If you are having an ongoing issue with your business partner and you attempted to discuss it, how did he react when you started raising concerns about the manner in which he was running the company? If he is like many entrenched majority owners who have let their power and authority go to their heads, his initial reaction was a threat. » Read More
Attorneys often use the phrase “business divorce” to describe when business partners can no longer get along and want to be legally separated from each other, or at least one of them does.
But what happens when, like divorcing parents arguing over child custody, no one can agree who should wind up with the company? » Read More
You likely came across this article if you Googled the term “shareholder dispute.” However, it is just as likely that you Googled the term “business divorce.” One business owner suing the other(s) to be bought out, or some other escape, is often rightly referred to as business divorce because it is analogous to a divorce among spouses in obvious ways. » Read More
When you started the company, both shareholders holding a fifty percent interest seemed like a good idea at the time. That way, everything was equal. Neither one of you answered to the other. Neither could be “bossed around” by your business partner. » Read More
I have previously written on this site about who gets “custody” of the company’s customers in a business divorce. Related to this topic, can employee loyalty become an issue in shareholder divorce litigation?
Many times, it is clear who will remain with the company in the event of shareholder dispute litigation. » Read More
An injunction is when a court orders someone to do something, or not to do something. These can be very difficult to obtain – in some circumstances – and are often not granted when money damages at the end of a lawsuit can make the aggrieved party whole. » Read More
When two new clients recently came in to have an Operating Agreement prepared for their newly created LLC, they indicated that they had read my website. Since I had experience in litigating shareholder disputes, they wanted to know how to make a “bulletproof” Operating Agreement, so that there would never be litigation if they disagreed over an issue. » Read More