What legal rights do I have if my business partner is not fulfilling their obligations?
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Your rights in regards to your business partner not fulfilling their obligations will depend on the type of legal entity that is associated with your business. The most common types are a partnership or a corporation, and each of these entities have different rules and regulations regarding how they operate.
If you are in a partnership, you may be able to enforce any contractual obligations laid out in the agreement between yourself and your partner if they fail to fulfill them according to its terms. These contracts often define how disputes should be settled between partners, as well as what happens when one partner fails to meet their obligations. If no such contract exists, then state laws governing partnerships would come into play instead—which could include dissolution proceedings or even potential court action against the other partner for breach of fiduciary duty.
If your business is incorporated (or filing under an LLC), then specific jurisdictions may provide shareholders, directors or officers with certain protections from any wrongdoing by others within the corporate structure. In most cases this includes being able to bring legal action against individuals for breaching their duties or failing to act in good faith towards fellow members/shareholders/directors etc., as well as making sure company affairs are conducted responsibly and professionally at all times. Additionally, many states also offer “piercing-the-corporate-veil” protections which allow creditors and investors access directly into corporate funds if necessary—allowing them recourse should there be mismanagement of funds or improper use of those resources by another individual within the organization who has been entrusted with those responsibilities.
It is important that you seek advice from an experienced lawyer whenever possible so that decisions about what steps need to be taken can reflect current law and regulations—as these vary based upon jurisdiction and can change over time without notice! Additionally it might also make sense for you consult a qualified accountant depending on the specifics around why your partner has not fulfilled their obligations: these specialist advisors may have insights into mitigating this issue prior to taking drastic measures like suing someone else involved in running the business operations.
