Legal Question in Business Law in New Jersey

Re: Competing LLC's

You describe a crazy situation. Your own partner wants to find another partner and open a competing business. No, this is not good.

You need to hire an attorney. You are probably headed toward a serious fight, and you should get prepared. Your partner is not acting appropriately, and it sounds like he will very shortly be causing your business to lose money.

You should take action sooner rather than later. It will not get better when your partner opens up the competing business.

If you would like, give me a call; I am in northern New Jersey. I will discuss this with you; the telephone consultation will be free. I would be happy to help you out.

My contact information can be obtained from the links below, just click on the Attorney Profile link. Let my secretary know you found me through LawGuru.

Disclaimer: Your question and any response does NOT create an attorney-client relationship between you and this law firm. You can not rely on the statements made by an attorney given over the internet. The exact facts of your situation, including facts which you have not mentioned in your question, may completely change the result for your situation.

Re: Competing LLC's

While I substantially agree with the other writers, there is no law that requires partners to be partners in every undertaking. However, in this case it appears that your partner may not be playing fair, and seeking to benefit from the existing partnership with you. This type of activity may be enjoined, or a suit for your share of profits of the new business and/or losses suffered by the old business, on a theory similar to violation of corporate or business opportunity, if you do not consent to what he is proposing. I suggest that you speak with a local attonrey familiar with these types of situations to ascertain your rights and remedies under local law. Keep in mind that if there is any litigation, it could be expensive, time consuming and might lead to the termination of the existing business. This is a response to an Internet question and the reply is not to be considered as legal advice or creating an attorney client relationship.,

Re: Competing LLC's

Stop and IMMEDIATELY retain your own lawyer! You appear to be the subject of a "squeeze-out" and you need to act now.

I hope this helps!

Ron Cappuccio

8566652121