Resolving Contentious Issues Between Partners And Shareholder Disputes
In business, not all disputes are external, and, in many cases, the most difficult disputes are those that arise between members of corporations. Whether they involve disagreements between managing partners of businesses or disputes between shareholders and company boards, these are serious matters that require experienced commercial attorneys to find resolutions.
At Hardin Thompson PC, our lawyers have decades of experience assisting commercial clients in resolving these internal matters. Our attorneys are equipped with the knowledge and wisdom necessary to help guide you through your dispute, advocate for you and defend your interests in court, arbitration or mediation.
Common Reasons For Partnership Disputes
There are many reasons why partners may disagree over the operation of a business. The most common reason is trust issues. When one partner begins to distrust another, they are no longer aligned in their work for the business, and this can build friction that escalates into litigation. This breakdown in trust can be caused by one of the other common reasons for partnership disputes: money troubles.
When finances become an issue for a company, it can cause significant strains in the partnership relationship, leading to diverging goals and objectives. Differences between partners involving responsibilities, compensation or authority can also lay the groundwork for disputes.
Many of these issues can be foreclosed with an effective partnership agreement. These documents govern the relationship that partners have, their roles within the partnership, their rights and their responsibilities. With a comprehensive partnership agreement, you can attempt to minimize conflict and create processes for resolution so that the dispute has a minimal impact on the company and its performance.
You Need An Experienced Advocate In A Shareholder Dispute
Shareholders have a different relationship with their companies. They do not have a means of direct control for the corporation, and when their interests diverge with the direction of the corporation’s board, this can lead to litigation. The reasons why this can happen are very similar to those for a partnership, as financial issues or the direction of the company may cause the shareholder to object to its operation.
As with partners, shareholders are bound by the articles of incorporation for the business. This outlines their rights as shareholders and their avenues for dissent. Well-drafted articles of incorporation will give the corporation security in being able to manage shareholder disputes in an orderly manner while minimizing interruptions to the company’s performance.
Come And Speak With Our Team To Learn More
Whether you are a CEO dealing with dissenting shareholders or one of the managing partners of a small business who cannot come to an agreement with your partners, our lawyers can help you. Our experienced business law attorneys can assist you in finding a solution to your dispute.
If you would like to learn more about how they can help you in your specific situation, then schedule an appointment with one of our attorneys to discuss your case. You can call our office at 412-315-7195 or send us a message online with a short description of your situation.