Partnership Disputes – Causes and Resolution

Sep 11, 2024 | Publication

Partnerships are a common business structure.  Frequently we see disputes where one or more partners wishes to leave the partnership, and financial and other disputes relating to a partnership.  Understanding the causes of these disputes and how they can be resolved is critical in avoiding litigation.

Disputes can arise in relation to the roles and responsibilities of partners.  Also there can be financial disputes or breaches of fiduciary duties by one or more partners.  The causes of these disputes and the mechanisms for resolution is critical for partners looking to protect their business and interests.  Many times the partners have not properly considered the exit and succession planning of the partnership.  A breakdown in trust can result in disputes.

A properly prepared partnership agreement can assist in resolving disputes.  This can define the roles, responsibilities and financial benefits of the parties.  It can also set out the process for handling disagreements.

Negotiation and mediation can assist in resolving many partnership disputes.  Alternatively arbitration or litigation may resolve a dispute.

Often a buyout or dissolution of the partnership is required.

It is important to obtain legal advice and representation as early as possible to avoid and reduce the risk of dispute.  For an obligation free discussion, please contact us on 1800 180 500 or email reception@mcauleylawyers.com.au

The information in this publication is of a general nature and is not intended to address the circumstances of any particular individual or entity. Although we endeavour to provide accurate and timely information, we do not guarantee that the information in this publication is accurate at the date it is received or that it will continue to be accurate in the future. We are not responsible for the information of any source to which a link is provided or reference is made and exclude all liability in connection with use of these sources. If you do not wish to receive newsletters from us, please let us know.

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