Shareholder Disputes: Resolving Business Disagreements
Over the course of a company’s life, partners and shareholders can run into a number of disagreements. While some of these disputes can be resolved without attorney assistance, there are many times when consulting a lawyer is essential. Speaking with an attorney at our Melbourne, FL law firm can help you avoid costly and time-consuming commercial litigation.
Let’s take a moment to consider some potential shareholder disputes that may arise and how our legal team can help you.
Shareholder Disputes That May Arise
Your shareholders help build your business, and your business help shareholders in turn, yet various kinds of legal disputes may arise. Some examples of shareholder disputes to be aware of include:
- Breach of contract
- Breach of fiduciary duty
- Corporate opportunity diversion
- How assets are diverted
- Inaccurate or misleading information about company valuation
- Questions or concerns over corporate waste
These disputes may arise among minority shareholders or majority shareholders, and can also involve partners in your business.
Drafting an Airtight Shareholder Agreement
One way to avoid disputes from arising is to have a carefully worded and airtight shareholder agreement. A proper shareholder agreement should outline your legal obligations and rights, without any ambiguities or contradictions. Creating such an agreement can be challenging without a legal expert present.
When your business is starting out, having a lawyer available to assist in creating a shareholder agreement can help provide your company with a strong foundation while also preventing future headaches should they arise.
Assistance with Shareholder Stock
Companies must adapt to change, and buying and selling of stock is sure to be among those changes. Sometimes shareholders will want out while new investors and interested parties would like to buy into your company. When any legal disputes arise during these kinds of transactions, an attorney can help consider the language of your shareholder agreement and what legal rights minority and majority shareholders may have regarding the sale of stock and buyouts.
Resolution of Disputes Should they Arise
When a shareholder dispute does arise, our primary goal will be to help ensure the issue can be resolved or mediated out of court. Litigation can take years and cost your company a lot of money in legal fees. Our goal will be to avoid the time and cost of the litigation process, saving your company money by negotiating a speedy end of these matters.
An attorney can come up with creative solutions to shareholder disputes, ones that are fair to all parties involved given then wording of the shareholder agreement as well as state and federal laws pertinent to the dispute in question.
Other Services for Businesses and Corporations
In addition to helping with shareholder disputes, our team of commercial litigation attorneys can help with other business matters, such as business contracts, state and local tax planning, liability insurance, employee benefits, and much more.
Working with one of our attorneys as soon as possible will help you anticipate potential challenges and expenses down the road and plan accordingly. Having this kind of insight into the future of your business from the outset can help you, your partners, and your shareholders thrive.
Speak with Our Team of Attorneys
If you would like more information about commercial litigation services and how we can help you and your business thrive and survive, be sure to contact our law firm today. We look forward to hearing from you and discussing these matters in much greater detail.