Top 5 Lawsuits Expected During Economic Crisis | Legal Tips

We’re in the midst of a global pandemic and an ensuing recession, which means there’s a lot of uncertainty when it comes to our legal system. While no one can predict the future, lawyer and YouTube personality Toby Mathis has compiled a list of the top 5 types of lawsuits we can expect to see more of in the coming months—and more importantly, what we can do to avoid them.

1. Employment lawsuits. With so many people out of work or working reduced hours, employment-related lawsuits are likely to go up. If you’re an employer, make sure you’re complying with all applicable laws and regulations, and if you’re an employee, know your rights.
2. Business interruption lawsuits. With businesses across the country being forced to close their doors, many are facing financial hardships. Some business owners may try to recoup their losses by filing lawsuits against their insurance companies for business interruption coverage. If you own a business, make sure you understand your policy and what it covers—you don’t want to be caught off guard if your claim is denied.
3. Contract disputes. When economic conditions are tight, people are often quick to point the finger when things go wrong. Whether it’s a disagreement over payment terms or the quality of goods or services received, contract disputes are likely to increase in a recessionary environment. To avoid getting sued (or having to sue someone), make sure all contracts are clear and concise, and that both parties understand their obligations.
4. Personal injury lawsuits. Unfortunately, personal injury accidents tend to go up during tough economic times as people become desperate and take risks they wouldn’t normally take. If you’ve been injured in an accident that wasn’t your fault, you may be entitled to compensation—but beware of ambulance chasers who will try to take advantage of your situation.
5. collections lawsuits. When people start falling behind on their bills, creditors will often turn to litigation to try and collect what’s owed. If you’re struggling to make ends meet, be proactive and talk to your creditors before they take legal action against you—it’ll be much easier (and less expensive) to work something out ahead of time than it will be after a lawsuit has been filed.

No one knows exactly what the future holds, but by being prepared for the worst—and understanding our rights and responsibilities—we can weather any storm that comes our way. Thanks for watching, and be sure to subscribe for more helpful videos like this one!