Partnership & Shareholder Disputes

SERVICES

Disputes between business partners or shareholders can quickly threaten the stability, profitability, and future of a company. Whether caused by financial misconduct, management disagreements, or breaches of fiduciary duty, these conflicts require careful legal handling to protect ownership interests and preserve the business’s value. In New York, shareholders and partners have specific rights under the Business Corporation Law (BCL) and Partnership Law, including the right to fair treatment, access to company records, and protection from oppression or exclusion.

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    PARTNERSHIP DISPUTES
    Partnership conflicts often arise when one partner mismanages funds, withholds profits, or makes unilateral decisions that harm the business. Disputes can also occur when the partnership agreement fails to clearly define duties and compensation.

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    SHAREHOLDER DISPUTES
    Shareholder disputes in closely held or family corporations often involve disagreements over profit distributions, voting rights, or control of the business. Minority shareholders are particularly vulnerable to exclusion or oppression by majority owners.

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    BREACH OF FIDUCIARY DUTY & CORPORATE MISCONDUCT
    Partners, officers, and directors owe fiduciary duties of loyalty, care, and good faith to the business and its owners. Breaches of those duties — such as diverting opportunities, embezzling funds, or acting in bad faith — can justify removal, restitution, or corporate dissolution.

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    CORPORATE DISSOLUTION & BUYOUTS
    When business relationships become irreparable, dissolution or buyout may be the best resolution. Courts may dissolve a corporation when shareholder deadlock, fraud, or oppressive conduct prevents proper management.

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    PREVENTIVE COUNSELING & DISPUTE RESOLUTION
    Many business disputes can be avoided or resolved before litigation through proactive legal guidance. Properly drafted agreements and early intervention can preserve relationships and prevent costly outcomes.