While majority interests in a company have a greater voting power and authority in decision-making, it is critical that the rights of the minority shareholders are not violated or suppressed and that these stakeholders are not blocked from having any voice in decisions. By preventing the minority shareholder from providing input into decisions, the majority can make business decisions that are to the detriment of the minority without opposition.
On the other hand, disgruntled minority shareholders can bring claims of oppression that may be unfounded, but are nonetheless detrimental to the company's reputation and how potential investors view the health of the company.
Strategies For Resolving Shareholder Disputes And Preventing Minority Shareholder Oppression
Chenoweth Law Group, P.C., represents both minority and majority shareholders in minority shareholder disputes. Oppression and squeeze-out's can range widely from persistent unfairness and unreasonable expectations to physically blocking the minority shareholder from the premises. Our firm produces solutions to all forms of minority shareholder oppression matters, including:
- Enforcement of shareholder rights agreements
- Dilution of ownership
- Usurpation of controlling shareholders
- Forced sale of stock
- Unfavorable dividend policies, including failure to pay dividends
- Cease and desist letters
- Breach of fiduciary duty claims
- Claims of withholding information and preventing inspection of company information
- Negotiation of buy-sell agreements
- Claims of fraud and misrepresentation
We understand the importance of resolving these disputes as quickly as possible for the good of the company and to avoid diverting valuable resources to shareholder disputes.
Our firm is experienced in delivering efficient resolutions to these conflicts and enforcing the rights of our clients through strong negotiation. Should negotiation fail, we are prepared to take the matter to litigation to ensure our clients' interests are protected.
For more information, call our law offices today at 503-446-6261.