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Commercial litigation

Janice Chew of Gideon Tan Razali Zaini describes the role of the commercial litigator in working out the disputes which are an unwelcome but unavoidable aspect of some commercial dealings.

The term 'commercial litigation' includes any lawsuit or arbitration relating to the conduct of a business. Some examples of commercial litigation are shareholder litigation, litigation between corporations, and litigation arising from construction disputes. Most law firms deal in commercial litigation.

The area of commercial litigation encompasses disputes concerning company law to a large extent, such as shareholders' disputes relating to public or private companies, which can involve obtaining pre-emptive relief for clients (including Mareva injunctions to prevent assets from being dissipated, and Anton Pillar orders to preserve incriminating evidence before it is destroyed) and many other types of disputes.

The work

A commercial litigator is both an advocate and advisor. Commercial disputes can be time-consuming and costly. A party should not casually initiate litigation, as usually, too much money is at stake to allow emotion to rule over rational judgment.

A commercial litigator spends most of his or her time in the courtroom. Effective courtroom representation requires extensive behind-the-scenes preparation, such as reviewing documents, taking depositions, preparing briefs and counselling clients. Daily activities include reviewing documents, being prepared to advise clients at any time, drafting cause papers within a limited time frame in the event there is an urgent case or ex-parte application which needs to be filed on an urgent basis.

In commercial litigation, there are no set office hours. We have to make ourselves available and be prepared at any time.

The areas where commercial litigation comes into play include the following:
(a) complex commercial disputes
(b) breaches of diverse contracts
(c) disputes between corporations
(d) shareholders' disputes
(e) construction disputes

The list of what constitutes commercial litigation could go on ad infinitum.

The clients

In commercial litigation, clients and issues are various and varied. Whenever a client's business is faced with legal issues, a lawyer will be sought for an effective solution. Clients will generally only look for us when something has gone wrong, such as when shareholders are in a deadlock situation or a deal has fallen through.

The skills required

A good commercial litigator should be able to inform his or her client of the benefits and risks of taking a case for trial, and to act as an advisor. The advocacy role should be saved for trial or for settlement negotiations.

As a commercial litigator, he or she must be innovative and able to think globally in order to provide effective solutions to clients. He or she also needs to have good research skills and a certain level of business and accounting knowledge. Knowing a client's business goes a long way.

It is not necessary to take particular elective subjects should you intend to become a commercial litigator.

In this area of practice, you gain more exposure and experience by meeting different types of client and dealing with different types of brief. Your aim should be to use your skills and knowledge to resolve clients' problems in the most efficient and cost-effective manner.

If you are willing to sacrifice your time and are willing to learn, then there should not be any obstacle preventing you from practicing successfully as commercial litigator.

About the author
Janice Chew is a Legal Associate at Gideon Tan Razali Zaini. She graduated from Oxford Brookes University in 2005 and has been with the firm for a year.

© GTI Specialist Publishers. Reproduced with permission.