Legal Question in Business Law in Washington

we have a family business. my dad had sex with an employee and had a lawsuit so we started a new business. My brother in law is president and my husband is vice president. My parents are partners with them.

They are supposed to get 1/3 of profits after they get the first 100,000 in profits every year. They have yet to get any money and my parents are drawing out large sums of money for no reason. Its been over 100000 but they wont show any proof of how much they took, my mom controls the books, and they keep saying that my brothers and husbands shares are worth nothing so they are in control. Then my dad named himself CEO with the vote of him and my mom. Is this legal? He keeps threatening my husbands job and I'm worried. We cant afford a lawyer.


Asked on 7/14/14, 1:10 pm

1 Answer from Attorneys
Jonathan Baner Baner & Baner

You are in a very difficult spot. One of my primary areas of practice is disputes among co-owners of businesses. This is, frankly, a complicated area.

First, you need to be more clear on what type of "business" operation you have. Is this a corporation (sounds like it), a LLC, a "partnership" (as you state) or some type of LLP, etc. Was there a written agreement concerning anything about the operation, voting rights, etc.?

Was the "vote" done properly?

Unfortunately, your problem is likely a highly fact-driven issue that involves areas of law that are complicated for many attorneys. It will be unlikely anyone is able to answer your questions very well on this sort of internet forum.

It sounds like money is tight. I suggest you make an appointment with an attorney in your area or see about starting an arbitration or mediation if you have to go for the case pro se.

Read more
Answered on 7/14/14, 1:37 pm


Related Questions & Answers

More Business Law questions and answers in Washington