Legal Question in Business Law in California

drug use

How can you have one owner of a two owner company removed due to drug use at the work place?


Asked on 3/25/09, 11:41 pm

3 Answers from Attorneys

George Moschopoulos The Law Office of George Moschopoulos

Re: drug use

It depends on several things. Is the company a partnership or a separate entity, such as an LLC or a corporation? Is there a partnership or operating agreement in place? What kind of assets does the business have?

Regardless of what type of company or what type of agreement is in effect, if you are successful in removing him or her from the business, the business will likely be responsible for compensating the removed individual for his or her equity.

Contact my office directly if serious about pursuing this legally.

Best of Luck!

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Answered on 3/26/09, 12:19 am
Adam Telanoff Telanoff & Telanoff

Re: drug use

If you have not created an entity, like a corporation or LLC, then it is easy. Just end the relationship.

The hard part will be how to divide up the assets, and convincing the other person that they are no longer welcome.

You should also file a notice with the Secretary of State that your general partnership (if that is what it is) is dissolved -- otherwise you could find yourself on the hook for debts incurred by your partner.

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Answered on 3/26/09, 1:14 pm
Terry A. Nelson Nelson & Lawless

Re: drug use

He could be fired from his 'employment', not ownership. Get an attorney. You've got legal problems.

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Answered on 3/26/09, 1:19 pm


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