Shareholder and Director Disputes

Unfortunately, from time to time, things happen when dealing with the management of a company and your investment in it. Sometimes these disputes are minor and issues can be dealt with via discussion.  Some matters are more serious, such as theft, bullying, unfair treatment and breaches of duties.

Shareholder and director claims are separate from each other but are often linked as most directors are also shareholders.  Shareholders can bring claims against directors if they have breached their statutory duties. They can also bring claims for unfair prejudice if they feel they have been treated unfairly.  Directors may bring claims against each other. 

Often the best way of resolving such claims is to negotiate and at Nockolds we understand that acting for a client in negotiations is most effective when we fully understand the client’s company, understand the company's intentions and priorities and have gathered evidence in support of the claim. 

How can we help you?

• Advising on your rights as a director/shareholder.
• Reviewing articles of association, shareholders agreements and other documentation regarding the formation of the business.
• Issuing claims against directors/shareholders. 
• Defending claims made against directors or shareholders personally.

We work closely with our employment and company commercial teams to draw on their expertise when advising directors and shareholders as the issues that present themselves are often multifaceted.  At Nockolds, clients benefit from specialist advice in multiple disciplines as well as support services from Nockolds Wealth and Nockolds HR.

Recent Successes:

Acted in a director dispute involving breaches of director’s duties including misappropriation of funds.  After lengthy negotiations, the parties eventually agreed on a settlement of all matters including a transfer of the shares for a sum, which was a third of the price the shares had been estimated to be worth in the months before the disagreement.  This was a fantastic result for the company and other directors and shareholders.