What is the matter with this picture?

It’s not the image itself; it is what it portrays, a potentially unnecessary lawsuit.

Both the contractor working on this project – and the company who retained them are asking for trouble. Why? Because of negligence.

See the shovel left unattended in the picture? Imagine what could happen if a young child was running through the property and accidentally stepped on it the wrong way?

And the dirt/mud in the driveway? What would happen if a senior citizen slipped in it and broke a hip?

Every year, sloppy workmanship and careless, unattended job sites create a bonanza for litigation attorneys. And every time this happens:

  • Businesses pay
  • Those who patronize the business’s pay. 
  • Everyone’s insurance – eventually pays – through rate increases and so on.

But many potential problems can be easily avoided when:

  • The company hiring – has carefully considered the contractors, including whether or not they had multiple poor reviews or (more importantly) lawsuits which resulted in negligence. The lower the bid, the higher the likelihood this becomes an issue. 
  • The company retaining the contractor ensures that they are adhering to the contract’s safety protocols. 
  • And for both parties, to exercise common courtesy and communication with the tenants residing there.

Regrettably, some companies take a gamble and end up paying a lot more than if they had brought in a more reputable contractor.

Whether we like it or not, America is a litigious society. 

Commercials and ads remind the consumer on a regular basis (many times 5 times a day “That the big pay-off against the big mean company can be yours!”

(Percentage of S&P 500 companies subject to core federal filings in 2023 categorized using GICS sectors Source: Cornerstone Research)

But common sense and courtesy can minimize this from happening. Regrettably too often, companies fail to teach their management teams about this, until it is too late. Where even if job site negligence does not end up in litigation, poor public perception has still cost the company who allowed unsafe and sloppy site management to prevail.

John was a contractor many years ago and always made sure that his company’s employees were aware of the downside of sloppy and negligent work practices. At times, competitors who bid lower on jobs failed to have adequate funding in their contracts to do these simple things. Several of those competitors were sued out of business because of it. To learn more about how John could help your company visit RussellStrategyGroup.

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