Wednesday, May 9, 2012

What happens if my business is served with a Nevada subpoena?

Businesses and business owners are frequently served with subpoenas seeking the disclosure of information that might be relevant to litigation involving other parties. Similarly, state and local regulatory agencies and, of course, the Internal Revenue Service have the authority to obtain subpoenas to assist in investigations by gathering documents and other information.
Perhaps a current or former employee of the business is involved in litigation and the opposing party issues a subpoena to the employer to obtain wage or performance review information. Equally common is a subpoena served by the IRS to obtain income information regarding individual taxpayers going through audits.
The most important thing for a business owner to remember is that a subpoena is akin to a court order and must be taken seriously. When a business is served with a subpoena seeking documents and other information, the subpoena will always set out a date by which the disclosure must be made. If the business fails to disclose the requested information, it is technically in contempt of court and subject to contempt sanctions, such as monetary penalties.
When served with a subpoena, the best thing the business owner can do is contact his or her Nevada business attorney. Even though the disclosure is required under the subpoena, the business owner also has potential liability for disclosure of information that is protected, such as certain financial and health information. If the business owner discloses protected information, even if pursuant to the subpoena, he or she could face liability to the employee or the person who the information involves for breaches of those privacy rights.
By contacting a Nevada business attorney, such as Global Business Lawyers, the business owner can enjoy the reassurance of both timely compliance with the subpoena, as well as a thorough review of the documents to be produced to protect the business from potential liability for producing what might be protected or privileged.
Even parties who are not directly involved in litigation or some sort of investigation fall within the reach of the courts as those other parties put together their cases. Have your Nevada business attorney involved right away if your business is served with a subpoena.


Disclaimer: This web site is designed for general information only. The information presented at this site should not be construed to be formal legal advice nor the formation of a lawyer/client relationship. If you have questions or need specific advice relating to the matters contained herein, please contact Lovaas & Lehtinen, P.C.