Whether you are involved in a business partnership, limited partnership, corporation, or limited liability company to operate your business, a business divorce occurs when there is serious disagreement between owners about the way to run the business. When a disagreement is so fundamental that the parties need to split up, a business divorce becomes necessary.
Business divorces can take many forms, including:
- partnership dissolution and accounting
- corporate dissolution and shareholder derivative actions
- limited liability company lawsuits
In each situation, owners are unable to agree on terms of separation, resolving the disagreement, or mutual buy/sell terms. Negotiation is an option, as is litigation.
The proper resolution will depend on the personalities of the individuals involved and the specific circumstances of the business. The process varies, based on the number of owners, the size of the business, and the legal entity used. The more complex the structure, the more difficult it may be to navigate and untangle the disputing parties and their situation.
Like marital divorce, every Florida business divorce is unique and requires an experienced business law specialist to help the owners through their transition. With the help of an experienced mediator, mediation of business divorce cases offers the parties the opportunity to negotiate a creative resolution which is usually better than the zero sum alternative offered by a judicial resolution.
Francis Carter has successfully mediated numerous business divorce cases and helped businesses with their dissolution process. He can help your business, too, as a mediator or as a settlement counselor to help the principals find an amicable, consensual resolution. Contact him today at 305-776-9143 or at [email protected] to schedule a mediation or a consultation.