Not every dispute deserves to be settled in court. In many commercial matters, the cost of time and of a broken business relationship weighs more than the value in dispute.
When settlement is preferable
- The commercial relationship continues and both sides want to keep dealing.
- The right is clear but documentary proof is difficult.
- One party needs liquidity quickly.
- The subject matter is sensitive to commercial reputation.
When litigation is preferable
Where a debtor is stalling with no serious intention to pay, or where a precautionary measure such as attachment is needed to secure enforcement, going to court is the safer option.
In all cases, beginning negotiations does not prevent a party from taking the precautionary steps needed to preserve its rights.
