Business owners in New York have many unique risks to prepare for including the possibility of being hit with a lawsuit if a situation occurs on the premises of their property where the victim feels a company is to blame.

Organizational leaders who consider all angles of such risks may be much better prepared to mitigate the effects of such situations.

The importance of preparation

While many businesses have the tools and resources to put toward a solid defense if they are named in a lawsuit, many make the mistake of drawing upon these resources when it is already too late. According to moneycrashers.com, responsible businesses will find, organize and maintain adequate protection against lawsuits long before it is ever needed.

This kind of proactivity will be beneficial in a company’s efforts to protect its assets against total destruction. Likewise, businesses should be aware of the laws in their state and industry so if they are faced with a lawsuit, they can react in ways that are ethical, responsible and legal.

Understanding premise liability

A common misunderstanding about premise liability is that it references strictly accidents that occur on the premise of a company. Examples may include a customer falling or experiencing another type of injury because of inadequate maintenance. While those kinds of incidents certainly happen and are considered premise liability, Forbes reminds business owners that there are other types of premise liabilities to be aware of. Some examples include toxic materials affecting surrounding businesses or patrons and associates getting into a physical altercation on company property that results in injuries.