Commercial Litigation

Understanding Commercial Litigation

Commercial litigation encompasses legal disputes that arise in the business world. In the UK, these disputes can take many forms, but two of the most common types are partnership and shareholder disputes. Understanding the nuances of these conflicts and the roles played by solicitors and barristers in resolving them is crucial for any business facing such challenges.

Partnership Disputes

What Are Partnership Disputes?

Partnership disputes can significantly impact the stability and success of a business. At My Commercial Lawyers, we understand the complexities involved in these disputes and are dedicated to providing expert legal support to help you navigate these challenges effectively. Left unresolved, such disputes can disrupt business operations, harm professional relationships and even lead to the dissolution of the partnership. Common Causes of Partnership Disputes:

1. Financial Disagreements: Conflicts over profit sharing, capital contributions and allocation of losses.
2. Management and Control: Disputes regarding the management of the business and strategic decisions or allegations of misconduct or mismanagement.
3. Breach of Duties: Allegations that a partner has breached their fiduciary duties by acting in their own interest rather than that of the partnership.
4. Exit and Succession Planning: Issues arising from the departure or death of a partner, including buyout terms and valuation of the partner’s share.
5. Entry of New Partners: Disagreements over the terms under which new partners are admitted.
6. Differing Visions: Conflicts over the direction or purpose of the business.
7. Breach of partnership agreements

Our Services for resolving Partnership Disputes At My Commercial Lawyers, we offer a comprehensive range of services to help resolve partnership disputes efficiently and effectively. Our goal is to protect your interests and achieve the best possible outcome, whether through negotiation, mediation, arbitration or litigation. In severe cases dissolution of the partnership may be necessary. Legal Advice and Consultation Our experienced solicitors provide expert legal advice tailored to your specific situation. We assess the nature of the dispute, explain your legal rights and obligations and outline your options for resolution. Our initial consultation aims to provide clarity and direction to help you chose the best course of action. Drafting and Reviewing Partnership Agreements A well drafted partnership agreement is essential for preventing disputes. We offer services to draft, review and update your partnership agreement to ensure it clearly defines the rights and responsibilities of each partner, profit-sharing arrangements and dispute resolution procedures.

Shareholder Disputes

What Are Shareholder Disputes?

Shareholders disputes occur when disagreements arise among shareholders or between shareholders and the management of the company. These conflicts can stem from a variety of issues which can lead to disruption of the operation of the business and if not resolved promptly and effectively, can lead to financial and reputational damage. Common Causes of Shareholders Disputes

1. Mismanagement or Fraud: Allegations of mismanagement or fraudulent activities by directors or other shareholders can lead to significant disputes.
2. Breach of Shareholder Agreements: Disagreements often arise when the terms of the shareholder agreements are perceived to be breached or inadequately enforced.
3. Unfair Prejudice: Minority shareholders may feel that their interests are being unfairly prejudiced by the actions of the majority shareholders. Minority shareholders can be

protected by section 994 of the Companies Act 2006.

4. Conflict of Interest: Conflicts can occur if directors or shareholders are seen to be prioritising personal interests over the company’s interests.
5. Dividends and Financial Disputes: Disagreements over the distribution of dividends, financial strategy or the handling of company profits are common triggers for disputes.
6. Strategic Direction: Shareholders may have conflicting views on the strategic direction of the company, including major decisions such as mergers, acquisitions or change in business strategy.

Our Services for Resolving Shareholder Disputes

Similar to partnership disputes, resolving shareholder disputes can be complex. Legal avenues for resolution include: Legal Advice and Consultation We can provide clear and practical advice on the nature of the dispute and potential legal remedies assessing the strengths and weaknesses of your case to develop a strategic approach. Drafting and Reviewing Documents: Drafting and reviewing essential documents including shareholder agreements, notices and legal correspondence to ensure that all documents accurately reflect your position and comply with the law Corporate Governance and Compliance We can provide ongoing advice on corporate governance and compliance to prevent disputes from arising and ensuring adherence to company law as amended from time to time. Exit Strategies and Business Dissolution: In cases where businesses cannot continue, we help negotiate buyouts, valuations aiming to minimise disruption to the ongoing business and protect your financial interests The goal is to protect the interests of the company while ensuring fair treatment of all shareholders. Remedies in Commercial Litigation Remedies can include:

1. Negotiation and Mediation: We aim to resolve disputes amicably whenever possible. Our solicitors are skilled negotiators who can facilitate discussions between parties to reach mutually agreeable solutions. We can represent clients in mediation sessions, working with a neutral third party to resolve conflicts outside of court.
2. Arbitration: For disputes requiring a more formal resolution, we provide arbitration services whereby we can represent you in proceedings, presenting evidence and arguments to achieve a binding decision from the arbitrator. Arbitration can be quicker and a more confidential alternative to court litigation.
3. Litigation: When disputes cannot be resolved through negotiation, mediation or arbitration, we can represent you in court. Our solicitors and barristers work together to build a strong case, present evidence and advocate on your behalf to achieve the best possible outcome. We can apply for injunctions to limit activites whilst matters are being resolved.

The Role of Solicitors and Barristers

Our team at My Commercial Lawyers comprises both skilled solicitors and expert barristers each playing a vital role in resolving disputes. Role of Solicitors Solicitors are the first point of contact and play a crucial role in the early stages of commercial litigation.

1. Providing legal advice and drafting documents: Solicitors help clients understand their legal position, draft necessary legal documents, and outline the best strategies for resolution as well as offering ongoing advice throughout the process.
2. Negotiation and mediation: They often represent clients in negotiations and mediation, aiming to resolve disputes amicably without the need for costly and time consuming court proceedings.
3. Case preparation: If litigation is unavoidable, solicitors prepare the case by gathering evidence, interviewing witnesses, drafting pleadings and preparing a thorough and accurate bundle of documents to present to the court.
4. Providing advice on best practices in corporate governance to prevent future disputes.

Barristers Barristers are typically involved when a case moves to court. Their roles include:

1. Advocacy: Barristers represent clients in court or in arbitration proceedings, presenting the case, examining witnesses, and making legal arguments.
2. Specialised legal advice: They provide expert opinions on complex legal issues, assisting solicitors in developing a robust case strategy.
3. Drafting legal pleadings: Barristers are skilled in drafting detailed pleadings, ensuring that the client’s case is clearly and persuasively presented.

Why Choose My Commercial Lawyers?

At My Commercial Lawyers (MCL), we guide you through every step of the commercial litigation process. Our experienced team of barristers and solicitors handles your case from start to finish, ensuring efficient case management and the best possible outcome. With our expertise, navigating the complexities of commercial litigation becomes manageable, allowing you to focus on your business. Our team at MCL possesses in-depth knowledge of the UK commercial litigation process and extensive experience across various sectors. We offer tailored advice and representation for a wide range of issues, including partnership disputes and shareholder disputes. By understanding the specifics of your case, we ensure that your unique needs are met with the highest level of expertise. We prioritise your interests at every stage of the litigation process, offering transparent and practical advice to resolve disputes swiftly and effectively, minimising business disruptions. Whether dealing with individual or class action disputes, our expertise and client-centred approach make us the ideal choice for navigating the complexities of UK commercial litigation.