flevyblog

Flevy Blog is an online business magazine covering Business Strategies, Business Theories, & Business Stories.
MANAGEMENT & LEADERSHIP STRATEGY, MARKETING, SALES OPERATIONS & SUPPLY CHAIN ORGANIZATION & CHANGE IT/MIS Other

Common Legal Battles Marketing Agencies Go Through

Editor's Note: Take a look at our featured best practice, Marketing Theories and Strategies (122-slide PowerPoint presentation). Curated by McKinsey-trained Executives Unlock the Power of Marketing Excellence with Our Comprehensive Business Toolkit: A 120+ Slides PowerPoint Deck In the fast-paced and dynamic world of business, staying ahead of the curve requires a deep understanding of **marketing [read more]

Also, if you are interested in becoming an expert on Strategy Development, take a look at Flevy's Strategy Development Frameworks offering here. This is a curated collection of best practice frameworks based on the thought leadership of leading consulting firms, academics, and recognized subject matter experts. By learning and applying these concepts, you can you stay ahead of the curve. Full details here.

* * * *

Marketing agencies can run into their fair share of legal battles – if they aren’t careful. Many entrepreneurs are so excited about the possibility of opening that they forget about the legal missteps that can occur. However, you can protect yourself from risks with the right steps. Here are some tips for minimizing legal risks in your marketing agency startup!

Not Creating a Lawyer-Approved Contract

Contracts are essential in business because they mitigate risk, serve as a record of commitment, and help maintain compliance. However, a poorly written contract can be just as bad for your business as not writing one at all. Usually, you’d have to go to a lawyer or have some legal to draft a contract that covers all your bases, but that can be expensive. Instead, use a competent marketing agency contract template to cut costs while still staying compliant.

Not Having a Terms and Conditions

The terms and conditions page on your website isn’t just a business formality; it protects your business from the threat of being sued. You’re required by law to have one, and the fines for lacking one just isn’t worth it. Copying a terms of conditions can put you in even more trouble because you’ve violated copyright law while also using a document that may not apply to your business. To stay safe, either buy a template or ask a lawyer to draft one for you.

Violating Anti-Bullying Laws

Bullying in the workplace doesn’t just happen between managers and employees; it can also occur between employees or the business owner. If your employee feels that you’re unfair to them or even abusive, you could receive a costly lawsuit. To ensure this doesn’t occur, speak to all of your employees about how they can report bullying in the workplace. Give them an environment where it’s safe to speak up or one that doesn’t tolerate bullying at all.

Torrent Usage and Illegal Downloading

Torrents aren’t just for illegal downloading, but they’ve adopted this reputation due to the large amount of pirating that took place in the early 2000s. Even if you’re downloading a file you’re positive is legal, avoid using torrents at work. You could encourage other employees to download files, which will leave you legally liable if they’re accused of copyright infringement while working for you. Use a VPN to stay safe, or ban the practice entirely.

Abusing Privacy Laws

Most businesses collect personal data with cookies, but you have to disclose this to your users via a cookie pop-up or within the terms and conditions to avoid breaking the law. Always research your country’s laws and regulations yearly, so you can adjust if the law changes in your niche. Ensure you comply with the current legislature, but this can be more complicated if your work is international. You may need to adjust your terms and conditions based on location.

Incorrect Job Titles

It sounds silly on the surface, but you can put your business at risk if you designate incorrect job titles to your employees. While it’s true you can achieve a higher status in the community with a fancy job title; it can also put a lot of pressure on your employees. For example, if you give an inexperienced salesman the title of “Sales Engineer,” a customer could sue if they find out your glorified salesman doesn’t have the qualifications necessary to solve their problem.

Immigration Audits

Unless you’re hiring freelancers, you’ll need to properly screen your employees to ensure they can legally work in your country. Illegal labor can cost your company big time through an immigration audit which often leaves small businesses in ruins. Never, ever forge documents for employees you know are illegal, or you will serve jail time for your offense. It’s better to hire labor at minimum wage than risk paying illegal immigrants under the table.

63-slide PowerPoint presentation
A marketing plan is a comprehensive blueprint, outlining an organization's overall marketing efforts. This PowerPoint presentation is a guide to developing a comprehensive marketing plan. Marketing Management topics include: * Marketing Management Process * Market Segmentation * Market [read more]

Want to Achieve Excellence in Strategy Development?

Gain the knowledge and develop the expertise to become an expert in Strategy Development. Our frameworks are based on the thought leadership of leading consulting firms, academics, and recognized subject matter experts. Click here for full details.

"Strategy without Tactics is the slowest route to victory. Tactics without Strategy is the noise before defeat." - Sun Tzu

For effective Strategy Development and Strategic Planning, we must master both Strategy and Tactics. Our frameworks cover all phases of Strategy, from Strategy Design and Formulation to Strategy Deployment and Execution; as well as all levels of Strategy, from Corporate Strategy to Business Strategy to "Tactical" Strategy. Many of these methodologies are authored by global strategy consulting firms and have been successfully implemented at their Fortune 100 client organizations.

These frameworks include Porter's Five Forces, BCG Growth-Share Matrix, Greiner's Growth Model, Capabilities-driven Strategy (CDS), Business Model Innovation (BMI), Value Chain Analysis (VCA), Endgame Niche Strategies, Value Patterns, Integrated Strategy Model for Value Creation, Scenario Planning, to name a few.

Learn about our Strategy Development Best Practice Frameworks here.

Readers of This Article Are Interested in These Resources


68-page Word document
Marketing can make or break a business. Done right, it can help you establish a profitable position in your market. Done wrong, it can be a costly mistake that puts you out of business. With so much at stake, it's essential to have a plan that puts you on the right track. Introducing our marketing [read more]


 
98-slide PowerPoint presentation
 
 
21-slide PowerPoint presentation

About Shane Avron

Shane Avron is a freelance writer, specializing in business, general management, enterprise software, and digital technologies. In addition to Flevy, Shane's articles have appeared in Huffington Post, Forbes Magazine, among other business journals.




Complimentary Business Training Guides


Many companies develop robust strategies, but struggle with operationalizing their strategies into implementable steps. This presentation from flevy introduces 12 powerful business frameworks spanning both Strategy Development and Strategy Execution. [Learn more]

  This 48-page whitepaper, authored by consultancy Envisioning, provides the frameworks, tools, and insights needed to manage serious Change—under the backdrop of the business lifecycle. These lifecycle stages are each marked by distinct attributes, challenges, and behaviors. [Learn more]

We've developed a very comprehensive collection of Strategy & Transformation PowerPoint templates for you to use in your own business presentations, spanning topics from Growth Strategy to Brand Development to Innovation to Customer Experience to Strategic Management. [Learn more]

  We have compiled a collection of 10 Lean Six Sigma templates (Excel) and Operational Excellence guides (PowerPoint) by a multitude of LSS experts. These tools cover topics including 8 Disciplines (8D), 5 Why's, 7 Wastes, Value Stream Mapping (VSM), and DMAIC. [Learn more]
Recent Articles by Corporate Function

  

  

  

  

  


The Flevy Business Blog (https://flevy.com/blog) is a leading source of information on business strategies, business theories, and business stories. Most of our articles are authored by management consultants and industry executives with over 20 years of experience.

Flevy (https://flevy.com) is the marketplace for business best practices, such as management frameworks, presentation templates, and financial models. Our best practice documents are of the same caliber as those produced by top-tier consulting firms (like McKinsey, Bain, Accenture, BCG, and Deloitte) and used by Fortune 100 organizations. Learn more about Flevy here.


Connect with Flevy:

     
  


About Flevy.com   /   Terms   /   Privacy Policy
© . Flevy LLC. All Rights Reserved.