Skilled Representation for Shareholders and Companies
Shareholders who invest in a company have certain legal rights, even if they hold a minority of the shares. When the day-to-day management of the company is concentrated in a small group of managers, enforcing those rights may require skilled legal assistance.
At the Watkins Firm, we help shareholders assert their rights through litigation. We also advise companies on steps they can take to clarify shareholder rights in order to avoid potential conflict. For a free, no-obligation consultation, contact us at our offices in San Diego.
Asserting Your Rights as a Shareholder
Our attorneys help shareholders, who have been subjected to unfair treatment and other violations of their rights, pursue positive resolutions through effective litigation strategies.
Depending on the circumstances, a shareholder may wish to sue the company or may wish to bring a shareholder derivative suit against management on behalf of the company. Common types of shareholder rights litigation in California include the following:
- Actions for accounting
- Claims for breach of fiduciary duty
- Claims for breach of the covenant of good faith and fair dealing
- Complaints of concealment and failure to disclose material information
- Complaints of nonpayment of dividends
Whether your concerns are directed at other shareholders who are violating your rights or managers who are violating their corporate duties to some or all of the company's shareholders, we can help you choose an appropriate strategy.
Planning Ahead to Avoid Shareholder Conflict
If you are starting a new company or issuing shares in an existing company, you should consider how best to avoid the potentially costly and destructive consequences of shareholder litigation through careful drafting of shareholder agreements.
The likelihood of eventual shareholder conflict is particularly high if you have a relatively small number of shareholders and not all of them are directly involved in management.
If you have any concerns about how best to protect your company while respecting your shareholders' rights, don't hesitate to contact us to discuss your options with an experienced California corporate lawyer.
