Posted by : Dan Levenson Thursday, October 23, 2014

As a tech firm, you expect your staff to be proficient in coding languages like JavaScript, C++, and Objective C. Like any business, though, you also deal with a more universal language: English.
That’s right, regardless of industry, strong communication skills is a must not just in keeping your employees informed of project requirements, but also in getting the word out about your products and services.
Unfortunately, words can also get you in trouble. For instance, if you say that a competitor’s software has security vulnerabilities, they may very well sue you for defamation, especially if they believe your claim to be false.
Basically, defamation is when someone makes an incorrect statement about another party that results in their suffering. In the case mentioned above, your allegation might deter people from buying said software, which may ultimately cause the competing firm’s stock price to fall.
If your defamatory statement is spoken or oral, you will be slapped with a slander case. If it is written down, like a press release, news item, or even a blog post, you’ll be facing a libel suit.

Of course, legal proceedings are very expensive, and if your company happens to be a startup, the legal costs may cause it to go under. So aside from getting health insurance for your employees, be sure to get general liability insurance as well, since it also covers litigation expenses associated with defamation lawsuits.  

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