What can you do to resolve a business conflict?

A business conflict can be big or small. Does it involve less than €100? Then you will probably not invest too much time and energy in it. Is it a matter of millions of euros? Then you will probably call in a lawyer right away. There is no standard solution, but the following steps can help.

1. Are you still talking to each other?

Make an appointment with the other party. Preferably face to face. A personal conversation works better than a phone call, email, chat, or letter to help resolve a conflict.

Try to clarify exactly what is going on. Are you talking about the same problem? Do you agree with the facts? Perhaps the other person is annoyed about something you have done or forgotten? Or maybe they are having financial problems? During the meeting, try to be understanding towards the other person.

Show the other person that you are keen to find a solution together. Explain what you can do to improve the situation. Find out what the other person can do. Make it clear what is important to you. Perhaps you can reach a solution together.

Be careful not to make any commitments during such a conversation that could weaken your position. If you are unsure about this, seek legal advice before the meeting.

2. Determine your position, seek help

Are you unable to resolve the conflict by talking to each other? Then ask experts for help or advice. Are you a member of a sector organisation? They often employ advisers and lawyers who help members. Also talk to other entrepreneurs or, for example, your accountant.

The questions you want to answer include: What exactly did you agree? What are your rights according to the agreements? What are the rights of the other party? How strong is their position? How can you get justice? Then talk to the other party again.
 

3. Find a mediator

Are you still unable to resolve the conflict after seeking advice from experts and your network? Then suggest to the other party that you bring in a mediator or arbitration or dispute committee.

A mediator is someone who mediates between parties. If you cannot agree on a suitable mediator, you can each appoint your own negotiator to explore the problem.

Instead of mediation, you can also submit the matter to an arbitration or dispute committee. Various sector organisations have such committees of experts.

4. If mediation does not help, seek legal assistance

If no solution has been found after discussions and mediation, you can take legal action. You can ask your sector organisation, legal expenses insurer, or a lawyer for help. Some law firms offer free walk-in consultations (in Dutch).

You have probably already evaluated your position at an earlier stage. But consult a lawyer again to find out how strong your case is. Also, think carefully about whether it is worth starting legal proceedings. Being proven right does not always outweigh the damage a court case does to your relationship with the other party.

Any questions?

Do you have questions about conflicts or other issues affecting your business? Call the KVK Advice Team on 088 585 22 22.