Directors and shareholders have different duties, obligations and rights. Usually, a company will have Articles of Association and/or Shareholders Agreements which govern the same. Sometimes, however, a company may not have any written documentation at all. Either way, and especially if you are both a shareholder and director, it is easy to get a little confused and be unsure how to act.

As a shareholder, you may be concerned that another shareholder or a director of a company has a conflict of interest and so may not be acting in the best way possible, or that they are acting in a way that could be prejudicial to your position.

A disagreement within a company that has an equal numbers of shareholders and/or directors could result is a deadlock situation which, if not quickly resolved, could destroy a company.

In any situation, it is always best to seek early advice. Measures can be put in place to prevent disputes, but also to mitigate the extent of any dispute to ensure the company is able to continue trading.

Summit Law LLP have the expertise to advise in relation to all arrangements between companies and their directors and shareholders, whether the advice sought is in relation to understanding your obligations and rights or to assist with litigated disputes.

We are able to provide a minority shareholder with a voice against abusive majority shareholders, advise directors on their improper removal from office, defend claims that have been issued against directors and much more. Do not delay seeking advice. Call our expert team on 020 7467 3980 now, or complete the enquiry form below.

Get specialist director and shareholder legal advice from our expert team of solicitors. Contact Summit Law LLP on 020 7467 3980, complete a Free Online Enquiry or email jb@summitlawllp.co.uk and one of our commercial lawyers will contact you.