How JustAnswer Works:
  • Ask an Expert
    Experts are full of valuable knowledge and are ready to help with any question. Credentials confirmed by a Fortune 500 verification firm.
  • Get a Professional Answer
    Via email, text message, or notification as you wait on our site. Ask follow up questions if you need to.
  • 100% Satisfaction Guarantee
    Rate the answer you receive.
Ask Ash Your Own Question
Ash
Ash, Solicitor
Category: Law
Satisfied Customers: 10916
Experience:  Solicitor with 5+ years experience
75100385
Type Your Law Question Here...
Ash is online now

I am in business with my daughter-in-law and we are both classed

Resolved Question:

I am in business with my daughter-in-law and we are both classed as directors. However, she hasn't put a penny into the business and it has been totally funded by my husband. She is trying to take over completely but she hasn't the experience needed to do this. As we are classed as business partners on an equal share basis is there anything I can do to indicate she does not own the business
Submitted: 2 years ago.
Category: Law
Expert:  Ash replied 2 years ago.
Hello my name is ***** ***** I will help you with this.
Is this a Limited company? If so what % shares do you have each?
Customer: replied 2 years ago.

Ltd company with both having 1 share each

Expert:  Ash replied 2 years ago.
Ok, then you are 50% shareholders. She can't really do anything without your agreement. You are 50/50. She does own half the business, she has 50%. Therefore you cant really say she doesnt own it because she owns half.
I assume there is no Director/Shareholder agreement? If there was it would set out each others rights and responsibilities. That means it would detail what each party would do, if that was breached or they did not do what was promised then there could be a trigger to get rid of, or buy the other one out.
But sadly as it stands you are 50/50. You both need to work together otherwise sadly the only option is to buy her out, in the absence of any written agreement.
I am sorry if this is not the answer you want and certainly not the one I want to give you, but I have a duty to be honest.
Can I clarify anything for you about this today please?
Alex
Customer: replied 2 years ago.

So even though she has not put a penny in there is nothing I can do to over ride her decisions and make her realise she is not the boss

Expert:  Ash replied 2 years ago.
Correct, unless you have any agreement that says otherwise. This is because you are 50/50. Its not about who put the most money in.
I am sorry.
Alex
Ash and other Law Specialists are ready to help you
Expert:  Ash replied 2 years ago.
Hi

I am just following up to see if there is anything else I can help with?

If this answers your question might I ask you to rate my answer before you go today please, the button should be at the bottom of the screen.

If you need more help please click reply.

Alex