Shareholder Litigation & Corporate Disputes
Business, as with life, can be messy. At Stone & Baxter, we assist corporations, boards of directors, and individual officers, shareholders or members in resolving their corporate, partnership and shareholder issues discreetly, quickly, and appropriately to avoid unnecessary disruption in business. If necessary, we proceed to vigorously protect our client’s rights throughout any litigation.
We handle disputes that include allegations of conflicts of interest, derivative actions, self-dealing and usurpation of corporate opportunities, and breach of fiduciary duty. We also defend against or advocate for claims of minority owner rights, partnership and shareholder rights, executive compensation, minority shareholder dissenter rights, and buyout agreements.
When the matter is first brought to the attention of the company, the board of directors, or an individual officer, Stone & Baxter will assist the client in gathering the information necessary to address the allegation, including reviewing corporate documents, interviewing key individuals, and gathering the facts from the complaining shareholder or employee. We then work with the client to avoid or minimize potential exposure to the allegations.
Stone & Baxter works to craft strategies that best serves each client. If appropriate, Stone & Baxter will negotiate with the complaining party to determine whether the matter can be settled out of court. If not, Stone & Baxter will defend the litigation by motion to dismiss, motion for summary judgment, or through trial and appeal, if necessary.
- Represented a shareholder and managing member against a lawsuit alleging improper termination of the entity and distribution of assets. Case voluntarily dismissed by plaintiff.
- Represented a director/majority shareholder against allegations of improper use of corporate funds. Case settled for a confidential amount prior to Stone & Baxter’s motion to dismiss being heard.