Legal Question in Business Law in Virginia

Partnership

Talked with a friend about a partnership in a business. We completed the business plan. Now she is being difficult and I have decided not to move forward with her. I would like to move forward by myself or with someone else. Legally would she be able to sue me for anything? We never signed any form of an agreement. I actually came up with the concept and name. We did form an LLC. Can I dissolve this and start another LLC under a differnt name? Please advise. Thanks


Asked on 10/04/06, 11:09 am

1 Answer from Attorneys

Jonathon Moseley Jonathon A. Moseley

Re: Partnership

Possibly, yes. If it looks like the business opportunity was jointly owned between the two of you and then you take the idea on your own, she might be able to say that you are taking a partnership opportunity for yourself. It would help to be specific and explore and document her "Being difficult" as (perhaps) showing a repudiation of the partnership. You would want to show that she has breached or abandoned the partnership.

The thing that concerns me most about this is the two of you actually creating an LLC together, showing a very significant step documenting that you were actually going into partnership on this project.

NOW, the word "partnership" is a loaded term. It is a legally precise term and it might not actually apply to you in this situation.

I am not saying that the woman would automatically win or that you truly are partners or that the business opportunity really is something that she shares with you, in fact.

I am only saying that yes, she could sue you for that sort of thing. She might lose. She might win. Who knows. But she could at least make it difficult for you having to fight off a lawsuit.

Read more
Answered on 10/04/06, 12:03 pm


Related Questions & Answers

More Business Law questions and answers in Virginia