Legal Question in Business Law in Georgia

I am in a partnership with another person which I want to exit from. Although we do not have a written contract about what his role and my role in the company are, we had a personal relationship at that time.

He does not treat me as an equal partner and will not allow me to pay for MY credit cards to pay bills that we used as capital in our business. He keeps buying more inventory and rolling the money back in to keep the business going. We have a distribution business in the State of Alabama. The corporation is in Ga. I am basically a silent partner but will go to Alabama every 3 or 4 weeks to help out in the office.

My credit score has been ruined because of the fact that he is not allowing me to pay all the bills in time.

Is there anything I can do? I want out of the business but how can I be assured that my bills for the company will continue to be paid?

There are other things he is not doing which needs to be done in behalf of the company. Please help as I am being driven into insanity by him.

I would claim business bankruptcy but without his agreement I am stuck!


Asked on 8/21/10, 11:21 am

2 Answers from Attorneys
Phillip M. Cook Cook Legal Services, LLC

Traditional methods for relief in business partnership disputes and shareholder disputes include:

* Settlement agreement

* Buy-out

* Sale or dissolution of the business

* Arbitration

* Commercial litigation

I would strongly recommend that you hire a Georgia business attorney to assist you in this matter. Please let me know if I can be of assistance.

Best of luck.******The above is for informational purposes only and does not establish an attorney-client relationship.******

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Answered on 8/26/10, 12:06 pm
Kevin B. Murphy Franchise Foundations, APC

Besides what the other attorney says, you need to have your partnership dissolved, if your partner does not want to buy you out. Bring any agreements you have to a local attorney. Partnerships can exist even without a formal partnership agreement. Does this ASAP and good luck.

Kevin B. Murphy, B.S., M.B.A., J.D. - Mr. Franchise

Franchise Attorney

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Answered on 8/26/10, 12:47 pm


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