Summary
Always prioritize the well-being of your business over your pride. Sometimes, you might have to make tough decisions that seem like you're swallowing your ego, but remember it's for the good of the company.
When faced with a lawsuit, consider the advice that settling can often be cheaper and faster. In my case, it cost us $50,000 directly, and the insurance covered about $450,000. It's crucial to weigh the financial and emotional costs versus prolonged legal battles.
Understand that businesses can face investigations and challenges. We went through an FTC investigation but came out spotless. It's important to maintain transparent and honest business practices to pass such tests successfully.
In challenging situations, listen to expert advice. Our lawyer advised us to settle the lawsuit, which was ultimately the best course of action.
Use insurance wisely to manage financial risks. It can provide significant backing during unexpected instances like legal settlements.
Keep your emotions in check when running a business. Decisions should aim to benefit the business overall, not just satisfy personal feelings or pride.
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How To Take Action
I would suggest making decisions that prioritize your business's health over your personal pride. This means sometimes you have to swallow your ego and make choices that might not feel great personally but are best for your company. Remember, smart decisions help your business grow.
A good way of dealing with legal challenges is to consider the advice of settling lawsuits quickly. This can often save you time and money. Learn from my experience where settling cost $50,000, while insurance covered the rest, amounting to $450,000. This is a great example of using insurance wisely to manage unexpected costs.
Another suggestion is to maintain clear, honest business practices. Even when faced with investigations, like an FTC investigation, transparency helps you come out with a clean slate. Being open reduces stress and builds trust with customers and partners.
Listen to expert advice whenever you're in a difficult situation. Just like how our lawyer advised us on the best actions during the lawsuit, trusting experts can guide you towards better outcomes.
Lastly, keep your emotions in check. Decisions should primarily benefit your business rather than satisfy your pride or personal feelings. This approach helps keep the focus on what truly matters: your business's success.
Full Transcript
I almost never talk about the time I got sued there was an article on Wired Magazine saying that we're sharing our data and analytics platform between companies so for example if you're Macy's they were saying I was sharing that data with Nordstroms and we weren't the FTC slapped us with the investigation but we pass with flying colors at the same time though we had a class action lawsuit and our lawyer told us it's actually cheaper in many cases to settle and what we ended up doing was swallowing our ego and settling and eventually we were able to get this done for just am measly $50,000 and the insurance company paid for the rest of the settlement which was roughly $450,000 in business there's going to be some times where you feel that your ego's just getting squashed on and you feel like you have no Pride you got to do what's best for the business not what's best for your feelings
