California | Business Law
Legal Question
fiduciary duties, conflict of interest
Hi,
I've started a company with 3 other individuals. We are an S-Corp. 2 of the shareholders/officers are married and the other 2 are partners in another business (myself and one other partner). Our other business is a graphic design business and one of the things we design is greeting cards. The new business we started with our partners is an online greeting card company. They have known about our line of business and it was one of the reasons we got into business together. Now they are saying that because we design cards for other web sites we are breaching our fiduciary duties. We are arguing that we are not because they always knew that this is what we were doing and we are not competing with the new company the web site owners are competing, we are just a vendor on their sites. Who is right and any suggestions on how to resolve this?
Thanks.
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Read More Answered By: Gregg Gittler |
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