Shareholder Disputes

As trust breaks down, emotions can become heated. Our team understands that even the smallest disputes can quickly accelerate.

In the worst case scenario, these disputes can deadlock otherwise profitable businesses to the extent that they cease to trade.

In the early stages of a dispute, where it is appropriate, one of our accredited mediators can assist with independent commercial mediation.

We act on behalf of majority and minority shareholders, as well as for companies themselves. Our initial advice will almost always be to push for a rapid and sensitive commercial discussion.

At iLaw, we balance our best in class litigation know-how with commercial pragmatism. Our dedicated team of specialist commercial dispute lawyers have extensive experience dealing with an array of shareholder disputes, including:

  • Minority Shareholder disputes
  • Board mismanagement
  • Shareholder deadlock
  • Excessive directors’ salaries
  • Fraud or Dishonesty
  • Director performance
  • Exclusion from business decisions
  • Breach of a Shareholders’ Agreement
  • Directors’ Conflicts of Interest

Ideally, business partners should have a comprehensive agreement which establishes agreed guidelines and pre-empts the most common disputes. However, we understand that most businesses are built on a foundation of trust and goodwill, and shareholders may not consider a pre-emptive agreement to be necessary at the time.

If a dispute becomes litigious, our expert team can act on your behalf and protect your interests.

To book a free consultation with one of our team, contact us at +44 (0)203 9622 230.

Case Studies

J & W Sanderson

Case Law: J&W Sanderson Ltd v Fenox (UK) Ltd & Ors [2014] EWHC 4322 (Ch) (18 December 2014)

Matter Value: Significant

Background:

iLaw was instructed by J & W Sanderson Limited (JW), owned by Belarus businessman Mr Alexei Vaganov, in a dispute with his joint venture partner and fellow shareholder Mr Vitali Arbuzov, regarding ownership and control of the multimillion-dollar car manufacturing plant in Minsk, Belarus.

How we assisted:

We issued a petition in the High Court on behalf of JW for a just and equitable winding up of the joint venture English company, which owned the car plant.

In response to Arbuzov’s attempts to take control of the plant, we obtained urgent injunctive relief. We then successfully opposed Arbuzov’s application to stay the English Court proceedings.

Impact:

JW was, as a result of its success in opposing that application, able to negotiate from a position of strength concluding with a settlement.

iLaw Solicitors:

Tom Clark

Matter Value: Multi-million pound

Background:

iLaw advised an Indian company on a dispute arising out of a joint venture agreement relating to a UK steel business, including ownership, claims for unpaid salary, transfer of shares and in passing off.

How we are assisted:

High Court proceedings were issued for relief including a declaration over the ownership of the company and transfer of shares.  Parallel arbitration proceedings were also started in Singapore but stayed pending the outcome of English court proceedings.  The case settled via mediation.

iLaw Solicitors:

Tom Clark

Matter Value: In excess of £1 million

Background:

iLaw acted for the Dutch shareholders of an international sport horse company against alleged a rogue Managing Director and shareholder for breach of authority, breach of duty, unlawful salary, unauthorised expenses and other general misfeasance.  The case involved various issues including company law, intellectual property and employment law.

How we assisted:

We issued High Court proceedings in tandem with an application for an injunction to stop passing off.

Impact:

The claim was successful and the client obtained Judgment within four months of issue, along with the majority of its costs.

iLaw Solicitors:

Tom Clark

Matter Value: Significant

iLaw was instructed by two partners in a complex partnership at will dispute, involving various family partners where the main asset was a commercial property.

How we assisted:

We represented two partners in High Court proceedings and in settlement negotiations.

Impact:

Successful settlement.

iLaw Solicitors:

Tom Clark

Legal 500

© Copyright 2020

Authorised and regulated by the Solicitors Regulation Authority‎ (SRA ID: 445533)
iLaw Solicitors Ltd, Temple Chambers, 3-7 Temple Avenue, London EC4Y 0HP, UK
Telephone switchboard +44 (0)203 962 2230 | Fax +44 (0)207 117 4737 | Company registration number 05837427