Legal Question in Business Law in Nebraska

Re: Firing a partner

Did partner steal from the corporation or just do something he was not authorized to do? If it was theft for a substantial amount of money and you have adequate proof of what happened; the first thing you should do is file criminal charges with the county attorney's office. Do not threaten to file charges, just do it. Whether or not you can fire him depends on the terms of your corporate by-laws governing your respective authorities. Even if you have the power to fire him, he still has 49% ownership of the corporation. If you and your partner have drawn up a buy-sell agreement, the terms of that agreement will determine how you can buy him out, if you can afford to buy him out. Alternatively, you might just make him an offer for his 49% of the corporation; provided you can afford to pay him an adequate price. If you cannot agree as to terms and price; and you have no buy-sell agreement; you will need to dissolve the corporation to get rid of your partner. In any case, it would be wise to see an attorney immediately to guide you through the choices I have mentioned.