Legal disputes and intellectual property (IP) litigation risks pose significant challenges for businesses. Legal disputes may arise from contract breaches, employment issues, or regulatory non-compliance, leading to costly settlements or reputational damage. IP litigation risks, particularly in patent, trademark, or copyright infringement cases, can result in substantial financial penalties, injunctions, or loss of market share. Companies must proactively manage these risks through robust contracts, compliance programs, and IP audits. Failure to secure patents or trademarks early can invite disputes, while vague licensing agreements may trigger conflicts. Litigation can drain resources and distract from core operations, especially for startups. Engaging experienced legal counsel and conducting due diligence can mitigate risks. Monitoring competitors’ IP activities and maintaining clear documentation are critical.