Legal Question in Business Law in California

I own a minority shareholding in a small limited company.

How do I sell my shares in if my two business partners try to block the sale so that I sell my shares to them on the cheap?


Asked on 4/02/13, 6:07 pm

2 Answers from Attorneys

Kelvin Green The Law Office of Kelvin Green

Who do you want to sell them to. If it is someone not involved in the company now and closely held company you may not be able to sell them to just anyone. They need to buy them at a fair market value, but you can't sell them to anyone in the public because of securities laws and issues

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Answered on 4/02/13, 8:04 pm
Charles Perry Law Offices of Charles R. Perry

Your question is not clear as to whether you wish to sell your shares to the other shareholders, or to a third party.

You have no general ability to force another shareholder to purchase your shares in the corporation, if they refuse. Restrictions on the shares and general securities laws may limit your ability to sell them to third parties, but the information provided does not allow for any guidance on that question.

You may have a right to force a dissolution of the corporation, and a buyout at fair value. Again, there is not enough information to allow for any guidance on that question.

I suggest you meet with an attorney to verify what options you may have.

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Answered on 4/02/13, 11:33 pm


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