Business partners owe each other certain fiduciary duties, including the duty of honesty, good faith, and fair dealing. This means that both individuals must avoid conflicts of interests and self dealing in their business transactions and that they can be held liable for failing to do so. Unfortunately, despite the existence of these responsibilities, many partners become involved in disputes and while many are able to resolve these issues through negotiation, some disputes cannot be so easily resolved, in which case the company may need to be dissolved. This can be a difficult and emotional process, so if you have questions about your own partnership agreement or are currently involved in a dispute with a business partner, it is critical to speak with an experienced contract lawyer who can help protect your interests.
Partnership Dispute Resolution
Partnership disputes can arise in a number of different situations, although most disputes involve one or more of the following issues:
- The misappropriation of partnership assets;
- Disagreeing on how to use partnership resources;
- The misappropriation of business opportunities;
- Fraudulent activity;
- Breach of contract;
- Interference with a contract;
- Having differing visions for the future of the company; and
- Disagreements regarding the division of assets upon dissolution.
There are a variety of ways to go about resolving these types of disputes. For instance, Florida law allows partners to request an accounting, which means that the partners must reach an equitable settlement. However, if both parties do not admit that they were part of a partnership, this option may not be available. Alternatively, partners involved in a dispute may be able to resolve conflicts through mediation or arbitration. An experienced contract lawyer can help ensure that the parties make the most of these opportunities by facilitating communication and compromise. Partnership disputes can be emotional, as the parties involved are often friends as well as business partners, so disagreements can quickly become contentious, making it especially important for those who are involved to speak with a contract attorney who understands partnership obligations, has the experience and resources to investigate all claims of fraud or dishonest dealings, can negotiate on their behalf, and can defend their interests in court.
The last course of action for those who are unable to resolve their differences is to dissolve their partnership. At Clearwater Business Law, we can help facilitate voluntary dissolution by ensuring that assets and liabilities are divided properly and that ongoing business projects are appropriately resolved. In the event that only one partner wants to terminate a partnership, a contract lawyer will be invaluable in the process of filing a civil lawsuit with the appropriate courts and then ensuring that the court’s orders are carried out.
Contact an Experienced Florida Contract Lawyer Today
Partnership disputes can take an extreme emotional and financial toll on the parties involved. To help mitigate this stress and ensure that your best interests are protected, please contact Clearwater Business Law at (727) 314-3867 today to discuss your case with a dedicated contract attorney who can advise you.