We hope your business journey is a happy one, but we know from experience that this isn’t always the case.
When company disputes arise between owners, directors, or shareholders, the team of commercial solicitors at CMP Legal are well-equipped to support and advise you throughout the process of reaching an appropriate resolution. We take a practical and commercial approach to these types of disputes, as we understand that engaging in a long-drawn-out legal case isn’t always viable or desirable.
The key in business disputes, as with any dispute, is to seek legal advice as soon as possible. If good relations can be restored and an agreed or negotiated resolution can be reached this can save the parties to the disputes from considerable stress, in both a personal and business perspective. It can also avoid them incurring considerable legal costs.
Legal advice for a range of company disputes
When a dispute arises between the individuals who own a company or business, this can impact severely on everyone connected with the business and even the business itself. Disputes can arise between owners for all manner of reasons including financial management, personal disagreements, breaches of written agreements (e.g. shareholder agreements or partnership agreements) and breaches of statutory or fiduciary duties.
Shareholder Disputes
If it is necessary to pursue court action to resolve a shareholder dispute, then the potential options which are available could be:
- Unfair prejudice petition – this will be appropriate in situations where the company’s affairs are being conducted in a way that is unfairly prejudicial to some or all of the members (owners) of the company. The usual outcome in these cases is that the owner who has suffered the unfair prejudice being bought out by the other owners.
- Derivative actions – this would be appropriate where a wrong has been committed but the managers of the company (the directors) are unwilling to pursue it themselves. The members can obtain permission to pursue court action in the company’s name against the perpetrators.
- Just and equitable winding up of the company – this needs no further explanation as to what this means, but it isn’t an action which should be undertaken without seeking legal advice.
- Legal actions against directors for breaches of fiduciary and statutory duties.
Partnership Disputes
The team at CMP Legal have considerable experience in dealing with partnership disputes and advising the partners involved, including those in the healthcare sector, regarding said disputes. We can advise remaining or departing partners regarding breaches of written agreements and/or statutory obligations and can advise regarding court proceedings for expulsion, breach of fiduciary duty, winding up, dissolution and actions for final accounts.
If you’re facing any of the company disputes outlined above, consult CMP Legal. We’ll be happy to discuss the situation with you and provide expert legal advice based on the details of your dispute. Please contact us via the form below to discuss how we can assist you.