Partnership/Shareholder Disputes

If a dispute arises between shareholders, the first port of call is usually to consider the Company’s Articles of Association. We can advise on your rights, and in appropriate cases advise on an application to Court under Section 994 of The Companies Act 2006 for an order by the court on the ground that the company’s affairs are being or have been conducted in a manner which is unfairly prejudicial to the interests of its shareholders.

Precisely what behaviour is “unfairly prejudicial” depends on the circumstances of each case, but in very general terms it may mean that minority shareholders can apply to the court if the majority shareholders run the Company in a manner that damages the minority shareholder’s position, which usually means the worth of their shareholding, for instance by misusing Company assets.

Examples of “unfairly prejudicial” conduct might be using company assets as their own, or paying remuneration which is far more than could be objectively justified. However the allegations must be specific, it is not enough to allege that a company is being “run poorly”.

We can also help if you require advice relating to a partnership or quasi partnership dispute.

For further advice and assistance please contact one of our Business Law Specialists using our contact page, calling us on 01245 216 888 or emailing [email protected].

CONTACT US

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Chelmsford Office
78 New London Road
Chelmsford
Essex
CM2 0PD
Tel: 01245 216888
Fax: 01245 216880

At Archers we aim to make our service as accessible as possible to all our clients and always give the best advice we can. Please feel free to contact us online, by phone or by post.

We aim to answer all enquiries as soon as possible but, if your matter requires urgent attention, we would encourage you to call us directly.

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