SOURCE: Kauffman Foundation

February 07, 2007 09:30 ET

Kauffman Foundation eVenturing Shows Entrepreneurs How to Confront Litigation

KANSAS CITY, MO -- (MARKET WIRE) -- February 7, 2007 -- What would you do if you discovered your business partner committed massive fraud? Or, if you discover your employees were establishing a rival business behind your back? How would you deal with a partner who suddenly wanted to get full control of the business? What would happen if a larger company suddenly infringed on your trademark?

How you handle these and other related litigation issues may just determine the success or failure of your growing business.

In the course of running a company, there may not be anything more complex for entrepreneurs to deal with than litigation. Key concerns include assessing how you can avoid litigation altogether or manage effectively the litigation process.

This month, Kauffman eVenturing (, a Web site for growth-oriented entrepreneurs operated by the Ewing Marion Kauffman Foundation, features a collection of articles titled Confronting Litigation Effectively, that provides a comprehensive view of litigation and includes articles featuring entrepreneurs' stories and how-tos covering alternative dispute resolution, arbitration, mediation, and developing legal strategies.

Among the editorial highlights:

--  "Keeping Your Business Safe" by Greg Botto, President and Founder,
    Global Network Services, recounts how when he was building his IT support
    company, employees who also are family members were creating a rival
    business behind the scenes, taking trade secrets and clients. Botto offers
    safeguards on protecting your company.
--  "Partnership Problems and Loss" by Richard Rhodes, President, Rhodes
    Architectural Stone, Inc., gives advice on how he developed a legal
    strategy that saved his company and his livelihood after discovering that
    his business partner committed massive fraud in their company.
--  "A Cautionary Tale About Partnership" by Richard Fox, Business
    Development Manager, Sulfa Treat, discusses how the lack of legal
    protections enabled his partner to gain control of the business and
    eventually force a sale.
--  "A Trademark Tale" by Frederic Hron, President HRON Communications,
    details the difficulty of defending intellectual property against a
    competitor with deeper pockets. Hron discovers that even a federal
    trademark may not be enough to protect a company's intangible asset and
    that sometimes the better course of action is a settlement instead of a
    costly trial.
In addition to first person articles, the eVenturing Litigation collection contains articles dealing with such topics as an alternatives to litigation; strategies for managing litigation, how to handle sexual harassment complaints, the legal issues surrounding leased workers and guidelines on terminating employees.

There are also templates offering an easy-to-use format for creating legal agreements; a checklist on deciding whether to litigate; a sample incentive compensation agreement; and overall primer on the litigation process.

The Kauffman eVenturing site is dedicated to serving the needs of growth-oriented entrepreneurs. Each month, a new collection of articles on key themes of interest to entrepreneurs -- such as finance and accounting, people and human resources sales and marketing, products and services, operations and the entrepreneur (e.g., strategy, culture, leadership) -- is featured on the site. Collections contain original articles and a carefully reviewed aggregation of the 'best of the best' existing Web materials on the topic at hand.

To read the full collection on Confronting Litigation Effectively, please visit the Kauffman eVenturing site at

About the Kauffman Foundation

The Ewing Marion Kauffman Foundation of Kansas City is a private, nonpartisan foundation that works with partners to advance entrepreneurship in America and improve the education of children and youth. The Kauffman Foundation was established in the mid-1960s by the late entrepreneur and philanthropist Ewing Marion Kauffman. Information about the Kauffman Foundation is available at

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