Legal Question in Business Law in Illinois
If you co-own an incorporated business, what are the rules about letting your partners know you plan on starting another business which competes in the same industry?
I'm in another state, but this question is regarding someone else's business in Illinois.
Asked on 2/06/11, 12:31 pm
1 Answer from Attorneys
In Illinois that's called "usurpation of corporate opportunity" and potentially could be enjoined. The agreements that control these issues (shareholder agreements, partnership agreements, LLC operating agreements, etc.) may allow a certain level of competition, but someone would have to review the applicable documentation to see if there's any such wiggle room.
Answered on 2/07/11, 1:10 pm
Related Questions & Answers
-
Can an owner of 10 LLC Units (out of 100 units in the overall LLC which has 1 vote... Asked 2/06/11, 11:40 am in United States Illinois Business Law
-
I was put on as an independant contractor to sell newspaper subscriptions. I... Asked 2/05/11, 9:18 am in United States Illinois Business Law
-
I own a plumbing company that is incorporated in illinois,but their is another... Asked 1/27/11, 1:41 pm in United States Illinois Business Law
Looking for something else?
10,200 active attorneys ready to answer your legal questions today.
Featured Attorneys
Earn additional revenue and grow your business.
