Legal Question in Business Law in California

My partner is breaking Sexual Harassment laws, what can I do?

If my partner is breaking sexual harassment laws (and I cant stop him), what are my legal options where I dont lose my business?

My partner is making lewd and inappropriate comments to an employee. She has come to me to complain. I am afraid that when I address this with him, he will retaliate against the girl putting our business in legal jeopardy. What are my options? I am at the point where I want out of this partnership but I do not want to lose my business.

Initially we had a California C corporation that we (I may have done this intentionally) have allowed to lapse. It is now classified as suspended. I didnt know if this information was important.


Asked on 2/14/07, 7:10 pm

1 Answer from Attorneys
Terry A. Nelson Nelson & Lawless

Re: My partner is breaking Sexual Harassment laws, what can I do?

You've got more than one serious problem friend, but you already recognize it.

If you can't educate or threaten him into stopping such conduct, you need to get him away from employees or customers. Worst case scenario is to remove him from management, buy him out or close the business. You may need the help of an attorney to convince him, or to follow through on the threats.

Secondly, lapsed corporate status must be cured before you have serious legal trouble and financial penalties. Use that in negotiations with him.

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Answered on 2/14/07, 7:41 pm


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