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Question: Business - Ohio

Asked on 8/18/2009
When Business partners disagree
3 equal business partners. However one believes she is the sole decision maker and has made decisions affecting the business in a negative way without the knowledge or approval from the other 2 partners. What recourse do they have? Business is in Ohio

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Answers (1):

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The answer depends on the type of business involved and whether the documents that created the business were well drafted.

If the business is an LLC (a common form of small business over the last few years), then the membership agreement should spell out the remedies and procedures for working through problems between the members of the LLC.

If the business is a Partnership, then the partnership agreement should set forth remedies and procedures regarding breakdowns between the partners.

If the business is a corporation, then the corporate by-laws and pre-incorporation agreement will set forth the procedures and remedies.

If such documents are not specific in what to do when there is a breakdown between members, partners, or shareholders, then Ohio law provides for several options, but they generally involve filing a lawsuit in court.

A prudent person in your position would contact an attorney in his or her local area to discuss this matter. A skilled and experienced attorney can assist you in understanding what course you and your business should take to stop the negative consequences of the third "partner." You may be able to locate such skilled local attorneys at attorneypages.com. Or you may wish to visit our website at www.jmoserlaw.com. Good Luck. 



  • Answered on 8/18/2009
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