Disputes among the owners of closely held businesses are extremely common. Whether a company is organized as a partnership, corporation, or limited liability company (LLC), conflicts about how the business should be run can turn into intractable disagreements that can ruin a successful company. These issues can often be exacerbated by emotional factors when shareholders or partners are also family members or longtime friends who work closely together.
In the event disagreements cannot be resolved amicably, litigation may be the solution to a wide variety of shareholder or ownership disputes, including:
- Shareholder, partnership, and LLC member disputes
- Breach of shareholder/partnership agreements
- Breach of fiduciary duty by corporate boards or officers
- Minority shareholder oppression
- Officer or director misconduct
- Trademark and intellectual property disputes
- Dissolution of business
Lawsuits can also be brought on behalf of shareholders of publicly traded companies. A securities fraud class action is a lawsuit filed by investors who bought or sold a company’s stock and suffered economic injury as a result of violations of the securities laws, such as misleading statements or omissions by the corporate officers. Class action lawsuits are particularly effective when the individual losses are relatively small, making it inefficient for individuals to file their own lawsuits.
If you are involved in a shareholder dispute, please contact DBJ at 1-800-875-5972 for a free consultation. Whether your dispute involves a closely held business or a publicly traded company, your rights deserve to be protected.