What Exactly Is A “Business Dispute?”

What Exactly Is A “Business Dispute?”

A business dispute is any conflict, disagreement or legal issues between two or more parties involving commercial or professional matters. These conflicts can occur between business partners, companies and their customers, vendors, contractors, or even within corporate leadership. These disputes commonly arise from contractual disagreements, issues of compliance with laws and regulations, or perceived unfair business practices. While some disputes are minor and resolved quickly, others can escalate into costly legal battles that threaten the stability of a business.

Business disputes can be stressful and time consuming for any business owner and a major distraction from your core business activities. No matter what kind of business you operate or how careful you are in your business dealings, litigation is a risk.  If you find yourself mired in a serious business dispute, an experienced Missouri business attorney can ease some of the burdens and enable you to focus on maintaining your business’s day-to-day activities.

Types of Business Disputes and Areas Where they Arise

Business disputes in Missouri cover a broad range of issues. Some of the most common areas include:

  • Breach of Contract – When one party fails to fulfill its obligations under a written or verbal agreement. When a contract is not carried out, one party can end up filing a breach of contract case in order to seek legal remedies. Such matters can be complex, and a breach of contract attorney will be an invaluable asset.
  • Partnership or Shareholder Disagreements – Conflicts involving business ownership, management directions, profits, or dissolution of partnerships or companies. Conflicts may arise over decision-making, profit distribution, or management responsibilities.
  • Employment Issues – Disputes over non-compete agreements, wrongful termination, wage disputes, or workplace harassment claims.
  • Intellectual Property – Disagreements over trademarks, copyrights, patents, or trade secrets.
  • Real Estate and Lease Disputes – Disputes over commercial leases, property boundaries, environmental compliance, or landlord-tenant disagreements. Conflicts may arise between landlords and tenants or over property use for business purposes.
  • Business Torts — Includes negligent misrepresentation, unfair competition, interference with contracts, or fraudulent business practices.
  • Vendor and Supplier Issues – Disputes about delivery times, quality of goods, or payment terms.
  • Business-to-Business Litigation – Disagreements between companies over performance, pricing, or competition.
  • Insurance Disputes — Disputes over commercial leases, property boundaries, environmental compliance, or landlord-tenant disagreements.

Laws About Business Disputes in Missouri

Missouri has a variety of laws and practices that govern business relationships and disputes, and there are some feral laws that apply as well. These include:

  • Contract Law: Most business disputes involve contracts and are upheld by Missouri common law, statutes, and the state’s version of the Uniform Commercial Code (UCC). The code governs sales of goods, secured transactions, and commercial paper. Written contract disputes have a statute of limitations of five years, while oral contracts typically have a three-year limit.
  • Missouri Corporations Law (Chapter 351, RSMo) – Sets rules for corporations, shareholders, and corporate governance.
  • Missouri Partnership and LLC Laws – Govern the rights and obligations of business partners and members of limited liability companies.
  • Business Regulations and Consumer Protection: The Missouri Attorney General enforces consumer protection statutes against unfair and deceptive business practices.
  • Alternative Dispute Resolution (ADR): State and federal law both encourage the use of mediation or arbitration to resolve business conflicts efficiently and keep matters out of court.
  • Statutory Schemes for Entities: Guidelines in state law serve as the default when business governing documents are absent or ambiguous
  • Employment Laws – Cover wage and hour disputes, discrimination claims, and workplace regulations.
  • Many business disputes are also governed by federal laws, particularly in areas like intellectual property, antitrust, and interstate commerce.

Options for Resolving Business Disputes

Not every business dispute has to lead to a lawsuit, and it is usually preferable to find alternative ways to resolve issues. Business disputes can be resolved in several ways, depending on the circumstances and the willingness of the parties to negotiate. Options include:

  1. Negotiation – Informal discussions between the parties to reach an agreement without legal action.
  2. Mediation – A neutral third party facilitates a resolution and helps both sides reach a voluntary, mutually agreeable settlement. Mediation is non-binding unless the parties agree, and is effective for preserving relationships.
  3. Arbitration – A private dispute resolution process where an arbitrator makes a binding decision. This is a more formal but still private method where an arbitrator renders a binding decision. Many contracts require arbitration clauses.

If disputes cannot be settled outside of court, it may be necessary to go through the process of litigation – filing a lawsuit in state or federal court to have a judge or jury decide the matter. This is often the last resort due to time, cost, and publicity concerns, but sometimes essential—especially if alternative avenues fail. Business disputes may be handled in various levels of civil court depending on the amount in dispute and the type of issue. However, even during litigation, parties may come up with a settlement agreement and resolve the dispute before trial.

How a Missouri Business Attorney Can Help

When disputes cannot be resolved between the parties involved, legal intervention may be necessary. An experienced Missouri business attorney can offer guidance and protection for companies facing disputes and help resolve them before they get out of hand.  Your lawyer can help prevent problems from arising from the start by advising on compliance, drafting airtight contracts, and designing partnership agreements that reduce the risk of disputes arising. If disputes do arise, your attorney can:

  • Advise on legal rights and options when a conflict arises by evaluating the facts, applicable laws, and goals of your business to recommend the best dispute-resolution approach.
  • Represent you in negotiations, mediation, or arbitration to seek a fair resolution.
  • Litigate on your behalf if court action becomes necessary.
  • Protect Your Business Interests by ensuring regulatory compliance with Missouri laws and minimizing future risks.

Business disputes in Missouri can arise from many different situations, but they don’t have to derail your operations. Knowing your legal rights, understanding available resolution methods, and working with a skilled business attorney can help you protect your company’s reputation, finances, and long-term success.

Get Help with Business Disputes from Our Attorneys

If you find yourself involved in a serious business dispute, the stakes are likely to be too great to chance dealing with it on your own. Get help from an attorney experienced in all aspects of Missouri business law. Business attorney Kelvin Birk is a certified public accountant as well as a lawyer, and this combined expertise allows our law firm to provide a high level of service. He and his dedicated legal team have decades of experience helping entrepreneurs navigate a wide range of issues such as starting a new business, creating a legal business structure, securing licenses and permitting, crafting and reviewing contracts, or creating employment agreements.

For a free initial consultation, call the Birk Law Firm at 573-332-8585 to discuss your situation and see how we can help.

Attorney Kelvin Birk

Attorney Kelvin Birk

Kelvin Birk is a lawyer as well as a certified public accountant, with more than 30 years of experience in accounting and tax and business consulting, and more than 20 years of experience in numerous legal matters. This combined expertise allows our law firm to provide a level of service above that of other firms. Whatever your legal situation, your attorney at Birk Law Firm can counsel you as to the tax implications. We have experience in providing myriad legal representation services to residents of southeast Missouri and other areas.. [ Attorney Bio ]