Business Litigation in Utah: Common Disputes and How Attorneys Resolve Them

U.S. companies lose an estimated 5% of their annual revenue to occupational fraud, a figure the ACFE has tracked for years across industries. In 2024 alone, the FBI logged over $16 billion in reported internet-crime losses—hits that often start as business email compromise, invoice fraud, or data theft and end as contract and customer disputes. 

Utah law supplies rapid, practical tools to contain damage and regain leverage for businesses. At Weber Law Group, our top-rated corporate lawyers in Lehi and American Fork use those levers to protect revenue, key accounts, and data while keeping outcomes business-minded. 

Start with a focused consultation at (801) 753-8084 or through this page.

Breach of Contract & Unpaid Invoices

When a customer stops paying or a vendor underperforms, counsel starts by reviewing the contract’s performance standards, notice provisions, cure periods, and forum/arbitration clauses. Utah gives six years to sue on an “instrument in writing,” so lawyers track accrual dates and tolling to avoid limitations defenses while still pushing for quick resolution. 

The opening move is often a detailed demand that preserves claims, identifies the exact breach, and proposes a payment or performance plan that can later be enforced. If assets are at risk, attorneys seek temporary restraining orders or preliminary injunctions to preserve the status quo—showing likelihood of success, irreparable harm, and a balance of harms under Rule 65A

Parallel steps include recording communications, gathering shipping and acceptance records, and modeling damages such as lost profits that can be proven with reasonable certainty. If the contract includes arbitration, counsel can move to compel under the Utah Uniform Arbitration Act, then confirm any award in court for collection. Settlement leverage grows as documents, emails, delivery logs, and bank trails line up; structured settlements with stipulated judgments are common when cash flow is tight. For many companies, the most efficient path is a consent judgment plus installment payments secured by a UCC-1 filing.

Owner & LLC Member Disputes

Internal fights usually stem from control (voting power), access to books, unpaid or uneven distributions, and unclear exit rights that stall decisions and spook lenders. Cash leaks, unilateral contracts, or locked-out accounting systems can paralyze operations and damage credit. Ambiguous operating agreements or missing consents escalate routine management choices into deadlock. 

Corporate lawyers in Utah first audit the operating agreement, bylaws, and cap table to identify what the documents actually allow and where gaps exist. They then impose guardrails—dual approvals, spending limits, data preservation—and seek fast Rule 65A orders if assets or records are at risk. Finally, they steer toward a buyout or governance fix (valuation method, secured payments, clean board minutes, and customer-notice language) so the company keeps revenue and goodwill intact.

Trade Secrets, Data Theft & Unfair Competition

Common triggers are departing staff downloading code, pricing files, or customer lists, or a competitor leveraging inside knowledge to raid accounts. The damage shows up as lost bids, compressed margins, and reputational hit if confidential material surfaces with clients. Evidence can be scattered across laptops, cloud apps, and personal phones, making quick proof—and containment—difficult. 

Seasoned Utah business lawyers run an incident response: revoke access, preserve logs, image devices, and issue holds while forensics maps who took what and when. They file precise TRO/preliminary-injunction papers, plead UTSA plus contract claims (NDA, invention-assignment), and set an ESI protocol to keep evidence admissible. Resolutions often include consent injunctions, certifications of deletion, limited audits, staged payments, and forward safeguards like role-based access, off-boarding checklists, and tight NDAs.

Tortious Interference with Contracts or Sales Pipelines

Issues arise when a rival targets active deals or key accounts using wrongful tactics—defamation, inducement to breach, or misuse of confidential information. Results include stalled closings, canceled purchase orders, and a pipeline that looks healthy in the CRM but collapses at signature. Utah law requires improper means, so vague complaints about “aggressive competition” won’t win. 

Corpo lawyers build a before/after record—contracts, competitor knowledge, the wrongful act, customer declarations, and revenue trails—to show causation and damages. They use tailored TROs to halt ongoing interference or, on defense, narrow overbroad restrictions and cut weak counts early. Settlements often pair time-boxed non-solicits with corrective statements and revenue-share bridges to restore the pipeline while policies and training are updated to keep future competition lawful.

Non-Competes, Non-Solicits & Employee Mobility

The core problems are overbroad covenants that chill lawful work or, on the flip side, departures that put trade secrets and customer goodwill at immediate risk. Disputes flare when roles, territories, or product lines don’t match the paper, or when devices leave with sensitive data. Ongoing solicitation during notice periods can drain teams and confuse clients. Utah business lawyers start with a risk read on reasonableness (time, scope, geography) and the legitimacy of interests at stake, then pair covenant claims with UTSA if data is moved. 

They compel arbitration when required and seek provisional Rule 65A relief to preserve accounts and information while the forum is set. Pragmatic outcomes include consent orders, device imaging, certifications of deletion, neutral references, tailored activity limits, and forward fixes—narrower non-solicits, cycle-appropriate durations, and garden-leave for sensitive roles.

Lehi, Utah Business Attorney for Any Corporate Disputes

Protect your contracts, customers, and data with Weber Law Group. Our Utah County business lawyers move quickly to secure injunctions, structure settlements, and keep operations on track. Call (801) 753-8084 or reach out to us to set a focused strategy that fits your goals.