SmallBusinessNewz

Although some legal issues are unavoidable, many of them can be prevented. BusinessWeek's Smart Answers talked with several attorneys and found out what they believed would be the top legal issues for the upcoming year. Small businesses need to be aware of these issues in order to protect their businesses from costly damages.

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At this time when the economic conditions are consuming everyone's minds, most business owners tend to focus on cost-cutting measures for offsetting the economic effects. As discussed in the video above, it is also at this time that employees are bringing lawsuits against their employers since layoffs are on the rise.

Earlier this month, the Equal Employment Opportunity Commission (EEOC) released a report that found that 93,277 workplace discrimination charges were filed in the 2009 Fiscal Year. The alleged charges were based upon discrimination pertaining to race, retaliation, sex-based matters, religion, disability, and age. The EEOC credits these charges to multiple factors including the economy, employees' possessing an increased knowledge of their rights, EEOC's greater accessibility to the public, diversity and demographic shift in the workplace, and more.

To avoid this legal area, a business should conduct its own audit of employee payroll practices and other employement polices to make sure it is in compliance. If it does its own audit, it could prevent the U.S. Labor Department or the state labor commissioner form doing one.

Immigration audits are another area of legal concern that businesses need to look out for this year. In 2009, the U.S. Immigration and Customs Enforcement, also known as ICE, began a strong effort to increase audits of businesses nationwide. The agency conducted over 1,600 business audits last year and are expected to do more this year.

To protect your business from this issue, review your Form I-9's carefully. Pay extra attention to the forms for any workers that may be in question. It may even be wise to consult with an immigration lawyer to ensure that you are in line with the law.

Be watching for "Part 2: Protecting Your Business from Legal Concerns" to learn how to protect your business from improper insurance and Internet security issues.