How To Resolve Business Shareholder Disputes

In Florida, we are currently in a season heavy on business disputes across all kinds of fields and business structures. Whether they are disputes between partners in a partnership, shareholders in a corporation, or members in an LLC, business disputes can be disruptive, expensive, and potentially destructive. Resolving them as quickly and as efficiently as possible should be of paramount importance to any business owner.

Cause For Alarm

The recent spike in business disputes is due in part to the pandemic. COVID forced a lot of entrepreneurs and business owners to enter into a new business quickly with PPP funding. Now, many of those quick partnerships have turned bad.

Sometimes business disputes simply start with a confrontation, and sometimes they are more drastic. Plenty of partners have shown up to work recently to find that the locks have been changed and they’ve been removed from the bank accounts. In Florida, anyone can remove you from the online business directory, changing your position or removing you entirely from being listed as working at your company. If you are in this situation, it is time to take action. 

Check the Rulebook

If your business is an LLC, the first step is to check the Operating Agreement. The same goes for a corporation with checking the by-laws. These should lay the groundwork for resolving disputes and what is and isn’t allowed at the business. If your LLC does not have an Operating Agreement, check the statutes that govern your business in the absence of personal rules. This step should be done with the help of an experienced attorney, to verify what actions are within your legal right to do. Most business disputes end up being resolved in court.

Take the First Step

If you are being wronged by a business dispute, it can be in your favor to initiate the legal action. It tends to look good to the court if you have taken the first step to initiate litigation. After all, who would file a lawsuit if they knew they were in the wrong? If you have been locked out of your business or moved upon without any warning, your bad partner could face an unlawful action charge for their behavior.

Ask For Help

If you are dealing with a business dispute, your first step should be contacting a business attorney. At Cueto Law Group P.L., we have experience dealing with all kinds of business disputes, from partners and shareholders to franchise managers and families. To get the help you need, contact Cueto Law Group P.L. today! From boardroom to courtroom, we’ve got you covered.