Legal Question in Business Law in Michigan

20 year agreement 50/50 partners split 3 1/2 years

Partner A began business, partner B has $$ and a small business that brings in maybe 5% of business. B nickle and dimes company with paid uniformes, books, and for awhile paid for employees to work out at gym. Small company 6 employees. B wants out, suddenly no reason. B told two of top clients (60 % of business) to look elseware for business. B is putting a squeeze on A by reducing paycheck says they don't have $$, and last 2 weeks no paycheck. A made decision to lay off and go back to when they started and put himself back on the floor to work. B offered A $50,000 now and $50,000. in two years with a non-compete which is all A knows and has worked for. A is mid 40's B is mid 30's. with telling top customers to look elseware for business, which is not for the good of the company, be a statement that could hurt him if the do split? What can happen in splits like this? yes an attorney has been contacted but just looking for more information.

Thank you


Asked on 9/25/05, 3:37 pm

1 Answer from Attorneys
Blake Lipman Law Office of Blake P. Lipman

Re: 20 year agreement 50/50 partners split 3 1/2 years

If a settlement cannot be worked out, you will probably need to litigate to dissolve business. If your "partner" made disparaging remarks about the business amd told customers to go elsewhere, that could be construed as a breach of his fiduciary duty to the company. For more info, please contact my office at (248)851-3171.

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Answered on 9/26/05, 11:25 am


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