Shareholder Disputes

Business FocusOverview

Shareholder issues revolve around ownership issues and occur when the parties involved cannot come to a resolution about the company they own. They can happen for many reasons, such as disagreements over the direction of the company, or an absence of quality performance on the part of one of the shareholders.

Some Common Reasons for Shareholder Disputes:

  • One party wants to end the shareholder relationship
  • A claim by one party that the actions of one shareholder is illegal
  • A discrepancy with the decisions taken by the majority shareholder

Whatever the cause of the argument, HSNO has a team of experts with cross-functional knowledge and skills needed to find a resolution to even the most contentious matters. Our expertise includes:

Forensic Services

  • Theft or misappropriation assets
  • Fraudulent transactions
  • Fiduciary duty breach
  • Rerouting of income
  • Digital forensics to support the identification of problematic activities
  • Personal expense funding via company accounts

Valuation Services

  • Buy-Sell agreements financial breakdown
  • Determine and quantify market compensation for shareholder-employees
  • Discount quantification (pertinent minority and lack of marketability) regarding subject of interest
  • Enterprise value estimation
  • Evaluation of earnout clauses
  • Measurement of impact of violations of non-compete agreements
  • Physical assets estimation:
    • real estate
    • machinery
    • misc. equipment

Our experience in the field is important in helping attorneys in matters of shareholder disputes. Our education and training have provided us the resources to get to the bottom of a financial matter, determine the relevant facts, and decide on the economic damages. Our capability to think through multifaceted financial issues and to create resolutions is valuable in the shareholder dispute area, where the preferred result is not to terminate the business. Ultimately, we are here to resolve the dispute in a timely fashion and provide you with valuable services.