Shareholder Buyout Lawyer

SHAREHOLDER BUYOUT LEGAL REPRESENTATION

Whether your company is incapable of advancing without severing the existing relationship with a particular shareholder and buying back their stock in the company; or the other corporate shareholders are looking to buy out your shares, you will need an experienced attorney to assist you with negotiating and completing the buyout transaction.

The reality is that when shareholders can no longer agree on the direction of the company and are incapable of working together, a share buyout is a nearly inevitable necessity. Although one or more of the shareholders may wish to find a way to make the relationship work, without a uniform agreement that overcomes the present issues, there will not be such a resolution. Instead, it will be necessary to negotiate the separation of the parties, failing which the parties will be driven to expensive and bitter court action, that will only hurt the financial interests of each of the shareholders and result in a resolution that no one will be happy with.

The preferable approach is to be realistic in one's expectations in negotiating a shareholder buyout (provided that the other side is also realistic), such that a resolution might be achieved. Where there is a shareholders' agreement in place, this will be extremely beneficial to the buyout process. For whereas, the agreement may not be conclusive in all respect nor cover every scenario that leads to a corporate share buyout, it is by far preferable to a relying solely upon the Alberta Business Corporation Act, which is largely inefficient in facilitating the buyout processes that company stockholders desire. Nevertheless, you need to negotiate with what you have, with the assistance of a knowledgeable and experienced business lawyer.

Chris@NeufeldLegal.com  403-400-4092