A commercial dispute is cheaper to shape early
What to do in the weeks after a deal breaks — before letters and filings harden the fight.
The expensive part of a commercial dispute is rarely the first disagreement. It is the month in which positions are put in writing without a plan: a furious demand, a denial that closes a settlement, or a filing made because someone wanted to “show seriousness.”
The first work is quieter. What does the contract actually require, and what does the correspondence already admit? Which messages, invoices and board notes will matter if this is read by a judge or an arbitrator in a year? What must be preserved now, including informal chats, before people tidy their phones?
There is usually a short window in which the commercial relationship can still carry a solution — a revised payment schedule, a completion plan, a without-prejudice conversation — that a pleaded claim will not. That window closes once both sides have spent money becoming right.
Early counsel is not a commitment to sue. It is a decision about sequence: what to say, what not to say, whether the contract already chose arbitration or court, and whether a claim is still inside time. Clients who arrive with the file intact, rather than after three unanswered letters, keep more options.
If a counterparty has stopped performing, or you have received a demand you are tempted to answer tonight, pause and have the position framed before it is sent.
This note is for general information only and does not constitute legal advice or create a solicitor–client relationship. Full disclaimer.
