Legal Question in Business Law in Arizona

Business partner trying to cheat me.

My business partner has sold our jointly owned business without my consent. I was a 50% investor but was given 18% share in the corporation (my poor credit did not allow getting a loan).

I had been asking him for information in the last year and he would not give me any insight into accounts or financial statements or the day-day activities of the business.

I know he has sold the business to one of his friends. He tells me that the business is sold and doesnt tell me who he sold to.

He has likely made a closed-doors or inside partnership agreement with his friend (who is the new owner per the buying entities paperwork). What are my options to keep him from robbing me of my share in the property.

If he had offered me I would have bought the property or even got it sold at a higher price than he claims to have sold it for.

What are my rights?

Asked on 6/04/08, 4:18 pm

1 Answer from Attorneys

James Jenkins Jenkins Law Center PLC

Re: Business partner trying to cheat me.

You can file a suit requesting an accounting of the partnership, dissolution and settlement of accounts, plus perhaps breach of fiduciary duty for the insider sale. Much depends upon your written partnership agreement, which we cannot see here.

See an attorney, present all facts and documents, and protect your rights.

Good luck.

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Answered on 6/05/08, 2:19 am

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