| Most businesses are organized as corporations, partnerships or limited partnerships. The form that is utilized should be chosen with care, since there can be legal and tax advantages and disadvantages to each form of organization.
Each form of business organization is governed by different statutory standards. For example, the New Jersey Legislature has enacted a separate law for corporations, for partnerships and for limited partnerships.
The procedure to register one of these business organizations with the State is easy. Usually it can be done in a few days online. An applicant submits several alternative names to the registry to check availability. If an appropriate name is available, the filing fee is paid and the paperwork to confirm the formation is supplied.
However, we find that many times businessmen overlook an important step – they fail to execute a proper plan for management.
In a corporate setting, the management plan is called a shareholders agreement; general partnerships use partnership agreements and limited partnerships use operating agreements.
Many times, this error does not surface until there is a dispute amongst the owners. It may involve compensation, capital expenditures, borrowing, retirement, disability. Sometimes one owner wants to sell or mortgage his interests to a stranger unacceptable to other owners.
Sometimes the business interests of one owner can be seriously affected even though he has no dispute with his fellow owners. For example, in a divorce, the spouse of an owner may ask a court to sell his shares to fund an equitable distribution of marital assets.
In the absence of a proper agreement, business owners are at the mercy of judicial proceedings. They may suffer the appointment of a receiver or the dissolution of the business.
Our Law Office has more than 40 years experience in assisting business persons. We have helped avoid shareholder disputes with shareholder agreements. We have helped avoid partnership disputes with partnership agreements and Operating Agreements.
As business dispute lawyers, we have sought out sensible, practical results to assist our clients.
And when litigation is necessary, we provide a distinct advantage to our clients because we know the pertinent statutes and court decisions well.
By way of example:
- We defended an owner of several companies managing hotels and negotiated an appraisal procedure which provided lucrative payment for his interests. We defended the procedure on appeal in the federal courts.
- We successfully defended a minority owner accused of mismanaging a corporation; this led the plaintiffs to relinquish their interests to our client.
- We enforced provisions in an Operating Agreement leading the defendant to relinquish his interests to our client.
For more than 40 years, our Law Office has represented individual and business clients in complex lawsuits and in referrals from other lawyers related to:
- Shareholder Disputes
- Corporate Organizations
- Partnerships
- Partnership Disputes
- Limited Liability Companies
- Disputes Among Limited Partners
- Operating Agreements
- Partnership Agreements
- Limited Partnership Agreements
- Shareholder Agreements
- Business Litigation
- Second Opinions
We are proud of our proven track record. There is no charge to discuss your legal needs or to schedule an initial consultation or case evaluation. Please contact our Law Office today. |
