Vero Beach Partnership Dispute Attorney
New partnerships are always heralded by the positive aspirations for the growth of the business, and the continued beneficial and supportive associations partners anticipate with one another. While disagreements are expected from time to time, no one thinks about the possibility of a major breakdown in communication and the inability to work together, which impacts the further existence of the partnership. When these serious conflicts arise, legal intervention may be necessary, and our Vero Beach partnership dispute attorneys have decades of experience representing clients in partnership disputes. We strive to create creative business solutions to these disagreements, but will pursue legal action if necessary to remedy a more severe issue.
Frequent Causes of Partnership Disputes
Partnership disputes can originate from any number of sources, but some of the more common issues are breaches of fiduciary duty, failing to satisfy contractual obligations in a partnership agreement or operating agreement, or secret dealings by an owner outside the partnership’s best interests. A key aspect of partnerships is the obligation to adhere to the fiduciary duties of loyalty and due care, and breaches of these duties can severely damage a company’s reputation, growth, profits, and continued existence. Further, any negative financial impact to the business directly affects the financial wellbeing of the partners because they directly absorb all profits and losses. Thus, swift and effective action to mitigate any damage is essential to minimizing further losses. Common sources of partnership disputes include:
- Breach of contract;
- Theft of company property (embezzlement or conversion);
- Theft of trade secrets or other confidential business information;
- Misappropriation of assets;
- Real estate disputes; and
- A desire to dissolve the partnership.
Because of the personal and emotional complexity of partnerships, most are friends as well as business associates, and, as such, litigation may not be the best option. However, these situations also tend to become quickly heated, and at Markarian & Hayes we are prepared to step in and help all sides navigate these challenging circumstances before the company is irreparably harmed. Finding solutions outside of court is usually the better route, both to preserve the possibility of continuing the partnership, and to save time and money. Some of the services we provide to address partnership disputes include:
- Educating clients on their partnership and contractual obligations;
- Investigating all claims of a partnership dispute, such as breach of fiduciary duties, fraud, or misappropriation of business opportunities;
- Representing clients in negotiations; and
- Pursuing litigation if alternative resolution options fail or are inappropriate for resolution.
Negotiation and mediation are generally more productive options for handling these matters, as they are less likely to incite the high-conflict and emotion that often occur with litigation. If keeping the partnership is not an option, another choice, that still avoids litigation, is a voluntary dissolution of the business. This requires that all partners are in agreement and is the easiest way to sever ties, but still involves numerous and complex legal issues (asset division, payment of debts, etc.). If everyone is not in agreement about dissolution, involuntary dissolution may also be sought by filing a legal action in court. The judge will decide whether to dissolve the business and the structure of the dissolution settlement.
Of course, knowing how to move forward once a dispute arises is not always obvious or easy, but our Vero Beach partnership dispute attorneys are here to guide you toward the best option for your situation.
Contact Our Vero Beach Partnership Dispute Attorneys
Partnerships can be tricky because of the personal nature of this relationship, and knowing when or if to bring in legal advice is often difficult. But, given the personal and professional stakes at risk, being proactive is key to protecting your interests. The attorneys at Markarian & Hayes strive to obtain the best possible outcome, while also seeking a quick resolution to your dispute, so you can focus on moving forward. If you have questions about your partnership, contact our Vero Beach partnership dispute attorneys today for a free consultation.