Two parnters in a corperation are negotiating a buy out. One partner took money out of the corperation to retain an attorney against the other partner. What code of ethics does this violate?
Asked on 12/24/10, 6:24 am
2 Answers from Attorneys
Michael Markowitz
Michael A. Markowitz, PC
None. However, the partner that removed the money will have to account for the funds and credit the other partner.
Mike.
Answered on 12/29/10, 7:32 am
I concur with my colleague that likely no ethical code has been violated, however there could be criminal and/or civil issues involving misappropriation of corporate funds for personal use. One thing is clear, though, if your 'partner' hired an attorney, so should you.
Feel free to contact me directly with any further questions.
Roman R. Fichman, Esq.
www.TheLegalist.com │ @TheLegalist
email: Info (at) TheLegalist (dot) com
Disclaimer: This posting has been written for educational purposes only and was not meant to be legal advice and should not be construed as legal advice. You should always consult an attorney admitted to practice in your jurisdiction for specific advice.
Answered on 12/29/10, 10:51 am
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