Business
Disputes
When business relationships break down, you need an attorney who understands both the legal and commercial realities of the situation.
⚖️ Key Takeaways
- Operating agreements and bylaws often control dispute resolution procedures
- Oklahoma recognizes fiduciary duties between business partners and majority shareholders
- Minority shareholder oppression is actionable under Oklahoma law
- Business breakups can be resolved through buyouts, dissolution, or mediation
- Courts can appoint a receiver to manage disputed business assets
- Non-compete clauses must be reasonable in scope, time, and geography to be enforceable
Types of Business Disputes
Partnership & Member Disputes
- Disagreements over business direction or management
- Breach of fiduciary duty by partners or managers
- Disputes over profit distributions
- Unauthorized use of company assets
- Deadlock between equal owners
Shareholder Disputes
- Minority shareholder oppression
- Disputes over corporate governance
- Challenges to board decisions
- Dividend withholding disputes
Business Breakups
- Voluntary dissolution of partnerships and LLCs
- Judicial dissolution when owners cannot agree
- Buyout negotiations and valuation disputes
- Winding up and asset distribution
Fiduciary Duties in Oklahoma Business
Business owners and officers owe each other fiduciary duties including:
- Duty of Loyalty – Act in the best interest of the company, not yourself
- Duty of Care – Make informed, reasonable decisions
- Duty of Good Faith – Deal honestly and fairly with co-owners
- Duty to Account – Keep accurate financial records and disclose material information
A breach of these duties can give rise to claims for damages, injunctions, or removal from management.
Our Approach
Assessment & Strategy
We review the governing documents—operating agreements, bylaws, shareholders' agreements—to understand your rights and options. Many disputes are governed by the terms the parties agreed to when forming the business.
Negotiation & Mediation
Business disputes often benefit from resolution outside of court. We work to protect your interests while preserving business value and key relationships where possible.
Litigation
When negotiation fails, we pursue your claims in court. This may include seeking injunctive relief, dissolution, or damages for breach of fiduciary duty.
Protecting Your Business Interests
Steps you can take to minimize dispute risk:
- Strong operating agreements that address decision-making, distributions, and exit procedures
- Regular meetings with documented minutes
- Clear financial records kept current and transparent
- Written consent for major business decisions
- Dispute resolution clauses requiring mediation before litigation
Frequently Asked Questions
Common questions about business disputes
What if my business partner is misusing company funds? +
Misuse of company funds is a breach of fiduciary duty. You may be entitled to an accounting, injunctive relief to stop the conduct, and damages. Courts can also appoint a receiver to protect business assets.
Can I force a business breakup? +
Yes. Oklahoma courts can order judicial dissolution when it's reasonably necessary for the protection of the rights or interests of the complaining member or shareholder.
What is minority shareholder oppression? +
When majority owners use their control to unfairly exclude minority owners from management, withhold profits, or dilute ownership. Oklahoma courts have remedies available including buyout orders and injunctions.
Do I need to follow the dispute resolution clause in our agreement? +
Generally yes. Courts enforce mediation and arbitration clauses in operating agreements and bylaws. However, certain claims—like fraud or requests for emergency injunctive relief—may bypass these requirements.
How is a business valued during a breakup? +
Business valuation depends on several factors including earnings, assets, market comparables, and goodwill. Often a neutral appraiser is retained. The operating agreement may specify a valuation method.
Protect Your Business Investment
Schedule a consultation to discuss your business dispute.