>We are incorporated in New York and do business in and around NYC, the world HQ of Litigation, Inc.
>
>We've never been sued either, but I've seen some awful things happen to some innocent colleagues.
>
>A few thoughts:
>1. Incorporate or piggyback on another corporation. NEVER do anything as an individual.
>2. Have a contract that limits your liability to the refund of fees paid for your service or product, no matter how trivial the project.
>3. Don't give the vultures an attractive target. Stay lean and don't keep any appreciable amount of valuable assets - especially cash- in the company.
>My company doesn't have a liablility policy because we disburse all the cash as salary and the value of the assets at risk < the present value of the liability premiums required to protect them.
>The typical litigation attorney won't waste time suing a company with no insurance and small amounts of cash or other liquid assets.
>A liability policy gives them an inviting target.
>
>If you think about it in our business which doesn't tend to have a lot of fixed assets, etc, a liability policy benefits the litigator more than it benefits us.
>
>Some large clients require an errors and omissions policy.
>In those cases, we got one to cover that project and then cancelled it.

Any ideas about a beginner's guide or resources for this stuff.


>>>Welcome to the United States of Litigation.
>
>We maintain liability insurance for errors and omissions and whatever else we've been required to have for various federal, state, and corporate subcontracting gigs. It's not horribly expensive.
>
>Considering all the people I've met that would throw me under a bus rather than admit they were at fault, I call that a requirement. Yes - you've met them too.
>
>We haven't been sued (or threatened to be) yet. But you never know..