obligation-of-directors

Obligation of Directors in Shareholder Disputes

Posted on Posted in Business, Legal Advice

When you run a business, things don’t always go according to plan. Instead of the plain sailing you expected, suddenly there are shareholder disputes to settle. If you are the director you have certain obligations and the first one is the consult with a commercial lawyer to ensure you take the right road to recover. If you don’t, it is possible to lose the business altogether.

The first thing to be done is to negotiate with the other parties to try and resolve the conflict. If this doesn’t work it can be taken to mediation where a neutral party helps to facilitate the discussion so that the parties can hopefully, resolve the conflict. The mediator has no say in how the parties resolve it or in seeing that the resolution is a fair one.

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