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InsureCast
a division of Gaston & Associates, Inc. 
Technology Insurance
  Defending software that performed as promised.
A software company was sued by a customer after he used the company´s cost estimating software. The software itself was found to have functioned perfectly. The customer eventually dropped the case, but only after considerable legal expenses were incurred by the software company.
Indemnity Paid: $0
Defense Cost Paid: $175,000
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Paper Train Your Employees

Despite all the publicity on the growing number of court cases and liability judgments, the majority of clients don’t start doing business with you with the expectation that they’ll one day see you in court. Yet, just as many marriages begin “till death do us part” and end in divorce, many business relationships turn sour somewhere along the way.

And, as with marital difficulties, many experts agree one of the key reasons is a lack of effective communication. All professional relationships need to begin with some clear communication of basics:

  • A thorough understanding of the client’s expectations
  • The services you intend to provide and their cost
  • The possible outcomes and
  • The procedure for resolving disputes.

All of these matters should be addressed in writing!

Although these are considered basics, they’re often overlooked. And, once the client begins to feel pain or anguish over a situation, it’ll be too late to point out that you both should’ve understood the possibility of failure up front.

Emotions must run their course. But don’t make matters worse by trying to deal with those emotions in a confused atmosphere of conflicting expectations. Make sure all employees are clear up front with clients and establish a good paper trail of agreements, conditions, and procedures.

Good records set clear delineations before a relationship begins, and they retain their effectiveness even when not repeatedly discussed or revisited. They create the right parameters for liability-free relationships. Make sure your associates are papertrained

 
 
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