Discuss how legal liabilities might affect a bad-news message

What will be an ideal response?

Answer: Legal liabilities may result from some bad-news messages, for example, having to break or modify a contract. If you are unable to meet the terms of your original contract, but convey this news in a message that takes into account your customer's perspective, acknowledges the inconvenience the news will cause your customer, and offers some alternatives, you will stand a better chance of maintaining the customer's goodwill and business. For instance, instead of declaring you cannot meet a contractually agreed upon deadline, you might ask the customer for an extension, or even for a modification of which deliverables will be submitted by the original date. This gives the customer a sense that you value his business and puts him in the position of being able to grant you a favor, instead of being in the powerless position of having bad news imposed on him. This would likely mean that you will be able to work the situation out amicably instead of dealing with litigation. Whether or not you include an apology may also have some bearing on the legal situation. Some people feel that it is dangerous to apologize, as doing so puts a company in a defensive position that could imply legal liability. Yet some research has shown that a well-timed, strategically worded apology can improve a company's public image, facilitate forgiveness, and even decrease damages if a case goes to court.