Legal Question in Legal Ethics in Virginia

Re: Grounds for Discharge

In a small business scenario people often play many different roles and wear different "hats" at the same time.

So your VP of sales plays several different roles: Partner (owner?) and also VP of sales. Probably also an investor.

So, yes, he can be fired as VP of Sales and hire someone else instead.

But he would continue to play the role of partner (owner) and probably an investor also.

You have to consider each of these roles individually and separately.

No, to get specific, you have to identify what kind of company this is, legally. Is it a corporation or a partnership? (You say partner, but usually only corporations have a President.)

Also, if it is a corporation, probably the Board of Directors needs to hire and fire the key officers.

CAN YOU ALONE as President fire him? The same authority that hired him needs to fire him.

The way that most corporations are set up, the Board of Directors should do it. The Board of Directors are elected by the shareholders.

However, in most small corporations people have forgotten to elect a Board of Directors and forget about it entirely.

You really do want to read the Bylaws of your corporation -- or Partnership Agreement if it is a partnership.

Again, the same power that hires the VP would have to fire him (although if the Bylaws or Partnership Agreement say something else, then that would apply.)

Re: Grounds for Discharge

Assuming that your company is a corporation, what do the bylaws have to say regarding this issue and, perhaps, your vice president's contract of employment(if there be such)?

However, if this vice president is in fact a 25% owner of the company(same as you), it would appear that by allying himself with at least one other of these company owners, he could probably block any attempts on your part to remove him.