Businesses head to court every day for a number of reasons. How they handle the dispute is dependent upon local, state, and federal laws, as well as any contractual obligations they may have. One option they have to have the dispute heard is a private trial.
Private trials have some benefits, but they also have a number of disadvantages for your business. Not familiar with the disadvantages? Read on to learn how a private trial can actually hurt your business.
1. Confidentiality Can Be a Disadvantage of Private Trial Resolution
Confidentiality protects sensitive information, but sometimes it can work against you. Traditional trials are public, and court documents become part of the public record. By contrast, private trials close the courtroom and seal the records.
If the case involves sensitive trade secrets, confidentiality helps. But if publicity could improve your reputation or generate goodwill, a sealed private trial may actually hurt your business.
2. You’re Placing Your Fate in the Hands of One Person
In a courtroom trial, a jury of vetted citizens decides the case. In a private trial, a judge pro tempore, usually a retired judge, hears the case and issues the ruling.
You don’t get to choose this judge. Unlike a jury, which may reflect community perspectives, a judge relies strictly on legal expertise. Whether that works in your favor depends on your case strategy. Discuss this carefully with your attorney before proceeding.
3. The Judgment Can Be Appealed
After a private trial, the judge’s ruling enters the public court system like any jury verdict. That means the other side can appeal. Appeals lead to more time in court and higher legal costs.
By comparison, binding arbitration resembles a private trial but produces a decision that is final, with only limited grounds for appeal. Arbitration may also allow you to apply laws outside a local court’s jurisdiction.
Considering a Private Trial for Your Business Dispute?
If you’re considering going the route of a private trial for your business dispute, then it’s important that you think about both the advantages and disadvantages of the alternative dispute resolution option. Depending on the situation, it may be far more advantageous to utilize a public trial or binding arbitration. If you’re on the fence, consult an experienced florida business litigation attorney to weigh in on the situation to help you determine the best moves to make.
Are you looking for an attorney to represent your business? You’re in the right place. Contact Boyer Law Firm today to learn how we can help you!
