Services for business

Shareholder disputes

Disputes will often arise among shareholders and directors, particularly in SMEs and family businesses where there are limited groups of shareholders involved. These disputes can arise in relation to breaches of the shareholder agreement or abuse of power by either a majority shareholder or a group of shareholders.

Alternatively, there may be issues with regard to the actions of directors involving personal profiteering.

Shareholder disputes are often factually complex and difficult to resolve. There needs to be a clear plan developed in terms of objective, means of meeting that objective and a review of all the legal remedies available from the court.

Shareholder disputes and your options

We can advise you on your options including:

• A claim under Section 994 of the Companies Act 2006, seeking purchase of shares at a fair price where there has been "unfair prejudice" suffered by a member of a group of members of the company concerned.
• An application for permission to take proceedings in the name of the company (the so-called "derivative action")
• An action pursuing directors for breach of their fiduciary duty

Why choose Furley Page for advice on shareholder disputes

This is a specialist area which requires lawyers with experience in this kind of work.  We have a number of solicitors who practise regularly in this field.