In many cases, it takes more than one person to get a business started. Even if the business is managed by a single person, financiers and other silent partners still have a stake. At start-up, it may seem that all the involved parties share a common vision for the future of the business. But this can change quickly as the business grows and adapts, giving rise to a business disagreement or partnership dispute in Chicago that can quickly be the undoing of your business. With more than 25 years of experience in business law, the Chicago business dispute lawyers of the Clinton Law Firm understand that dealing with the issues early is essential to preserving the success of a business.
The term Business Disputes is a synonym for other terms in this website, such as Commercial Litigation. Our Commercial Litigation page is located here.
A business dispute can take many forms. There are several major areas of disputes:
- Breach of Contract. See our breach of contract webpage. A breach of contract dispute can involve a simple payment dispute, a breach of contract (you did your job but the adversary did not pay up on time) or possibly a dispute under the Uniform Commercial Code.
- Business Disputes also often involve disputes between owners of an entity. The most common dispute we see is the “We don’t have any documents” dispute. You formed an entity with a partner or partners and you went into business. You thought that there was no reason to write up the basic terms of how the entity would operate and how profits would be divided. You reassured yourself – “It is simple stuff – we will be able to agree on how to distribute profits or how to terminate a partner.” However, at some point you realize that there is a serious problem with one of the other owners of the business, such as (a) poor performance; (b) theft, (c) waste of assets or (d) bad judgment. Then it dawns on you that you can no longer be a partner with this person and that you need to resolve this problem quickly and efficiently.
We have experience dealing with the “No Documents” situation and have handled numerous lawsuits involving that set of problems.
What can we do to resolve the “No Documents” dispute. First, much will depend on the type of entity you have chosen. Each entity type, corporation, LLC or partnership is formed (we will assume) under Illinois law and there is a statute or caselaw that sets out some basic rules for how the entity will be governed. Because the rules governing LLCs and corporations are quite different from the rules governing partnerships, you need to contact an experienced lawyer to resolve the dispute.
Second, in the vast majority of cases, we will attempt to settle the dispute informally. An out-of-court settlement is much better for most owners of a business bercause it keeps their dispute private. In some instances, we have hired neutral mediators to assist us in resolving disputes. The mediator is a lawyer or retired judge who has no ties to either party and, usually, both parties bear the costs of mediation equally.
Third if mediation fails, the only alternative may be litigation with your business partner. We have experience in handling (a) partnership disputes; (b) LLC member disputes Or (c) shareholder disputes.
The vast majority of business disputes are going to be resolved by settlement because of the cost of litigation.
If you are fortunate enough to have documented your business relationship, you may have a dispute but the basic framework of how the dispute is to be resovled may be set forth in the documents. We have represented shareholders, LLC members and partners in resolving business disputes. Please call us so we can discuss your matter and determine if we can help you.Why Chicago Small Business Disputes Lawyers are Important
Chicago small business disputes are rarely straightforward. Many small businesses have vague or incomplete formative documents that do not address all the issues that may arise in the course of business. When ambiguities become issues, sorting out the situation may require an experienced Chicago business litigation attorney.
Small business disputes come in a variety of forms, including disputes over the rights and duties of stakeholders, concerns over whether stakeholders’ outside dealings violate their fiduciary duty to the company, or disagreements over the direction and future of the company. If not promptly addressed, such disputes can destroy the business.
Our Chicago business disputes attorneys understand that litigation should be a last resort for resolving conflicts. But our experience has also taught us that disputes between business partners can sometimes become intractable, making litigation the only method that can preserve our clients’ businesses or enable them to make a clean break. In these cases, a Chicago commercial litigation attorney from the Clinton Law Firm can fight to save a business owner’s substantial investment from a business deal gone wrong.Quality and Value for Chicago Businesses for 25 Years
For Chicago business people facing partner disagreements or other contractual disputes, a Chicago breach of contract attorney from the Clinton Law Firm can be an important ally. During their successful careers, our experienced Chicago partnership dispute attorneys have gained thorough understanding of the legal and practical issues that typify business disputes. To schedule a consultation and discuss your case with a knowledgeable Chicago business law attorney, call us at 312.357.1515 or contact us online today.