Legal Question in Technology Law in California
We are (were) a partnership of 3 individuals and the main developer decided that he didn't want to be part of the LLC any longer.
We have a contract that calls out for his code to belong to the company.
Being a started company all the code and servers are in his house. He has now denied us of the code and has taken our site down. He claims he is sick and he can't meet us to talk about the situation.
My main question here is: How we can get access to what belongs to the Company LLC since everything is at his house?
I'm really trying to be 'nice' and work it out in a nice way but my 'sixth' sense is telling me that he is not going to give up the code that easily.
Please advice how to gain access to our website and code asap.
Thank you so much
3 Answers from Attorneys
If the other member of the company will not provide access on a voluntary basis, you may go into the court and request an order requiring cooperation. This would be treated as an emergency motion based on the fact that taking down the website has materially affected your ability to do business.
I've seen this kind of thing many times before. Sadly, there's little you can do yourselves. You'll probably need to hire a lawyer to obtain a court order regarding the property in question.
Check your LLC operating agreement, it may be necessary for the LLC or the remaining members to buy him out of his interest in the company, so you'll probably want to determine the value of all of the company's assets, and figure out how you'll accomplish the buy-out.
You all either work out the issues among yourselves, or you have an attorney[s] try to negotiate a resolution, or you end up in litigation over your 'rights'. There is no magic here, only dealing with the conflicting claims. If you're serious about getting the legal help you'll need, feel free to contact me. Having an attorney to talk common sense may solve the problems.