A shareholder dispute is a disagreement between shareholders, or between shareholders and directors, over how a company is being run, decisions on dividends, sale of shares, or breaches of a shareholders' agreement. These disputes often escalate quickly in closely-held companies where a small group of shareholders both owns and manages the business. Left unresolved, they can paralyse decision-making and damage the company's operations.
Quick Question
What Is a Shareholder Dispute?
The short answer
Quick answer
A shareholder dispute is a disagreement between shareholders, or between shareholders and directors, over how a company is being run, decisions on dividends, sale of shares, or breaches of a shareholders' agreement.
General information only. This answer does not constitute legal advice. The appropriate response depends on the facts and circumstances of each matter.