Shareholder vs. Contract Disputes in Arizona Business
Running a business can be a highly profitable and rewarding venture, but it can also be a risky one. Not only do you face the prospect of failing to get the sales you need to stay afloat, but you also run the risk of being found liable for mistakes, accidents, or breaches of contract. Your shareholders may bring forth complaints, or your customers or partners may sue you for failing to uphold the terms of a contract.
It’s important that you work with an experienced business attorney near Scottsdale whenever issues such as these arise so you can minimize your liability and protect your business. A good Tempe business attorney can also give you advice on changes you can make to protect against future liability.
Shareholder disputes can arise with what you would typically think of as a shareholder – someone you don’t know who has purchased stock in your company – as well as with your partner. After all, your partner owns part of your company. So if your partner feels you have not correctly apportioned profits, or that you are making decisions that jeopardize the company, your partner can sue you.
Because the law is complex, there are many reasons why a shareholder or group of shareholders might want to sue you. It’s important that you review these issues (and potential issues) carefully with your business attorney in Gilbert to understand both your rights and your responsibilities. Your attorney can then devise the best legal strategy to protect your interests, both now and in the future. A finding of liability now could not only put you on the line for damages in a current case but could also set you up for future liability that you have not anticipated.
When there is an undisputed written contract in place, contract disputes can be a little more clear-cut than shareholder disputes that do not involve a shareholder agreement or operating agreement. But any of these disputes require the help of a dedicated business attorney serving Phoenix to interpret the finer points of the law and to defend your interests. Though appropriate contracts typically stipulate clear terms about sales and services, they can be quite complex, and it requires legal experts to sort out the finer points of the law.
As a business owner, you might find yourself in situations in which you need to sue someone else over a breach of contract or in which you are being sued over a supposed breach of contract. Your Breach of Contract Litigation attorney can help you understand your rights under the law and prepare a strong case if you are suing a partner, a vendor, or someone else over a breach of contract, including for failing to deliver products or services, for providing a lower quality than was promised, and more. Your Scottsdale business attorney can help you understand the appropriate amount for damages, and can put together the evidence and testimony needed to create a strong case.
If you are defending yourself, your attorney will work just as hard putting together the evidence and testimony to show that you were not in breach of contract and that you acted appropriately.
Hiring a Business Attorney
The best thing you can do to protect yourself against shareholder and contract disputes is to hire an experienced business attorney in Phoenix who has handled cases involving these types of disputes. You will want an attorney who is careful, reasonably priced, and honest. You need to hire a business law attorney when you are creating your business or drafting contracts, as well as when you need to defend yourself against disputes. Working with an attorney at the outset can help you create strong agreements that minimize your liability. And, of course, working with a Scottsdale litigation attorney during an active dispute can minimize your liability, whether you are the one bringing the action or the one defending against it.
Denton Peterson is a top business law firm in Arizona, and our experienced and dedicated attorneys are ready to help you with your shareholder or contract dispute. Our Gilbert business attorneys can help you create the strong agreements and contracts you need to protect your business, or they can defend you in a lawsuit. Our firm also helps businesses to incorporate, writes and negotiates partnership agreements, drafts and negotiates contracts, analyzes franchises, and much more. Our attorneys will work to strengthen your business and minimize your legal liability. Contact our firm in Arizona today to learn more about what we offer or to schedule a consultation (strategy session) with a business attorney about your specific needs.