issues because a lawsuit can put you in a bigger fix during the crisis. 

The COVID-19 situation is an unprecedented one and it is impacting every aspect of life. While there are changes in the way people live and work, there are also certain legal implications of the pandemic. Businesses can expect to face unique lawsuits in the new normal, with most of them associated with the disease and the circumstances surrounding it. So it becomes important to be aware of such possibilities and have strategies to prevent them in the first place. Here are some business lawsuits that can arise from the pandemic. 

Products liability lawsuits

It is the primary responsibility of the manufacturers to make safe products while complying with all the regulatory standards in place. Essentially, they should thoroughly test the products and ensure that these do not pose any unreasonable risks to the consumers. Further, they must also display adequate instructions and warnings on the labels for using a product correctly. If you are a product manufacturer, you need to take the right precautions for safeguarding consumer health and steering clear of COVID-related product liability. 

Personal injury lawsuits

Hand sanitizer and mask sitting on wooden table; image by Anshu A., via Unsplash.com.

Another common business risk in the pandemic era is that of a personal injury lawsuit. Businesses of all kinds have an obligation for the safety of customers, which becomes all the more critical during the outbreak. People who get infected due to the negligence of a business can hire personal injury attorneys to go ahead with their claims. Nursing homes are at high risk because they have to implement reasonable measures to curb the infection. Similarly, cruise lines, hotels, and restaurants need to go the extra mile with safe sanitation practices for keeping the customers healthy. 

Non-compliance lawsuits

The pandemic has led to the imposition of strict health and safety regulations by the government as an initiative to curb the infection. For example, there were mandatory shutdowns in the early stages and even as businesses reopen, they need to take the requisite measures. If you fail to do so, you can expect civil and criminal actions by government officials. Price gouging, phishing scams, and false marketing claims are some other actions that can invite legal hassles.

Negligent security issues

Businesses in the retail sector are under major pressure during the coronavirus crisis. Stores are crowded and buyers are clamoring for hygiene products and necessities like never before. Hence, it becomes all the more important to focus on premises safety right now so that you can avoid accidents like slips and falls, physical attacks, and stampedes. If you fail to do so, a lawsuit for negligent security can arise.

Breach of contract

Another type of lawsuit that businesses may encounter is that for a breach of contract. Companies that had contracts prior to the outbreak may be unable to honor them now due to the changed circumstances. Despite the situation, these results in a breach of contract and you can expect to face lawsuits for your business. 

As a business owner, you need to take a preventive approach towards these issues because a lawsuit can put you in a bigger fix during the crisis. 

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