Litigation culture is on the rise in North West England, a recent survey has shown, with around half of all companies questioned stating that they have had to use solicitors to resolve business disputes at least once in the past three years. Fully 68% of companies who responded said that the number of disputes they had faced has risen in the past three years.
The independent research commissioned by JMW, looked at the various legal issues faced by companies in Greater Manchester and Cheshire via telephone questionnaires with Managing Directors and other Senior Management of nearly 60 companies in August of this year.
The study also revealed that almost 60% of companies did not anticipate that the dispute was going to arise. Of these, two-thirds ended up having to instruct solicitors to deal with the matter.
Family owned businesses appear to be at more risk from fraud than non-family run businesses in certain areas. The survey showed that family businesses need to ensure adequate systems are in place to protect them against fraud by third parties, shareholders and customers, although they are less vulnerable to fraud perpetrated by employees.
The area of 'red tape' which most concerns businesses is Health & Safety regulations. Over 75% of respondents said that they found this the most complex, and hence concerning to their business.
John Risk, Assistant Policy Director at Greater Manchester Chamber of Commerce, adds, "This survey reinforces what our members have often said in the past, there is a need for better advice and information on Health & Safety regulations."
Tony Winterburn, Head of Commercial Services at JMW, comments, "The findings which have come out of this survey make very interesting reading. We knew that disputes were on the rise in this region and this survey has confirmed the scale of the increase. We anticipate that the findings will help us meet the changing needs of both our commercial and private clients."
To download a free copy of the report and findings, please click here. Alternatively if you wish to discuss the findings or require further information regarding our Commercial Services Department please contact Tony Winterburn, Partner on 0845 402 0001.
