Shareholder disputes and why you should deal with them early on
Shareholder disputes are draining, time-consuming, and disruptive to say the least. They can also restrain workability within the business and affect its reputation. It is important to recognise and deal with any company disputes early on to avoid the problems escalating.
Directors have a duty to control the Company pursuant to the Articles of Association. They have the right to make decisions of the Company, raise finance, and manage the Company. Generally, the board of directors must act as a majority in making decisions, and must act in good faith and with the interests of the company in mind at all times pursuant to the Companies Act 2006. A breach of such duties may result in a claim for damages by way of compensation.
Are you worried about a company dispute?
If you are involved in a company dispute, whether it is a shareholder or partnership matter, we are able to provide commercially and economically sensible and realistic advice on the remedies available to you with your business needs in mind, and we can pursue the appropriate action.
You’re entitled to a free call to discuss your shareholder dispute.
Speak to Kavita about your concerns, free of charge.
Shareholder disputes within companies can arise in many forms.
In some cases, a shareholder might feel like he/she is being treated as a minority. A minority shareholder may have rights to claim against the company, for example, for unfair prejudice.
Shareholder disputes within companies can arise in many forms. It might be a disagreement about the management or future of a company, or concern over the route to termination of business relations. Alternatively, there might be concern over business relationships between shareholders/directors, or poor performance.
Ideally, the anticipation of disputes will be provided for in the company’s articles of association or shareholder’s agreement. This can often provide insight on how the disputes are governed, and any method of resolution between the shareholders and directors such as mediation, or round table discussions.
In the event that efforts to discuss settlement are not fruitful, you may need to seek direction of the Court. You may feel aggrieved and no longer want to be a part of the company structure.
Why choose Edwards Duthie Shamash Shareholder Disputes Team?
We are mindful that businesses often do not want to engage in embroiled litigation and therefore we can advise you on alternative dispute resolutions such as mediation, arbitration or negotiation. If however, litigation is the desired remedy for you then we can advise and represent you in the most appropriate proceedings for your business.
Our solicitors are able to get to grips with any dispute no matter how small or how large and adapt their services to you as the client. Our team will confidently deal with your case from incept to conclusion, working with you every step of the way.
Dispute Resolution Clients of Edwards Duthie Shamash said:
I would like to thank Kavita Rana for all the help and support she has given me in achieving a favourable outcome of my case. She was pivotal in guiding me through the minefield which is civil litigation when dealing with my property dispute case. Kavita was professional, understanding and provided excellent advice throughout.
Client of Kavita Rana
I wish to thank Kavita, truly, for your expertise and kindness shown to me through this whole process, not forgetting your generosity. You fought well against an unforgiving foe, and it was decided in the end. Forever grateful.
Client of Kavita Rana
Excellent. Kavita provided clear, effective advice to myself and five neighbours over an issue with the freeholder of our building. As a direct result of her guidance we obtained the delayed management accounts, resolved the issue over a sinking fund, and identified a way to work successfully with the building freeholder going forwards. The end result is a building that is now in excellent condition, with up to date accounts, and we have a good working relationship with the freeholder. Kavita’s approach of firm, clear communication, and knowing how and when to negotiate was perfect. Many thanks.
Andy West, Client of Kavita Rana
You’re entitled to a free call to discuss your shareholder dispute.
Speak to Kavita about your concerns, free of charge.
If you’re involved in a company dispute, we provide sensible and realistic advice with your business needs in mind, and we can pursue the appropriate action.
