Legal Question in Business Law in Massachusetts

Re: Laws to Remove Corrupt Partner

Any issues regarding non-compliance with the orders of the Family Court judge should be brought in that court -- you don't need another legal proceeding to do that, and it would be withing the powers of the family court judge to order H to cease and desist from taking any money whatsoever out of the corporation. You should ask your divorce lawyer whether it is within the judge's authority to order H to step aside and let you take control over the business. You should also consult with that lawyer regarding your ongoing ownership of your 2/3 of the company stock -- I expect that it would be in everyone's interest to have one spouse's share transferred to the other as part of the marital assets distribution rather than simply providing fuel for the next (inevitable) court case alleging the usual panoply of corporate mis-governance....

Best wishes,

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LDWG

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Re: Laws to Remove Corrupt Partner

It would appear that you are represnted by counsel in a divorce. If you have informed him that your husband is wrongfully taking funds in violation of a court order inform your counsel and ask him to file a Motion for Contempt.

As to your rights as a business owner, you have a variety of alternatives:

1. Depending upon your ownership, you may be able to hold a shareholder and director's meeting and strip him of his check writing authority.

2. File suit and seek a Protective Order reguiring a Receiver be appointed to approve all checks issued.

Ultimately, the issue of ownership and buy-out will be part of your divorce.

As to holding your attorney responsible for delays in getting a hearing, that is not likely. I would suggest you speak to him about moving more quickly if possible.

I hope this was helpful to you

Re: Laws to Remove Corrupt Partner

Enforcing a court order is appropriately done before the judge and/or court in which the order was entered. Unfortunatelely, inherent to the state court system is delay and that includes the scheduling of hearings. That being said, however, it could be possible for your attorney to request an emergency hearing to bring the issue of your husband's violation of the court's order before the court. While self-help is always an option, it is not something that I would recommend especially where issues concerning the business are already before the court.