Common Causes of Shareholder Disputes

A few issues that shareholder disputes can arise from include:

• Breach of Fiduciary Duty: Allegations that directors or officers have failed to act in the company’s best interests.
• Disagreements Over Company Direction: Conflicts about strategic decisions, investments or business expansion.
• Financial Disputes: Concerns about profit distribution, dividend policies or misuse of company assets.
• Minority Shareholder Rights: Instances where minority shareholders feel excluded from major decisions or treated unfairly.
• Exit Strategies: Disputes regarding the valuation and sale of shares when a shareholder wishes to leave the company.

Legal Options for Resolving Shareholder Disputes

Addressing shareholder disputes often requires a multi-faceted approach. A legal professional can help you determine which of following legal options are most advantageous in your specific situation.

• Negotiation and Mediation: In many cases, disputes can be resolved without litigation. We assist clients in negotiating terms that protect their interests while maintaining business relationships. Mediation offers a neutral forum where parties can collaborate to reach a fair agreement.
• Shareholder Agreements: A well-drafted shareholder agreement can preemptively address potential disputes. If you already have one, we can help enforce its terms. If not, we can draft agreements to clarify rights, responsibilities and dispute resolution processes.
• Litigation: When negotiations fail, litigation may be necessary to protect your rights. We represent clients in cases surrounding fiduciary duties, ownership, buyouts and more. Our team is fully prepared to advocate on your behalf in court to achieve a favorable outcome.
• Alternative Dispute Resolution (ADR): For those seeking to avoid the costs and time of litigation, ADR methods like arbitration can provide a binding resolution while maintaining confidentiality.
• Buyouts and Exit Strategies: We can assist in negotiating fair buyouts, ensuring that departing shareholders receive proper compensation without jeopardizing the company’s future.

Protecting Your Business and Your Rights

At Tempus Fugit Law, we work closely with clients to establish corporate governance policies, review operating agreements and ensure compliance with relevant laws. By addressing potential conflicts before they arise, we help clients safeguard their business interests.

In cases where disputes are unavoidable, our attorneys bring a deep understanding of business law to the table. We are committed to resolving conflicts efficiently while preserving your business relationships whenever possible.

Why Choose Tempus Fugit Law?

With extensive experience in shareholder disputes, we understand the delicate balance between protecting individual rights and ensuring the continued success of a business. We approach each case with:

• Personalized Strategies: Tailored solutions based on your unique circumstances and goals.
• Efficient Resolution: A focus on minimizing disruption to your business operations.
• Transparent Communication: Clear guidance and collaborative conversations every step of the way.

Shareholder disputes require swift and decisive action. Whether you are a majority or minority shareholder, Tempus Fugit Law is here to help you navigate the challenges and find the right solution. Call Tempus Fugit Law at (617) 752-2371, email team@tflawllc.com or contact us here on our website to get started with a complimentary consultation today.