Legal Question in Business Law in California

Re: restaurant business and partners

If it is a partnership you can dissolve the partnership, you dont need his OK.

Re: restaurant business and partners

If there is a partnership agreement, check that agreement

for the terms of any buy-out. If the other partners are not

doing what they are supposed to, you may have grounds to dissolve

the partnership, but filing that action in court does

not necessarily mean you get to keep the business. If you simply wish to get rid of them,

you may file for dissolution of partnership, but may be found to be

in the wrong and the other partners allowed to liquidate the business.

I would strongly suggest consulting with an attorney, and considering

mediation of the situation.

Re: restaurant business and partners

I must assume, from your question, that you do not have a written partnership agreement which spells out the rights of the partners to buy one another out. Also, your question does not say whether any or all of the partners are also employees, which would change the situation.

Under general partnership law, any partner may bring an action to dissolve the partnership, but none has the right to force the others out of the business. A Court might order the public sale of the restaurant, and any partner could be a bidder. There might also be a damages action for any wrongdoing by any of the partners. Your best solution might be to obtain an appraisal of the business and make an offer to buy the minority partners out. If you wish to know more, please visit our website, www.labusinesslawyer.com.

Re: restaurant business and partners

If you do not have a written partnership agreement that addresses the subject of dissolution or buy-out, then you are limited under the California Corporations Code to an action for involuntary dissolution. This will result in the court liquidating the business. As a owner, you will have a right to bid on the assets. You will also have to deal with your share of the liabilities. Alternatively, you could have the business appraised and propose to buy your partners out. I would advise consulting an attorney in either case.