Shareholder Disputes

Shareholder disputes can arise in a number of ways and for many reasons. Fall outs between directors, management or shareholders can be costly if not resolved quickly and effectively.

Most of the time disputes occur due to work ethic, division of labour or people leaving the business. Personal issues can also play a factor or be a concern.

Business disputes can often escalate if early advice is not received. Understanding your legal position can help you to clarify your rights and present options on how to proceed. Our disputes expert Edward Powell would always recommend an initial case review. Your solicitors should always have definitive understanding of everyone involved and their points of view.

How to resolve a shareholder dispute?

  1.  Attwells would recommend checking your shareholder agreement and the constitutional documents as these offer an acknowledgment of the rules you have agreed upon. In all likelihood the shareholder agreement or articles will outline how to proceed when a dispute occurs or may offer guidance regarding the situation you find yourself in.  
  2. After which time you may benefit from holding a meeting to address the dispute. It would be wise for minutes to be taken. Every shareholder should be given an opportunity to speak and give their opinion. As with any dispute knowing and understanding the other persons point of view, even if you don’t agree with it will greatly help to resolve the issue.
  3. For less complex disputes you may be able to resolve it with a simple vote after every shareholder has been heard. This would work on a majority basis.

If the dispute cannot be resolved without legal support Edward Powell would be happy to meet with you at our Colchester, Ipswich or London office. Bringing with you a copy of your shareholder agreement and any constitutional documents would save time. This would also allow Edward to create a timeline of events and offer you the best possible advice.

An Initial meeting or case review with a letter of advice costs £350 plus VAT. If you would like to arrange an appointment with Edward you can call his Colchester office number on 01206 239755 or email

For more information on business, commercial or personal disputes please click on the links within this page or review the main menu.