Do People Involved in Partnership Disputes Need to Retain an Attorney?
Partnerships are one of the most common business formations utilized in Florida. A partnership exists when two or more individuals cooperate to conduct business for profit. While partnerships are relatively easy to form, they have the inherent drawback of making all partners personally liable for all debts incurred by the business. In fact, if one partner engages in business activity that creates legal liability, another partner can be held personally liable, even if he or she was unaware of the existence of the agreement or conduct that created the liability.
As a result, partnership disputes have the potential to create substantial legal liability. For this reason, anyone involved in a dispute with a partner or partners should contact an experienced business litigation lawyer as soon as possible.
Common Types of Partnership Disputes
When two or more people work together closely, as is often required in a partnership, disputes are bound to arise. When they are unresolvable through informal means, litigation may become necessary.
Partnership disputes can arise in a variety of contexts. Some of the most common include the following:
| · Dissolution of the partnership
· Embezzlement · Breach of fiduciary duty · Misappropriation of partnership assets · Theft |
· Management disputes
· Profit sharing disputes · Negligent management · Trade secret misappropriation · Self-dealing |
Because these kinds of disputes often involve complex legal issues as well as personal disagreements, it is highly advisable to attempt to resolve them through the representation of an experienced lawyer. There are many ways that an attorney familiar with partnership disputes may be able to be of assistance. Some of the most common include the following:
- Attempt to resolve your dispute through informal means – The vast majority partnership disputes are resolved through informal means. An attorney can help by representing your interests with your partners and negotiating a mutually agreeable resolution in a way that does not involve personal issues that may have arisen.
- File a lawsuit on your behalf – In many instances, a partnership dispute cannot be resolved without court intervention. When this occurs, it is extremely important for the parties to a partnership dispute to have legal representation familiar with the procedural and substantive law that applies to your case.
- Draft a partnership agreement that avoids future conflict – Many partnership disputes are simply the result of a basic misunderstanding between the parties involved. When this is the case, an attorney can often help resolve the initial issue and draft a partnership agreement that helps the parties to the agreement avoid conflict in the future.
Contact A West Palm Beach Business Litigation Attorney Today To Schedule A Consultation
People who are involved in an active partnership dispute or anticipate that one may arise should retain an attorney as soon as possible. These kinds of disputes have the potential to have a significantly adverse effect on a business and could result in significant liability for the individuals involved. The business litigation lawyers of Pike & Lustig, LLP are committed to providing high-quality legal counsel and advice to businesses of all sizes. To schedule a consultation with one of our attorneys, call our office today at 561-291-8298.
