Businesses with multiple principals or managers can eventually run into issues related to who has the most control over the company. These types of problems can occur whether the business in question is a partnership, limited liability company, or corporation. If there is a struggle for control in your business, there are high stakes with the potential to lose income, profits, or investments.
Corporate governance is a crucial principle used to prevent corporate control issues. This principle balances stakeholder’s interests by creating a framework that includes internal controls and a system of checks and balances. These rules can put regulations in place that can avoid fraud and abuse by managers. The attorneys at Kimball Anderson are knowledgeable about corporate governance. They can assist your company with these regulations before issues arise.
Without corporate governance regulations in place, corporate control issues often result in litigation. As a team, we have successfully litigated countless cases involving freeze-out/squeeze-out schemes, shareholder oppression, fair dealing, dividend withholding, breach of fiduciary duty, and all manner of disputes between owners and partners. Many cases are related to mergers and acquisitions, failure to pay dividends, or termination of agreements. In each of these situations, the corporate control team at Kimball Anderson is prepared to assist you.