If I am a minority a 49% owner in a corporation,.can I surrender my shares and officially walk away?

My partner 51% has decided to shut down the business and will not entertain me taking over. I disagree with almost everything he has done. The company in worth nothing and may have some debt.

Asked on July 2, 2014 under Business Law, California

Answers:

SJZ, Member, New York Bar / FreeAdvice Contributing Attorney

Answered 6 years ago | Contributor

You will remain an owner of the company until and unless someone buys the share from you; you give the shares to another person who accepts them (you can't make someone accept them); or the corporation is dissolved. You need to do one of these things to disentangle yourself from the corporation and from your partner's acts. If nobody will buy, etc. the shares from you and the 51% partner does not want to dissolve the company, you can, as a minority shareholder, bring a legal action to compel dissolution; you are advised to have an attorney help you.


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