Why seek legal advice about a dispute among business partners?
Adrianna Inneo Feb 21, 2023
This article was originally published by The Hamilton Spectator.
Q: Why should I seek legal advice about a dispute with my business partner?
A: Unfortunately, disputes between business partners are common. These disputes can be disruptive and, when not resolved quickly and effectively, may have long term negative effects on the business.
Whether operating as a partnership or a corporation, when disputes arise, seeking advice and assistance from a lawyer regarding the following is highly recommended:
- Interpreting and implementing agreements that may govern the dispute, such as a shareholder or partnership agreement;
- Navigating dispute resolution options, including negotiation, mediation, or arbitration;
- Should the disputing parties choose to go separate ways, ensuring that any purchase and sale transaction is properly documented, such as in a corporation’s minute book;
- Preparing or reviewing ancillary agreements, such as non-competition and non-solicitation agreements;
- Ensuring that any liabilities are addressed and accounted for;
- Working with other professional advisors, such as accountants and lending advisors, to ensure that the financial elements of any transaction are addressed and documented; and
- Suggesting preventative strategies to assist in avoiding future disputes.
NOT LEGAL ADVICE. Information made available on this website in any form is for information purposes only. It is not, and should not be taken as, legal advice. You should not rely on, or take or fail to take any action based upon this information. Never disregard professional legal advice or delay in seeking legal advice because of something you have read on this website. Ross & McBride professionals will be pleased to discuss resolutions to specific legal concerns you may have.