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Disputes Between Board Members

When board members cannot agree on major company decisions, breach their fiduciary duties, or act to harm the company, we can help. It’s important to address disputes between board members before they tear your business apart. 

If it’s no longer feasible to try to work out disputes internally, a business litigation attorney can help evaluate your options and develop a reasonable, practical, and strategic approach to your business conflicts.

Breach of fiduciary duties by board members

If you are a minority shareholder whose rights are being trampled by majority shareholders, Chatow Law can help. 

We are experienced in resolving shareholder oppression disputes, including those that involve unfair business practices or fraud.

Conflict of interest claims

Board members are required to disclose conflicts of interest that might influence their decisions. Those with a conflict of interest may be prohibited from voting on the issue. 

When board members fail to disclose conflicts of interest, litigation is a likely result and the most likely way to find a resolution, avoid or minimize further conflicts, and recover losses.

Violation of corporate bylaws

Often violations of corporate bylaws lead only to the internal discipline of board members. Even so, because shareholders tend to be affected by decisions of the board, shareholders may sue when violations occur. Litigation may be their only recourse, and it may be necessary to protect the company (and sometimes even consumers or the general public).

Violations of corporate bylaws rarely are accidental. The cases we see involve breaches of fiduciary duty, misuse or misappropriation of resources, inflating or creating misleading financial data, inflating executive compensation, making decisions that expose the company to harm, or decisions that lead the company to violating regulations or laws.

Get help today

Don’t let board members’ disputes drag down or take down your business. Chatow Law can help. Based in Newport Beach, we work with clients throughout California. Contact Chatow Law to schedule a free consultation and to discuss your situation.

Handle board members' disputes on a contingency basis

It is possible that we can litigate your termination of contract case on a contingency basis, rather than on a pay-as-you go hourly basis.  We understand that your money may be tied up temporarily, which is why we may be able to work you in such a way that you only pay a percentage of the settlement or judgment if and when we win your case and you collect your award.  You can find out more about the contingency business litigation option here.