Shareholder & Partnership Disputes

Shareholder and partnership disputes can be damaging to a business if not resolved quickly. Bringing in an expert in partnership and shareholder dispute resolution early on is highly recommended if lengthy legal action is to be avoided.

Tayntons’ partnership and shareholder dispute solicitors in Gloucester have a high level of experience in settling disagreements. We always aim to deal with matters without litigation wherever possible, and we can represent you in alternative means of dispute resolution, including negotiation, mediation and arbitration.

Our partnership and shareholder dispute resolution expertise include:

  • Breach of partnership agreement
  • Breach of shareholder agreement
  • Termination of a partnership
  • Share buy outs and buy backs
  • Splitting a business and company restructuring
  • Resolving shareholder disputes and partnership disputes without involving the court
  • Court action, to include shareholder litigation

We represent clients in all types of business partnership disputes and shareholder disagreements, working to enforce rights and ensure that the correct legal process is followed. Our tactical understanding of shareholder and partnership law means we can provide you with the most practical and effective advice for resolving your issue.

We offer an initial fixed fee consultation for £150 plus VAT (£180) for corporate clients so we can understand your needs, explain how we can help and discuss the likely costs involved.

You can speak to one of our Gloucester partnership and shareholder disputes solicitors by calling 0800 158 4147, or you can request a call back.

How our shareholder and partnership disputes solicitors in Gloucester can help you

Advice for businesses and partnerships in disputes

We will go through your options with you and give you our advice as to the best course of action, focusing on the outcome you want to achieve.

We will discuss the various ways of achieving the right result, including  an alternative dispute resolution process. This is often the best way to resolve difficult matters, being faster and more cost-effective than litigation.

Representing businesses and partnerships in disputes

We will provide expert representation for you and your business, whether this is in negotiations, mediation,  or in court. We are known for the close working relationship we have with our clients and the good understanding we gain of their commercial objectives, which helps us ensure we achieve the right outcome.

Our shareholder and partnership dispute solicitors’ fees

We will make sure that our costs are clearly set out from the start, with a realistic estimate of the likely charges that are both transparent and competitive.

For more information about our commercial dispute resolution fees, please contact us.

Shareholder and partnership disputes FAQs

What happens if shareholders disagree?

If shareholders disagree and no longer feel able to continue with the company, there are a number of options available.

Buy back of shares – the company could buy back the shares of the shareholder or shareholders in question if the company has the funds for this. A share valuation would need to be carried out, and, whilst ordinarily, 50% of the shareholdings can authorise the transaction, it is frequently a requirement that 75% of shareholdings may need to approve the buy back.

Deferred payment – if the company is not able to buy back the shares, payment could be deferred. This requires a carefully structured agreement dealing with issues such as the schedule of payments to be made, interest rates, penalties and security for the shareholder.

Restructuring the business or varying the shareholder’s rights – the existing agreements can be changed by negotiation, and the business split or the rights that attach to certain shares varied.

What happens if business partners disagree?

It is possible to have a partnership without an agreement being in place. This is not advisable because if the partners disagree, it makes matters more complicated to resolve as there is no fixed procedure in place.

The partnership agreement will govern how partners should behave and should also include provisions for dispute resolution. This is the first document that a partnership dispute solicitor will look at in determining how to approach a disagreement.

As well as taking into account what is permitted in the partnership agreement, our team will take a pragmatic look at the situation and what you can realistically hope to achieve. Often, the best course of action is to look for a quick way to resolve matters so that you can focus your energies on building your business and put the difficulties behind you.

This could involve a partnership being dissolved or one or more partners leaving. We can advise you on the best way to achieve a new balance and ensure that you have a robust agreement in place for the future.

Can shareholders remove a director?

Shareholders can remove a director, provided the correct process is followed. The company’s articles of association and/or shareholder agreement may include details of when and how a director can be removed. Failing this, the Companies Act 2006 allows the removal of a director by the passing of an ordinary resolution. The set procedure for making this type of resolution should be adhered to.

Can shareholders take directors to court?

If directors have breached their duties to the company, shareholders can take the directors to court, but only in the name of the company. The action must be made in good faith and be in the best interests of the company. Any damages payable in respect of losses would be made to the company and not to the shareholders.

Can you force a shareholder to sell their shares?

Shareholders cannot generally be forced to sell their shares, although the articles of association or shareholders agreement may include provisions to force a shareholder to sell shares on departing the company or drag along provisions requiring minority shareholders to sell their shares along with the majority shareholders if a company buyout takes place.

If you wish to buy out a shareholder, the best option may be to negotiate with them to try and agree on a sale. If they are not agreeable, then there may be other ways to deal with the situation, such as stopping dividend payments or winding up the company and creating a new one, provided enough shareholders vote in favour.

Why choose Tayntons as your partnership and shareholder dispute solicitors?

Tayntons’ partnership and company solicitors represent clients across a range of disputes, working to resolve them in the most efficient way possible so that business as normal can resume.

We are experienced in challenging and complex disagreements and are known both for our legal expertise and the depth of our commercial understanding.

Our corporate and commercial team are open, approachable and responsive and will work closely with you throughout.

For more information about our services, see commercial dispute resolution lawyers.

Get in touch with our shareholder and partnership disputes solicitors in Gloucester

If you need to speak to a solicitor with expertise in shareholder and partnership disputes in Gloucester, please contact us today by calling 0800 158 4147, or you can request a call back.

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    • I must say I do appreciate the personal touch that Jaron showed to explain the various situations. Jaron was clearly very knowledgeable and efficient about the procedures required. – Alan... Read more

To contact us please call 0800 158 4147 or 03330 145451 or email

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